Business News Round Up (09/10/2026)
UK business confidence remains in prolonged downturned, ICAEW finds
UK business confidence has recorded its longest sustained decline since the 2008 global financial crisis, according to a survey of 1,000 business leaders by the Institute of Chartered Accountants in England and Wales (ICAEW). Confidence was expected to return to positive territory in Q3 for the first time since Q4 2024, as stronger-than-expected conditions lifted domestic sales and drove profit growth to a two-year high. However, the ICAEW’s Business Confidence Monitor fell from +7.3 in late August to -0.5 at the end of its ten-week September survey, following renewed US-Iran tensions that raised oil and gas prices and weakened sentiment. Although improved from -14.6 in Q2, confidence has remained negative for seven consecutive quarters, matching the longest period on record since the 2008 financial crisis. Geopolitical risk was the main constraint, cited by 58% of companies, followed by labour costs (53%), regulation (47%), energy costs (45%) and taxation (41%).
£100m of projects planned to help Manchester become ‘carbon zero’ by 2038
Climate change projects worth £100m are being planned in Manchester in the city’s bid to slash emissions and become a ‘carbon zero’ city by 2038. It could see big changes across the city over the next decade as it takes steps to cut carbon and boost its green credentials. Making Manchester a net zero city is expected to cost billions overall, with investment needed from both public and private organisations, and hitting the 2038 target would put Manchester well ahead of the UK national goal of 2050. The ‘£100m project pipeline’ in the MCR Plan 2025-30 would be a series of milestone projects from a mix of funding sources, including cash from the government and GB Energy. But there are concerns about how much progress has been made in Manchester so far.
Stronger collaboration between government and business vital to unlock Scottish mid-market growth new report finds
The Royal Bank of Scotland and NatWest Group have published a new report into Scotland and the UK’s mid-market businesses. Titled The Middle Speaks: narrowing the mid-market conversion gap through technology, talent and trade, it finds that mid-market businesses, defined as those with turnover of £10 million to £100 million and/or 50 to 500 employees, are often overlooked by support designed for smaller firms or large corporates. Analysis in the report by Scale Up Institute identifies over 4,400 Scottish mid-market businesses who collectively employ 644,000 and have an annual turnover of £122 billion, reflecting the immense contribution that the mid-market makes to the Scottish economy. However, despite creating jobs, driving innovation, strengthening supply chains and supporting local communities across Scotland, the segment remains relatively underserved and not well understood. The report argues that mid-market businesses represent one of Scotland’s greatest growth opportunities.
UK businesses delay investment plans: but eight in 10 ready to invest if Budget delivers long-term certainty
Barclays Business Prosperity research of more than 1,000 business leaders and 2,000 consumers shows both groups are ready to invest and spend, but pre-Budget uncertainty is delaying activity for a third consecutive year. 64% businesses are currently delaying investment decisions until after the Budget, up from 55% ahead of last year’s fiscal event. Meanwhile, 27% of consumers are postponing major purchases and important financial decisions as they wait for greater clarity. While many businesses are adopting a wait-and-see approach, Barclays’ research suggests a significant pipeline of investment could be unlocked if firms are given greater confidence. 81% say they would be likely to increase investment if the Government provides a clearer long-term economic policy framework. Among those delaying investments, the most postponed decisions are technology, AI and automation projects (29%), new products and services (29%), new facilities or premises (26%), marketing expenditure (26%) and workforce training and skills programmes (26%).