Business news 12 March 2025
Productivity, AI, Mortgage debt, side hustles, tariffs, markets, insolvencies & more business news that we thought would interest our members.
James Salmon, Operations Director.
Please note: on the 19/3/25 CPA are moving offices after 43 years a little down the road to Profile West, 950 Great West Road, Brentford, TW8 9ES
Increased productivity would boost public finances
David Smith in the Times warns that stagnation of productivity over the past decade has severely impacted living standards and public finances, citing Office for Budget Responsibility analysis which says: “Half a per cent higher or lower annual growth in productivity would reduce or raise borrowing by around £40bn in 2028/29.” Public sector productivity has particularly suffered, with a 0.3% decline since 1997 and an 8.4% drop since 2019. Despite a rise in public sector employment, outputs have not kept pace. Gareth Davies, head of the National Audit Office, has emphasised the need for greater efficiency, saying that “anybody can cut spending but that it requires skill to achieve genuine and lasting efficiency and productivity gains.” Mr Smith says the future of public services hinges on reviving productivity to avoid further tax increases and maintain essential services
UK firms lead on AI implementation
Research for AI platform Dataiku shows that UK businesses are leading the way when it comes to AI implementation in the workplace, outpacing European counterparts. The report shows that a gap has arisen between the UK and the EU due to regulatory concerns. While 26% of UK chief executives said they have delayed initiatives due to unclear or evolving regulation, in France this rises to 59%. The study also shows that 23% of UK CEO’s have laid out a formal road map for AI implementation for the year ahead, compared to 5% in Germany and ahead of the global average of 12%.
Mortgage debt hits new peak
The total outstanding balance of UK residential mortgages reached a record £1,678.2bn in Q4 2024, according to the Bank of England. This surge is attributed to first-time buyers, who accounted for nearly 30% of new lending, despite facing affordability challenges. The average age of first-time buyers is now 33.5 years, with deposits averaging around £50,000, indicating that accessing homeownership is becoming increasingly difficult. The data also shows that gross mortgage advances rose to £68.8bn, marking a 30% increase from the previous year.
Side hustles get tax boost
The Government has announced a significant change in tax regulations for individuals with side hustles. From 2029, the threshold for filing a self-assessment tax return will rise from £1,000 to £3,000. This change is expected to benefit around 300,000 taxpayers, with an estimated 90,000 no longer needing to report their trading income to HMRC. James Murray, the Treasury Minister who chairs HMRC’s board, said: “Taking hundreds of thousands of people out of filing tax returns means less time filling out forms and more time for them to grow their side hustle,” adding that “changing the way HMRC works” will make it easier for people to “make the very most of their entrepreneurial spirit.” The new rules will apply to various activities, including selling items on platforms like Vinted and eBay, as well as creating online content. A new online form will also be introduced to simplify the declaration of cash earnings up to £3,000 for self-employed
Markets
Global stocks extended losses on Tuesday after Donald Trump rattled markets with a surprise announcement of higher trade tariffs on Canada. The US president said steel and aluminum duties would double to 50% from 25%, effective Wednesday, fueling fears of an escalating trade war and potential U.S. recession. The FTSE 100 closed down 1.21% at 8495.99 and the Euro Stoxx 50 closed down 1.43% at 5309.90. Overnight in the US the S&P 500 fell 0.76% to 5572.07 and the NASDAQ dropped 0.18% to 17436.10.
Goldman Sachs lowered their year-end target for the S&P 500 to 6,200 from 6,500, implying an 11% gain from Tuesday’s close. The reduction was also in view of declines in the “Magnificent 7” stocks which it has renamed the “Maleficent 7!”.
This morning on currencies, the pound is currently worth $1.294 and €1.1875. On Commodities, Oil (Brent) is at $70.25 & Gold is at $2915. On the stock markets, the FTSE 100 is currently up 0.71% at 8556 and the Eurostoxx 50 is up 1.62% at 5796.
