Month: November 2024

Luke Johnson, the chairman of Gail’s bakery chain and a prominent entrepreneur, has warned that some of his businesses “might not survive” under Labour’s proposed workers’ rights reforms.
Speaking to the Employment Rights Bill committee, Johnson expressed concerns over the additional costs and complexities that the legislation could impose on small and medium-sized enterprises (SMEs).
“In some cases, some of my companies might not survive next year,” he told ministers. Johnson, who has a diverse portfolio including investments in Brompton bicycles and Revolution Bars, highlighted that insolvency specialists are anticipating a surge in company collapses due to the challenging economic climate.
He emphasised that the timing of the Employment Rights Bill was “beyond belief,” especially following recent tax increases announced in October’s Budget. Johnson argued that the combination of higher taxes and increased regulatory burdens could overwhelm smaller businesses that lack extensive human resources departments.
“The idea that companies that can barely afford any form of HR could stomach a big new bill of 150 pages in 28 measures—they won’t even have time to read it,” he said. “You never know, until you get a big tribunal, what the real cost is.”
Labour’s proposed reforms aim to enhance workers’ rights by providing more job security, stronger flexible working provisions, and increased powers for unions. Employees would also have the ability to take employers to tribunals from day one of their employment. While these changes are intended to protect workers, some business leaders are concerned about the potential impact on operational costs and hiring practices.
The government’s own impact assessment suggests that the reforms could cost businesses up to £4.5 billion. Alex Hall-Chen, head of policy at the Institute of Directors, warned that the reforms might deter companies from hiring new staff, especially those who are considered “borderline candidates,” due to the increased risks and costs associated with employment disputes.
Andrew Griffith, the Shadow Business Secretary, has called for the bill to be delayed until comprehensive impact assessments are conducted. In a letter to Business Secretary Jonathan Reynolds, Griffith stated that the bill could place “destructive and unacceptable burdens on business,” referencing a watchdog’s findings that the government’s impact assessments were “not fit for purpose.”
Johnson’s remarks underscore the tension between efforts to enhance worker protections and the need to support businesses amid economic uncertainties. “Jobs don’t just fall from the sky—they appear because companies are created by risk-takers,” he said. “If you crush the private sector, you crush jobs. Without jobs, you don’t have civilisation.”
As ministers continue to consult on the proposed changes, they face the challenge of balancing the rights and protections of workers with the sustainability and growth of businesses, particularly SMEs that form the backbone of the UK economy.
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Gail’s chairman warns Labour’s workers’ rights plans may threaten businesses

A construction industry awards event has sparked a sexism row after featuring female performers in skin-tight, builder-themed outfits, leading to widespread criticism and calls for change within the sector.
On The Tools, an online community for builders, faced backlash when photos emerged from its recent awards ceremony showing women in tight-fitting costumes modeled on personal protective equipment (PPE) and performing on stilts.
Faye Allen, a diversity campaigner and former director at construction company Arcadis, said she was contacted by “horrified” attendees of the event, including one woman who “literally walked into a crotch.” Allen expressed her frustration: “There’s a lot of issues over PPE. We’ve been fighting really hard for PPE that fits women and other diverse groups. To have people put on hi-vis colours and dress like that is frustrating.”
She added, “I’ve been in the industry for 30 years—I stopped working for contractors on site because I got sick of the way I was treated, and women are still being treated that way today. It has to change.”
Harriet Waley-Cohen, another diversity advocate, shared her dismay in a LinkedIn post, stating she was “appalled by the regressive, sexist messaging” of the event. “The promo women would have been signed off at the highest level. Anyone who wanted to question it either didn’t feel safe to speak, or their concerns weren’t listened to. Everyone involved decided that it’s OK to sexualise and devalue women in the industry, and portray that women are there for their sexual desirability, not their brains or talents,” she wrote.
Waley-Cohen highlighted industry challenges, noting that “women have far shorter careers than men in construction, according to RICS data. It’s not surprising women are leaving if they are unsafe at work and routinely sexualised. What happened at the awards absolutely reinforces all of this.”
Her post garnered reactions from over a thousand people and hundreds of comments, reflecting significant concern within the industry.
A sign used at the event for photo opportunities also circulated on social media, displaying an image of a loading bar at 69% progress with the caption: “Getting drunk, please wait…”
Allen remarked, “The industry will never be inclusive if this messaging carries on. Women don’t want tacky [events] or people getting drunk for the sake of it; we just want respect and to be able to do our jobs.”
According to On The Tools’ website, the organisation is “the largest and most engaged online construction community for UK tradespeople.” Sponsors for the awards ceremony included Jewson, CT1, Dulux Trade, Howdens, Renault Trucks, SIG Roofing, Toolstation, and Wienerberger.
Lee Wilcox, the chief executive of On The Tools, issued a public apology on LinkedIn, stating that the company had used an events contractor to plan the event and had not checked the outfits. “We asked for a construction theme but didn’t check the outfits. But no matter the ins and outs of it and how it happened, this was a mess-up, and we’re sorry,” he wrote.
Wilcox continued, “We always aim to empower women, which is why I’m personally really, really sorry to anyone we’ve offended. Those that know me know this isn’t what I’m about, and as the leader of the business, our culture and beliefs are a reflection of me directly. Which is why this is on me.”
He has personally reached out to both Allen and Waley-Cohen to apologise.
Reflecting on the incident, Allen said, “I’m trying to look on the bright side—hopefully people will wake up and realise how bad the situation is for women now.”
Research conducted by Allen for her upcoming book, *Building Women: How Everyone in Construction Can Win*, revealed that one in four women in the industry were sexually assaulted at work in 2023, equating to approximately 74,000 women in British construction.
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Construction awards face sexism backlash over performers in tight-fitting PPE outfits

