Business news 6 June 2025

Bosses fear workers’ rights overhaul. Chancellor faces backlash over tax changes. Markets, insolvencies & more business news that we thought would interest our members.

James Salmon, Operations Director.

Bosses fear workers’ rights overhaul

Recent research by the Institute of Directors (IoD) reveals that 72% of business leaders believe the Government’s workers’ rights overhaul will hinder economic growth and lead to fewer hires. The poll indicates that over half of respondents foresee a “strong negative impact” on the economy. Concerns centre on changes to statutory sick pay and new rights for employees from day one, which could result in increased costs and legal challenges for businesses. Alex Hall-Chen, the IoD’s principal policy advisor for employment, stated that the bill is “significantly damaging business hiring intentions and confidence in the UK economy.” The survey also found that nearly half of the firms plan to reduce hiring, with a third considering outsourcing jobs abroad. Despite these concerns, over half of directors indicated they would invest more in automation to enhance productivity.

Chancellor faces backlash over tax changes

The Chancellor, Rachel Reeves, is under fire for proposed tax changes that could lead to a £15bn loss in economic activity and the potential loss of over 200,000 jobs. A report by CBI Economics highlights the adverse effects of alterations to Business Property Relief (BPR) and Agricultural Property Relief (APR) on family-owned businesses. Steven Mulholland, CEO of the Construction Plant-hire Association, stated: “This report clearly demonstrates the damage that changes to Business Property Relief will inflict on family-run businesses.” The changes, effective from April 2026, will limit 100% relief from inheritance tax (IHT) to assets worth £1m, with a reduced rate of 50% applied above this threshold. Neil Davy, CEO of Family Businesses UK, warned that these changes would not only decrease tax receipts but also hinder economic growth, stating: “No industry, sector, region or constituency will be immune from these effects.” Meanwhile, the Telegraph reports that business owners and farmers are starting to take out life assurance policies for the purpose of inheritance tax. Alan Richardson, of LifeSearch, said: “Before the Budget was announced, we never got a business or a farm owner phoning us up to talk about inheritance tax liabilities, but we do get that now.” Sales of whole life cover have increased by 230% since last autumn, the broker revealed.

Rayner’s popularity soars following tax plan leak

Angela Rayner, the Deputy Prime Minister, has experienced a significant increase in popularity among Labour members, with her favourability rating rising to +71, up from +46 two months ago. The surge follows the leak of her memo advocating for tax increases, which has resonated with members amid dissatisfaction over welfare and public spending cuts. The memo suggested raising £3bn annually through various tax measures, including increasing corporation tax on banks.

Markets

Yesterday, the FTSE 100 closed up 0.11% at 8811.04 and the Euro Stoxx 50 closed up 0.1% at 5410.55 as the ECB cut rates from 2.25% to 2%. The ECB said that economic growth had slowed and US tariffs would hit growth despite added government spending in the defence and infrastructure sectors. The ECB said inflation in the eurozone which fell to 1.9% in May 2025 was below targeted inflation.

Overnight in the US the S&P 500 fell 0.53% to 5939.30 and the NASDAQ fell 0.83% to 19298.45 as the public feud between Trump and Musk rattled markets and Tesla fell 14% (Tesla sales in the UK fell 36% to 2,016 vehicles in May 2025 according to the Society of Motor Manufacturers but i don’t think that was what was hitting sentiment regarding the stock). White House aides have reportedly scheduled a call with Musk on Friday to avoid any further escalation.

Elsewhere the US looked to cool tensions with China, refraining from calling any nation a currency manipulator in the administrations first formal assessment of their trading partners.

This morning on currencies, the pound is currently worth $1.354 and €1.186. On Commodities, Oil (Brent) is at $65.1 & Gold is at $3358. On the stock markets, the FTSE 100 is currently up 0.08% at 8818 and the Eurostoxx 50 is down 0.07% at 5407.

New pensions bill aims to push more investment into private markets

The UK Government is poised to implement significant reforms to the pensions system. The proposed Pension Schemes Bill aims to enhance pension wealth and investment, with a focus on six key areas, including a reserve power for regulators to force some defined contribution workplace schemes to back more British assets and a mechanism for merging smaller pension pots. Liz Kendall, Work and Pensions Secretary, said the reforms are designed to “secure better value for savers’ pensions and drive long-term investment in British businesses.” The bill also seeks to improve transparency in pension scheme performance and address the issue of dormant small pots. Nausicaa Delfas, chief executive of The Pensions Regulator, described the bill as a “once in a generation” opportunity to enhance the UK pension system. But industry is sceptical, with the Pensions and Lifetime Savings Association saying: “The introduction of a reserve power to allow government to direct how defined contribution schemes invest will require very close scrutiny.” Pensions consultant and former pensions minister Sir Steve Webb also warned about handing the state power over investments: “[Ministers] have put in the statute book a power that someone else can pick up… nobody should have this power…it creates instability and uncertainty for pension schemes.”

