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Nearly one-third of U.S. businesses plan to raise prices by the end of 2025, according to a new report from LendingTree. The survey revealed that over 30 percent of businesses expect price increases within six months, while only five percent anticipate price reductions. Sixty-five percent predict their prices will remain steady. The report highlights growing concerns over inflation and uncertainty surrounding President Trump's tariff policies.
LendingTree's chief consumer finance analyst, Matt Schulz, noted that tariffs and economic uncertainty are significant factors influencing these expectations. He stated, "There are so many unknowns that it’s nearly impossible to predict what the next few weeks will look like, much less six months from now." Despite this uncertainty, the report indicates that many businesses foresee continued price hikes.
Businesses in Rhode Island, New Hampshire, Montana, Washington, Oregon, and Vermont are the most likely to anticipate price increases, with more than 36 percent of companies in these states expecting changes. Conversely, companies in West Virginia, Mississippi, Arkansas, Alabama, New Mexico, Indiana, South Dakota, Louisiana, Nebraska, and Washington, D.C. are the least likely to raise prices, with over 20 percent in these areas anticipating hikes.
The LendingTree survey, conducted between June 2 and June 15, used data from the U.S. Census Bureau Business Trends and Outlook Survey. More than half of the businesses surveyed expect their costs for goods and services to rise in the next six months, potentially impacting their bottom lines if they choose not to adjust prices. Schulz added that "pricing pressure may force other choices, such as staffing reductions, in the hopes of remaining competitive."
The Independent and Yahoo Finance reported on the survey's findings, emphasizing the challenges businesses face amid economic pressures and the potential impact on consumer prices.