Purbeck Personal Guarantee Insurance: A Rally Cry for the UK Chancellor
Whispers from the frontline – Small business owners are footing the bill by slapping their personal finances on the table to secure loans. That’s why Purbeck Personal Guarantee Insurance, the firm that backs these entrepreneurs, has drafted a tongue‑in‑cheek wishlist for the nation’s financial chief.
Why the pressure is higher than ever
In 2023, applications for Personal Guarantee Insurance (PGI) surged by 68%. A staggering 45% of the loans that needed a personal guarantee in Q4 came from unsecured packs, often sourced from alternative lenders – a clear sign that traditional banks are pulling back while new players step in.
Key points from Todd Davison, Managing Director
“With the UK buckling under recession, tax cuts aren’t the game-changer we hoped for,” Todd says. “But we know the Chancellor will want to demonstrate how the government is rallying employment and encouraging investment – the currency for a robust economy.”
The wishlist
- Raise the VAT threshold – Current cap is £85,000. If we lift it, businesses can keep their turnover below this level and save on VAT registration, sparking growth.
- Simplify Capital Allowances – The new permanent full expensing only covers plant and machinery. We want a blanket approach that eases paperwork and encourages more investment.
- Reform State Benefits – A trimmed budget could free up funds for tax relief, lower unemployment, and fire up growth.
- Introduce Vocational Training Vouchers – Incentivise workers to reskill and bring tax perks to employers who invest in skills like sustainability, tech, or health.
- Cut National Insurance Contributions for returners – Make it easier for folks re‑joining the workforce to train and earn.
- Refresh Income Tax Thresholds – The first tweak since 2022. It eases the financial drag that taxpayers have faced over the past year and a half.
What Purbeck hopes will happen
Beyond addressing the pain points above, Purbeck wants the Chancellor to consider more measures that shine a spotlight on small firms, helping them thrive even in uncertain times. The goal? A healthier, more resilient economy that gives small businesses the runway they need to launch, grow, and keep the local spirit alive.
Holistic strategy to support business transition away from high-cost energy
Why Turning to Green Energy Is a Must‑Do for Small UK Businesses
Picture this: You’re running a cozy café, a quirky art studio, or a bustling consultancy. Suddenly, every time you flip the switch, your energy bill shoots up like a rocket. Because of market swings and not-so-strong subsidies, the cost of electricity feels like a bad relationship—always going up and never settling down.
What’s Really Going On?
- High‑cost energy is draining cash. Small firms have a limited spare cash flow, so any sudden rise in power prices can feel like a big, unexpected tax.
- Current subsidies aren’t cutting it. They’re here for a while but don’t stand the test of time or reduce the toll on taxpayers.
- Market fluctuations hit small wins hard. Unlike big corporations, you don’t have the cushion to smooth out these spikes.
What We Need Instead: A Holistic, Green Plan
The key? A strategy that looks at the whole picture—energy use, cost, and sustainability all rolled in.
- Start with smart consumption. Use energy‑saving devices, shift usage to off‑peak hours, and run a quick audit to see where the biggest wastage lies.
- Pay the green plate. Solar panels, wind turbines, and even tiny rooftop generators can keep your power bills steady while amping up that eco‑cred.
- Keep your growth green. Investors and customers are increasingly hungry for responsibly run businesses—being green can lift your brand and ease pressure from the tax‑payer.
- Make support long‑lasting. Go beyond one‑time grants—think tax credits, low‑interest loans, and community‑solar projects that keep ROI flowing.
Why It Matters for You
Picture this: you’re not just saving money on bills—you’re turning your business into a beacon of sustainability. You’ll attract greener customers, secure more favorable financing conditions, and, most importantly, feel a little less like a victim of fluctuating markets.
What to Do Now
- Review your current expenditure. Find the most expensive “pain‑points.”
- Talk to a green‑energy consultant—yes, it’s a thing this time.
- Start a small pilot project: a few solar panels or a behavioural energy schedule.
- Share your journey online. Show that you’re tackling the problem head‑on.
Bottom line: Move from the “high‑cost to wherever the price dips” mindset to a steady, greener path. Because, honestly, who wants to spend their hard‑earned cash on wild price jumps when you can invest in tools that keep the lights on—steady, sustainable, and still within budget?
Encourage businesses to undertake sustainable investment
Green Tax‑Sodales: The UK’s New Eco‑Friendly Incentive
In an effort to keep the planet—and your pocket—in a win–win situation, the UK government is rolling out a fresh tax programme that rewards businesses for going green. It’s basically a “shine‑on‑the‑bank” deal.
What’s the Deal?
- Tax relief for green gear: Companies investing in eco‑friendly plant and machines get a neat tax cut.
- Lower rates for Net‑Zero champs: If your company has already hit Net‑Zero, you could pay less corporation tax than your less‑environmentally‑friendly rivals.
- Buy British bonus: Buy local green tech and unlock extra relief. It’s a recipe for a “positive multiplier effect” that boosts both the economy and the planet.
Why You Should Care
- The scheme makes investing in green tech feel less like a gamble and more like a tax‑friendly lifestyle choice.
- Lower tax for Net‑Zero companies means you keep more of the big bucks you earn.
- Buying British stuff sparks a virtuous cycle: local suppliers grow, jobs hire, and the carbon footprint shrinks.
In short, the UK is giving businesses a green pass that could help them save on taxes while saving the planet. And thanks to the “Buy British” add‑on, you’ll also be supporting local producers. Two thumbs up for the environment and your bank account!
Change tax relief rules for landlords
New Rental Tax Rollback: Landlords Get a Handout
Imagine a world where landlords can now wave a magic wand and deduct all the interest on their mortgages before the taxman even thinks about it. That’s what the latest tweak to Section 24 is set to do, and it’s packing a serious punch for the private rental market.
Why This Matters (And It’s Not Just About Paperclips)
- Interest‑Free Tax Break – Landlords can now chip away the full amount of mortgage interest from their rental income before taxes kick in.
- Stopping the Exodus – By sweetening the pot, this move aims to keep private landlords in the game, so they don’t wave their hands and leave the market empty.
- Protecting Tenant Budgets – With more landlords on board, the hope is that supply stays robust and rent hikes are kept in check.
The Consequence: Rent Prices Might Stay on the Low‑End
Because there will be fewer landlords dropping out, the rental supply won’t shrink as quickly as it has in the past. That means tenants could see their monthly bills stay relatively stable, rather than the runaway climbs we’ve all dreaded.
What This Means for You (and the Landlord in Your Family)
If you’re a landlord, this might feel like discovering a hidden stash of coupons. If you’re a tenant, a little less dread about finding a new place. Either way, the changes aim to keep the rental market as lively as a bustling city market.
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