June 30th, 2009
to the British financial companies for the first time in two years, returned to the optimistic mood, said the quarterly survey of financial companies, conducted by the Confederation of British Industry (CBI) and PricewaterhouseCoopers.
However, banks and building societies issuing loans to build or buy houses, remain less sure because they are struggling with record levels of bad debts.
in April-June business, revenue and profitability showed decline, but the decline is much slower than expected, gives a report of The Financial Times.
Overall, 13% of companies were more optimistic about the business situation in the sector - the first time since 2007. This is due to the increased expectations that the worst of the credit crisis and the recession is behind us, and that investors will return to the markets.
At the same time, companies that provide financial services, continued to cut jobs. About 34 thousand employees lost their jobs last year and about 17 thousand - in the first quarter. CBI and PwC projected decline in state for 15 thousand people in the second quarter and 13 thousand - in the third quarter.
According to the poll, only 1% of the respondents think that the high risk of further deterioration in financial markets, while in March the rate was at around 45%.
At the same time, the Chief Adviser on Economy CBI Jan MakKafferti believes that although many finsektorah visible signs of failure of the most difficult period, however, conditions remained difficult, particularly for banks. The increasing level of bad debts caused further concern, - he said.
Significant improvement in attitudes was noted in the insurance segment on a background of expectations of growth of profits and investment management. However, banks' volume of business over the past three months fell to the highest value since 1991.
The banking industry of Great Britain shows a further decline in confidence, but the rate of fall slowed down - said the representative of PwC, John Hitchins. Banks are not sure which will come to an end correction value of the assets, he added.
The study, conducted from 20 May to 3 June, was attended by 73 finance companies. CBI represents about 240 thousand companies, which accounted for about one-third of employees in the private sector of the British.
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