Latest news with #AutumnBudget
Daily Mail
5 days ago
- Business
- Daily Mail
Retail sales up - but confidence weakens as Britons fear tax hikes
Retail sales momentum returned last month as consumer spending and high street footfall was boosted by record-breaking June temperatures. However, confidence weakened as Britons sensed 'stormy conditions ahead' amid reports the Chancellor is considering tax hikes in the Autumn Budget. Official data published by the Office for National Statistics confirmed evidence of improved retail sales for the month, with volumes up 0.9 per cent in June after plunging 2.8 per cent in May. The ONS attributed the boost to strong sales of drinks, both alcoholic and non-alcoholic, as well as clothes and car fuel, as England recorded its hottest June on record and the wider UK enjoyed its second warmest. However, the increase was smaller than economist forecasts of 1.2 per cent for the month, reflecting the weight an inflation rate of 3.6 per cent continue to place on British consumers. Consumer confidence down Separate data published on Friday further demonstrated the cautious mood that continues to hang over British consumers as they prepare for potential tax hikes in Autumn. The closely-watched GfK consumer confidence index dipped to -19 for July, from a six-month high of -18 in June. However, this is better than forecasts of a decline to -20. Economists polled by Reuters had mostly expected a reading of -20. Neil Bellamy, consumer insights director at GfK, said: 'The data suggests that some people may be sensing stormy conditions ahead. 'With speculation growing over possible tax rises in the Autumn Budget , and price pressure contributing not just to higher inflation already but also to the likelihood of worse inflation to come, the news is worrying.' Weaker consumer confidence also coincides with the 26th consecutive month of real income growth, according to Asda's income tracker, which showed 3.7 per cent for June. Analysts at Shore Capital said: 'All things being equal, one would expect to be reflected in a loosening on customers purse strings. 'This contradiction again highlights the uncertain and fragile nature of the consumer economy in the UK at this time. 'The pressures households felt during the cost of living squeeze in 2022-23 will not be soon forgotten and so as long as the national rhetoric remains one of weak growth, high debt and higher taxes we expect households to remain nervous.' The pound fell roughly 0.3 per cent against the euro and US dollar on Friday morning, to around £1.15 and £1.35, respectively, reflecting greater expectations of a Bank of England interest rate cut next month.
The Sun
6 days ago
- Business
- The Sun
Britain is in grip of a shoplifting epidemic and criminals know they can get away with it
Free to steal BRITAIN is in the grip of a nightmare shoplifting epidemic. Police recorded 530,643 offences in the year to March 2025 — a huge 20 per cent rise in just 12 months. 1 That's nearly three incidents EVERY MINUTE during typical store opening hours of 9am to 6pm. Criminals know the chances of being caught — or the police even bothering to turn up — are pitifully low, so are more than happy to take their chances. And, as with so much that's wrong in this country, it's law-abiding taxpayers who get hit in the pocket. According to retail chiefs, the surge in thefts adds around 6p to every purchase customers make, as they seek to recoup losses topping £1.8billion. What will enrage the public even more is our investigation today, which shows that some organised shoplifting is now being run from INSIDE asylum hotels. Gangs of migrants — put up at your expense — are brazenly thieving luxury items from the biggest names on the High Street, worth thousands. According to our whistleblower, even when they are caught the cops take no action. They are simply sent back to their accommodation, with no impact on their claims to stay here permanently. The policy of putting migrants in hotels has been a total disaster. The inability to stop shoplifters is inexcusable. Both abject failures paint a depressing picture of a Britain that's lost the plot. Taking the rise THE impact of the disastrous Autumn Budget gets worse by the day. Jobs are fast disappearing and growth for the last quarter is barely above zero. Business confidence is on the floor, while costs are rising and household wallets squeezed. Bosses all blame the same thing for the forced redundancies: Labour's wealth-destroying National Insurance rise. Chancellor Rachel Reeves surely realises hitting business isn't the answer. She must change course. You're joking AT last the wait is over. Jeremy Corbyn has officially launched his new political party. It could be bad news for Keir Starmer as he faces losing left-wing support in Labour's marginal constituencies. Hamas -sympathising Corbyn could also hoover up the hardline elements of the pro- Palestinian lobby. Corbyn's union-backed band of moaning socialists could end up calling it Your Party.
Daily Mirror
22-07-2025
- Business
- Daily Mirror
RACHEL REEVES: 'I have never accepted that decline is Britain's inevitable path'
Giving the go-ahead for the Sizewell C nuclear power plant project shows Labour is 'getting on and delivering it' One year on from the general election and this government's task remains clear: to invest in Britain's renewal so we can rebuild our country's security, its health, and the economy. We have already made great strides towards achieving this. We have delivered the biggest uplift in defence spending since the Cold War that will not only help towards keeping our country safe from new global threats but will protect and create tens of thousands of good jobs across our industrial heartlands. The decisions we took at the Autumn Budget last year mean we can keep our commitment to putting the NHS back on its feet, with record investment that is going towards cutting hospital waiting lists. And we are investing in our country's economic future, with more than £100billion of new capital investment in homes, transport, and energy. I do not accept - and have never accepted - that decline is Britain's inevitable path. Instead, this government is taking the right choices today to build a brighter and more secure future. No project reflects this Government's ambitions more than our commitment to Sizewell C. For years, politicians have talked about investing in cleaner, cheaper energy. We are getting on and delivering it. At the spending review last month, I announced an initial multi-billion-pound investment to fund Sizewell C, so we can power the equivalent of around six million homes with clean, homegrown energy that we control. Today, we have struck a deal with EDF, Centrica, La Caisse, and Amber Infrastructure. It is the biggest investment in clean and homegrown energy this century, and learning the lessons of the past, represents a saving of around 20% when compared with Hinkley Point C. These deals mean construction can get underway, thousands of jobs will be created, and millions of people will benefit from cheaper, cleaner power, putting more money in their pockets each month. But this deal is not just proof this Government is getting things done, it shows the huge confidence companies at home and overseas have in investing in Britain's future. Since the election, we have seen announcements of over £100billion of private sector investment. From Universal's investment in a new theme park in Bedford to Oracle's investment in cutting-edge cloud infrastructure here in the UK. And the reforms I announced last week in the City to free financial services from red tape have been welcomed by HSBC, Royal London, the CBI and others as opening the door for future investment and making us even more competitive on the world stage. We promised change at the election, and we are delivering that change. We have put a stop to the dither and delay. We have ended the previous government's commitment to decline, with a plan for national renewal - and we are just getting started.
