Latest news with #growth
The Independent
2 hours ago
- Business
- The Independent
Watchdogs insist reducing regulation will not increase risk of financial crisis
Financial watchdogs have insisted that the risk of a financial crisis will not increase as a result of measures announced by the Chancellor to cut regulation in a bid to deliver growth. Under questioning by the Commons Business and Trade Committee, a senior civil servant also confirmed the target to cut red tape by 25% will be measured in terms of costs to firms of current requirements, with a baseline set to be confirmed in 18 months. Rachel Reeves has unveiled a package of reforms to the UK's financial system aimed at boosting the economy and spurring on retail investing. The changes include reforming the bank ring-fencing regime and reducing burdensome regulation in the City in order to reintroduce 'informed risk-taking' into the financial system, the Government said. The Chancellor said the 'Leeds reforms', unveiled in the West Yorkshire city, 'represent the widest set of reforms to financial services for more than a decade'. Liam Byrne, Labour chairman of the Business and Trade Committee and a former chief secretary to the Treasury, said evidence suggests liberalisation of regulation is 'often accompanied by lending booms that end badly'. He asked senior officials tasked with implementing the changes whether the announcements made by the Chancellor would increase the risk of a financial turmoil. David Bailey, executive director at the Prudential Regulation Authority (PRA), said the organisation had 'built overall resilience in the system' since the financial crash in 2008. He added: 'The risk of a financial crisis, from the PRA's perspective in banking insurance, has not gone up because we have maintained the same level of reliance.' Sarah Pritchard, deputy chief executive at the Financial Conduct Authority, said there should be a public debate about 'where should the risk appetite be set' if, for example, greater access to mortgages leads to an increase in repossessions in the event of an economic downturn. When pressed on how measures announced today are different to previous 'liberalisation' implemented before previous financial crises, she added: 'There is nothing in today's set of announcements that causes me any different concern to that that David has set out.' When questioned on whether the measures will lead to a rise in asset prices if lending increases, Ms Pritchard added: 'There are a range of different factors at play. 'I think regulation is one aspect, but the general environment in which we all operate, in particular the UK being a global connected system, there is no one point that I would refer to in terms of that package today that is saying that will cause any different market risk or volatility.' Mr Byrne later pressed Chris Carr, director at the Department of Business and Trade, on how the target to reduce the administrative burden of regulation by 25% will be set. He confirmed the target is to reduce the burden to the planned level over the course of this Parliament and said the cost in pounds to businesses caused by red tape will be the measure. Mr Carr added: 'We have to agree and publish a baseline of the administrative burden and then strive to reduce it by 25%.' When asked how long it is expected to take for the baseline to be set, competition and markets minister Justin Madders said: 'We think it is going to take about 18 months, which is akin to the timescale it took under the last Labour government's similar exercise.'
Telegraph
2 hours ago
- Business
- Telegraph
Red tape is ‘boot on the neck of businesses', says Reeves
Red tape is a 'boot on the neck of businesses' and risks undermining the UK's dash for growth, Rachel Reeves will say. In a major City speech, the Chancellor will urge Britain's regulators to ditch their 'excessive caution' and rewrite rules for banks and building societies to help more people on to the housing ladder and deliver better returns for savers. On Tuesday, Ms Reeves unveiled the biggest shake-up of financial services regulation in a decade, axing dozens of rules to boost the competitiveness of banks and insurers across the Square Mile. She is set to address City leaders and financial watchdogs at London's Mansion House on Tuesday night alongside Andrew Bailey, the Bank of England Governor, to lay out her plans to boost Britain's financial services sector. 'In too many areas, regulation still acts as a boot on the neck of businesses choking off the enterprise and innovation that is the lifeblood of growth,' she will say. 'Regulators in other sectors must take up the call I make this evening not to bend to the temptation of excessive caution but to boldly regulate for growth in the service of prosperity across our country.' Ms Reeves said slashing red tape would create a 'ripple effect' across the economy 'putting pounds in the pockets of working people'. As part of the offensive, the Treasury has unveiled a string of City reforms targeting consumers, banks, insurers and international investors in an attempt to revive Britain's sluggish economy. The measures, called the Leeds Reforms, will rewrite mortgage rules to make it easier for people to borrow up to 4.5 times their income when buying a house, as well as making it easier to remortgage. Banks will also be allowed to start pitching stocks and bonds to ordinary investors through a new regime known as 'targeted support', having been banned from doing so in the aftermath of the financial crisis. Major financial institutions such as Barclays and NatWest are also backing an advertising campaign with echoes of the 'Tell Sid' British Gas scheme in the 1980s to urge people to buy shares. Earlier this year Ms Reeves wrote to the Financial Conduct Authority (FCA), the Prudential Regulation Authority (PRA) and the Competition and Markets Authority (CMA) along with a number of other watchdogs asking them for a list of five things to boost growth. In a sign of her intent, the Chancellor effectively removed Marcus Bokkerink – the chairman of the CMA – after losing faith in his leadership.