FCA: Motor finance industry must be sustained

The Financial Conduct Authority (FCA) has committed to ensuring that any redress scheme for the motor finance industry maintains market stability. The FCA stressed that the integrity of the motor finance market is essential for future consumers. A Supreme Court ruling this summer will determine if banks unlawfully paid commissions to car dealers without customer consent. Should the ruling be unfavourable for lenders, the FCA plans to implement a redress scheme within six weeks, but said it must not jeopardise businesses or reduce competition. The FCA warned: “This could reduce competition and could make it more expensive for consumers to borrow money to buy a car in the future.” Analysts at RBC estimate that total provisions for the motor finance scandal could exceed £30bn.

Finfluencers face crackdown in global action

The Financial Conduct Authority (FCA) has initiated a “global week of action” to combat illegal promotions by rogue finfluencers, collaborating with enforcement agencies in Canada, Hong Kong, and Italy. This initiative has led to three arrests and additional criminal proceedings against individuals promoting unauthorised financial schemes. The FCA has also issued 50 warning alerts, which “will result in over 650 take-down requests on social media platforms.” This concerted effort aims to protect social media users from misleading financial advice and ensure compliance within the industry.

ECB cuts rates amid trade tensions

The European Central Bank (ECB) has reduced its main interest rate to 2%, the lowest since 2022, amid concerns over inflation and economic growth due to President Trump’s tariff threats. The governing council’s decision to cut the eurozone’s deposit rate by 0.25 percentage points marks the eighth reduction since June last year. Christine Lagarde, the ECB president, stated that the current monetary policy is in a “good place” but warned of the uncertain inflation path due to global trade volatility. Frederik Ducrozet, head of macroeconomic research at Pictet Wealth Management, noted that the ECB’s future decisions will hinge on upcoming trade negotiations between the EU and the US. Jack Allen-Reynolds from Capital Economics anticipates one more rate cut in September, with expectations for the Bank of England’s base rate to reach 4% by year-end.

Water

Six UK water companies were banned from paying bonuses to bosses in the light of continued regulatory difficulties and debt problems in the sector. The companies are Anglian Water, Southern Water, Thames Water, United Utilities, Wessex Water and Yorkshire Water.

