Business

I spent fourteen years in the financial services sector, navigating an industry where long hours were simply part of the landscape. Twelve-hour days felt normal, weekend work was expected, and the relentless pace was just how business was done.

Like many of my peers, I equated busyness with productivity and assumed that working harder would naturally lead to better results.

Over time, I began to question whether this approach to work was truly sustainable or effective. This reflection eventually led me to establish Invicta Vita, my organisation dedicated to addressing what I now recognise as one of the most pressing issues in today’s business landscape: executive burnout.

The statistics paint a stark picture of our collective exhaustion. At least 79% of UK employees experience burnout, with around 35% reporting extreme or high levels of burnout. Even more alarming, 88% of UK employees have experienced burnout in the last 2 years. For those in leadership positions, the stakes are exponentially higher. A staggering 75% of C-suite executives are seriously considering leaving their positions for better wellbeing support.

But here’s what troubles me most: we’ve created a culture where admitting fatigue is seen as weakness, where vulnerability is viewed as incompetence, and where rest is perceived as laziness. This toxic narrative is killing our leaders, literally.

As founders and business leaders, we’ve somehow convinced ourselves that suffering is synonymous with success. We wear our exhaustion like armour, boasting about sleepless nights and missed meals as if they were achievements worth celebrating. But what if I told you that this approach isn’t just damaging,  it’s counterproductive?

The research is unequivocal: rest isn’t the enemy of productivity; it’s its greatest ally. When we prioritise sleep, we’re not being indulgent, we’re being strategic. Studies show that sleep-deprived leaders display less emotional self-control and make decisions comparable to someone who is legally intoxicated. Moderate sleep deprivation impairs cognitive abilities to such an extent that someone sleeping six hours for two weeks performs like someone who pulled an all-nighter.

Exercise, too, plays a crucial role in executive performance. Regular physical activity doesn’t steal time from work, it enhances every hour we spend working by improving memory, cognitive flexibility, and emotional resilience. A 2021 study found that aerobic exercise helps individuals recover from mental exhaustion, boosting motivation and overall wellbeing.

At Invicta Vita, we’ve observed a fascinating paradox: the most successful individuals we work with aren’t those who work the longest hours, but those who work the most strategically. They understand that sustainable success requires sustainable practices. They’ve learned to delegate not out of laziness, but out of wisdom. They’ve discovered that saying ‘no’ more frequently allows them to say ‘yes’ to what truly matters.

The shift from hustle culture to rest culture isn’t about working less, it’s about working smarter. It’s about recognising that creativity flourishes when the mind has space to breathe, that innovation emerges from reflection, not just action, and that the best decisions come from leaders who are mentally and emotionally present.

I’ve witnessed this transformation countless times. Founders who initially resist the idea of taking breaks, who view delegation as abdication, gradually discover that rest enhances rather than diminishes their performance. Their creativity returns, their decision-making sharpens, and their teams respond to leaders who are emotionally regulated and mentally clear.

The conversation around executive wellbeing must shift from stigma to strategy. We need to reframe rest as a competitive advantage, not a personal failing. We must challenge the narrative that equates busyness with importance and exhaustion with dedication.

Despite some improvements since 2024, in managing stress and preventing burnout, the UK workforce continues to struggle with the effects, with one in five workers still needing time off work due to mental health struggles caused by stress. This isn’t a personal crisis, it’s an economic imperative. Burnt-out leaders create burnt-out organisations, and burnt-out organisations cannot compete in today’s complex marketplace.

As I reflect on my journey from banker to advocate for executive wellbeing, I’m struck by how revolutionary the concept of rest has become. That something so fundamental to human functioning now requires advocacy speaks volumes about how far we’ve strayed from sustainable success.

The future belongs to leaders who understand that taking care of themselves isn’t selfish, it’s strategic. Who recognise that vulnerability isn’t weakness it’s courage. And who grasp that in a world obsessed with doing more, the ultimate competitive advantage might just be the wisdom to rest well.

Read more:
The executive burnout: Why rested founders build better businesses

Almost £1 billion was wiped off the stock market value of Britain’s biggest retailers on Tuesday after Deutsche Bank warned that consumer confidence is sliding sharply ahead of the autumn budget.

