Business

A growing number of businesses are paying cybercriminals after ransomware attacks, as hackers deploy artificial intelligence to make their tactics more targeted, sophisticated and damaging.

New research from cybersecurity consultancy S-RM and advisory firm FGS Global shows that 24.3 per cent of companies targeted by ransomware attacks paid the demanded ransom in 2025, marking a sharp increase from 14.4 per cent in 2024.

The figures represent the first significant rise in ransom payments after two years of decline. In 2023, about 16.4 per cent of affected organisations paid, while the peak came in 2022 when 27.6 per cent of victims settled with attackers.

Although the latest numbers remain below that high point, the jump suggests cybercriminals are becoming increasingly successful at pressuring companies into handing over money.

Cybersecurity experts say artificial intelligence is rapidly reshaping how ransomware attacks are planned and executed.

Hackers are now able to use AI tools to scan vast amounts of stolen or publicly available data, allowing them to identify the most sensitive information belonging to a target organisation. By focusing on data that could cause the greatest reputational, financial or operational damage if exposed, attackers are able to increase pressure on victims to pay.

Jamie Smith, head of cybersecurity at S-RM, said criminals were increasingly relying on AI to refine their strategies.

“Attackers are using AI to find the most sensitive information that could cause maximum damage,” he said. “Threats are becoming far more specific and personalised, designed to maximise the victim’s fear and willingness to pay.”

This evolution has made ransomware attacks more difficult for companies to defend against, particularly for organisations with large volumes of sensitive data.

The report also sheds light on the scale of payments being demanded by cybercriminal groups.

According to the study, ransom payments in 2025 ranged from as little as $10,000 to more than $1 million, with the average payment reaching $296,000.

However, cybersecurity specialists warn that the total cost of a ransomware attack often extends far beyond the ransom itself. Businesses frequently face operational disruption, regulatory scrutiny, reputational damage and the expensive process of rebuilding compromised IT systems.

Many organisations also incur costs related to legal advice, customer notifications and forensic investigations after an attack.

The research suggests that industrial and manufacturing companies were particularly likely to pay ransoms during the past year.

This trend appears to be driven by the severe operational disruption ransomware attacks can cause in sectors that rely heavily on continuous production.

Factories, logistics systems and supply chains can grind to a halt if core IT infrastructure becomes inaccessible. In such situations, businesses sometimes view paying a ransom as the quickest way to restore operations and avoid prolonged shutdowns.

One high-profile cyber incident involved Jaguar Land Rover, whose factories around the world were forced to shut down for the entire month of September after its IT systems were compromised.

Major UK retailers were also targeted in 2025, including Marks & Spencer and Co-op. None of the companies has publicly confirmed whether a ransom was paid.

One of the biggest challenges in measuring ransomware activity is that many companies refuse to disclose whether they have paid hackers.

Security specialists say businesses often fear that publicly admitting to ransom payments could make them more attractive targets for future attacks.

Criminal groups may interpret payment as a sign that a company has both the resources and willingness to comply with demands.

As a result, ransomware incidents are often kept confidential, with payments handled through private negotiations involving cybersecurity consultants, insurers and specialist crisis advisers.

While artificial intelligence is helping companies automate operations and improve efficiency, experts warn it is also opening up new vulnerabilities that cybercriminals are eager to exploit.

Jenny Davey, co-head of crisis management at FGS Global, described the technology as a “double-edged sword”.

“While AI can drive efficiency and performance across the business, it can also open up new attack vectors for cybercriminals to exploit,” she said.

The rapid adoption of AI tools across corporate systems means organisations must invest heavily in cybersecurity and staff training to avoid creating new entry points for attackers.

The rise in ransomware payments highlights the growing importance of cyber resilience for businesses across every sector.

Experts say companies must go beyond traditional IT security measures and adopt a broader approach that includes employee awareness, robust data protection practices and detailed incident response plans.

This includes maintaining secure backups, limiting access to sensitive information and regularly testing systems against potential cyber threats.

As ransomware attacks become more sophisticated, and increasingly powered by artificial intelligence, businesses face mounting pressure to strengthen their defences before becoming the next target.

Read more:
More companies paying ransoms as AI-powered cyberattacks intensify

The decline in UK hiring may be beginning to stabilise after new data showed a slowdown in falling job vacancies and a rebound in activity across the country’s crucial services sector.

An index tracking permanent hiring, produced by the Recruitment and Employment Confederation and KPMG, rose to 49.2 in February, up from 46.9 in January. Although the reading remains just below the 50-point threshold that separates expansion from contraction, it marks the strongest result since March 2023 and indicates that the pace of decline in recruitment is easing.

The figures suggest the UK labour market may be approaching a turning point after a prolonged slowdown triggered by rising employment costs and economic uncertainty.

Vacancies for full-time roles continued to fall during February, but the pace of decline moderated noticeably compared with previous months. Nevertheless, the labour market remains under pressure, with job vacancies declining for 28 consecutive months, highlighting the persistent caution among employers.

Businesses have been grappling with a difficult combination of higher operating costs and weaker economic confidence. Recent policy changes, including increases in employer national insurance contributions and higher statutory wage levels introduced during Chancellor Rachel Reeves’s first two budgets, have pushed up payroll expenses across many sectors.

Those changes have contributed to a softer labour market, particularly for entry-level roles and younger workers. Official statistics show unemployment has risen to its highest level since the pandemic, with youth unemployment climbing to 16.1 per cent, the highest rate in more than a decade.

