Author: AbellMoney

Rachel Reeves, the chancellor, will instruct the national wealth fund (NWF) and the Office for Investment to coordinate their efforts with regional mayors for the first time.
The plan is part of a series of measures designed to boost local and national prosperity by strengthening collaboration between Whitehall and devolved administrations.
Following a meeting with combined authority mayors in Rotherham, Reeves emphasised the importance of local insight for fostering sustainable economic development. “Those with local knowledge and skin in the game are best placed to know what their area needs,” she said, underlining her commitment to avoid a top-down approach.
Under the new framework, specially formed taskforces will craft bespoke growth strategies for each region, ensuring that investment matches local priorities. The mayors of Greater Manchester, West Yorkshire, the West Midlands and Glasgow City Region will be among the first to trial the partnerships with the NWF, which was founded last year to underpin major infrastructure projects.
According to Reeves, the initiative builds on the NWF’s impact to date, having helped create 8,600 jobs and unlock nearly £1.6 billion in private investment in sectors ranging from green technologies to manufacturing over the past six months. The Office for Investment, which unites senior officials from No 10, the Treasury and the Department for Business, will likewise collaborate with authorities in the Liverpool City Region and the North East, seeking fresh ways to attract private capital.
The deputy prime minister, Angela Rayner, who led the Rotherham discussions, said the government intends to expand devolution across England, putting more power in the hands of local leaders. Tracy Brabin, mayor of West Yorkshire, welcomed the NWF’s “transformational investments” in her region, adding, “We will deliver well-paid jobs and vibrant, well-connected places our communities need and deserve.”
The move follows a week of high-profile announcements from the Labour government on raising investment and nurturing growth, including eased restrictions for high-net-worth non-domiciled residents, demands on regulators to slash red tape, and signals of potential changes to the visa regime for skilled workers.
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Reeves plans closer ties between National Wealth Fund and regional mayors to drive local growth

CS Venkatakrishnan, chief executive of Barclays, could see his maximum pay rise by 45 per cent to £14.3 million under a pay overhaul being considered by the lender’s board.
The proposal would reduce his fixed salary nearly by half, from £2.95 million to £1.59 million, but allow him to earn annual and longer-term bonuses worth up to eight times that new figure.
If approved, this would increase the Barclays chief’s maximum pay package from £9.8 million to £14.3 million. However, the bank would require a significantly higher “return on tangible equity” — a key profitability metric — than its current targets to trigger the top payouts.
Barclays has reportedly approached its biggest shareholders about shaking up the pay structures for both Venkatakrishnan and finance chief Anna Cross. The bank’s remuneration committee is expected to outline any formal plans in its annual report on 13 February, alongside the release of full-year earnings, and then put those plans to a shareholder vote.
The move comes amid a shift away from the EU’s bonus cap, which once limited bank bonuses to twice a banker’s salary. UK regulators scrapped that limit in late 2023 to boost the City’s global competitiveness post-Brexit, and Barclays was the first major bank to lift the cap for senior staff last year.
Last year, an unnamed institutional investor reportedly urged Barclays to cut executives’ fixed salaries rather than simply scrapping the bonus cap. In response, the proposed revamp would potentially align variable compensation more closely with performance, while still offering top staff a higher maximum reward.
A Barclays spokesperson confirmed that the remuneration committee regularly consults stakeholders and emphasised that whether or not changes are introduced, any updated policy “will continue to focus on rewarding sustainable performance, and close alignment with shareholders’ interests”.
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Barclays CEO set for potential 45% pay hike to more than £14m

Google has committed to stronger safeguards against fake online reviews in the UK by promising to clamp down on misleading practices and penalise businesses and individuals found boosting their star ratings fraudulently.
The agreement comes in the wake of an investigation by the Competition and Markets Authority (CMA), which warned that dishonest reviews could potentially influence up to £23 billion of consumer spending every year.
In its pledge, Google has said that it will identify and remove fraudulent content more swiftly, and even issue warning labels on the profiles of offending businesses. Sarah Cardell, the CMA’s chief executive, welcomed the move, saying: “Left unchecked, fake reviews damage people’s trust and leave businesses who do the right thing at a disadvantage. The changes we’ve secured from Google ensure robust processes are in place, so people can have confidence in reviews and make the best possible choices.”
She added that this development is “a matter of fairness – for both business and consumers” and urged other platforms to review their processes, reminding them that the CMA has new powers from April to decide independently if consumer law has been broken, with fines of up to 10 per cent of global turnover for non-compliance.
Under the agreement, Google must report back to the CMA over the next three years to demonstrate it is honouring its new commitments. The American tech giant, which claims to block millions of fake reviews each year, said in response: “Our longstanding investments to combat fraudulent content help us block millions of fake reviews yearly – often before they ever get published.”
The CMA launched its investigation into Google and Amazon in 2021, concerned that both were not doing enough to prevent the proliferation of fake reviews on their platforms. The CMA’s probe into Google has reached a resolution with this agreement, while the enquiry into Amazon remains ongoing.
The regulator has increased its oversight of Big Tech in recent months, including opening separate investigations into Google’s search and advertising practices and the operating systems of both Apple and Google. Meanwhile, the CMA’s new interim chair, Doug Gurr, a former Amazon executive, prompted the business minister Justin Madders to reject claims that the government is “in the pocket of big tech”.
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Google vows tougher measures on fake reviews after CMA probe

