HLAS

The Department for Business (DBT), the Cabinet Office, and HM Revenue & Customs (HMRC) have initiated a pilot program to detect potential fraud committed by sole traders under the Bounce Back Loan Scheme. The objective is to identify those who either applied for a loan when inactive during the eligibility period, or who misrepresented their turnover. In the first phase, the Cabinet Office and DBT will share sole trader borrowing data with HMRC. HMRC will then cross-reference it with its records. Identified high-risk cases will be flagged for investigation by DBT. In the second phase, the identified risk cases will [...]

According to consultancy Cornwall Insight, domestic energy prices are predicted to drop in April with analysts predicting that there could be a further fall in the summer. This is good news all round, as energy prices have been a significant factor in the UK’s high inflation rate. A drop in energy prices could lead to a drop in interest rates, and with it a more positive outlook in the economy. In the wake of a more positive economic outlook, businesses are often presented with opportunities for expansion and growth. But also, because there is a more favourable lending environment, or [...]

Inflation figures for December show a small increase to 4% from 3.9% in November. Economists had expected inflation to fall slightly, but a 12.9% increase in prices for alcohol and tobacco were behind the rise. Expectations for the Bank of England to cut the base rate later in the year remain though. Energy bills are predicted to drop in 2024 and inflation has fallen from its peak of 11.1% in October 2022 more quickly than the Bank predicted. The Bank's target is 2%, so December's inflation figure of 4% is still double the target. Deputy chief UK economist at Capital [...]

In the dynamic world of managing a business, one of the most critical elements to success is effective cash flow management. Cash flow forecasting is a fundamental tool for business owners to navigate financial challenges and ensure sustained growth. In this article, we will delve into the importance of cash flow forecasting and talk about what is needed to master this essential financial practice. Understanding Cash Flow Forecasting Cash flow forecasting involves projecting future cash inflows and outflows to determine the financial health of a business. By anticipating cash needs and planning accordingly, you can make informed decisions that will [...]

A UK government consultation is in process looking at introducing a new threshold for bringing cases to the Energy Ombudsman that will include small businesses. Currently, most small businesses that have a dispute with their energy supplier are unable to access the Energy Ombudsman for help with dispute resolution. The consultation proposes that there be a new small business definition that will expand access to businesses with: up to 50 employees; and less than £6.5 million annual turnover or £5 million balance sheet total; or annual electricity consumption of less than 500,000kWh; or annual gas consumption of less than 500,000kWh [...]

The Competition and Markets Authority (CMA) has published an overview of its provisional approach to implementing the new Digital Markets competition regime. UK parliament is currently considering the Digital Markets, Competition and Consumers Bill (the DMCC Bill). This legislation is designed to tackle the problem of many digital services across digital markets being provided by the same small number of tech firms and recognising that current anti-competition legislation does not adequately cater for digital markets. The overview sets out how the CMA plan to apply the legislation. They are committed to using a targeted, evidence-based, and proportionate approach, but it [...]

The recent Post Office Horizon scandal, given further exposure by the related TV drama, provides a cautionary tale about the perils of overlooking the human impact of technology decisions. The Post Office's Horizon accounting system erroneously implicated postmasters in financial irregularities and led to severe consequences, including loss of reputation and even imprisonment, for innocent individuals. These mistakes have underscored the importance of emphasising the human element in decision-making processes and the danger of relying too heavily on technology. This is a particularly pertinent reminder in view of the increased use of AI in business processes. For business owners keen [...]

The Border Target Operating Model sets out the UK's final plans for a new approach to importing goods into Great Britain. The changes will be introduced progressively from 31 January 2024. Where goods are being imported directly from Ireland (and not being moved from or through Northern Ireland), there will be new checks and controls in place. This will apply, for instance, to goods being moved from Dublin and Rosslare ports to Liverpool and Holyhead ports. New biosecurity and security controls are being introduced from the end of January for all imported goods. However, full customs controls are being brought [...]

The UK government has announced plans for expanding nuclear power in the UK. The Civil Nuclear Roadmap sets out how the UK will increase generation of nuclear-powered electricity so that by 2050 it is enough to provide a quarter of the UK's electricity needs. Prompted by price volatility, increasing uncertainty abroad, and environmental concerns, the roadmap will help to continue the UK's efforts to have a more secure electricity supply and meet carbon neutral targets. The roadmap acknowledges that investment in nuclear energy has fallen back in recent decades but commits to reverse this trend. Besides the projects currently being [...]

HM Revenue and Customs (HMRC) have announced that nearly 44,800 people have sorted their upcoming 31 January tax bill by setting up a payment plan. HMRC provide the option of a monthly payment called Time to Pay (see link below). Provided taxpayers owe less than £30,000, they can use HMRC's affordability checker for help to decide on what arrangement will work best for them. This arrangement must be set up before 31 January to avoid facing a penalty. Interest will be applied to any outstanding balances from 1 February. If you need help working out how to make your tax [...]