The bank’s so-called fear index points to rising anxiety across all income groups, with shoppers concerned about job losses, frozen tax thresholds, and the prospect of further fiscal tightening from Chancellor Rachel Reeves.

Deutsche analysts downgraded Associated British Foods – owner of Primark – to “sell”, citing the squeeze on lower-income households. Shares in ABF fell 92p, or 4 per cent, to £22.22, its worst day since April.

DIY retailers were also hit. Wickes, downgraded to “sell”, slumped 8.6 per cent to a three-month low of 201½p. Kingfisher, the B&Q parent, was cut to “hold” and dropped 4.3 per cent to 269p. Home improvement supplier Marshalls, not directly mentioned in Deutsche’s note, still fell 3.2 per cent to 182¼p – its lowest in a decade.

Next, placed on Deutsche’s “least preferred” list, slipped 0.2 per cent to £122.05. Online retailer Asos also lost ground, down 1.6 per cent at 302p.

In total, the combined market capitalisation of these six companies fell by around £965 million.

Deutsche Bank’s analysis of household cashflows suggests Britons are holding back on discretionary spending despite higher wages, with many saving more as a hedge against uncertainty.

The index showed that, unusually, higher-income households are now more worried about the financial outlook than lower-income groups. Analysts said wealthier consumers are increasingly sensitive to potential tax rises in October’s budget, while the poorest families remain under pressure from inflation.

The latest figures from the Office for National Statistics showed inflation rising to 3.8 per cent in July, driven by a 4.9 per cent jump in grocery prices – the sharpest increase since February 2024. The Bank of England expects food inflation to climb above 5 per cent in the coming months.

Personal tax thresholds remain frozen, and businesses continue to absorb the £25 billion increase in employers’ national insurance contributions, further weighing on the labour market.

According to Asda and the Centre for Economics and Business Research (Cebr), middle-income families saw their disposable spending power fall by 1.6 per cent in July – the first decline since September 2023. For the lowest-income households, the hit was far worse, with disposable incomes dropping by 11.1 per cent, leaving a shortfall of £73 once essentials and taxes were accounted for.

Sam Miley, head of forecasting at Cebr, warned that while wages are edging higher – with private sector pay rising 4.8 per cent in the three months to June – inflation continues to erode purchasing power.

“While wages are expected to rise over the remainder of the year, persistently high inflation will put continued pressure on household budgets,” he said.

With discretionary spending already under strain, analysts fear that a fresh round of tax rises in the autumn could deepen the downturn for retailers and pile more pressure on household finances.

For Britain’s high street and consumer-facing companies, the combination of high inflation, weak confidence, and fiscal tightening has once again raised the spectre of a difficult winter.

Read more:
Nearly £1bn wiped off UK retailers’ market value as Deutsche Bank ‘fear index’ warns of consumer squeeze

Chancellor Rachel Reeves has come under fire from financial advisers after reports suggested she may target tax-free family gifts in her latest inheritance tax (IHT) reforms.

Wealth managers and planners have branded the proposal “daft” and a “blatant tax grab” that risks punishing grandparents who financially support their children and grandchildren.

At present, individuals can give up to £3,000 a year in gifts tax-free, with additional exemptions for weddings and small gifts of up to £250 per person. Larger transfers can also fall outside IHT if the donor survives for seven years.

However, reports indicate that the Treasury is considering capping or tightening these rules as part of efforts to plug gaps in the public finances ahead of the Autumn Budget.

Scott Gallacher, director at Leicester-based Rowley Turton, said: “I can’t believe the Chancellor would be daft enough to cap family gifts. All it would achieve is turning grandparents into overnight tax evaders, with cash gifts to children and grandchildren rocketing to avoid what many already see as an unfair tax.

“At present, with an effective £1m allowance for a married couple with children, most people worry unnecessarily about IHT. But with frozen allowances, more and more families will be dragged into the IHT net in the years ahead. My best advice is simple: spend it and enjoy yourself while you can – and beyond that, get proper financial advice to make sure what you want to pass on goes to your family, not the Chancellor.”

