The impact of the credit crunch will last well into next year, according to CFOs, but the long term availability of credit remains positive.

Deloitte's CFO survey showed that most financial leaders expect the credit crunch to last some time, with 21% expecting an improvement in the fourth quarter of this year but 50% not anticipating an improvement until the first half of 2009. Some were even more pessimistic – 11% don't see conditions easing until the second half of next year.

The survey also showed that the credit crunch is starting to impact on more businesses, with 73% admitting credit was more costly and 62% finding it difficult to obtain.

Deloitte partner Margaret Ewing said: 'Despite reductions in base rates in December and in February, corporates, like consumers, are facing tougher credit conditions and, so far, lower base rates would appear not to be easing the situation.'

But the longer term outlook is better with most CFOs planning to raise credit in the next 12 months and more of those surveyed intended to increase gearing than reduce it.

Further reading:

Read our credit crunch special report