Through a combination of inflationary pressures, rising interest rates and ongoing supply chain issues, many mid-sized businesses continue to face difficulties regarding their financial viability.

The Grant Thornton’s Business Outlook Tracker found that one-third (33%) of businesses have already restructured their operations and reviewed their headcount, with a further 38% planning to do so.

The survey recorded the lowest level of optimism from respondents on their business’ funding positions since the survey began in January 2021, dropping significantly compared to August 2022, to just 59%.

Chris Petts, Restructuring Partner, Grant Thornton UK LLP, said: ‘Businesses are facing incredible cost pressures from all sides. The combination of input cost price increases, high energy costs and rising interest rates, are seeing businesses faced with increases from 5% to as much as 100% in some cases when combined with the added strain of ongoing supply chain shortages in some areas.