Benjamin Beck, founder of Beck Money Coach, warned the move could worsen financial pressures for young families.

“Family gifts can be a lifeline for many, from education to getting on the property ladder. This will affect the many, not just the few – which is surprising considering Labour’s slogan,” he said. “The best way to deal with this is to plan early, know the rules and make full use of allowances, including the £3,000 annual exemption and the seven-year rule while it lasts.”

David Stirling, an independent financial adviser at Belfast-based Mint Wealth, said: “This is a blatant attempt to tax the Bank of Mum and Dad, which so many people rely on for day-to-day living costs or to help with deposits. There isn’t much Rachel Reeves is leaving off the table now with IHT, property taxes, business and pensions already being punished.”

Chartered financial planner Anita Wright of Ribble Wealth Management stressed the importance of careful planning if the rules change.

She noted that under the current framework, “regular gifts out of income that do not affect the donor’s standard of living are immediately outside of IHT – a rule often underutilised.” She added that trusts, life insurance and business relief can also play a role in long-term strategies.

“Any move to clamp down on gifts risks hitting families at the very moment when intergenerational support is most vital,” she said. “This only highlights the importance of starting succession planning early and taking professional advice.”

The debate over inheritance tax comes as the Chancellor looks to raise revenue while balancing Labour’s promise to support working families. But with rising costs of living, stagnant IHT thresholds and already-frozen allowances, advisers warn that middle-class families risk being dragged deeper into the tax net.

For many, the prospect of losing the ability to make modest, tax-free gifts may feel less like closing a loophole and more like punishing families trying to support the next generation.

Read more:
Rachel Reeves’ inheritance tax plans branded “daft” as experts warn grandparents could become “overnight tax evaders”

Business Secretary Jonathan Reynolds is set to meet JCB chief executive Graeme Macdonald after the company raised urgent concerns about the impact of new US tariffs on British goods.

Hundreds of UK-made products containing steel or aluminium became subject to American levies over the weekend, with JCB among the manufacturers warning that the move has triggered significant disruption.

Mr Macdonald told the Sunday Times there was “chaos at the US ports right now” as goods were held up while customs officials scrambled to interpret the new rules.

“They need to get a deal done quickly because this is very damaging to British industry,” he said. “This has blindsided everybody – us, the UK Government, and certainly US customs. There’s a huge backlog of imported goods in every port now in the US.”

The tariffs cover more than 400 product categories, ranging from garden furniture and children’s cribs to everyday consumer items like shampoo packaged in aluminium.

Donald Trump raised tariffs on steel and aluminium imports from most countries to 50 per cent earlier this year, but Britain’s rate has remained at 25 per cent. UK companies are now lobbying ministers to strike a fresh deal with Washington that could eliminate the tariffs entirely.

Negotiators failed to finalise a metals agreement when the broader UK-US trade deal was signed in May, leaving exporters exposed to the new levies.

A government spokesperson stressed that the UK remains the only nation to have avoided the 50 per cent tariffs imposed elsewhere.

“Thanks to our trade deal with the US, the UK is still the only country to have avoided 50% steel and aluminium tariffs,” they said. “But we are committed to going further to give industry the security they need, protect vital jobs and put more money in people’s pockets through the Plan for Change.

“We will continue to work with the US to get this deal implemented as soon as possible and in industry’s best interests.”

British manufacturers warn that without a rapid resolution, exports could be hit hard, damaging competitiveness and threatening jobs. With a meeting scheduled between Mr Reynolds and Mr Macdonald this week, industry leaders will be watching closely to see if the government can secure a breakthrough on tariffs that many say are already choking trade.

Read more:
Business secretary to meet JCB chief over US tariff chaos

Almost half of MPs would support cutting electricity levies to help households switch to heat pumps, according to a new cross-party study that highlights both momentum for clean energy reform and a lack of awareness about existing government incentives.

The survey of 111 MPs, conducted by Savanta on behalf of clean energy tech firm Aira, found that 48 per cent of politicians backed removing levies from electricity bills to make heat pumps a more affordable alternative to gas boilers. Just 17 per cent opposed the idea, while 34 per cent said they would remain neutral or needed to learn more.

