New official statistics show the South East, including Kent, had the highest proportion of single-site businesses raising prices in March 2025, while worker shortages ease across most regions.
The Office for National Statistics has released fresh data showing how businesses across different parts of the UK are coping with changing economic conditions. The figures paint a mixed picture for the South East region, which includes Kent.
Price Pressures Hit the South East Hardest
March 2025 saw the South East recording the highest proportion of single-site businesses raising their prices anywhere in the UK. About 13% of these firms increased the cost of goods or services they sold, compared to the national average of 11%.
This puts extra pressure on household budgets across Kent. When local businesses face higher costs, those increases often get passed on to customers through higher prices for everything from meals out to home repairs.
But it’s not all bad news for the region’s economy.
Worker Shortages Ease Considerably
The South East now has the lowest rate of worker shortages in the country. Only 5% of single-site businesses reported staffing problems in early April 2025 – much better than Scotland’s 8%, which was the highest nationally.
This represents a major improvement from previous years. Between April 2024 and April 2025, all UK regions except Scotland saw their worker shortage problems decrease.
The easing labour market could mean more job opportunities for Kent residents, though it might also reduce workers’ bargaining power for pay rises.
Turnover Troubles Continue
Across the UK, more than one in five single-site businesses – that’s 22% – saw their turnover drop in March 2025 compared to February. While specific Kent figures aren’t available, this national trend suggests many local firms are still struggling with reduced sales.
The ONS warns these statistics are still experimental and should be interpreted carefully. The data comes from their Business Insights and Conditions Survey, which tracks economic conditions across different regions.
Recent months have shown some stabilisation after earlier volatility, but businesses clearly face ongoing challenges with fluctuating demand and tight profit margins.
Source: @ONS
Key Takeaways
- South East businesses are raising prices more than anywhere else in the UK
- Worker shortages have eased with the South East now having the lowest rate nationally
- Over one in five UK businesses reported falling turnover in March 2025
What This Means for Kent Residents
Kent households should prepare for continued upward pressure on local prices, as the region’s businesses face the highest rate of price increases in the country. However, the improving jobs market could provide more employment opportunities for those seeking work or looking to change careers. Local businesses, especially small single-site operations, should use this data to benchmark their own performance against regional trends and consider whether current pricing and recruitment strategies remain competitive in the changing economic landscape.