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Economics

  • Reeves’ tax raids and tariff woes strain UK manufacturers 

    June 2, 2025

    British manufacturers continued to struggle in May, despite a surprise minor uptick, as tax hikes and tariffs weighed on firms. S&P Global’s latest PMI survey, which asks around 600 industrial companies about their performance, revealed manufacturers were still battling a tirade of challenges. The latest figure edged up to 46.4 in May, compared to 45.4 [...]

  • Rachel Reeves to set ‘binding’ pensions allocations in megafunds launch

    May 29, 2025

    Rachel Reeves has confirmed plans to set “binding” allocations in pension funds as the government prepares for the launch of “megafunds” to encourage fresh investment into UK infrastructure and businesses. The Treasury said it would “take a reserve power” in the upcoming Pension Schemes Bill “to set binding asset allocation targets,” a move it said [...]

  • Which taxes could Rachel Reeves raise in the Autumn Budget

    May 29, 2025

    Rising borrowing costs, u-turns on spending cuts and a wafer-thin fiscal headroom all point to one thing: Chancellor Rachel Reeves is widely expected to put up taxes later in the year. But given Labour’s manifesto commitment to avoid tax rises on “working people”, and the pain felt by businesses over National Insurance hikes, many are [...]

  • Reeves’ tax raids crush business confidence – but worst is yet to come

    May 29, 2025

    Business confidence plummeted in the three months to May as Rachel Reeves’ tax hikes took hold and firms have warned more pain is to come. Consumer services’ optimism marked its eight consecutive month of decline at -42 per cent, whilst levels of business value plunged to -56 per cent. This was down from -44 per [...]

  • HMRC review signals potential pension tax changes in Autumn

    May 28, 2025

    Rachel Reeves could target pension savers in fresh tax grab as the Chancellor looks for additional ways to fund the government’s ballooning spending. His Majesty’s Revenue and Customs (HMRC) has published research as part of an official review of workplace retirement schemes, exploring cuts to the tax benefits of salary sacrifice pension schemes.  The schemes, [...]

  • UK public spending will swell to more than half of GDP, IMF warns

    May 28, 2025

    The British state will swell to more than half the total size of the UK economy under the government’s current plans, the International Monetary Fund has warned, as it sounded the alarm on “tough policy decisions” needed to meet ballooning spending. Total public expenditure is projected to grow by eight percentage points over the next [...]

  • London slips from top smart centre spot

    May 28, 2025

    London has lost its place as the world’s top hub for science and tech innovation after a sobering report warned of the City’s slipping global status. The UK’s capital fell behind San Francisco and Zurich which stormed ahead with a gain of 16 and 6 points respectively. Meanwhile, London’s rating shed three points as it [...]

  • Relentless surge in government debt is unsustainable says BIS

    May 27, 2025

    Policymakers across the world need to get a grip on the relentless surge in public government debt, a leading economist has warned.  Agustin Carstens, general manager of the Bank for International Settlements (BIS) said fiscal authorities have a “narrow window” to put their house in order “before the public’s trust in their commitments starts to [...]

  • Company bosses hit pause on growth plans after tariff shock

    May 27, 2025

    Top UK business leaders have sounded the alarm on geopolitical tensions, warning that trade uncertainties are threatening their growth prospects. Nearly half of UK chief executives admitted to being “very or extremely concerned” about the impact of tariffs on their company’s operations and sales in the upcoming year.  Concerns have led to company chiefs slamming [...]

  • Britain’s start-ups reeling from economic pressure

    May 27, 2025

    Start-up businesses are feeling the sting of an uncertain economic landscape as fresh research shows new firms are employing fewer staff than ever before.  The average number of staff for a new firm had slumped to 2.64, down from 3.5 in 2017 according to Cynergy Bank’s latest Business Births and Deaths Index. The research, which [...]

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