For SME business owners contemplating a sale, the recent Capital Gains Tax (CGT) increases announced in the Budget present new challenges.
According to Ed Bartlett, CEO of leading compliance provider Hicomply, one of the most significant risks to business valuation during due diligence lies in cybersecurity and compliance standards.
“Cybersecurity and compliance have become critical to preserving and maximising business value,” Bartlett explains. “Buyers and investors are now more cautious than ever, and poor security management or a lack of certifications like ISO 27001 can significantly erode value or even derail deals entirely.”
In a tightening deal landscape, SME owners must be proactive in addressing cybersecurity risks, which are increasingly scrutinised as part of due diligence processes. Investors are no longer content to address cybersecurity gaps post-transaction; these concerns are now deal-critical.
Cybersecurity: The hidden deal breaker
Cybersecurity lapses can have far-reaching impacts on valuation, especially in sectors like technology, finance, healthcare, and retail. The average cost of a cyberattack on SMEs in the UK is around £75,000, with even greater risks in high-value sectors.
Sector-Specific cyberattack costs according to IBM’s 2023 Cost of a Data Breach Report:

Finance and insurance: Over £4 million per incident.
Healthcare: Approximately £3.2 million.
Retail and E-commerce: Around £2 million.
Technology and software: Approximately £2.5 million per breach.

Bartlett warns that such breaches not only impact profitability and operations but also tarnish a company’s reputation, making it less appealing to potential buyers.
“Investors see cybersecurity negligence as a liability,” Bartlett notes. “Private Equity firms and trade buyers alike are increasingly unwilling to overlook security shortcomings. For some, it’s become a deal-closing criterion.”
Certifications to boost valuation
Meeting recognised standards like ISO 27001 or Cyber Essentials can significantly enhance business valuations. Research shows ISO-certified companies often command valuations 10-20% higher than non-certified counterparts, reflecting the trust these certifications inspire among buyers.
“Cybersecurity isn’t just about protection; it’s about demonstrating resilience and readiness,” Bartlett emphasises. “Businesses that proactively achieve these certifications send a clear signal of their commitment to robust security practices, streamlining the due diligence process and attracting premium valuations.”
Steps to safeguard value
To help SME owners prepare for sale, Bartlett advises:

Conduct cybersecurity audits: Uncover vulnerabilities before potential buyers do.
Pursue ISO certification: Demonstrate internationally recognised security practices.
Adopt Cyber Essentials: Establish basic protections for smaller budgets.
Train employees: Reduce risks from human error.
Enhance physical security: Strengthen access controls to critical IT systems.
Consult experts: Tailor your cybersecurity strategy to business and investor needs.

Adapting to the new tax landscape
In a post-CGT hike era, cybersecurity and compliance have shifted from operational concerns to strategic imperatives. For SME owners planning a sale, investing in these areas isn’t just advisable; it’s essential.
“The stakes have risen,” Bartlett concludes. “To preserve and enhance value, businesses must adapt quickly to meet the heightened expectations of today’s buyers and investors. Cybersecurity and compliance are no longer optional – they’re critical.”
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Protecting your business value: Cybersecurity & compliance in a post-CGT Hike era

