Business news 11 November 2025

Britain’s economy is losing steam just weeks before the Budget. Growth has stalled, unemployment is climbing, and investors are preparing for tax hikes that could hit both households and businesses. With spending slowing and confidence fragile, small firms selling on credit face another testing winter.

James Salmon, Operations Director.

SME & Economic News

1️ Growth expectations stall

The UK economy is expected to grow by just 0.2% in Q3, down sharply from 1% in the first half of the year. Economists cite Budget uncertainty and the threat of £30bn in new taxes.
Why it matters: Slower growth means tighter cash flow for SMEs and longer waits for payment.

2️ Reeves: Keeping tax pledge would mean ‘deep’ spending cuts

Chancellor Rachel Reeves has hinted that tax rises are likely, warning that sticking to Labour’s tax-freeze pledges would mean “deep cuts” in public investment.
Why it matters: Small firms could face higher taxes or reduced public contracts — both squeeze working capital.

3️ UK unemployment rises to 5%

Joblessness climbed to 5.0%, the highest since early 2021, while wage growth slowed. Traders now see an 80% chance of a BOE rate cut in December.
Why it matters: Softer wages may ease costs, but weaker demand could increase late payment risk.

4️ Retailers see slower sales growth

Retail growth slowed to 1.6% in October, down from 2.3%. The BRC and KPMG warn fragile confidence could worsen if the Budget raises costs.
Why it matters: Retailers’ tighter margins will put pressure on suppliers’ credit terms and payment timelines.

5️ Investors eye exit over taxes

A Wealth Club survey shows 86% of millionaires are considering leaving the UK due to tax fears, with nearly half citing weak growth.
Why it matters: Capital flight reduces private investment available to small firms.

6️ Budget risks talent exodus, warns Lloyd-Webber

Andrew Lloyd-Webber warned that young entrepreneurs may leave Britain if tax rises hit innovation and start-ups.
Why it matters: SME growth depends on retaining talent and encouraging risk-taking at home.

7️ Chancellor set to cut tax breaks on pensions

Reeves plans to cap tax-free salary sacrifice contributions at £2,000. Employers could face extra NI costs.
Why it matters: Raises employment costs, especially for small firms using benefits to retain staff.

8 New exchange aims to revive growth companies

City veterans plan to launch the Global Growth Market, a small-cap exchange for venture-backed firms.
Why it matters: Could open new fundraising routes for SMEs struggling to attract investors.

9️ AI firms drive tech valuation surge

AI-driven startups now account for 43% of the world’s top private tech valuations, worth nearly $3trn.
Why it matters: Investor enthusiasm may help UK AI SMEs attract funding — but beware bubble risks.

10 Cyber insurance payouts jump by 230%

Payouts reached £197m last year as cyberattacks soared, with ransomware claims up to 51%.
Why it matters: SMEs must strengthen cybersecurity to avoid costly disruptions and higher insurance premiums.

11️ Trump threatens to sue BBC for $1bn

Donald Trump threatened to sue the BBC over alleged “defamation” in a Capitol riot documentary, following the Director-General’s resignation.
Why it matters: Media turmoil dents public confidence, which can ripple through investor sentiment.

Market Snapshot

  • FTSE 100: hit a record 9,800, buoyed by hopes of an end to the US shutdown.
  • Gold: rallied above $4,140/oz on expectations of US rate cuts.
  • Aluminium & Copper: prices rose on supply constraints and tariffs.
  • Unemployment: rising to 5.0% has boosted bets on a BOE rate cut next month.
  • Sterling: slipped to $1.3122 as tax fears weighed on sentiment.
  • Funds: investors withdrew £7.3bn from equities amid Budget jitters.

Summary:
Markets are rallying globally, but UK sentiment is shaky. The FTSE’s record run masks unease about domestic taxes and slower growth. Gold’s jump shows investors hedging against uncertainty — a warning that credit conditions could tighten again.

Have CPA in your corner

As the Budget approaches, many firms will face tighter margins and slower payments. CPA members get access to practical tools to recover debts faster — and the weight of our logo on their side. Let your customers know you’re serious about being paid.

Just call Peter Uwins, CPA’s National Sales Manager, on️ 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.

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Insolvencies

Appointments of Administrators

  • DFLY TECHNOLOGY GROUP LTD
  • D-FLY GLOBAL IP LIMITED
  • LIBERTY DELTA 5 LTD
  • LUXURY WATCH REPAIRS LIMITED

Appointments of Liquidators

  • 3 C + 1 LIMITED
  • ADVERTISER AND TIMES LIMITED
  • AGRI TRADE GLOBAL LTD
  • ALBAKEY LIMITED
  • ALISTAIR YOUNG FINANCIAL LTD
  • AMBER22 LTD
  • CSJ AEROSPACE LIMITED
  • DOJOMEKE BENEFITS CONSULTANCY LIMITED
  • DOWLING MOTORS LIMITED
  • ECO PRODUCTS IRELAND LIMITED
  • ESKDALE LIMITED
  • EXCOLO HOUSING CONSULTANCY LIMITED
  • GUILFORD EUROPE LIMITED
  • GVR23 LIMITED
  • IIACT LTD
  • IMPELLER LIMITED
  • K & S EUROPEAN SERVICES LIMITED
  • KELTECHCONSULTANCY LIMITED
  • MJD DESIGN SERVICES LTD
  • NORTHDENE CONSULTING LIMITED
  • ROB PETCHE BUILDERS LIMITED
  • STREAMLINE PERFORMANCE LIMITED
  • SUBIX LTD
  • THE AVINGTON AFFAIR LIMITED
  • VESPER 1 LIMITED
  • WEST COAST YACHTS & COTTAGES LIMITED
  • WHISTLEBROOK CONSTRUCTION LIMITED
  • XTSEMINARS LTD

Petitions to Wind Up (Companies)

  • ASCH LTD
  • IFM COMMERCIAL LTD
  • RAPID GROUP LTD
  • STELLAR DIAMONDS LIMITED
  • THE ADELPHI GROUP ONE LIMITED
  • WESSEX ASSOCIATED TRADING (A25) LIMITED