UK Government borrowing too high says BVCA survey

Members of the British Venture Capital Association (BVCA) believe the level of UK Government borrowing is too high. In the BVCA’s latest quarterly survey, 78% of the 165 respondents felt that public borrowing was either “too high” (20%) or “somewhat too high” (58%). Just 22% thought the level was about right and nobody believed it was too low.

The survey also showed that a large portion of the industry (41%) are indifferent to the efforts by the Labour administration to encourage an entrepreneurial environment. Three per cent though the encouragement was very good, 22% good, 30% poor and 4% very poor.

It was a similar story when assessing the Government’s attempts to promote a dynamic business environment. Just 2% think it is very good, 15% good, 39% neither good nor poor, 37% poor and 8% thought very poor.

Looking at their own business more specifically, 67% of respondents felt the business environment over the past three months has been fairly favourable for their company, and 68% thought the business environment would remain the same over the coming quarter.

In terms of fund raising, 37% thought the fund raising environment has been neither favourable or unfavourable over the last three months, with 36% calling it fairly favourable and 18% fairly unfavourable.

Sixty-seven per cent of respondents believe the fund raising environment will remain the same over the next three months.