The Sun
2 hours ago
- Business
- The Sun
Raising taxes will kill off growth, Reeves warned as she pledges to rip up business red tape
RACHEL Reeves will pledge to take 'the boot off the neck of business' - but was warned that raising taxes at the Budget will kill off growth. The Chancellor insists that firms up and down the country can't be strangled with red tape by regulators with red tape if the UK wants prosperity. 1 She will deliver the warning shot in the annual Mansion House speech as she attempts to turnaround the sluggish UK economy. It's the Chancellor's first major interventio n since she was seen in tears in the House of Commons as she attempts to win over City grandees following the national insurance hike in April. She will say: 'As I look ahead, it is clear that we must do more. "In too many areas, regulation still acts as a boot on the neck of businesses choking off the enterprise and innovation that is the lifeblood of growth. 'Regulators in other sectors must take up the call I make this evening not to bend to the temptation of excessive caution but to boldly regulate for growth in the service of prosperity across our country.' Earlier, Richard Hughes, boss of the independent watchdog, insisted that tax hikes may not be sufficient to get a grip of the debt crisis as it could lead to further sluggish growth. He told the Treasury select committee that there are 'reasons to worry' as they UK has been heavily exposed to shocks such as Covid, the financial crisis and the energy shock. He also rejected suggestions that the Office of Budget Responsibility was driving government policy insisting the Chancellor could have met her fiscal rules without planning £5 billion of welfare cuts. It comes after eight major regulators including the Financial Conduct Authority, Natural England and Environment Agency held talks with the Chancellor to spur growth. She will also use the speech to convince the City she will rip up red tape to make the UK the best place for financial services in the world. She will say: "We have been bold in regulating for growth in financial services and I have been clear on the benefits that that will drive with a ripple effect across all sectors of our economy putting pounds in the pockets of working people. 'Through better deals on their mortgages, better returns on their savings, more jobs paying good wages across our country.' Proposals also include loosening the rules to allow more first-time-buyers onto the property ladder by allowing wannabe homeowners to borrow more than 4 and a half times their salary.
Bloomberg
7 hours ago
- Business
- Bloomberg
China's Growth Momentum Offers Xi Rare Window to Fight Deflation
China's humming factories threw a lifeline to an economy struggling with weak demand in the second quarter. That's also given policymakers space to fight deflation — if they choose to do more than just hitting their growth target. Gross domestic product beat expectations to grow 5.2% between April and June, bringing the official 5% expansion goal for the year within reach. But while strong exports made up for sluggish consumption at home, they also masked a worsening decline in prices that threatens to drag the world's second-largest economy into a prolonged slowdown.
