Originally written by Timothy Adler on Small Business
The number of small businesses in distress has tripled compared with the pre-pandemic average, according to figures from accountancy firm Mazars.
This month almost 135,000 businesses are showing strain, as the impact of a year of Covid-19 restrictions reverberates.
Businesses in the services and retail sectors accounted for almost three-fifths of those showing distress, said Mazars. Sectors allowed to reopen were faring better, with construction and manufacturing businesses making up 7.9 per cent and 6.7 per cent of those in distress respectively.
>See also: UK-EU exports fell by over 40% in January 2021
Paul Rouse, partner at accountancy firm Mazars, said: “During more normal circumstances, we expect between 40,000 and 50,000 companies to trigger one of our negative health markers. Today- even with many Government support measures still in place – we are seeing roughly three times that amount: 135,000.
Rouse said that even these higher figures represented “the calm before the storm” as “significant amounts of business distress” would be felt once the Government withdrew its coronavirus financial support.
London accounts for just over a quarter of businesses in distress (25.58 per cent) followed by businesses more generally in the South East outside the M25 (18.44 per cent).
>See
Tag Archive for Outlook
Hot Business News Today
Covid-19 roadmap – when can I reopen my small business in Wales?
by Anna Jordan • • 0 Comments
Originally written by Anna Jordan on Small Business
Mark Drakeford, the first minister of Wales, has announced the country’s first steps out of lockdown, including dates when some businesses could reopen.
As with England and Scotland’s roadmaps, reopening of schools takes priority. But unlike the others, Mark Drakeford has created a plan based on dates rather than numbered stages. That said, case numbers will have to stay low and certain conditions will need to be met in order to ease restrictions.
Here’s the current plan.
From March 13
The ‘stay home’ message will change to ‘stay local’. This means that people can travel in their local area – that’s usually within five miles
Outdoor sports facilities reopen including tennis courts, golf courses and bowling greens
From March 15
Hairdressers and barbers reopen to cut hair by appointment only
From March 22
Non-essential aisles in supermarkets reopen
Garden centres reopen
From March 27 (if review conditions are met)
Self-contained accommodation reopens for one household
‘Stay local’ guidance lifted and tourism reopens. This will allow people to travel within Wales
From April 12 (dependent on April 1 review)
All close contact services reopen
All non-essential retail reopens
No mention has been made for other sectors such as hospitality and theatres.
Will I get funding if my business has to
Hot Business News Today
UK-EU exports fell by over 40% in January 2021
by Anna Jordan • • 0 Comments
Originally written by Anna Jordan on Small Business
UK exports to the EU dropped by 40.7 per cent in January 2021, according to ONS figures.
This was the first month after the Brexit transition ended, with customs rules changing and firms contending with extra paperwork. The ONS added that imports were also down by 28.8 per cent (£6.6bn) in January.
> See also: How Brexit is going to affect your business – #2 exports
Much of this is likely to be what the ONS calls ‘temporary factors’. These include concerns around the outcome of the Brexit deal as well predictions of a third lockdown towards the end of 2020. Stockpiling in anticipation of these events were likely to contribute to a sharp rise and fall.
However, there were no similar falls in Britain’s trade in non-EU countries, suggesting that Brexit has been a greater contributing factor.
Yael Selfin, chief economist at KPMG UK, said that Brexit was the most likely reason for doing less business with EU countries, but she foresees a recovery: “The longer term [Brexit] impact on supply chains will depend on how attractive the UK remains and the competition from other locations within the EU,” she said.
The scale of the drop in exports is
Hot Business News Today
Over 835,000 new UK businesses were registered in the last year
by Anna Jordan • • 0 Comments
Originally written by Anna Jordan on Small Business
An astonishing 835,494 new businesses were registered in the UK during the last year, according to Reboot SEO Agency.
That’s a 41 per cent increase from 2019 when 591,924 businesses were registered and a 96 per cent increase from 2018 when the figure sat at 425,703. It’s a 141 per cent increase from 2017 when 345,675 new businesses were registered.
