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NEEB Link equips HMP Chelmsford inmates with business start-up skills ahead of release
Business

NEEB Link equips HMP Chelmsford inmates with business start-up skills ahead of release

by January 6, 2026

Entrepreneurship is being used as a tool for rehabilitation at HMP Chelmsford, where inmates approaching release have taken part in a practical business start-up workshop delivered by NEEB Link.

The session focused on helping participants see self-employment as a realistic and positive route back into society, equipping them with the confidence, knowledge and practical skills needed to start and run a small business after release.

Designed to be accessible and hands-on, the workshop covered the core building blocks of entrepreneurship, including developing a business idea, choosing the right business structure, understanding customers and pricing, basic marketing principles, and where to access free support, mentoring and funding.

Delivered by Sarah Brockwell as part of the NEEB Link programme, the session also highlighted the extensive range of fully funded support available to aspiring entrepreneurs across North Essex. This includes access to mentors, co-working spaces, networking opportunities, digital tools and grant funding.

Participants were introduced to practical, modern business resources such as the NEEB App, free business planning tools, marketing platforms like Canva, and AI tools including ChatGPT, helping to demystify technology and show how digital tools can support small businesses from day one.

Feedback from inmates was overwhelmingly positive, with every participant saying they would recommend the workshop to others. One attendee described it as “very insightful and informative”, particularly praising the guidance around charities and CICs, funding options, mentoring and the range of tools available to support new ventures.

Staff at HMP Chelmsford also welcomed the initiative, praising its relevance and accessibility, and have invited the NEEB Link team to return in February to deliver a follow-up workshop focused specifically on self-employment.

Councillor Ivan Henderson, chairman of the North Essex Economic Board, said the initiative reflected a wider commitment to inclusive growth and opportunity.

“The North Essex Economic Board is committed to inclusive growth and creating opportunities for everyone in our communities,” he said. “Supporting rehabilitation through enterprise is a powerful way to help individuals build sustainable futures and contribute positively to society.”

NEEB Link runs until 31 March 2026 and is an initiative of the North Essex Economic Board, fully funded by the UK Shared Prosperity Fund. Designed and delivered by The Consortium (East) Ltd, the programme provides free networking events, workshops and resources to help people start and grow businesses across Chelmsford, Braintree, Colchester, Epping Forest and Maldon.

By delivering targeted workshops in settings such as HMP Chelmsford, NEEB Link continues to demonstrate how enterprise support can play a meaningful role in rehabilitation, social mobility and long-term economic participation.

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NEEB Link equips HMP Chelmsford inmates with business start-up skills ahead of release

January 6, 2026
Salvation Army justified in sacking refugee worker over ‘send them back on a boat’ remark, tribunal rules
Business

Salvation Army justified in sacking refugee worker over ‘send them back on a boat’ remark, tribunal rules

by January 6, 2026

A Salvation Army employee responsible for supporting refugees was lawfully dismissed after making inflammatory remarks suggesting migrants should be sent back “on a boat”, an employment tribunal has ruled.

The tribunal found that the charity was justified in dismissing Charles Markie, 56, after comments he made while working at Strathmore Lodge, a Salvation Army–run hostel in Dundee that housed refugees and migrants.

Mr Markie, who had worked for the organisation for almost 20 years, was dismissed following comments made to colleagues in March 2024. The tribunal heard that he said there “wouldn’t be a housing shortage if we weren’t taking in 150 refugees” and added that they should be “sent back on a f****** boat”.

In its judgment, the tribunal concluded that the remarks went beyond inappropriate workplace frustration and amounted to gross misconduct, particularly given the nature of Mr Markie’s role and the values of his employer.

The tribunal found that the comments were inflammatory, carried a clear reputational risk, and were fundamentally incompatible with the mission and purpose of The Salvation Army, which provides support to vulnerable people and communities without discrimination.

Commenting on the ruling, Jainika Patel, an employment lawyer at Freeths, said the case illustrated where employers are entitled to draw a firm line.

“There are many instances where inappropriate but inoffensive comments are made by employees, whether off the cuff or in frustration, and would not warrant disciplinary action,” she said. “However, the tribunal found this case was not one of them.”

Patel added that the claimant’s remarks were considered particularly serious because of his role and the organisation’s values.

“The comments were held to be inflammatory and posed a real risk to the employer’s reputation. It was reasonable to categorise them as gross misconduct, given that the claimant worked for an organisation whose purpose is to offer help and support without discrimination,” she said.

