‘Uncertainty’ impacting all industry

Author: Steve Pateman

Categories: Financial, Investment
Tags: market improvement
Steve Pateman: “I think the most disruptive force at the moment is uncertainty, people like certainty in their lives.  And I think people like certainty in economies and they like certainties in politics and they like certainties in outlook.  And at the moment the world has none of the above.  So I think uncertainty is the biggest hit, because if you’re uncertain about your future, you’re uncertain about your prospects of employment, you’re uncertain about your income prospects then you won’t spend money or you’ll save more money, you’ll be more cautious, you’ll defer spending and so on and so forth.  And actually that is a massively depressive effect on the UK economy, indeed any economy for that matter, because if people aren’t spending then actually economic growth isn’t being generated.  It’s a very simple model to get right and actually it’s a very simple model to get wrong.  And I think lots of economies, particularly in the developed world have got it wrong, not through any fault of their own, but for, you know, function of circumstance over a number of years where the debt has built up and so on and so forth.  And it’s very hard too, you can’t tell people to be confident about their future and look optimistic, they’ve got to want to feel it.  And I’ve seen a lot of businesses that desire to invest, desire to grow, desire to do new things but a real cautiousness about whether the consumer will be there to justify that investment.  And I think that’s the biggest drag factor on the economy in this country and the economy in Europe at this moment in time is confidence.  And confidence is about certainty and there is very little certainty in whichever direction you look at.”
Related videos

‘Uncertainty’ impacting all industry

Author: Steve Pateman

Using data to second-guess the customer

Author: Steve Pateman

Hospitality a fundamental part of UK service industry

Author: Steve Pateman

Consumer demands and expectations have changed

Author: Steve Pateman