Business News Round Up (05/03/2026)
Scotland’s women-led scaleups generate £1.5bn but face stubborn barriers to growth
New analysis has shed light on Scotland’s female-founded scaleups with the ScaleUp Institute’s inaugural Female Founder Scottish Index revealing that while the growth of Scottish scaleups founded or co-founded by women is outpacing the UK national average, challenges remain in areas including access to investment, talent, and support. The research identifies 139 female-founded scaleups in Scotland, businesses generating in excess of £10 million in revenue or £5m in assets, collectively generating £1.5 billion, and employing over 16,000 people, with 47% of the businesses based outside Scotland’s main cities, Glasgow and Edinburgh. The findings of the Female Founders Scottish Index were outlined at today’s Pathways Forward ‘Pathways Pledge’ annual review in Edinburgh. Over 40 organisations have now signed up to more than 100 pledges aimed at driving gender diversity and addressing the needs of female entrepreneurs.
Emerging tech is making business leaders’ jobs harder
The vast majority of UK business leaders believe their role has become significantly more complex in the past six years amid the rise of AI and rapidly changing risks and opportunities. As many as 73% of senior decision-makings within UK businesses feel that their roles have become more complex since 2020, according to a study by Alliance Manchester Business School (AMBS). In its survey of 500 managers, directors and C-suite executives in UK businesses, it found that the emergence of new technologies, most notably AI, was the main reason for their jobs becoming harder, with 31% of respondents citing this. Other key factors mentioned was an increased cybersecurity and data privacy risk, mentioned by 28% of respondents and the wider performance of the UK economy as well as new regulation and legislation, both of which were said by 27%.
Reeves defends economic plan “in increasingly dangerous world” – watchdog downgrades 2026 growth forecast
Chancellor Rachel Reeves has defended the progress made by the Labour government since coming to power and claimed her economic plan has become “even more important in a world that in the last few days has become yet more uncertain”. However, the Office for Budget Responsibility (OBR) cut its forecast for growth this year. In her spring statement, the Chancellor said the OBR had “adjusted the profile of GDP so that it grows slightly slower in 2026 and faster in 2027 and 2028”, growing by 1.1 per cent in 2026, 1.6 per cent in 2027 and 2028, and 1.5 per cent in 2029 and 2030. Reeves said economic stability had been restored and hailed the level of defence spending “in an increasingly dangerous world”, citing investment in typhoon fighter jets, a new Royal Navy frigate launch and a £1bn helicopter deal with Leonardo.
UK risks losing High-Growth Firms without radical tax reset
All eyes are on Chancellor Rachel Reeves today as she gears up to deliver the government’s Spring Statement, but while it’s expected to be a much quieter affair than November’s budget, new figures from Tech Nation suggest the country’s high-growth businesses would welcome a radical rethink of tax policy. Publishing its latest Founders Pulse in response to the government’s Call for Evidence, the trade body warned that the UK tax system has become a brake on growth, with founders voicing frustration over unpredictable changes and regulatory demands that add layers of complexity. Among the biggest issues flagged by entrepreneurs are the limits of the current Enterprise Management Incentive (EMI) scheme – designed to let smaller firms offer tax‑efficient, competitive share options – which they argue restricts the ability to attract and retain top talent, particularly in fast‑scaling sectors such as AI and deep tech.
https://www.digit.fyi/uk-risks-losing-high-growth-firms-without-radical-tax-reset