Nearly half of all IT and communications SMEs in the UK are planning to increase their savings pots in the wake of the Brexit vote.
According to research from the Hampshire Trust Bank, 45 per cent of small to medium sized comms and tech firms say they plan to increase their cash reserves to provide insurance against any financial turbulence caused by the decision to leave the EU.
The figure is higher than the 38 per cent average across all sectors.
The IT and comms industry already has the second highest rates of savings for SMEs across all sectors.
The report revealed that tech companies hold an average of £804,000 in their savings accounts, second only to the £1 million average held by accountancy firms and significantly higher than the £556,000 national average.
The average amount held by SMEs in savings accounts has doubled since last year.
One explanation for the increase is that businesses are concerned they will struggle to attract investment in the coming years as investors become more cautious post-Brexit.
However, Stuart Hulme, Director of Savings at Hampshire Trust Bank, said an increase in business savings generally could actually be a boost to sectors like IT and comms where businesses anticipate the need for cash to invest going forward.
He said: “The benefit of making use of savings accounts is not only the interest rate return you get as a business, but also the knowledge that the money is being lent on to SMEs looking to grow, delivering double value and supporting investment in the UK.”
