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UK retailers are bracing for higher employment costs this year. A British Retail Consortium survey found 84% of retail finance chiefs now rank labour and employment costs among their top three concerns, up from 21% in July 2025, as Employment Rights Act changes begin to be implemented.
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Record numbers of Brits starting businesses, but growth risks remain. Despite increased entrepreneurial activity, innovation and export levels among SMEs have dropped to a four-year low, with looming funding gaps threatening future growth. Uncertainty over business support adds to these challenges.
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UK unemployment rises as AI reshapes hiring decisions. New data suggests scale-up founders are slowing recruitment as automation accelerates and employment costs climb, raising questions about how artificial intelligence is influencing the broader labour market.
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UK SME wages fell in January. Employment growth reached 4.4% year-on-year, its strongest level since March 2025, even as monthly pay declined for the first time in 12 months, according to Employment Hero’s latest UK Jobs Report.
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NatWest eases lending restrictions amid energy security pressures. The bank has relaxed its fossil fuel lending policies, reflecting increased energy security concerns and shifting national priorities despite global climate goals.
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UK unemployment reaches highest level in five years. Official figures show the jobless rate rose to 5.2% in the three months to December 2025, as wage growth slowed and policymakers debated the impact of rising labour costs on youth employment and business hiring decisions.
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KKR acquires Arctos Partners for $1.4bn, reshaping private equity. The acquisition offers immediate access to a diversified sports portfolio and highlights a shift in private equity towards more sophisticated structures and governance amid increasing regulatory scrutiny.
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UK IT teams lead Europe in future-readiness confidence. Yet fewer than four in ten describe their organisation’s AI capabilities as mature, despite widespread agreement that artificial intelligence will be central to long-term resilience.
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Jungle Creations opens Manchester office to scale northern growth. London-based social publisher establishes permanent King Street base after expanding its remote team by 80% in its first year, reinforcing investment in northern talent and regional client growth.
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UK employees welcome AI but demand human oversight. A nationwide survey of 2,000 employees finds strong enthusiasm for artificial intelligence in the workplace, but clear insistence that accountability and final decision-making authority remain with people as adoption expands.