Despite these challenges, recruitment leaders say the latest data indicates the downturn in hiring may be close to its lowest point.

Neil Carberry, chief executive of the Recruitment and Employment Confederation, said the figures pointed to a gradual stabilisation.

“While February’s report is by no means a source of unalloyed celebration, it does suggest that the worst of the hiring slowdown has passed,” he said. “There may still be a few bumpy months to come, especially in light of global instability, but the stabilising trend we have seen so far this year has continued.”

The survey also found that wage pressures have started to ease after a period of strong salary growth driven by labour shortages.

Both starting salaries for permanent roles and pay rates for temporary workers continued to rise, but at a slower pace than earlier in the year and below their long-term averages. This cooling trend may offer some relief to employers that have struggled with rising labour costs over the past two years.

Demand for temporary workers also weakened during February. The retail sector reported the steepest drop in short-term hiring, reflecting continued pressure on consumer spending and high street activity.

By contrast, engineering and technical industries saw the smallest decline in temporary vacancies, suggesting demand for skilled workers in those sectors remains relatively resilient.

Separate research from BDO indicates that improved activity in the UK services sector may be helping support hiring levels.

BDO’s services output index rose to 98.80 in February, up from 97.67 in January, marking the strongest reading in a year.

The services sector accounts for around 80 per cent of the UK economy, meaning changes in its performance often have a major impact on employment trends.

BDO analysts suggested that the recent improvement could partly reflect policy changes, including the government’s decision to soften planned increases in business rates for pubs and hospitality venues.

Stronger services activity aligns with other indicators suggesting the UK economy has made a solid start to the year.

The composite purchasing managers’ index (PMI), which measures activity across manufacturing and services, has remained above the 50-point growth threshold since May 2025, and reached a near five-month high in February.

Despite the encouraging signals, economists warn that the labour market recovery may prove fragile if global economic conditions deteriorate.

The escalation of conflict in the Middle East has pushed energy prices higher in recent weeks, raising concerns about inflationary pressures returning.

Analysts at Goldman Sachs and JPMorgan Chase have both warned that sustained increases in oil prices could slow economic growth in the UK and other major economies.

Meanwhile the Office for Budget Responsibility has cautioned that geopolitical instability could deliver a “significant” shock to the global economy if energy markets remain volatile.

Higher fuel and transport costs could feed through into business operating expenses, potentially discouraging companies from expanding their workforce.

While the latest hiring data suggests the UK labour market may be stabilising, economists say a sustained recovery will depend on several factors, including inflation trends, interest rate policy and the wider geopolitical environment.

For now, the slowdown in falling vacancies and renewed services activity provide tentative signs that the downturn in recruitment could be nearing its end.

But with global uncertainties still looming, employers remain cautious about committing to large-scale hiring, meaning the recovery in job creation is likely to remain gradual rather than dramatic in the months ahead.

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UK job vacancies fall at slower pace as service sector picks up

Artificial intelligence company Anthropic has filed an unprecedented lawsuit against the United States government after being formally labelled a “supply chain risk”, escalating a bitter dispute over the military use of advanced AI technology.

The legal action, filed in a federal court in California, challenges a directive issued by the administration of Donald Trump that effectively barred US government agencies from using Anthropic’s AI systems. The company argues the move was politically motivated retaliation after it refused to remove restrictions on how its technology could be deployed by the US military.

Anthropic’s lawsuit claims the decision was “unprecedented and unlawful” and violated constitutional protections around free speech and due process.

“The Constitution does not allow the government to wield its enormous power to punish a company for its protected speech,” the firm said in its complaint. “No federal statute authorises the actions taken here.”

The conflict stems from a disagreement between Anthropic’s chief executive Dario Amodei and US defence officials, including Pete Hegseth, over how the company’s artificial intelligence tools could be used by the Pentagon.

Anthropic has long maintained strict contractual limits on the deployment of its technology, including bans on using its AI models for “lethal autonomous warfare” and for mass domestic surveillance of American citizens.

According to the lawsuit, defence officials demanded that the company remove these restrictions from its government contracts. Anthropic refused, arguing that such safeguards were essential to ensure responsible use of powerful AI systems.

The company said negotiations with the Department of Defense were initially progressing and that both sides had been working toward revised language that would allow continued cooperation while preserving ethical limits.

However, those talks reportedly collapsed after the White House intervened.

Following the breakdown in negotiations, the Pentagon designated Anthropic as a “supply chain risk” — a classification normally applied to companies considered insecure or unreliable partners for government systems.

The designation effectively blocks US government agencies and contractors from using Anthropic’s software tools.

The move was accompanied by public criticism from the Trump administration, with White House officials accusing the company of attempting to dictate military policy.

Liz Huston, a spokesperson for the White House, told reporters that Anthropic was “a radical left, woke company” seeking to impose its own conditions on national defence operations.

“Under the Trump Administration, our military will obey the United States Constitution — not any woke AI company’s terms of service,” Huston said.

Anthropic disputes that characterisation and argues that its restrictions were standard contractual provisions designed to prevent misuse of AI systems.

The legal challenge names a broad list of defendants, including the executive office of President Trump and senior government officials such as Marco Rubio and Howard Lutnick.

The suit also targets 16 federal agencies, including the Departments of Defense, Homeland Security and Energy.

Anthropic claims the directive banning its technology has caused significant reputational and commercial damage.

The company said that both current and prospective commercial contracts were now under threat, potentially jeopardising “hundreds of millions of dollars in the near term”.

