North West business owners are maintaining strong confidence in their growth prospects over the next 12 months, even as they navigate mounting concerns about potential tax rises, rising employment costs and economic uncertainty, according to new research from S&W's Business Owners Sentiment Survey (The BOSS Report).

The survey of 500 UK business owners across companies with annual turnovers from £5m to £500m or more—including 50 respondents from the North West—found that an "overwhelmingly" optimistic 94 per cent of North West business owners expect their business to grow over the next 12 months. Of these, 62 per cent anticipate significant growth, while a further 32 per cent expect modest growth.

Growth Outlook Amid Policy Uncertainty

In the North West specifically, half of business owners surveyed (50 per cent) said they would consider relocating their business abroad if taxes are increased further. Additionally, 66 per cent of North West respondents indicated they would be deterred from starting a new business if higher capital gains tax rates are introduced.

Despite these tax concerns, 56 per cent of North West business owners believe the UK is becoming a more attractive place to start, grow and own a business than it was a year ago—a finding that suggests underlying confidence in the broader environment, even if policy remains uncertain.

Donna Bulmer, regional managing partner at S&W, commented: "Business owners across the North West are showing remarkable confidence in their growth prospects despite a challenging operating environment. The fact that over six in ten business owners expect significant growth over the next year demonstrates the ambition that continues to drive the region's economy."

Operating Pressures: Costs, Skills, and Geopolitical Risk

North West business owners identified three equally pressing challenges currently being faced by businesses in the region, each cited by 34 per cent of respondents: global political uncertainty, higher employment costs, and labour or skills shortages.

Business rates rises were flagged by 32 per cent of respondents, while 26 per cent highlighted increased costs of raw materials and goods as a significant concern.

Bulmer added: "Businesses are navigating a complex mix of pressures, from workforce challenges and rising employment costs through to ongoing geopolitical uncertainty. Organisations are having to work harder than ever to attract talent, manage costs and maintain competitiveness."

Support for Greater Local Control Over Tax

The research also found strong support for greater local decision-making. A substantial 70 per cent of North West business owners surveyed said that giving regional and local government greater control over local taxes would make them more likely to invest, expand or create jobs in their area.

The survey underscores a tension between growth confidence and operational constraints. Business owners are optimistic about market prospects, while facing ongoing pressures from employment costs, skills challenges, and policy uncertainty.

Bulmer concluded: "The North West has a long history of innovation, enterprise and business success. Ensuring that businesses have the confidence and support to invest for the future will be vital if that momentum is to continue and translate into sustained growth and job creation across the region."