Economists say US inflation probably stayed high last month after a big increase in January. The consumer price index (CPI) is due at 8:30 a.m. US time in Washington, with economists predicting a 0.3% increase.
Tariffs
Mr Trump’s 25% tariffs on steel and aluminium imports went into effect. The president had threatened to double the levies on Canada to retaliate against Ontario’s promised surcharge on American-bound electricity, but both sides backed down. The EU said that it would impose retaliatory tariffs on €26bn-worth of American imports in April.
The UK reaffirmed its commitment to US trade talks, splitting with the EU over retaliatory tariffs even as US levies on foreign metals came into effect.
Recruiters linked to tax avoidance schemes
An investigation by Sky News has uncovered a tax avoidance scandal involving major recruitment firms. Over two decades, the companies have been linked to schemes that misled agency workers into believing they were compliant with tax regulations. Many workers were paid through umbrella companies that disguised their income as loans to evade tax obligations. This has resulted in large tax demands from HMRC, affecting around 50,000 individuals. The Government is now taking steps to hold recruitment agencies accountable for tax compliance
Boohoo – Debenhams
Boohoo announced it is rebranding as Debenhams Group following the successful turnaround of the business, as it said it expects to post weaker revenue for financial 2025. The Manchester-based online fast fashion retailer triumphantly declared ‘Debenhams is back’, as it reported that, effective immediately, it is rebranding as Debenhams Group. The general meeting to approve this change is set for March 28.
Number of AIM-listed firms sinks to 679
The number of companies on the Alternative Investment Market (AIM) has fallen to its lowest level since 2001, according to data from UHY Hacker Young. The analysis shows that 71 companies have exited London’s junior stock exchange since February 2024. There are currently just 679 AIM-listed firms, marking a sharp decline from a peak of 1,694 recorded in 2007. The data also shows that the number of IPOs has fallen to the lowest level since 2008/09, with just ten logged last year. Colin Wright, partner and chairman at UHY, said: “The AIM IPO pipeline needs a jump-start,” suggesting that cutting back on regulations “could help provide that.”
PSR to be merged into FCA
The Government has announced that the Payment Systems Regulator (PSR) will be abolished and its remit absorbed by the Financial Conduct Authority (FCA). The move comes amid concern that the financial regulatory system is overly complex, with three watchdogs – the FCA, PSR and the Bank of England’s Prudential Regulatory Authority. Chancellor Rachel Reeves warned that the regulatory system “has become burdensome to the point of choking off innovation, investment and growth,” and insisting that the reforms “will free businesses from that stranglehold.” Ministers say that merging the PSR into the FCA will give businesses “one port of call.” The payments regulator currently oversees systems such as those involving bank transfers and also looks to tackle fraud, excessive fees and lack of competition among banks and payment providers.
Firms ‘quieter’ about diversity targets?
The latest report from the Parker Review shows that there were 13 chief executives from an ethnic minority background leading FTSE 100 firms at the end of 2024, up from 12 in 2023. While 95 companies listed on the FTSE 100 have at least one ethnic minority director on their board, the rate was lower across FTSE 250 firms, with 82% meeting the target last year. David Tyler, chair of the Parker Review, suggested that UK companies may be starting to be “quieter” about their diversity initiatives in response to a cultural shift happening in the US. He said: “If you felt that just by having a diversity target you would be barred from bidding for US government contracts, you would be thinking a bit more about what you do.”
Voice tech to speed up HMRC calls
Taxpayers will be able to use their voice as a password when calling HMRC, with the tax office looking to speed up calls. James Murray, Exchequer Secretary to the Treasury, said HMRC is trialling a voice recognition system used by banks, enabling callers to pass security checks “faster and more securely.” A report by the Public Accounts Committee recently suggested that HMRC was running a “deliberately poor” phone service in an attempt to push taxpayers to seek help online instead, a claim that tax office officials described as “completely baseless.”
