The document presents findings from a 2013 survey of 105 British business leaders, known as Captains of Industry, on topics related to the UK economy, business environment, and culture. Some key findings include: - 93% of Captains believe the UK economy will improve over the next year, though over half estimate significant growth will take 1 year or more. - A majority agree that government regulation is harming the UK economy, with simplifying employment legislation cited as the top area for reduction. - Justin King is viewed as the most impressive British business person currently, the first time he has topped the list.

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Embargoed until 00:01 on Friday 3rd January 2014
Survey of Britain’s
Captains of Industry 2013
Version 1 | Internal Use Only
December 2013
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Version 1 | Strictly

2. 2
Economy and Politics
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3. A majority of Captains (93%) think the economic condition will
improve over the next 12 months
3
C1. Do you think that the general economic condition of the country will improve, stay the
same or get worse over the next 12 months?
General
election
General
election
General
election
General
election
Improve
100
93%
7%
90
80
70
60
50
40
30
20
93%
10
0
Improve
Stay the same
Get worse
Base: British Captains of Industry (105) interviewed Sept-Dec 2013
Get
worse
Year
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© Ipsos MORI Version 1 | Internal Use Only
0%

4. Economic optimism since 1987
4
C1. Do you think that the general economic condition of the country will improve, stay the
same or get worse over the next 12 months?
General
election
General
election
General
election
General
election
General
election
100
General
election
Improve
93%
90
80
70
60
50
40
30
20
10
Get
worse
0%
0
Year
Base: British Captains of Industry
Embargoed until 00:01 on Friday 3rd January 2014
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5. Just over a quarter of Captains see restoring growth in the
economy as the most important issue facing Britain
5
C4. What do you see as the most important issues facing Britain today?
Top mentions
Rebalancing/ stimulating / restoring growth in the economy
27%
Government/deficit/debt
23%
Investment in infrastructure
20%
Unemployment
Inadequate education system/more investment in
education
16%
11%
The Eurozone
10%
International competitivness
10%
Base: British Captains of Industry (105) interviewed Sept-Dec 2013
Embargoed until 00:01 on Friday 3rd January 2014
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6. Only 2% of Captains think that business for their own company
will get worse; the majority (84%) expect improvement
6
C2. Do you think that business for your own company will improve, stay the same or get
worse over the next 12 months?
General
election
General
election
General
election
General
election
100
14%
Improve
90
2%
84%
80
70
60
50
40
30
84%
Get
worse
20
2%
10
0
Improve
Stay the same
Get worse
Base: British Captains of Industry (105) interviewed Sept-Dec 2013
Year
Embargoed until 00:01 on Friday 3rd January 2014
© Ipsos MORI Version 1 | Internal Use Only

7. Company optimism since 1987
7
C2. Do you think that business for your own company will improve, stay the same or get
worse over the next 12 months?
General
election
General
election
General
election
General
election
General
election
100
General
election
Improve
84%
90
80
70
60
50
40
30
20
10
Get
worse
2%
0
Year
Base: British Captains of Industry
Embargoed until 00:01 on Friday 3rd January 2014
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8. The most important problems that Captains face are difficulty
meeting labour demands and government legislation/regulation
C5. And, what are the most important problems facing your company today?
Top mentions
Difficulty meeting labour demands/ recruitment needs/
attracting and keeping staff
18%
Government legislation/ regulation
General economic climate
Internatinal competition/new competitors/ maintaining
competitive position
17%
13%
12%
Base: British Captains of Industry (105) interviewed Sept-Dec 2013
Embargoed until 00:01 on Friday 3rd January 2014
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9. Captains continue to agree that in the long term the government’s
policies will improve the state of the British economy
9
C3. To what extent do you agree with the following statement? In the long term, this government's
policies will improve the state of the British economy
General
election
General
election
General
election
100
8% 1%
21%
9%
General
election
90
80
70
Agree
83%
60
50
40
62%
30
Disagree
9%
20
Strongly agree
Tend to agree
Neither agree nor disagree
Tend to disagree
10
0
Strongly disagree
Base: British Captains of Industry (105) interviewed Sept-Dec 2013
Year
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10. Captains would like the government to invest in the
infrastructure and reduce taxation
10
C104. What steps, if any, would you like to see the Government taking to help restore
growth in the UK economy?
Top mentions
Investment in infrastructure
23%
Reduce taxation
18%
Reduce / simplify regulation/bureaucracy
14%
Investment in education/skills/ training
10%
Reduce public services spending/debt
Encourage longer term planning/strategy/stability/consistency
Coherent/consistent energy policy/deal with energy issues
9%
8%
7%
Base: British Captains of Industry (105) interviewed Sept-Dec 2013
Embargoed until 00:01 on Friday 3rd January 2014
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11. Most Captains (82%) believe the UK is currently an attractive place
to invest
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C3. To what extent do you agree or disagree with each of the following statements?
The UK is currently an attractive place to
invest
Strongly agree
Tend to agree
19%
Neither agree nor disagree
63%
Tend to disagree
Base: British Captains of Industry (105) interviewed Sep-Dec 2013
Embargoed until 00:01 on Friday 3rd January 2014
© Ipsos MORI Version 1 | Internal Use Only
12% 5% 1%
Strongly disagree

