Business News Round Up (05/06/2026)
Scotland backs fintech with £3.18m in funding
The Financial Regulation Innovation Lab (FRIL), the UK’s centre of excellence for innovation in technology to efficiently meet financial regulation requirements, has secured £3.18 million from Scottish Enterprise to deliver three years of the award-winning programme. The funding will deepen collaboration amongst academia, industry and regulators, and further accelerate the adoption of responsible technology-driven innovation in financial services, supporting the sector’s competitiveness and that of the economy. Led by FinTech Scotland in partnership with the University of Strathclyde, FRIL will accelerate the adoption of new solutions enabling fairer financial futures and supporting technology innovators to scale their businesses. The types of industry regulatory challenges that FRIL will address include ensuring AI is adopted by providers in a way that is responsible and explainable to ensure fair financial outcomes for businesses and consumers. It will also focus on finding solutions that strengthen the effectiveness, integrity and efficiency of financial crime controls.
https://www.digit.fyi/scotland-backs-fintech-with-3-18m-in-funding
Large-business lending grows 12.3% as corporate borrowing climbs to £5.5bn in April
Private non-financial corporations (PNFCs) borrowed a net £5.5 billion of finance in April, up from £3.7bn in March, according to The Bank of England’s latest Money and Credit release. The bulk came through £4.4bn of bank loans and £1.0bn of net commercial paper issuance, partially offset by £1.6bn of net equity buybacks and £0.2bn of net bond redemptions. Businesses are leaning on bank lending and short-term paper while simultaneously returning capital to shareholders. Looking at bank lending specifically, UK non-financial businesses borrowed a net £5.2bn in loans, with large businesses taking £4.2bn and SMEs £1bn. The standout figure is the pace of growth among larger borrowers, as the annual growth rate of borrowing by large businesses accelerated to 12.3%, from 11.7% in March. SME borrowing growth also firmed, rising to 4.2% from 3.7%. For those advising corporate clients, that double-digit expansion in large-business credit is the headline trend.
Business travel sector warns over impact of visitor levies
Growing use of visitor levies across UK cities could increase costs for business travel and affect demand for meetings and events, according to corporate travel specialist CMAC Group. The warning comes as several business travel organisations have urged the UK Government to exempt business travel from any future Overnight Visitor Levy, arguing that work-related travel should be treated differently from leisure tourism. Ashley Seed, chief commercial officer at CMAC Group, said additional charges could place further pressure on corporate travel budgets and influence decisions about where companies hold meetings, conferences and events. “Business events are catalysts for economic growth, innovation, and skills development, and should not be treated as leisure tourism; any measures that hinder this activity risk triggering a chain reaction across the economy,” he said. Manchester introduced its City Visitor Charge in 2023, while Liverpool also operates a visitor levy model.
https://www.conference-news.co.uk/blogs/business-travel-sector-warns-over-impact-of-visitor-levies
Regions, energy and EU ‘will get economy moving’
John Swinney has identified regionalisation, energy and Europe as three big policy areas “to get Scotland’s economy moving up the gears”. In a speech to business leaders, he said the regions need to be empowered in order to maximise their potential, though he did not say if this meant emulating the mayoral offices in England. “Glasgow and Edinburgh in particular, with their distinct strengths and characters, can be powerhouses for economic growth… with the benefits felt nationwide and at all levels of the economy. I want to see the energy and talent of these cities, all our cities, unleashed, because each corner of our country has a depth of potential that is currently untapped. Scotland as a whole will only truly flourish when all parts of Scotland are flourishing and so we will empower our cities and regions to make that happen.”