RTÉ News
22-07-2025
- Business
- RTÉ News
UK borrowing climbs as inflation pushes up debt costs
Britain borrowed more than expected in June as high inflation pushed up the government's debt costs, according to data that is likely to add to speculation about the need for fresh tax increases by finance minister Rachel Reeves. Public sector net borrowing totalled £20.7 billion last month, the data showed, higher than a median forecast of £16.5 billion in a Reuters poll of economists,and the second highest for June on record. The borrowing was also higher than expected by Britain's budget watchdog, the Office for Budget Responsibility, which forecast borrowing of £17.1 billion in June when it published its outlook in March. That was before a strong inflation reading in April had the effect of pushing up inflation-linked government bond payments. The data from the Office for National Statistics showed interest payable on central government debt was £16.4 billion in June, the third highest since monthly records began in 1997. Reeves is expected to raise taxes in a budget statement towards the end of 2025 in order to remain on track to meet her targets for fixing the public finances. That job was made harder by the UK government dropping its plans to save money from the welfare bill due to stiff opposition from within Prime Minister Keir Starmer's Labour Party. Slow economic growth is also adding to Reeves' problems. "Recent U-turns on welfare and persistent growth headwinds could open a gap against fiscal targets, which could require further tax rises or spending cuts in the Autumn Budget," Dennis Tatarkov, senior economist at KPMG UK, said. Darren Jones, a deputy to Reeves at the Treasury, said the UK government remained committed to its fiscal rules, chief among them a promise to cover day-to-day spending with tax revenues by the end of the decade. Over the first three months of the fiscal year which began in April, Britain borrowed £57.8 billion, 15% more than in the same time last year and the third-highest April-to-June deficit on record. However, the figure was in line with the three-month forecast by the Office for Budget Responsibility, offering some comfort to Reeves. The public finances have been bolstered by her increase in social security contributions paid by employers. Compulsory social contributions - mostly National Insurance Contributions - jumped by 18% in the April-to-June period to £48 billion.
Scottish Sun
17-07-2025
- Business
- Scottish Sun
Amount of unemployed Brits hits four-year HIGH after Rachel Reeves' NI hike as UK in ‘serious jobs recession'
Click to share on X/Twitter (Opens in new window) Click to share on Facebook (Opens in new window) BRITAIN has been plunged into a "serious jobs recession" as unemployment hit a four-year high, the Chancellor has been warned. Rachel Reeves was ordered to turn her Autumn Budget into a pro-growth platform after her £25 billion tax raid on business that kicked in from April. Sign up for Scottish Sun newsletter Sign up Official figures show the numbers on company pay rolls fell by 25,000 in May on the back of 41,000 just last month. But the unemployment rate edged up from 4.6 per cent to 4.7 per cent, according to figures from the Office of National Statistics. Lord Matthew Elliott, of the Jobs Foundation, said: "Today's figures confirm that the UK is now in the midst of a serious jobs recession. "The steepest fall in employment since the pandemic is a serious wake up call to the Government. 'The hike to Employer NICs has had the predicted damaging impact on jobs, and businesses are now worrying about further tax rises to come in the Autumn Budget. He added that Ms Reeves "must deliver a pro-growth, pro-jobs plan in the Autumn Budget'. Shadow Business Secretary Andrew Griffith said that unemployment 'is the only thing growing under Labour'. There will now be mounting pressure on the Bank of England to cut interest rates early next month to help kick-start the sluggish economy. Business are also braced for the new workers' rights package that is going through Parliament that will only add to firms' costs. Government estimates say that business will be hit for a staggering £5 billion as a result of the package that includes day one workers rights and a boost for trade union powers. The Chancellor heads to South Africa today to tell finance chiefs at the G20 that Britain is a "beacon of stability". It comes after her Mansion House speech this week where she called for red tape to be ripped up to help the City. But in recent months Britain has been hit by a shrinking economy and caught up in the global tariff war triggered by US President Donald Trump. Economy woes continued for Ministers as Jaguar Land Rover revealed that they were making 500 managers redundant as part of a voluntary scheme. Neil Carberry, of the Recruitment and Employment Confederation, said the Chancellor must be reassured that there will be no more punishing taxes this Autumn in the Budget. He warned: "If Government can increase businesses' and families' willingness to spend for the future, we would likely see a positive trend in both the labour market and the wider economy. "A reduction in the interest rate next month will help with that but so will reassuring firms that they don't face another swingeing tax raid in the Budget, and fixing the impracticalities in the Employment Rights Bill – a piece of legislation that is not yet suited to the modern workplace."