The ruling reinforces the principle that employers are entitled to take account of reputational risk, organisational values and the nature of an employee’s role when deciding on disciplinary sanctions.

Patel noted that roles involving vulnerable groups or a high degree of public trust are subject to higher standards of conduct, and that misconduct of this nature is likely to be treated more seriously than in other workplace contexts.

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Salvation Army justified in sacking refugee worker over ‘send them back on a boat’ remark, tribunal rules

January 6, 2026
How SMEs can build diversity, equity and inclusion into their growth plans
Business

How SMEs can build diversity, equity and inclusion into their growth plans

by January 5, 2026

Diversity, equity and inclusion (DE&I) are often seen as “big company” issues – tied to boardroom pledges, large HR teams or investor reporting. But the reality is quite different. For small and medium-sized enterprises (SMEs), building a more inclusive culture is not just possible; it’s essential for sustainable growth.

At Chubb Fire & Security UK&I, diversity, equity and inclusion are embedded into the way we work. One of our core values is to “Win with integrity, together” – and that means creating a workplace where every individual feels respected, included and able to thrive. We don’t see DE&I as an initiative. We see it as a leadership standard.

And while large organisations may have dedicated resources for this work, smaller businesses have a unique advantage: they can make change happen faster, with closer teams and more direct influence from leadership.

Why DE&I Belongs in Every Business Strategy

In the UK, the legal case for inclusive workplaces is clear. Under the Equality Act 2010, businesses must ensure that people are not discriminated against based on protected characteristics, including race, gender, age, disability, religion, sexual orientation and more.

But DE&I is not just a legal requirement. It’s a competitive advantage.

Research shows that diverse teams are better at problem-solving, more innovative and more adaptable in times of change. Inclusive cultures encourage trust and psychological safety – two factors that directly support retention, productivity and performance.

At Chubb, we recognise that diversity, equity and inclusion are strong drivers of growth and innovation. We’ve seen how teams thrive when people feel safe to be themselves, share their perspectives and contribute without fear of judgement. It’s not about meeting quotas; it’s about unlocking potential.

Chubb’s Commitment: Creating a Culture Where Everyone Belongs

We take pride in marking cultural and awareness moments that matter to our people – from Pride and Eid to Baby Loss Awareness Week and National Inclusion Week. These moments help us build empathy, strengthen relationships and create space for conversation.

We also take care to reflect DE&I in how we lead. As our Chief Operations Officer, David Dunnagan, puts it:

“DE&I goes much further than just employing diverse people; it’s about creating an inclusive and equitable environment in which every employee feels valued and respected.”

That environment is shaped not only by formal policies, but by the everyday behaviours of leaders and colleagues. From how we run meetings to how we hire, promote and communicate, we aim to model fairness, transparency and respect.

We know that when people feel safe and seen, they perform better. They grow faster. And they stay longer.

A Practical Roadmap for SME Leaders

You don’t need a dedicated DE&I officer to make meaningful progress. Here are five actions any SME can take – starting today:

1. Start with Listening and Learning

Hold informal conversations, run anonymous surveys or simply ask your team: “What does inclusion mean to you?” You don’t need to have all the answers. Showing a willingness to listen and learn is the first step to building trust.

2. Build Inclusion into Everyday Culture

Create inclusive meeting habits to make sure everyone is heard. Avoid scheduling around cultural holidays to encourage diverse perspectives. Inclusive cultures aren’t created by policy – they’re created by people, every day.

3. Check Your Processes for Fairness

Look at how you hire, promote and recognise talent. Are your job ads inclusive? Are opportunities visible and accessible to all? Small changes, like removing biased language from a job post, can have a big impact.

4. Celebrate What Makes People Different

Recognise cultural celebrations, awareness days and life events. Invite your team to share stories or lead activities. These moments foster connection, compassion and belonging.

5. Lead by Example

Inclusion starts at the top. Leaders must model openness, fairness and humility. At Chubb, we empower our people to be their true selves – and expect leaders to create the conditions that make that possible.

Inclusion Supports Growth and Keeps People

An inclusive culture doesn’t just attract talent – it keeps it. People stay where they feel valued. They speak up where they feel heard. And they do their best work where they feel safe.

In fast-moving businesses, especially SMEs, that stability matters. It means fewer recruitment costs, stronger collaboration and more continuity for customers and clients.