House prices across the UK are higher than they were a year ago in every region and are forecasted to continue rising in 2025, despite potential dampening effects from recent budget changes.
According to property search website Zoopla, average house prices have increased by 1.5 per cent over the past 12 months.
A pronounced north-south divide has emerged, with prices in northern regions—generally more affordable—rising significantly faster than those in and around London, where properties are pricier and more sensitive to interest rate fluctuations. In Northern Ireland, house prices have surged by 6.3 per cent compared to last year, while the southeast of England has seen a modest gain of only 0.3 per cent.
Zoopla anticipates a 2.5 per cent increase in house prices over the course of 2025, aligning with predictions from other industry analysts. Richard Donnell, executive director at Zoopla, commented that “income growth has been stronger than we expected” this year. Coupled with a retreat in mortgage rates, this has improved affordability for prospective buyers.
In addition to driving up prices in 2025, Donnell estimates that there will be 1.15 million housing transactions—a 5 per cent increase compared to this year. However, affordability pressures are expected to persist in the southeast and London, with southern housing markets likely to continue lagging behind their northern counterparts.
Donnell noted that his forecasts for the coming year would have been more optimistic if not for “budget changes,” which he believes will “act as a drag on price inflation.”
From April 2025, more buyers will face higher stamp duty rates. Zoopla estimates that about half of people moving today pay stamp duty, but this figure is set to rise to over 80 per cent in the spring. The proportion of first-time buyers required to pay stamp duty from next April is likely to double to 40 per cent.
Zoopla’s data indicates that the market is busier than usual as prospective buyers aim to complete transactions before the tax changes take effect. The number of sales agreed is 19 per cent higher than this time last year, and buyer demand has increased by 25 per cent.
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UK house prices expected to rise by 2.5% in 2025 despite budget constraints

The UK government is committed to kickstarting the nation’s economic growth, but recently released trade figures from HM Revenue & Customs (HMRC) indicate a substantial journey ahead, according to leading audit, tax, and business advisory firm Blick Rothenberg.
Simon Sutcliffe, Customs & Excise Duty Partner at the firm, commented: “Trade statistics for 2023, published by HMRC yesterday, show that the UK remains a predominantly service-based economy in international trade, with imports and exports of services dwarfing the movement of goods. The total value of exported services in 2023 stood at £187 billion, whereas imports of services were £423 billion.”
He added: “In some notable industries, the exports by sector exceed imports in value. Importantly, the main industries where imports exceed exports are agriculture and food, and the oil, energy, and petroleum sectors. This may feed opposition claims that the UK remains food and energy insecure.”
Sutcliffe continued: “Although reducing import rates in the agriculture and food, and oil, energy, and petroleum sectors is important both politically and economically, the services sector remains crucial to delivering economic growth. Hopefully, the government will give sufficient focus in future trade deals to matters affecting this part of the economy, such as regulatory frameworks, common standards, and access to talent and skills.”
He highlighted that the United States and China, aside from the EU bloc countries, remain the UK’s largest individual trading partners. “The US is the largest export market at £57.7 billion and import market at £63.3 billion for goods and services. The US is closely followed by China, with an export value of £27.3 billion and imports at £62.2 billion,” he said.
Sutcliffe noted that this situation puts pressure on the Prime Minister over how to handle trade policies with these major economies.
He added: “The EU exports to the UK are valued at £189.1 billion, whereas imports are valued at £326 billion. This is one of the largest trade imbalances in the report and perhaps indicates the struggle that UK businesses, whose sole overseas marketplace prior to Brexit was the EU, have faced post-Brexit in dealing with new administrative and customs burdens that have impacted how and with whom they do business in the EU.”
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Trade figures reveal UK’s challenge to boost economic growth

