Business News Round Up (13/01/2025)
North West businesses: second highest number of administrations in the UK for 2024, analysis reveals
North West businesses accounted for 14 per cent of administrations in 2024 – the second highest region in the UK – according to analysis by law firm Shakespeare Martineau. More than 1,700 UK businesses, 248 of which came from the North West, filed for administration in 2024 – marking a 28% and 5% increase compared to 2022 and 2023 respectively. Retail, construction, hospitality, manufacturing and real estate were the worst-hit sectors for the second year in a row, collectively accounting for 55% of the 1,718 administrations. Regionally, Greater London led the way with 23% of the filings, followed by the North West (14%) and the South East (11%), data from The Gazette Official Public Record revealed. With administrations approaching pre-Covid levels (1,794), an insolvency and restructuring expert has warned that ongoing tough trading conditions, rising geopolitical tensions and new tax burdens could tip even more businesses into financial distress.
Lack of ‘green collar’ workers hits building sector
A lack of so-called “green collar” workers is affecting the construction sector which could derail attempts to decarbonise the industry. The need to create a supply of workers with skills in sustainability-related roles will be highlighted at an event in Glasgow at the end of this month. Minister for Higher and Further Education, Graeme Dey will join delegates at Sustainabuild and will address the challenge of closing the green skills gap. Mr Dey said: “To address the green building skills shortage, we must tackle the challenge from all angles to ensure that we harness the opportunities that the just transition to a green economy will unlock. This includes educating and training the future workforce for emerging green roles, attracting a diverse pool of talent to the construction sector, and supporting the re-skilling of labourers as we make the shift to more sustainable industries.”
Small businesses set to struggle in twin speed economy
As UK businesses prepare to implement the tax changes announced in the October Budget, new research from Simply Asset Finance reveals a stark divide in business sentiment and their prospects for growth. Despite grappling with changes to NI and the minimum wage, the survey, carried out in the wake of the budget, shows that almost one in five (19%) businesses are more inclined to invest in their business now that there is greater clarity on the Government’s economic roadmap. In addition, over half of businesses (53%) questioned believed the recently announced reduction in business rates for retail, hospitality, and leisure will enable growth. But a closer look at the data shows that smaller businesses and micro businesses are likely to fare much worse than medium-sized companies following Chancellor Reeves’ interventions.
New report finds UK is Europe’s second highest-paying IT market
According to a new report, the UK is the second highest-paying IT market in Europe, beaten only by Switzerland and ahead of countries like Germany and the Netherlands. The report, European Transparent IT Job Market Report 2024, also discovered that London, Belfast, Cambridge, Birmingham, and Manchester were the foremost leading UK locations when it comes to IT remuneration, with the average London salary being £67,800, and the top 10% of salaries there exceeding £105,000. Meanwhile, Southampton, Cardiff, Bradford, Liverpool, and Brighton were the lowest for pay. Brighton came last place in the UK’s rankings, with the average IT salary being £41,200 while the top 10% of salaries there exceed £55,000. The major Scottish cities of Edinburgh and Glasgow were middle of the pack, the report found. The average IT industry salary in Edinburgh was £49,700, and in Glasgow £48,800.
https://www.digit.fyi/new-report-finds-uk-is-europes-second-highest-paying-it-market