As our People Playbook puts it: “We celebrate the fact that our diversity makes us strong – and, simply, it’s the right thing to do.”

The Bottom Line

Diversity, equity and inclusion aren’t nice-to-haves. They’re must-haves for any business that wants to grow with integrity.

For SMEs, the opportunity is clear. You’re already close to your teams. You know your people. You move quickly. That means you can act – now – to create a more inclusive workplace where everyone feels they belong.

At Chubb, we’ve seen how inclusion strengthens our teams, our culture and our performance. We’ve still got work to do – but we’re proud of the journey we’re on.

Because when people feel safe to be themselves, they go further. And when they go further, so does your business.

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How SMEs can build diversity, equity and inclusion into their growth plans

January 5, 2026
Credit card spending surges ahead of Christmas as households lean on borrowing
Business

Credit card spending surges ahead of Christmas as households lean on borrowing

by January 5, 2026

Britons turned to their credit cards at the fastest pace in almost two years in the run-up to Christmas and November’s Budget, even as signs emerged that households were becoming more cautious elsewhere.

Data from the Bank of England shows that outstanding credit card balances rose to nearly £78bn in November, up 12.1 per cent on the same month last year. It marked the sharpest annual increase since early 2024 and underlined the pressure many households remain under as the cost of living continues to bite.

The jump is likely to have been fuelled by festive spending on gifts, food and drink, but economists warned it may also reflect a growing reliance on borrowing to bridge the gap between incomes and rising everyday costs.

Martin Beck, chief economic adviser at consultancy WPI Strategy, said it was still unclear whether the increase pointed to improving consumer confidence or simply households using credit to smooth spending. “Higher credit card use could indicate resilience, but it may also signal that many families are struggling to make ends meet without borrowing,” he said.

Other indicators painted a more mixed picture of consumer health. Figures from the Office for National Statistics showed retail sales slipped by 0.1 per cent in November and remained around 3 per cent below pre-pandemic levels, suggesting shoppers remain cautious overall.

Barclays has estimated that spending on Boxing Day sales fell sharply, with consumers expected to spend £3.6bn, down from £4.6bn a year earlier, as households continued to prioritise essentials over discretionary purchases.

Meanwhile, the housing market showed signs of resilience despite political and fiscal uncertainty in the run-up to the Budget. The Bank of England said mortgage approvals dipped only marginally in November, falling by around 500 to 64,500, indicating that demand remained broadly stable.

That small decline came as average mortgage rates ticked up slightly to 4.2 per cent, from 4.17 per cent in October, the first increase since February. However, economists believe this rise will be short-lived after the Bank cut base rates to 3.75 per cent in December, with further reductions expected later this year.

Matt Swannell, chief economic adviser at EY Item Club, said activity in the housing market continued to reflect the gradual improvement in affordability seen over the past two years. “The major gains are behind us, but conditions remain supportive enough to keep transactions moving,” he said.

Nationwide data showed house prices rose by 0.6 per cent year on year in December, although prices dipped by 0.4 per cent on a monthly basis, bringing the average UK home value to £271,068.

Looking ahead, economists warn that the outlook for consumer spending remains fragile. Unemployment is expected to rise further in 2026, potentially reaching an 11-year high, which could weigh heavily on confidence and discretionary spending.

Analysts at Pantheon Macroeconomics noted that households increased savings by £12.3bn in November, the largest monthly rise in over a year. However, they suggested this was more likely driven by people getting ahead of anticipated tax rises rather than a broad-based pullback in spending.

With Rachel Reeves having announced £26bn in tax rises in November, largely affecting individuals through frozen thresholds, businesses face a delicate balance in 2026: consumers are still spending, but increasingly with caution — and often on credit.

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Credit card spending surges ahead of Christmas as households lean on borrowing

January 5, 2026
West End rebound delivers £10m payday for Cameron Mackintosh
Business

West End rebound delivers £10m payday for Cameron Mackintosh

by January 5, 2026

The West End’s post-pandemic revival has delivered a multimillion-pound boost to one of Britain’s biggest theatre groups, with the return of Oliver! helping Sir Cameron Mackintosh’s company rebound to, and surpass, pre-Covid trading levels.

Cameron Mackintosh Limited reported an 18 per cent jump in revenues to £234 million last year, overtaking its 2019 performance as audiences returned in force and demand for major productions recovered.

The strong financial year paved the way for a £10.2 million pay packet for Mackintosh, 79, who had taken no salary between 2020 and 2023 as the business weathered the pandemic shutdown of theatres.

