Retail and hospitality leaders have warned that Rachel Reeves’s proposed £1.7bn business rates overhaul could put 120,000 high street jobs at risk. The British Retail Consortium and UK Hospitality say higher taxes on superstores, hotels, restaurants, and holiday parks may force hundreds of sites to close. Labour’s reforms, aimed at helping smaller businesses by increasing levies on premises worth over £500,000, have also drawn criticism from broadband companies, which fear it will hit infrastructure investment. Retailers and telecom bosses urge exemptions for “anchor” stores and key networks to protect jobs and vital services. The Treasury says the changes, effective from April, will lower rates for most retail, hospitality, and leisure businesses, funded by a higher rate on less than 1% of the largest properties.

The UK’s creative industries are facing significant challenges due to rising rents and a lack of suitable workspace, according to a report from Design District. Rents have surged by 33% since 2019, leading to a 23% decline in office space leased to creative tenants. Laura Flanagan, director at Design District, said that if the issues around climbing workspace costs and tighter margins “continue to snowball,” creative industries “will continue to be priced out of London.” The Government’s Creative Industries Sector Plan aims to support regional growth, but Ms Flanagan has emphasised the need for both public and private investment to address these issues effectively.

Retail sales in the UK are expected to decline significantly ahead of the Budget, according to a new survey by the Confederation of British Industry (CBI). The survey indicates that sales volumes could drop from -29% in September to -39% in November. Martin Sartorius, principal economist at the CBI, noted that the retail sector is experiencing a “prolonged downturn” with consumer confidence remaining low. He said: “Persistent uncertainty ahead of the Autumn Budget is deepening the strain on retailers.”

Chancellor Rachel Reeves has suggested that the Budget could see tax hikes and spending cuts as she looks to build fiscal headroom beyond £10bn to safeguard the UK economy. Speaking at a gathering of business leaders in Saudi Arabia, Ms Reeves said: “We are looking, of course, at tax and spending to ensure that we both have resilience against future shocks by ensuring we’ve got sufficient headroom, and also just ensuring that those fiscal rules are adhered to.” She also highlighted the need for sustainable public finances and indicated that raising income tax might be considered, despite it conflicting with Labour’s manifesto pledge that income tax, VAT and National Insurance would not be increased. Ms Reeves said that the Government’s “number one ambition … is to grow the economy,” adding that “getting economic and fiscal stability is the absolute bedrock of that because you can’t have any plan for growth that is not built on that basis of stability.” She added: “That is why we are embarking on a journey of fiscal consolidation.”

A survey commissioned by Hargreaves Lansdown has found that potential income tax rises are the biggest concern ahead of the upcoming Budget, with higher-rate taxpayers particularly anxious. The concern outweighs worries about increases in VAT or inheritance tax. For higher earners, the possible removal of tax breaks on pension contributions was flagged as a major worry, with this second only to concerns over an income tax hike. Sarah Coles, head of personal finance at Hargreaves Lansdown, said: “Statistically, the tax you’re most likely to be worried about rising in the Budget is income tax, and thanks to frozen thresholds, this is nailed on.” She added: “Unfortunately, the second biggest worry is VAT, and thanks to inflation, there’s every chance you’ll automatically be handing over more money to the taxman in VAT too.”

Former Institute for Fiscal Studies director Paul Johnson has warned that a potential mansion tax would not significantly address the UK’s £50bn budget deficit. Chancellor Rachel Reeves is reportedly considering a 1% annual charge on properties valued over £2m, but experts argue a broader reform of property taxes is necessary. Mr Johnson says there is a need for council tax to reflect current property values and the elimination of stamp duty.

Russell Borthwick, chief executive of the Aberdeen & Grampian Chamber of Commerce, has voiced concern over the impact of the Energy Profits Levy on the North Sea oil and gas sector. He argues that removing or replacing the windfall tax “is the only credible way to slow the decline, stabilise investment and keep the skills and supply chains that Britain needs.” He suggests that the upcoming Budget presents a critical opportunity for the Government to support the energy sector and safeguard employment.

The Financial Conduct Authority (FCA) is considering changes to reduce the timeline for initial public offerings (IPOs) in London by up to a week. This move aims to revitalise the City’s IPO market, which has seen a decline in activity and major companies relocating their listings. Jonathan Parry of law firm White & Case said: “We are now in the early stages of a recovery in the IPO cycle, with companies and investors eyeing the longer-term attractiveness of the UK as a listing venue,” adding: “Any further reforms will help build on the growing IPO momentum and help London reassert its position as Europe’s largest and pre-eminent listing venue.” The FCA has already made reforms to the prospectus regime and is exploring further changes to enhance the attractiveness of London as a listing venue.

The Resolution Foundation has called for amendments to Labour’s Employment Rights Bill, which proposes granting employees the right to sue for unfair dismissal from day one. Ruth Curtice, chief executive of the think-tank, has warned that this could deter firms from hiring due to increased risks and suggested that the UK “risks lurching from one extreme to another.” The Resolution Foundation suggests a qualifying period of three to six months instead. The think-tank also cautioned against applying the national living wage to all over 18s, saying employment for graduates and young adults could be hit if employers are forced to raise wages by as much as 7%.

The number of female high-earners in the UK – those earning over £125,000 and paying the top rate of income tax – has climbed 12% year-on-year to reach a record high of 284,000, according to Bowmore Wealth Group. Women now make up 26% of top-rate taxpayers, reflecting growing representation in senior roles, especially in finance, law, and corporate leadership, where 43% of FTSE 350 boards include women. However, a significant gender gap remains as men still dominate the top earnings bracket, accounting for 86% of million-pound earners. While 2,500 men are paid at least £1m, the number of women earning this amount stands at 400.