• Swindon & Wiltshire Economy
• Wednesday April 22 2026

Two-in-five Thames Valley firms plan price rises in next quarter

Two-in-five businesses in the Thames Valley intend to increase their prices in the next three months, as they battle rising costs of their own.

The results of the Thames Valley Chamber of Commerce quarterly economic survey suggests 41 per cent of businesses will put up prices between April and June.

Fifty seven per cent, though, will freeze their prices. Only two per cent of businesses plan to offer customers lower prices.

The biggest factor price rise pressures facing Thames Valley businesses were labour costs (58 per cent), utility bills (31 per cent) and finance costs (18 per cent).

Fifteen per cent of respondents said cited fuel as a price pressure, although the bulk of the research was done between February 9 and March 9, before Donald Trump’s war with Iran sent prices spiralling.

The biggest factor affecting businesses was taxation (39 per cent) closely followed by inflation (33 per cent), competition (29 per cent) and business rates (25 per cent).

The survey showed that turnover had increased for 68 per cent of firms, but only 58 per cent had seen profitability increase.

when it came to jobs, 28 per cent said they had increased their workforce in the past three months, and 12 per cent had seen a decrease.

Thirty six per cent said they expected their workforce to increase over the next three months, and only five per cent said they intended to make cuts.

Domestic sales were up for 40 per cent of respondents while 36 per cent saw orders climb. For exporters, 72 per cent saw sales remain constant, and 77 per cent saw orders remain constant.

Paul Britton, chief executive of Thames Vally Chamber of Commerce, said: “It is clear that businesses across the Thames Valley continue to demonstrate resilience in the face of ongoing economic pressures.

“Encouragingly, many firms report increases in UK sales and orders, reflecting a degree of underlying strength in domestic demand.

“However, this optimism is tempered by persistent challenges. A significant proportion of businesses continue to operate below full capacity, while recruitment difficulties, particularly for skilled roles, remain a key constraint on growth.

“At the same time, cost pressures, especially from utilities, labour, and raw materials, continue to weigh heavily on business confidence.

“Looking ahead, businesses anticipate further price increases in the coming months, underlining the ongoing inflationary environment. While some firms are maintaining or increasing investment, uncertainty around interest rates, taxation, and broader economic conditions
continues to influence decision-making.

“These findings highlight the need for sustained and targeted support to enable businesses to grow, invest, and compete effectively.”

Darren O’Connor, a partner at number-cruncher James Cowper Kreston, said: “The overall message is one of cautious stabilisation, but with confidence still quite fragile.

“Demand remains mixed. Many businesses are still reporting flat or subdued sales, although there are early signs that conditions may be bottoming out rather than deteriorating further.

“Cost pressures continue to dominate. Labour costs remain the single biggest concern, driven by skills shortages and ongoing regulatory change, and firms are still facing pressure from rising staff costs due to the NLW/NMW and employers’ national insurance increases.

“Employment intentions remain relatively positive on paper, with businesses still looking to recruit, but recruitment difficulties persist — particularly for skilled, technical, and managerial roles.

“In practice, this continues to act as a strain on growth rather than a catalyst for it.

“Investment remains cautious. Many firms are holding back on major capital decisions, reflecting ongoing uncertainty about demand, costs, and the broader economic outlook.

“So overall, Q1 shows resilience rather than momentum — businesses are adapting and holding their ground, but a sustained recovery will depend on easing cost pressures and a genuine improvement in demand as we move through 2026.”