HLAS

Beginning last week (17 February), Local Authorities were able to start awarding a 40% reduction in business rates bills to film studios. This tax relief is designed to support the UK film industry and contribute to the production of more box office successes. The creative industries sector employs 2.4 million people and contributes £124.6 billion to the UK economy. The government aims to increase both of these figures through the introduction of this relief. The Film Studio Business Rates Relief will be available to eligible studios in England until 2034 and, where applicable, can be backdated to 1 April 2024. [...]

Latest figures released by the Office for National Statistics (ONS) indicate that average wages continue to grow at a faster rate than inflation. After adjusting for consumer price inflation (CPI), wages increased by 3.4% between October and December 2024 compared with the same period in 2023. Unemployment figures also present an encouraging picture, with the UK’s unemployment rate holding steady at 4.4%. However, the ONS has cautioned that the response rate to its survey was low, meaning these figures may not fully reflect the true position. What lies ahead in the coming months? With forthcoming increases to the national minimum [...]

Inflation figures for January 2025 were released last week, showing a surprising increase to 3.0%, up from 2.5% in December. The Office for National Statistics (ONS) reported that the largest upward contribution to this change came from transport, as well as food and non-alcoholic beverages. The rise in transport costs was driven by air fares and motor fuels. Traditionally, air fares increase in December before falling in January; however, January 2025 saw the smallest January decline since January 2020. Many businesses are already feeling the strain of increasing costs, and news of rising inflation may not be welcome. Some economists [...]

Road schemes affecting Wiltshire, Leeds, Essex and Buckinghamshire were given approval last week following the grant of £90 million of government funding. The improvement in infrastructure these schemes will bring is expected to help businesses be able to transfer goods more easily and generate growth in the economy. The 4 schemes involve: A350 Chippenham Bypass in Wiltshire. A647 Dawsons Corner and Stanningley Bypass in Leeds. South East Aylesbury Link Road (SEALR) in Aylesbury, Buckinghamshire. A127/A130 Fairglen Interchange in Essex. See: https://www.gov.uk/government/news/millions-to-see-faster-journeys-as-government-green-lights-90-million-for-4-essential-road-schemes-across-england

The UK government is consulting on proposed changes that would require private landlords in England and Wales to meet higher energy performance standards by 2030. At present, 48% of all privately rented homes have an Energy Performance Certificate (EPC) rating of C or above. However, under the new plans, the government is proposing that by 2030, all privately let properties must achieve a minimum EPC rating of C. Currently, the minimum required level is EPC E. The government estimates that the average cost for landlords to comply with the proposed standards by 2030 would be between £6,100 and £6,800. Consultation [...]

The UK government has stepped up its crackdown on illegal working, with January 2025 seeing record levels of enforcement activity. Home Secretary Yvette Cooper announced these efforts as the Border Security, Asylum, and Immigration Bill returned to Parliament last week. Key highlights Here are some key points from the latest enforcement activity: 828 premises were raided in January—a 48% increase compared to the previous January—resulting in a total of 609 arrests (+73%). Restaurants, nail bars, and car washes continue to be identified as high-risk sectors. Since 5 July 2024, illegal working visits and arrests have risen by 38% compared to [...]

Following the reduction in the Bank of England base rate, HM Revenue & Customs (HMRC) have confirmed that their interest rates will be reduced accordingly. Late payment interest will reduce to 7% from 7.25%. Repayment interest – paid on tax repayments – will be reduced to 3.5%. The change will come into effect from: 17 February 2025 for quarterly instalment payments. 25 February 2025 for non-quarterly instalments payments. See: https://www.gov.uk/government/news/hmrc-late-payment-interest-rates-to-be-revised-after-bank-of-england-lowers-base-rate--2

Following a consultation in 2024, the fees payable by data controllers to the Information Commissioner’s Office (ICO) will be increased by 29.8%. The new fees will be as follows: There is a £5 discount for direct debit payments and any organisations that are currently exempt from paying the fee will continue to be exempt. See: https://www.gov.uk/government/consultations/data-protection-fee-regime-proposed-changes/outcome/data-protection-fee-regime-government-response

Artificial intelligence (AI) continues to dominate headlines as businesses explore how to make effective use of it. The government remains committed to fostering growth in the AI industry. Last week, it opened bidding for local authorities to submit proposals to become the next AI Growth Zone. It anticipates that thousands of jobs could be created as a result, potentially revitalising local communities across various parts of the UK. Last week also saw the Artificial Intelligence Action Summit take place in Paris. Representatives from 80 countries—including world leaders, tech executives, and academics—discussed AI’s current progress and future objectives. The emergence of [...]

The government unveiled significant plans last week to modernise the house buying and selling process. The reforms focus on digitalising and making property and identity data accessible electronically. This will enable mortgage companies and surveyors to access essential information more easily. It is believed that these changes will help to prevent unexpected issues arising late in the process, reducing the associated waste of time and money. In Norway, property transactions are typically completed within approximately one month, and these reforms take inspiration from how this has been achieved. HM Land Registry (HMLR) is playing a key role in these changes, [...]