Like much of the live entertainment sector, the company endured a brutal period during Covid-19, when lockdowns forced venues to close and turnover collapsed from £207 million to just £94 million in the year to March 2021. The latest results mark a decisive turnaround, reflecting a broader recovery across the West End.

Cameron Mackintosh Limited generates income through both producing and staging major shows, alongside owning and operating eight West End theatres, including the Prince of Wales Theatre and the Noël Coward Theatre.

The most recent financial year was buoyed by the high-profile return of Oliver! at the Gielgud Theatre, one of the group’s flagship venues, as well as celebrations marking the 40th anniversary of Les Misérables, one of the most successful musicals in theatrical history.

Mackintosh’s business empire also includes long-running global productions such as The Phantom of the Opera and Mary Poppins, the latter a collaboration with Disney that has enjoyed sustained international success.

Having started his career as a West End stagehand, Mackintosh rose to become one of the most influential figures in global theatre, shaping the modern musical industry through hits including Cats, Les Misérables and The Phantom of the Opera.

The latest figures underline not only the resilience of the West End but also the speed of its recovery, as audiences return to theatres in numbers comparable to, and now exceeding,  those seen before the pandemic.

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West End rebound delivers £10m payday for Cameron Mackintosh

January 5, 2026
A quarter of British workers say their job makes them unhappy as quit intentions rise
Business

A quarter of British workers say their job makes them unhappy as quit intentions rise

by January 5, 2026

Nearly a quarter of British workers say their job is actively making them unhappy, with one in ten planning to resign this month, according to new research that will intensify concerns about productivity, retention and morale across the UK workforce.

The survey, conducted by international education group ACS, found that 9 per cent of employees expect to hand in their notice in January alone, with more than a third of those planning to quit intending to do so on the first working Monday of the year.

The findings come at a sensitive moment for the UK economy, as ministers attempt to revive productivity growth that has lagged behind international peers for more than a decade. Rachel Reeves pledged in the autumn budget to prioritise productivity, yet the Office for Budget Responsibility subsequently downgraded its growth outlook, citing weaker expectations for output per worker.

Workplace dissatisfaction is increasingly being viewed as part of that problem. Britain already ranks poorly compared with other European economies on measures of job satisfaction, and employers are now facing a workforce that is more willing to walk away when work feels misaligned with personal values, wellbeing or long-term prospects.

The ACS research suggests that discontent is translating into action. Alongside those planning to resign, 16 per cent of workers said they were considering returning to university or college, while 8 per cent planned to ask for a sabbatical. More than a quarter said they intend to start their own business at some point this year, and 24 per cent want to retrain in a different field.

In total, 41 per cent of respondents said they expect to undergo a significant career overhaul in 2026, underscoring how fluid and unsettled the labour market has become.

Employers are also grappling with changing expectations among younger workers. Factors such as hybrid working, while offering flexibility, have been linked to feelings of isolation, particularly among Gen Z employees. At the same time, enjoyment at work is increasingly prioritised over traditional markers of success such as pay or job security.

More than two thirds of young people surveyed said that job satisfaction matters more to them than salary, stability or progression — a shift that poses a challenge for organisations still structured around older models of motivation and reward.

The research also points to deeper structural issues in how careers are shaped. Martin Hall, head of school at ACS Hillingdon, said many workers feel their career paths were constrained too early by the UK education system.

“The research shows that the nation’s workers feel short-changed when it comes to their careers, and the next generation fears the system will send them the same way,” he said, arguing that pupils are pushed to narrow their options prematurely.

Two thirds of parents surveyed agreed that the exam system forces children to specialise too soon, limiting future career flexibility. Among working adults, one in five said they resent being “shoehorned” into a particular career, while around one in six said they feel depressed about where they ended up professionally.

For business leaders, the message is increasingly clear: dissatisfaction is no longer a soft issue. In a tight labour market with weak productivity growth, employee happiness, purpose and development are becoming central to retention, performance and long-term competitiveness.

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A quarter of British workers say their job makes them unhappy as quit intentions rise

January 5, 2026
Why Britain’s world stage presence deserves more than lip service
Business

Why Britain’s world stage presence deserves more than lip service

by January 5, 2026

I’ve been fortunate enough to walk the cavernous halls of a fair few of the world’s biggest trade shows in Las Vegas, they  promised, and delivered, staggering innovation and energy.

