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Spring Statement 2025

  • Labour warned it could miss housing targets over tax burden on sector

    Property

    A leading construction industry body has warned the Labour government could miss its ambitious house building target as employment costs and tax burdens build pressure on the sector. The Construction Plant-hire Association (CPA), which represents more than 2,000 firms providing critical machinery and expertise to the industry, told City AM Labour will fail to meet [...]

    A decrease in repair and maintenance drove the decline in construction
  • Asda boss: Government ‘more and more difficult’ to deal with

    Retail

    The boss of supermarket chain Asda has said the government has become “more and more difficult” to deal with, claiming the pressures on business posed by policy have ballooned since he began his career.  Allan Leighton, Asda’s chair, said businesses are increasingly facing obstacles to growth which are “not of their own making”.  At Tuesday’s [...]

    Asda has reported its fourth consecutive quarter of improving like-for-like sales.
  • Services sector cuts jobs and hikes prices after Reeves’ tax raid

    Economics

    The UK’s services sector has turned to hiking prices and shedding workers in an effort to balance the books in the face of rising cost pressures from government policy. Businesses activity picked up for the tenth-consecutive month in February, according to the latest Purchasing Manager’s Index (PMI) from S&P, but came amid a “solid” amount [...]

    Breaking news illustration with a headline and generic business graph on a digital screen background
  • Spring Statement Live: UK growth cut for 2026 but Reeves touts future forecasts

    March 3, 2026

    Welcome back to the City AM liveblog. Rachel Reeves delivered her Spring Statement today, as the Office for Budget Responsibility published its updated forecasts for the years ahead. The Chancellor was handed quite a hefty blow with the UK’s growth estimate for 2026 slashed to 1.1 per cent from 1.4 per cent the year prior. [...]

  • Tax fraud: HMRC ramps up dawn raids in crackdown

    May 16, 2025

    According to the law firm Pinsent Masons, HMRC carried out an average of 12 property searches each week last year, as the campaign against tax evasion intensified and the government tax body became “increasingly proactive.” In the year ending March 2024, the government tax body carried out 648 dawn raids, up from 623 raids in 2022/23.  [...]

  • Treasury to scrap valuation quango amid efficiency drive

    April 28, 2025

    The Valuation Office Agency will be folded into HM Revenue & Customs (HMRC), the tax minister has said, in the latest sign of the government’s efforts to trim away fat from the operations of the state. The arms length body responsible for valuing properties to determine tax rates, which spans £60bn worth of valuation each [...]

  • Rachel Reeves approval rating one point above Trump with UK voters, poll finds

    April 7, 2025

    Rachel Reeves’ approval ratings have slumped since March leaving her just one point more popular than US President Donald Trump with UK voters, a poll has found. The Chancellor’s net approval ratings have declined by 12 points since delivering her Spring Statement last month, leaving Reeves at net -43, just one point above Trump on [...]

  • BAE Systems, Qinetiq, Babcock among sliding defence stocks as Trump tariffs bite

    April 7, 2025

    President Trump’s sweeping package of global tariffs has sparked a sharp decline in defence sector stocks, as markets react to the shockwaves from his decision to impose a 10 per cent levy on British exports – among other measures. The move has raised concerns on increased costs and the potential for a scarcity mindset that [...]

  • Reeves should be honest: income tax is going up

    April 2, 2025

    Income tax threshold freezes are a de facto tax rise but the revenue won’t be fully realised until the end of the parliament. She should adjust rates now while there’s still time to improve public services before the next election? And fix distortive cliff edges while she’s at it, says Will Cooling Rachel Reeves has [...]

  • It’s Rayner to the rescue but who will build Labour’s 1.3m homes?

    April 2, 2025

    Labour’s only hope for growth is new housebuilding – but Britain doesn’t have the workforce to deliver even the newly downgraded targets. There is an obvious solution, says Jamila Robertson In the Spring Statement, Rachel Reeves acknowledged that she will no longer be able to meet the government’s manifesto pledge to build 1.5m homes by [...]

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