The festive season is fast approaching, yet hospitality businesses may not feel too jolly this year.

Among the worries around the Autumn Budget, rising costs, and other economic difficulties, the UK’s nightlife has taken a hit, with data from Night Time Economy Market Monitor reporting a steep decline in late-evening footfall and spending across pubs, bars, and restaurants.

This revelation comes just three months after the UK Government announced plans to protect venues from noise complaints through its “Agent of Change” principle, which was introduced in July to help revive the high street. 

But with nightlife continuing to struggle post-pandemic, there’s evident worry that changing booking patterns and reduced late-night trade could undermine the benefits of the new protections.

Early-evening trade surpasses traditional peak hours

Many things have changed following the COVID-19 pandemic. This includes Brits’ dining habits, with a large majority opting to eat out earlier — creating a new peak period for hospitality venues.

Data by NIQ’s Night Time Economy Monitor for November 2025 found that the late-night economy has reduced by 4.6% in the last year, largely due to the cost of living crisis, safety concerns, and unreliable transport. It also reported a 28% decrease in the industry since March 2020, when lockdown restrictions prompted a wave of venue closures across the UK.

The preference for earlier dining has also contributed to the ongoing decline of traditional late-night trade.

According to research reported by Restaurant Online, the average preferred start time for a dinner reservation is now 6.12pm, almost two hours earlier than the traditional 8pm peak commonly seen before the pandemic. 

The survey of 5,000 British adults revealed that bookings for reservations between 12pm-6pm rose to 48%, and that just 2% of bookings are now for after 9pm. Convenience (37%) and ease of booking (22%) were among the most common reasons for this.

Government’s noise-compliant protections in question

For hospitality firms already grappling with rising costs and post-pandemic changes, new Government protections may not land as intended if late-night dining is becoming a thing of the past. 

In August, the Government announced plans to revamp the hospitality and nightlife scene by incorporating the Agent of Change Principle into its National Licensing Framework. 

This includes new proposed laws to protect venues from noise complaints by making developers responsible for soundproofing new residential buildings near existing pubs, bars, and music venues — rather than penalising the businesses with fines.

However, with Brits increasingly choosing to dine earlier in the evening, pubs and bars are likely to see less late-night trade. As a result, the Government’s plans may struggle to address the realities of today’s changing consumer behaviours and nightlife patterns. 

What does this mean for the night-time economy?

With fewer customers out during the traditional 7-10pm peak, hospitality businesses may see reduced revenue — even with higher Christmas and New Year trading.

In this year alone, there have been 1,086 pub closures between January and October 2025 — 185 of which were lost to conversion or demolition. This includes multinational brewery BrewDog, which announced plans to close 10 of its bars in the summer.

Further costs are expected too, most notably the upcoming Nuclear Levy, which is set to take effect next month — adding even more financial pressure for already struggling venues.

These ongoing problems have pushed experts to call on the Government to extend its support to hospitality businesses into the new year.

Mike Kill, CEO of the Night Time Industries Association, told Restaurant Online that the Autumn Budget is a “chance to reverse this trend and recognise the late-night sector as the cultural and economic powerhouse it truly is”.

Meanwhile, Reuben Pullan, Senior Insight Consultant at NIQ, adds: “Christmas and New Year trading will bring a much needed boost, but we’re likely to see more closures into 2026 unless the late-night economy gets the support from central and local government that it deserves.”

Discover the ales and ails of hospitality

Planet of the Grapes founder Matt Harris has over 25 years of experience in hospitality. Read his bi-monthly column for Startups now.

Read Whining and Dining

In today’s Autumn Statement, the deputy speaker opened with a remark about the “disappointing” number of recent leaks to the media about the contents of the Budget.

That concern could hardly have been rooted in a fear of spoiling good news for business owners. In fact, the steady stream of media briefings appears to have coincided with a decline in SME optimism about what Chancellor Rachel Reeves planned to reveal.

Thankfully, there were few nasty shocks for business owners. Much of it had been a long time coming; as planned, corporation tax will be capped at 25% for the rest of parliament, while Business Asset Disposal Relief (BADR) will rise to 18% in April.

Notably, reforms to Enterprise Management Incentives (EMIs) also went ahead in what could be a huge boost for the UK’s tech ambitions.

Employers can breathe a sigh of relief that the dreaded forecast of hiked employer National Insurance rates did not materialise. But other measures, including a surprise hike to Dividend Tax, have thrown many entrepreneurs off kilter.

Dividend tax rate hiked

Reeves made a call for evidence into the UK’s tax system, and said the Government will ask for feedback about how it can better support entrepreneurs. One measure that certainly won’t have helped them is the hike to Dividend Tax, leaked by the OBR this morning.

The Chancellor has introduced a two percentage point increase to the basic and higher rates of tax on dividends, which many business owners use to pay themselves, raising them from 8.75% to 10.75% and 33.75% to 35.75% respectively from April 2026.

Kate Underwood, Founder & Chief People Strategist at Southampton-based Kate Underwood HR and Training describes the move as a “tax raid”.

“If you live off dividends, that extra 2% is your mortgage, food shop and kids’ stuff, not some abstract number,” she adds. “You’re the last one to get paid and they’re still coming for you. Keep squeezing owner-managers like this and lots of people will quietly decide a normal job looks a lot more appealing. The UK’s entrepreneurial spirit is being crushed.”

Business rate surtax for large premises

Business rate reform was a major focus area for the Government in its manifesto pledge, but two years in and SMEs have yet to see any impact on their rising rates bills. And, earlier this year, plans to impose a surcharge on larger commercial properties next April were blocked.

In a sudden U-turn, though, the Government has now confirmed the new “surtax” on commercial properties worth over £500k, paid by larger firms, like warehouses. It will fund a permanent discount for over 750,000 smaller retail, leisure and hospitality (RLH) properties.

Despite previous reports that large supermarkets would be exempt from the charge, the Treasury has said that big supermarkets will in fact be affected.

The relief is desperately needed for SMEs. Experts have warned that business rates could increase by £1bn in April; a financial blow that could sink some small ventures.

Still, shifting the burden to large commercial properties could have disastrous implications for coworking, a vital resource for many startups and small businesses.

Natasha Guerra is the founder of Runway East, a flexible office space provider. “Changes to business rates mean fast-growing businesses will no longer get Small Business Rates Relief if they work in a flexible space,” says Guerra.

“Our spaces are not classed as individual offices, and we cannot apply small business rates relief for the businesses we host because our flexible workspace is treated as a single unit. We will have no choice but to pass this cost on.”

Freeze on income tax thresholds extended

One of the headline measures unveiled in this year’s Autumn Budget – and one that will have a big impact on sole traders or those in a business partnership – has been a freeze on income tax thresholds until April 2031.

Ideally, these thresholds increase to ensure that lower earners aren’t punished for receiving a pay rise in line with inflation. But more recently they have been frozen, leaving people paying more in tax, even if the actual tax rates stay the same (known as fiscal drag).

Whether they pay the basic rate, higher rate, or additional rate, sole traders or partnerships who pay income tax on their business profits will likely end up with a hiked tax bill if their earnings increase next year due to inflation. The rates for April 2026 remain:

• 20% on earnings between £12,571 to £50,270 (basic rate)
• 40% on earnings between £50,271 to £125,140 (higher rate)
• 45% on earnings over £125,140 (additional rate)

Colette Mason, Author & AI Consultant at London-based Clever Clogs AI comments: “Yet again every pound you earn above the frozen threshold gets taxed at a higher total, while your costs, energy, materials and wages keep climbing.

