New research has shown that UK SMEs are largely sceptical about the prospects for growth in the run-up to the Autumn Budget. The findings come amid an overall drop in SME confidence in the face of significant economic uncertainty.

According to the report, from global business performance and leadership organisation Vistage, 76 per cent of SME leaders have little to no confidence that the Autumn Budget in November will help to support growth.

Despite more than half of respondents (56 per cent) anticipating that revenue will increase, over a fifth (22 per cent) expect their profitability to dip over the coming year. Just one in ten expect any economic improvement, highlighting the prevalent feelings of pessimism and uncertainty.

This lack of optimism reflects an overall drop in confidence among business owners, with Vistage’s quarterly CEO Confidence Index for Q3 2025 falling to 88, from 89.5 in Q2 2025 and 107.1 in Q3 2024.

Against the tough economic backdrop, 42 per cent say they plan to increase prices, while 19 per cent say they have already introduced 7 - 10 per cent price increases during 2025. However, with a quarter also reporting a drop in consumer demand and spending, SMEs face a balancing act between increasing prices enough, without putting off more customers.

Amid pessimism about how much the Autumn Budget will help, 58 per cent of respondents said that their top priority would be cutting taxes such as Corporation Tex and Employer National Insurance.

20 per cent said they would like to see more infrastructure investment and 10 per cent would prioritise a reduced regulatory burden. Other requests include targeted investment incentives (cited by 9 per cent of respondents) and labour market support (4 per cent).

Despite the significant challenges that SMEs face, many are still committed to increasing their workforce as they seek to secure growth, with 37 per cent of respondents planning to expand their teams over the next year.

Vistage UK and Ireland Managing Director Rebecca Drew said: “While leaders are grappling with rising costs, weaker customer demand, and uncertainty around government policy, many are still focused on growth — planning to expand their team and invest in employee engagement.”