It also argued that the decision had created a broader chilling effect across the technology sector by discouraging companies from speaking publicly about the risks associated with advanced AI.

The case has already drawn support from across the technology industry.

Nearly 40 employees from rival companies including Google and OpenAI filed a joint legal brief backing Anthropic’s position, despite the firms being competitors in the rapidly expanding AI sector.

The signatories warned that the deployment of advanced AI systems without safeguards could create serious risks, particularly if used for mass surveillance or autonomous weapons.

“As a group, we are diverse in our politics and philosophies,” the engineers wrote in their submission. “But we are united in the conviction that today’s frontier AI systems present risks when deployed to enable domestic mass surveillance or the operation of autonomous lethal weapons systems without human oversight.”

Anthropic’s flagship AI system, Claude, has become widely used by technology companies and developers for coding, research and enterprise software tasks.

Companies such as Microsoft, Amazon and Meta have confirmed they will continue to use the technology in commercial applications, although not in projects involving US defence agencies.

Anthropic is not seeking financial damages in the case. Instead, it is asking the court to declare the government’s directive unconstitutional and remove the “supply chain risk” designation immediately.

Legal experts believe the dispute could become a landmark case in defining how governments interact with AI developers.

Carl Tobias, a law professor at the University of Richmond, said the case could ultimately reach the US Supreme Court.

“Anthropic may very well win in federal court,” Tobias said. “But this administration is not shy about appealing. It will probably go to the Supreme Court.”

The outcome could have major implications for the fast-growing AI industry, particularly as governments worldwide increasingly rely on private technology firms to supply critical artificial intelligence systems for defence, intelligence and national security operations.

For now, the lawsuit marks a rare moment in which a major technology company is openly challenging government authority over the future deployment of artificial intelligence.

Read more:
Anthropic sues US government after being labelled a ‘supply chain risk’ in AI dispute

China’s exports surged in the first two months of 2026 despite escalating trade tensions with the United States, highlighting the resilience of the world’s second-largest economy even as tariffs imposed by US President Donald Trump continue to reshape global trade flows.

Official trade data released by Chinese authorities shows that exports rose by more than 20 per cent in January and February compared with the same period last year, far exceeding economists’ expectations. Analysts had forecast growth of around 7 per cent, making the latest figures nearly three times stronger than predicted.

The strong performance puts China on course to exceed the record trade surplus it recorded in 2025, reinforcing the country’s continued reliance on overseas demand at a time when its domestic economy remains under pressure.

The figures come ahead of a planned diplomatic meeting between Donald Trump and Xi Jinping, who are expected to meet in early April to discuss trade relations and broader geopolitical tensions.

China’s export growth has become increasingly important as the country grapples with a range of structural economic challenges.

Weak consumer spending at home, a prolonged downturn in the property sector and a shrinking working-age population have all weighed on domestic demand. As a result, exports have played a critical role in supporting overall economic growth.

Beijing has acknowledged the pressure facing the economy. Earlier this month the government set a growth target of between 4.5 and 5 per cent for 2026, slightly lower than the 5 per cent target achieved in 2025, a year in which exports were a major contributor to economic expansion.

Economists say the latest export data underlines how global demand, particularly for technology and manufacturing, continues to provide a lifeline for China’s economy.

Much of the increase in exports was driven by strong demand for electronics and high-value manufactured goods.

Shipments of technology products, including consumer electronics and components used in global supply chains, rose sharply as international demand remained robust.

Agricultural exports and other manufactured products also recorded solid growth, helping to broaden the export recovery across several sectors.

China’s trade performance also benefited from stronger demand in key global markets outside the United States.

Exports to European markets grew significantly during the first two months of the year, rising by 27.8 per cent compared with the same period in 2025.

Trade with the Association of Southeast Asian Nations (ASEAN), which includes major economies such as Thailand, Singapore and the Philippines, also expanded rapidly. Chinese exports to ASEAN countries climbed by almost 30 per cent, reflecting strengthening regional trade ties.

The growth highlights how China has increasingly diversified its export markets in recent years, reducing its reliance on the United States and building stronger commercial relationships across Asia and Europe.

Despite the overall export surge, shipments from China to the US fell sharply.

Exports to America declined by more than 10 per cent during the same period, reflecting the continued impact of tariffs and other trade measures introduced by the Trump administration.

The tariffs were designed to address long-standing trade imbalances between the two countries and encourage companies to shift supply chains away from China.

While the measures have reduced Chinese exports to the US, the broader export boom suggests Chinese manufacturers have successfully redirected goods to alternative markets.

The upcoming meeting between Trump and Xi is expected to focus heavily on trade policy, supply chains and global economic stability.

Relations between the two countries have been strained by tariffs, technology restrictions and strategic competition in areas such as artificial intelligence, semiconductors and advanced manufacturing.

Analysts believe both leaders may seek to stabilise trade relations amid growing global economic uncertainty.

The talks will take place against a backdrop of rising geopolitical instability, particularly following the conflict in the Middle East involving the United States, Israel and Iran.

The conflict has disrupted global energy markets and pushed up oil and gas prices, creating additional uncertainty for major economies across Asia, including China.

Higher energy costs could place further pressure on Chinese manufacturers, many of which rely heavily on energy-intensive production processes.

Despite these challenges, the latest figures underline the continued strength of China’s export-driven economic model.

While Beijing has repeatedly emphasised the need to rebalance the economy toward domestic consumption, global demand for Chinese goods remains a powerful driver of growth.