“As a business, you’re running harder to stand still, and HMRC gets a bigger slice without Parliament voting on a single rate increase.”

Support for the IPO market

While thin on details, Reeves hinted at various measures in an attempt to strengthen the UK IPO market. They include stamp duty relief on shares for firms that list in the UK, raising the cap on EMIs, as well as a pledge to increase Enterprise Investment Scheme (EIS) limits.

“The decision to raise EIS limits is a significant step in backing British businesses,” says Tim Mills, Managing Partner at ACF Investors. “This is the most immediate and cost-effective way to encourage risk-taking and innovation, and this decision will hopefully supercharge the momentum of successful, ready-to-scale ventures.”

On a related note, the government will reform the cash ISA system to push more households to invest in UK stocks. Consumers will still be able to save up to £20,000 in a cash ISA tax-free every year, but £8,000 of this will now need to be designated for investment.

If the Chancellor can successfully encourage us to invest rather than save in cash, this will channel household wealth into nascent firms to strengthen the wider startup ecosystem.

Whitehall has previously sought greater participation in the stock market via its Private Intermittent Securities and Capital Exchange System, called PISCES, a new regulated trading platform for private companies operated by the London Stock Exchange (LSE).

Free apprenticeship training for SMEs

Reeves also announced that the government is to fund a new “youth guarantee” which she says will provide £820m over the next three years.

Promising to deliver access to an apprenticeship, training, and education opportunities to every 18 to 21-year-old in England, Reeves declared that apprenticeship schemes will become entirely free for under-25s, specifically for SMEs.

Paramita Chatterjee, Vice President, People Business Partner at Cornerstone, describes the change as “encouraging”.

““With 40% of employees’ skills projected to become obsolete within the next four years, many traditional entry-level roles have already been automated. This makes the demand for new, adaptable skill sets more urgent than ever,” says Chatterjee.

R&D tax credits left alone

While more generous R&D tax credits would have been welcome for entrepreneurs, the current state of the UK economy made that an unlikely result.

Previous budgets reduced the benefit to SMEs by lowering the additional deduction rate from 130% to 86%. There were rumours of both positive and negative changes, but in the end, the Chancellor chose to leave this area alone which Fred Soneya, co-founder & General Partner at Haatch, says was “a good outcome” for the tech sector.

“SMEs need certainty and stability if they are to plan for the future effectively,” says Soneya, “and this isn’t possible when policy and taxation are constantly changing, so the Chancellor was right to avoid the temptation to tinker with this.”

Hospitality licensing reforms restated

The Autumn Budget was an opportunity for the government to restate its commitment to the National Licensing Policy Framework, a set of legislation to protect hospitality from red tape.

Among the changes, the new laws will aim to make it easier for late-night venues in the UK to serve food outside, play live music, and stay open later.

Tax loophole fix on “de minimis”

Reeves confirmed that the UK’s “de minimis” tax loophole – which allows overseas retailers to avoid import duties on parcels worth under £135 – will be scrapped, though reports state that the change could be delayed until at least March 2029.

Existing rules have given ecommerce giants such as Shein and Temu an unfair advantage, with large international players facing zero import bills while UK sellers must pay tariffs on all goods they bring in from outside the UK/EU that exceed the zero-rated VAT threshold.

With today’s statement, this advantage may be prolonged for at least four more years, creating more opportunities for large companies to undercut domestic sellers on price.

Minimum wages to rise by 4.1%

We’ve known for a few weeks now that the minimum wage and living wage for workers will rise in April 2026. Yesterday evening, the Chancellor confirmed the increase.

Over 21s will see their hourly pay increase to £12.77, up from £12.21, while workers between 18-20 will get an 8.5% rise to £10.85 from April next year, up from £8.60. Meanwhile, apprentices and under 18s will now earn £8 an hour, up from £7.55.

It’s a smaller increase than last year, when rates rose by 6.7% and 16.3% respectively – alongside employer National Insurance Contributions (NICs). It’s also a way off the Real Living Wage, which is now £14.80 in London and £13.45 across the rest of the country.

That said, the surge still adds up. Employers will likely react to the added employment costs by raising prices and cutting jobs. That’s particularly true in hospitality, where about 4.1% of all jobs in the sector have been lost since NICs rose in last year’s Budget.

Caps for salary sacrifice schemes

Another policy published today relates to employee salary sacrifice schemes. Under the current rules, an employee agrees to pay part of their contractual salary into their pension pot. It is treated as an employer contribution, which means both the employee and the employer save money by paying a lower National Insurance (NI) rate on the amount saved.

However, as confirmed in the Budget, Reeves will limit the amount that can be sacrificed with the NI exemption to £2,000 a year from April 2029. It’s purely fiscal (officials suggest it could raise up to £4bn annually) but one that will shrink pension pots in the long-term.

Commenting on the news, Simon Thomas, Managing Director of Ridgefield Consulting, says, “combined with the recent rise in employer National Insurance, this could place additional pressure on businesses already managing tight margins and may ultimately weaken their ability to recruit competitively.”

Tourism tax for overnight stays

The news that England will introduce a new tourist tax across major towns and cities was confirmed a day before the Budget, as the government’s Communities Secretary, Steve Reed said mayors will be given the power to impose a “modest” charge on visitors staying overnight in hotels, bed and breakfasts, guest houses and holiday lets like AirBnBs.

In Scotland and Wales, businesses in the accommodation sector are already introducing tourism taxes. For example, in Aberdeen, visitors travelling to the city on or after 1 April 2027 will be charged a levy of 7% on overnight accommodation for the length of their trip.

It’s been reported that ministers would look to charge around £2 per night, which would mean a family of four with an extra £56 bill for a seven-night stay. Business travellers, or company retreats, could cost substantially more for larger teams.

New charge for EV drivers

If your business or employees own an electric vehicle (EVs), you’ll have benefited from various grants, subsidies and incentives for purchasing commercial electric fleets, such as the Depot Charging Scheme and EV infrastructure grant.

However, the government is turning the charger down by announcing a 3p pay-per-mile tax for EVs (a bit less for hybrid vehicles). Due on top of other road taxes, the new charge is expected to come into effect in 2028.

So it’s bad news for EV fleets, but better news for petrol and diesel business vehicles. In 2022, the government introduced a 3p cut to fuel duty. While this was set to expire in April 2026, the Chancellor has confirmed it will remain frozen until next September.

“Milkshake” tax

Yesterday, Health Secretary Wes Streeting said in the House of Commons that Soft Drinks Industry Levy (SDIL) or ”sugar tax” will be extended to “bottles and cartons of milkshakes, flavoured milk and milk substitute drinks.”

From January 2028, the levy will also apply to drinks with at least 4.5g of sugar per 100ml (previously 5g) to incentivise manufacturers to reduce sugar levels.

George Holmes, Managing Director of business finance specialists Aurora Capital, says many firms that sell bottled soft drinks, including retailers and F&B venues, will need to rethink their menus and pricing as a result of the shake-up.

“[The government] has to recognise how exposed small firms are to even small changes in cost and consumer behaviour”, he adds.

No increase to trading allowance

There had been calls to increase the trading allowance, a tax relief that allows self-employed individuals, sole traders, side-hustlers and small business owners to earn up to £1,000 per year in trading income before paying tax, in today’s Budget.

As living and operating costs have risen sharply, the £1,000 threshold has increasingly been viewed as outdated. Many argue that failing to update it means it effectively reduces in value each year. Despite this, no announcement was made.

