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Philadelphia Fed Survey: Businesses Anticipate Mixed Economic Conditions in 2026

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Summary

The Federal Reserve Bank of Philadelphia released results of its 16th annual economic outlook survey conducted November 6-24, 2025, polling Chamber of Commerce for Greater Philadelphia members. While 56 percent of respondents expect growth for their own firms in 2026, regional expectations remain divided with 39 percent anticipating improvement and 37 percent expecting decline. Uncertainty about regulations and government policies was the top cited concern, with nearly 58 percent of respondents listing it as a top-three problem.

What changed

The Federal Reserve Bank of Philadelphia released its 16th annual economic outlook survey on January 14, 2026, covering responses from Chamber of Commerce for Greater Philadelphia members surveyed November 6-24, 2025. The survey found that while 56 percent of respondents expect their own firms to grow in 2026, regional expectations remain divided with 39 percent anticipating improvement and 37 percent expecting decline.

For compliance and risk management purposes, the survey identifies regulatory and policy uncertainty as the leading business concern, cited by nearly 58 percent of respondents as a top-three problem. Additionally, 63 percent of respondents anticipate price increases in 2026, and 76 percent report currently using AI. This survey provides economic sentiment data rather than creating compliance obligations.

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Apr 16, 2026

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News Release

Philadelphia Fed Survey: Businesses Anticipate Mixed Economic Conditions in 2026

14 Jan ’26

The Federal Reserve Bank of Philadelphia surveyed members of the Chamber of Commerce for Greater Philadelphia in November 2025. The survey found that while a majority of respondents expect activity for their own firms to improve in 2026, the outlook for regional business conditions is roughly split.

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Contact: Sarah Katz, Media Relations

Philadelphia — Business conditions are expected to be mixed in 2026, according to the Chamber of Commerce for Greater Philadelphia members surveyed by the Federal Reserve Bank of Philadelphia. While 56 percent of respondents anticipate growth for their own firms in 2026, regional expectations remain divided, with 39 percent of respondents expecting improvement and 37 percent expecting a decline in overall regional business conditions.

The 16th annual survey was conducted November 6–24, 2025. The survey also found that:

  • Uncertainty about regulations and government policies was the top cited concern businesses currently face, with nearly 58 percent of respondents listing it as one of their top three problems.
  • Twenty-two percent of respondents reported an increase in regional economic activity in 2025 from 2024, while 48 percent of members saw a decline in regional business conditions.
  • Fifty-six percent of respondents reported higher prices paid in 2025 than in 2024, while 63 percent anticipate price increases in 2026.
  • Approximately 76 percent of respondents indicated that they currently use AI; the majority of those who currently use AI reported it has not affected their labor demand. Read the full survey here.

Learn more about the Philadelphia Fed’s other regional research, including the Manufacturing Business Outlook Survey and the Third District Beige Book.

About the Federal Reserve Bank of Philadelphia

The Federal Reserve Bank of Philadelphia helps formulate and implement monetary policy; supervises state member banks, bank holding companies, and savings and loan holding companies; and provides financial services to depository institutions and the federal government. It is one of the 12 regional Reserve Banks that, together with the Board of Governors in Washington, D.C., make up the Federal Reserve System. The Federal Reserve Bank of Philadelphia serves eastern and central Pennsylvania, southern New Jersey, and Delaware.

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Classification

Agency
FRB Philadelphia
Published
January 14th, 2026
Instrument
Notice
Legal weight
Non-binding
Stage
Final
Change scope
Minor

Who this affects

Applies to
Businesses
Industry sector
5221 Commercial Banking
Activity scope
Economic outlook surveys Regional economic monitoring
Geographic scope
Pennsylvania US-PA

Taxonomy

Primary area
Financial Services
Operational domain
Finance
Topics
Banking Artificial Intelligence

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