Shadow Business Secretary Andrew Griffith has accused financial regulators of neglecting London’s capital markets, saying that this hampers the UK’s competitiveness. He pointed to the London Stock Exchange’s struggles, with takeover bids outpacing new entrants by 27 times, and suggested that regulators are “spending their time jetting off to regulatory mutual admiration fests.” Mr Griffith has warned against excessive regulation and urged ministers to opt against “more complicated tax rules.” He also warned that “left-leaning” rules, such as caps on executive pay and strict ESG targets, are restricting growth and amount to “epic self harm.”

The International Monetary Fund (IMF) has revised the UK’s growth forecast for 2026 to 1%, up from a previous estimate of 0.8%. This adjustment reflects a less severe impact from the conflict in the Middle East on the UK economy. Despite this improvement, the UK is still expected to lag behind the US and Canada. The IMF’s forecast for 2027 remains unchanged at 1.3%. The revised figure for 2026 is more optimistic than those put forward by Berenberg and EY, who each predict growth of 0.8% this year. The IMF has also predicted that UK inflation could return to the Bank of England’s 2% target by mid-2027.

Research reveals that nearly 25% of young market traders in the UK now hold advanced degrees, including master’s and PhDs. Joe Harrison, CEO of the National Market Traders Federation, noted that this trend reflects a shift in career aspirations among graduates, with many leaving traditional jobs for entrepreneurial opportunities in market trading. Research by the Federation of Small Businesses shows that almost two-thirds of 18- to 34-year-olds would like to run their own business.

Senior executives are increasingly being pushed out by employers racing to complete redundancies before new Employment Rights Act changes take effect in January, according to employment lawyers. The reforms will remove the current cap on unfair dismissal compensation – currently set at £123,543 – potentially making future payouts for highly paid staff significantly more expensive. Law firms report a sharp rise in senior staff seeking legal advice, with employers accelerating consultation processes and targeting costly executives while redundancies remain cheaper. The changes are expected to increase disputes over severance packages and restrictive covenants, as departing executives challenge what they see as unfair treatment.

Nest, the UK’s largest state-backed pension scheme, plans to invest up to £1bn in venture capital by 2030 to enhance member returns and stimulate economic growth. The initial £200m will be allocated to Schroders Capital. Nest aims to increase its private market exposure from 19% to 30% of its £68bn assets. This move aligns with calls from ministers for higher pension allocations to private markets, as venture capital currently represents just 0.5% of UK defined contribution assets.

Many UK investors remain unaware of the fees they pay for investments, according to the Financial Conduct Authority (FCA). The city watchdog’s review revealed that 30% of users on investment platforms lack clarity on charges. It was also shown that just 6% of assessed investment documents were written in plain English, making them hard to understand. The FCA is consulting on proposals to simplify disclosures and improve transparency in investment costs.

UK families could face an additional £120,000 in inheritance tax due to proposed changes, according to Rathbones. The wealth management firm warns that aligning capital gains tax with income tax rates could increase tax bills significantly. Rathbones added that if a capital gains tax uplift on death is abolished, it could further add to bills, delivering a “double blow.” Noting that the impending change in Prime Minister has prompted speculation over economic policy, Ed Wood, financial planning director at Rathbones, said: “With commitments made on the main tax levers, many investors see CGT as a potentially tempting area for area for policymakers looking to raise additional revenue.”

Polling indicates that over 55% of voters expect taxes to rise under a Government led by Andy Burnham, while just 9% believe he would oversee tax cuts. Although Mr Burnham has committed to Labour’s manifesto, which promises no increases in income tax, VAT, or National Insurance, he is said to support a wealth levy and reportedly backs levelling capital gains taxes with income taxes.

An investigation by the Telegraph shows that major UK brands, including British Gas, O2, Evri and Virgin Media, have challenging customer service systems dominated by AI chatbots. These automated systems often trap customers in “doom loops,” making it difficult to reach human representatives. The report found that British customers spend over 445m hours annually on hold, prompting calls for legislation to ensure easier access to human support. Jo Causon, chief executive of the Institute of Customer Service, said that while there is role for AI bots in customer service, customers should always be able to get through to a human.