“The trading allowance has remained stagnant since 2017,” says Andy Fishburn, MD at Virgin StartUp. “Even moving the threshold in line with inflation could have made a huge difference for small business owners in the UK.

“This lack of action will be disheartening news for the many small businesses where every penny counts in their efforts to stay afloat.”

AI investment

Ahead of the Budget, the UK government reiterated its wide-ranging AI Action Plan to accelerate the country’s position in AI, centred on the creation of new “AI Growth Zones”, a new sovereign AI unit, and billions of pounds in public and private investment.

Nik Kairinos is CEO and founder of Fountech AI. Kairinos says the tech-focused measures show “the Chancellor is beginning to make the right sounds about supporting UK tech.”

“The plans for an AI Growth Lab, the creation of a Sovereign AI Unit to scale national capabilities, guaranteed payments for UK startups developing AI hardware, and the decision to maintain R&D tax credits all offer a glimmer of optimism.

However, Kairinos cautions against confusing being supportive, with sounding supportive. “The UK tech ecosystem will only reach its full potential if business leaders can rely on broader economic stability”, he remarks.

In the lead-up to the Autumn Budget announcement later today, the latest update on the sugar tax for pre-packaged drinks has left a not-so-sweet taste in business owners’ mouths.

As part of the Government’s mission to tackle childhood obesity, the tax will be extended to cover all pre-packaged milk-based drinks, including bottled milkshakes and lattes. The threshold at which the levy applies will also be lowered.

With these changes, manufacturers, drinks businesses, as well as bars, pubs, and cafes that rely on bottled drinks, are preparing for higher costs and potential price adjustments, as businesses work to offset the levy while managing increased operational demands.

What is the sugar tax?

The sugar tax — otherwise known as the Soft Drinks Industry Levy (SDIL) — is a tax imposed on pre-packaged drinks that contain added sugar, such as fizzy drinks sold in cans.

Introduced in April 2018, the tax was established to tackle excessive sugar consumption and obesity in the UK by encouraging drink manufacturers to reformulate high-sugar beverages. 

As a result, the average sugar content of drinks covered by the SDIL fell by around 47% between 2015 and 2024, according to the government website. 

What has been announced?

Yesterday, Health Secretary Wes Streeting announced in the House of Commons that the sugar tax will be extended to “bottles and cartons of milkshakes, flavoured milk and milk substitute drinks.” The levy will not apply to drinks made in coffee shops or restaurants.

As well as extending the sugar tax to these products, the Government will lower the sugar content threshold at which it applies. 

Currently, the levy applies to drinks with added sugar, and with more than 5g of total sugar per 100ml. As of April 2025, the levy rate for drinks with 5g to 7.9g is 19.4p, while products with content at 8g or above are charged 25.9p per litre. 

However, from January 2028, the rate at which the lower SDIL levy is charged will fall to 4.5g per 100ml. This means manufacturers will need to reduce sugar levels by this date if they want to avoid paying the rate. 

How will the new sugar tax changes affect hospitality?

While the new sugar tax won’t apply to “open cup” drinks prepared and served in cafes, restaurants or bars, F&B venues that rely on bottled soft drinks or ready-to-drink coffees could see increased costs if suppliers pass on the levy, especially for products that aren’t reformulated.

Consumers aren’t directly charged by SDIL, but some businesses may have to increase retail prices to offset the higher charges when they come into effect in three years’ time.

This is something that Nicoleta Paraschiv, owner of the Sugar & Stream cafe in Bournemouth, says is likely to put additional pressure on small, independent operators like hers. Speaking to the Daily Echo, Paraschiv commented, “I will have to increase prices and people won’t be able to afford it. They want to close businesses down in my opinion.”

Meanwhile, George Holmes, Managing Director of business finance specialists Aurora Capital, says venues that sell bottled soft drinks will face higher costs and shifting demand, forcing many to rethink their menus and pricing.

“The risk is that bigger chains adapt faster while independent operators struggle with tighter cashflow and slower supplier reformulation,” Holmes adds.

“If the government wants health policy to work without hurting local businesses, it has to recognise how exposed small firms are to even small changes in cost and consumer behaviour.”

Businesses are holding out for business rate reforms when the Autumn Budget is announced today. But for those who run coworking spaces, the outcome could dictate not only the viability of their own venture but also how and where their many clients work.

We are just days off from the Valuation Office Agency’s (VOA) draft business rating list, which is due for publication by 1st December, following Rachel Reeves’ Budget.

Firms will be waiting to see how they will be hit by the business rate reforms with dire predictions that UK high streets could be facing a £1bn increase in rates. An expert is warning, though, that a perhaps overlooked industry – coworking – could be hit hardest of all.

Disproportionate impact

While all businesses are concerned, Niki Fuchs, co-founder and CEO of London flexible office provider, Office Space in Town (OSiT).

Fuchs says that the upcoming business rates reform will hit flexible office providers in London disproportionately. She adds that this will “suffocate investment, jobs, and the future of town and city centres”.

In particular, she says that the plan to introduce a greater rate of payment for offices worth over £500,000 will really hit businesses in the capital, where property prices have traditionally been higher than other cities in the country.

In fact, in London, there are currently around 16,780 properties with a rateable value over £500k, and so these will be subject to the reform. And, if business rate bills spike, then coworking costs for members will also likely rise to absorb the increase.

“The impending Budget and the Valuation Office Agency’s draft rating list will determine whether London’s flexible workspace sector continues to thrive or is strangled by outdated tax policy”, says Fuchs.

Ripples nationwide

Zoe Daines runs Freshmill, a coworking space in the Sussex town of Haywards Heath. She says that coworking businesses outside of the capital are also concerned.

Her venture houses between 300 workers both in serviced offices and as hot deskers. She says that the potential hike in business rates will have a “devastating impact”, but could also put services “out of reach” for the many SMEs that use coworking spaces.

As Fuchs warns, “treating innovative, mixed-use buildings as single units ignores how modern businesses actually operate and risks sending rates bills skyrocketing overnight.” Both Fuchs and Daines say the Government should be looking at finding smarter solutions.

What are businesses concerned about?

Business rates are charged on the “rateable value” of a property and owners of hospitality businesses in particular are shouting for business rate reform as their properties tend to be sizable in order to hold their customers.

In July, Nick Mackenzie, Greene King’s chief executive, lobbied the Government to change business rates tax so that it is charged on profits, rather than on property. This, he argued, would help relieve the financial pressure on the struggling pub industry.

This is also true of coworking spaces that tend to be in city centres where property is more valuable to entice customers. These businesses have also sometimes taken over spaces that were held by businesses, which decided to get rid of their real estate during the Pandemic, and have since adopted a hybrid working model.

However, retail giants Sainsbury’s and Co-op have also stated that reform and relief is needed. Sainsbury’s suggested that a 20% cut in rates could result in the creation of over 17,000 retail jobs while Co-op issued a depressing prediction that 60,000 small shops and 150,000 jobs disappear if radical change doesn’t happen and fast.

While industries might have varying needs – there seems to be universal desire for business rates to be frozen, relief offered where needed and the current model of taxation examined.

The warnings of stagnation or, worse, closures are echoing across industries; and we are just days off hearing whether these concerns have been heard.

Optimism is fast turning to despair among hospitality business owners ahead of today’s Autumn Budget announcement, a new poll has revealed.

The survey of more than 13,100 hospitality sites took place at the start of the third quarter and revealed that only a quarter of owners are optimistic about prospects for their business over the next 12 months.

In a shocking indictment of the slide in mood, this is a 15 percentage point drop from the previous quarter, and continues a trend Startups first reported on at the start of this year.