Latest Insolvencies

Petitions to wind up (Companies) – AH (REC) LTD
Petitions to wind up (Companies) – MFTT LTD
Petitions to wind up (Companies) – KNCUK LTD
Petitions to wind up (Companies) – JJUSTTGRP LTD
Petitions to wind up (Companies) – WEAVE.TECH LIMITED
Petitions to wind up (Companies) – PANO PROPERTIES LIMITED
Petitions to wind up (Companies) – MORTIMER CONSTRUCTION SERVICES LTD
Petitions to wind up (Companies) – MDM TRADERS LTD
Petitions to wind up (Companies) – PEGASUS SURVEY SOLUTIONS LTD
Petitions to wind up (Companies) – ISUFI SERVICES LTD
Petitions to wind up (Companies) – WBS TRANSPORT LTD
Petitions to wind up (Companies) – SHERPRINT LTD
Petitions to wind up (Companies) – TOM N TEAM LIMITED
Petitions to wind up (Companies) – MINGO CONSTRUCTION CONSULTANTS LIMITED
Petitions to wind up (Companies) – LLANELLI MEAT LIMITED
Petitions to wind up (Companies) – ENGAGE PAY SOLUTIONS LTD
Petitions to wind up (Companies) – ZOLTAN PROJECT LTD
Petitions to wind up (Companies) – MONEK LIMITED
Petitions to wind up (Companies) – TOMMY’S & SEB LIMITED
Petitions to wind up (Companies) – KSM CAPITAL LIMITED
Petitions to wind up (Companies) – RHC (MERSEYSIDE) LTD
Petitions to wind up (Companies) – TSSC LTD.
Petitions to wind up (Companies) – TIME MACHINE CAPITAL 2 LIMITED
Petitions to wind up (Companies) – AMBER VALLEY TOTAL CARE LTD
Petitions to wind up (Companies) – VOGUE PAYROLL LTD
Petitions to wind up (Companies) – HS HUNDAL CONSTRUCTION LTD
Petitions to wind up (Companies) – NHMCL LIMITED
Petitions to wind up (Companies) – GRINDLOW LTD
Petitions to wind up (Companies) – VELLEYEN CONSTRUCTION LTD
Petitions to wind up (Companies) – DUROVERNUM LIMITED
Petitions to wind up (Companies) – WARSTON MANAGEMENT SERVICES LIMITED
Petitions to wind up (Companies) – MISS GREAT BRITAIN ORGANISATION LIMITED
Petitions to wind up (Companies) – RED HANDLING UK LIMITED
Petitions to wind up (Companies) – CEASED TRADING 12422212 LIMITED
Petitions to wind up (Companies) – TEST EXPERT SOLUTIONS LIMITED
Petitions to wind up (Companies) – TAVISTAN LIMITED
Petitions to wind up (Companies) – KOBBY LTD
Petitions to wind up (Companies) – SURVIVAL DEPOT LTD
Petitions to wind up (Companies) – GO 2 RECYCLING LIMITED
Petitions to wind up (Companies) – VLG CONSTRUCTION LTD
Petitions to wind up (Companies) – WHARFEDALE COMMERCIAL SERVICES LIMITED
Petitions to wind up (Companies) – DAY & NIGHT COURIERS LIMITED
Petitions to wind up (Companies) – TEESDALE STRUCTURES LTD
Petitions to wind up (Companies) – EMPATHY CARE SERVICES LIMITED
Petitions to wind up (Companies) – EPSOM GLASS AND MIRRORS LIMITED
Petitions to wind up (Companies) – UNITED EDUCATION PROJECTS LIMITED
Petitions to wind up (Companies) – OTR TEAM LIMITED
Petitions to wind up (Companies) – LETTINGS COMPLETE LIMITED
Petitions to wind up (Companies) – LA GRAND COTTAGE LTD
Petitions to wind up (Companies) – LOWCOST MONEYTRANSFER LIMITED
Petitions to wind up (Companies) – SPHERE SALARIES LIMITED
Petitions to wind up (Companies) – ABEL BOWMAN & CO LIMITED
Petitions to wind up (Companies) – DIGITALWORKSCO LTD
Petitions to wind up (Companies) – AK BUSINESS CONSULTANT LIMITED
Petitions to wind up (Companies) – CAREFREE NW LTD
Petitions to wind up (Companies) – O2C TRANSFORMATION SERVICES LIMITED
Petitions to wind up (Companies) – ASTROLONDON INSTALLATIONS LTD
Petitions to wind up (Companies) – SMALL IT SERVICES LIMITED
Petitions to wind up (Companies) – SEARCHDATA GROUP LIMITED
Petitions to wind up (Companies) – TRUSTED ADVISORY GROUP LIMITED
Petitions to wind up (Companies) – WALLACE ELECTRICAL INSTALLATIONS LIMITED
Petitions to wind up (Companies) – SP4 GROUP LTD
Petitions to wind up (Companies) – REDCLIFF ENERGY ADVISORS LTD
Petitions to wind up (Companies) – IMPETORS LTD
Petitions to wind up (Companies) – KELDHOLME ADMINISTRATION LTD
Petitions to wind up (Companies) – INTERSTAR LTD
Petitions to wind up (Companies) – MEDYA INVESTMENTS LTD
Petitions to wind up (Companies) – CO-AXE LIMITED
Petitions to wind up (Companies) – ENTERPRISEJUNGLE LIMITED
Petitions to wind up (Companies) – THE SEMIOTIC ALLIANCE (LONDON) LTD
Petitions to wind up (Companies) – ABBEY CAR HIRE (S.E.) LIMITED
Petitions to wind up (Companies) – ROCHESTER SCAFFOLDING CO LTD
Petitions to wind up (Companies) – JONNI VENTURES LIMITED
Petitions to wind up (Companies) – CIVIL SITE PROFESSIONAL SERVICES LTD
Petitions to wind up (Companies) – SK SURVEY LIMITED
Petitions to wind up (Companies) – N E GILBERT DEVELOPMENTS LIMITED
Petitions to wind up (Companies) – AUTOMATIC MERCHANDISING (WALES) LIMITED
Petitions to wind up (Companies) – THE CORPORATION MEDIA LIMITED
Petitions to wind up (Companies) – RICHARDSON PROJECT MANAGEMENT LIMITED
Petitions to wind up (Companies) – CASA AMIGA LTD
Petitions to wind up (Companies) – CLEVELAND FIRE BRIGADE RISK MANAGEMENT SERVICES C.I.C.
Petitions to wind up (Companies) – HAWKFIELD HOMES (SHIREHAMPTON) LTD
Petitions to wind up (Companies) – BIRMINGHAM INNS LIMITED
Petitions to wind up (Companies) – FARJ SERVICES LTD
Petitions to wind up (Companies) – EUNICKCARELTD LTD
Petitions to wind up (Companies) – VOLTA INVESTMENT GROUP LIMITED
Petitions to wind up (Companies) – E.K 4U CLEANING SERVICES LTD
Petitions to wind up (Companies) – SKYWAY (BIRMINGHAM) LIMITED
Petitions to wind up (Companies) – PREMIER ROOFING SERVICES (BRISTOL) LIMITED
Petitions to wind up (Companies) – SLEEPWORLD LTD
Petitions to wind up (Companies) – PRO POINT-UK LTD
Appointment of Administrator – HOMES DIRECT 365 LIMITED
Appointment of Liquidators – GEORGE KAY LIMITED
Appointment of Liquidators – ROXHILL WARTH 2 LIMITED
Appointment of Liquidators – DIGITAL FASHION GROUP LIMITED
Appointment of Liquidators – RALPH CAPPER INTERIORS LIMITED
Appointment of Liquidators – ASSOCIATED CATHOLIC NEWSPAPERS(1912)LIMITED(THE)
Appointment of Liquidators – DRUM & MONKEY LIMITED
Appointment of Liquidators – HELM PROPERTIES LIMITED
Appointment of Liquidators – FIREPLACES AND FURNISHINGS DIRECT LTD