The findings come as UK households face some of the highest electricity prices in Europe. Four-fifths of levies are currently applied to electricity bills, with only a fifth on gas, leaving electricity around four times more expensive than gas despite a growing share of supply coming from renewable sources such as wind, solar and nuclear.

While the overall result suggests broad cross-party support for reform, opposition is strongest among Liberal Democrats, 58 per cent of whom rejected the idea. By contrast, just 22 per cent of Conservatives and 10 per cent of Labour MPs said they opposed removing levies.

Heat pump leaders argue the findings show growing parliamentary support for rebalancing energy costs, but stress that better education is needed – not just for the public, but also within Westminster itself.

The government’s flagship Boiler Upgrade Scheme (BUS), which offers households up to £7,500 towards the cost of installing a heat pump, remains poorly understood even among MPs.

Only 8 per cent said they knew a lot about the scheme, while nearly one in ten admitted they had never heard of it. Although 87 per cent of MPs were aware of the policy, detailed familiarity was low, with Labour MPs the least knowledgeable overall.

Lib Dem MPs reported the highest levels of awareness (100 per cent), while Conservatives – whose party introduced the policy in 2022 – showed the lowest awareness at 84 per cent.

When asked which measures would most help households cut carbon emissions, 71 per cent of MPs pointed to home insulation, while 54 per cent cited double or triple glazing. Almost half also highlighted installing solar panels (49 per cent) and replacing oil or gas boilers with heat pumps (45 per cent).

Support for heat pumps, however, varied sharply across party lines: 72 per cent of Lib Dem MPs and 50 per cent of Labour MPs agreed they were an effective solution, compared with just 24 per cent of Conservatives.

Matt Isherwood, Aira UK Service Operations Director, said the findings showed both progress and opportunity.

“This report shows us three things: that a strong number of MPs support heat pumps and cheaper electricity prices; that many politicians understand the role heat pumps play in reducing household carbon emissions; and that more needs to be done to educate policymakers and constituents, especially in relation to the Boiler Upgrade Scheme.”

He added: “The growing support for lower electricity prices shows that it’s high time to get down to business and deliver the ‘big bang’ moment the heat pump industry, politicians, and British households have been waiting for — one that will supercharge adoption and deliver lower, more stable energy bills for everyone.”

Read more:
Poll finds MPs back electricity tax cuts to boost heat pump adoption

Sir Chris Hohn, Britain’s most generous philanthropist, has slammed government cuts to overseas aid as “cruel” after donating an additional $328 million (£243 million) of his personal wealth to help fill the gap.

The billionaire hedge fund manager, 58, made the contribution to his Children’s Investment Fund Foundation (CIFF) in 2024, supplementing the $595 million invested by the charity from its $6.1 billion endowment. In total, CIFF committed $923 million to global projects last year.

Hohn said his increased giving was a direct response to reductions in international aid budgets. The UK cut its foreign aid commitment from 0.7 per cent of national income to 0.5 per cent in 2021 and plans to reduce it further to 0.3 per cent by 2027 in order to boost defence spending. In the US, President Trump dismantled the US Agency for International Development earlier this year.

“A lot of lives, maybe in the millions, have been lost because of these very cruel policies,” Hohn said. “The foundation is doing what we can to fill, in a small way, some of these enormous gaps.”

The fresh donation reinforces Hohn’s reputation as the UK’s most significant philanthropist. Through his hedge fund TCI and his CH Foundation UK, he has already channelled billions to charitable causes.

Accounts show that in 2024 TCI and CH Foundation UK donated more than $218 million to CIFF, with TCI committing a further $626 million for future years – around $440 million of which has already been delivered.

Thanks to TCI’s success, CIFF has also enjoyed huge investment gains. It booked a $637 million return last year after a $1 billion gain in 2023, giving it a cumulative performance of 633 per cent since 2009.

The son of a Jamaican-born car mechanic and a legal secretary, Hohn rose to prominence through the success of TCI, his $70 billion Mayfair-based hedge fund. Known for activist campaigns that have taken on giants such as Alphabet and the London Stock Exchange Group, TCI has consistently delivered bumper returns that underpin CIFF’s activities.