Indeed, more than 340 businesses, including Wagamama, Marston’s, which operates more than 1,300 pubs, plus its rival Stonegate, the owner of Slug & Lettuce, directly appealed to the Government with an open letter.

The letter, which came from action group UKHospitality,said the UK Government needed to “…deliver change for hospitality at this Budget so that we can get back to growth”.

Confidence is low

The survey delved into the state of affairs for hospitality businesses around the country. Carried out by insight company CGA and reported by Fry magazine, it revealed that a third of hospitality operators (36%) have reduced their trading hours in the third quarter of 2025.

Others have taken action to try and buoy their business with 85% raising menu prices. However, the survey also revealed that many have had to dig deep just to survive. Only a quarter hold 12 months-worth of cash reserves.

The CGA RSM Hospitality Business Tracker, which was based on a different set of respondents, suggested sales on a like-for-like basis in 2025 have remained flat. However, the survey revealed that 25% of businesses had suffered a decrease in revenue and 29% had seen their revenue stagnate.

When the researchers delved into profits, they recorded that 32% of businesses had seen a decrease year-on-year while 30% recorded an increase. Just over one in ten, though, had operated at a loss in this past third quarter.

The impact on operations

With staffing costs rising thanks to the NICs changes and the lowering of the earnings threshold, businesses have made the tough call to let staff go. The poll revealed that 55% of businesses have reduced their team numbers as well as or cutting the hours that their staff can work. The average reduction in hours was calculated to be 7.3%. Cost savings have also been found in employee benefits for 23% of businesses polled and training for 19%.

For just over one in five of the business owners, this cost cutting has resulted in them closing venues completely, while 53% have also scaled back on investments.

What do hospitality leaders want from the Budget?

Echoing both the letter sent by UKHospitality and the response to the launch of the licensing review, there are three clear wants from the Autumn Budget: support with taxes, rates and labour costs.

The survey revealed that 70% of respondents want a VAT reduction for hospitality; 65% a maximum possible discount on rates multipliers and 65% want a change to the NICs reforms.

Karl Chessell, director – hospitality operators and food, EMEA at CGA by NIQ said: “High inflation, low consumer confidence and government policy have all combined to weaken hospitality. Christmas trading will hopefully boost the coffers of vulnerable businesses, but the sector will be hoping that the imminent Budget is used to deliver the targeted support that hospitality needs and merits.”

Without support, the survey suggests that businesses are facing making more staff cuts; increasing their prices and also dialling back on any investments in their businesses; and this will be bad for hospitality but also the economy as a whole.

Global searches for “fake business reviews” have skyrocketed — increasing 1,026% – in the past year and businesses are being urged to be on high alert to the trend.

According to analysis, Google Search data has shown that there have been 68,000 searches for this term in the past month alone.

This reflects that there is growing concern among business owners  – but also consumers – about the veracity of reviews and how they can determine what’s real and what’s not.

What is the impact on businesses?

“Reviews drive everything,” says Mary Tamvakologos, Managing Director from AnyBusiness.com.au, which carried out the research. “Trust, clicks, bookings, footfall, conversions. So when fake reviews spread, SMEs feel the hit immediately.”

Ecommerce giants like Amazon are fighting to crack down on fake reviews following a four-year probe by the UK’s Competition and Markets Authority (CMA).

One of the biggest issues was ‘catalogue abuse’, which is where sellers take the reviews from high-performing products to add on separate listings to falsely improve star ratings.

For businesses playing by the rules, the fake reviews means they are facing unfair competition. However, they are also being hit by fake reviews that target their own reputation and have to furiously scramble to get these removed before they hurt sales.

AI aggravating the issue

As well as driving the proliferation of fake accounts and fake products, AI is also being used to churn out fake reviews. The problem is gargantuan.

TikTok Shop recently published its Safety Report for January to June 2025. In just six months, over 70 million fake products were blocked, while over 700,000 seller accounts were shut down for fraudulent sales. The social media platform revealed that a staggering 1.4 million sellers were prevented from even registering as they failed to pass verification.

TikTok is itself using AI, as well as human reviewers to weed out fake sellers, products and reviews; but the problem is increasing and even big companies are fighting to keep up.

SMEs don’t have the same resources and so one bad fake review can take time to take down; and while it is live, it can really impact the business.

How can businesses fight back?

Bosses need to recognise that this is a problem not to be ignored and part of what is being termed a wider “enshittiffication” of the internet. Instead, business owners must be proactive.

The team at AnyBusiness encourages them to tighten their review monitoring as fake reviews usually follow patterns including “sudden spikes, repetitive phrases, extreme language or multiple ratings within minutes”.

Business owners need to check review platforms weekly to pick up on anything suspicious; and flag reviews that they are concerned about straight away. The team suggests setting up automated alerts to make this process less onerous on their time.

If they do spot a fake review, Tamvakologos suggests they act fast by calmly acknowledging the comment; clarifying the facts but without emotions and then inviting the customer to continue the conversation offline. This will obviously hit a dead end if the review is AI-generated but shows transparency, which other readers will value.

At the same time, businesses must log everything needed to counter a bad fake review from customer logs to payment data. As Tamvakologos notes, “the more detailed your evidence, the faster platforms will act” when you approach them to help.

Businesses should also look to take every opportunity to get real reviews from real customers with email follow-ups after sales so that “genuine customer feedback outnumbers and outweighs the fakes”, says Tamvakologos.

She adds that the biggest threat to businesses is complacency. “Reputation is now a real-time asset — and protecting it is just as important as acquiring new customers.”

The Government has gone back to the drawing board with the Employment Rights Bill after the House of Lords voted to make several amendments earlier this month.

It is now promising to “listen” to bosses’ feedback on the Bill. Yesterday, at the CBI conference in London, business secretary Peter Kyle announced he would hold a series of 26 consultations with firms once it becomes law.

But employment experts are warning that business considerations must be balanced with concerns from workers as the cost of living crisis continues to bite.

A balancing act

The tension is mounting over key aspects of the Bill, which was set to start rolling out from this year until 2027.

In particular, the Bill brings changes to zero-hours contracts, eligibility for Statutory Sick Pay (SSP), protection for striking workers, day one rights, and unfair dismissal.

While the changes will impact all industries, hospitality businesses are likely to feel them the most as many rely on zero-hours contracts, tipping culture, and flexible shifts.

The Government argues that the shakeup is necessary to protect workers from unscrupulous employers, and to give them more job security in whatever industry they work in. The Bill also includes protections for whistleblowers and the creation of a new body called the Fair Work Agency will monitor and enforce workplace rights.

A study in September suggested that over one million employees would enjoy greater protections thanks to the changes. The researchers from Lancaster University stated that 1.2 million workers would have been protected from “severe insecurity” in the workplace.

Why are employers concerned?

The concerns focus on two main issues – firstly, the loss of flexibility that the current set-up allows; and secondly, the costs both in terms of salary and benefits; but also compliance.

Recruitment firms have been particularly vocal about the zero-hours contract changes as they rely on workers being able to be sent into a role on an often short-term basis and then working as needed.

The Government is arguing that these workers need consistent, guaranteed hours; but major recruitment agencies, including Hays, Adecco, and Manpower, have described the changes as “unworkable”.

Kate Shoesmith, chief executive of the Recruitment and Employment Confederation (REC) , said that some employees choose these contracts “for the flexibility it provides at a time and stage in their life”, adding that any legislative changes should “not conflict with existing and hard-won protection for agency workers.”

However, the hospitality industry has called the Government out on this too, as well as arguing that rising employment costs are pushing some businesses to the edge.

