UK Business News Weekend Wrap-Up – 22 September 2025

Small businesses enter the week facing mounting tax uncertainty and sluggish economic growth. Over the weekend, headlines focused on rising inheritance tax bills, new VAT proposals, and pressure on pension wealth. Combined with a surge in insolvencies and weak consumer confidence, the mood remains cautious for firms trading on credit.

James Salmon, Operations Director.

📌 Top SME-Relevant Stories

🔭2 years of stagnation predicted

The UK economy is projected to experience only modest growth over the next two years, according to a report by KPMG. The firm forecasts a rise of only 1.2% this year and 1.1% in 2026, significantly lower than the Office for Budget Responsibility’s earlier estimate of 1.9%. Chief economist Yael Selfin said: “Elevated tax burdens, weaker global trade and cautious consumers are likely to keep growth subdued into 2026.” The report also predicts unemployment will reach 4.9% by 2026, up from 4.7% currently, inflation will persist with rates expected to remain above the 2% target until late 2026.

📉Confidence dips amid tax fears

Consumer confidence in the UK has declined, with GfK’s Consumer Confidence Index falling two points to -19 in September. “There’s an autumnal chill in the air this month,” Neil Bellamy said. “With tax rises expected in the November Budget, the risk is that confidence inevitably falls, just like the autumn leaves.” The British Retail Consortium reported a similar drop in confidence, with personal financial outlooks also declining. “Worries about the Budget, combined with the increase in the cost of living, have eroded confidence, with little sign that inflation will come down soon,” chief executive of the British Retail Consortium, Helen Dickinson, said.

🛍️ Retail sales struggle

The Office for National Statistics (ONS) reported a 0.5% increase in retail sales for August, surpassing analysts’ expectations of 0.4%. Clothing and footwear sales rose by 1.3%, driven by warm weather that attracted more shoppers. Online sales also contributed, with non-store retailers seeing a 0.7% rise. However, retail sales fell by 0.1% over the three months to August, a slower decline than the previous quarter. Oliver Vernon-Harcourt from Deloitte said: “While the summer months have been positive for retail sales, all eyes are now on the Golden Quarter – the most important few months of the year for retailers.”

💷 Inheritance tax receipts hit £3.7bn

HMRC collected £3.7bn in IHT between April and September — up £200m on last year. Frozen thresholds and planned reforms mean more estates (including pensions from 2027) will be caught, potentially forcing asset sales by family-run firms.

💰Tax rises inevitable after Government borrowing soars to £18bn

August borrowing exceeded estimates by £5.5bn. The £10bn buffer the Chancellor pencilled in against her key fiscal rule in March has almost certainly gone. That means tax rises in November look inevitable. The ONS also reported public sector net debt at £2.91trn, 96.4% of GDP.

📉 Property market slowdown

Labour’s proposed property tax changes are freezing the market. Nearly 20% of agreed sales collapsed in August, raising risks for small developers, agents, and suppliers.

🏦 Tax trap widens for higher earners

Almost 1.5m workers lose part or all of their personal allowance under the 60% marginal tax trap, unchanged since 2010. This is squeezing productivity and deterring overtime — a hit for SMEs reliant on skilled professionals.

🛠️ Insolvencies rising

Debt relief orders surged 88% above the long-term average in August, while daily petitions to wind up businesses remain high. Vulnerable firms in retail, care, and construction are prominent on the latest lists.

🎰 Gambling tax in the spotlight

Labour’s Lucy Powell and Gordon Brown back gambling tax hikes to scrap the two-child benefit cap. If implemented, higher levies could reshape funding for community charities but increase compliance costs for hospitality-linked SMEs.

🚕 Proposed VAT on taxi fares

A 20% VAT charge on all cab journeys is under consideration, expected to raise £750m. Campaigners warn it breaches manifesto promises and would hurt rural communities — and the taxi trade itself.

⛽ Miliband rethinks drilling ban

Labour may soften its stance on new oil and gas projects. Energy SMEs tied to the North Sea supply chain could see extended contracts if “tie-backs” are permitted.

🛫 Gatwick expansion approved

A £2.2bn project will add 100,000 flights annually, bringing £1bn in benefits and 14,000 jobs. SMEs in construction, catering, and local services are expected to benefit.

🛜Reeves to review tech tax policy

Rachel Reeves, the Chancellor, will review Britain’s Digital Services Tax amid pressure from Donald Trump to abolish it. The Digital Services Tax imposes a 2% levy on the British revenues of major social media companies, predominantly American firms.

🛂Trump to add $100,000 application fee to H-1B foreign worker visas

Shares in IT consulting stocks fell on Friday after the Trump administration hiked fees for H-1B visas to $100k, hitting Indian-born workers particularly hard.

📊 Market Snapshot

  • Equities: FTSE 100 down 0.1% (9,211.30), FTSE 250 down 0.2% (21,546.24). CAC 40 (-0.4%), DAX (-0.4%). US futures -0.4%.
  • Commodities: Gold hit a record $3,709/oz; analysts see $3,800 soon. Brent crude above $67. Copper up 0.6% to $9,996/t.
  • Currencies: GBP/USD steady at 1.3476; EUR/USD at 1.1750. USD strong, DXY above 97.50.
  • Theme: Mining stocks shine on a record breaking gold rally, while wider equities drift lower in quiet trading.

