Business News Round Up (19/05/2026)
Faster decision making could lead to £1.1bn extra annual economic output for NW firms
North West mid-market businesses could generate around £1.1bn in extra annual economic output if key decisions were made more quickly – the largest regional opportunity outside London and the South East. New research from advisory firm FRP shows that faster decision making could improve revenue outcomes for North West firms by 12%, above the UK average of 10%. FRP’s Decision Economy report is delivered in partnership with research firm Development Economics and assesses the importance of mid-sized businesses to the UK economy and how effectively they make decisions. It’s estimated that slow decision making is costing up to £13.7bn in growth across the UK mid-market – equivalent to around 0.6% of GDP. North West mid-market firms, in particular, are a major force in the regional economy, generating more than £117bn in annual turnover and supporting around 538,000 jobs.
FRP: slow decisions costing Scottish economy more than £500m a year
Scotland’s mid-sized businesses could add over £500 million to annual economic output if they were able to make key decisions more quickly, according to FRP Advisory. The findings form part of FRP’s Decision Economy report, produced in partnership with Development Economics, which examines the contribution of mid-market firms – those employing between 50 and 499 people – to the UK economy and how effectively they reach decisions. Scottish mid-market firms generate around £79 billion in annual turnover and support approximately 359,000 jobs, making them a significant force in the national economy. The report estimates that faster decision-making could unlock around £545m in additional annual output north of the border. Across the UK as a whole, sluggish decision-making is said to be costing the mid-market up to £13.7bn in growth, equivalent to roughly 0.6% of GDP.
UK unemployment rate rises as job vacancies drop to five-year low
Unemployment edged back upwards despite a decline in last month’s figures, as data revealed the UK jobs market deteriorated over the last quarter. The Office for National Statistics reported the UK unemployment rate stood at five per cent in the three months to March 2026. This marked a rise from the 4.9 per cent recorded in the previous month’s release. Youth unemployment also climbed to 16.2 per cent, with activity rates for the age group falling simultaneously. WPI Strategy economist Martin Beck highlighted that the drop in payrolled employees among those under 35 was more pronounced, falling by 296,000 since October 2024, compared to a rise of 18,000 for older workers. Vacancies declined further to a five-year low, laying bare the challenges facing job seekers in an increasingly subdued market.
https://www.business-live.co.uk/economic-development/uk-unemployment-rate-rises-job-33970008
NatWest commits £20bn to drive growth in the North of England
NatWest Group has pledged £20bn in funding over the next ten years to drive economic growth across the North of England. The commitment was announced yesterday (18 May 2026) by NatWest Group chief executive Paul Thwaite at the Great North Investment Summit, which has been convened in collaboration with the Northern mayors and sponsored by NatWest Group. It underlines the bank’s role as a long-term partner to local and regional governments, businesses and investors, and forms part of the bank’s Growing Together plan to drive UK economic growth by backing powerful regions. The £20bn ambition is set to support investment in areas that underpin regional growth and resilience, including energy, transport, infrastructure, regeneration and housing. NatWest Group will do this by providing direct funding, sharing risk with partners and helping bring in investment from other sources.