Local businesses across south and mid Wales are increasingly pessimistic about the year ahead, according to fresh data from Chambers Wales’ South East, South West and Mid (SESWM) region. The quarterly survey of member organisations reports that a substantial share expect profits to decline and that trade — both domestic and overseas — has fallen in recent months.
Key findings from the SESWM members’ survey
The survey shows that a notable portion of members foresee tougher trading conditions over the coming 12 months. Among the headline figures:
- 38% of respondents said they believe profitability will worsen in the next 12 months.
- 80% reported they are not currently operating at full capacity; of these, 52% attribute this to a lack of orders.
- 42% have seen trade and bookings drop over the past three months.
- 45% reported a reduction in overseas sales and bookings, and half of export orders have decreased.
- 57.5% described the economic outlook for Wales as negative for the next 12 months.
| Measure | Share reporting decline |
|---|---|
| Expected profitability | 38% |
| Not at capacity (due to lack of orders) | 52% of 80% |
| Domestic trade/bookings down | 42% |
| Overseas sales/bookings down | 45% |
| Negative economic outlook | 57.5% |
Reaction from Chambers Wales
Chambers Wales’ chief operating officer commented on the findings, linking the results to a mixture of global and domestic pressures.
“These survey results are concerning but not that surprising, as we are seeing the results of economic unrest due to various wars, instability in government and a general increase in the overall cost of living and employing all take their toll.”
She highlighted members’ call for stronger support on business costs, noting that more than half of respondents identified energy, tax and business rates as areas where Welsh Government could do more.
What this means locally
For Carmarthenshire firms — many of which are small and medium-sized enterprises — the survey underlines a fragile outlook. Reduced orders and falling export bookings can quickly translate into lower staffing levels, deferred investment or curtailed expansion plans. The data also suggests untapped capacity: while 80% say they are not at capacity, more than half of that group cite insufficient demand rather than resource limits.
Local business groups and elected representatives will likely point to these figures when discussing support measures. For business owners, the survey provides a prompt to review cashflow, diversify markets where possible and make early contact with local business support services if they face immediate cash or staffing pressures.
Chambers Wales intends to use the survey to inform its advocacy with the Welsh Government on issues such as energy costs, taxation and rates — areas highlighted by members as priorities for assistance.
Further detailed results were provided to members and will inform Chambers Wales’ policy discussions in the coming months.