Hohn himself has amassed an £8.1 billion fortune, placing him 21st on this year’s Sunday Times Rich List. He was knighted in 2014 for services to philanthropy, the same year he finalised one of Britain’s largest divorce settlements, paying $530 million to his former wife Jamie Cooper – with whom he founded CIFF in 2002.

CIFF’s work spans climate change, child nutrition, and girls’ education. Hohn has also personally donated heavily to climate activism, including Extinction Rebellion.

Kate Hampton, chief executive of CIFF, said the latest donations were “a recognition of the urgency of the challenges we face”. She praised Hohn’s “generous” contribution as the foundation sought to step up its activities at a time of increasing global need.

For Hohn, the message is clear: as governments retreat from international development, philanthropists are being forced to step in. But he warns that the void left by shrinking aid budgets is far too large for private donations alone to fill.

Read more:
Britain’s top philanthropist Sir Chris Hohn condemns ‘cruel’ foreign aid cuts

Aldi has become the unlikely star of the US grocery sector, with Americans flocking to the German discounter in record numbers as high inflation reshapes shopping habits.

Queues for new product releases – once associated with sneaker drops and tech launches – are now a familiar sight outside Aldi stores across the Midwest and beyond. From wine bottle advent calendars to limited-edition snacks, shoppers say the chain has built a cult-like following while positioning itself as the country’s fastest-growing supermarket.

Ashley Williams, a mother of four in Illinois, says her local Aldi is transformed into an event destination whenever new products are released. “There’ll be such a line that they give out tickets,” she says. “We’re in the Midwest, and it’s pretty cold in the fall, but people still turn out.”

Williams turned her love for the retailer into an Instagram account, Oh Hey Aldi, which now has 173,000 followers. She is part of a growing community of influencers – including Aldi All The Time and the Aldi Nerd Facebook group with 1.4 million members – fuelling sales of branded merchandise and building a loyal fanbase.

Aldi has operated in the US since the 1970s, but its real growth push has come in the past decade. Since 2014, the retailer has doubled its footprint and now runs more than 2,500 stores across 40 states. According to JLL, Aldi is expanding at more than twice the pace of its nearest competitor, with plans to open 225 stores in 2025 and 800 more by 2028 – taking its US estate past 3,200 outlets.

“In our modern supermarket era, I haven’t seen anything like this,” says James Cook, senior director of US retail research at JLL. Dave Rinaldo, Aldi’s US chief operating officer, adds: “We literally can’t open the stores fast enough.”

Between 2019 and 2024, US food prices rose nearly 24 per cent. While grocery footfall increased 11 per cent across the industry, Aldi’s surged more than 51 per cent, according to JLL data. Last year, its stores attracted 924 million visits, making it the third-most visited supermarket in America after Kroger and Publix.

Shoppers are not just turning to Aldi for price. The retailer’s policy of stocking mostly own-brand products – many free from artificial dyes and additives – has struck a chord with health-conscious families. “It’s kind of a relief to walk into a store and know you don’t have to scan every label just to stay within budget,” says Williams.

Aldi’s success lies in its no-frills model. Stores typically stock around 2,000 products – compared with 31,000 in a typical US supermarket – and nearly 90 per cent are own-brand. Goods are displayed in pallets and boxes to save staff time, while the smaller store footprint keeps rent and energy costs down.

A study by AARP found a typical Aldi basket costs around $66.11 (£49.25), roughly 20 per cent less than rival discounter Target.

Even as inflation pressures ease, the threat of fresh price rises from Donald Trump’s renewed trade war agenda is expected to keep Americans focused on value. Aldi is moving to capture more market share, launching summer price cuts on more than 400 items.

For many consumers, less choice and lower costs have become a welcome combination. “It’s nice to not have excessive amounts of things to choose from,” says Sarah Campbell, a New Jersey teacher and Aldi influencer. “Especially when you’re worried about your economic future, you look for savings wherever you can.”

With nearly one billion annual US store visits and an aggressive pipeline of openings, Aldi’s march on America looks set to continue – one stripped-down shopping basket at a time.

