Confidence is down among leasing professionals
across Europe, despite the majority expecting increased new
business in the first half of the new year, according to
Leaseurope.

Together with equipment leasing and asset
finance consultancy Invigors EMEA, Leaseurope has published results
of the December 2011 European Business Confidence Survey.

The joint survey measures the expectations of
European leasing professionals over the coming six months and is a
continuation of the confidence survey run by Invigors since
2008.

Participants were asked their predictions for
the future performance of their business in terms of volumes,
margins, bad debt and net profit, as well as the level of
competition and M&A activity, future expenses, and the expected
availability of capital.

Despite signs of caution in those surveyed,
54% still expect new business volumes in the first six months of
2012, a significantly higher figure than recorded in the April 2009
survey during the midst of recession.

Similarly, 49% of participants forecast that
their business’s net profit will grow, and 43% anticipate margins
will increase in the next six months, nearly double the 23%
recorded in the previous two surveys.

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Invigors EMEA partner Richard Ryan said
business sentiment in the European asset finance industry is far
more negative since the previous survey. “Given the turmoil in
global markets over the past year resulting from the Eurozone debt
crisis and on-going concern about the future, it was inevitable
that the impact from this would be felt within the European asset
finance industry too.”