Business News Round Up (25/04/2025)
Retail sales see biggest rise for nearly four years
UK retail sales rose at the fastest pace for nearly four years in the first few months of the year, after warmer weather helped boost sales in March. Between January and March, sales volumes were up 1.6% from the previous three months, according to the Office for National Statistics (ONS), which was the biggest quarterly rise since July 2021. March’s sunny weather provided a boost for garden centres, and demand for clothing and DIY goods also improved. However, the ONS said food sales volumes fell, particularly at supermarkets. Analysts also warned that sales could weaken in the months ahead after a separate survey suggested consumer confidence fell in April. Sales volumes in March rose 0.4%, an unexpectedly strong figure after analysts had predicted a 0.4% fall. Clothing and shoe stores saw the strongest growth, with sales up 3.7% from the previous month.
https://www.bbc.co.uk/news/articles/ce3v5y3kyw1o
Scottish firms brace for more financial distress amidst economic headwinds
Difficult economic conditions are already impacting Scottish businesses, as a growing number of firms showed signs of advances financial distress in the first quarter of 2025 compared with the previous quarter. This is according to the latest data from independent business rescue and recovery specialist Begbies Traynor, which saw comparable figures with much of the rest of the UK. The Red Flag Alert data for Q1 2025, which provides a quarterly snapshot of Britain’s corporate health, revealed that instances of advanced or ‘critical’ financial distress in Scotland had risen by over 6% since Q1 2024. With almost 2,200 Scottish firms now affected, this type of distress saw a fall quarter-on-quarter, down by almost 7%, however, the report pre-dates the US announcement of trade tariffs in early April and the subsequent global turmoil.
https://www.digit.fyi/scottish-firms-brace-for-more-financial-distress-amidst-economic-headwinds
Manchester Digital pushes for national e-commerce hub in North West to boost UK’s global standing
Manchester’s booming e-commerce sector could be key to driving jobs and growth across the North West – and industry leaders have been gathering to map out its future. More than 200 experts, business owners, and policymakers gathered at Manchester Digital’s annual E-Commerce Conference to explore how online retail can fuel innovation, create jobs, and boost exports. The trade body, which represents the region’s fast-growing tech and digital commerce sector, says the North West has a major opportunity to lead the UK’s e-commerce expansion. In response to the event, Manchester Digital has developed a proposal calling on the Government to explore the creation of a National Centre of E-Commerce Excellence, in partnership with The Manchester Metropolitan University and UKTCG. The initiative aims to future-proof the sector, create jobs and ensure the UK remains competitive in the global digital economy.
Start-up support sees deal values rise to £100m
Venture Capital (VC) investment into Scotland’s start-up and scaling businesses increased slightly in Q1 of 2025, according to the latest KPMG Private Enterprise Venture Pulse report. Twenty-seven investments were concluded in the region, highlighting sustained appetite among VC investors looking to support Scotland’s burgeoning start-up community. Having raised £92.3 million in Q4 of 2024, business in the region received £100.5m from VC investors in the first three months of this year – an 8% increase – and marks a small increase on figures from Q1 2024, when £98m was raised. The largest raise was for Blk Global, a Glasgow-based online commodity and industrial supplies marketplace, which raised £50m, and drove the business-to-business products and services sector’s dominance in deal values across Scotland. With two fifths (41%) of investments made in Edinburgh-based firms, and 30% in Glasgow, firms in places such as Falkirk, Oban and Stonehaven contributed to the remaining deal value (£19.7m).