Business news 24 November 2025

The UK economy has flatlined, businesses are paralysed by Budget speculation, and new research shows SMEs losing £5bn a year due to easily fixable credit issues. With voters overwhelmingly rejecting tax hikes and businesses warning that current policies are strangling growth, this week’s Budget is shaping up to be one of the most consequential in a decade. Markets are volatile, sterling is weak, borrowing overshoots forecasts, and insolvency activity remains elevated.

James Salmon, Operations Director.

SME & Credit

Small businesses lose £5bn annually due to easily-fixable credit profiles (FXE Technologies)

FXE reviewed 24,000 declined business loan applications and found 65% of the credit issues were easily fixable.
Why it matters: Poor credit hygiene is causing unnecessary funding refusals and worsening SME cashflow pressures.

Businesses reject Labour’s economic strategy (MyWorkwear)

Two-thirds of business leaders say NI and minimum wage increases have harmed them; 47% fear for their survival over the next five years, and 75% would vote differently today.
Why it matters: Weak business confidence translates directly into lower investment, hiring cuts, and rising payment risk for suppliers.

Economic News

Haldane: Budget speculation a “fiscal fandango” causing economic paralysis

Former BoE economist Andy Haldane says months of Budget leaks have halted investment and consumer activity.
Why it matters: SMEs selling on credit are seeing delayed orders and slower payments as confidence collapses.

UK economy flatlines (PMI 50.5)

Firms are halting orders and hiring ahead of the Budget.
Why it matters: Stalled demand increases late-payment risk.

Government borrowing exceeds expectations

Borrowing hit £17.4bn in October; £116.8bn YTD — nearly £10bn above OBR forecasts.
Why it matters: Weak fiscal headroom raises the likelihood of tax rises that will reduce customer spending power.

Fiscal rules failing (CPS)

Think-tank says fiscal rules have cost the UK £100bn over 25 years.
Why it matters: Unstable policy direction undermines long-term planning for SMEs.

Tax & Government

Stealth taxes expand: 1.3m more higher-rate taxpayers; 10m pensioners taxed

Threshold freezes could push 9m people into 40% tax and 10m pensioners into income tax by 2030.
Why it matters: Reduced disposable income increases late payment risk.

£50bn per year raised from tax threshold freeze

Freezing thresholds until 2030 drags another million workers into tax.
Why it matters: SMEs will see weaker customer demand while facing rising payroll pressure.

Voters reject Reeves’s tax plans

67% prefer spending cuts over tax hikes; 47% say threshold freeze breaks Labour’s manifesto.
Why it matters: Public discontent increases political volatility and spending hesitation.

Two-child benefit cap to be lifted

Policy change costing £3bn, with political backlash over tax rises.
Why it matters: Higher taxes elsewhere may be needed to fund the measure.

High-value property surcharge announced

£2m+ homes to face an average £4,500 annual levy from 2028.
Why it matters: Housing market slowdown risk may affect construction SMEs.

Lakshmi Mittal leaves UK; director exodus up 42%

6,100 company directors left the UK last year.
Why it matters: Declining investment appetite raises credit risk throughout supply chains.

Fuel duty rise expected to fund EV subsidies

£1.5bn EV scheme and £200m for chargers; potential reversal of the temporary fuel duty cut.
Why it matters: Higher delivery and logistics costs hit SMEs’ margins.

Pension pots face cuts from salary sacrifice reforms

74% of firms cannot increase employer contributions if tax changes reduce salary sacrifice benefits.
Why it matters: Higher payroll costs would hit SME resilience.

£31.1bn trapped in lost pension pots

3.3m abandoned pots worth an average £9,470 each.
Why it matters: Workers under-saving increases future financial insecurity and wage pressure.

Starmer refuses to rule out tax rises

Increasing speculation of broad-based tax measures.
Why it matters: Higher taxes reduce SME customer spending and increase arrears risk.

EY calls for major tax reform

Push for a simpler, more predictable system.
Why it matters: SMEs rely on stability to plan investment and cashflow.

De minimis import loophole delayed until 2029

Overseas sellers will still avoid duty on parcels under £135.
Why it matters: UK SMEs continue to face unfair online competition.

