Business news 10 October 2025

Uncertainty continues to hang over the UK economy as the Chancellor weighs how to fill a £30 billion hole in the public finances. A leading think tank says raising income tax would be the “least damaging” option, while businesses brace for higher borrowing costs and weaker demand. The Bank of England’s Catherine Mann insists rates must stay high to tame inflation, and new data suggests the jobs market may finally be stabilising after a long slowdown. On the high street, falling footfall and soft consumer confidence underline a fragile recovery. Markets remain cautious despite strong US tech gains, and today’s insolvency list stays heavy — a reminder that many firms are still struggling to keep credit flowing.

James Salmon, Operations Director.

General News Highlights

Tax

  • Raising income tax is Chancellor’s ‘least damaging’ option:The National Institute of Economic and Social Research (NIESR) says raising income tax would be the least harmful way for Chancellor Rachel Reeves to plug a £30 billion fiscal gap by 2029/30.
  • Chancellor urged to scrap share tax: 90% of retail investors would buy more shares if the 0.5% stamp duty on purchases were scrapped, according to a Tradu survey. Reeves is considering a temporary break for newly listed firms.
  • Taxpayers back end of inheritance tax: 54% of taxpayers support abolishing inheritance tax altogether, up from 49% last year.
  • £3 billion borrowing boost: A statistical correction at HMRC means government borrowing was overstated, handing the Chancellor a £3 billion windfall.
  • MTD for income tax: St James’s Place is urging landlords and sole traders earning over £50,000 to prepare for Making Tax Digital rules from April 2026.

Property

  • Stamp duty overhaul considered: Reports suggest a national property tax could replace stamp duty and align council tax with current values, potentially easing costs for some buyers while hitting asset-rich homeowners.
  • Council tax inequality exposed: New analysis shows households in poorer areas pay a far higher share of income and property value in tax than those in wealthier districts.

Employment

  • Labour market stabilising: A new survey from REC and KPMG shows hiring fell at the slowest pace in a year, suggesting the worst may be over. Vacancies remain weak, but starting salaries barely grew in September — their slowest rise in four and a half years. Employers appear to have adjusted to higher payroll taxes and wages but remain cautious ahead of the November Budget.
  • Wage growth slowdown confirmed: Overall pay growth remains subdued, easing pressure on inflation and reinforcing the Bank of England’s view that rates should stay higher for longer.

Outlook

  • Business optimism slips: The British Chambers of Commerce found confidence easing as firms brace for higher taxes and inflation. Only 48% expect turnover growth this quarter, down from 58% a year ago.

Investment

  • UK unicorns thrive: The UK has converted $18.5 billion of early-stage funding into 57 unicorns over the past decade — more per dollar invested than the US.

Corporate

  • Roberts Bakery near collapse: One of Britain’s oldest bakers is close to appointing administrators, risking hundreds of jobs.
  • Lowell Group restructuring: The Leeds-based debt-collection firm has hired Teneo to advise on financial restructuring just months after refinancing £1.6 billion of debt.

Retail

  • High street footfall falls again: BRC data shows footfall down 1.8% in the five weeks to 4 October, with retailers citing weak confidence and tax worries ahead of the Budget.

Economy

  • Rates to stay high: BoE’s Catherine Mann reiterated that rates must remain elevated to tame inflation and restore spending confidence once price stability returns.

Market Highlights

Global markets ended the week quietly as investors balanced inflation risks, strong US tech gains, and political uncertainty in Europe.

Market mood: Investors remain cautious, balancing solid corporate earnings against persistent inflation and fiscal worries on both sides of the Atlantic.

UK equities: The FTSE 100 slipped slightly to 9,496 as building supplier Ibstock warned on profits, offsetting gains in airlines after strong US travel demand.

Europe: Continental shares edged up for a third straight week. Germany’s DAX and France’s CAC posted small gains despite political jitters in Paris.

US: Wall Street paused after a strong run, with the S&P 500 easing 0.3%. Some analysts warn the rally looks stretched after a 36% surge since April.

