Business news 20 March 2025
Some of the business news that we thought would interest our members.
James Salmon, Operations Director.
Please note: on the 19/3/25 CPA moved after 45 years on King Street, to new offices a couple of miles down the road at Profile West, 950 Great West Road, Brentford, TW8 9ES.
CBI warns against further burdens on business
The Confederation of British Industry (CBI) chief, Rain Newton-Smith, has warned the Government against imposing further burdens on businesses following recent welfare cuts. Work and pensions secretary Liz Kendall announced measures aimed at saving taxpayers over £5bn annually by 2029-30, primarily through stricter eligibility for personal independence payments (PIP). The Government also plans to introduce a ‘right to try’ legislation, allowing individuals to explore job opportunities without jeopardising their benefits. Newton-Smith said: “If we want to see growth in our economy… we need to not make it more costly or risky to hire people.”
City forecasters grow more pessimistic
City forecasters have revised their inflation expectations upwards while cutting growth forecasts for the UK economy. The average GDP growth forecast for this year has been lowered to just 1%, down from 1.1% in February. The OECD has also reduced its 2025 growth forecast from 1.7% to 1.4%. The consumer price index is now expected to average 3% this year, significantly above the Bank of England’s target of 2%. With rising inflation and stagnant growth, traders anticipate no further cuts to the BoE base rate, which is currently at 4.5%.
FRC publishes first in a series of materials to support SMEs
The Financial Reporting Council (FRC) has published the first in its series of supporting materials to help SMEs to engage with the annual audit process effectively and confidently. A summary document provides owners and managers, as well as other stakeholders, with an introduction to audit standards, setting out the role International Standards on Auditing (ISAs) play in delivering transparent and accountable capital markets, and setting out the process for the development of standards in both the UK and international context.
High streets continue to feel the pain
A report by PwC reveals that the retail sector in the UK is under significant strain, with approximately 35 shops closing each day. In 2024, a total of 12,804 retail stores, leisure venues, and service outlets shut down, a decrease from 14,801 closures in 2023. Despite this, the overall number of stores fell by 3,802, as 9,002 new venues opened. Over the past decade, high street outlets have decreased by nearly 30% since 2014, highlighting ongoing challenges for retailers.
Fraud surge hits UK fintechs
According to Alloy’s State of UK Fraud Report, 79% of UK fintech firms experienced significant fraud losses, with many losing at least £500,000 in the past year. The report, which surveyed 118 director-level fintech leaders, revealed that two in five firms reported losses between £1m and £5m, while nearly 9% faced losses exceeding £5m. The report also noted that 93% of fintech leaders are most concerned about regulatory penalties and reputational damage, prompting increased investment in fraud prevention measures.
Chancellor expected to avoid tax hikes in Spring Statement
Sir Keir Starmer has failed to reaffirm the Chancellor’s commitment to not extend the freeze on income tax thresholds, which were initially set by the previous Conservative government until April 2028. Conservative leader Kemi Badenoch pressed Starmer to repeat the pledge during PMQs on Wednesday. Meanwhile, several papers report that Rachel Reeves is expected use her Spring Statement next week to cut public spending rather than raise taxes further. Moreover, any cuts would be delivered by reducing the funding limits available to Whitehall departments at the spending review in June, which will allocate departmental budgets up to 2029.
Net Zero plans could devastate economic growth
A leaked assessment from within Whitehall reveals that Labour’s Net Zero plans could potentially reduce the UK’s economic growth by 10% by 2030. The document warns of a “potential risk of destabilising the financial system” due to inadequate planning. The report highlights the threat of “stranded assets,” which may not be fully accounted for in company valuations, and warns that an abrupt transition could lead to significant financial shocks. Additionally, the transition may result in job losses and skills mismatches, adversely affecting growth and productivity. A government spokesman countered: “Net zero is the economic opportunity of the twenty-first century.”
Sickness could sideline millions by 2030
According to projections from the Department for Work and Pensions (DWP) as part of the Keep Britain Working independent review, approximately 3.62m people in the UK could be classified as economically inactive due to sickness by 2030, marking a 61% increase from 2.25m in 2019. The proportion of the workforce affected is expected to rise from 5.4% to 8.0% over the same period. The report indicates a significant rise in younger individuals with work-limiting mental health conditions, with the number of 16 to 34-year-olds more than doubling from 416,086 in 2015 to an estimated 949,469 in 2024.
