Moving house is often described by those who have experienced it as the most stressful time during their lives. The upheaval of your life and the need to pack up all your belongings and sometimes, relocate to a completely different part of the country, is understandably, a fairly hefty challenge.

Despite this, it hasn’t stopped people moving home throughout their lives, either to upsize, downsize of relocate for a new job. That is, until now. A recent study that was based on census data over a 40 year period has revealed that both renters and homeowners are much more likely to stay put than they were during the 1970s.

So, what is driving this resistance to relocate?

The research seems to have revealed a pattern of social change and seems to further indicate a slowing down in social mobility.

A fall in upsizing and downsizing

Back in the 70s, it was much more common for people to progress in different directions on the property ladder. That is, either moving up it to bigger and better housing or in a downward direction by downsizing. During the 70s, 55% of people would move over the course of a decade, but by the 2000s this number fell significantly to 45%.

An aging population

There is also speculation that a fall in the number of people choosing to move house and relocate could be thanks to an aging population that continues to grow. Considering the fact that people now live, on average, for a decade longer than they did during the 70s, this conclusion would seem to make sense.

The lack of affordable housing

It’s no secret that the UK is currently being blighted by a severe lack of affordable housing, something that the Prime Minster is desperately trying to address. With house prices continuing to rise also, there is much less choice and availability for those with dreams of relocating, causing many people to choose to stay put.

Job insecurity 

There is certainly more than one factor contributing to a rise in job insecurity in the UK. The rise in automation, the uncertainty of Brexit and the pressure for businesses to remain productive in an ever-changing economic landscape are just the tip of the iceberg. Feeling insecure in job roles could be contributing to people staying in their homes and commuting longer distances instead of relocating for work. 

Finance responds to what’s happening on the global stage. Many small businesses live in fear of worldwide currency fluctuations, which can have a detrimental impact on imports and exports and ultimately threaten their all-important bottom line. If your business relies on trading with other nations or securing financial support from overseas, you are at the mercy of circumstances outside of your control, often dictated by factors such as political instability and economic pressure. Let’s take a closer look at some of the ways your SME could be affected by fluctuating currency rates and ways to obviate this risk.

Dominant Currency Threats to SMEs

Only purely domestic companies ever truly escape the risk of currency fluctuation. However, many businesses nowadays, particularly smaller companies, rely on a combination of domestic revenue and overseas revenue. Having multiple revenue streams opens you up to risk when currencies start to fluctuate, as the exchange rate is not always in your favour. If your products are imported from overseas and sold in the UK, you are at risk. If your business exports overseas while manufacturing in the UK, you are also at risk. This is one of the reasons why Brexit has proven so divisive to business owners, as even a small drop in the value of the Pound Sterling relative to the Euro could have devastating consequences. Small businesses rarely have the buffer zone in place which larger companies rely upon, and when your profit margins are already tight, this can be difficult to get around.

In another scenario, you may have investors overseas and find you lose some of the value of their investment in an unfavourable exchange rate. Few companies have zero risk as a result of currency fluctuation.

Taking Stock of Your Risks

Whilst it’s impossible completely safeguard your business from these risks you can help to lessen them with some clever forward-planning. Begin by creating an inventory of your revenue streams. Perhaps you employ freelancers who you pay in their native currency. Maybe you have a warehouse or stock which is designed overseas. Your activities will have created a certain financial footprint, so list everything you do which is conducted in foreign currency.

Secondly, consider some less than desirable scenarios and how you would handle them. Facing the worst can help you to plan ahead and perhaps find valuable ways of lessening your risk and keeping hold of more of your business profits.