Business News Round Up (23/02/2026)
New data shows North West private equity deals fell in 2025 amid market uncertainty
Private equity investment activity in the North West fell in 2025, according to the latest UK Private Equity Review from KPMG UK. The comprehensive annual study into total private equity deal activity found that 201 transactions were completed in the region last year, a fall of 12% year-on-year. According to the report, North West and wider UK market confidence was affected by geopolitical tensions, tariff uncertainty and ongoing economic challenges throughout 2025. Deal activity in the North West remained broadly stable across the year, with 101 transactions completed in the first half and 100 in the second. Private equity exits also decreased in 2025, compared with the year before (27 vs 42). Despite this, exit activity also increased over the course of the year, with a total of 12 exits completed in the first half of the year, compared with 15 in the second half.
Business lending growth expected to slow in 2026 amid economic uncertainty
Lending growth to UK businesses is expected to slow this year following strong expansion in 2025, according to the latest forecast from the EY ITEM Club. Net lending to businesses grew by 6.9% in 2025 but is predicted to fall to around 3.5% in 2026, signalling a potential shift in borrowing demand influenced by global economic pressures and weaker investment confidence, which investors should monitor closely. Analysts say the slowdown reflects a more cautious business environment driven by geopolitical uncertainty, potential trade disruption, and tighter fiscal conditions, which are key factors for policymakers and investors to consider in their strategic planning. Last year’s lending growth was supported by falling interest rates, which encouraged borrowing and helped push business lending to its highest level since the pandemic. However, the outlook for 2026 is more subdued. Firms are expected to scale back expansion plans and delay capital investment amid unpredictable trading conditions.
Job vacancies continue to fall, research suggests
The number of job vacancies in the UK has fallen to a five-year low, approaching levels not seen since the pandemic, research suggests. The number of vacancies fell by 3% last month to 694,000, continuing a downward trend seen throughout late 2025, according to jobs site Adzuna. The study indicated that it was the first time advertised vacancies had dropped below 700,000 since January 2021. Vacancies were down by 16% compared with January 2025, and by 19% since six months ago, said the report. Adzuna said the figures highlighted how sharply job opportunities have contracted since mid-2025, reinforcing the difficult conditions facing jobseekers amid a high cost of living, increased national insurance costs and the rising use of AI. Competition for jobs has increased, with more than two jobseekers per vacancy, said Adzuna. The most searched-for jobs included healthcare support workers, warehouse staff, lorry drivers, labourers and kitchen assistants.
https://www.insidermedia.com/news/national/job-vacancies-continue-to-fall-research-suggests
UK small businesses still owed £70bn in late payments, says Hiscox report
Small businesses across the UK are still waiting on an estimated £70.4 billion in unpaid invoices, according to new research from specialist insurer Hiscox. More than a year after the government introduced the Fair Payment Code, late payment remains a constant problem for many sole traders and small firms. The headline figures are striking: Small businesses are owed £12,357 on average in late payments each year; 23% of all payments arrive late; Businesses chase 14 late payments a year on average. Hiscox surveyed 1,000 small business owners and sole traders via Censuswide for its first Late Payments Report. With around 5.7 million small businesses operating in the UK, the insurer estimates that outstanding payments could total £70.4 billion nationwide.