Why you should become a member of CPA!

The Credit Protection Association (CPA) has been assisting thousands of UK businesses to get paid, since 1914. We have supported our members through all sorts of difficult trading environments.  With high interest rates and a struggling economy and elevated insolvencies, our services can help your business navigate these difficult waters.

Unlike other credit management and debt collection companies, we offer a range of services to our members that are all included as part of a fixed annual subscription, tailored to your needs.

Under your annual subscription you will have access to our main services:

1. Our Creditcare credit reports provide credit ratings and limits along with a host of detailed information on your potential customers to enable you to trade with confidence and set appropriate credit policies for new customers.
2. Our monitoring service will alert you to any significant changes in the status of those customers.
3. Our Overdue account recovery service can be used to chase up payment on any invoices to those customers that have not been paid on time. Unlike other debt collection companies, this service directs your customer to pay direct to you and allows you to maintain your goodwill with them, rather than inserting ourselves into your relationship with you customer and insisting they pay CPA instead. Our Overdue account recovery service resolves over 80% of accounts referred to us.

All of the above services and other complimentary services such address verification, are included in your subscription!

And for the small minority of debts not resolved through our Overdue account recovery service, you can refer the debt to our collections department to escalate the late payment collections process.

CPA eases cash from tardy debtors – Efficiently, Effectively, Economically and Ethically. And we provide credit information so you can monitor and assess your key customers and be warned of any potential risks. CPA has been improving business cash flow for over 100 years, by tackling late payers and campaigning against the late payment culture in the UK.

Unlike other credit management companies, we offer our members a fixed annual subscription regardless of how high the value of their debts maybe!

Rather than to borrowing more money to improve your cashflow, CPA suggests that business owners tackle the problem at its source. If late payments are a strain on your cashflow, then talk to CPA about how we can help you reduce those late payments.

Just call Peter Uwins, CPA’s National Sales Manager, on 020 8846 0000 (business hours) or email nsm@cpa.co.uk today.

When you see your money come in, you will be so glad you used CPA.

The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections

Do you have a commercial late payer that is causing you grief? Use CPA’s no-win, no-fee, commercial debt recovery service!

If you have a particular business customer who is late paying and causing you sleepless nights, why not offer it to CPA’s collection department for purchase on recourse?

CPA’s collection department will then pursue the debt. We will be liable for any costs incurred and then when we have recovered the debt, we will pay you the net principle debt recovered less our percentage.

Once you have enjoyed that success then you can consider the more cost effective membership which includes our Overdue Account Recovery service and Status/Credit reports as well as a range of other complimentary services.

Just call  020 8846 0000 and ask for Godfrey Nelson or Cris Shirley (business hours) or email debtpurchase@cpa.co.uk today.

The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections.

Get compensated for previous late payments

Have you been paid late by business customers in the last six years?

Maybe you no longer work with them. Under legislation, you are entitled to  compensation you for those late payments you have suffered.

You put up with the PAIN – now claim the GAIN!

Claim late payment compensation (LPC) from former business customers who paid you late in the last six years!

CPA (LPC) Recoveries is using our bespoke software and decades of experience to do just that for our clients

Check our compensation calculator to see how much your business could be owed!

Discover NOW the potential value of late payment compensation hidden in your sales ledger!

The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections.