SMEs under pressure: 2024 one of the toughest years ever
January 2025 - For SMEs, 2024 was a tough year. According to the UNIZO SME Barometer, which recorded a negative score for the thirteenth quarter in a row, we closed with one of the worst results in a decade. Bankruptcies spike, entrepreneurs are pessimistic about the economy and profitability remains a major problem. The outlook for 2025 is lacklustre.
The barometer, based on feedback from 631 entrepreneurs from various sectors, confirms that doing business in Belgium is becoming increasingly difficult. More than half of employment comes from SMEs, but confidence among entrepreneurs is steadily sinking. Without supportive policies, a structural problem is looming, not only for SMEs, but for the whole economy.
Target of criticism
Entrepreneurs are facing rising costs, payment delays and an uncertain economic context, Unizo echoes. Yet they remain under pressure from various quarters. The focus on higher taxes and pension reforms reinforces the perception that the self-employed are a cash cow for budgetary problems. In addition, the discussion around wage increases is growing, despite clear signals that the economic situation does not allow for this.
The self-employed also experience that they are disproportionately targeted for criticism. While employees' pensions are rising faster than those of the self-employed, rising spending on self-employed pensions is presented as a problem. This creates a negative atmosphere in which the risks and efforts of entrepreneurs are overlooked.
Reform now
The need for reform is greater than ever, says Unizo. A structural approach to economic challenges can no longer wait. Entrepreneurs are essential for economic growth and employment. Only by giving them the right support can the tide be turned and make 2025 a year of recovery.
