Business confidence has fallen sharply for the fourth quarter in a row, according to the Institute of Chartered Accountants in England and Wales (ICAEW).

Pessimism about the future is highest in the property, banking, finance and insurance sectors, according to the  ICAEW’s latest quarterly survey of nearly 1,000 chartered accountants.

The overall confidence index declined to -19.7 from -7.2 in the previous quarter, compared to +11.5 a year ago. The index for the property sector now stands at -47, its lowest ever recorded level.

Confidence has dropped across all regions of the UK, but the North-West, Scotland, London, and Wales are particularly pessimistic.

Michael Izza, ICAEW chief executive, says: "Nowhere in the UK is business immune to the fall-out from recent issues in the global financial markets.

“Significant domestic developments such as falling house prices only
reinforce the concerns."