Business News Round Up (17/07/2026)
BDO: Scottish mid-market expansion fuels jobs, investment and UK growth
Britain’s mid-market businesses continued to grow in 2026 despite ongoing economic uncertainty, with Scotland emerging as one of the UK’s strongest regional growth stories, according to new data from BDO. The number of mid-market businesses in Scotland increased by 5.1% year-on-year, outpacing the national growth rate of 4.4%. The country is now home to more than 2,000 mid-market companies. These businesses – defined as companies generating revenues between £10 million and £500 million, including AIM-listed and private equity-backed firms – are making an increasingly significant contribution to the country’s economy through job creation, investment and innovation. Businesses in Scotland now contribute £110 billion to the UK economy. The sector also supports more than 490,000 jobs across the country, demonstrating its vital role in creating employment, driving investment and sustaining local communities.
Latest research shows SME growth hopes are at their lowest ever level
The next 12 months could see a significant contraction within the small business and self-employed community, according to new research by Federation of Small Businesses (FSB). In Q2 the proportion of small firms who expect to grow over the next year reached its lowest ever point in the history of FSB’s Small Business Index, going back to the end of 2014. 18% anticipate growth, but they are comprehensively outweighed by nearly one in three small businesses (32%) who expect to shrink, sell up, or close entirely over the next year. The gap between firms that predict growth over the next year and those who predict shrinkage, a sale, or closure is at its widest ever extent, with a net balance of -14%, narrowly beating the -13% from Q4 2025. The net balance turned negative for the first time this time last year but has stayed firmly below zero ever since.
Entrepreneurial Scotland places record 208 students in internships worldwide
Entrepreneurial Scotland has announced its largest-ever Saltire Scholars Programme cohort, with 208 students participating in internships this summer – the highest number of placements in the charity’s history. The cohort is working on commercially significant projects across sectors including technology, engineering, finance, life sciences, marketing, operations, and business transformation. Of the 208 placements, 60 are fully funded international internships in Australia, Canada, and the United States, while a further 148 are based across Scotland and the wider UK. The programme has also reached a record level of employer participation, with 112 organisations taking part – the highest number in its history. The number of first-time hosts has also increased by 50%, reflecting growing demand from businesses looking to access and develop future talent.
Unlocking Northern corporates growth opportunities with HSBC UK
Corporates are the UK’s unsung engine of growth – with an oversized impact on the UK economy. They are forecast to contribute £745 billion to the UK economy by 2028, accounting for 27% of UK gross value added (GVA) and creating an additional 1.9 million jobs. As our recent Corporate Tracker highlights, most corporates are growing faster than the UK economy – and none more so than in the North. Between 2021 and 2024, the UK economy grew at a rate of 7.7% per year, based on gross value added. In the same period, the fastest growing sectors in the country’s three northern regions, Yorkshire and the Humber, the North West, and the North East, all showed growth well above 10%. Our findings indicate that the region’s growth is predominantly influenced by sectoral composition and specialisation, rather than by its exposure to national growth trends.