The UK’s Gambling Commission is preparing to settle a £200 million legal claim from media mogul Richard Desmond regarding the awarding of the National Lottery licence, aiming to resolve a dispute that has hindered technological upgrades.
The UK’s gambling regulator is reportedly moving to settle a £200 million damages claim filed by media tycoon Richard Desmond over the operation of the National Lottery. The Gambling Commission has requested a mediation meeting with Mr Desmond’s company, Northern & Shell, proposing an out-of-court resolution to the legal dispute. This meeting is expected to occur in the coming weeks.
While the settlement aims to address the substantial claim, it is believed that the final agreement may not reach the full £200 million initially sought by Mr Desmond.
The decision to pursue a settlement stems from growing concerns that the ongoing legal battle is complicating efforts to upgrade the technology systems that underpin the National Lottery, which is the UK’s largest distributor of charitable funds.
Mr Desmond initiated a High Court challenge after the Gambling Commission awarded the fourth National Lottery licence to Czech operator Allwyn, bypassing bids from Northern & Shell and the incumbent operator, Camelot, which had managed the lottery since its inception in 1994.
Allwyn, controlled by billionaire gas magnate Karel Komárek, assumed control of the lottery in February. However, its tenure has faced difficulties, including delays in transitioning to a new technology provider. The company’s plan to introduce a new IT system has been repeatedly postponed, with further delays anticipated.
This technological overhaul is critical to Allwyn’s strategy to launch new games and double the lottery’s contributions to good causes from £17 billion to £34 billion over the 10-year licence period.
It is understood that the Gambling Commission’s eagerness to settle is partly due to expectations that the IT upgrade deadline will need to be extended again. Officials are reportedly reluctant to grant another extension while Mr Desmond’s legal action is pending, fearing it could strengthen his claim that awarding the licence to Allwyn was a mistake and that the auction process was flawed.
In February, Northern & Shell filed a procurement lawsuit against the Gambling Commission over its decision. During a High Court hearing in June, the company described the licensing process as “seriously flawed,” accusing the Commission of giving “unfairly favourable treatment to Allwyn.” Mr Desmond has previously questioned Allwyn’s suitability, stating they have “no experience in the UK.”
Industry experts suggest that Allwyn’s new systems should have been operational when it took over the licence. Robert Chvátal, Allwyn’s chief executive, had warned of potential delays even before the transition. The company missed its summer deadline and is now reportedly targeting February 2025, though insiders believe this may be further postponed, potentially impacting donations to good causes.
Allwyn has attributed some setbacks to a legal dispute with the former IT provider, International Game Technology (IGT). Although IGT’s legal challenge was dismissed by the High Court in 2023, the company continued to seek damages until January of this year.
Extended delays may hinder Allwyn’s ability to meet its ambitious fundraising goals. The company is already falling short of sales projections, with turnover expected to be significantly less than the £8.2 billion achieved by Camelot in its final year.
The National Lottery remains one of the UK’s most lucrative public sector contracts and its largest source of funding for sports, heritage, and charitable causes across the country.
A spokesperson for the Gambling Commission stated: “In accordance with the order of the court, at all stages the parties must consider settling this litigation by any means of alternative dispute resolution. Naturally, the Commission will continue to have regard to those requirements.”
An Allwyn representative commented: “We are investing more than £350 million in the biggest technology upgrade in the National Lottery’s history, and we are working towards switching over from the existing legacy systems to our new modern platform. Once it is live, we will be able to transform the way customers play the National Lottery and, crucially, drive even more returns to good causes.”
A spokesperson for Mr Desmond declined to comment.
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Gambling Commission seeks settlement with Richard Desmond over £200m lottery licence dispute