Donald Trump is reportedly still threatening to block Peter Mandelson’s appointment as Britain’s next ambassador to Washington, unless the UK government agrees to impose tight restrictions on his conduct.
The incoming Trump administration is said to be pressuring Sir Keir Starmer to bow to these “undiplomatic” demands or risk an unprecedented refusal of his chosen envoy. A source close to the Trump team claimed the president remains determined to reject Lord Mandelson’s credentials but might grant them “conditionally” with “a very short leash”.
It was revealed over the weekend that Mr Trump was mulling the rarely used tactic of rejecting an ambassador’s credentials. No British ambassador to the US, nor American ambassador to the UK, is believed to have been turned away in this fashion.
Much of the disquiet reportedly stems from Lord Mandelson’s perceived favourability towards strong ties with China. The Labour government’s outreach to Beijing – including Chancellor Rachel Reeves’s recent high-profile trip – has raised eyebrows in Washington. A White House source claimed: “It seems the Starmer government is flirting with China as a fallback for a relationship with the US. Nobody here is buying it; it’s completely ridiculous and undermines the British government’s position.”
Downing Street officials have denied claims of a rift among Sir Keir’s senior advisers over Lord Mandelson’s appointment. Although chief of staff Morgan McSweeney has been mentioned as a supporter, while national security adviser Jonathan Powell is rumoured to have reservations, a senior official insisted any such suggestion was “absolutely not” accurate.
Nevertheless, the UK embassy in Washington appears alive to the concerns surrounding the ex-European commissioner and cabinet minister. Dame Karen Pierce, the current ambassador, made an unexpected appearance at a Friday inauguration event hosted by right-wing UK and US figures. She reportedly asked several guests for their views on Lord Mandelson’s proposed arrival.
Dame Karen’s presence also sparked speculation that it was intended to prevent Lord Mandelson from attending. Current and incoming ambassadors cannot appear at the same event under protocol rules, and the party was ostensibly intended to introduce Lord Mandelson to members of Mr Trump’s inner circle.
The Trump administration is well aware that a refusal to accept Lord Mandelson would deliver “a humiliation” for Sir Keir, who was not invited to the inauguration – a significant snub given that other foreign leaders did receive invitations.
Tensions between the Starmer government and the incoming White House team date back to the UK Labour Party’s decision to send over 100 activists to support Kamala Harris, Mr Trump’s Democratic rival, during the presidential campaign. Adding to the strain, tech entrepreneur Elon Musk, an ally of Mr Trump, has used his social media platforms to criticise Sir Keir over issues ranging from far-right riots in Britain to the jailing of activist Tommy Robinson, with accusations that Labour is “anti-free speech”.
In parallel, senior Republicans are pushing for Mr Trump to explicitly back Nigel Farage and his Reform UK party in the next UK general election.
Downing Street has dismissed reports of a looming credibility crisis, calling talk of Lord Mandelson’s possible rejection by Washington “speculation”. However, the risk of a diplomatic impasse remains, with Washington insiders insisting the Starmer administration will need to address concerns over the potential envoy’s track record — particularly regarding China — if it is to avoid an unprecedented veto by President Trump.
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Trump poised to reject Mandelson as UK ambassador to the US

A new government-backed train ticket retailer is to be launched online, the Department for Transport (DfT) has announced, with the aim of consolidating UK rail fares into a single digital platform.
However, the service will only go live once Great British Railways (GBR) — the new body charged with running the UK’s rail network — is established, which the government has said is unlikely before late 2026.
The DfT said the new website would bring existing online sales for each train operator together under one roof and is intended to work “alongside a thriving private sector retail market”. Key private companies including Trainline, RailEurope and TrainPal will continue selling tickets, with the government pledging to maintain “an open and fair” environment.
Private ticket sellers have faced criticism in the past for “drip pricing”, adding extra charges once customers start booking, prompting concern from the Office of Rail and Road (ORR). The new service will aim to eliminate such opaque fees and introduce further transparency for rail passengers.
Although the platform was initially proposed in 2021, it was shelved later that year, largely due to the government’s reassurances about the importance of private sector innovation. Shares in Trainline, a leading online ticket firm with roughly 18 million customers, tumbled by almost 7 per cent on the news. The value of the company also suffered in 2021 when Grant Shapps, then transport secretary, first unveiled plans for a government-run retailer.
Jody Ford, Trainline’s chief executive, welcomed the pledge of a “competitive retail market”, while emphasising the benefits that private companies bring to consumers through technological development and user-friendly apps.
These moves follow the new Labour government’s confirmation in last summer’s King’s Speech that it would introduce a railways bill. The legislation will establish Great British Railways, which will centralise both track and train services. The DfT says the new framework “will deliver on the government’s commitment to simplify the complex web of fares and tickets”, giving customers more clarity and convenience whether they book tickets online or offline.
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Government-backed train ticket website set to shake up the market — but not until 2026