What do employers need to do now?

The Bill isn’t law as yet. Instead, it is now in what experts jokingly refer to as the governmental pinball machine, where it will go back and forth between the two Houses.

However, businesses must not wait, as when the Bill does get enacted, it will quickly become law and require some hefty changes to how some businesses operate. There will also be new compliance standards.

Companies should start prepping now by reviewing their contracts and shift practices especially around sick leave and paternity / parental leave. Payroll and HR systems might also need attention to make sure they are fit for purpose for when the changes hit.

Businesses should also pay heed to the timeline on the Bill as there will be reforms over two years so it is wise to know exactly what is potentially coming.

Even with the Government asking businesses for their views, employee rights are going to change and possibly quite dramatically. Training managers and reviewing policies now will mean less pain later if and when the Bill becomes law.

The European Commission has proposed a delay in enforcing certain AI regulations, following backlash on its ‘AI Act’ from major tech firms and concerns about Europe’s competitiveness.

The ‘Digital Omnibus’, which still needs sign-off from EU member states, proposed to push back the date of stricter EU rules on the use of so-called “high-risk” AI from August 2026 to December 2027.

While in the short term, this may give UK entrepreneurs building or deploying AI tools a freer rein, it creates new uncertainty for AI-led businesses that need to plan for product compliance.

Why has the EU pushed back the AI Act?

Big tech companies have argued that stringent rules and the scope of what counts as “high-risk” AI would mean the EU falls behind China and the US, where Trump is easing AI regulations.

Enforcement of the rules has also proved more complex than initially thought, with concerns raised about resourcing, classification and oversight. The Commission has also faced pressure to loosen its grip on AI after diluting parts of its environmental and digital rules in response to backlash.

In addition to the delay, there’s also been a proposed shift from national authority classification to self-assessment for high-risk AI.

In practice, that means businesses will be responsible for determining whether their systems fall under regulated categories, and for making sure that they meet the legal requirements.

Nikolas Kairinos, an AI governance expert, says the delay risks sending the wrong message. In particular, that the business owner should be legally responsible for self-classification.

“More concerning than the timeline extension is the Commission’s shift from national authority classification to self-assessment for high-risk AI systems,” says Kairinos. “This transfers legal accountability to organisations without reducing compliance requirements, leaving them open to significant fines.”

So, despite the extra time, the shift could potentially increase pressure for founders. And some regulators warn that the delay could mimic the UK’s own GDPR rollout, where slow preparation led to a last-minute scramble.

What does the delay actually mean for founders?

When it is eventually actioned, many UK businesses will have to comply with the Act, especially if they operate in or sell to the EU market. Failure to comply could result in significant fines based on global annual turnover.

For most companies, the delay to the rules means slightly less regulatory pressure over the next 18 months, but no reduction in responsibility. Safety, transparency and robust data governance should remain priorities when deploying AI, especially in high-risk areas.

High-risk AI means those used in biometric identification, recruitment, exams, healthcare diagnostics, and law enforcement. These use cases will still need demonstrable safeguards.

Delaying the enforcement deadline doesn’t remove expectations around safe use; it simply changes when the penalties kick in.

This is especially true when it comes to pitching AI products to larger clients. Nikolas Kairinos adds that 78% of enterprise AI procurement already requires third-party certification, so AI founders who skip this work may lose contracts, insurance coverage, and investor confidence even before the law formally applies.

The shift to self-assessment also means legal exposure may increase during the gap years. If a company wrongly categorises or inadequately assesses its own system, it is fully accountable.

How should UK businesses react?

If it occurs, the delay should not be seen as a sign for UK companies to stall on setting up their own AI frameworks. As Kairinos notes, GDPR acts as a cautionary tale on what happens when firms wait until the last minute.

UK businesses that currently, or plan to, operate in the EU should certainly put basic governance in place now. That means keeping proper records of how their models work, carrying out risk assessments, and making sure there’s clear accountability for how AI systems are built and used.

Getting compliance sorted early on is also a competitive advantage. It makes it easier to win enterprise contracts and form partnerships even before 2027 rolls around, so it’s in businesses’ best interests to prioritise it.

Nationwide is predicting more than 12 million transactions this Black Friday, even as UK households continue to feel the cost-of-living squeeze.

Shoppers are still prepared to spend on the annual shopping event, with an average splurge of £123 per shopper expected to go on online deals.

Younger adults seem to be leading the charge. According to the report, those aged 25–34 are projected to spend more than double the average, at around £255 each.

With ecommerce and social commerce now taking up an ever larger slice of the retail landscape, Black Friday could deliver a crucial injection of pre-Christmas cash flow for SMEs if they prepare properly.

Why are shoppers still spending this Black Friday?

Nationwide’s Black Friday report forecasts a busy November. Millions of card transactions are expected over the course of the infamous Black Friday and Cyber Monday, suggesting that the appetite for discounted online purchases remains high.

Even with ongoing pressure on household budgets, a good deal is hard to resist, especially in the run-up to Christmas.

And shoppers are starting earlier. Nationwide’s research indicates early deal-hunting, with people building wishlists and adding items to baskets ahead of time. With online stores also spreading deals out throughout November, Black Friday is no longer just limited to one day.

Cost-of-living anxiety and low consumer confidence are still quietly tempering behaviour, though. Almost four in ten consumers say they won’t buy anything at all on Black Friday.

For those who do plan to spend, value-led shopping is driving a surge in transactions. Essentials, useful home upgrades like air fryers and coffee machines, are still priorities.

And crucially, online shopping remains the default. Half of consumers plan to shop online, and social platforms are becoming a key part of the journey. 25% are expected to buy through TikTok or Instagram, while many more (34%) will shop directly on retailers’ apps.

What this means for your online store

For ecommerce businesses, there’s a clear opportunity to benefit from Black Friday this year.

If each customer is predicted to spend £123 on average, it gives sellers room to upsell with bundles, add-ons, or higher-margin items.

Younger shoppers aged 25–34 are expected to spend the most, at around £255 each. They’re also the demographic most likely to browse and buy through social-first channels, from TikTok Shop to Instagram Reels.

This makes discovery on social platforms essential. Early-bird promotions, retargeting people who’ve saved items in their baskets, and tightening up product pages will all make a difference. Make sure to update your sites with clear images, short descriptions, and fast-loading pages.

Social-first marketing will also help attract shoppers. Creator demos, shortform videos, and native TikTok Shop listings give smaller retailers a chance to advertise products to shoppers where they’re already scrolling.

How SMEs can make the most of it

If you’re unprepared, even small spikes in order can be overwhelming. Therefore, it’s important to properly forecast stock and fulfilment capacity, and get your returns processes ready for the increased volume.

Next, refine your pricing strategy. Limited-time offers, bundled discounts, and value-based messaging can all help sway hesitant shoppers. And with delivery expectations higher than usual, it’s better to be transparent about shipping timelines rather than overly optimistic.

Finally, remember that beyond a flash sale, Black Friday can also be a retention moment. A smooth buying experience can turn one-time deal-hunters into long-term, loyal customers.

Over in the US, a delivery driver was recently arrested after filming a customer in their home – and the ordeal has ignited debate around where the boundaries lie when it comes to photographing customers in the workplace.

This isn’t an isolated case. In cafés, bars, and restaurants, filming is increasingly prevalent for marketing purposes. But bosses have to navigate the delicate balancing act of promotion while protecting both staff and customers’ privacy.

The lack of clear rules around filming leaves hospitality owners at risk. Without the right guidance, they may run into legal trouble and reputational damage that can be hard to reverse.

