Business lending growth is forecast to more than halve from 5.3% last year to 2.1% this year, then rise modestly to 2.8% in 2027, according to a new EY UK Bank Lending Outlook analysis. Higher costs and economic uncertainty weigh on investment demand. From 2027, stronger spending on AI and wider digital technology is expected…
Read more
UK SMEs are facing growing cash flow pressure, with 40 per cent saying they have been forced to cut customer payment terms to protect their own finances, according to the latest SME Confidence Tracker by the UK’s largest independent invoice financier, Bibby Financial Services (BFS). With the Commercial Payments Bill yet to be passed, and…
Read more
The IoD Directors’ Economic Confidence Index, which measures business leader optimism over prospects for the UK economy, fell to -54 in September, from -49 in August 2026. In contrast, business leaders became significantly more optimistic about the prospects for their own organisations, with confidence rising to +10, from -5 in August. The data showed that…
Read more
The UK economy expanded by 0.5% in the second quarter, an upgrade from the initial 0.4% estimate and following 0.6% growth in Q1, official figures from the Office for National Statistics show. Annual growth was also revised higher to 1.4%, although the estimate for full-year 2025 growth was reduced to 1.2%. Consumers continued spending during…
Read more
Prime Minster, Andy Burnham has announced plans to reform the state pension triple lock from 2030, with the changes intended to generate savings to help fund a proposed national care service in England. The Prime Minister said the triple lock – which sees pensions rise each year by whichever is highest of inflation, average earnings…
Read more
Business confidence fell 12 points to 41% in September, the lowest level since April 2025, according to the Lloyds Business Barometer. This decline follows August’s reading of 53%, the second highest recorded this year, and buoyant results since May. While confidence remained well above the survey’s long-term average of 30%, it was six points below…
Read more
Firms across the private sector expect activity to fall in the three months to December (weighted balance of -14%), according to the CBI’s latest Growth Indicator. The latest results extend a period of negative predictions for growth that has persisted since late 2024. Declining volumes in distribution (-34%), business & professional (-10%) and consumer services…
Read more
The UK risks developing an AI adoption divide between businesses embedding AI across their operations and those still experimenting with the technology, according to new NatWest research. The study of 1,400 UK SMEs and mid-market businesses found that 44% currently use AI and a further 41% expect to adopt it within five years. However, only…
Read more
New analysis by Purbeck Insurance of personal guarantee-backed small business loans shows how the rising cost of doing business over the past 18 months (notably the increase in National Insurance contributions) has led to an increase in the value of loans taken on by small business owners, outpacing the value of the family home in…
Read more
The Chancellor must use next month’s Budget to give businesses the breathing space they need to deliver growth – including by freezing the business rates multiplier for one year – according to the chartered accountancy body ICAEW. Research from ICAEW, which was used to form its Budget submission to HM Treasury, pointed to a clear…
Read more
New figures released by the Finance & Leasing Association (FLA) show that asset finance new business (primarily leasing and hire purchase) grew by 2% in July 2026 compared with the same month in 2025. In the first seven months of 2026, new business was 6% higher than in the same period last year. Growth was…
Read more
Gross lending to small and medium-sized businesses (SMEs) hit £5.35 billion in the second quarter of this year, its highest level since the pandemic, UK Finance’s latest Business Finance Review found. SME lending has shown growth for two and a half years, with gross lending more than 26 per cent higher than in the same…
Read more
Directors are being warned to verify their identities with Companies House or risk prosecution after the Insolvency Service secured its first convictions for these offences. Jill White and Marc Dillon, directors of White (Reading Properties) Limited, and Modinat Banjo, director of J Isogony Apparel Limited, were fined at City of London Magistrates’ Court. Identity verification…
Read more