Defence spending would boost skills, economy
According to a new report from the Council on Geostrategy, Rachel Reeves should consider a comprehensive rearmament programme to enhance the UK’s defence capabilities and stimulate economic growth. The report highlights that, similar to Clement Attlee’s post-war strategy, such an initiative could “fill the defence gaps” of European allies while boosting the UK’s skills base. The report notes that the UK faces increasing military threats from Russia and China, exacerbated by a decline in military capacity due to previous government decisions. It calls for a 10-year Defence Industrial Strategy (DIS2025) to strengthen the UK’s defence industrial base and ensure continuous production to avoid skills gaps.
PM urged to exempt hospices from tax rises
Opposition parties are urging the Prime Minister to exempt hospices and health service providers from the upcoming increase in National Insurance contributions. While the NHS and public sector will be protected from the tax rise starting in April, private hospices, care homes, and pharmacies are not included. Conservative leader Kemi Badenoch and Liberal Democrat leader Sir Ed Davey have both called for this exemption. However, Labour leader Sir Keir Starmer argues that hospices have already received substantial support. “We’ve already invested £100m for adult and children’s hospices,” he claimed. Starting in April, the National Insurance rate for employers will increase from 13.8% to 15%.
Shepherd Neame to raise prices following tax rises
Shepherd Neame, Britain’s oldest brewer, plans to increase beer prices due to rising taxes and wage costs, which are expected to cost the company approximately £2.6m annually. Recent changes, including increased employer National Insurance contributions and a higher minimum wage, have been met with criticism from hospitality groups. On top of this, food and drink manufacturers are passing on the cost of the incoming Extended Producer Responsibility (EPR) levy to pubs and restaurants, which are forced to pass the cost on to the customer. “It’s a very poorly implemented, ill-thought-through piece of legislation,” Shepherd Neame chairman Jonathan Neame said.
France sidelines UK from defence fund
France has succeeded in blocking EU countries from using a €150bn defence fund to procure British-made weapons. A European Commission proposal would exclude Britain unless Sir Keir Starmer signs a security pact with Brussels, something France has tied to fishing rights. “Europe needs Britain’s defence industry a bit more than the French need a few extra fish,” said one senior British government source. “It is astonishing how puerile the French are behaving. They have not grasped the enormity of the moment.”
US Fed cuts growth forecast
The Federal Reserve has revised its US growth forecast down to 1.7% for this year while increasing its inflation projection to 2.7%, blaming Donald Trump’s tariffs for a “good part” of the shift in outlook. The Fed has decided to maintain its interest rate between 4.25% and 4.5% and is slowing its quantitative tightening programme, reducing the monthly roll-off of Treasury debt from $25bn to $5bn starting in April. Despite the challenges, US equities responded positively, with the S&P 500 and Nasdaq Composite both rising.
Dundee University ‘facing insolvency’
The new principal of Dundee University has admitted the institution is facing insolvency. Tricia Bey told MSPs insolvency was a “real possibility” as the university tries to tackle a £35m funding black hole. Ms Bey went on to explain that claims made by the university’s finance team in October that there was sufficient cash were untrue.
Latest Insolvencies
Petitions to wind up (Companies) – THE UPPER CORNER LTD
Appointment of Administrator – LEDWELL PLASTICS LIMITED
Appointment of Administrator – NEW CHAPTER CONSULTING LIMITED
Appointment of Administrator – BEACONSOFT LIMITED
Appointment of Administrator – LHH MANAGEMENT LIMITED
Appointment of Administrator – EPEL LIMITED
Appointment of Liquidators – MHO ADVISORS LIMITED
Appointment of Liquidators – PREECE AVIATION SERVICES LIMITED
Appointment of Liquidators – MH MECHIGIAN LTD
Appointment of Liquidators – MARKETINGEXTRA.NET LIMITED
Appointment of Liquidators – BTEK CONSULTANCY LIMITED
Appointment of Liquidators – AVENUE ARCHITECTURAL GLAZING LIMITED
Appointment of Liquidators – HANNAH TOVEY CONSULTING LIMITED
Appointment of Liquidators – FUTURO LIMITED
Appointment of Liquidators – J & N COHEN LIMITED
Appointment of Liquidators – DLEE ENTERPRISE LTD
Appointment of Liquidators – QUAYSTONE INVESTMENTS LIMITED
Appointment of Liquidators – FOWLER & CO LIMITED
Appointment of Liquidators – TOMLAINE LIMITED
Appointment of Liquidators – BIGGS WINTER LIMITED
Appointment of Liquidators – SGI INDUSTRIES LIMITED
Appointment of Liquidators – HARDING-SMITH LIMITED
Appointment of Liquidators – CORROSION CONSULTANCY SERVICES LIMITED
Appointment of Liquidators – EXMOOR CONSULTING LIMITED
Appointment of Liquidators – ZIMMER PARTNERS (UK) LTD.