Rachel Reeves has pledged a root-and-branch review of the UK’s immigration framework, including potential new visa routes for high-skilled workers in AI and life sciences, as part of a wider push to stimulate economic growth.
The chancellor revealed that a white paper will be published later this year, announcing the Government’s vision for “Britain to be open for business and open for talent”.
Speaking at a breakfast event during the World Economic Forum in Davos, Reeves said: “We are going to look again at routes for the highest skilled people, visas particularly in the areas of AI and life sciences. Britain is open for business, we are open for talent, we’ve got some of the best universities, some of the best entrepreneurs in the world, but we also want to bring in global talent.”
While Labour has long emphasised the need to bring overall migration down, Reeves pointedly signalled a desire to reassure international firms and investors that the UK remains an attractive destination for skilled professionals. Ministers intend to engage with businesses on how best to reform current visa pathways, including empowering British diplomats overseas to promote the UK as an appealing place to live and work.
Asked whether she was as comfortable with wealth creation as Tony Blair’s government once declared, Reeves responded emphatically: “Absolutely.” She and Jonathan Reynolds, the business secretary, spent the summit underlining the Government’s “pro-growth” ethos, insisting key infrastructure projects such as airport expansions must not be thwarted by entrenched local opposition.
Reeves was also pressed on the possible approval of Heathrow’s third runway. She avoided direct confirmation but emphasised that the answer to major national projects “can’t always be no”. Her stance suggests a willingness to back large-scale developments to drive growth, reflecting concerns that delays to major infrastructure have hampered the economy.
The chancellor confirmed that Marcus Bokkerink’s abrupt departure as chair of the Competition and Markets Authority was linked to ministers’ calls for regulators to support economic growth more proactively. Bokkerink will be succeeded by Doug Gurr, a former Amazon UK boss, after officials raised concerns that the CMA’s approach had been impeding growth opportunities in crucial sectors, including tech and financial services.
“Growth is our number one mission,” Reeves explained. “We want our regulators to be part of that mission … He [Bokkerink] recognised it was time for him to move on and make way for somebody who does share the mission and strategic direction this Government is taking.”
Commenting on the proposed visa overhaul, Karendeep Kaur, Legal Director at immigration law firm Migrate UK, welcomed the prospect of more straightforward routes for businesses that depend on specialist skills. However, she warned that many firms remain wary of complex sponsor licence obligations and escalating visa-related costs.
“For this to be successful, businesses will need reassurance that gaining specialist talent will outweigh the demands placed on them as sponsor licence holders,” Kaur said. “Since 31 December 2024 UKVI announced that businesses will face instant revocation of their licence should they be found to be ‘clawing back’ certain sponsorship-associated costs. … The increased pressure for compliance may deter businesses from applying for a sponsor licence.”
Kaur also highlighted impending visa fee increases, including a proposal to raise the certificate of sponsorship fee from £239 to £525. When combined with sponsor licence fees, skills charges, and immigration health surcharges – especially for family members – the cost to employers and employees can easily mount to tens of thousands of pounds.
“As enticing as it may be to work and live in the UK,” she added, “there is still demand for the government to reduce overall migration. That places them in a precarious position over how lenient these routes can be.”
Despite these concerns, the Treasury aims to underscore the UK’s strong suit of world-class universities, thriving entrepreneurship and “pro-growth” agenda, hoping a revamped visa strategy will help tackle post-pandemic challenges and bolster the country’s position as a global innovation hub.
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UK to review visa system to entice top AI and science talent, says Reeves