Days of relentless discovery: robots pouring cappuccinos, AI so intuitive it seemed clairvoyant, and founders who spoke about change not as a cliché but as a lived reality. These were not just exhibitions; they were global marketplaces for ideas, capital and partnerships.

Yet back home, while Britain idles in Westminster’s fog of distracted policymaking, our competitors across Europe are not just showing up, they’re outshining us.

This year, Gary Shapiro, chief executive of the Consumer Technology Association, the people behind CES, the annual technology conference held this week annually in Vegas, publicly criticised the UK government for lacking meaningful support for British businesses at the world’s most influential tech stage. His indictment is stark: the UK’s presence at the event is “spotty” and underwhelming compared with countries such as France and the Netherlands. Meanwhile, those nations send senior ministers, in some cases even royalty, and generously fund coordinated national pavilions for their firms.

Before we mince words about patriotism and global ambition, let’s be clear: this isn’t some petty squabble over flags and PR stunts. Trade shows like CES are strategic platforms where deals are forged, investment flows are unlocked, and international credibility is forged. It is precisely where the future gets bought, sold and broadcast.

And yet, Britain, despite having one of the world’s most dynamic tech sectors, is looking increasingly like an afterthought.

Consider the facts: French exhibitors now outnumber British ones; Germany and the Netherlands field strong contingents; even some smaller European states pack more visible, government-backed stands. The UK’s Tradeshow Access Programme, once a modest but valuable grant scheme for SMEs, was scrapped in 2021 and, despite repeated pleas from industry, has not been restored.

I have witnessed first-hand the pride and purpose with which other nations approach these events. The French pavilion, sleek, well funded and staffed with government representatives, felt like a declaration of strategic intent. British exhibitors, by contrast, often seemed to be fending for themselves, clutching their pitch decks and hoping for serendipity rather than being buoyed by a coordinated national effort.

There’s something faintly absurd about this situation. Post-Brexit, our leaders have consistently proclaimed a desire to “go global”, to boost exports, attract investment, and elevate the UK’s role on the world stage. Yet when the most visible arena for that ambition rolls into Las Vegas, one where 100,000 visitors convene and thousands of international companies exhibit emerging technologies, we treat it as an optional extra rather than a priority.

True, the government points to its Industrial Strategy and Small Business Plan as evidence of support for scaling firms globally. But warm words on paper are cold comfort on the exhibition floor. In contrast, targeted financial support and senior government engagement send a clear signal that Britain not only values innovation, but backs it when the stakes are highest.

You need only speak to the founders who travelled thousands of miles from the UK, many self-funding their trips, to hear a consistent refrain: without coordinated help, British firms are underexposed and under-networked. One CEO told me he felt “overshadowed” by a neighbouring European country’s pavilion that looked and felt like a national investment. Another confessed that, had it not been for private backing, they might not have made the trip at all.

This should trouble us. The future of British business growth is not solely in domestic policy tinkering, it is in international trade, collaboration and visibility. Trade shows are not merely exhibitions; they are signposts for global relevance. When your government isn’t present in a meaningful way, the world notices — and so do investors, partners and international customers.

Let’s not construe this as an attack on civil servants or ministers. The truth is simpler: the UK is juggling competing priorities, cost of living, health services, geopolitics, and a multi-billion trade show in Nevada can seem indulgent by comparison. But that is precisely the point. Innovation and global business growth cannot be an afterthought if we are to compete with economies that deliberately align industrial strategy with outward-facing support.

Last year I was talking to a French startup founder, and I asked what her government’s presence meant to her, she smiled and said: “It means someone believes in our success before we prove it.” That sort of confidence matters. It turns heads, opens doors and scales businesses in ways that a sterling-denominated press release never will.

Britain has all the ingredients to be a leader: world-class universities with their numerous spin-offs, inventive entrepreneurs, and a time zone that bridges East and West. But without visible, tactical governmental support at flagship global events, we risk these assets being underestimated or, worse, overlooked.

If the UK truly aspires to be a global tech and trade powerhouse, then it must treat trade shows like CES as what they are: frontline diplomatic and economic missions.
Because if we aren’t prepared to support our businesses on the world’s biggest stages, we shouldn’t be surprised when others step into the spotlight, and we’re left in the auditorium seats, polite but absent.

