UK Business News Today – 16 March 2026 | Economy, Markets & Insolvencies

The UK economy has stalled at the start of the year, while rising oil prices and policy uncertainty are adding fresh pressure on businesses. Costs are climbing, regulation remains heavy, and insolvencies continue to build across multiple sectors. For SMEs trading on credit, the environment is becoming more unpredictable, with heightened risks around customer payment behaviour and financial stability.

James Salmon, Operations Director.

Key Developments

• UK economy records zero growth, signalling fragile demand
• Oil prices surge above $100, increasing cost pressures
• Small businesses face £36bn regulatory burden
• Mortgage deals withdrawn as interest rate uncertainty rises
• Insolvency volumes continue across multiple sectors

SME & Business Environment

Small firms lose £36bn a year to red tape

Small businesses are spending an estimated £36bn annually on regulatory compliance, with 379 million hours lost to administration. Many firms struggle to navigate complex rules, limiting their ability to invest and grow.
Why it matters: Time and cost pressures reduce resilience, increasing the risk of delayed payments and cashflow strain.

Companies House data breach raises security concerns

A system glitch exposed sensitive data from more than 5 million businesses, including director details. The incident has raised serious concerns around data protection and fraud risk.
Why it matters: Increased fraud risk can lead to payment disputes, identity misuse and greater credit management challenges.

FCA removes contactless payment cap

The £100 contactless limit will be removed, allowing banks to set their own thresholds. While designed to improve convenience, concerns remain about potential fraud exposure.
Why it matters: Higher fraud risk can lead to disputed transactions and delayed payments for businesses.

Economy & Policy

UK economy shows zero growth

The UK recorded no economic growth at the start of the year, highlighting weak demand and ongoing uncertainty.
Why it matters: Sluggish growth often leads to slower customer payments and increased bad debt risk.

Energy support planned as oil exceeds $100

The government is preparing targeted support for households as oil prices rise above $100 per barrel. A universal bailout has been ruled out due to public debt levels.
Why it matters: Rising energy costs reduce disposable income and business margins, impacting customers’ ability to pay.

Mortgage deals withdrawn amid rate uncertainty

Lenders are pulling mortgage products as interest rate expectations shift. This reflects ongoing uncertainty around inflation and borrowing costs.
Why it matters: Higher borrowing costs reduce spending and increase financial pressure across supply chains.

Tax & Government

Pension tax changes and investment powers raise concerns

Government plans to influence pension investment and introduce inheritance tax on pensions have sparked criticism. Concerns centre on risk, complexity and long-term savings impacts.
Why it matters: Policy uncertainty can reduce investment confidence and tighten liquidity across the economy.

Inheritance tax debate intensifies

Calls are growing to abolish inheritance tax, with critics arguing it discourages investment and drives wealth abroad.
Why it matters: Tax uncertainty can delay business decisions and affect long-term financial planning.

Employment & Labour

£3,000 incentives to tackle youth unemployment

Employers will be offered £3,000 to hire young people as part of a £1bn initiative targeting nearly 1 million unemployed under-25s.
Why it matters: Hiring incentives may ease labour shortages but add administrative complexity for SMEs.

Workers prioritise security over perks

Employees are increasingly favouring guaranteed hours over workplace perks or policies.
Why it matters: Employers may face higher fixed staffing costs, impacting cashflow flexibility.

Industry & Investment

Private credit sector faces pressure

Investor withdrawals and rising default concerns are putting strain on the $1.9tn private credit market.
Why it matters: Tightening credit conditions can restrict funding and slow payments across supply chains.

Historic manufacturer collapses

Christy & Co, a 253-year-old business, has entered liquidation, highlighting pressures even on long-established firms.
Why it matters: Long-standing businesses failing is a warning sign of deeper financial stress in the economy.

Property & Construction

Stamp duty slows housing market

High stamp duty costs are reducing property transactions, limiting movement across the housing market.
Why it matters: Reduced activity impacts construction, services and wider economic cashflow.

Global Market Summary

Global markets showed tentative signs of stabilisation following several days of volatility driven by geopolitical tensions.

Equities edged higher, with S&P 500 futures up 0.6%, suggesting a recovery after recent losses. European markets were also set to open firmer, while Asian markets posted modest gains.

Oil remained the dominant driver. Brent crude traded around $104 per barrel after briefly reaching above $106, while WTI hovered just below $100. Prices remain elevated due to ongoing tensions around the Strait of Hormuz, a critical global oil supply route.

Currency markets saw the US dollar weaken slightly, falling around 0.2%, while sterling held relatively steady near $1.32 against the dollar.

Gold remained elevated at around $5,000 per ounce, reflecting ongoing uncertainty, while bond yields eased slightly as markets reacted to shifting inflation expectations.

Overall sentiment remains fragile. Markets are stabilising, but confidence is low and highly sensitive to geopolitical developments and energy price movements.