📝 Insolvency Watch

Administrators appointed

  • ARRANPAUL AUDIO LIMITED
  • BALLYFORLEA LTD
  • BYKARE SOLUTIONS LTD
  • DART CUBICLES LLP
  • DERBY LABOUR CLUB LTD
  • D.E.M.R. SEARCH & SELECTION LIMITED
  • FRONTERA LONDON LTD
  • NORTH EAST WAREHOUSING LIMITED
  • SEA VENTURES (UK) LIMITED

Liquidators appointed

  • 5PI LIMITED
  • 8PI LTD
  • AB QS SOLUTIONS LTD
  • ACTIONSCRIPT SOLUTIONS LTD
  • ALTONA PROPERTIES LIMITED
  • ANDEREDE LIMITED
  • AXION LEADERSHIP LIMITED
  • BEECHNUT ENTERPRISES LIMITED
  • BOUNDY PLUMBING & HEATING LTD
  • BP CAR FLEET LIMITED
  • CAMBRIAN DEVELOPMENTS LIMITED
  • CARLTECH GLOBAL SOLUTIONS LIMITED
  • CCS CAR SALES LTD.
  • CHRIS DAVIES LTD
  • DBF HOLDINGS LIMITED
  • DAVID SMYTH DENTIST LTD
  • DOUBLE RETAIL LIMITED
  • ELEKTROMOTIVE LIMITED
  • ESSEX MASONIC PROPERTY COMPANY LIMITED
  • FAITHLIE ICE COMPANY LIMITED
  • G & S SERVICES (YORKSHIRE) LIMITED
  • GLENDOR HOLDINGS LTD
  • GT PROPERTIES (SOUTHERN) LIMITED
  • H V PARMAR LIMITED
  • KIDDIWINKS LIMITED
  • L&S (BARRHEAD) LIMITED
  • LEADCHAIN LIMITED
  • MANTRA CONSULTING LTD
  • MATCO DIRECT LIMITED
  • MORGAN STANLEY CAPITAL GROUP ENERGY EUROPE LIMITED
  • PPNL SPV B44 LIMITED
  • PPNL SPV B44 – 1 LIMITED
  • PPNL SPV B54 LIMITED
  • PPNL SPV B54 – 1 LIMITED
  • PURSUIT DATA CONSULTING LIMITED
  • RENOVITE TECHNOLOGIES LIMITED
  • RIAL RISK SERVICES LTD
  • SANRIO UK FINANCE LIMITED
  • SEVERN PROPERTY CONSULTANCY LIMITED
  • SHOOTING BOX WOOD LTD
  • SIMON FRIEND LIMITED
  • SNM INVESTMENTS LTD
  • THE LENALAINE PROJECT LIMITED
  • THINKIT SOLUTIONS UK LIMITED
  • TILLIT LIMITED
  • TWININGS TOPCO LIMITED
  • UNITED LEISURE LIMITED
  • UROLOGY AND HEALTHCARE LIMITED
  • VOGUE ESTATES LIMITED
  • VOLIYO LTD
  • YOUNG ENTERPRISE – SCOTLAND
  • ZCS1 HOLD LIMITED

Petitions to wind up

  • AANAM CONSTRUCTION SERVICES LTD
  • ASR LOGISTICS LTD
  • ASTON HOME CARE LIMITED
  • BLOCK CPM LIMITED
  • CARE SOLUTIONS (EAST ANGLIA) LIMITED
  • CAR SERVICING NEWTOWNABBEY LIMITED
  • CIRC CONSTRUCTION MANAGEMENT LIMITED
  • COMPENSATION MARKETING ASSOCIATES LIMITED
  • COVENANT (HOLDINGS) LIMITED
  • CRUMMOCK HOLDINGS LIMITED
  • DCS LIGHT HAULAGE LTD
  • DIMENSIONAL IMAGING LIMITED
  • FORTRESS GLOBAL GROUP LIMITED
  • GLOBAL SUPPLY PARTNERS LTD
  • GO FIBRE LTD
  • HANCOCK CONSULT LTD
  • HARMONY HOUSE HEALTHCARE LIMITED
  • HERO FIREPROOF SYSTEMS (UK) LIMITED
  • INNSEAGAN HOUSE HOTEL LIMITED
  • INTERMESH CREATIVE LIMITED
  • JMAC DEVELOPMENTS (SOUTHERN) LIMITED
  • JUNGLE X UK LTD.
  • KHE STEEL FABRICATIONS LIMITED
  • LEADFY LTD
  • LINCS VW COMMERCIAL VEHICLE SALES LTD
  • M CARE LIMITED
  • MMD STORES LIMITED
  • MPR IMPORTS & EXPORTS LTD.
  • NOVO CONTRACTS LIMITED
  • ORIGINAL 7 SPICES LTD
  • PEGASUS ALFA LTD
  • PONTEM INVEST LTD
  • PORTWAY TAVERNS LTD
  • Q SPORTS LOUNGE LIMITED
  • RED CEDAR CAPITAL LTD
  • ROCKS NW LTD
  • SELECT JOINERY (TELFORD) LIMITED
  • SIA FIRE & SECURITY LIMITED
  • STARAGS LTD
  • THOMAS BRADLEY & CO (SCOTLAND) LTD
  • TURKISH KEBAB & PIZZA (LISBURN) LTD
  • UNITED MEDICAL HOSPITAL SYSTEM LIMITED
  • WITNESS THE FITNESS LIMITED

Winding-up orders

  • AB PROPERTIES PRESTON LTD
  • WITNESS THE FITNESS LIMITED

🔑 CPA Insight & Membership

When insolvency risk rises, late payment pressures cascade through supply chains. Our members use CPA’s tools to check customer risk, chase overdue accounts, and recover debts faster.

👉 Join CPA today and protect your business from the ripple effects of late payment.

👉 Call 020 8846 0000 or email nsm@cpa.co.uk

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