Market Update: We break down the business implications, market impact, and expert insights related to Market Update: IN NUMBERS: Almost two-thirds of businesses are “pessimistic” about Jersey economy – Full Analysis.
Almost two-thirds of local business leaders feel “pessimistic” about Jersey’s economy, according to a new survey – which also found that 73% anticipate rising costs over the next 12 months.
The Institute of Directors Jersey today published the findings of its third economic confidence survey for 2025.
IoD Jersey chair Alex Ruddy said “the persistent pessimism about the broader economic environment is a warning sign”.
Express took a look at the key findings…
Confidence levels:
- 53.7% of respondents are optimistic about their own organisation’s outlook.
- Only 17% feel optimistic about the Jersey economy, while 63% are pessimistic.
- Net confidence index: -46 for the economy vs +29 for organisations.
- Comparatively, Guernsey stands at -12 (economy) and +40 (organisations), while the UK reports -66 and +4 respectively.
Business outlook:
- 44% expect higher revenues in the next 12 months.
- 73% anticipate rising costs, and 22% foresee reduced investment.
Top challenges:
- Economic conditions, regulatory compliance, and labour costs/availability dominate concerns.
- Skills shortages and uncertainty over government investment also rank highly.
Fiscal deficit strategies:
- Respondents strongly support reducing public sector spending, stimulating economic growth, and reforming government services.
- Additional measures include revising benefits eligibility and replenishing depleted reserves.
The survey, conducted between 20 November and 11 December, gathered responses from 5% of IoD members across all industries.
IoD Jersey chair Alex Ruddy said: “The results of our third survey highlight a clear confidence gap between the outlook for individual businesses and the wider Jersey economy.
“While many organisations remain resilient, the persistent pessimism about the broader economic environment is a warning sign.”
She added: “Ahead of the 2026 elections, we urge policymakers to prioritise fiscal discipline, provide certainty on investment plans, and reduce regulatory burdens. Jersey’s future competitiveness depends on decisive action now.
“IoD Jersey will continue to engage with government and stakeholders to ensure that the voice of business is heard in shaping the island’s economic future.”
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