Business News Articles

CBI: SMEs should contribute to pensions
Small and medium-sized companies should not be exempt from employee pension schemes, claims the Confederation of British Industry (CBI). From 2012, employees will be automatically enrolled into a pension scheme, with their employer contributing a minimum of 3% into the fund. However, micro businesses - firms with fewer than five staff - are to be exempt from automatic enrolment. "Automatical... more

Firms ‘underprepared’ for ageing staff
Businesses in the UK will struggle to adapt to an ageing workforce, according to data by the Chartered Management Institute (CMI). The survey found that just 14% of bosses consider their organisation well prepared to cope with a greater volume of senior workers. More than a third of respondents claim board-level recognition of ageing workforces is non-existent, despite the fact that 93 % see... more

Retail sales decline 0.5%
Retail sales in the UK declined by 0.5% in April, the first decline since January, according to the Office for National Statistics (ONS) This decline is a surprise and suggests that concerns over tax rises and the government's budget cuts are affecting customers. Non-food stores were the worst hit in August, with sales down 0.7%, driven largely by household goods stores. "Retail sales fel... more

Firms confident over output growth
UK manufacturers expect production to increase in the next quarter and demand to hold up well this month, according to the Confederation of British Industry's latest monthly Industrial Trends Survey. Responding to the latest CBI survey, 20% of manufacturers said that total orders were above normal and 37% said they were below. The resulting balance of -17% is down slightly on last month (-14%).... more

Loans to firms cut by £28bn
Loans from UK banks to companies have been cut by £28bn since the start of the global financial crisis brought on by the collapse of Lehman Brothers two years ago, according to the Bank of England. The amount of loans outstanding to businesses is now £471 billion, down from a peak of £503 billion in September 2008 when Lehman Brothers filed for bankruptcy. "We are worried that the fall in... more

Unemployment falls to 2.47m
The number of people unemployed in the UK declined by 8,000 to 2.47 million in the last quarter, according to figures released by the Office for National Statistics (ONS). These figures mean that the overall UK unemployment rate remains at 7.8% but the claimant count - those out of work and receiving unemployment benefit - rose by 2,300 in August to 1.47 million. There are fears that unemplo... more

Royal Mail ‘not important to firms’
Following the announcement by the government to privatise Royal Mail, a survey has revealed that less than a quarter of firms still view traditional mail as important to their operations. A poll of 5,000 companies found that just 23% see mail as necessary. Londoners were found to value to postal service the least with 11% saying that ‘snail mail' was important to their business. By comparison... more

Inflation remains at 3.1%
Inflation remained unchanged in August at 3.1%, according to data released by the Office for National Statistics (ONS). Consumer Prices Index (CPI) inflation remains well above the Bank of England's 2% target and the rate remaining unchanged brings to an end a three successive months where the rate fell. Retail Prices Index (RPI) inflation slowed to 4.7%, down from 4.8% in July. Economist... more

Consumer confidence rises
Consumer confidence increased last month after three successive months of decline, according to research from Nationwide. The building society's consumer confidence index rose to 61 in August from a 14-month low of 56 in July, recovering to a similar level to August 2009. However, the index remains well below the average of 83 and February's two-year high of 84. The rise was driven by an imp... more

Unions support strike action over cuts
Small and medium-sized business bosses have been warned that Union delegates have backed joint industrial action if "attacks" on jobs, pensions and public services go ahead. The TUC backed a motion to build an alliance between unions and communities to work together to maximise the effects of any strike action. The coalition government is pressing ahead with widespread cuts as it attempts to... more