The most popular new business between January 2020 and January 2021 is retail sale through mail order houses or via internet, with 39,733 registered.
Activities within this category could include internet auctions, internet retail sales, mail order, radio direct sales, telephone direct sales, and television direct sales.
This is followed by buying and selling property/real estate with 30,637 businesses registered. In third place is ‘management consultancy activities other than financial management’, with 29,911 new businesses registered. ‘Other service activities n.e.c.’ with 26,397 registrations followed and in fifth place ‘other letting and operating of own or leased estate’ with 26,264 businesses registered.
The city with the highest number of new businesses is London with 219,679. In second place is Birmingham with 19,724 businesses and Manchester in third with 17,517 businesses registered in the last year.
Gen Z are leading the
Hot Business News Today
Over 835,000 new UK businesses were registered in the last year
by Anna Jordan • • 0 Comments
Originally written by Anna Jordan on Small Business
An astonishing 835,494 new businesses were registered in the UK during the last year, according to Reboot SEO Agency.
That’s a 41 per cent increase from 2019 when 591,924 businesses were registered and a 96 per cent increase from 2018 when the figure sat at 425,703. It’s a 141 per cent increase from 2017 when 345,675 new businesses were registered.
The most popular new business between January 2020 and January 2021 is retail sale through mail order houses or via internet, with 39,733 registered.
Activities within this category could include internet auctions, internet retail sales, mail order, radio direct sales, telephone direct sales, and television direct sales.
This is followed by buying and selling property/real estate with 30,637 businesses registered. In third place is ‘management consultancy activities other than financial management’, with 29,911 new businesses registered. ‘Other service activities n.e.c.’ with 26,397 registrations followed and in fifth place ‘other letting and operating of own or leased estate’ with 26,264 businesses registered.
The city with the highest number of new businesses is London with 219,679. In second place is Birmingham with 19,724 businesses and Manchester in third with 17,517 businesses registered in the last year.
Gen Z are leading the
Hot Business News Today
Covid-19 roadmap – when can I reopen my business in Scotland?
by Anna Jordan • • 0 Comments
Originally written by Anna Jordan on Small Business
First Minister Nicola Sturgeon has set out the first part of her plan to ease lockdown restrictions for individuals and businesses in Scotland.
Like Johnson, Sturgeon is focusing on data rather than dates, but is taking a more cautious approach than the PM. She is going for phased and sustainable, with at least three weeks between each phase. Although, she did say that ‘if the data allows, we will seek to accelerate the easing of restrictions.’
More details will be laid out in mid-March, but here’s what we know about Scotland’s Covid-19 roadmap so far.
Phase 3 – April 5
Like Johnson’s roadmap, Sturgeon wants to focus on getting children back to school first, opening the economy at a later stage.
We could see some early easing of business restrictions towards the beginning of April.
An extension of what is classed as ‘essential retail’
Click and collect will resume for non-essential retail
Stay at home restriction lifted
Phase 4 – April 26
From the end of April, Scotland would be moving back to its level system, reopening economy and society ‘in a more substantial way’.
Gyms, non-essential retail, hairdressers, bars and restaurants could reopen
Non-essential work could be permitted in people’s homes
Returning to a level
Hot Business News Today
Covid-19 roadmap – plan for shops, gyms and zoos to reopen from April 12
by Anna Jordan • • 0 Comments
Originally written by Anna Jordan on Small Business
UPDATED: The Prime Minister has announced that gyms, shops, hairdressers and outdoor hospitality in England could open from April 12 if strict conditions are met, as outlined in his Covid-19 roadmap.
The four-step plan gives a guide to how we will come out of Covid-19 restrictions and Johnson has stressed that any lifting of restrictions will be based on data, not dates.
Conditions would need to be met at each stage of the plan to put the measures in place:
The coronavirus vaccine programme continues to go to plan
Evidence shows vaccines are sufficiently reducing the number of people dying with the virus or needing hospital treatment
Infection rates do not pose a risk of a surge in hospital admissions
New variants of the virus do not fundamentally change the risk of lifting restrictions
Let’s take a closer look at the plan.