For now, strong export performance is helping China maintain economic momentum, even as trade tensions with the United States continue to reshape the global trading landscape.

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China exports surge despite Trump tariffs as global demand strengthens

Small business owners across the United States have expressed scepticism that they will ever see refunds following the landmark ruling by the Supreme Court of the United States striking down large parts of Donald Trump’s sweeping tariff regime.

The court’s decision potentially unlocks as much as $175 billion (£137 billion) in repayments to companies that paid import duties under the controversial policy. However, many entrepreneurs say the legal and administrative complexity involved in claiming those refunds could make the process prohibitively difficult, particularly for smaller firms already strained by rising costs.

The tariffs, which targeted a wide range of imported goods under the former president’s “Liberation Day” trade policy, had sharply increased the cost of materials and products for businesses reliant on global supply chains.

Although the ruling has opened the door to compensation claims, Trump himself acknowledged the issue could remain entangled in litigation “for the next five years”, leaving thousands of companies unsure whether pursuing refunds is even worthwhile.

For many small firms, the economic damage caused by the tariffs has already been felt in higher costs, squeezed margins and delayed investment plans.

Elizabeth Vitanza, who runs a lighting and home furnishings business in Los Angeles with her husband John Ballon, said the impact has been felt across nearly every brand they work with.

“All of the modern brands we carry have raised prices by at least 12 per cent over the past year,” she said. “None of this is pro-business or pro-American.”

When Trump won re-election in 2024, the couple attempted to protect their business by rushing through a large order with a Swedish partner in an effort to beat the incoming tariffs.

Despite the attempt, the shipment was still caught by the new duties.

“We ended up paying a five-figure tariff bill,” Ballon said. “Money we had earmarked to renovate the showroom and possibly increase staff salaries suddenly had to cover unexpected import taxes.”

The couple said the experience had forced them to rethink expansion plans.

“Why would anyone start a business right now?” Vitanza asked. “If I didn’t already have an established one, I wouldn’t.”

Across other sectors, similar stories have emerged of rising costs linked to tariffs on imported raw materials and components.

A furniture manufacturer in Texas said the policy had pushed up the price of imported lumber and specialist cabinet hardware that cannot be sourced domestically.

The company had little choice but to pass on the costs to customers.

“Those materials simply aren’t made in the United States,” the owner said, requesting anonymity. “If tariffs raise those costs, we either increase prices or absorb the loss.”

Outdoor equipment company Granite Gear, based in Minnesota, experienced a similar shock.

Manager Rob Coughlin said the company had faced near-constant uncertainty since the tariffs were introduced.

Before the policy was implemented, Granite Gear paid an 18 per cent import duty on certain goods. When the new tariffs were introduced, the rate surged to 46 per cent before later being reduced to 20 per cent following trade negotiations with Vietnam.

The rapid changes made pricing decisions almost impossible.

“We didn’t even know what our costs would be when products started shipping,” Coughlin said. “How do you go to retailers with a price list when you don’t know the tariffs you’ll be paying?”

Ultimately, the company raised prices between 10 and 20 per cent to offset the additional costs.

Unlike larger brands, Coughlin said smaller companies have far less negotiating power when dealing with retailers.

“Big companies can push back on price increases. Smaller brands like us just don’t have that leverage.”

For companies in niche sectors, the tariffs have also created major financial strain.

Dr Charlie Elrod, founder of a natural livestock health products company, said tariffs on Brazilian imports alone had increased costs by around $1 million over the past year.

For months the company tried to absorb the additional expense rather than pass it on to customers.

Eventually, however, it was forced to raise prices by 5 per cent.

“That helped a bit,” Elrod said, “but profitability has definitely fallen.”

Following the Supreme Court ruling, more than 1,000 companies have launched lawsuits seeking reimbursement for tariffs they argue were collected unlawfully.

In a related development, a US trade court judge recently ordered the federal government to begin processing billions of dollars in refunds to importers affected by the invalidated tariffs.

Yet the practical path to recovering that money remains unclear.

Many businesses say the complexity of filing claims, and the legal costs involved, may outweigh any potential repayment.

Vitanza said her company is carefully tracking tariff payments in the event they decide to file a claim.

“We’re keeping a spreadsheet so that one day we might have everything ready if we pursue reimbursement,” she said. “But we’re not counting on it.”

Howard Trenholme, who owns a bakery and café in Moab, Utah, said the legal complexity makes pursuing refunds unrealistic.

“As an end user buying through multiple suppliers, the process would be incredibly complicated,” he said. “The legal fees alone could wipe out any refund.”

Coughlin from Granite Gear reached a similar conclusion.

“When I compare the refund I might receive with the legal costs involved, it’s simply not worth the risk,” he said.

“I won’t be trying to claim anything. It would probably be a waste of time and money.”

Even with the court ruling, the legacy of the tariff policy continues to affect business planning across the country.

Companies that once relied on stable global supply chains now face a far more uncertain trade environment, with shifting duties and geopolitical tensions complicating long-term decisions.

For many small businesses, the experience has reinforced how vulnerable they are to abrupt changes in government trade policy.

While the Supreme Court decision theoretically opens the door to billions in repayments, entrepreneurs say the practical reality is that many of them may never see that money.

For firms already stretched by rising costs and economic uncertainty, the priority now is simply staying afloat — rather than fighting a potentially years-long legal battle to recover past losses.