Conservative MP calls for increased investment in technology to reduce reliance on low-paid migrant workers, highlighting automation as a means to boost efficiency and lower net migration.
Businesses should adopt more automation technologies instead of hiring low-paid migrant workers, according to Conservative MP Chris Philp. Speaking on BBC Breakfast, Philp emphasised the need for increased use of robots and automated systems in industries to reduce the UK’s net migration figures.
“Other countries use a lot more automation for tasks such as picking fruit and vegetables, rather than simply importing a lot of low-wage migrant labour,” Philp said. He pointed to examples like Australia and New Zealand, where robotic fruit and vegetable picking equipment is being implemented. He also noted that South Korea utilises nine times the number of robots in manufacturing processes compared to the UK.
“In America, they use a lot more modular construction, which is much faster and much more efficient,” he added. “There’s a lot British industry can do to grow without needing to import large numbers of low-wage migrants.”
At a recent press conference, senior Conservative figures acknowledged past shortcomings on immigration policy. Kemi Badenoch, a leading Conservative MP, promised a review of “every policy, treaty and part of our legal framework,” including the role of the European Convention on Human Rights (ECHR) and the Human Rights Act.
While Badenoch committed to a “strict numerical cap” on migration and said the Conservatives would “explain how you get to those numbers,” she did not commit to restoring the Rwanda scheme that was previously scrapped. Philp, however, called for the scheme to be reinstated, stating that it had been “cancelled before it even started.”
When questioned about reports that ministers had considered using a giant wave machine to deter Channel crossings, Philp responded: “I don’t recall ever having seriously looked at that idea. I can’t remember if someone else did.”
Philp declined to specify a figure for the proposed migration cap but suggested that net migration figures of 350,000 would be “much too high.” He stressed the importance of determining “exactly how many high-skilled, high-wage people we need,” and addressing concerns over degree courses being used “as a sort of parallel migration system.”
He added that the Conservative Party would examine migrants’ eligibility for benefits among other measures to reduce net migration.
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Businesses urged to embrace automation over low-wage migrant labour

A new House of Lords report calls for a reimagining of UK high streets, emphasising the need to move beyond traditional retail to include more restaurants, leisure activities, and public services.
The decline of retail dominance on UK high streets has become increasingly evident, with over 10,000 store closures in 2023 alone. Communities have witnessed the loss of local department stores, pharmacies, clothing shops, pubs, and banks, leaving many town centres struggling to attract visitors.
According to the report titled “High Streets: Life Beyond Retail?” published by the cross-party House of Lords Built Environment Committee, there is a pressing need for high streets to offer a wider variety of services. This includes not only shopping but also dining, leisure activities, health centres, and libraries.
Lord Moylan, Chairman of the Built Environment Committee, stated: “Local high streets are places where generations have shopped, socialised, and worked. Many of them are in decline, and to reverse this they need to look beyond being simply a destination for shoppers.”
The report emphasises that local authorities, communities, and businesses must collaborate to create adaptable and resilient high streets that reflect local needs. A fixed, one-size-fits-all approach should be avoided in favour of flexible strategies that can evolve over time.
Key findings and recommendations include:
Implement a ‘town centre first’ policy: Ensure new public services like libraries, diagnostic centres, and local government buildings are established on high streets.
Appoint town centre managers: Each local authority should have an active manager to support high street development and share best practices nationwide.
Enhance accessibility: Improve public transport connectivity and provide sufficient parking to make high streets easily accessible by both car and public transport.
Create welcoming public spaces: Incorporate green spaces and areas where people, especially young people, can socialise without spending money.
Improve safety measures: Address concerns by enhancing street lighting, ensuring clear sightlines, and promoting a mix of uses that keep areas lively into the night.
Support local markets: Recognise the role of markets in boosting footfall and contributing to the unique character of towns and cities.
addressing challenges and future strategies
The Committee notes that previous government efforts to revive high streets were not well-coordinated. It urges the new government to implement local growth funding reforms that enable high streets to flourish in the long term and ensure those responsible have the expertise to deliver improvements.
The report also welcomes the announcement of plans to review the Business Rates system, acknowledging that taxation, funding, and the planning system significantly impact high street regeneration. It criticises the current model of local authorities bidding for central funding as expensive and wasteful, advocating for a more transparent funding distribution system.
Lord Moylan added: “Delivering a successful and sustainable high street often involves a local leader who motivates teams from the public and private sectors to use their imagination to breathe new life into their high street. Decision-makers shouldn’t be afraid of trying new things but should be mindful of the quality of what is delivered, as only well-designed and built spaces will stand the test of time.”
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Lords report urges shift beyond retail to revitalise UK high streets