Appointment of Liquidators – PM&E CONSULTANCY LIMITED
Appointment of Liquidators – COGENT QA LIMITED
Appointment of Liquidators – MERL HOUSE LIMITED
Appointment of Liquidators – EXPLODING PLASTIC LIMITED
Appointment of Liquidators – PROPERTY RENTAL (SOUTH WEST) LIMITED
Appointment of Liquidators – SHINEY DESIGNS LTD
Appointment of Liquidators – ALLETO LTD
Appointment of Liquidators – BRIDGELOCK ENGINEERING & MARKETING LIMITED
Appointment of Liquidators – HARWELL CAR SERVICES LIMITED
Appointment of Liquidators – THERAPY IN HERTS LTD
Appointment of Liquidators – OLDBLOKEY FILMS LTD
Appointment of Liquidators – HERN CONSULTING LTD
Appointment of Liquidators – TYPECHECK LIMITED
Appointment of Liquidators – GRADWELL BUSINESS SOLUTIONS LIMITED
Appointment of Liquidators – GABRIEL SILVEIRA ILLUSTRATION LIMITED
Appointment of Liquidators – CHARACTER HOLDINGS LIMITED
Appointment of Liquidators – QUAYSTONE HOLDINGS LIMITED
Appointment of Liquidators – LEDBURY RUSSELL LIMITED
Appointment of Liquidators – LIFE ACTUARIAL LIMITED
Appointment of Liquidators – EDANZ LIMITED
Appointment of Liquidators – CHROMA COLOUR LIMITED
Appointment of Liquidators – THISTLE INVESTMENTS (ERM) LIMITED
Appointment of Liquidators – CASTELL 2020-1 PLC
Appointment of Liquidators – WHITFORD AND HUGHES LIMITED
Appointment of Liquidators – TDS HEALTHCARE LIMITED
Appointment of Liquidators – PRUDENCIA LLP
Appointment of Liquidators – TD PARTNERSHIP CONSULTING LIMITED
Winding up Order (Companies) – JANEVA INVESTMENTS LTD
Petitions to wind up (Companies) – ANDERSONS CLOTHING & RETAIL UK LTD
Appointment of Liquidators – 303 HISTON ROAD CAMBRIDGE LLP
Appointment of Liquidators – POWERFAL LIMITED
Petitions to wind up (Companies) – JET MASTERCLASS (UK) LTD
Petitions to wind up (Companies) – GFPL LTD
Petitions to wind up (Companies) – NW2 HOLDINGS LIMITED
Petitions to wind up (Companies) – AUCKLAND FINANCIAL SERVICES LIMITED
Petitions to wind up (Companies) – CAVENDISH PLACE PRIVATE CLIENTS LIMITED
Petitions to wind up (Companies) – P & G CATERING SOLUTIONS LIMITED
Petitions to wind up (Companies) – MELT MANAGEMENT LIMITED
Petitions to wind up (Companies) – SAVOY PROJECTS LLP
Appointment of Administrator – THRIFT RETAIL LTD
Appointment of Liquidators – THIRTEENTH BEACH SOFTWARE LIMITED
Appointment of Liquidators – MARINE TRADING (TEXTILE) LIMITED
Appointment of Liquidators – VINOLA (KNITWEAR) MANUFACTURING CO. LIMITED
Appointment of Liquidators – HOLLYWELL CARE LIMITED
Appointment of Liquidators – A. MCDONAGH BUILDERS LIMITED
Appointment of Liquidators – ALFRED CONSULTANCY SERVICES LTD.
Appointment of Liquidators – LAB EIGHT LTD
Appointment of Liquidators – HUME REID HR CONSULTING LTD
Appointment of Administrator – CAPARO INDIA LIMITED
Appointment of Liquidators – BALISONG LIMITED
Appointment of Liquidators – TRICKY LIFTING SERVICES 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!