Step two
The second step is where we would start to see changes for businesses.
From April 12, we could start to see the opening of certain types of businesses:
Non-essential retail and personal care businesses like hairdressers
Outdoor settings like alcohol takeaways, beer gardens, zoos, theme parks and drive-in cinemas
Indoor leisure, such as swimming pools and gyms
Self-contained holiday accommodation, such as self-catering
Hot Business News Today
Covid-19 roadmap – when can I reopen my business in Scotland?
by Anna Jordan • • 0 Comments
Originally written by Anna Jordan on Small Business
First Minister Nicola Sturgeon has set out the first part of her plan to ease lockdown restrictions for individuals and businesses in Scotland.
Like Johnson, Sturgeon is focusing on data rather than dates, but is taking a more cautious approach than the PM. She is going for phased and sustainable, with at least three weeks between each phase. Although, she did say that ‘if the data allows, we will seek to accelerate the easing of restrictions.’
More details will be laid out in mid-March, but here’s what we know about Scotland’s Covid-19 roadmap so far.
Phase 3 – April 5
Like Johnson’s roadmap, Sturgeon wants to focus on getting children back to school first, opening the economy at a later stage.
We could see some early easing of business restrictions towards the beginning of April.
An extension of what is classed as ‘essential retail’
Click and collect will resume for non-essential retail
Stay at home restriction lifted
Phase 4 – April 26
From the end of April, Scotland would be moving back to its level system, reopening economy and society ‘in a more substantial way’.
Gyms, non-essential retail, hairdressers, bars and restaurants could reopen
Non-essential work could be permitted in people’s homes
Returning to a level
Hot Business News Today
State-backed CBILS replacement scheme delayed by lending details
by Anna Jordan • • 0 Comments
Originally written by Anna Jordan on Small Business
Progress on a state guarantee scheme to replace CBILS is being hampered by pricing and personal guarantee issues.
According to the Times, provisional details of the scheme were intended to be laid out by the end of last month, helping lenders prepare for a planned launch in April. However, said lenders are concerned that they won’t be prepared in time because of these complications.
It’s hoped that the new scheme can help businesses who aren’t eligible for normal commercial lending to get back on track post-pandemic.
The scheme would also help non-bank lenders to raise wholesale funds to continue to provide credit to small businesses. The state guarantee provides confidence over recoveries should a borrower default.
That said, the Treasury is torn between striking a balance between rules that will provide a broad range of lenders and conditions that will be attractive to borrowers, with bank and non-bank lenders having different needs in key areas.
CBILS loans over £250,000 were changed to state-backed rather than personal guarantees following an outcry last year. But despite the taxpayer guarantee, alternative funders are likely to need personal guarantees to meet the needs of their wholesale funders.
As for pricing, non-bank lenders are
Hot Business News Today
Covid-19 roadmap – plan for shops, gyms and zoos to reopen from April 12
by Anna Jordan • • 0 Comments
Originally written by Anna Jordan on Small Business
The Prime Minister has announced that gyms, shops, hairdressers and outdoor hospitality in England could open from April 12 if strict conditions are met, as outlined in his Covid-19 roadmap.
In an announcement made to MPs earlier today (February 22), the PM details each part of the roadmap. He will be holding a televised press conference at 7pm.
The new four-step plan gives a guide to how we will come out of Covid-19 restrictions and Johnson has stressed that any lifting of restrictions will be based on data, not dates.
Conditions would need to be met at each stage of the plan to put the measures in place:
The coronavirus vaccine programme continues to go to plan
Evidence shows vaccines are sufficiently reducing the number of people dying with the virus or needing hospital treatment
Infection rates do not pose a risk of a surge in hospital admissions
New variants of the virus do not fundamentally change the risk of lifting restrictions
Let’s take a closer look at the plan.
Step two
The second step is where we would start to see changes for businesses.
From April 12, we could start to see the opening of certain types of businesses:
Non-essential retail, hairdressers and public