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Why Britain’s world stage presence deserves more than lip service

January 5, 2026
Tech trade show boss criticises UK for lack of support at CES
Business

Tech trade show boss criticises UK for lack of support at CES

by January 5, 2026

The head of the world’s largest technology trade show has accused the UK government of failing to properly support British businesses on the global stage, warning that the country is falling behind its European peers when it comes to showcasing innovation.

Gary Shapiro, chief executive of the Consumer Technology Association, which organises CES in Las Vegas, said Britain’s presence at the event remains inconsistent and underwhelming compared with nations such as France and the Netherlands.

CES, which opens this week, attracts around 100,000 visitors each year and is widely regarded as the most influential global platform for emerging consumer technologies. Thousands of companies use the four-day exhibition to launch products, secure international partnerships and attract investment.

Shapiro said the UK’s participation at the event has been “spotty”, adding that it was surprising given the strength of Britain’s technology sector. He said other western European governments consistently prioritise the event, not only through financial support but by sending senior political figures to demonstrate backing for their domestic tech industries.

The CTA chief was particularly critical of the lack of visible UK government engagement at CES. While France will once again be represented by cabinet ministers, following previous appearances by President Emmanuel Macron, and the Netherlands is sending senior political representatives including members of its royal family, Britain has no comparable presence.

“It doesn’t have to be about money,” Shapiro said. “It’s about showing up. Do relevant cabinet ministers attend the world’s largest innovation event? In Britain’s case, that hasn’t happened in any meaningful way for years, and that’s been a disappointment.”

According to provisional exhibitor numbers, France has 64 companies at CES this year, Germany 38, the UK 29 and the Netherlands 27, although final figures will not be confirmed until later in 2026. Industry figures say the gap in visibility is more significant than the raw numbers suggest, pointing to the scale and quality of government-backed national pavilions from other countries.

The criticism follows the UK government’s decision in 2021 to scrap the Tradeshow Access Programme, a scheme that provided grants of up to £2,500 to help small and medium-sized businesses attend international trade fairs. The programme, which cost an estimated £8–10 million a year, has not been reinstated despite repeated lobbying from the tech sector.

Mark Birchall, managing director of exhibition support firm Tradefair, said the absence of UK backing was keenly felt by businesses trying to compete internationally. He said British companies often find themselves overshadowed by smaller nations whose governments invest heavily in national stands and coordinated delegations.

“I’ve had pavilion envy for years,” Birchall said. “You go to major tech events and see countries like Latvia, Lithuania and Malta turning up with impressive government-funded stands, while British firms are left to fend for themselves.”

Analyst Paolo Pescatore of PP Foresight said the situation highlights a growing disconnect between government rhetoric and reality. He said the UK frequently talks up its ambition to be a global tech leader, yet consistently fails to provide practical support at the world’s most important industry events.

“France stands out time and again for how it backs its start-ups and SMEs,” he said. “The proof is in the pudding. In the UK, the private sector is being asked to carry the cost alone.”

A government spokesperson defended its record, saying a thriving technology sector sits at the heart of its plans to grow the economy and modernise public services. The spokesperson pointed to the Industrial Strategy and Small Business Plan as evidence of support for firms looking to scale internationally.

However, for many in the tech industry, CES remains a litmus test of global ambition, and one where Britain risks being seen as absent just as international competition intensifies.

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Tech trade show boss criticises UK for lack of support at CES

January 5, 2026
IoD: business confidence ticks up in December, but hiring and investment remain under pressure
Business

IoD: business confidence ticks up in December, but hiring and investment remain under pressure

by January 5, 2026

Business confidence showed a modest improvement in December, but employers continue to rein in hiring and delay investment amid ongoing cost pressures and regulatory uncertainty, according to new data from the Institute of Directors.

The IoD’s Directors’ Economic Confidence Index, which tracks business leader optimism about the wider UK economy, rose to -66 in December, up from -73 in November, which had been measured immediately before the Budget.

However, confidence in respondents’ own organisations remained effectively flat at -4, compared with -5 the month before, highlighting that any improvement in sentiment has yet to translate into stronger business plans.

Hiring freezes and delayed investment persist

Forward-looking indicators in the survey suggest businesses remain cautious, with headcount expectations weakening to -14, from -8 and investment intentions falling to -21, from -17.

The data suggests that while the immediate post-Budget uncertainty has faded, structural concerns around employment costs, taxation and regulation continue to weigh heavily on decision-making.

Anna Leach, Chief Economist at the IoD, said that while the December uptick was welcome, it should not be overstated.