What are the rules on filming customers?

Under UK law, businesses can record customers in very specific circumstances. CCTV is okay, for example, as long as it complies with GDPR and the Data Protection Act. That means having a lawful reason to film, keeping footage secure, and not holding onto it longer than necessary.

Having visible signage telling customers they’re on camera is enough for CCTV. But the rules are stricter when it comes to audio recording and filming for social media (particularly for audio recording, which is considered much more intrusive). In these cases, you need explicit, informed consent from customers.

Hospitality operators might slip up when filming drifts into “private” spaces, like toilets, changing areas, and staff rooms. Recording in these spaces is almost always unlawful. Storing footage carelessly or posting it online without permission is another quick route to legal trouble.

In the US, DoorDash driver Olivia Henderson is now facing two counts of unlawful surveillance. Henderson recorded an unconscious customer whose trousers were down and posted the video on TikTok. Henderson is now facing criminal charges.

While the case happened under US law, it highlights the issues that can arise when filming people without proper safeguards.

What about customers filming your staff or venue?

Customers can often film in public-facing areas of a business unless the venue sets rules that say otherwise. While business premises aren’t public spaces in the legal sense, people frequently assume they can record unless told not to. House rules, therefore, play a key role.

If filming becomes disruptive, aggressive, or raises safety concerns, staff are within their rights to ask customers to stop. If they refuse, they can be asked to leave the premises.

Though customers are less likely to fall under GDPR when recording for personal use, recording workers without consent can still breach privacy expectations or raise safeguarding issues, especially when videos are shared online. Once a clip goes viral, it can be almost impossible to control the narrative.

Because of these risks, hospitality businesses can lawfully restrict filming on their premises. Clear signage stating house rules gives staff grounds to challenge customers who cross boundaries.

There are, of course, moments when filming becomes more than just a bit annoying. Threats, intimidation, filming minors in a concerning way, refusing to leave after being asked, or posting staff details online can all escalate into matters requiring police intervention.

Can staff film each other at work?

Filming among staff members can be an even trickier territory to navigate. Consent is always required, and because recordings can count as workplace data under GDPR, employers have extra responsibilities around proper storage, access, and use.

Social media also presents a host of risks. Viral TikTok trends, behind-the-scenes videos, or so-called “harmless” pranks can easily breach someone’s privacy or expose internal processes that were never meant to see the light of day.

This is why employers need an unambiguous written policy on filming, phones, and content creation. It should explain what’s allowed, what isn’t, how consent works, and any approval process for posting online.

While they aren’t the most interesting element of running a business, clear policies protect everyone. They reduce conflict and protect staff and customers, which ultimately helps overworked hospitality teams focus on service, instead of reputational damage control.

Self-employment in the UK has risen drastically over the last 25 years, fueled by both economic shifts and changing attitudes towards work.

In more recent times, the impact of the COVID-19 pandemic has led to a challenging economic climate, including a multitude of workplace redundancies. As a result, a large number of startups cite job loss as a motivator for starting a business.

Meanwhile, others are drawn to self-employment simply for greater control over how and when they work.

But the freedom and flexibility of freelance life comes with a cost. According to research from financial services company Funding Circle, that’s falling behind in pension savings, which has led to a gap of £208,500 between self-employed individuals and employees.

While employees benefit from employer contributions and automatic enrollment into workplace pensions, freelancers are largely left to navigate retirement savings on their own — a challenge that many are struggling to keep up with. 

The pension divide between employees and freelancers

Being your own boss has plenty of perks, but when it comes to long-term money plans — particularly pensions — many freelancers are falling behind. 

In 2023-2024, sole traders contributed £2.7bn to private pensions — an increase from £2.3bn the previous year.

However, as just 20% of freelancers are paying into pensions, Funding Circle reveals that the average pension pot for self-employed workers is just £50,700 — a stark difference compared to £318,000 for employees.

As a result, self-employed individuals are likely to retire with £10,000-£11,000 less than their target income, even after receiving the full State Pension, leading to a £208,500 pension deficit overall. 

“The 4 million self-employed workers in the UK are the backbone of our economy, yet they’re most at risk of being left behind when it comes to saving for retirement.” James Shafe, Group Policy Director at Monzo, told the Social Market Foundation.

Why do the self-employed save less?

For many freelancers, saving for retirement can feel like a constant balancing act. 

According to IPSE, 34% of freelancers say other financial priorities stop them from contributing to a pension. This was followed by affordability and stopping contributions to their previous pension scheme after becoming self-employed (24%).

However, Funding Circle also points to factors like no automatic enrollment, irregular income and cash flow pressures as common reasons why many freelancers struggle to consistently contribute to a pension. 

Shafe adds that lack of understanding and tailored self-employed pension offerings have also been key barriers.

Meanwhile, John Asthana, researcher at Social Market Foundation, has called on the UK government to further support freelancers struggling to save for retirement.

“It’s simply untenable for the government to continue to overlook this problem.” Asthana says.

“We should build on the success of auto-enrolment for employees and ensure that people in this crucial but often forgotten part of the labour force are encouraged to sufficiently save for their retirement.”

How should freelancers secure pensions?

For freelancers, contributing to a pension is essential for long-term financial security and independence later in life. 

Unlike employees, you don’t benefit from automatic enrollment or employer contributions, meaning you need to take control of your own retirement planning.

Setting up a personal pension or a Self-Invested Personal Pension (SIPP) allows you to contribute regularly and choose how your money is invested. Those with previous workplace pensions can also continue contributing to their old schemes and compile previous pensions into one pot, so that your savings keep growing.

Other options include stakeholder pensions and Lifetime ISAs (LISAs). Stakeholder pensions are low-cost, flexible pension plans with capped maximum charges of 1.5% for the first 10 years, and then 1% after that. Contributions can also be adjusted or paused if income becomes irregular, which is ideal for freelancers.

Meanwhile, LISAs allow individuals under 40 to save up to £4,000 a year and receive a 25% government bonus. After you turn 60, the funds can be withdrawn for retirement — giving you an additional safety net alongside a pension.

By utilising these options and contributing consistently, freelancers can quickly take charge of their retirement, build financial independence, and ensure a more secure future. 

Over the years, many companies have come under the spotlight after employees raised concerns about wrongdoing, fraud, or unsafe practices. 

This is known as whistleblowing, and it plays a key role in keeping the public safe and making sure organisations are held responsible for any illegal or harmful activities.

Yet, it seems that human resources (HR) teams are perplexed on how to handle such cases, as new research from whistleblowing hotline provider Safecall reveals that only a third of HR teams at UK businesses are currently receiving adequate training.

With the number of employment tribunals rising, and new employment protection laws having recently come into force, there’s an urgent need for businesses to provide proper training and guidance for staff.

HR teams are falling behind on whistleblowing training

Human resource teams play a crucial role in handling misconduct and wrongdoing in the workplace. As a result, they’re also responsible for ensuring that employees understand the whistleblowing process and are properly supported through it.

However, the statistics from Safecall tell a very different story. In Safecall’s survey of 500 HR managers based in the UK, it found that only 36% of HR and people teams receive whistleblowing training. Among line managers, this number falls to 31%.

These concerning numbers come despite a sharp rise in whistleblowing claims being brought to employment tribunals in the last decade. 

According to The Financial Times, the number of cases in the tribunal system increased by 92% between 2015 and 2023.

This shows a clear necessity for sufficient training, with companies needing to step up their support for teams dealing with these cases. Without it, employees may feel discouraged from speaking up, leaving misconduct unreported.

