HLAS

Recent reports indicate that the Chancellor has drawn up draft plans for spending cuts to welfare and other government departments. At the time of the 2024 Autumn Budget, the Office for Budget Responsibility (OBR) stated there was a £9.9 billion buffer within the Chancellor’s self-imposed borrowing rules. However, the OBR’s spring forecast is expected to reveal that this buffer has disappeared due to recent events, including trade tariffs, the war in Ukraine, rising inflation, and increased borrowing costs. One possible alternative could be for the Chancellor to adjust her borrowing rules. However, this would risk damaging credibility with financial markets, [...]

The government has announced its plans for new policies that it expects will make farming more profitable. The new policies include: Seasonal Worker visa route to be extended for another 5 years. New requirements for government catering contracts that aim for at least 50% of food supplied coming from British producers or those certified to higher environmental standards. Funding for technology investment. Protecting farmers in future trade deals. Setting up a new National Biosecurity Centre that will upgrade the Animal and Plant Health Agency animal health facility at Weybridge and help to improve resilience against animal disease. Steve Reed, the [...]

The UK government has announced a major funding boost for rural areas, with up to £38 million allocated to support infrastructure, essential services, and business growth in the countryside. The aim is that the funding will help to create jobs and drive economic growth while improving quality of life for rural communities. Rural England Prosperity Fund given £33 million A significant portion of this investment, up to £33 million, will be directed to the Rural England Prosperity Fund (REPF). The fund’s goal is to strengthen the rural economy and is designed to improve local infrastructure and essential services while supporting [...]

The creative industries provide about £124 billion to the UK economy, with the cultural sector supporting 666,000 jobs. However, many arts and culture related venues, museums, libraries and heritage buildings are struggling. The Arts Everywhere Fund will provide additional financial support to the creative industry, particularly aimed at organisations in urgent need of financial support to stay up and running and to carry out vital infrastructure work. The government sees the creative sector as having potential for growth and is hoping this support will drive growth and help to create opportunities for young people to learn creative skills and protect [...]

The Charity Commission have launched a statutory inquiry into Zlotchiv over concerns about its financial controls. It appears that irregularities in the charity’s financial management include a series of bounced cheques from the charity’s bank account alongside payments that appear to be related party payments but were not disclosed by the charity in its annual returns. A statutory inquiry allows the Charity Commission to formally investigate and use protective powers for benefiting the charity and its beneficiaries, assets, or reputation. Once the extent of risk has been determined, the Commission will decide what action is needed. The inquiry emphasises the [...]

The Institute of Chartered Accountants in England and Wales (ICAEW) have published an insight piece based on a study carried out by technology market analyst, IDC. The study indicates that AI could help CFOs with some of their biggest challenges, but only if it is human-centred. Finance teams in businesses need to build practical applications of AI that work along with them instead of replacing them. The study confirms, as has been seen in the wider press in recent weeks, that over reliance on AI in finance could lead to mistakes. However, having the correct goals and properly understanding workflow [...]

10 major culture projects around the UK are set to receive additional funding amounting to more than £67 million. The projects and their awards are as follows: National Railway Museum, York - £15 million ‘Temple Works’, Leeds - £10 million International Slavery Museum and Maritime Museum, Liverpool - £10 million National Poetry Centre, Leeds - £5 million City Centre Cultural Gateway, Coventry - £5 million Three cultural projects in Worcester - £2.3 million Venue Cymru, Conwy - £10 million Newport Transporter Bridge, Wales - £5 million Victoria and Albert Museum, Dundee - £2.6 million Shore Road Skills Centre, Belfast - [...]

The Chancellor Rachel Reeves met recently with major financial firms at Canary Wharf, encouraging them to invest in emerging markets to boost Britain’s economy. A key initiative launched at the meeting was the “London Coalition on Sustainable Sovereign Debt,” which aims to improve debt financing in developing countries by bringing together private sector and government stakeholders. This Coalition is expected to strengthen trade ties, promote economic growth and position London as a global leader in development finance. As a result of this initiative there may be new opportunities for British businesses, particularly in areas such as financial services. See:  https://www.gov.uk/government/news/chancellor-backs-britains-financial-services-to-drive-development-and-kickstart-economic-growth

The Environment Agency (EA) have reported an increase in soil run-off incidents in Devon and Cornwall during January. There were 25 incidents of heavy rain carrying loose soil running from fields – almost double the number of incidents reported in January 2024. This can be bad news for farmers as crops, top soil, organic matter and nutrients are lost in run-off incidents. In addition, there are then the costs of recultivating those fields. It can be difficult to establish crop cover ahead of winter as dry spells in autumn can often be very short. However, according to the EA, using [...]

The latest figures show that the government had a surplus of £15.4 billion in January. This represents the difference between the tax it receives and what it spends. Although this is the highest level of surplus for a January since records began over 30 years ago, it is lower than the £20.5 billion that was forecast. The Office for Budget Responsibility (OBR) have said that the shortfall was mainly due to tax receipts being lower than expected and debt interest becoming more expensive. The chancellor has set two fiscal rules: (1) day to day government spending is to be funded [...]