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UK economy

  • PMQs: Starmer won’t repeat pledge to unfreeze income tax thresholds

    March 19, 2025

    Sir Keir Starmer has been accused of “plotting stealth taxes” after he failed to repeat Rachel Reeves’ pledge to unfreeze income tax thresholds. The Prime Minister was pushed on his economic plans ahead of next week’s spring statement – which Conservative leader Kemi Badenoch branded an “emergency budget”. During Prime Minister’s Questions (PMQs) on Wednesday, [...]

  • Will Rachel Reeves hike taxes in her first Spring Statement?

    March 19, 2025

    Chancellor Rachel Reeves is set to make her first Spring Statement next week, and rumours are starting to swirl that the tax hikes could be on the cards as she tries to get the government debt under control. Given the Chancellor’s commitment to just one major fiscal event a year the Spring Statement is intended [...]

  • Don’t ask business to ‘shoulder more burden’, CBI chief urges

    March 19, 2025

    The government should not “ask businesses to shoulder any more of a burden”, the Confederation of British Industry (CBI) chief has warned in the wake of the welfare cuts. Work and pensions secretary Lilz Kendall announced on Tuesday a raft of welfare measures she said will help bring more working age people back into jobs. [...]

  • Output gains show firms are ‘protecting their margins’, Lloyds growth survey says

    March 19, 2025

    Growth in a number of sectors shows that firms “are taking steps to protect their margins”, according to a survey of 1,300 companies. Rachel Reeves’s £20bn increase to national insurance contributions (NICs), which is set to come into effect in April, has left firms unsettled.  But the latest Lloyds UK Sector Tracker has indicated companies [...]

  • Pay awards stagnate ahead of national insurance hike

    March 19, 2025

    Pay growth at UK businesses is stagnating as businesses look to cut costs ahead of the Chancellor’s upcoming tax hikes. Figures compiled by HR data and insights provider Brightmine show that pay growth slumped following Rachel Reeves’ Autumn Budget, and have since stagnated at three per cent. The current figure now aligns with the Office [...]

  • Reeves needs to make ‘long overdue’ changes to spending, CBI says

    March 19, 2025

    Chancellor Rachel Reeves has been urged to make “long overdue” changes to government spending as the Confederation of British Industry (CBI) demanded greater investment in innovation.  The Chancellor has previously said she is willing to “fight” for growth but leading economists have raised the alarm about an incoming recession.  The CBI suggested that an economic [...]

  • Welfare reforms: What are the politics of Labour’s benefits changes?

    March 19, 2025

    Over the past few weeks, it’s been hard to avoid reports of the government preparing the ground for a string of changes to the UK’s welfare system. Call it kite flying, pitch rolling, or testing the waters, when work and pensions secretary Liz Kendall got to her feet in the House of Commons on Tuesday, [...]

  • Pound tops $1.30 for first time since Trump’s election win

    March 18, 2025

    The pound has traded above $1.30 for the first time since president Donald Trump’s November election win, as a falling dollar caused by trade war fears has proved a boon for sterling. Sterling has climbed 2.7 per cent over the last month and 6.5 per cent since its January low, reaching a fourth-month high of [...]

  • Liz Kendall unveils welfare reform package aimed at saving £5bn by 2030 

    March 18, 2025

    Liz Kendall has unveiled a major package of reforms to the UK’s welfare system with the aim of saving the government £5bn by 2030.

  • Could bats put East West Rail off track?

    March 18, 2025

    East West Rail could provide a direct connection between Oxford and Cambridge for the first time, but opposition to the project is growing.

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