Confidence Rises but Biggest Fear is U.S. Economic Slowdown

By Travelex Global Business Payments, PRNE
Monday, September 6, 2010

LONDON, September 7, 2010 - UK importers' and exporters' confidence rose in August but the business
outlook remains challenging, according to Travelex Global Business Payments.
With confidence in an export-led recovery falling for the second consecutive
month, the international payments provider issued a rallying call to UK
manufacturers, calling on them to drive exports through "quality, innovation
and differentiation."

Whilst confidence had risen 7 points in August, Travelex said that fears
of a U.S. slowdown had dented importers' and exporters' expectations, with
the Expectations Index recording its slowest growth since March, moving only
2 points to 105 in August. It underlines importers' and exporters' increasing
concerns that sluggish global growth may suffocate demand for UK exports.

"There are some signs that the UK economy is recovering as data has
recently been much better than expected," comments David Sear, Global
Managing Director at Travelex Global Business Payments. "Private consumption
is increasing, government borrowing is falling and we're importing more and
exporting less. Unfortunately, if the U.S. recovery does falter, it will
affect UK exporters and our third quarter GDP figure. In this kind of
climate, the onus is on UK manufacturing to drive our exports forward."

The index will add to the mounting concern that the U.S. slowdown may
impact the UK's export led recovery. As the U.S. is a critical export market
for the UK, it is likely that ongoing uncertainty in the U.S. will be felt
keenly in the UK and elsewhere in the global financial markets.

Of the importers and exporters interviewed, Travelex Global Business
Payments found that 82% of them cited the health of the global economy as the
biggest threat to their business' development. Sear says, "New reports
suggest that the global recovery is losing traction and this has clearly been
playing on the minds of importers and exporters."

Notes to editors

To receive a copy of the Confidence Index report, please contact

About Travelex Global Business Payments

Travelex Global Business Payments is a global foreign exchange specialist
providing the payment and receipt of domestic and international funds for
businesses of all sizes. For more than 30 years, Travelex Global Business
Payments has provided clients with sophisticated market knowledge, leading
edge technologies and practical and innovative solutions tailored to
individual requirements. Every year, Travelex Global Business Payments
processes payments around the world over 35,000 businesses to 1 million

The Travelex Confidence Index (TCI), released monthly by Travelex Global
Business Payments, provides commentators with a key indicator on
international trade and economic conditions. Conducted by independent
research company TNS-RI, the Travelex Confidence Index tracks the views and
sentiments of the UK's SME importers and exporters across industry sectors
and UK regions. The TCI is the only piece of research available that
regularly tracks the UK's SME importers and exporters. Visit

    Media enquiries
    Jessica Buttress
    Head of PR for Travelex Global Business Payments UK

Media enquiries: Jessica Buttress, Head of PR for Travelex Global Business Payments UK, +44(0)208-415-4204, +44(0)77954-497129, Jessica.buttress at

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