Rachel Reeves’s proposed changes to agricultural relief on inheritance tax—dubbed the “tractor tax”—may impact five times more farmers than the government has estimated, according to the Central Association of Agricultural Valuers (CAAV).
The Treasury has stated that the changes will affect approximately 500 farmers each year. However, Jeremy Moody, secretary and adviser to the CAAV, argues that this figure is incorrect due to a misunderstanding of the farming industry’s complexities. He asserts that the new measures will actually impact around 2,500 farmers annually.
Moody contends that the Treasury’s analysis overlooks farmers who only claim Business Property Relief (BPR) and not Agricultural Property Relief (APR). This includes individuals who own land but not the farmhouse, those in farming partnerships, tenant farmers without ownership of land or buildings, and farmers who are shareholders in family companies.
“They’re wrong because they’re working on an incomplete picture,” Moody said. “What they got wrong is, they didn’t know what to ask and HMRC couldn’t answer them even if they had.”
He estimates that over a generation, about 75,000 farms will be affected by the changes.
Currently, farmers can claim up to 100% relief on inheritance tax for their land and buildings through APR and for operational equipment and livestock via BPR. Starting from April 2026, only the first £1 million of their combined land and business assets will qualify for 100% relief under the new rules. Any amount above this threshold will be subject to inheritance tax at an effective rate of 20%—half the standard rate of 40%.
The government argues that farmers can effectively have a nil-rate tax band of £1.5 million each, allowing a married couple to pass on up to £3 million in assets tax-free. This calculation includes personal inheritance tax allowances. However, Moody disputes this, stating that these thresholds are personal and should not be applied to business assets.
“That seems to me to be basically wrong,” he commented. “If you’re throwing all that against the farm then actually what you’re doing is saying all of your personal effects will be taxed at 40%.”
The BBC Verify fact-checking service has supported the Treasury’s estimates, and the government has publicized this analysis. Sir Keir Starmer remarked, “All of you can check out what that means in terms of the impact. I think the BBC has already done it.”
A government spokesperson stated: “Our commitment to our farmers is steadfast—we have committed £5 billion to the farming budget over two years, including more money than ever for sustainable food production… We have been clear since this change was announced that around 500 claims of Agricultural and Business Property Relief each year will be impacted… It is not possible to accurately infer inheritance tax liability from farm net worth figures as there are different circumstances affecting each farm.”
Moody criticises the government’s and BBC’s analyses for not fully understanding the farming industry, leading to underestimations of the policy’s impact. He emphasises that many farmers, such as tenant farmers, may not benefit from certain tax allowances and that the changes could significantly affect their financial standing.
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Tractor Tax Could Affect Five Times More Farmers Than Government Claims, Expert Warns

Walmart, the world’s largest retailer, has announced it will no longer consider race and gender policies when awarding supplier contracts after facing pressure from conservative activist Robby Starbuck.
The company is rolling back several diversity, equity, and inclusion (DEI) initiatives following criticism that they were harmful to certain groups.
As part of the changes, Walmart is winding down the Center for Racial Equity, a non-profit organisation that received $100 million in funding from the retailer in 2020. The company will also end some racial equity staff training, review its support for Pride events, and withdraw from rankings by the Human Rights Campaign, an LGBT advocacy group.
Additionally, Walmart stated it would monitor online merchants for sexual or transgender products marketed to children and remove items deemed inappropriate.
The commitments come after Robby Starbuck, a conservative “anti-woke” activist and former music video director, threatened to mobilise his 700,000 followers on the social media platform X (formerly Twitter) to boycott Walmart ahead of Black Friday if changes were not made. In a post on X, Starbuck said: “I’m happy to have secured these changes before Christmas when shoppers have very few large retail brands they can spend money with who aren’t pushing woke policies.”
Elon Musk, CEO of Tesla and adviser to President-elect Donald Trump, who has been a vocal critic of DEI policies, amplified the news by reposting an article about Walmart’s decision, commenting: “The tide has turned.”
Walmart, which employs 2.1 million people and has a market valuation of about $740 billion, claimed it was already reviewing some of its DEI policies prior to conversations with Starbuck. The company stated: “We are willing to change alongside our associates and customers who represent all of America.”
John Furner, president and chief executive of Walmart US, addressed the policy changes during an interview with CBS News, saying: “Like many companies all across the United States, we’ve been on a journey and we continue to be on a journey. And what we’re trying to do is ensure that every customer, every associate, feels welcome here to shop, and to feel like they belong.”
In October, Walmart reported that in the past financial year it sourced more than $13 billion in goods and services from diverse suppliers, including companies owned or operated by veterans, people with disabilities, members of the LGBT community, women, and people of colour. The retailer’s latest culture and diversity report indicated that people of colour represented about 51% of its total US workforce, with 59% of new hires being people of colour and 49% being women.
The company’s decision has sparked mixed reactions. While conservative activists like Starbuck applaud the move towards “corporate neutrality,” others have criticised Walmart for potentially undermining efforts towards diversity and inclusion. Users of Bluesky, a social media platform rivaling X, described Walmart as “disgusting” and “cowards” following the announcement.
Walmart now faces the challenge of balancing the demands of different stakeholder groups, as it risks losing customers who support DEI initiatives while trying to appease those who oppose them.
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Walmart scales back diversity initiatives after pressure from conservative activist