Latest Insolvencies
Petitions to wind up (Companies) – BSP AIR CONDITIONING LTD
Appointment of Administrator – THE SURE CHILL COMPANY LIMITED
Appointment of Administrator – FALCON SPECIAL PROJECTS LTD
Appointment of Administrator – TEI LIMITED
Appointment of Administrator – LEOSTAR BESPOKE PROMOTIONS LIMITED
Appointment of Administrator – JVS (UK) LTD
Appointment of Administrator – SILCOMS LIMITED
Appointment of Liquidators – JSL PROPERTY AND DEVELOPMENTS LTD
Appointment of Liquidators – HR CONSULTING SOLUTIONS LIMITED
Appointment of Liquidators – GROLAR SOFTWARE LIMITED
Appointment of Liquidators – LRH 1 LTD
Appointment of Liquidators – LUCID COLLOIDS EUROPE LIMITED
Appointment of Liquidators – LENNOX GP II LIMITED
Appointment of Liquidators – NPS SERVICES (BRISTOL) LTD
Appointment of Liquidators – XIAOBUK BUSINESS CONSULTING LIMITED
Appointment of Liquidators – WHITE ROSE FINANCIAL SERVICES LIMITED
Appointment of Liquidators – BFD CONSULTING LIMITED
Appointment of Liquidators – LONDON CONTRACTOR ACCOUNTANTS LIMITED
Appointment of Liquidators – PROEKT SOLUTIONS LTD
Appointment of Liquidators – STRUCTURAL DESIGN SERVICES (BOURNEMOUTH) LTD
Appointment of Liquidators – BB ENGINEERING SERVICES LTD
Appointment of Liquidators – WALLAKER BUILDERS & CONTRACTORS LIMITED
Appointment of Liquidators – RIGEL CORPORATION LTD
Appointment of Liquidators – C T PROPERTIES (RIPON) LIMITED
Appointment of Liquidators – HEALTH FINANCE AND ECONOMICS LIMITED
Appointment of Liquidators – LENNOX HOLDCO LIMITED
Appointment of Liquidators – INDIWIZ SOLUTIONS LIMITED
Appointment of Liquidators – JONATHAN CLARK CONSULTING LTD
Appointment of Liquidators – GOODISON CONSULTANTS LIMITED
Appointment of Liquidators – SHADESTAND LIMITED
Appointment of Liquidators – SSB NO 2 LTD
Appointment of Liquidators – AS SOLUTIONEERS LIMITED
Appointment of Liquidators – DE LEON DEVELOPMENTS LTD
Appointment of Liquidators – ALYA DIGITAL IC DESIGN SERVICES LTD
Appointment of Liquidators – REES EVANS CENG CONSULTANCY LTD
Appointment of Liquidators – BOYPAL LIMITED
Appointment of Liquidators – LR ROGERS CONSULTANCY LTD
Appointment of Liquidators – PETRAM HOLDINGS LTD
Appointment of Liquidators – LENNOX GP LIMITED
Appointment of Liquidators – DDWS LIMITED
Appointment of Liquidators – MASAE LIMITED
Appointment of Liquidators – G.MANNINGS.&.SONS LIMITED
Appointment of Liquidators – JAGUAR SYSTEMS LIMITED
Appointment of Liquidators – DEMAND DRIVEN RESPONSE LTD.