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Small businesses sceptical over tariff refunds after Supreme Court strikes down Trump’s tariffs

Fifty government-funded mobile mast upgrades have now been activated across Wales as part of the UK’s Shared Rural Network (SRN) programme, marking a significant milestone in efforts to improve digital connectivity in some of the country’s most remote communities.

The newly upgraded masts form part of a wider national rollout designed to expand reliable 4G coverage to rural areas that have historically struggled with weak or inconsistent mobile signals. Across the UK, a total of 119 masts funded through the initiative are now live, helping to extend coverage to towns, villages, national parks and major road routes that previously experienced patchy service.

The latest upgrades have been delivered by enhancing existing infrastructure rather than constructing entirely new sites, allowing communities to benefit from stronger mobile coverage while limiting the environmental and planning challenges associated with building additional towers. As a result, residents, visitors and businesses across rural Wales can now access more reliable connectivity without significant changes to the surrounding landscape.

Communities benefiting from the latest phase of the rollout include Ysbyty Ifan, Pentrefoelas, Capel Celyn, Painscastle, Hay-on-Wye, Llanigon, Tregoyd, Doly-y-Gaer, Clwydyfagwyr, Pontsticill, Torpantau, Llanddewi, Dolau, Llandegley, Crossgates and Abbeycwmhir. The improvements also extend into key tourism areas including Eryri National Park and Bannau Brycheiniog National Park, both of which attract millions of visitors each year.

In addition to strengthening coverage in rural settlements, the upgrades provide full 4G access from all four of the UK’s major mobile network operators, EE, Three UK, Virgin Media O2, and Vodafone, across more than 3,400 kilometres of Welsh roads. For many drivers travelling through rural areas, this means improved navigation, communication and access to emergency services in places where signals were previously unreliable.

The Shared Rural Network was first announced in 2020 as a partnership between the UK government and the country’s mobile operators to close the digital divide between urban centres and rural communities. The programme combines £184 million in public funding with more than £500 million of private sector investment from mobile network providers to expand nationwide coverage.

Since the initiative began, 4G coverage from all four operators has expanded significantly, rising from around 66 per cent of the UK’s landmass to approximately 81 per cent. According to programme operator Mova, the expansion represents an area roughly equivalent to the combined size of Wales and Northern Ireland.

Ben Roome, chief executive of Mova, said the Welsh milestone demonstrates the power of collaboration between government and industry in addressing longstanding connectivity gaps.

“Upgrading 50 EAS masts in Wales shows the strength of a shared, neutral programme,” he said. “Every site benefits every operator, every community and every mobile user. Together they represent practical steps toward fairer, more resilient connectivity across rural Wales.”

Improved connectivity is expected to deliver a range of economic and social benefits, particularly for rural businesses and tourism operators that increasingly rely on mobile access for digital services. Reliable 4G coverage can support online bookings for hospitality businesses, enable farmers and rural enterprises to use cloud-based tools, and allow residents to access services such as banking, healthcare and education platforms more easily.

The milestone has also been welcomed by the UK government. Jo Stevens said that improving mobile coverage is an essential part of supporting economic growth and opportunity across rural communities.

“Access to fast and reliable mobile coverage is increasingly important for residents, businesses and community organisations in rural communities all over Wales,” she said. “Hitting this milestone is an important step in our mission to grow the Welsh economy, supporting businesses to succeed and creating opportunities in every corner of Wales.”

Nationwide, the Shared Rural Network programme has already delivered improved connectivity to an additional 280,000 premises and more than 16,000 kilometres of roads. The upgrades focus largely on so-called Extended Area Service masts, which were originally designed to provide coverage from a single operator but are now being modernised so that customers from all networks can benefit.

Further upgrades are planned as the programme continues over the coming years, with the goal of ensuring that even the UK’s most remote communities can access reliable mobile connectivity. For many parts of rural Wales, the activation of these latest sites represents a meaningful improvement in everyday digital access, helping to ensure that residents and businesses are no longer left behind in an increasingly connected economy.

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Government-funded mobile mast upgrades reach 50 milestone in Wales

OpenAI has confirmed it is postponing the launch of an “adult mode” for ChatGPT, saying the company will instead prioritise improving the platform’s core capabilities and user experience.

The move marks a shift from earlier plans outlined by Sam Altman, who indicated last year that the artificial intelligence developer would allow certain forms of adult content on its flagship chatbot once robust age-verification systems had been introduced.

However, OpenAI has now said that development resources are being redirected toward upgrades that will benefit a broader share of the chatbot’s rapidly expanding user base.

“We’re pushing out the launch of adult mode so we can focus on work that is a higher priority for more users right now,” the company said. “That includes gains in intelligence, personality improvements, personalisation and making the experience more proactive.”

The company added that it still supported the underlying principle behind the proposed feature, allowing adult users greater freedom in how they interact with AI systems, but acknowledged that implementing it safely would require additional work.

“We still believe in the principle of treating adults like adults,” OpenAI said. “But getting the experience right will take more time.”

The decision comes at a time of intense competition in the artificial intelligence sector. Since announcing plans to loosen restrictions on ChatGPT content in late 2025, Altman has repeatedly warned that OpenAI faces a “code red” challenge from rival AI developers.

Among the most prominent competitors are Google DeepMind and Anthropic, both of which are racing to release more capable generative AI systems.

OpenAI’s focus on performance improvements reflects the escalating pressure to maintain leadership in the AI market, where advances in reasoning capability, conversational tone and personalisation are increasingly seen as key differentiators.