Wealthy Brits unaware of basic tax allowances

Almost half unaware of CGT allowance; 65% unsure of inheritance tax rules.
Why it matters: Poor planning can accelerate high-net-worth flight.

Supermarkets dispute business rates changes

400 stores at risk if highest band rates go ahead.
Why it matters: Retail sector strain flows down supply chains to SME wholesalers.

Employment & Workforce

UK job vacancies drop to four-year low

Vacancies fall below 800,000; unemployment hits 5%. Graduate roles down 40%.
Why it matters: Hiring freezes often coincide with slower invoice payments.

AI reduces entry-level roles (PwC)

Firms may drastically cut graduate intake.
Why it matters: Labour shortages and skills mismatches will hit SME productivity.

Construction worker shortage

161,000 extra workers needed to meet housing targets.
Why it matters: Construction SMEs already facing delayed payments may struggle further.

Industry News

Retail sales slump ahead of festive season

Sales fell 1.1% in October; consumer confidence remains low.
Why it matters: Retail slowdowns often lead to invoice payment delays in January–March.

Supermarkets lobby for rates relief

Fears 400 stores could close without exemption.
Why it matters: Closure of major anchors harms local SME suppliers.

Oil & gas leaders urge scrapping windfall tax

Industry warns investment is collapsing.
Why it matters: Reduced investment harms engineering, construction, and specialist SMEs.

Pub sector at breaking point

2,000 pubs could close next year; costs up £22,000 at individual sites.
Why it matters: Hospitality insolvencies often leave large unpaid supplier balances.

Mining M&A: BHP walks away from Anglo American

BHP ends its approach, allowing Anglo’s Teck deal to proceed.
Why it matters: Reduces uncertainty in the mining supply chain.

Cost of Living, Energy & Transport

Energy bills rise again

Price cap up to £1,758; debt reaches £4.4bn.
Why it matters: Rising household arrears reduce SME customer spending.

Rail fares to be frozen

Aimed at easing cost of living during tax rises.
Why it matters: Helps SMEs reliant on commuter footfall.

General & Global Corporate

Daily Mail & General Trust to acquire Telegraph Media Group

Exclusive agreement reached at £500m valuation.
Why it matters: Media consolidation impacts advertising costs for SMEs.

Eli Lilly becomes first $1trn pharma company

Driven by weight-loss drug boom.
Why it matters: Signals strong investment in health tech sectors.

Global Markets

US markets rebound

S&P 500 and NASDAQ rose nearly 1% after rate-cut hints.
Why it matters: Calmer global markets reduce volatility spilling into the UK.

Bitcoin slumps to $81,000 before partial recovery

Crypto market has lost $1.2trn since October peak.
Why it matters: High-risk asset sell-offs often precede broader tightening in credit conditions.

Market Snapshot

FTSE 100: Slight rise this morning after gaining 0.1% Friday; still down 1.6% for the week.
Global equities: Volatile but recovering on Fed rate-cut hopes.
US markets: Strong rebound Friday after tech‐led slump.
Europe: Weak Friday but stabilising today.

Energy:

  • European gas prices fell below €30/MWh — lowest since May 2024.
  • Oil slipped on Russia-Ukraine peace talk headlines.
  • LNG freight costs hit highest since Dec 2023.

Metals:

  • Gold slightly lower.
  • Copper prices firm; inventories tightening.

Currencies:

  • Pound weaker on poor UK data and borrowing figures.
  • Dollar strong.
  • Euro down for six straight days.
  • Yen volatile amid intervention signals.

Drivers:

  • Federal Reserve Policy: Dovish comments from Fed officials, particularly New York Fed President John Williams suggesting room for rate cuts, have been the primary driver of market sentiment .
  • Ukraine-Russia Peace Talks: Discussions about potential peace negotiations have significantly impacted energy markets, particularly European gas prices .
  • UK Budget Uncertainty: Upcoming budget announcements are creating anxiety among UK businesses and weighing on sterling .
  • Tech Sector Volatility: Concerns about AI investment sustainability continue to create volatility in technology stocks globally .

