Danny McCance 14 Nov 2017 12:48pm

European CFOs gaining confidence

Optimism about the future is high among European CFOs, with 69% confident that their firms will increase revenue over the next 12 months

The Deloitte European CFO Survey found that attitudes towards future prospects shifted in the third quarter, with 43% saying they are more optimistic about their company prospects now than three months ago, up from 38% in Q1.

This figure is higher among CFOs in the Eurozone at 73%, compared to 63% for non-euro countries.

There has also been a slight downward shift in the number of CFOs that feel less optimistic about their prospects than they did three months ago, dropping to 11% from 13% in Q1.

More than half of CFOs (52%) still reported high levels of uncertainty, but this is down from 61%, which marks the lowest figure since Q1 2015.

The survey also included good news on employment, with the number of CFOs who would increase their number of employees rising to 38% from 34% in Q1.

Despite the increase in optimism over future revenues and the possible effects of uncertainty, risk appetite remained unchanged. Only a third (33%) agreed that now was a good time to take on additional risk, the same as in Q1.

This is in stark contrast to business confidence in the UK. In August, the ICAEW business confidence monitor found that the index had moved into negative territory, falling to -6.7 in Q3 – down from 8 in the previous quarter.