Survey: business leaders express concerns about the economy | Articles

Over the past three months, Northern Virginia executives reported lowered confidence in the regional economy. The decline is attributed to concerns over the recent government shutdown, federal layoffs, and inflation, according to the fourth quarter Northern Virginia Chamber of Commerce and Pinkston Business Leader Survey.

Between Oct. 13 and Oct. 20, 120 CEOs, corporate executives, and business owners who do business in Northern Virginia completed this survey. Results show the Northern Virginia business community is suffering right now from various elements both economic and political, experts say. In fact, survey feedback reveals concerns from business leaders. 

“Our 2025 Business Leader Surveys have demonstrated that federal policy decisions, such as the government shutdown, tariff policies, and restructuring of the federal government, have a tremendous impact on the Northern Virginia business community,” said Julie Coons, chief executive officer of the Northern Virginia Chamber of Commerce in a media statement. 

Coons suggested that the health of the Northern Virginian economy is essential to the health of the broader DMV region. 

“And as goes Northern Virginia, so goes the region,” Coons said. “While the increase in pessimism from Q1 to Q4 is a cause for concern, the Northern Virginia Chamber of Commerce is actively executing a proactive strategy to change course. Our NOVA Roadmap initiative seeks to find solutions to diversify our economy, develop sustained investment pathways, and foster a more resilient and optimistic economic outlook.”

Survey results revealed that political leaders need to address a multivariable scheme in order to alleviate economic uncertainty in Northern Virginia. 

“In our most recent survey, the top policy priorities cited for the new governor and local officials include affordable housing and lowering taxes, reflecting a desire to strengthen economic stability and reduce cost-of-living,” said Coons.

Candidates for governor are stepping up to the plate to offer an ear to the concerns of business leaders, Coons said. 

“Both Abigail Spanberger and Winsome Earle-Sears have met with our members just in the last few weeks to hear from business leaders directly, in addition to NVC’s staff-led state and local advocacy,” she said.

Coons said that the Fairfax County Board of Supervisors is responding to the concerns of local business leaders and the community. 

“We are also seeing action that supports Roadmap in Fairfax County, where the Board of Supervisors recently approved two of Chairman [Jeff] McKay’s Board Matters on economic growth and affordable housing. The message is getting through to our elected leaders. We just need to keep our foot on the gas and support these kinds of initiatives around the region,” said Coons. 

Unfortunately, pessimism has not lifted in the Northern Virginia business community, and leaders are adopting a stance of apprehension and hesitancy toward investments. 

“In July, Northern Virginia business leaders were hopeful that the end of DOGE and a favorable tax and regulatory environment would benefit their bottom lines. However, the government shutdown, ongoing tariff negotiations, and stubborn inflation are causing businesses to become more pessimistic and pause investments,” said D.J. Jordan, senior vice president at Pinkston, which co-authored the survey. 

Experts say Northern Virginia is being hit by economic uncertainty—more than elsewhere in the nation—due to the restructuring of the federal workforce. 

“The region has been disproportionately affected by mass cuts to the federal workforce and to federal contractors, and this is most likely the driver of the rising unemployment we’re seeing in Fairfax County and throughout the area. The federal government shutdown exacerbates the issue by adding to the economic uncertainty, leaving a huge number of area workers without their paychecks,” said Clark Mercer, executive director of the Metropolitan Washington Council of Governments, in a statement to the Fairfax County Times. 

Mercer offered some advice to Virginia’s next governor, calling for investment, partnership, and diversification.

“Virginia’s next governor will be wise to invest in workforce development, partner with D.C. and Maryland to diversify the economy and better sell our region nationally and internationally, and focus on enhancing our infrastructure and assets like Metro, which help us attract and retain companies and workers,” said Mercer.

The survey highlighted some essential aspects contributing to economic uncertainty in Northern Virginia. 

“The government shutdown (65%) is the top external issue impacting businesses in Northern Virginia. The other issues are federal agency layoffs (52%), inflation (52%), tariffs (41%), general workforce (28%) and federal procurement policies (28%),” the survey reported.

Business leaders identified priorities for Virginia’s new governor. 

“Ahead of next week’s election in Virginia, transportation and infrastructure (28%) and affordable housing (28%) top the list of policy priorities for the next governor. The next priority items are lower taxes (25%), keeping right-to-work (24%), reducing regulation (16%), and energy reliability and affordability (13%),” the survey reported.