Articles

As we enter a New Year and the memories of our celebrations begin to fade, we will inevitably look to the 12 months ahead to understand how 2023 shapes in terms of work, holidays and finances. To that end Economists are like everyone else, except we will look ahead to what potential challenges and opportunities await the economy. While we will admit this is probably a dull exercise to many, we find this is quite a useful task, which will allow us to confidently advise our clients on how to ‘navigate’ the year ahead.

I scanned a carton of milk at the supermarket last week and was convinced the machine was faulty. Had I accidentally lifted a more expensive brand? I was so shocked that, against my usual nature, I even queried it with the shop assistant. To my slight embarrassment, the explanation was simple: that’s the price of milk now. Clearly, our net pay is not stretching as far as it once did. Is there anything employers can do to help?

There remains a significant level of uncertainty for many Northern Ireland businesses, with high levels of inflation, rising interest rates increasing the cost of borrowing, and political uncertainty. These factors provide a timely reminder of the importance of managing cash flow.

Fraud is costing business and individuals in the UK millions of pounds annually – with fraudsters stealing a total of £609.8m in the first six months of this year alone. The figures contained in a UK Finance report, are worth considering, in this International Fraud Awareness Week 2022, as we take stock and consider what type of frauds have been occurring and what you can do to help prevent yourself becoming a victim.

UK audit reform has been brewing for quite some time, on the back of large scale corporate collapses such as Carillion and BHS, which had a devastating impact on their employees, suppliers, and investors.

On September 23, Kwasi Kwarteng, the now short-lived Chancellor of the Exchequer, delivered the much anticipated ‘Growth Plan 2022’, otherwise known as the ‘Mini-Budget’. In what was one of the biggest tax cutting budgets in living memory, the aim of the ‘Mini-Budget’ was to stimulate the UK economy and encourage growth, whilst counteracting the ongoing impact of the cost of living crisis.

On 23rd September Kwasi Kwarteng, the new Chancellor, delivered the so-called ‘mini-budget’, with the intention to kickstart growth in the UK and counter the negative impacts of the ongoing energy crisis.

The daily economic headlines currently paint a rather depressing picture, not only for individuals but also for most businesses. The continued economic squeeze, due to rising inflation and reduced demand for products and services, can only lead to more financial distress for the majority of business owners.

Internal fraud is costing businesses millions of pounds – despite the vast majority of perpetrators displaying prominent warning signs.

It would be somewhat optimistic to conclude that, given the government restrictions ordering the public to stay at home in 2020 and 2021,

Inheritance tax (IHT) is payable by individuals who die, leaving behind estates valued in excess of the IHT nil rate band of £325,000.

As we are all very aware, inflation is currently running at exceptional high levels. In fact, current levels stand at 9.4%, their highest level since February 1982.

It is a classic cliché in business to get carried away on the big new shiny idea and then point at each other in a confused state with panicked refrains of ‘I thought you were doing that’ when the most obvious missing ingredient is pointed out.

The Financial Reporting Council (FRC) has clarified that climate-related reporting in financial statements will be a key focus area for the regulator this year.

While the finance department will always be required to provide the core responsibilities of operational finance, including reporting and budgeting, organisations are increasingly looking to finance to play a role that goes beyond the traditional remit of the team.

As a business owner, it is useful to know the potential benefits of significant capital investment before committing. Appraisal of the tax impact regarding such an investment is often not initially considered, despite its potential impact on a project’s viability.