Appointment of Liquidators – NORA SPORTS CONSULTING LIMITED
Appointment of Liquidators – RISK OVERSIGHT LIMITED
Appointment of Liquidators – SYBERMEDICA LIMITED
Appointment of Liquidators – WORKFORCE HOLDINGS LIMITED
Appointment of Liquidators – NPS BUILDERS (SUFFOLK) LIMITED
Appointment of Liquidators – CLARITY CONSULTING AND COACHING LIMITED
Appointment of Liquidators – RMW SOLUTIONS LTD
Appointment of Liquidators – R.P. MINKS AND COMPANY LTD
Appointment of Liquidators – CAPITAL FUNDING SOLUTIONS (SERVICES) LIMITED
Appointment of Liquidators – IAN MILLS LIMITED
Appointment of Liquidators – STAG NDT LIMITED
Appointment of Liquidators – 7HILLS CONSULTANTS LTD
Appointment of Liquidators – CG ANAESTHESIA LTD
Appointment of Liquidators – SOURCE CORE LTD
Appointment of Liquidators – INNOVATIVE SUPPLY CHAIN SOLUTIONS LIMITED
Appointment of Liquidators – ONE STOP WORLDWIDE LIMITED
Appointment of Liquidators – LASTIC LIMITED
Appointment of Liquidators – POWTIER CONTROLS LIMITED
Appointment of Liquidators – ORIGIN DEVELOPMENT SOLUTIONS LIMITED
Appointment of Liquidators – SMALLEY CONSULTANCY LIMITED
Appointment of Liquidators – TSC BEAGLE LIMITED
Appointment of Liquidators – JENALCO LIMITED
Appointment of Liquidators – LAVANMEDICAL LTD
Petitions to wind up (Companies) – CHOPRA ESTATES LTD
Appointment of Liquidators – WOOLLEY HOLDINGS LIMITED
Appointment of Liquidators – KENNETH ASHLEY CONSULTANCY LIMITED
Appointment of Liquidators – THE FINISHING TOUCH HANDWORK SERVICES LIMITED
Appointment of Liquidators – RIVIERA TRAINS LIMITED
Appointment of Liquidators – BRENSHAM CONSULTING LIMITED
Winding up Order (Companies) – KENSINGTON CONSTRUCTION AND RENOVATION LIMITED
Appointment of Liquidators – BRICKTRAIN LIMITED
Petitions to wind up (Companies) – KS DISTRIBUTION (HIGHLAND) LIMITED
Petitions to wind up (Companies) – LIVINGSTON JOINERY SERVICES LIMITED
Petitions to wind up (Companies) – BLUETHUMB LTD
Petitions to wind up (Companies) – ST GILES SHOPPING CENTRE HOLDINGS LIMITED
Petitions to wind up (Companies) – TILSTOCK MOTOR SERVICES LTD
Petitions to wind up (Companies) – IUI SECURITY LIMITED
Petitions to wind up (Companies) – VISION GROUNDWORKS AND LANDSCAPING LTD
Petitions to wind up (Companies) – MOLLITIUM PRIVATE EQUITY LIMITED
Petitions to wind up (Companies) – LYKKE CORP UK LIMITED
Appointment of Liquidators – DIRECT CONCEPTS INTERNATIONAL LIMITED
Appointment of Liquidators – GREEN HORIZON HOLDINGS LIMITED
Appointment of Liquidators – RIFT RESEARCH AND DEVELOPMENT LIMITED
Petitions to wind up (Companies) – KITCHENWIDE LIMITED
Petitions to wind up (Companies) – MONTFORT INTERNATIONAL LIMITED
Appointment of Liquidators – LEGACY BROADCAST COMMUNICATIONS LIMITED
Appointment of Liquidators – MIXBURY DRINKS LIMITED
Appointment of Liquidators – MARGATE LIMITED
Appointment of Liquidators – TRENCHLESS CONSULTANCY (HORSFORTH) LIMITED
Petitions to wind up (Companies) – WEATHERSHIELD SOLUTIONS LTD
Appointment of Liquidators – AMMONITE INTERIMS LIMITED
Appointment of Administrator – ALSIM SYSTEM BUILDING LIMITED
Appointment of Liquidators – BJR MANAGEMENT LTD
Appointment of Liquidators – ENVALUE SOLUTIONS LIMITED
Petitions to wind up (Companies) – DORSET STONE COMPANY LIMITED
Petitions to wind up (Companies) – THE DIGITAL GYM LIMITED
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:
- 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.
- Our monitoring service will alert you to any significant changes in the status of those customers.
- 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!