Insolvencies

Appointments of Administrators

  • AB Developments and Construction Ltd
  • Cove Communities Venture 2 Argyle Opco Limited
  • Imaging Technologies UK Limited
  • Payrosa Construction Limited
  • Sonder Europe Ltd
  • Sonder Hospitality UK Ltd
  • Wright Hassall LLP

Appointments of Liquidators

  • Abbey Garage (South West) Limited
  • A.R.B. Holdings Limited
  • ️ A.T. Ince Builders Ltd
  • ️ Akshith Consultancy Services Limited
  • ️ Allegiant Developments Ltd
  • ️ Apex Performance Limited
  • AtecY Developments Ltd
  • Bank of Wales Limited
  • Basestow Ltd
  • Beechcroft Technologies Limited
  • Bright Private Limited
  • Brightage Limited
  • Camflex Limited
  • Campbell & Kennedy Maintenance Ltd
  • Caroline Charlton Consulting Limited
  • Cedarsoftware Limited
  • Champion Real Estate Ltd.
  • Cliffwalk Limited
  • Coinage Consulting Limited
  • Culmat Properties Limited
  • Dalby’s Limited
  • David Rose Packaging Solutions Limited
  • Dec Approved (UK) Limited
  • Delmora Limited
  • Devon Dermatology Limited
  • DICP Holdco Limited
  • Foulkes Finance and Property Co. Ltd
  • Gallabar Farm Limited
  • G.J. Brown Carpentry, Joinery & Building Limited
  • GPS Pharma Solutions Ltd
  • Gritstone Project Management Limited
  • HC Safety and Risk Limited
  • InterSENTIA Limited
  • Intertouch UK Limited
  • J.C. Patterson (Lisburn) Limited
  • John Sutton Developments Limited
  • Medexpat Consultancy Limited
  • Montacute Investments Limited
  • NB Partners Ltd
  • North Road Garage Limited
  • Piper Thompson Limited
  • P J Molloy & Co. Ltd
  • Pizza Point Warrenpoint Ltd
  • Pradip Patel Limited
  • Property Investor Finance Limited
  • Ross Plant Hire Limited
  • SHP Marketing Solutions Limited
  • Shepshire Limited
  • Sifford Consulting Ltd
  • Simpleweb Limited
  • Sparrow Bidco Limited
  • Sparrow Topco Limited
  • Springvale Businesses Limited
  • Stanley Road Properties Limited
  • Stenel Limited
  • Super IPAAS Integration UK Limited
  • Supper Entertainment Ltd
  • Swag Shop (London) Limited
  • TheBigShazbowski Ltd
  • These Girls Can Do Ltd
  • Thackray Mantle Consultants Ltd
  • TraDeline (Combined Services) Ltd
  • Turner Family Investments Limited
  • Tutoraction Limited
  • UNISTATES Holdings Limited
  • Validscope Limited
  • Watercombe Investments Limited
  • Wrights Flooring Limited

Petitions to Wind Up

  • A & C Flooring Limited
  • AAB Networks Ltd
  • Amira G Foods Limited
  • Aspirare Group U.K Ltd
  • Bee Inspired Wholesale Limited
  • Best Price Goods Ltd
  • Blue Sky Distribution Ltd
  • Brick Aid Limited
  • Burlington Place Sheringham Ltd
  • Eat & Go Ltd
  • Exotic Imports & Services Ltd
  • Finchley Properties Ltd
  • Fox Fabs Limited
  • Gator Homes Limited
  • Golden Menswear Limited
  • JG Fulfillment Ltd
  • Jessica Wilson Design Ltd
  • Rehear Labs Limited
  • Swinton Vehicle Repair Centre Ltd

Winding Up Orders

Tullycarnet Credit Union Limited

Are you a CPA member?

With the Budget days away and the risk of tax rises growing, many SMEs will face cashflow pressure, slower payments, and tougher credit checks. CPA members have access to our Overdue Account Recovery Service and Creditcare reports to help support them and provide a proven way to get paid faster and reduce late-payment anxiety. If you want steadier cashflow this winter, talk to us.

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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