Insolvency Watch

Administrations (3)

ACCESS COMMUNITY TRUST
DRAC GLOBAL LIMITED
DRAC LOGISTICS LIMITED

Liquidations (80+)

ABU HOLDINGS LIMITED
ACORN INVESTMENTS (NORTH WEST) LIMITED
AG IT INTERIM LTD
ALICE HARE CONSULTING LTD
ASHWOOD AGENCIES LIMITED
ASSOCIATE ENGINEERING SYSTEMS LIMITED
AUTOMATION ENG LIMITED
BFQ LIMITED
BLUE NEON LTD
BURLEIGH TECHNOLOGY LIMITED
C & P INTERIM SERVICES LTD
CHEDDAR COFFEE LTD
CONTRACT FINANCE AND LEASING LIMITED
DALY MEDICAL ASSOCIATES LTD
DESIDERATA CONSULTING LIMITED
DJL EVENTS LTD
DRAUGHTHIRE LIMITED
E.M.S. WEST MIDLANDS LIMITED
ELMSTEAD MEDICAL LTD
GLASGOW SURGICAL LIMITED
GLASSTRONICS LIMITED
GOGON PRINTERS LTD
GOSLA TECHNOLOGY LTD
HAMPTON BOND ASSOCIATES LIMITED
HENRY HIGGINS LIMITED
HILLINGTON LTD
INIZIO DIGITAL LTD
ITXCODE LTD
JANIST ASSOCIATES LIMITED
JC CONSULTING SOLUTIONS LIMITED
K J JENNINGS LIMITED
K KAPOOR CONSULTING LIMITED
KARIBA CONSULTING LTD
LINK MEDICAL LEGAL LTD
LUCKY SOFA LIMITED
MAUCHLINE FINANCIAL MANAGEMENT LIMITED
MCET LIMITED
MCNI PROPERTY LIMITED
MIMICA LIMITED
NOVAFORI LTD
PATTON CONSULTING GROUP LTD
PIXIE SK LIMITED
QMCG LIMITED
R. O. SANDBROOK LIMITED
RMC LENDING LIMITED
ROQUAINE LTD
ROTHERGLEN ASSOCIATES LIMITED
S M HAMMOND LTD
SAPAVA LTD
SHERLOCK SAFETY SERVICES LTD
SIGN-TEC SERVICES LIMITED
SNB PROJECT MANAGEMENT LTD
SOMERLED SOLUTIONS LIMITED
SPA ESTATES LIMITED
SPRING CROFT ENTERPRISES LIMITED
STANLEY CONSULTING LIMITED
SUPERFIBRE LIMITED
SWINBROOK INVESTMENTS LTD
TECTOM LTD
TEMPLE HILL LTD
THE HERB CONVENTION LIMITED
THE HOTELIER GROUP LIMITED
THOMAS ANTHONY WEALTH MANAGEMENT LIMITED
TITAN RAIN LTD
TMBC LIMITED
UN CARVED LTD
UPPER LINEY FARM ENTERPRISES LTD
VEGAFOUR LIMITED
VIZTEK LTD
WADDELL TECHNICAL SERVICES LIMITED

Winding-up Petitions (30+)

A.L.RINSTALLATIONSERVICES LTD
ADQ COMMERCIAL LTD
AMI ELECTRICAL CONTRACTORS LIMITED
ARTDOTSALON LTD
AUBERNE HOMES LTD
BE YOUNGER COSMETICS LTD
CATER PROPERTY INVESTMENT LIMITED
CHATA PL LTD
CLEAR HOUSING LTD
DEE BLINDS & SHUTTERS LTD
ECI LIMITED
FULL CIRCLE CERAMICS LTD
GJMC TRANSPORT LTD
GOLDFISH FROZEN FOOD LTD
HG REVOLUTION LTD
HOK CATERING LIMITED
IT CENTRAL (SCOTLAND) LIMITED
JACO COURIERS LTD
LUMIERE LOFTS LTD
M&A BROTHERS LTD
MARITIME SKILLS ACADEMY (SOLENT) LIMITED
PLYMYARD DEVELOPMENT LTD
PONTCANNA GATE LIMITED
RADCLIFFE POLYMERS LTD
RAWDON MOTORS LIMITED
ROMEO VICTOR LIMITED
ROWAN HOUSING LIMITED
SCAFFOLD ORKNEY LIMITED
THE BEAR INN SOUTH CAVE LTD
WASH & CUT HAIR SALOON LIMITED

Winding-up Orders (2)

KITCHEN KIT (EXETER) LTD
NURTURED FUTURE SUPPORTED LIVING LTD

What CPA can do for you

With economic growth stalling and insolvencies rising, the risk of late payment is increasing across many sectors.

CPA helps businesses stay in control by:

• Providing CreditCare reports so you can check customer risk before offering credit
• Monitoring customers for early warning signs of financial distress
• Recovering overdue invoices quickly and professionally

If you are concerned about a customer or want to strengthen your credit control process, call 020 8846 0000 (business hours) or email PaidQuick@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, Economical collections.