The company says ChatGPT now has more than 900 million users worldwide, making it one of the fastest-growing digital platforms in history. Maintaining reliability, safety and usefulness at such scale has become a central priority.

Although the launch of adult mode has been delayed, OpenAI is continuing to develop age-verification and age-prediction systems designed to ensure younger users are protected from inappropriate content.

The technology analyses usage patterns and behavioural signals to estimate whether a user may be under the age of 18. If the system determines that a user is likely to be a minor, stricter safety filters are automatically applied.

These additional safeguards limit exposure to graphic violence, explicit content and sexual role-play scenarios.

The work is also partly driven by regulatory pressures in several countries. In the UK, for example, the Online Safety Act requires platforms hosting potentially harmful or adult material to ensure that under-18s cannot access such content without effective age verification measures.

As a result, any future “adult mode” would likely need to be accompanied by robust compliance systems in multiple jurisdictions before being deployed widely.

The announcement about ChatGPT’s delayed adult mode came as OpenAI faced internal controversy following the resignation of a senior executive linked to its robotics division.

Caitlin Kalinowski stepped down after raising concerns about the company’s partnership with the United States Department of Defense.

Kalinowski said she was troubled by the potential implications of AI technologies being used in areas such as mass surveillance or autonomous weapons systems.

“AI has an important role in national security,” she wrote in a statement on social media platform X. “But surveillance of Americans without judicial oversight and lethal autonomy without human authorisation are lines that deserved more deliberation than they got.”

She emphasised that her concerns related primarily to the speed with which the deal had been announced rather than the concept of national security collaboration itself.

“These are governance concerns first and foremost,” she said. “Issues this significant require clearly defined guardrails before agreements are announced.”

In response, OpenAI said it would update the terms of its defence agreement to ensure that its technology cannot be used for mass domestic surveillance or fully autonomous weapons systems.

A company spokesperson said the partnership was intended to support responsible national-security applications of AI while maintaining clear ethical boundaries.

“We believe our agreement with the Pentagon creates a workable path for responsible national security uses of AI while making clear our red lines: no domestic surveillance and no autonomous weapons,” the spokesperson said.

OpenAI added that it would continue engaging with employees, policymakers and civil society groups to ensure its technology is deployed responsibly.

The delay of ChatGPT’s adult mode reflects the broader challenge facing AI companies as they attempt to balance technological innovation, safety safeguards and regulatory compliance.

As generative AI tools become more widely used for everything from work productivity to creative expression, companies are increasingly under pressure to introduce new features carefully and responsibly.

For OpenAI, the immediate focus appears to be ensuring that ChatGPT’s core intelligence and usability continue to improve — a strategy the company believes will have a greater impact on its hundreds of millions of users than expanding the range of content the chatbot can produce.

Whether adult mode eventually launches may depend on how effectively OpenAI can implement reliable age verification and content moderation systems — a complex technical and legal challenge that is still evolving alongside the rapidly advancing capabilities of artificial intelligence.

Read more:
OpenAI delays ‘adult mode’ for ChatGPT to focus on higher priorities

Royal Mail is facing renewed scrutiny over the reliability of Britain’s postal service after figures revealed that around 219 million letters could arrive late this year, raising concerns about service standards even as stamp prices continue to rise.

Analysis of delivery data shows that approximately 126 million First Class letters are on course to miss their next-day delivery target during the current year. At the same time, a further 93 million Second Class letters are expected to arrive later than the three-day delivery window required under current regulatory standards.

The figures have intensified pressure on the historic postal operator Royal Mail, which has been accused by MPs and consumer groups of allowing service quality to deteriorate while focusing more heavily on its more profitable parcels business.

Royal Mail has highlighted that 92.1 per cent of overall mail is delivered on time, but critics argue this headline figure masks serious underperformance in the premium First Class service.

According to the latest data, only 74.9 per cent of First Class letters have been delivered within the next-day target so far this year — significantly below the 93 per cent regulatory requirement set by the UK communications regulator Ofcom.

If this performance continues for the remainder of the year, the shortfall will translate into around 126 million First Class letters being delivered late, equivalent to roughly one quarter of all items sent using the service.

The performance gap has drawn particular attention because the price of a First Class stamp is due to rise again next month to £1.80, almost three times the cost a decade ago.

Critics argue that the rising cost of postage sits uneasily alongside declining service reliability.

While the standard Second Class service is performing better than the premium First Class offering, it is still missing regulatory targets by a considerable margin.

Royal Mail data indicates that 90.2 per cent of Second Class letters are currently delivered within three working days, compared with a regulatory requirement of 98.5 per cent.

That gap could result in around 93 million Second Class letters being delivered late across the course of the year.

Taken together, the combined delays across both services could affect more than 219 million letters, further fuelling complaints from households, businesses and public services that rely on reliable postal delivery.

The performance concerns have already prompted action from MPs. Last month the Business and Trade Committee launched a rapid investigation into Royal Mail’s delivery performance following widespread reports of delayed or missing letters.

MPs said they had received numerous complaints from members of the public who had experienced important correspondence arriving days late, including medical appointment notifications, official government communications and personal milestone cards.

In some cases, residents reported receiving bundles of letters delivered together several days after their expected arrival date, raising concerns that letters may be being held back before delivery.

Royal Mail executives have denied that mail is deliberately delayed to prioritise parcel deliveries. In correspondence with MPs, the company said its sorting systems group letters according to the day they are scheduled to be delivered but insisted that it would not intentionally hold back mail in a way that caused it to miss its official delivery targets.