National Post
8 hours ago
- Business
- National Post
WELL Health Subsidiary WELLSTAR Provides Corporate Update Reflecting Improved Guidance and a Strong Acquisition Pipeline
Article content WELLSTAR continues to demonstrate strong growth and business momentum through its sustained organic growth and strong acquisition pipeline. The business is ahead of its internal expectations and has updated its guidance to $74 million (1) in total revenue and $22 million (1) in Adjusted EBITDA (2) for fiscal 2025, ending the year with total ARR of $62 million and an exit ARR (3) of approximately $80 million. WELLSTAR has executed three LOIs for acquisitions that will drive approximately $15 million in ARR, $16 million in revenues and over $5 million in Adjusted EBITDA on an annualized basis. WELLSTAR's recently launched Nexus AI™ solution has generated significant early momentum. As a pre-qualified vendor for Canada Health Infoway's AI Scribe Program, eligible primary care clinicians can now receive a fully-funded Nexus AI license for 12 months. Article content VANCOUVER, British Columbia & TORONTO — WELL Health Technologies Corp. (TSX: WELL) (' WELL ' or the ' Company '), a company focused on positively impacting health outcomes by leveraging technology to empower healthcare providers and their patients, is pleased to provide a corporate update highlighting continued momentum across its majority-owned subsidiary, WELLSTAR Technologies Corp. (' WELLSTAR '). WELLSTAR is tracking ahead of internal expectations, supported by robust organic growth, a strong acquisition pipeline, and accelerating adoption of its Nexus AI solution. Article content WELLSTAR continues to demonstrate strong growth and execution, fueled by accelerating demand for its digital health solutions and steady progress across its platform. The business is tracking ahead of internal expectations and has updated its guidance for fiscal 2025 to over $74 million (1) in revenue and $22 million (1) in Adjusted EBITDA (2). WELLSTAR is also expected to end the year with total annual recurring revenue (ARR) of approximately $62 million and an exit ARR (3) of approximately $80 million, supported by robust organic expansion, continued adoption of its AI-powered tools, and inclusive of completing three acquisitions that are currently in signed LOI stage. Article content Amir Javidan, CEO of WELLSTAR commented, 'We've had an excellent first half to 2025 as both our organic and inorganic growth engines are levelling up and are poised to deliver an outstanding, breakout performance for WELLSTAR in 2025. At the beginning of the year, we set an ambitious goal of reaching $100M in revenues on a run-rate basis in the next couple of years and based on the latest forecasts, we believe we may be approaching that goal a few quarters earlier than previously anticipated. Our current goal for year-end exit ARR for fiscal 2025 is $80 million which would represent a 50% increase over last year's exit ARR figure. Article content Darren Hoegler, CFO of WELLSTAR commented, 'This upward revision reflects stronger-than-expected traction across WELLSTAR's core product suite as well as strong execution in the company's capital allocation program. We currently have three signed LOIs with targets that all deliver high-margin SaaS solutions and would be highly accretive to our business. I'm also pleased to report that the two acquisitions that were completed in Q4 2024 are both operating well and tracking in alignment with or ahead of our plan. Our objective is to ensure disciplined execution and that the company continues to be positioned as a category leader in Canadian digital health, delivering durable, capital-efficient growth with significant operating leverage over time.' Article content Three LOIs Executed as WELLSTAR Executes on Deep Acquisition Pipeline Article content WELLSTAR has executed three letters of intent (LOIs) for acquisitions that are expected to contribute approximately $15 million in ARR, $16 million in revenue, and over $5 million in Adjusted EBITDA on an annualized run-rate basis. These prospective additions reflect WELLSTAR's continued focus on disciplined, accretive growth through the acquisition of complementary digital health assets that strengthen its core platform and expand its national footprint. Article content The acquisitions are aligned with WELLSTAR's long-term strategy to build a technology-enabled healthcare infrastructure that is efficient, scalable, and outcomes-driven. Each target adds strategic value by extending WELLSTAR's clinician enablement capabilities. The integrated nature of WELLSTAR's platform enables smooth onboarding and operational alignment, allowing new assets to benefit from shared infrastructure and drive incremental impact across the broader business. Article content WELLSTAR continues to advance a deep and well-qualified acquisition pipeline, with additional opportunities under review. Article content Strong Early Traction for Nexus AI with Clinicians Nationwide Article content Since its launch on May 7, 2025, Nexus AI has seen strong adoption, with over 2,400 providers signed up across primary care clinics, hospitals, and regional health authorities. Nexus AI's first feature, an ambient medical scribe for real-time clinical documentation, is already demonstrating meaningful value for providers by reducing administrative burden and cognitive load. AI medical scribe technology has been shown to save providers up to two hours per day in charting and documentation (4). Article content Nexus AI serves as the central platform for WELLSTAR's expanding suite of AI-powered capabilities, including disease detection, medical coding and billing automation, and clinical decision support. Its compatibility with Canada's leading EMRs positions it as a scalable infrastructure layer for modern, intelligent healthcare delivery. Article content Clinician engagement with Nexus AI is