Almost a third (32%) of UK family businesses do not have succession plans in place for key senior roles, according to research from professional services firm PwC.

However, the research shows that the UK is ahead of many of its international counterparts with 39% of US firms, 51% of Canadian ones, and around 60% of those in Italy and France, failing to make any succession plans.  

Germany remains the main exception to the rule, where half of firms have succession plans for every senior executive role.

Michael Rendell, head of HR services at PwC, says: “Skills shortages are currently a huge problem for all employers but for family firms, fighting the war for talent is arguably more challenging.  Smaller businesses have fewer resources to throw at training or marketing, for instance. It’s a vicious cycle, as improving skills often requires funding that firms don’t have right now, yet without vital labour businesses will find it hard to move out of the doldrums.”