Business news 25 December 2025

With UK and global markets closed for Christmas Day, attention turns to Christmas Eve trading and a small number of significant business developments. While trading volumes were thin, global markets ended the pre-holiday session on a positive note, supported by confidence in the US economy and calmer inflation expectations. Alongside this, corporate restructuring, regulatory debates, and ongoing insolvencies continue to shape the trading environment for UK businesses as the year draws to a close.

James Salmon, Operations Director.

Construction industry raises alarm over proposed fire safety law

Government plans to turn post-Grenfell fire safety guidance into law have been strongly criticised by the president of the Institute of Construction Management. David Jones argues the proposed rules for multi-storey residential buildings are too loosely defined and allow “tolerable” fire risks to remain, including the continued use of flammable materials in certain building components.

He warned that unclear standards could allow developers to exploit loopholes rather than fully remediate unsafe buildings, describing the proposal as deeply flawed. The government insists the measures are proportionate and will bring clarity to decisions over which fire safety defects must be addressed, with the plans currently out for consultation.

Why it matters to SMEs selling on credit:
Ongoing uncertainty around remediation standards risks prolonging construction disputes, delaying payments to contractors, subcontractors, and suppliers already operating on extended credit terms.

BP sells majority stake in Castrol as it cuts debt

BP has agreed to sell a 65% stake in its Castrol lubricants business to US investment firm Stonepeak Partners, raising around $6bn. The transaction forms part of BP’s wider asset-sale programme, taking total disposals to roughly $11bn, with all proceeds earmarked for debt reduction.

The deal also includes some prepayment of future dividends on BP’s remaining stake, helping to accelerate cash inflows as the energy group reshapes its balance sheet and refocuses its operations.

Why it matters to SMEs selling on credit:
Large corporates prioritising balance-sheet strength often reassess supplier terms, increasing pressure on smaller firms to manage cash flow and credit exposure carefully.

Nvidia deepens AI push with Groq chip licensing deal

Nvidia has struck a technology licensing deal with AI startup Groq, allowing it to integrate Groq’s low-latency chip designs into future products. While Groq will remain independent, several senior executives, including its current CEO, will join Nvidia to support the integration of the technology.

The agreement strengthens Nvidia’s dominance in data-centre computing and expands its reach into faster, more responsive AI applications as global investment in artificial intelligence infrastructure continues to surge.

Why it matters to SMEs selling on credit:
Rapid growth in AI supply chains can create opportunities, but also increases dependency on a small number of powerful customers, raising payment risk and bargaining pressure for smaller suppliers.

Market Summary: Christmas Eve Trading

Markets were quiet but positive ahead of the Christmas holiday, with thin volumes and reduced volatility.

In the United States, shares closed at fresh record highs in a shortened session. The S&P 500 extended its winning streak, while the Dow Jones and Nasdaq also finished at all-time highs. Confidence was underpinned by strong US economic data, including robust third-quarter growth, reinforcing expectations of a soft economic landing rather than a sharp slowdown. Market volatility fell to its lowest level in around a year.

In the UK, the FTSE 100 edged slightly lower, closing just under recent highs in subdued trading. Corporate news dominated, with BP’s Castrol disposal drawing attention, while the absence of major economic data kept overall movement limited.

Across Europe, markets were mixed, with several exchanges closed or operating reduced hours, leaving little clear direction.

In currency markets, sterling held firm near $1.35 against a softer US dollar and remained relatively strong against the euro, supported by expectations that the Bank of England may ease interest rates more cautiously than other central banks.

Commodities were the standout theme. Gold surged above $4,500 an ounce for the first time, continuing an exceptional rally driven by safe-haven demand, geopolitical uncertainty, and expectations of lower interest rates in 2026. Oil prices were largely unchanged, with Brent crude holding just above $62 a barrel.

Insolvency Notices

Appointments of Administrators

  • CLOUDSIDE ASSOCIATES LIMITED
  • FARMHOUSE CUISINE LTD

Appointments of Liquidators

  • ALAN GRAHAM CONSULTANTS LIMITED
  • AMETHYST CONSULTANTS LIMITED
  • BQN LIMITED
  • D & J WOODCOCK LIMITED
  • EMYSESS LIMITED
  • ENERGY ACADEMY LTD
  • MEDICAL DESIGN SOLUTIONS LIMITED
  • NOT ANOTHER SALON LTD
  • OXFORD SJM 2 GP LIMITED
  • PROSELL LEARNING LIMITED
  • REDWATER CREATIVE LIMITED
  • SEO PARTNERS LTD
  • STAMANHA SUCCESSION LIMITED
  • TFSG PARTNERS GROUP LIMITED

Winding Up Petitions (Companies)

  • GUAVAPAY LIMITED
  • J&K DRYWALL LTD
  • SETHA CANTERBURY LTD

CPA Insight

Even on a quieter holiday trading day, the steady flow of insolvency notices underlines why credit monitoring and early action remain essential, particularly as many businesses head into January with stretched cash flow and outstanding invoices.

Just call Peter Uwins, CPA’s National Sales Manager, on️ 020 8846 0000 on the 5th January (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, Economic