Read more:
Americans embrace Aldi as German discounter becomes fastest-growing supermarket in US

Food inflation has risen to its highest level in 18 months, driven by sharp increases in the cost of chocolate, butter and eggs.

The British Retail Consortium (BRC) and NIQ’s Shop Price Monitor reported that food prices rose by 4.2 per cent in August, up from 3.5 per cent in July, marking the fastest pace of growth since February 2024.

Fresh food prices climbed to 4.1 per cent from 3.2 per cent the previous month, largely due to higher dairy costs, while ambient food inflation – covering packaged and long-life goods – slowed slightly to 4.2 per cent from 5.1 per cent.

Overall shop price inflation also picked up, rising to 0.9 per cent in August, despite non-food goods recording a price fall of 0.8 per cent.

Helen Dickinson, chief executive of the BRC, warned that the rise adds to the burden on households already squeezed by high living costs.

“Shop price inflation hit its highest rate since March last year, fuelled by food price rises. This adds pressure to families already grappling with the cost of living,” she said.

“Retailers continue doing everything they can to limit price rises for households, but as the Bank of England acknowledged, the £7bn in new costs flowing through from last year’s budget has created an uphill battle for retailers.”

Earlier this month, the Bank of England pointed to April’s rise in national insurance contributions as a factor pushing up food prices, alongside global supply chain challenges and volatile commodity markets.

More than 60 retail bosses – including leaders at Tesco, Sainsbury’s and Boots – wrote to Chancellor Rachel Reeves last week warning that further tax rises in the autumn budget would undermine efforts to ease living costs.

The letter, co-ordinated by the BRC, said executives now expect food and drink inflation to hit 6 per cent later this year unless pressures ease.

Mike Watkins, head of retailer and business insight at NIQ, said the recent uptick reflected a combination of factors:

“The uptick in prices reflects several factors: global supply costs, seasonal food inflation driven by weather conditions, the conclusion of promotional activity linked to recent sporting events, and a rise in underlying operational costs. As shoppers return from their summer holidays, many may need to reassess household budgets in response to rising household bills.”

Although retailers continue to expand price-matching and discounting initiatives to help households, sector leaders warn that costs stemming from government tax policy, energy bills and wage increases are making it harder to hold back inflationary pressures.

For families already adjusting to rising bills, the latest figures suggest food shopping will remain one of the most acute pinch points of the cost-of-living crisis as the UK heads into autumn.

Read more:
Food inflation hits 18-month high as chocolate, butter and egg prices surge

Britain’s nightlife is shrinking at an alarming pace, with large parts of the country turning into cultural “deserts” as pubs, clubs and music venues shut their doors.

Fresh research by the Night Time Industries Association (NTIA) and NIQ shows that more than one in four towns and cities now have no nightclub at all, while 16 per cent have lost all late-night venues.

Since March 2020, Britain has lost over a quarter (26.4 per cent) of its after-hours venues, leaving just 2,424 still open nationwide. Birmingham has seen the sharpest decline, with numbers down 27.5 per cent, while Manchester has recorded a 23.3 per cent fall and now counts just 79 late-night venues. London has suffered a 20.8 per cent reduction.

Michael Kill, chief executive of the NTIA, warned the losses were stripping towns and cities of vital cultural infrastructure:

“Nightclubs and late-night venues are more than just places to dance – they’re cultural institutions, economic engines and cornerstones of community life.”

While Covid lockdowns began the wave of closures, the NTIA said the decline has worsened since the spring budget, when Chancellor Rachel Reeves raised payroll taxes and the minimum wage.

Karl Chessell of NIQ said: “These closures have coincided with soaring operational costs – including increases to minimum wage and National Insurance in April – and a continued shortfall in post-pandemic support for independent operators.”

The research shows three bars, clubs or music venues have closed every week over the past three months alone. Late-night venues are vanishing at nearly twice the rate of restaurants and pubs, which have declined by 14.2 per cent since 2020.

Industry leaders warn that the loss of smaller venues poses a long-term threat to Britain’s creative industries.

Mr Kill said: “Small venues nurture new talent, fuelling the success of globally renowned artists and the creative economy. You don’t get Ed Sheeran, Dua Lipa or Oasis without small venues. The collapse of independent venues puts the entire nighttime economy at risk.”