expected to contribute to WELLSTAR's recurring SaaS revenue and margin profile as deployments scale. Just as importantly, the platform's ability to orchestrate complex clinical workflows in an intuitive and context-aware way supports broader system-level efficiency and provider satisfaction. As a pre-qualified vendor of the Canada Health Infoway AI Scribe Program, eligible primary care clinicians across Canada will receive a fully-funded license for 12 months of Nexus AI. WELLSTAR recognizes this as a transformative opportunity to advance Canada's vision of connected care, where AI-enabled technologies reduce physician burnout, improve patient experience, and allow providers to focus more on engagement and less on documentation. By delivering accurate, secure documentation at the point of care, Nexus AI empowers providers to reclaim meaningful patient connections and supports a broader effort to integrate AI technologies that promote more connected, patient-centred care. Footnotes: Article content WELLSTAR's guidance of $74 million in revenue and $22 million in Adjusted EBITDA in fiscal 2025 includes the impact from the three LOIs noted herein which will contribute approximately $4 million in revenue and $1 million in Adjusted EBITDA for inclusion in fiscal 2025. Note that this figure does not include certain shared services that are provided by WELL Health to WELLSTAR. Adjusted EBITDA is a non-GAAP financial measure. Please refer to WELL's most recent Management's Discussion and Analysis (MD&A), available under the Company's profile on SEDAR+ at for further details including definitions and reconciliations to the nearest IFRS measure. Exit ARR or Annual Recurring Revenue is based on the Company's revenue run-rate or ARR as annualized based on the last quarter of the year. The projected Exit ARR of approximately $80 million includes contribution from the three LOIs noted herein. Source: OntarioMD, AI scribes show promising results in helping family doctors and nurse practitioners spend more time with patients and less time on paperwork, September 11, 2024. Article content WELL HEALTH TECHNOLOGIES CORP. Article content Per: 'Hamed Shahbazi' Article content Hamed Shahbazi Article content Chief Executive Officer, Chairman and Director Article content About WELL Health Technologies Corp. Article content WELL's mission is to tech-enable healthcare providers. We do this by developing the best technologies, services, and support available, which ensures healthcare providers are empowered to positively impact patient outcomes. WELL's comprehensive healthcare and digital platform includes extensive front and back-office management software applications that help physicians run and secure their practices. WELL's solutions enable more than 42,000 healthcare providers between the US and Canada and power the largest owned and operated healthcare ecosystem in Canada with more than 210 clinics supporting primary care, specialized care, and diagnostic services. In the United States, WELL's solutions are focused on specialized markets such as the gastrointestinal market, women's health, primary care, and mental health. WELL is publicly traded on the Toronto Stock Exchange under the symbol 'WELL' and on the OTC Exchange under the symbol 'WHTCF'. To learn more about the Company, please visit: Article content Forward-Looking Statements Article content Certain statements in this press release, constitute 'forward-looking information' and 'forward looking statements' (collectively, 'forward looking statements') within the meaning of applicable Canadian securities laws, including the guidance related to revenue and adjusted EBITDA, and the expected pipeline of future acquisition targets (and the associated run-rate revenue). Forward-looking statements are necessarily based upon management's expectations, while considered reasonable by WELL as of the date of such statements, are outside of WELL's control and are inherently subject to business, economic and other uncertainties and contingencies which could result in the forward-looking statements ultimately being entirely or partially incorrect or untrue. Forward looking statements contained in this press release are based on various assumptions, including, but not limited to the ability to continue to offer its products and services, complete the acquisitions, and the acquisition companies having the expected revenue and Adjusted EBITDA profiles based on WELL's diligence. Article content Known and unknown risk factors, many of which are beyond the control of WELL could cause the actual plans to differ materially from the results implied by such forward-looking statements. Such risk factors include losing customers to competitors, cybersecurity threats which prevent WELLSTAR from being able to continually offer its products, not completing the three acquisitions discussed above, and the other risks discussed under the section entitled 'Risk Factors' in WELL's most recent annual information form, which is available under the Company's respective SEDAR+ profile at which could affect WELL's and WELLSTAR's business. The risk factors are not intended to represent a complete list of the factors that could affect WELL or WELLSTAR and the reader is cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking statements. There can be no assurance that forward looking statements will prove to be accurate. Forward-looking statements are provided for the purpose of providing information about management's expectations and plans relating to the future. WELL disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, or to explain any material difference between subsequent actual events and such forward-looking statements, except to the extent required by applicable law. All of the forward-looking statements contained in this press release are qualified by these cautionary statements. 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