Small business optimism holds ahead of the Christmas season
Confidence among PEI business operators remained stable in November, according to the latest survey data from the Canadian Federation of Independent Business (CFIB). PEI's Business Barometer Index was 63.8, a slight dip from last month's index of 65.6 and virtually identical to the national result of 63.7.
Among the Atlantic provinces, business optimism is highest in Prince Edward Island Newfoundland and Labrador (63.0). The lowest levels of optimism came from New Brunswick (59.1) and Nova Scotia (54.9).
All of this is outlined in the attached Business Barometer for November 2011. The barometer reports on small business expectations and business confidence.
The following are some provincial findings of note:
- The November index for Prince Edward Island dipped slightly from October's 65.6 to 63.8;
- 51 percent of business owners now say the overall state of business is good, an increase from last month's 43 percent, 40 percent say it is satisfactory, and 9 percent say it is bad;
- The main cost pressure on business continues to be fuel and energy, followed by taxes and regulations, insurance and wage costs.
Based on a scale between 0 and 100, an index level above 50 means owners expecting their business' performance to be stronger in the next year outnumber those expecting weaker performance. According to past results, index levels normally range between 65 and 75 when the economy is growing. The national results are based on 861 survey responses in September and are accurate to +/- 3.3 per cent 19 times in 20. Findings are expressed as a rolling average from the last three months in Nova Scotia and New Brunswick and from the last four months in Prince Edward Island and Newfoundland and Labrador.