Why are whistleblowing policies important?

Businesses should implement a whistleblowing policy as they give employees a safe, structured way to report concerns, while helping organisations catch problems early and maintain a transparent organisational culture.

They also show staff that their employer takes misconduct seriously, protects those who speak up, and is committed to acting on issues rather than hiding them.

This is especially important now that the UK government is looking to further protect employees, including with new laws around Non-Disclosure Agreements (NDAs). Under these proposals, workers who believe they’ve been a victim of a crime can report their concerns — even if they’ve signed an NDA.

Protecting staff from retaliation is also as crucial as ever, as a report by Protect Advice reveals that 68% of employees claimed they faced victimisation or felt forced to resign as a result of whistleblowing.

Joanna Lewis, Managing Director at Safecall, says that “successful reporting and support relies on having a workforce who are adequately trained and comfortable dealing with incidents and knowing the correct course of action.”

How to incorporate whistleblowing policies into your business

Bringing whistleblowing policies into your business starts with creating clear and accessible guidelines that explain how employees can raise concerns and what happens once they do.

Your policy should outline reporting channels (like HR teams or direct managers), set expectations around confidentiality, and ensure staff know they’ll be protected from retaliation. It should also be easy to find and regularly communicated, such as through onboarding, quarterly updates, or just short refreshers through Slack / Teams messages.

However, it’s equally important for businesses to actually follow through on their policies and show employees that speaking up leads to action. After all, Protect Advice’s report also found that 40% of staff said their whistleblowing concerns were ignored.

Indeed, measuring the effectiveness of whistleblowing training is just as crucial as delivering it. Safecall’s findings show that online tests/quizzes and employee surveys are the most popular forms of training assessments, both used by 48% of businesses. This was followed by run scenarios (47%) and verbal check-ins (45%). 

“Training is a vital part of combating wrongdoing and malpractice which should not be overlooked by any business.” Lewis adds.

“Having colleagues who have the right training in place instills a sense of confidence across an organisation, and contributes to a more inclusive, safer working environment where employees feel empowered to speak up.”

From next month, all energy bills will include the “nuclear levy”, a charge used by the Government to fund nuclear infrastructure. It is expected to add up to around £100 a year for small businesses, but this will vary with their energy usage.

The Energy Gyst has created a breakdown of costs and explains that it will depend upon the size, nature and energy usage of a business. A barber or hairdresser using 40,000 kWh annually will pay around £140 in levy while a supermarket using 1,130,000  kWh will pay £3,904.

What is the nuclear levy?

The charge comes under the Regulated Asset Base (RAB) model, which gathers revenue so that the construction, financing, and operational costs of new infrastructure can be covered. It is part of the Government’s bid to move away from carbon energy.

It is compulsory though businesses with an Energy Intensive Industries (EII) exemption or off-grid properties are exempt. Les Roberts, business energy expert at Bionic, told Energy Gyst, “most high street shops, cafes, offices, or small warehouses, will see only a modest increase in their electricity bills because the charge is linked to energy use.

“However, larger businesses with higher consumption, such as supermarkets or manufacturers, will face a proportionally higher RAB cost – the more electricity you use, the higher the charge.”

Plan ahead

Businesses should factor the levy into their budgeting; not least because many businesses are already groaning under the weight of energy costs; and don’t need any nasty surprises. They should also monitor updates from their energy providers as to the details of the levy roll-out.

The Energy Advice Hub suggests that businesses look out for the forecasts of the main charge – the Interim Levy Rate (ILR) and Total Reserve Amount (TRA). This will give an indication of whether the levy could go up or down; and the bill from energy suppliers will be based on this.

As this cost is non-negotiable, businesses just need to plan ahead to absorb it; but it comes at a time when many SMEs are shouting for help with energy costs already; and are just hoping that this is something the Chancellor may deliver with the Autumn Budget.

It was the whispering into their smartwatches that gave them away, but a team who had enjoyed a winning streak at a pub in Greater Manchester have been accused of cheating – and barred.

While the cautionary tale of The Barking Dog cheaters made the headlines, it does raise the question of whether landlords should be calling time on the age-old tradition of a pub quiz.

Technology is pervasive – everyone has a phone or a smartwatch, which means that the answer to most questions is quite easy to get hold of. Quizzes rely on people to be honest; and so without banning tech from their establishments, perhaps landlords need to rustle up some new ideas.

New ways to keep punters

The pub quiz isn’t likely to be completely replaced, despite this little cheating scandal, not least because it has seen a renaissance in the past few years. A 2023 survey commissioned by the brewer Greene King revealed that 70% of people regularly take part in a pub quiz and almost 10% go every single week.

Greene King even has a section of its website for pub punters wanting to find a nearby quiz to attend.

However, the hospitality industry has been hit hard by recent NICs hikes, high business rates and problems recruiting so new ways of attracting and keeping customers are always going to be a good idea.

Late nights, live music

The Government is pushing a new licensing framework that will see sweeping changes to rules about dining outside and managing noise complaints as well as closing times. This, it argues, will increase footfall and revive local nightlife at a time when hospitality businesses are tanking in confidence.

The Government recognised in its proposal that there are huge problems, stating that since the licensing act was introduced over 20 years ago, “we have seen one in four pubs shut their doors”.

As well as streamlining the license application process in general, Gareth Thomas MP, Minister for Services, Small Business and Exports also wrote that pavement licences need a rehaul. This would mean a longer licensing term of a minimum duration of at least two years.

Festivals and events also got a mention as something to be looked at “as part of future reform in licensing, subject to wider consultation”.

Relief not reforms

While the details of the framework are still being bashed out, the Department for Business and Trade (DBT) has pledged £440,000 in support for UK pubs via the non-profit organisation, Pub is the Hub.

This fund will help pubs diversify and has largely been met with approval. Nick Mackenzie, CEO of Greene King and Co-Chair of the Licensing Taskforce said: “Additional access to funding and less red tape is some welcome news to help pubs continue to adapt to meet the needs of their local communities.”

However, what hospitality businesses really want is business rate relief; and the Government to roll back the NICs hikes from the last budget; as well as offering relief on energy bills.

While we will have to watch a few more days to find out what the Chancellor can deliver, pubs that diversify their offering are going to be in a stronger position to survive, whatever the Budget brings – and despite quiz cheats.

Discover the ales and ails of hospitality

Planet of the Grapes founder Matt Harris has over 25 years of experience in hospitality. Read his bi-monthly column for Startups now.

Read Whining and Dining

Optimism is rising among business owners ahead of the budget, research has found, but they have some specific demands they hope the Chancellor’s announcement will meet.

Research from Simply Asset Finance has not only gauged the mood among business owners but also has given voice to what they believe is holding them back from growth.

Rising positivity

Amid concerns about the financial burden that the NICs hikes and business rates have placed on businesses, this research reveals that cost barriers haven;t changed for businesses in the year since the last Autumn budget.

However, despite this, almost half (49%) of SMEs are positive about the year ahead. This is a slight increase from the 43% who were optimistic when asked this time last year. In fact, nearly one in five businesses (19%) are “really excited” about their growth prospects, which is more than double the proportion seen in 2024 (8%).

However, the confidence dropped when business owners were asked whether the Government will deliver a pro-business agenda, landing at 36%.

Barriers to growth

The research revealed exactly what is impacting businesses; and the picture remains much the same as last year. Around half (46%) cite a stagnant UK economy, two in five (39%) high inflation, and just under a third (30%) point to high interest rates.

