ISME: Inflation figure masks picture for business
10/02/2005 - 14:29:55ISME the Independent Business Organisation has welcomed the reduction in inflation from 2.6% to 2.3%, but expressed concern that the official figure is masking increasing costs to business.
ISME Chief Executive Mark Fielding said smaller businesses have been faced with, on average, 10% increases in production costs over the last 12 months, more than four times greater than the official inflation rate.
This is having a detrimental impact on the performance of many companies, particularly those in manufacturing who cannot afford to pass on the costs due to intense competition, he said.