A recent survey of hospitality businesses found almost three quarters were now closing for part of the week to save costs, while many restaurants, pubs and cafés have cut jobs in response to April’s National Insurance and minimum wage increases.

The Treasury defended its approach, insisting it is easing burdens on smaller operators. A spokesman said: “Pubs, clubs and music venues are the heartbeat of communities, which is why we are backing this sector with proposals to rip up arduous regulations, supporting businesses to serve their customers for longer, and binning the outdated rule that businesses need to pay to advertise in locally printed press if applying for a licence.

“As part of our Plan for Change we are also protecting the smallest businesses from the employer National Insurance rise and reforming the business rates system – this is alongside already cutting alcohol duty on draught pints and capping corporation tax.”

For now, though, the numbers paint a bleak picture. With Britain losing one in four of its nightclubs in just four years, and closures accelerating in its biggest cities, campaigners warn that whole swathes of the country risk being left without any form of nightlife at all.

Read more:
Reeves tax raid blamed as nightlife ‘deserts’ spread across Britain

The number of entry-level jobs in the UK has slumped to its lowest level in five years, with young workers facing growing barriers to starting their careers as rising costs and Labour’s tax policies bite.

According to the latest UK job market report from recruitment platform Adzuna, graduate roles, apprenticeships and other junior positions fell by 6.8 per cent in July to 209,778. Entry-level vacancies now account for just 21.9 per cent of all UK job listings – the lowest share recorded since 2019.

The number of junior roles has dropped by more than a third since November 2022, while graduate jobs, despite a slight rise in July, remain down by more than a quarter year on year.

The sharp decline comes as employers grapple with higher costs following Chancellor Rachel Reeves’s £25 billion Budget tax raid. National Insurance contributions for employers were increased in April alongside a rise in the National Minimum Wage, leaving businesses facing higher payroll bills.

Hospitality has been among the hardest hit sectors. Trade group UKHospitality estimates nearly 90,000 jobs have been lost since October as pubs, restaurants and hotels cut back on part-time and lower-paid roles.

At the same time, companies are increasingly turning to artificial intelligence (AI) to replace tasks traditionally handled by junior staff. Jobs board Indeed recently reported that the Big Four accountancy firms – Deloitte, EY, KPMG and PwC – have cut hundreds of graduate roles in recent years as AI adoption accelerates.

The Adzuna report also revealed a marked shift in employer hiring strategies. While permanent job openings have dropped by 9 per cent since April, advertised contract positions surged 22 per cent in July as firms sought to offset the impact of higher costs.

The trend is most pronounced in professional services sectors such as accounting and finance, marketing, legal and consultancy, where businesses are leaning on flexible labour rather than committing to long-term hires.

Healthcare and nursing remain the most under pressure, with vacancies falling for a third consecutive month. Since April, the number of healthcare roles has dropped by more than a quarter – the steepest decline of any sector.

By contrast, trade and construction saw an 11.7 per cent month-on-month increase in job openings, while retail also recorded further growth.

Overall, the total number of job vacancies in the UK dipped by 1.2 per cent in July to 864,705, reversing the strong annual growth seen in June.

At the same time, wages continue to rise. Average advertised salaries hit £42,264 in July – up 8.75 per cent year on year – with stubborn inflation and higher minimum wage levels helping to push up pay.

Andrew Hunter, co-founder of Adzuna, said the latest figures highlighted the uneven picture across the UK labour market.

“After a hopeful uptick in June, July saw the pendulum swing back with vacancies falling again,” he said. “While salary growth remains one of the few consistent positives – continuing to outpace inflation – hiring appetite is clearly uneven.

“The ongoing strength in sectors like construction is in stark contrast to another consecutive monthly drop in healthcare roles – traditionally one of the most stable sectors. This speaks to a market still finding its footing. Until we see greater stability across the board, it’s likely this stop-start pattern will continue.”

For young people looking to enter the workforce, however, the decline in entry-level opportunities risks creating a tougher and more competitive jobs market than at any time in the past half-decade.

Read more:
Entry-level job vacancies slump to five-year low as Reeves’s tax raid hits young workers