Confidence among British businesses in Singapore has climbed over the past year, fuelling strong investment plans. According to the latest Business Sentiment Survey from the British Chamber of Commerce (BritCham) Singapore, this optimism persisted even as companies navigated key operational challenges related to costs and manpower.
The survey showed Singapore’s business climate rating rising to 64/100 from 58 in 2024, with 95 per cent of firms expressing confidence in Singapore’s long-term future as a business centre. This positive sentiment was underpinned by solid business performance, with firms reporting a net growth in sales of 6 per cent and in orders of 5 per cent.
Looking ahead, this momentum is set to continue, as 58 per cent of companies have definite plans to expand their investments here in the next one to three years.
A clear view on challenges
While the overall sentiment was strong, the survey provided a realistic look at the hurdles on the ground. The top three business challenges cited by respondents were the general cost of doing business, with staffing costs being a particular pressure point, the availability of manpower, and difficulties in obtaining employment passes.
The data quantified this friction. More than half of the businesses were currently or recently hiring. Of this group, 13 per cent experienced being unable to secure a necessary employment pass, and 9 per cent of all respondents reported being unable to find the talent they needed. For local senior management roles, “critical thinking” remained a key skills gap.
Investment in a resilient hub
Despite these pressures, Singapore’s stable regulatory environment, cultural and language alignment, and tax and financial incentives remained powerful draws.
The Republic stayed markedly above its United Kingdom, United States, and ASEAN peers among BritCham members, while maintaining a competitive standing when compared with the Middle East, China, and Australia/New Zealand, the survey revealed.
British companies, which employed a majority of Singapore citizens and permanent residents (65 per cent), were actively engaged in upskilling and leadership development programmes to build a resilient talent pipeline and address skills gaps.
David Kelly, executive director of BritCham, concluded: “This survey reinforces Singapore’s enduring strengths as a trusted business hub. It also highlights how British companies are deeply embedded in Singapore, contributing not only to its economy but to the growth and training of local talent.”