However, Royal Mail also acknowledged that it does not record specific data showing when letters may be deprioritised in favour of parcels, which critics say makes it difficult to fully understand how operational decisions are affecting service quality.

Royal Mail’s internal analysis of delivery centre performance suggests that achieving regulatory delivery targets requires extremely high levels of operational coverage.

Statistical modelling by the company indicates that 99.5 per cent of delivery addresses must be served on schedule for the postal operator to meet the First Class quality standard of 90 per cent next-day delivery.

With roughly 1,200 delivery offices across the UK, even small gaps in local delivery coverage can quickly accumulate into large national shortfalls.

MPs have expressed concern that staffing shortages, delivery route changes and the growing volume of parcel deliveries may be contributing to the declining reliability of letter deliveries.

Royal Mail’s difficulties have already resulted in regulatory action. In October 2025, Ofcom imposed a £21 million fine on the postal operator after it failed to meet delivery targets for both First and Second Class mail.

At the time, the regulator said improvements to the company’s operations were “urgent” and required a clear recovery plan.

Five months later, however, Royal Mail says it cannot yet publish the full details of its improvement strategy because negotiations are still ongoing with the Communication Workers Union.

The delay has frustrated some MPs who argue that greater transparency is needed about how the company plans to restore reliability to Britain’s postal system.

Senior representatives from Royal Mail, Ofcom and the Communication Workers Union are scheduled to appear before the Business and Trade Committee in Parliament on 24 March to answer questions about the company’s delivery performance and plans for improvement.

MPs are expected to ask whether the Universal Service Obligation (USO) — the legal requirement that Royal Mail deliver letters nationwide at a uniform price — is being undermined by operational pressures and changing priorities within the company.

The issue has become politically sensitive since Royal Mail’s parent company was taken over last year by EP Group.

During the takeover process, EP Group provided legally binding assurances to the UK government that it would continue to support the universal postal service.

Daniel Křetínský, the group’s chief executive, told the BBC last year that he intended to honour the service “for as long as I am alive”.

The scrutiny also comes after Ofcom introduced significant changes to postal delivery rules in July 2025.

Under the updated regulations, Second Class letters are now delivered every other weekday rather than daily, while Royal Mail must also report performance against new “backstop” targets that measure letters arriving up to two days late.

The regulator said the changes were designed to modernise the postal service while recognising the steep decline in traditional letter volumes and the rapid growth of parcel deliveries driven by online shopping.

However, critics argue that even with relaxed standards, Royal Mail is still struggling to meet its delivery obligations.

With stamp prices continuing to rise and millions of households still dependent on postal communication for essential services, MPs say the reliability of Britain’s letter service remains a critical issue that must be addressed urgently.

Read more:
Royal Mail faces scrutiny as 219 million letters arrive late despite rising stamp prices

The UK Gambling Commission’s annual report for the financial year ending March 2025 recorded a total gross gambling yield of sixteen point eight billion pounds, a seven point three percent increase on the previous year.

Remote gambling, which covers every form of betting and gaming conducted online, accounted for seven point eight billion of that total, up thirteen point one percent year-on-year.

Nearly half the industry’s revenue now originates from screens rather than premises, and the shift is accelerating. Remote gambling added roughly nine hundred million pounds to its gross yield in a single year, an expansion rate that few UK consumer sectors can match. Behind those figures sit three thousand and eighty-six licensed gambling activities, each operating under conditions that are tightening at a pace the industry has not seen since the original 2005 Act. For any sector generating this kind of revenue growth while absorbing regulatory reform, the financial dynamics deserve closer scrutiny than most coverage provides.

Tax Pressure and the Forty Percent Question

The commercial story cannot be separated from the tax story. According to the Office for Budget Responsibility’s analysis of betting and gaming duties, HMRC collected one point sixteen billion pounds in remote gaming duty during the 2024-25 financial year, a thirteen percent increase on the year before. Total betting and gaming duties are forecast to reach four billion pounds in 2025-26. Those numbers are about to change dramatically.

The November 2025 Budget announced that remote gaming duty will rise from twenty-one to forty percent from April 2026, with a new remote betting rate of twenty-five percent following in 2027. For operators running slots, table games, and live dealer products, the duty increase represents the single largest cost escalation since the point-of-consumption tax was introduced in 2014. The question facing the industry is not whether margins will compress but how operators will absorb the impact. Some will reduce promotional spending. Others will invest in operational efficiency and player retention technology to maintain yield per customer. A handful may exit the UK market entirely if the arithmetic no longer works.

Slots, Games, and the Technology Stack That Drives Them

What makes online gambling commercially resilient is the technology infrastructure that underpins it. Modern platforms operate thousands of games simultaneously, each running on certified random number generators, monitored by regulatory compliance systems, and delivered through content delivery networks optimised for low latency. The Gambling Commission’s annual industry statistics break down remote gambling yield into subcategories that reveal where the money concentrates.

Slots dominate the online segment, followed by casino table games and betting products. Live dealer formats, where players interact with real dealers via video stream, represent the fastest-growing subsector within casino verticals. Operators like online casino platforms aggregate content from dozens of game studios, creating libraries that can exceed several thousand titles. That aggregation model works because it spreads development risk across suppliers while giving the operator a broad catalogue to serve different player preferences. The capital required to maintain this infrastructure is substantial, which partly explains why the UK market has consolidated around a smaller number of large, well-capitalised operators over the past five years.

