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UK Finance Chiefs Maintaining Higher Cash Reserves Rather than Reinvesting

UK Finance Chiefs Maintaining Higher Cash Reserves Rather than Reinvesting

Like financial executives around the world, a number of UK CFOs are holding onto higher levels of cash than normal at the expense of reinvesting into the business, according to a new survey conducted by Robert Half Management Resources.

The Director of

Like financial executives around the world, a number of UK CFOs are holding onto higher levels of cash than normal at the expense of reinvesting into the business, according to a new survey conducted by Robert Half Management Resources.

The Director of Finance Online reports the survey found 31 percent of finance chiefs in the UK were holding onto larger cash reserves, with four out of every 10 surveyed saying it has proven difficult to secure credit and finance.

Ashley Whipman, director of the UK unit of Robert Half Management Resources, noted in the study that it was "not surprising" that finance chiefs are stockpiling cash amid economic uncertainty around the world.

"Cash flow is clearly a concern for many CFOs and with four in 10 companies planning to increase investments in the next 12 months, it is essential that companies have a clear financial strategy to maximize returns during this era of uncertainty," Whipman added.

The Robert Half report comes on the heels of a recent survey conducted by CFO Magazine, which found U.S. finance chiefs have increased their cash holdings by an average of 3 percent in the past year over global economic concerns.