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UK business confidence hits highest since March, Lloyds says - Finance news and analysis from Global Banking & Finance Review
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UK business confidence hits highest since March, Lloyds says

Published by Global Banking & Finance Review

Posted on August 27, 2026

2 min read

· Last updated: August 27, 2026

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UK Business Confidence Surges to Highest Level Since March, Lloyds Survey Finds

Business Confidence Reaches New Highs in August

Survey Overview and Key Findings

LONDON, Aug 28 (Reuters) - British businesses turned the most confident since March this month, bolstered by a rosier view of the economy, according to a survey that echoes other signs of an improving outlook.

Lloyds, a bank, said on Friday that its monthly business confidence index had risen by 4 points in August to +53%, above its average +47% over the past 12 months.

Comments from Lloyds Leadership

"Overall, businesses are reporting stronger customer demand, greater optimism about the wider economy and growing confidence in their own trading outlook, all of which will be helping to support investment and growth plans," Amanda Murphy, chief executive of Lloyds Business and Commercial Banking, said.

Detailed Survey Results

Economic Optimism and Trading Outlook

• Optimism about the wider economy rose 7 points to +49%, well above its 12-month average of +37%

• Businesses' own trading outlook rose 2 points to +58%, slightly above its 12-month average of +56%

Pricing and Market Trends

• The percentage of firms planning to raise prices in the next 12 months fell to its lowest since 2022, dropping 3 percentage points to 51%

• S&P Global data last week showed the fastest growth for British businesses in six months, adding to other positive signs

Survey Methodology

• Lloyds data was based on an Ipsos survey of 1,200 British companies with annual sales of at least £250,000 ($340,000)

($1 = 0.7363 pounds)

Reporting Credits

(Reporting by David MillikenEditing by William Schomberg)

Key Takeaways

  • Business confidence rose 4 points in August to +53%, above its 12‑month average of +47% (Lloyds survey)
  • Optimism about the wider economy jumped 7 points to +49%; trading outlook edged up to +58%, both above their 12‑month averages
  • Firms planning price rises fell to their lowest since 2022 (51%); S&P Global flash PMI shows growth momentum building, services at six‑month high (~0.3% Q3 GDP pace)

Frequently Asked Questions

What does the latest Lloyds survey reveal about UK business confidence?
The Lloyds survey shows UK business confidence has risen by 4 points to 53%, its highest since March and above the 12-month average.
What factors contributed to the increase in UK business confidence?
Stronger customer demand, greater economic optimism, and improved trading outlook contributed to the rise in confidence.
How does UK business optimism compare to previous months?
Optimism about the wider economy rose 7 points to 49%, surpassing its 12-month average of 37%.
Are UK businesses planning to raise prices in the coming year?
The percentage of businesses planning to raise prices fell to 51%, its lowest since 2022.
What type of businesses were surveyed by Lloyds for this report?
The survey included 1,200 British companies with annual sales exceeding £250,000.

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