Business

Leading AI and tax specialists have warned that the government’s failure to reform the UK’s tax system for the age of automation could trigger what one expert calls a “fiscal collapse engineered by the Treasury itself.” Ahead of the November Budget, Chancellor Rachel Reeves faces an unprecedented balancing act: investing billions in artificial intelligence to boost growth, while preventing AI-driven automation from hollowing out the country’s tax base. The UK currently relies heavily on income...

Beijing has issued a strong warning to Washington, promising retaliation if U.S. President Donald Trump follows through on his threat to impose 100% tariffs on Chinese imports by 1 November — a move that risks reigniting a full-scale U.S.–China trade war. In a statement on Monday, China’s commerce ministry accused the U.S. of “wilful threats” that would “escalate tensions and damage global trade stability.” “China’s position on the trade war is consistent,” the ministry said....

The Chancellor, Rachel Reeves, risks fuelling inflation and damaging small business growth if she reduces the VAT registration threshold in the Autumn Budget, according to leading audit, tax and business advisory firm Blick Rothenberg. The warning comes amid growing speculation that the Treasury is considering lowering the current £90,000 VAT threshold in a bid to raise revenue and bring more small businesses into the tax system. However, Gabby Donald, a partner at Blick Rothenberg, said...

Japanese investors have poured almost £118 million into Greater Manchester over the past year, in a fresh sign of the region’s growing international profile — but business leaders say Whitehall must match that confidence with long-term support for regional growth. New figures show a surge in Japanese investment in the North West, led by companies such as Astemo, Daikin and Mizkan, which have expanded their presence or established new operations in the area. The wave...

The Co-op has warned that Britain’s high streets face a tipping point, with new research revealing that 60,000 small shops and 150,000 jobs could vanish without urgent reform of the business rates system. The warning comes ahead of the Autumn Budget and follows YouGov research commissioned by the Co-op showing that seven in ten Britons (69%) doubt the Government will deliver meaningful rates relief, despite repeated promises in recent years. The retailer said the findings...

Lloyds Banking Group is putting its entire senior leadership team — including chief executive Charlie Nunn — through an intensive six-month artificial intelligence (AI) bootcamp as the bank commits to embedding generative AI across its operations. The programme, created by education technology firm Cambridge Spark in collaboration with experts from the University of Cambridge, is designed to teach Lloyds’ most senior executives how to “reimagine the future of banking” through the use of AI. According...

Lloyds Banking Group has set aside an additional £800 million to cover potential compensation claims related to the car finance mis-selling scandal, as the UK’s financial regulator finalises plans for a sweeping redress scheme. The FTSE 100 lender said the provision “reflects the increased likelihood of a higher number of historical cases being eligible for redress” and a “higher level of redress than anticipated” under previous assumptions. The move follows last week’s update from the...

Financial experts have urged the Chancellor to abandon any plans to expand VAT coverage in the forthcoming Budget, warning that the move would “bludgeon UK consumers and businesses”, drive up costs and undermine key government policy goals. The warnings come amid reports that Treasury officials are considering broadening VAT to previously exempt services such as private tuition, financial advice, postal services, burials and cremations, private healthcare, property rentals, and non-profit sport or education — in...

Electric vehicle charging software company Fuuse has raised a further £6 million from its existing investors, Par Equity and YFM Equity Partners, as it accelerates growth and moves closer to profitability. The Lancaster-based platform — which provides EV charge point management software and services — said the follow-on investment came at an increased valuation after the company more than doubled its recurring revenues since its previous funding round. The new capital will be used to...

The consortium behind PPE Medpro has announced its readiness to enter discussions with the company’s administrators to explore a possible settlement with the government, following the High Court’s ruling that the firm must repay £121.9 million for breaching its PPE contract with the Department of Health and Social Care (DHSC). In a statement shared with Business Matters, a spokesperson for the consortium said: “The consortium partners of PPE Medpro are prepared to enter into a...