Brent Hoberman, co-founder of Lastminute.com, has warned that rising taxes under Labour risk driving venture capital funds and wealthy investors out of Britain to countries like Italy and Switzerland. He criticised proposals including aligning capital gains with income tax and a 2% wealth tax, arguing such measures could backfire and reduce government revenue. While he praised US investment in AI and start-ups, Hoberman highlighted challenges such as high energy costs for data centres. He also advocated for attracting skilled migration, supporting digital ID systems to improve government efficiency, and stressed the need for the UK to work closely with start-ups, not just large tech firms, to foster innovation and maintain its competitive edge.

Accountants are pressing the Chancellor to reduce business costs as rising employment taxes hinder growth. A survey by the Association of Chartered Certified Accountants (ACCA) revealed that 94% of members lack confidence in the economy. Gemma Gathercole, ACCA’s strategic engagement lead, said: “Enough is enough. The Chancellor must ensure the Budget focuses squarely on growth, economic steadiness and enabling business to thrive.” Many accountants cite employment taxes as the primary barrier to growth, with calls for urgent reforms to HMRC services. The tax system’s complexity and HMRC’s inefficiencies are further compounding the challenges faced by businesses, accountants say.

House prices fell by 0.3% last month, according to Halifax’s house price index, bringing the average cost to £298,184. The annual growth rate also declined to 1.3%, down from 2% the previous month. In London, prices increased by 0.6%, reaching £543,497. Chancellor Rachel Reeves is reportedly considering new taxes on landlords and homeowners in the upcoming Budget. Ashley Webb from Capital Economics noted that tax increases could negatively impact household incomes and the housing market.

Shadow Chancellor Mel Stride has come under fire from fellow Conservatives for saying he would raise income tax if he were in Rachel Reeves’ position. Speaking at the Tory party conference, he described income tax hikes as the “cleanest” option while raising VAT could worsen inflation. Some economists suggest income tax increases would be the least damaging option for Reeves. However, one of Stride’s colleagues in the shadow Treasury team, Richard Fuller, disagreed: “The answer to the long term problems of the UK is not to tax people. The tax take is already too high.” Sources close to Stride later said he wasn’t advocating for tax rises and that a Tory government would cut spending instead.

Kemi Badenoch plans to implement up to £25bn in tax cuts to stimulate the UK economy. In her keynote speech at the Conservative conference in Manchester, the Tory leader will introduce a new ‘golden rule’ requiring that half of every pound saved be allocated to reducing the deficit, with the remainder for tax cuts. Badenoch will say: “Over the next decade, Rachel Reeves is going to double the deficit with her borrowing and tax doom loop. It’s not sustainable and it’s not fair. It is stealing from our children and grandchildren. And Conservatives will put a stop to it.” The Conservatives also aim to scrap business rates for 250,000 pubs and shops, while capping funding for low-quality degree courses to increase apprenticeship opportunities.

The Scottish Trades Union Congress (STUC) has reported that a proposed 2% wealth tax on those with assets worth £10m or more could generate £492m annually from Scotland’s 10 richest families. This revenue could fund 12,900 new nurses or 11,600 teachers, or provide £1,000 to homes in extreme fuel poverty. STUC general secretary Roz Foyer stated: “This research lays bare the shocking concentration of wealth in Scotland.” The report highlights that two families possess more wealth than 1.3m people combined. The STUC urges political action to reform the tax system to better address wealth inequality in Scotland.

The Financial Conduct Authority (FCA) has announced a compensation scheme for unfair motor finance agreements, expecting to pay out £11bn to 14m affected individuals. Each claimant could receive an average of £700. The FCA estimates that 85% of eligible consumers will participate, leading to a potential redress of £8.2bn, including interest. Nikhil Rathi, FCA chief executive, said: “Many motor finance lenders did not comply with the law… it’s time their customers get fair compensation.” The scheme covers agreements from 6 April 2007 to 1 November 2024, where lenders paid commissions to brokers.

Private asset funds are projected to play a crucial role in the global economy, with their value increasing by 9.6% this year to reach $14.05trn (£10.46trn). According to Ocorian’s latest global asset monitor, this figure is expected to rise by 70% to $23.9trn by 2030, driven mainly by private equity. Yegor Lanovenko, global co-head of funds services at Ocorian, commented: “The decade ahead will be transformational for global asset management.” However, concerns about increased regulation are prompting many investors to outsource non-core functions.

The International Monetary Fund (IMF) has urged Western governments, including Britain, to raise pension ages to prevent escalating public spending and debt. Nations should also raise more revenue by charging VAT on food, limiting inflation and keeping a lid on public spending, it said. “Spending on pensions, education, health care and wage bills tends to be persistent. Linking retirement ages to life expectancy can curb spending rigidity and improve pension sustainability, especially in advanced economies.” The IMF also urged countries to finds efficiencies rather than just raising taxes and borrowing more to cover expenditure.

One in three Britons may invest in cryptocurrency through exchange traded notes (ETNs) after the Financial Conduct Authority (FCA) lifts its ban today. Research from IG suggests the UK crypto market could grow by 20% with this change. Currently, 25% of UK adults own cryptocurrency, and many are keen to hold it within tax-efficient wrappers like ISAs and SIPPs. Michael Healy, UK managing director at IG, said: “Crypto ETNs represent a significant step forward for the UK market, opening access to millions of investors.” However, the FCA still bans crypto ETFs, limiting options for investors.

Ineos Acetyls plans to cut 60 jobs at its Hull plant due to high energy costs and low-cost imports from China. Chief executive David Brooks stated that the decision was difficult and followed exhaustive alternatives. He noted that the industry faces a structural crisis exacerbated by energy prices remaining 75% higher than pre-Ukraine invasion levels. Brooks added: “This is a textbook case of the UK and Europe sleepwalking into deindustrialisation. Ineos has invested heavily at Hull to cut CO₂, yet we’re being undercut by China and the US while left wide open by a complete absence of tariff protection. If governments don’t act now on energy, carbon and trade, we will keep losing factories, skills and jobs. And once these plants shut, they never come back.”

Barney Hussey-Yeo, founder of Cleo, reflects on his journey from academia to fintech success. Cleo achieved unicorn status with a valuation exceeding $1bn and over £100m in revenue last year. Hussey-Yeo plans a UK market return but cites regulatory challenges as a major concern. He stated: “Regulation was one of the major reasons that I left the UK.” He advocates for a broader discussion on risk appetite and suggests a merger between the London Stock Exchange and a US index to enhance cross-border operations.