Research reveals that over a third of family businesses in the UK are at risk of closure due to recent tax hikes. A poll indicates that nearly 66% of the 4.8m family firms are concerned about their future. The study from WSP Solicitors shows that 84% believe proposed changes to VAT and personal taxes would worsen their situation. Peter Mardon, commercial director at WSP, said: “Businesses of all shapes and sizes are having to make tough decisions.” Additionally, 14% of firms have abandoned succession plans due to the tax environment.

According to The Times Wealth Survey, one in four top-rate taxpayers are reducing spending on luxuries like holidays and home improvements. About 25% of those earning over £125,000 reported spending less on these areas, while 32% are cutting back on entertainment. Despite this, over half of high earners are spending more on groceries and holidays. Andrew Goodwin from Oxford Economics noted that consumer spending, which constitutes over 60% of GDP, is crucial for the economy. He said: “Consumer spending power has recovered strongly… but consumers have been so cautious.”

The Chancellor’s upcoming Budget is unlikely to meet market expectations, according to analysts at Deutsche Bank. They predict it will leave UK public finances precarious. Sanjay Raja commented: “The autumn Budget will likely leave many more questions than answers.”

Labour leader Sir Keir Starmer has refused to rule out extending the freeze on income tax thresholds in the upcoming Budget, a move opponents argue would break Labour’s pledge not to raise taxes on working people. Amid speculation that the measure is being considered by Rachel Reeves, Tory leader Kemi Badenoch pressed the Prime Minister on the issue in the Commons, and hit out at the Chancellor for floating policies ahead of the Budget, only to retract them. Mrs Badenoch said: “The Budget chaos is causing real anxiety. People aren’t buying houses, businesses aren’t hiring, and they are cancelling investment decisions.” Meanwhile, the shadow chancellor Sir Mel Stride has written to the Office for Budget Responsibility seeking clarity on claims that Ms Reeves dropped plans to increase income tax in response to better-than-expected economic forecasts. Her change of heart came two weeks after the OBR’s final forecasts were due to be submitted, prompting speculation the reversal was in fact motivated by a leadership crisis for the PM.

Analysis reveals that workers caught in the high income “tax trap” have lost up to £38,000 due to frozen income thresholds. Those earning between £100,000 and £125,140 face a 62% tax rate on additional income as their personal allowance is gradually withdrawn. This situation has persisted since the thresholds were set in 2010 and 2017, despite rising inflation. Shaun Moore from Quilter said: “The £100,000 cliff edge has become one of the most damaging distortions in the tax system.” The Chancellor is expected to extend the freeze until 2030, potentially raising £8.3bn for the Treasury.

SAPI, co-founded by Mai Le and Alexis van Lennep, has secured $80m (£61m) in funding to expand its international operations. The funding includes $75m in debt financing and $5m in equity, led by Hudson Cove. SAPI focuses on providing financing to small businesses, particularly those owned by immigrants and women. Le stated: “Having the right backer at the right time can fundamentally change someone’s life.” The company aims to address the funding gap for smaller British businesses through embedded finance, which could exceed €100bn by 2030 according to McKinsey.

UK investors have pulled roughly £26bn from London-listed equities so far in 2025 – the highest level on record – despite the FTSE 100 being on course for its best year since 2009.

Real estate investment in London is set to exceed £14bn in 2025. This marks a significant increase compared to 2023 and 2024, although it remains below the 10-year average of £18.1bn. Factors such as lower interest rates and a return-to-office mandate are boosting confidence. Investment in offices, particularly in finance, accounts for about a third of total real estate investment, with prime rents rising over 10% year on year.

The Financial Reporting Council (FRC) has published practical insights to help smaller listed companies improve the quality of their corporate reporting. “Thematic review: Reporting by the UK’s smaller listed companies” aims to help companies improve their reporting quality on four key areas through better understanding of requirements and good practice, providing greater detail on the common triggers for FRC enquiries. Those areas are: revenue recognition, cash flow statements, impairment of non-financial assets and financial instruments. The regulator also encourages auditors to use the report to understand the FRC’s review approach and focus areas.

Nvidia reported revenue of $57bn for the three months ending in October, up 62% year-on-year and surpassing Wall Street expectations. Earnings per share reached $1.30, also exceeding forecasts. Nvidia’s share price has surged over 230% in the past year, making it the first company valued at $5trn. But shares had fallen 11% from their peak in early November over fears of a bubble in the AI sector. After the earnings report, the company’s stock climbed as much as 6%. “There has been a lot of talk about an AI bubble. From our vantage point we see something very different,” said Jensen Huang, Nvidia’s chief executive. He added that sales were “off the charts” for its latest chips.

The UK’s inflation rate decreased to 3.6% in October, according to the Office for National Statistics (ONS). The decline was less than the anticipated 3.5%. Food prices rose by 4.9%, countering the easing inflation driven by lower gas and electricity costs. The Chancellor said: “This fall in inflation is good news for households and businesses… but I’m determined to do more to bring prices down.” The Bank of England remains cautious about interest rate cuts, with forecasts suggesting the 2% inflation target won’t be met until early 2027. The unemployment rate has also risen to 5%.

Rachel Reeves is set to approve plans to extend the Docklands Light Railway to Thamesmead, creating up to 10,000 jobs and enabling the construction of 30,000 new homes. Thamesmead was identified by the Government’s New Towns Taskforce as a site for thousands of new homes in September, but the development of a riverside settlement hinges on government-backed funding for a DLR extension to the area.