Robert Salter at Blick Rothenberg says his wealthy clients are becoming fatigued by Labour’s constant threats to tax wealth. “Most people are happy to pay their fair share of tax as long as they think it is fair. It’s the uncertainty and wider messaging that frustrates people,” he says. His comments come after former health secretary Wes Streeting said he would align capital gains tax with income tax and his fellow Labour leadership hopeful Andy Burnham suggested a 10% tax on all estates. Adam Jefferies from PKF Littlejohn said the rich were now taking a wait-and-see approach, knowing that they can change their behaviour very quickly once the policies are decided. “That’s the problem with taxing all the wealthy people, they can just up sticks and leave.” Michael Mosbacher dissects the logic of aligning CGT with income tax in the Sunday Telegraph, pointing out that by some estimates, its full equalisation could cost the Treasury as much as £10bn per year.

Recent tax changes are increasing inheritance tax exposure for Brits overseas, particularly following the abolition of the non-dom regime. Non-UK assets remain in the scope of IHT for a “tail period” that sees them left within the remit depending on how long an individual lived in the country. Financial advisory firm deVere Group estimates around 4.8m Britons overseas could still be caught by UK IHT rules. Advisers have also warned that reforms coming in 2027 will bring unused pension pots and death benefits into the IHT net, potentially creating combined IHT and income tax liabilities for beneficiaries, especially where overseas succession taxes also apply.

The Telegraph details how new EU border controls that require British travellers to have their fingerprints taken and faces scanned could trigger tax investigations for holiday home owners and workers staying abroad. Accountants warn that the data captured by the new biometric checks will be available to tax authorities, including HMRC, making it easier to identify those who have failed to correctly register their tax residency. Dawn Register at BDO points out that although HMRC already uses Border Agency data and other sources to check taxpayer movements, information from the EU’s entry-exit system will provide even more data to help them determine a person’s residency status.

The freezing of tax thresholds until 2031 has resulted in 7m additional people entering the income tax net. The number of income taxpayers rose to 40m in the 2025/26 tax year, an increase of 1.3m from the previous year. Sarah Coles, head of personal finance at AJ Bell, says it is “worth considering ways to keep income tax to a minimum,” including making pension contributions, getting tax relief at the highest marginal rate, or using a Cash ISA to protect savings interest from tax.

Technology entrepreneurs and investors are calling for greater support for British and European technology companies, arguing that businesses and public bodies too often favour established US providers over local alternatives. The “Built in Europe” campaign, backed by leaders from firms including Revolut, Wayve, ElevenLabs, Synthesia and Beauty Pie, aims to promote home-grown innovation and challenge perceptions that Europe lags behind Silicon Valley. Supporters say stronger backing for domestic technology firms could help drive growth, investment and job creation. The campaign coincides with the UK government’s new £500m sovereign AI fund, which will support AI start-ups through funding, computing resources and talent initiatives.

Private equity interest in professional services is declining, with investors growing more selective as the most attractive targets have already been acquired. Investors are also proceeding with caution as partnership structures, reliance on key individuals, and weak client “stickiness” make many firms harder to buy. At the same time, AI is creating uncertainty about future growth in services like recruitment and consulting, adding to caution. A recent report by Macfarlanes shows that 75% of professional services firms are ‘very likely’ to consider private capital investment in the next five years.

Hospitality leaders are calling on the Chancellor to reverse recent increases in employer national insurance contributions (NICs), citing a rise in youth unemployment. Jonathan Neame, CEO of Shepherd Neame, noted a 15% drop in hires at his pubs, while applications surged by 41%. Elsewhere, David McDowall of Stonegate pointed to the increased costs of hiring, urging the Chancellor to support job creation. UKHospitality echoed these concerns, stating that rising employment costs hinder job opportunities for youth. The warnings come after a report by Alan Milburn revealed that over 1m young people aged 16 to 24 are now not in education, employment, or training (Neets).

The Bank of England has downplayed suggestions that it will need to raise interest rates amid ongoing uncertainty stemming from the conflict in the Middle East and weak UK growth. Governor Andrew Bailey said that tolerating inflation above the Bank’s 2% target is acceptable for now, but noted that this could change if inflation shows signs of becoming permanent, saying that “tolerance would weaken if signs of second-round effects begin to emerge.” Mr Bailey noted that officials “have to monitor the situation in the Middle East and how it affects the UK economy and inflation very closely and adjust policy as required.”

Sir Keir Starmer’s proposed EU trade deal may exacerbate rising food prices, according to the Food and Drink Federation. The deal requires over 400 UK regulations to align with EU laws, necessitating costly adjustments for businesses. The Government plans to implement the agreement by mid-2027, despite industry calls for more time to adapt. Rising energy costs, driven by the Iran conflict, are expected to push food prices up by 9%. Karen Betts, CEO of the trade body, said Sir Keir’s EU reset would only add to rising costs. “Businesses are going to have to make changes to their supply chains and operations,” she explained.

British pension providers have been warned that companies on smaller exchanges have experienced minimal impact from the Mansion House accord, which aimed to boost domestic investment. The Quoted Companies Alliance expressed concern to 17 major pension funds and the pension minister about the lack of funding for its members. James Ashton, CEO of the QCA, said: “Twelve months on from this pledge, the Aim and Aquis companies we represent have seen little or no visible effect in terms of new capital flows.” The accord requires pension providers to allocate 10% of their portfolios to private markets by 2030.

Sir Keir Starmer has appointed Marc Bolland, former CEO of Marks & Spencer, to address a youth unemployment crisis which is affecting over 1m young people not in education, employment, or training (NEET). The Milburn Review, led by former Labour health secretary Alan Milburn, estimates this issue costs Britain £125bn annually. Bolland will serve as the lead non-executive director at the Department for Work and Pensions (DWP) and will work with business leaders to create job opportunities for 16-24-year-olds. Meanwhile, analysis from Oxford University’s Migration Observatory reveals that 31% of hospitality roles and 34% of admin positions in the UK are occupied by foreign nationals. This trend is particularly pronounced in London, where 64% of hospitality jobs are filled by migrants.

The UK faces a significant challenge with over a million young people classified as “Neets” – not in education, employment, or training. Commenting on the problem, Mark Reynolds, co-chair of the Construction Skills Mission Board, says in the Sunday Times that the construction industry loses the skills and potential of more than 50,000 young people each year because, once their training finishes, employers don’t have the confidence to invest the time needed to turn apprentices into productive, long-term employees. The Government should review increases to national insurance and other costs, which have increased the risk of putting someone on the payroll, Reynolds adds.

More than two-thirds of UK employers warn that a proposed tax on salary sacrifice pension contributions could lead to job cuts, offshoring, or reduced investments. A survey by the Confederation of British Industry (CBI) revealed that the tax exemption’s removal would particularly impact young workers and those re-entering the job market. Starting April 2029, national insurance contributions will apply if salary sacrifices exceed £2,000.

The UK’s most prominent banks are urging Chancellor Rachel Reeves to enhance the Government’s Growth Guarantee Scheme (GGS) to increase capital for SMEs. UK Finance, representing major banks like Barclays, Lloyds and NatWest, has requested a five-fold increase in the maximum loan limit to £2m, backed by a 70% Government guarantee. Chief executive Davis Postings notes that demand for loans exceeds current allocations, with potential for over £10bn in additional SME turnover.