However, it is energy costs that are a universal thorn in the side of UK enterprise. Two-fifths (40%) of those interviewed called for help with high energy costs in the upcoming Budget  and this was up from 33% in 2024. This figure also rose to more than half (54%) for medium-sized firms.

Mike Randall, CEO, Simply Asset Finance said, “Energy costs remain the biggest drag on growth – and businesses are clear they need support to allow more room to invest. But with the UK facing some of the most expensive energy costs in the world, firms are operating at a disadvantage and something needs to give.”

In June, the Government launched a scheme to help businesses reduce energy bills. However, its scope was limited as it targeted just 600 small and medium-sized hospitality businesses, offering free expert advice and audits on how to cut both costs and carbon emissions.

Tax incentives

While help in energy costs topped the list, a third (34%) of the business owners interviewed said that they also want more tax incentives to unlock better innovation and investment.  This might include help with investment in infrastructure or funding for digital transformation; but also a decrease in corporation tax. The research revealed that calls for this specifically have doubled since last year from 19% to 36%.

A third of respondents also listed government-backed loans as on their wishlist.

With the Government under pressure, a lowering of taxes seems unlikely. Indeed, rumours are strengthening of a rise in the National Minimum Wage, anticipated changes under the Employment Rights Bill, which has currently stalled, and a potential increase in Capital Gains Tax.

With two-thirds (68%) of those surveyed saying the upcoming Budget will have a significant or fundamental impact on their growth plans, pressure is ramping up in businesses around the country as the days tick down to 26th November.

From today, new directors will need to verify their ID when registering a new company on Companies House; as the Government seeks to tackle fraud. Existing directors have until next year for the same changes to impact them.

There has been reported discontent that this adds another burden on companies, who are also trying to get to grips with the Making Tax Digital roll-out as well as wider changes to the details that businesses need to provide to HMRC.

However, the government – and experts – argue that it is necessary to fight fraud; and is a simple process to follow.

What are the ID changes?

The changes are actually part of the Economic Crime and Corporate Transparency Act (ECCTA), which was passed by the previous Government. It aims to tackle fraudulent business registrations and improve corporate transparency.

It is now law for directors, people with significant control (PSCs) and presenters of documents to Companies House to carry out mandatory ID checks. Business owners can contact Companies House directly, either online or via the Post Office to provide their ID or they can verify using an Authorised Corporate Service Provider (ACSP), like an accountant, lawyer, or secretary.

The voluntary ID verification facility has actually been available since 8th April this year. While many businesses have months before their deadline, experts are encouraging them to get on top of this now.

Naomi Rich,COO at Prosec which provides secretarial support for UK companies, says: “Only around 1.5 million of the UK’s seven million directors have verified so far, suggesting many still have work to do. Verification itself is straightforward, yet leaving it too late could cause a bottleneck at the point you need to file or update details, resulting in both frustration and fines.”

While she recognises that it does take valuable time, she – and other experts argue – that completing the ID verification now will save time and money later.

Greater powers for Companies House

The ID requirement is another step in a pathway towards greater transparency and accountability in financial interactions with the Government.

Companies House has been able to reject suspicious filings, query company names, remove inaccurate information from the register, and reject disqualified company directors since March 2024.

In March of this year, the ability to expedite the process of striking off companies formed with false information was added. For more than a year now, it has also been able to issue financial penalties for non-compliance.

All of these changes are taking aim at fraudsters; as is the switch over to the GOV.UK One platform for businesses currently using a Companies House WebFiling log in. The deadline for this change was 13th October.

This means that interactions with Companies House like filing annual accounts; registering a company; making changes to the company’s directors or secretary roles, and authorising who can file for the company online must now all be carried out through the GOV.UK One platform.

Wider changes afoot

While the ID verification scheme isn’t onerous; there is concern about a potential red tape pile up for SMEs that will impact entrepreneurism. In March, Companies House admitted that new business registrations had dropped for the first time since quarterly reporting began, which many took as a red flag.

The Government says it is listening and has offered a temporary reprieve on changes that were set to kick in from April 2027. These would have seen SMEs having to submit detailed profit and loss accounts instead of simplified annual accounts. These accounts have been submitted in a standardised digital format, which would mean having to buy new software for many ventures.

The changes were set to impact SMEs with a turnover of less than £10.2m, fewer than 50 employees, and balance sheets below £5.1m. This has now been temporarily shelved. However, there has been no reprieve for sole traders for whom Making Tax Digital will kick in from next April.

For businesses though, this switch will come in at some point and so readiness is encouraged. In the meanwhile, business owners have plenty of other changes to comply with as the Government pushes ahead with its mandates; and ignoring this, say the experts, will only mean potential fines and business disruption.

Over half of UK shoppers have abandoned a purchase due to concerns that payments may not be securely handled, according to a new report.

The study by fintech Burbank and YouGov also reveals that nearly 60% of online consumers refuse to pay on unfamiliar sites.

With Black Friday and the Christmas rush just around the corner, ecommerce sellers need to pay attention to what’s becoming known as the “abandonment economy”, a growing trend where trust now trumps both price and speed at checkout. If shoppers get the sense that something is off, they’re gone.

For ecommerce businesses, especially smaller online sellers, abandoned carts equal lost revenue. When margins are already tight and seasonal peaks matter, gaining trust is vital.

Why security concerns are driving abandoned carts

Burbank partnered with YouGov to survey over 2,000 UK adults for its Make Trust Pay report. The results show that 52% of shoppers have abandoned checkouts due to security fears.

Shockingly, only 5% of shoppers reported feeling ‘very comfortable’ when entering card details on websites, indicating widespread insecurity when shopping online.

On the flip side, nearly half would feel more comfortable if online checkouts mimicked the in-store experience of chip and PIN payments.

The idea of “verification fatigue” may be able to explain the preference for simpler in-store payments over online checkouts. While they may be intended for security, cumbersome measures such as ID checks or prompt-style pop-ups can feel confusing and deter users.

The report showed that a larger proportion of older, higher-spending shoppers were the least comfortable with online shopping. While 60% of total respondents feel more worried about online fraud now compared to 2-3 years ago, that percentage climbs to 74% among over 55’s.

How businesses can reduce cart abandonment

One of the major findings from the report is that shoppers want online checkouts to feel as safe and familiar as paying in-store. Nearly half of consumers who abandoned a purchase due to fraud concerns say they would have completed it if the checkout mirrored a tap-and-PIN experience, and 56% say they’d be comfortable paying online with a PIN.

Ecommerce sellers should respond by streamlining their checkout experience, removing unnecessary verification steps, and using clear trust signals such as recognised payment provider logos and secure badges.

Regarding the report, Justin Pike, CEO of Burbank, commented, “People want online payment experiences that feel as safe and familiar as tapping a card in-store.

“To win online, businesses must build the same sense of trust they have long mastered at the counter.”

Burbank’s groundbreaking Card-Present over Internet® (CPoI®) tech enables consumers to use tap-and-PIN payments at home on their mobile phone while shopping online, removing clunky card entry and extra verification methods that can damage shoppers’ confidence.

Building trust pays off

As buyers become increasingly dubious of online shopping, trust is becoming a must-have.

Businesses can strengthen that sense of safety by adopting simple messaging cues, upfront reassurance around security, visible protection icons, and checkout flows that mirror familiar, risk-free offline experiences.

And while shoppers are increasingly open to adapting to new payment methods, they want to feel secure using them, especially during high-stakes periods like Black Friday and Christmas.

Ecommerce sellers who actively prioritise building trust are far more likely to see more completed checkouts and fewer abandoned carts over the holiday season.