Mood among business services providers deteriorates further

Dutch providers of business services were even more pessimistic in January than in December 2008. For the second month in a row, the number of business services providers expecting turnover to grow was outnumbered by those anticipating a decline in turnover. On balance, 14 percent of providers of business services expected to generate a lower turnover in the next three months, but prices and rates are believed to rise in the three months to come.

Business service providers were more pessimistic about employment in their branch than one month previously. On balance, 19 percent expected to have to reduce staff in the next three months, compared with 16 percent in December 2008.  

The percentage of business services providers experiencing obstruction in their activities because of insufficient demand increased significantly from 9 to 32 percent. On the other hand, only 16 percent indicated that staff shortage constituted an obstacle to their activities.

The mood with regard to the economic climate was more negative than ever. On balance, 54 percent of business service providers labelled the economic climate as negative in January, compared to 49 percent in December. Companies providing business services indicated that turnover remained unchanged in the last three months but that employment in their branch was seriously reduced.