It’s been a rocky ride for British public companies, with profit warnings shooting up to levels not seen in years.
Fresh figures from EY show 59 UK-listed firms sounded the alarm in the second quarter, up 20% from the start of the year, as a wave of geopolitical squabbles and trade tensions rattled the boardrooms.
What’s really spooking business?
Almost half of these warnings directly blamed global political uncertainty, compared to just 4% a year ago, with new US tariffs announced by the Trump administration in April caused a noticeable spike, with companies like TT Electronics sounding the alarm in April and Clarksons feeling the pinch in early May.
It’s not just trade trouble; internal UK pressures like rising payroll taxes and minimum wage hikes are squeezing margins further.
Retailers and industrial service providers are among the hardest hit, while layoffs continue to mount, especially in retail and hospitality.
With contract cancellations and delays at record highs, analysts say businesses now have little choice but to plan for the unexpected, staying agile in a world where uncertainty seems here to stay.