Business news 18 September 2025

Today’s blog covers sticky UK inflation, business pushback on the Employment Rights Bill, calls for a focus on productivity, major US investment pledges, property market trends, PwC job cuts, and the latest insolvencies.

James Salmon, Operations Director.

📊 Inflation Stuck at 3.8%

UK inflation held at 3.8% in August, unchanged from July. Higher employer NI contributions are being blamed for feeding into prices, keeping borrowing costs elevated and rate cuts in doubt.
👉 For SMEs offering credit, this means financing costs will remain high — and customer payment risks are unlikely to ease.

⚖️ Employers Push Back on Jobs Bill

Business groups warn Labour’s Employment Rights Bill — restricting zero-hours contracts and boosting dismissal rights — could damage hiring flexibility and industrial relations. The FSB shares concerns.
👉 SMEs reliant on flexible staff should prepare for higher employment costs and reduced agility.

🚀 Productivity Over Taxes

Resolution Foundation’s Sir Clive Cowdery urged ministers to prioritise productivity growth over new taxes. He highlighted that average UK incomes are £20k lower than they would have been if pre-2005 growth had continued.
👉 For smaller firms, investing in productivity — tech, training, smarter processes — is vital to staying competitive.

🏦 £150bn US Investment Pledge for UK

Blackstone, Microsoft, Google and others are committing £150bn to the UK, creating 7,600 jobs. Ministers say this shows Britain is “open and ambitious.”
👉 While positive for the economy, SMEs may face stronger competition for skilled staff and rising wage bills.

🏠 Property Prices Edge Higher

House prices rose 2.8% in July, down from June’s 3.6%. England’s average home now costs £292,000. Analysts expect high mortgage rates to dampen demand later this year.
👉 Consumer spending could soften, raising risks for SMEs extending credit to households.

📉 PwC Cuts Jobs as Growth Slows

PwC announced job cuts despite modest revenue growth. Consulting demand is falling and audit revenues are flat. Profits rose 20%, but cost pressures remain.
👉 A reminder that even global firms are retrenching — SMEs should watch client solvency closely.

🌍 Market Snapshot (18 Sept)

  • Equities: US futures +0.5% after Fed’s rate cut; S&P 500 closed -0.1%. Europe’s Stoxx 600 +0.5%, DAX +1.1%, CAC 40 +0.7%, FTSE 100 +0.1%.
  • Commodities: Brent crude -0.5% at $67.60; WTI -0.6% at $63.66. Gold eased to ~$3,640 after peaking at $3,707.
  • Currencies: GBP/USD steady at 1.364; EUR/USD slipped below 1.1800; CAD weaker after Bank of Canada rate cut.
    👉 Markets are digesting the Fed’s quarter-point cut — initial volatility giving way to more measured moves.

🔑 Why Join CPA?

For over 100 years, CPA has helped UK businesses tackle late payment and protect cashflow. With high interest rates and rising insolvencies, now is the time to make sure you’re covered.

Membership gives you:

  • CreditCare reports – clear ratings & limits so you trade with confidence
  • Monitoring alerts – spot customer risks before they hit your bottom line
  • Overdue account recovery – 80% of accounts resolved, with payments made directly to you

All included in one fixed annual subscription.

👉 Don’t let late payers damage your business. Call 020 8846 0000 or email nsm@cpa.co.uk

️‍ The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections.

 🚨 Latest Insolvencies

Petitions to Wind Up (Companies)

  • Just Natural Health & Beauty Ltd
  • Data Base Development Ltd
  • South East Builders Merchants Limited
  • Strax Limited

Appointment of Administrators

  • Corporate Modelling Services Limited
  • Alexander and James Limited
  • Ashley Manor Upholstery Limited
  • Evokeu Limited
  • Pentalec Limited
  • CLL Solutions Ltd
  • Bar 2080 Limited

Appointment of Liquidators

  • Strategic Development Solutions Land Limited
  • PPNL SPV B17 – 1 Limited
  • Nevastar Finance Real Estate Limited
  • Cedar Capital Investments Limited
  • Global Choice Foods Limited
  • Panesar Foods (Holdings) Limited
  • Comer Industries (UK) Ltd
  • Gravity Underwriting Limited
  • BJ Packaging Solutions Limited
  • Saxon Heating Consultants Limited
  • Capgemini Certifications UK Limited
  • Monsido Ltd
  • PPNL SPV B17 Limited
  • R & J Pearce Limited
  • Legal & General Digital Solutions Limited
  • Rainmaker Irrigation Company Limited
  • Doric Transaction UK Holdco 2 Limited
  • Doric Transaction UK Holdco 1 Limited
  • Kallari Consulting Limited
  • Distinct Executive Services Limited
  • Sustainable Financial Markets Limited