12. The USA remains the best environment for business with China
perceived as the most attractive for investment
12
C42. In the current climate, which of the following countries do you believe offers the best environment
for business?
C43. Which of the following countries do you believe are the most attractive for investment?
Top mentions
2013
52%
USA
34%
25%
UK
Brazil
9%
1%
Canada
India
Middle East
Mexico
3%
4%
Africa
Canada
1%
1%
Best environment
6%
14%
8%
7%
India
17%
6%
2%
4%
2%
10%
Middle East (net)
7%
4%
4%
2%
3%
Germany
4%
2%
3%
China
23%
1%
Africa (net)
5%
Base: British Captains of Industry (105) interviewed Sept-Dec 2013
2%
23%
1%
3%
Base: British Captains of Industry (103) interviewed Sep-Dec 2012
Embargoed until 00:01 on Friday 3rd January 2014
© Ipsos MORI Version 1 | Internal Use Only
Most attractive
3%
2%
Mexico
0%
Best environment
4%
Most attractive
1%
1%
China
17%
UK
Australia
4%
Germany
45%
USA
Brazil
7%
Australia
2012

13. The construction sector is seen as having the greatest potential for
growth with the mining/minerals and natural resources sector having the
13
least
C44a In which one or two of the following sectors do you see the greatest potential for growth in the
UK over the next 12 months?
C44b In which one or two of the following sectors do you see the least potential for growth in the UK
over the next 12 months?
2013
Construction
2012
57%
Technology/media/telecoms
2%
36%
Construction
40%
Services/retailing
64%
1%
14%
11%
Financial/banking/insurance
26%
32%
Services/retailing
37%
19%
31%
Mining/minerals/natural
resources
Utilities
18%
2%
16%
21%
Manufacturing
Transport/distribution
19%
16%
Financial/banking/insurance
Technology/media/telecoms
Manufacturing
4%
11%
Greatest
Least
7%
Transport/distribution
6%
2%
Other
28%
21%
1%
1%
Base: British Captains of Industry (103) interviewed Sep-Dec 2012
Embargoed until 00:01 on Friday 3rd January 2014
© Ipsos MORI Version 1 | Internal Use Only
23%
Mining/minerals/natural
resources
61%
Base: British Captains of Industry (105) interviewed Sept-Dec 2013
9%
Utilities
3%
47%
41%
Greatest
Least

14. 90% say acting with honesty and integrity is extremely important
when judging a company or organisation
14
C78. Using a scale from 1 to 5 where 1 means it is not at all important and 5 means it is
extremely important, please say how important each of the following factors are when
you judge a company or organisation?
Acts with honesty and integrity
8% 2% 1%
90%
Quality of products or services
54%
Quality of management
54%
Quality of employees
Financial performance
Innovative and forward thinking
Communications with people like you
43%
44%
20%
43%
18%
5 extremely important
50%
28%
38%
4
10%
43%
3
2
1 not at all important
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1%
1%
36%
Base: British Captains of Industry (105) interviewed Sept-Dec 2013
© Ipsos MORI Version 1 | Internal Use Only
6%1% 1%
38%
45%
12%
2% 1%
3%
1%
6%
1%
No opinion

15. A quarter say the UK is currently growing but just over half estimate it
will be a year or more before the UK economy grows significantly
15
C8. What is your best estimate of when the UK economy will begin to grow in a significant
way again?
It's growing
Up to 6 months
24%
1%
7 months up to 12 months
10%
More than 1 year up to 2 years
30%
More than 2 years up to 4 years
14%
More than 4 years
9%
Not stated
9%
Don’t know
4%
Base: British Captains of Industry (105) interviewed Sept-Dec 2013.
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16. 16
Captains and Regulation
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17. Almost two-thirds think that the level of regulation has been
increasing
17
C90. Do you feel that the level of regulation affecting business in the UK overall has been
increasing or decreasing over the last 12 months or has there been no change?
31%
39% (2012)
64%
57% (2012)
5%
4% (2012)
Increase
Decrease
No change
Base: British Captains of Industry (105) interviewed Sep-Dec 2013, (103) interviewed Sept-Dec 2012
Embargoed until 00:01 on Friday 3rd January 2014
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18. A majority of Captains agree that the level of regulation on UK
business is harming the UK economy
18
C3. To what extent do you agree or disagree with each of the following statements?
Net percentage points
(Net = % Agree - % Disagree):
2013
2
35%
46%
15% 2%
2%
2013 +77pp
The level of
regulation on UK
businesses is
harming the UK
economy
1
2012
35%
Strongly agree
Neither agree nor disagree
Strongly disagree
48%
7% 10% 1%
Tend to agree
Tend to disagree
Base: British Captains of Industry (105) interviewed Sep-Dec 2013, (103) interviewed Sept – Dec 2012
Embargoed until 00:01 on Friday 3rd January 2014
© Ipsos MORI Version 1 | Internal Use Only
2012 +72pp