Britain’s soaring sickness bill has left policymakers and economists scratching their heads, with near-record numbers of workers absent on long-term health grounds costing the public purse more than £65.7 billion a year.
Some 2.8 million people now claim incapacity and disability benefits, far above pre-pandemic levels, and the House of Lords’ economic affairs committee has warned that the problem cannot be attributed solely to deteriorating health or NHS delays. Instead, evidence suggests the benefits system itself may be contributing to a surge in claimants, at a time when overall sickness support already eclipses the entire national defence budget.
A rise in mental health conditions and back problems has partly fuelled the sharp jump. Official survey data from the Office for National Statistics (ONS) indicates that around 700,000 more people are out of work with long-term sickness than in early 2020. Despite the global nature of the pandemic, the UK’s incapacity rate appears to have increased more rapidly than in many other countries.
Even so, the Lords committee, after questioning leading experts, concluded: “We received no convincing evidence that the main driver of the rise in benefits is deteriorating health or high NHS waiting lists.” In fact, other government data suggests that overall health in the population has remained relatively stable over the past decade. While concerns linger over stagnant life expectancy and a growing number of Britons self-reporting as disabled, the committee believes deeper structural issues are at play.
Senior researchers highlight a mounting incentive within the benefits system that could be prompting more people to list health issues as their reason for leaving the labour market. Stephen Evans, from the Learning and Work Institute, points to tightened rules and sanctions for unemployment benefit, combined with a lower weekly payment, which can be a fraction of the top-level incapacity payout.
Eduin Latimer from the Institute for Fiscal Studies (IFS) agrees, noting that shifting from unemployment to the highest-rated incapacity benefit could roughly double a single person’s income. Though these rules are not new, the economic shock of the pandemic and cost-of-living pressures may be accelerating the trend, leaving more people in a category that offers neither financial disincentives nor strong support mechanisms for returning to work.
Once labelled too ill to work, claimants typically no longer receive substantial help from job centres, and there is little requirement to search for employment. Less than one in ten people in that category receive job-hunting support, according to Evans, and a mere 1pc of those deemed inactive through ill-health are back in work after six months.
The Lords’ economic affairs committee worries that “once in receipt of [health-related benefits], there is neither the incentive nor support to find and accept a job”. This pattern undermines not only the public finances but also the long-term prospects of individuals who may recover sufficiently to work again, yet never receive the guidance or confidence to attempt re-entry to the labour market.
Forecasters project that the annual price tag of the UK’s long-term sickness bill could exceed £100 billion by 2030, piling pressure on the Prime Minister to tackle the crisis. Experts agree there is no single explanation: some health indicators are deteriorating, but evidence linking waiting lists directly to the benefits surge is slim. The design of incapacity benefits, coupled with external shocks and personal motivations, appears to have created a perfect storm.
Stephen Evans offers a stark conclusion: “We’re writing far too many people off.” Resolving Britain’s sickness puzzle will likely require more nuanced reforms to the benefits system, improved mental health support, and a robust set of back-to-work programmes that offer real hope for those grappling with genuine illness — and genuine financial pressures.
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Record surge in long-term sickness claims baffles experts amid mounting benefits costs

HMRC has come under renewed scrutiny after figures showed that over 44,000 callers were abruptly cut off while on hold last year, with some facing wait times of up to 70 minutes.
The revelation arrives just as millions of taxpayers prepare to file their returns before the current tax year ends, sparking concerns that phone lines could become even more congested.
The tax authority rejected suggestions that it was providing a “deliberately poor” phone service. However, as consumers become increasingly frustrated by long waits and abrupt disconnections, many businesses are looking at how to improve the customer experience and mitigate bottlenecks — especially during high-demand periods.
Ben Booth, chief executive and founder at MaxContact, a contact centre software specialist, has outlined several strategies that organisations can employ to trim waiting times and improve caller satisfaction:
Intelligent call routing via IVRs
Interactive Voice Response (IVR) systems can prioritise and direct callers to the most suitable agent based on urgency and expertise. This ensures issues are resolved more swiftly and keeps callers from being transferred multiple times. IVRs can also calculate estimated wait times, offer callbacks, and distribute calls evenly among agents to prevent lines from becoming overwhelmed.
Omnichannel options
By giving customers the choice to contact you via live chat, email, social media, or self-service portals, you can lessen call volumes for straightforward issues. More complex queries can still be handled over the phone, while simpler matters are resolved on alternative channels. This approach relieves pressure on phone lines and gives customers flexibility in how they engage with your business.
Speech analytics
Incorporating a speech analytics tool, like Spokn AI, can provide post-call summaries and real-time insights into customer sentiment, helping to identify stress points or frequently asked questions that prolong call times. By spotting potential issues quickly, managers can intervene to de-escalate calls and ensure agents have the training and resources they need to resolve problems efficiently.
Coaching and monitoring
Ongoing coaching enables agents to develop faster and more effective call-handling skills. Meanwhile, live monitoring allows managers to offer immediate support if calls head in a difficult direction. Better agent performance and guidance translate directly to lower call durations, reduced wait times, and a better overall customer experience.
Workforce management
Intelligent workforce management tools help contact centres match staffing levels to demand, ensuring that peak times are properly staffed while avoiding employee burnout. These platforms can also facilitate real-time adjustments — such as calling in extra help or rescheduling breaks if an unexpected spike in calls occurs.
Commenting on the potential for HMRC and other large organisations to reduce hold times, Booth said: “It’s about putting the right technology in place and giving customers options. Adopting these strategies not only cuts waiting times but also builds trust and loyalty among consumers.”
Yet, despite such industry advice, HMRC’s phone lines remain under intense scrutiny as the tax deadline looms. With calls expected to ramp up in the coming weeks, many will be watching closely to see if the department can address mounting frustrations over long queues and abrupt disconnections.
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HMRC phone lines under fire as callers face 70-minute waits