Business News Round Up (23/03/2026)
Plans to hire staff for small businesses hits five year low
Two in three UK small businesses (67%) are working on plans to strengthen and grow over the spring months, although plans to hire new staff (14%) have hit a new five-year low, according to new research from Novuna Business Finance. Whilst 84% of small businesses started 2026 with hopes to grow their enterprises during the course of 2026, the first quarter has proved to be challenging for many. The outbreak of war in the Middle East has already impacted energy prices, and at a time when the Chancellor has also warned that the Iran conflict is likely to see inflation rise in the coming months. Set against this challenging market context, the majority of UK small businesses remain committed to working on short-term growth plans, but the key priority areas all now focus on measures to protect cash flow and minimise costs.
Innovate UK launches new strategy for deep tech business support
Innovate UK has announced a new approach to support the government’s modern industrial strategy, aiming to back the nation’s most promising deep tech businesses. With a focus on the highest potential companies and a holistic approach to tailored support, Innovate UK aims to help the next generation of tech businesses thrive. Through the new approach, Innovate UK aims to distinguish itself as a trusted due diligence engine for the UK’s deep tech ecosystem. Investors can be confident that when it backs a company, the hard technical work has already been done, speeding up access to capital. “The UK has one of the strongest research bases in the world,” Tom Adeyoola, Innovate UK’s Executive Chair, said. “Yet we do not have as many globally-scaled companies to represent that strength. Why is that so, and what is stopping our big ideas from becoming big businesses?”
https://www.digit.fyi/innovate-uk-launches-new-strategy-for-deep-tech-business-support
Forbes sets out five-year AI blueprint to transform Scotland’s economy
Scotland has unveiled a wide-ranging five-year AI strategy aimed at positioning the country as a leader in artificial intelligence. The plan sets out how people, businesses and public services can benefit from the technology, with independent analysis suggesting the AI sector could be worth £23 billion to the Scottish economy by 2035. The strategy outlines increased support for businesses looking to expand their use of AI to develop new products and services, grow market share and create jobs and investment. Several initiatives are planned for the first year, including the establishment of an independent expert advisory board, the appointment of AI Champions to represent priority sectors and regions, an expanded AI adoption programme for businesses, a Future Jobs Panel to assess AI’s impact on the workforce, and an AI Leadership Academy.
UKHospitality demands emergency support as Glasgow Central closure cripples local economy
The Scottish Government and Glasgow City Council need to urgently publish a clear response and recovery plan for affected businesses, UKHospitality Scotland has said. The closure of Glasgow Central, Scotland’s busiest railway station, is devastating the local economy, with no rail commuter footfall and cancelled trips impacting local businesses across Glasgow. With the station expected to remain largely closed for an extended period of time, UKHospitality Scotland has said it needs to be a ‘national priority’ to ensure a critical piece of Scottish infrastructure is fully operational as soon as possible. It is also calling for the introduction of a business recovery plan to support affected businesses, which should include 100% business rates relief for the most impacted. The closure has also dealt a devastating blow to consumer confidence, and the support measures should include a Government-led consumer campaign encouraging people back into the city centre.