19. Simplifying employment legislation is the most frequently mentioned
area where Captains would like to see a reduction in regulation
19
C6A1. How, specifically, would you like to see the level of regulation on UK businesses
reduced in the UK?
Top Mentions
Simplify/flexibility in employment legislation
22%
Better implementation/ more coordinated
implementation
13%
Simplify/reduce financial sector regulation
13%
Better/ less onerous corporate governance
regulation
11%
Less prescriptive approach to regulation/ more
principles based
9%
Simplify the planning process/ planning regulation
9%
Reduce bureaurcracy/red tape
8%
Stability/consistency in the regulatory environment
8%
Base: British Captains of Industry, interviewed Sep-Dec 2013, All who agreed that regulation on UK businesses is harming the economy (85)
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20. 20
Captains and business
culture
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21. Majority of Captains agree that politicians have a poor
understanding of business
21
C3. To what extent do you agree or disagree with each of the following statements?
2013
22%
2012
21%
49%
9%
20%
1%
Public culture in Britain is
biased against Britain
2013
In general, politicians in this
country have a poor
understanding of business
Strongly agree
Tend to agree
2012
49%
10%
51%
36%
44%
Neither agree nor disagree
48%
Tend to disagree
Strongly disagree
Base: British Captains of Industry (105) interviewed Sept-Dec 2013, (103) interviewed Sept – Dec 2012
Embargoed until 00:01 on Friday 3rd January 2014
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16%
2%3%
7% 6%
3%3%3%
No opinion

22. 22
Most impressive Business
Person
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23. Justin King tops the list as the most impressive business person
for the first time
23
C26. Who do you think is the most impressive business person in Britain at the moment?
Who else? (*asked as industrialist up to 1999, as business leader in 2000)
80
70
60
Lord
Weinstock
Lord Hanson
50
40
Sir John
HarveyJones
30
Lord Hanson
Lord
Weinstock
Sir Colin
Marshall
Richard
Branson
Sir David
Simon
20
Sir Richard
Branson
Sir Terry
Leahy
Sir Richard
Sykes
Lord
Browne
Lord
Browne
Sir Terry
Leahy
Sir
John
Rose
Justin
King
10
0
'81 '83 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 2000 '01 '02 '03 '04 '05 '06 '07 '08 '09 10
Base: British Captains of Industry, 1981-2013
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11
12
13

24. 24
Methodology and Sample
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25. Methodology
25
• This report presents findings of the 2013 study of Captains of Industry, widely
acknowledged as the authoritative source of opinion on Britain's business elite
• Respondents are executive board-level directors and chairmen
• Companies are from:
• top 500 industrials by turnover; and
• top 100 financial companies by capital employed
• A total of 105 respondents took part, details of which are provided below
• Fieldwork: September – December 2013
• 102 interviews were conducted face-to-face and 3 by telephone
• Where results do not sum to 100%, this may be due to computer rounding,
multiple responses or the exclusion of don't know categories
Embargoed until 00:01 on Friday 3rd January 2014
© Ipsos MORI Version 1 | Internal Use Only

26. Composition of the sample
26
Industry Sector
2013
Job Title
2013
Services/ Retailing
23%
Chairman
32%
Financial/ Banking
24%
Chief Executive
35%
Technology/ Media/ Telecoms
15%
Finance Director/ CFO
17%
Manufacturing
11%
Managing Director
4%
Transport/ Distribution
2%
Other
14%
Construction
10%
Utilities
7%
Mining/ Minerals/ Natural Resources
2%
Other
6%
Employees
2013
2013
FTSE 100
41%
Other listed and Private
40%
500-4,999
50%
5000-24,999
29%
9%
19%
FTSE 250
12%
25,000 +
FTSE Index
Below 500
Head Office Location
2013
London
43%
Outside London
57%
Base: British Captains of Industry 2013 (105), interviewed Sep-Dec 2013
Embargoed until 00:01 on Friday 3rd January 2014
© Ipsos MORI Version 1 | Internal Use Only