PwC: Managers split over Brexit’s impact on industry

PwC: Managers split over Brexit’s impact on industry

Fund and wealth managers have shown themselves to be torn over the impact of Brexit on their businesses, with a significant number feeling more pessimistic, but a sizeable minority believing it will be the catalyst for new opportunities.

Some 72 per cent of asset and wealth manager respondents to the latest CBI/PwC quarterly financial services survey said they were feeling more pessimistic about their businesses in August than three months previously.

Firms are putting product launches on hold after the referendum result, with no respondents reporting new product plans in August, down from a quarter who said in May they were planning new launches.

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But the uncertainty about the financial future of the UK could be good news for organic growth activities, with more than three-quarters expecting to retain customers over the next three months, and 27 per cent expecting new ones.

Meanwhile, 40 per cent said they saw Brexit as a chance to accelerate “transitional change”, with a similar proportion believing the UK’s exit from the EU will encourage innovation and competition.

PwC’s Mark Pugh said: “The result undoubtedly shook investment markets, but there has been a turnaround since then and firms are beginning to return to normal and view the UK’s decision as a challenge.”