Significant portion of print companies ‘bewildered’ in current landscape says BPIF

Looming negotiation deadlines, intensified political manoeuvring and heightened uncertainty surrounding Brexit has led to sheer bewilderment within a significant proportion of the UK printing industry according to the BPIF on release of its latest Printing Outlook survey results.

In a statement the BPIF said diverse attitudes and outlooks do still exist but confidence has crashed through the floor. “Both our Brexit Barometers have had to be re-scaled to account for nose-diving confidence levels - regarding the outlook for the UK economy during the Brexit negotiation period, and following UK withdrawal from the EU. The barometer for during negotiations has exhibited a dramatic decline in Q4. In comparison to last quarter, fewer respondents (7%) are now ‘somewhat confident’ regarding the outlook for the UK economy; down from 18% in Q3. One-third (33%) are currently ‘neither confident nor unconfident’, up slightly from 31% previously. Almost two-fifths (38%) are ‘somewhat unconfident’; down from 42% in Q3. However, no respondents are in the ‘very confident’ category and 22% have now selected the ‘very unconfident’ category (up from 8% in Q3). “Domestic political squabbling, a lack of negotiation progress and the increased propensity for a ‘no-deal’ situation has ridden roughshod over business hopes that the Government would allay their concerns, clarify details on its negotiation position, make some progress with the EU and seek to minimise the uncertainty in the political and economic environment.” Kyle Jardine, BPIF research manager, said: “There’s just no getting away from Brexit, and the industry will be hoping that the current political manoeuvres don’t put the kibosh on the end-of-year seasonal boost. New questions to our survey have helped us pick-up that the printing industry is most concerned about further general cost inflation, the impact of both tariff and non-tariff barriers and labour shortages. There are also supply chain concerns - as a result a certain degree of targeted stockpiling has begun. On that latter point BPIF chief Executive Charles Jarrold, added: “Stockpiling is not something all companies will have the desire, space or cash for, however it is prudent to be knowledgeable about the origins of supplies, the logistical path those supplies take and what measures suppliers are taking to maintain the security and efficiency of the supply chain. We have ramped up our Brexit-related advice - I urge the industry to visit britishprint.com to access this information” Figures from the latest Printing Outlook survey however, showed 44% of printers polled increased output levels in the third quarter of 2018. A further 33% held output steady whilst 23% experienced a decline in output. The resulting balance (the difference between the ups and the downs) was +21 - a significant turnaround on the -2 recorded in Q2 and just below the Q3 forecast of +23. 55% of respondents predicted they would increase output levels in Q4, a further 27% expected output levels to hold steady.