Commodities: Silver prices hit their highest since 1980 as shortages deepened, while gold dipped below $4,000 per ounce on profit-taking. Brent crude hovered around $65 a barrel, and natural gas prices were steady. Copper slipped after nearing record highs.

Currencies: The dollar remains strong even as a US government shutdown drags into its ninth day. The euro and pound both softened slightly amid UK budget concerns and European political uncertainty.

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Insolvency Notices

Petitions to wind up (Companies)

1440 Design Ltd; A J Wheeler Ltd; A. T. Cross Ltd; ACS & Sons General Builders Ltd; AK Composite Doors Ltd; Arbormac Arboriculture Ltd; Aspire Pathway Group C.I.C.; Best Roofers Ltd; Bezaleel Ltd; Bicycle Coffee Shop Ltd; Blaucomm Ltd; Bonington Mallory Ltd; Busa Ltd; Charles Hope Ltd; Colour-Fit Ltd; Corvidae Clothing Ltd; Costa Construction Ltd; Courtlands Waste Management (UK) Ltd; Dantzic Street 3 Ltd; Diamond Contract Solutions Ltd; East Anglian Hotels Ltd; Ecowise Hub Ltd; Eat Me Cafe Ltd; Emey Amol Ltd; Exel Engraving Ltd; Featherstone Rovers Rugby League Football Club Ltd; Fix Your Cycle Ltd; FS Property Holdings Ltd; GeoIntelligentia Ltd; Global Caterers Belfast Ltd; G. F. Gibbons Ltd; Guilt Trip NI Ltd; Hero Wellbeing Ltd; Highway Engineering Ltd; Johnson & Johnson (London) Ltd; JRP Northwest Ltd; Lite Scaffolding Ltd; London Magnified 2020 Ltd; London Recruitment Group Ltd; Machinery Warehouse (N.I) Ltd; Modular Build Group Ltd; Nationwide Powered Access Ltd; NCS Solution CIC; NJC Construction Ltd; North Yorkshire Polymer Compounds Ltd; Orbital Facilities Ltd; Oriental 8 Ltd; Painhas Energy Ltd; Patrick Rada Ltd; PC Build (South East) Ltd; Pizza Planet (Kingsbridge) Ltd; Plesco Ltd; Promac Commercial (Ireland) Ltd; Raidos Property Services Ltd; Rally Industrial Services Ltd; Rayaan Entrepreneurs Ltd; Remark AI UK Ltd; Rojava Cafe Ltd; Sag Landscaping Ltd; SLG Designs Ltd; Summit LED Ltd; SVR Enterprise Ltd; Sweet Inn (UK) Ltd; Thaler Contracts (Fire Solutions) Ltd; Uriel Care2U Ltd; Westbourne Flooring Company Ltd; Wholesale Distribution Ltd; WS Contracts Services Ltd.

Appointment of Administrators

AH Development Healthcare Ltd; Altitude Angel Ltd; Currency Matters Ltd; I & E Trading Ltd; OakesUK Group Ltd; Tucker Mechanical & Electrical Building Services Ltd; Vvoosh Ltd.

Appointment of Liquidators

Big Effort Ltd; Brighton Knee & Shoulder Service Ltd; Cabernet Consulting Ltd; Crowe Flight Training Ltd; Dynamic Fluid Holdings Ltd; Environmental Geotechnics Ltd; Full Circle Employment Agency Ltd; Hankin Consultancy Ltd; Hope Valley Industrial Ltd; Insert Caption Here Ltd; Ishka Global Ltd; J & D Pennington Ltd; Jac Lioncross Ltd; SDMC 1 Ltd; Transport Solutions Consultants Ltd; V & V Reclamation Ltd; Wiredmark Ltd; Xirak Ltd; Natasha Fitzgerald Solutions Ltd.

Winding-up Orders

Earlestown Decorating Centre Ltd.

Carry-over (9 October 2025)

Petition – MVB Solutions Ltd.