Business confidence up slightly at the start of 2026

© CBS
Business confidence has risen to -1.8 in the first quarter of 2026. Confidence has improved the most in the car trade and repair sector and the information and communication sector. Half of firms reported that their ability to pass on cost increases was limited or non-existent. This is reported by Statistics Netherlands (CBS), the Dutch Chamber of Commerce (KvK), the Economic Institute for Construction and Housing (EIB), the Dutch Organisation for Small and Medium-Sized Enterprises (MKB-Nederland) and the Dutch Employers’ Organisation (VNO-NCW) on the basis of the Netherlands Business Survey.

The rise in business confidence comes as businesses say they are less negative about the current economic situation and future outlook. Business confidence is now above average (the average level since 2012 is -3.7) and stands at its highest level since early 2022. Nevertheless, the figure is still slightly negative.

Largest improvement in car trade and repair sector

Business confidence rose in nine sectors of the economy and fell in three. It improved the most in the car trade and repair sector, shifting from negative to positive. Sentiment also turned positive in the retail trade and construction sectors. Firms in the information and communication sector are the most positive. Meanwhile, sentiment was the most negative in agriculture, forestry and fisheries, in transportation and storage and in accommodation and food services.

Half of firms have difficulty passing on higher costs

Nearly all companies (94 percent) reported rising costs. 82 percent of them indicated that staffing costs were one of the (two) main factors, while 29 percent mentioned the cost of raw materials and other inputs. Relatively few firms mentioned the cost of energy, transport and logistics, or housing costs.

Half of firms indicated that their ability to pass on cost increases to customers was limited or non-existent. The same was true in January 2023 and January 2024. Firms are the least likely to pass on cost increases to customers in the real estate activities sector and the agriculture, forestry and fishing sector. Just under half (46 percent) are able to do this in full or to a great extent. Businesses in the construction sector are usually able to pass on higher costs. In the car trade and repair sector and business services sector, more than half of businesses are able to do so.

Around two-thirds of businesses made a profit in 2025

Like last year, around two-thirds of firms reported having made a profit in 2025. Around 12 percent reported making a loss. Just over 13 percent made no significant profit or loss and the remaining 7 percent did not know (yet).

The proportion of businesses in profit in 2025 was the highest in the wholesale and commission trade, at 77 percent. It was lowest in culture, sports and recreation, at 50 percent. In real estate rental and trade, the proportion of firms that made a loss in 2025 was the lowest (0.5 percent), and it was highest in in transportation and warehousing (24 percent). Compared to last year, the proportion of firms in the retail sector that were in profit increased by the most - from 48 percent to 63 percent. The accommodation and food services sector and transportation and warehousing sector saw the largest declines.

Sources

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