“After months of policy uncertainty at the end of last year, it’s a relief to see business leaders feeling a little more positive over the festive season,” she said. “But confidence remains close to the record lows reached during the first Covid lockdown and after the last two Budgets.”

Leach noted that increased fiscal headroom and the decision not to assess fiscal rules at the spring OBR update could reduce short-term policy volatility. However, she warned this alone would not be enough to materially improve growth prospects.

Hiring freezes and cancelled capital spending were frequently cited in free-text responses, reflecting widespread cash preservation strategies across the private sector.

The findings underline a fragile recovery in sentiment, but one that remains highly sensitive to policy choices in 2026.

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IoD: business confidence ticks up in December, but hiring and investment remain under pressure

January 5, 2026
Hospitality shift hours fall 30% as pubs and restaurants cut back amid rising costs
Business

Hospitality shift hours fall 30% as pubs and restaurants cut back amid rising costs

by January 5, 2026

UK pubs and restaurants are significantly scaling back staffing levels as higher costs and weaker consumer demand continue to batter the hospitality sector.

New data from Bristol-based hospitality recruitment platform Limber shows that average shift hours posted by hospitality businesses in 2025 are down 30% compared with 2022, underlining the depth of pressure facing operators across the industry.

According to Limber, average monthly shift hours per business have fallen from 112 hours in 2022 to just 79 hours in 2025, as venues attempt to control costs by running leaner rotas and reducing reliance on flexible labour.

Hospitality was among the sectors hardest hit during the pandemic and has struggled to regain momentum amid a toxic mix of double-digit inflation, higher wage bills, rising taxes, elevated interest rates and a prolonged cost-of-living crisis.

Chris Sanderson, chief executive of Limber, said the data reflects a structural shift in how pubs and restaurants are operating.

“Hospitality businesses have been steadily cutting staff hours since the pandemic,” he said. “A combination of increased costs and falling consumer confidence means venues are trying to do more with less and, in many cases, are simply quieter than they were before.

“Until the economy improves and people genuinely feel better off, this worrying trend is likely to continue.”

The reduction in shift hours suggests that many operators are opting to shorten opening hours, reduce service levels or rely more heavily on owners and core staff to keep businesses viable.

For smaller, independent venues, the pressures are particularly acute.

Danny Matthews, owner of The Pennycress, a coffee shop in South Cerney near Cirencester, said his business has been forced to raise prices selectively while absorbing other costs to remain competitive.

“The biggest killers right now are wages and business rates,” he said. “We’ve had to raise some prices, though customers have generally understood, and we’ve absorbed other costs to keep popular items friction-free, such as alternative milks, which can be double the cost of dairy.

“Rates relief alone isn’t enough for a young hospitality business. Support with energy, VAT and National Insurance all matter, and there’s a real lack of understanding from government about just how thin hospitality margins really are.”

Matthews added that the closure of independent hospitality venues has wider consequences for local communities.

“If The Pennycress closed tomorrow, South Cerney wouldn’t just lose a coffee shop — it would lose a space that connects people and supports local food producers. Hospitality is hard, but it’s becoming almost impossible to do it well.”

HR and employment specialist Kate Underwood, founder of Kate Underwood HR and Training, said the decline in hospitality staffing is symptomatic of deeper problems across town centres and high streets.

“When pubs and restaurants close or cut back, it’s like a town losing its living room,” she said. “Hospitality was always tough. Now it’s tougher still, with bigger wage bills, higher employer National Insurance, soaring energy costs — and customers still expecting five-star service on a shoestring budget.

“Hospitality isn’t dying because owners can’t run businesses. It’s being bled out by rising bills while everyone asks why the lights are going out on the high street.”

Underwood said operators that are surviving tend to take a ruthless approach to costs, particularly around menus and staffing.

“The venues that endure are forensic about rotas and menu engineering — ditching low-margin dishes and pushing profitable ones. But even the best-run businesses can only cut so far.”

With consumer confidence fragile and further cost increases expected across wages, business rates and employer taxes, industry figures warn that reduced staffing levels may become a permanent feature of the hospitality landscape unless meaningful, sector-specific support is introduced.

For now, the data suggests many pubs and restaurants are prioritising survival over growth, with fewer shifts, shorter hours and increasingly cautious hiring decisions defining hospitality in 2025.

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Hospitality shift hours fall 30% as pubs and restaurants cut back amid rising costs

January 5, 2026
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