Regulation as Competitive Advantage

The UK’s regulatory model is often described as burdensome, but it also functions as a barrier to entry that protects established operators. The 2025 reforms introduced mandatory maximum stake limits for online slots at five pounds per spin for players aged twenty-five and over, alongside tiered financial vulnerability checks triggered when a customer’s losses exceed defined thresholds. These measures add operational cost, but they also create a licensing moat.

Operators that have already invested in compliance systems, responsible gambling tools, and identity verification infrastructure are better positioned to absorb new requirements than newcomers attempting to enter the market from scratch. The Gambling Levy Regulations 2025, which require all operating licence holders to contribute a mandated levy, add another layer of cost that favours scale. For the UK consumer, the regulatory framework translates into concrete protections, including deposit limits, self-exclusion programmes, and dispute resolution mechanisms that do not exist in unregulated markets. The commercial paradox is that heavier regulation increases the value of a UK licence precisely because it raises the cost of obtaining and maintaining one.

What the Numbers Mean for the Next Cycle

The UK online gambling market enters 2026 facing a tax increase that will test operational models across the sector. Operators generating the strongest returns will be those that combine deep game catalogues with efficient player acquisition and regulatory compliance built into their technology stack, rather than bolted on. The industry’s seven point eight billion pounds in remote gross gambling yield is unlikely to shrink, but the share that reaches operator bottom lines will contract unless efficiency gains offset the tax hit. For a sector that has grown at double-digit rates for three consecutive years, the next twelve months will reveal which businesses were built for scale and which were built for a lower-tax environment that no longer exists. How the industry navigates the 2026 duty change will determine whether its commercial significance translates into sustainable profitability or a correction that reshapes the competitive landscape.

Read more:
The Business Behind the Bet: How UK Online Gambling Became a Sixteen Billion Pound Industry

Selling a home often feels like a long race with no finish line in sight. Traditional buyers might back out or struggle with funding.

This creates a lot of stress for anyone needing to move fast. Cash purchase agreements offer a different path for homeowners.

These deals focus on speed and certainty instead of waiting months for a bank. Understanding how these agreements work can help you regain control of your timeline.

Speed Of Cash Sales

The traditional market often moves at a snail’s pace. Many homeowners look for services like We Buy Any House to get a faster result than they would elsewhere. This bypasses the typical delays found with traditional estate agents.

You can get an offer within 24 hours of starting the process. This is a huge benefit if you have a new job or a family emergency.

Selling a house the old way involves cleaning every room for strangers. Cash deals stop this cycle immediately. You deal with one buyer who is ready to move on your schedule.

Simplification Of The Sales Contract

A standard sales contract is filled with complex terms regarding bank approvals. A government guide on real estate transactions explains that contracts usually must specify how a buyer will fund the house if cash is not involved.

Removing this requirement makes the paperwork much shorter. It means fewer chances for the deal to fall through at the last minute.

Lawyers do not have to wait for mortgage offers to arrive in the post. The focus stays on the title transfer and the actual payment.

Why Sellers Choose Cash Deals

Most people selling a property want the highest level of security possible. An educational site for legal studies mentions that sellers typically have a strong preference for buyers who can complete a transaction without loans.

This preference exists since cash is ready to move immediately. You do not have to worry about a buyer losing their job or a bank changing its mind.

Chains are a common problem where one person’s delay stops 5 other sales. Cash buyers are not part of a chain. This provides a level of peace that a mortgage buyer cannot offer.

Condition Of The Property

One major hurdle in a normal sale is fixing up the house to impress picky buyers. You might spend thousands on paint just to get an offer.

A civil engineering article highlights that cash buyers are often willing to take a property in its current state, regardless of the location.

This is perfect for houses that need a lot of work. Normal buyers often get scared away by damp or old wiring. Cash firms see the potential and buy the property as it stands today.

Avoiding Mortgage Complications

The mortgage process is the primary reason why property sales take 3 or 4 months. Banks require inspections, valuations, and deep financial checks on the buyer.

Valuation gaps can ruin a deal when a bank thinks the house is worth less than the price.
Surveys might uncover small issues that stop a loan from being granted.
Interest rate changes can make a buyer ineligible for the amount they need.

Wait times for mortgage valuations can stretch for weeks. Sometimes the surveyor finds a small crack, and the bank pulls the entire offer. Cash deals avoid this drama entirely. The buyer makes their own assessment and sticks to it.

Certainty In A Changing Market

The real estate market fluctuates based on many economic factors. Waiting 6 months to find a buyer could mean selling for a lower price if the economy dips.

A cash agreement locks in a price today. This provides a clear budget for your next move or investment. You can plan your future with 100% confidence.

Inflation and rising interest rates make traditional buyers very nervous. They might ask for price drops right before the exchange of contracts. Cash buyers offer a fixed price that does not change based on news headlines.

Reducing The Costs Of Selling

Selling a home is expensive when you count all the fees. Estate agents often take 1% or 2% of the total sale price.

You too have to pay for marketing and professional photos. These costs add up to thousands of dollars that come out of your pocket.

A cash purchase agreement often includes the buyer covering the legal fees. You do not have to pay for a “For Sale” sign or online listings. The price you see is the amount you keep.

Choosing a cash purchase agreement is a practical choice for many modern sellers. It removes the guesswork and the long waiting periods. You get to skip the endless cleaning for viewings and the worry of broken chains.

Read more:
Sell Your Property Quickly Using Reliable Cash Purchase Agreements