Quarter of small firms fear they cannot sustain financial shocks, survey finds

Entrepreneur calculation and reviewing investment plan. Small businesses saw their wage bills surge by 14% at the end of last year in a sign of ongoing cost pressures across the sector, a report has shown. (Alamy/PA) -

Small firms are struggling to grow fast enough to meet consumer demand, with a quarter worried that they do not have the strength to survive financial shocks, according to new research.

The survey by HSBC revealed the prospects for small and medium enterprises (SMEs) are being hampered by business and borrowing costs.