Business news 24 September 2025
The economic mood darkened today as warnings mounted over weak growth, tax pressures, and rising business failures. HMRC has resumed direct debt recovery powers, the OECD painted a gloomy growth outlook, and insolvency appointments surged. For SMEs trading on credit, the risks of late payment and customer collapse are climbing.
James Salmon, Operations Director.
📌 Top stories for SMEs
💰 HMRC resumes direct debt recovery
HMRC has relaunched its direct recovery of debts (DRD) programme, allowing it to seize funds directly from bank accounts where debts over £1,000 are due. Safeguards remain in place, but tax experts warn SMEs not to ignore demands as HMRC becomes more aggressive.
📉 OECD warns of weak UK growth
The OECD nudged up its UK growth forecast for 2025 to 1.4% (from 1.3%), but still expects a slowdown to 1% next year — the weakest in the G7. Inflation at 3.5% this year will add pressure. For SMEs, this means sticky costs and subdued demand are set to persist.
🍽️ Food banks face unprecedented demand
Trussell Trust figures show 14.1m people now facing hunger in the UK, up 37% since 2022. With donations down, food banks buy 75% of their supplies. Consumer spending power remains severely squeezed, hitting demand for non-essential goods and services.
🏭 UK economy falters with 50,000 job losses
Flash PMI data shows private sector growth slowing sharply, with manufacturing at a six-month low and services under pressure. Some 50,000 jobs have been lost in three months. Alarm bells for SMEs reliant on household spending and B2B demand.
🍷 Spirits industry calls for duty freeze
The Scotch Whisky Association and others have urged the Chancellor to freeze excise duties, warning of £700m lost revenues and job risk. Any further hikes could dent confidence across hospitality and supply chains.
🏨 Hospitality crisis backlash
Labour’s Sacha Lord accused Chancellor Rachel Reeves of ignoring the night-time economy, blaming the 2024 Budget for 110,000 lost jobs. With SMEs dominant in hospitality, calls for targeted relief are growing louder.
💳 Digital ID scheme security risk
Experts warn Labour’s proposed digital identity scheme could be vulnerable to hacking, risking chaos for businesses and individuals. MPs cite the government’s poor record on data security. SMEs may need to prepare for compliance and cybersecurity costs.
🪙 Crypto millionaires surge
Crypto wealth holders jumped 40% in a year, with 250,000 crypto millionaires globally. While not mainstream for SMEs yet, the rise underlines shifts in wealth storage and potential new payment methods.
🏦 Tax strategy pressures mount
The Institute for Government says Labour’s refusal to raise income tax, NI, or VAT will hamper growth and lead to piecemeal tax rises. At the same time, “Patriotic Millionaires” and the Lib Dems push for wealth taxes — a policy debate that could reshape SME owners’ tax bills.
🇫🇷 French wealth tax sparks exodus fears
French elites, including Bernard Arnault, slammed a 2% wealth tax plan as “confiscatory.” Analysts warn of capital flight — a debate watched closely in the UK, where Reeves faces her own tax balancing act.
🤖 OpenAI’s $400bn data centre plan
OpenAI, with Oracle and SoftBank, is seeking funding for five new US data centres under “Project Stargate.” Boss Sam Altman claims AI will drive “unprecedented growth.” UK SMEs may feel both competitive pressure and opportunity from accelerating AI adoption.
📊 Market snapshot
- Global outlook: OECD sees global growth easing to 3.2% this year (upgraded from 2.9%), with the US slowing sharply to 1.8% in 2025.
- UK PMI: Services fell to 51.9 (vs 53.5 expected), manufacturing dropped to 46.2, composite at 51.0 — signalling sluggish momentum.
- UK/Europe equities: FTSE 100 slipped 0.4% to 9,186.87 this morning; European markets also eased, led by automakers and banks.
- US equities: S&P 500 fell 0.6%, Nasdaq 0.7% as Powell signalled no rush to cut rates further; Magnificent Seven tech stocks all down.
- Commodities: Brent crude dipped below $68/barrel despite Russia tensions; gold hit another record as China eyes custodial role.
- FX: Dollar firmed against all G10 bar AUD. GBP/USD down 0.3% to 1.3479, awaiting BOE commentary.
📉 Insolvencies (24 Sept 2025)
Administrators appointed
- BLUE OCEAN BUILDING LTD
- BULPHAN DEVELOPMENTS LLP
- COUNTYWIDE CARING LIMITED
- GREATER MANCHESTER CHAMBER OF COMMERCE
- NEUROFENIX LIMITED
Liquidators appointed
- 8-BIT CARPENTER LTD
- ALLANSON CONSTRUCTION CONSULTANCY LTD
- BLACK CAT PARTNERSHIP LIMITED
- BRONDESBURY INVESTMENTS LIMITED
- CLAIRE COLLINS PROPERTY LIMITED
- CLOUDGEAR LTD
- CLUSAZ LIMITED
- DENIS PEACH CONSULTING LTD
- DRAGON GROUNDWORKS LTD
- EIB HOLDINGS LIMITED
- EVOLVE HOTEL GROUP LTD
- FINANCE AND IT SOLUTIONS LTD
- GLOBAL YACHT MANAGEMENT SERVICES LIMITED
- HARMONY HOME AID SERVICES LIMITED
- HANDY STORES LTD
- INTU INVESTMENTS LIMITED
- KALKAJI PHARMACON LIMITED
- LORD CORPORATION (EUROPE) LIMITED
- M H & J PARK AND SON LIMITED
- MORGAN FABRICS UK LIMITED
- PRECI5ION LIMITED
- RALO LIMITED
- SPARKY PAC LIMITED
- SUMMERFIELD MANAGEMENT CONSULTANTS LTD
Winding-up petitions
- ABH REINSTATING LTD
- ABITTO LTD
- AZZURRO LIMITED
- BP CONTRACTS LTD
- BRETRICK HOSPITALITY LIMITED
- ESCHER MARWICK LIMITED
- GLOBAL TECHNICAL SOLUTIONS (PROPERTY MASTERPLANNERS) LIMITED
- G SWEENEY RAIL ULTRASONICS LTD
- HODSON DEVELOPMENTS (BRENTFORD) LIMITED
- MANDY-LOU LIMITED
- MASONS TRUCK & PLANT LTD
- NIMAH SOLUTIONS LIMITED
- OPTIMUS SEEL STREET LIMITED
- ORANIUM LIMITED
- SMS (SCOTLAND) LTD
Winding-up orders
💡 CPA membership tip of the day
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