Beyond the Uncertainty: Trade, Talent and Technology in Focus

Why UK and Ireland SMEs are cautiously optimistic — and what they need to thrive in a turbulent 2025 – By David Harding, Vistage Sussex Chair

Despite continued economic and geopolitical uncertainty, SME leaders in the UK and Ireland are cautiously optimistic about the year ahead.

The latest Vistage Q2 2025 CEO Confidence Index shows a small but encouraging rise in sentiment, up from 87.5 to 89.5. Just over half of leaders (55%) expect revenue growth over the next 12 months, and 61% forecast higher profits — a notable jump from 49% in the previous quarter.

Hiring and investment plans are also holding steady, with 57% expecting to grow their teams and 31% planning to increase fixed investments.

But challenges remain. Nearly half (48%) of CEOs believe economic conditions have worsened over the past year, and most feel conditions will either remain flat or decline further. Leaders are navigating this climate by doubling down on what they can control: their teams, operations, and technology.

Trade and Talent Worries

Many leaders are concerned about the UK’s position in global markets. Just 8% believe the UK is becoming more competitive compared to EU markets, and only 10% are actively pursuing EU expansion. Most SMEs are choosing to stabilise their domestic position before making international moves.

Talent attraction remains a top concern. The proposed UK-EU youth mobility scheme is unlikely to ease recruitment pressures, with only 5% believing it will make a significant difference.

Burnout Is Real

Economic pressures are taking a personal toll on business leaders. Nearly one in five rate their work–life balance as poor, and 60% say they struggle to switch off during time off. This raises concerns about sustainability and the need for stronger wellbeing support at the top.

AI: Big Promise, Big Gaps

While enthusiasm for AI remains high, adoption is lagging. Many SMEs lack the technical skills or internal strategy to make AI implementation effective. Without investment in training and mindset, even the best tools will struggle to deliver impact.

Visit my LinkedIn article to explore this topic in more detail.

Resilience Through Support

In uncertain times, it’s clear that leaders are stepping up — finding ways to grow, stay flexible, and protect their teams. But bold, strategic moves in technology, talent, and wellbeing will be essential to maintain momentum.

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Visit vistage.co.uk or contact Chair David Harding to learn more: david.harding@vistagechair.co.uk