Business News Round Up (14/04/2025)
UK reduces import tariffs on everyday essentials in a bid to boost growth
The UK revealed a reduction in import tariffs aimed at lowering the prices of various foreign products, including daily essentials like pasta, fruit juices, and spices, as part of efforts to stimulate economic growth. The UK Department for Business and Trade (DBT) stated that UK Global Tariff would face a temporary suspension for 89 products, potentially saving UK companies £17million annually. Recently, Nirmala Sitharaman engaged in extensive discussions with her British counterpart to inject further momentum into the ongoing negotiations for a bilateral Free Trade Agreement (FTA) between India and the UK. Amid President Trump’s tariff hikes, the DBT explained that the decision was made to pause import duties on a broad selection of products to help lower costs for businesses, offering zero tariffs until July 2027. During a White House event on April 3 President Trump unveiled sweeping tariffs that directly impacted key trading partners, including the United Kingdom.
SRC: disappointing March footfall leaves retailers hoping for Easter boost
Scottish retail footfall saw a significant decline in March, primarily attributed to Easter falling in April this year compared to March in 2024. According to data from the Scottish Retail Consortium (SRC) and Sensormatic Solutions covering the five weeks to 5 April 2025, overall Scottish footfall decreased by 6.6% compared to the previous year. This marks a substantial worsening from the 0.3% decline recorded in February. All retail locations felt the impact. Shopping centres experienced the steepest drop at 9.1% year-on-year, reversing February’s slight positive figure. Retail parks proved more resilient, though footfall still decreased by 1.1%. City performance varied, with Edinburgh seeing a sharp 9.0% drop in footfall, whereas Glasgow recorded a more modest fall of 2.5%.
Government pledges £20bn support for tariff-hit UK firms
The Government has pledged an extra £20bn in support for UK firms set to be hit by US President Donald Trump’s export tariffs. UK firms were set to be hit by a universal 10% baseline tariff, with many other countries facing steeper taxes. China’s decision to impose tit-for-tat duties has seen the Trump administration decide on an astonishing 145% levy for Chinese goods entering the US. Last week Trump announced a 90-day pause on tariffs after global financial markets were left reeling from the see-sawing policy announcements. However, the Treasury has moved to expand the UK’s export finance support package by £20bn to a total of £80bn, which Chancellor Rachel Reeves said would benefit “thousands of UK businesses affected by tariffs”. Up to £10bn of that support will be used specifically for firms impacted in the short term by the current situation, the Treasury said.
https://businesscloud.co.uk/news/government-pledges-20bn-support-for-tariff-hit-uk-firms
Business administration booms: UK’s top cities for starting a business in 2025
Business administration and support services are driving a new wave of entrepreneurial growth across the UK, with cities like Manchester, Birmingham, and London emerging as key hubs for this fast-growing sector. New insights from Funding Circle reveal that while London still dominates in terms of business volume, smaller cities like Brighton, Oxford, Manchester, and Liverpool are carving out reputations as thriving entrepreneurial hotspots—especially for those in business services. These cities offer strategic advantages: lower operating costs, access to skilled talent, and proximity to growing regional economies. In 2024, business administration and support services saw a 17% year-on-year increase in new business registrations—the largest growth across all sectors. As companies look to streamline internal processes and focus on core activities, many are turning to third-party specialists to handle admin-heavy functions—creating lucrative opportunities for entrepreneurs in this space.