Month: July 2026

Family Business UK joins Prime Minister’s first talks with business leaders

Posted on by Fiona Graham

Family Business UK has joined Prime Minister Andy Burnham’s first talks with leading business organisations, as the new Government set out plans for a stronger partnership with businesses to drive investment, create jobs and deliver growth across the country.

Neil Davy, Chief Executive of Family Business UK, spoke with the Prime Minister alongside representatives from organisations including the British Chambers of Commerce, Federation of Small Businesses, Institute of Directors, Make UK and ScaleUp Institute.

The Prime Minister used the discussions to outline a new offer to British businesses, focused on greater certainty, clearer long-term direction, faster decision-making and giving businesses a stronger voice in shaping government policy.

A central part of the discussion was the role businesses can play in tackling rising youth unemployment and skills shortages. The Prime Minister called on employers to work with Government to restore the first rung on the career ladder for young people, while helping businesses develop the skilled workforce they need to grow.

Neil Davy, Chief Executive of Family Business UK, said:

“It was encouraging to be part of the Prime Minister’s first discussions with business organisations and to hear his commitment to building a stronger partnership between government and business.

“The Prime Minister is right to put tackling youth unemployment at the heart of that partnership. Family businesses invest in people for the long term, providing apprenticeships, training and that crucial first opportunity for young people to get into work and build a career.

“There is significant common ground with our recently published Policy Agenda, from creating a fairer system of taxation to creating those opportunities for young people by breaking down barriers to employment.

“We look forward to working with the Prime Minister and his Government to turn these shared ambitions into practical action and ensure family businesses can continue building Britain for generations.”

FBUK will continue working with the Prime Minister and the new Government to ensure family businesses have a strong voice as these priorities are taken forward.

With family businesses operating in every part of the country, employing locally and investing for the long term, there is a significant opportunity to put them at the heart of the Government’s plans to tackle youth unemployment, unlock investment and deliver sustainable, place-based growth across the UK.

FBUK responds to Business Rates cut for pubs

Posted on by Vanessa Barrett

The Government has announced plans to cut Business Rates by 20% for pubs, clubs and some live music venues in England from April 2027. The measure is expected to save a typical pub around £1,100 a year, with approximately 32,000 businesses set to benefit.

Commenting on the announcement, Family Business UK CEO Neil Davy said:

“It is encouraging that the Government has recognised the pressure business rates are placing on firms at the heart of our communities. This move will provide some welcome relief for pubs and other venues which are the focus of thousands of communities across the country.

“However, this will only go some way towards addressing the enormous cost increases these businesses are facing elsewhere in their business – such as employment costs.

“While it is a welcome step, this is a targeted relief that will not apply to many family-run hotels, retailers and other high-street firms that have been equally hit by increases in Business Rates.

“Family Business UK has made a clear case for a fundamental redesign of Business Rates to create a progressive system that reduces regional disparities, incentivises investment and treats all businesses fairly – whether they are family-run, bricks-and-mortar businesses or out-or-town warehouses.

“We look forward to working with government to design a system that works for everyone.”

FBUK congratulates new prime minister

Posted on by Martin Greig

Family Business UK has extended its congratulations to Andy Burnham MP on his appointment as prime minister.

Following years of uncertainty and change, punctuated by five prime ministers in the last four years, Britain’s family businesses will be looking to the new administration to provide the clarity and stability needed to unlock long-term investment and employment across the country.

There was much to welcome in the Prime Minister’s first remarks outside Downing Street that point towards meaningful plans that align with the priorities set out in our Policy Agenda including;

  • greater devolution of power to UK regions
  • a focus on place-based growth
  • tackling youth unemployment
  • reforming procurement to support British industry

The Prime Minister also promised to set out a ten-year plan around a new economic and political model hinting at a long-term outlook and echoing the long-term approach taken by family business leaders.

Neil Davy, CEO of Family Business UK, said:

“Family businesses have faced a prolonged period of political and economic uncertainty which has made it difficult to plan, invest and make the long-term decisions on which their success depends.

“There are real opportunities for government and family businesses to work closely on creating genuine opportunities for young people, backing British businesses and incentivising investment, and empowering our nations and regions. We look forward to working constructively with the new Prime Minister and his new administration to turn these shared priorities into action.”

Click here to read more in depth comment on how the new Government can back family businesses.

Family firms want new prime minister to reverse Inheritance Tax changes and tackle soaring business costs

Posted on by Vanessa Barrett

Britain’s family businesses want the new Prime Minister to use his first 100 days in office to reduce the cost and complexity of doing business and reverse changes to Inheritance Tax, according to new data from Family Business UK. 

According the research, more than half (55%) of large family businesses1, and 45% of all family firms, want the new Prime Minister to address falling confidence, investment and employment by reversing the changes to BRP and APR, and rule out increasing other taxes on business ownership, succession and investment (in particular Capital Gains Tax and Corporation Tax). 

The poll of almost 500 UK family businesses2 also found; 

  • 38% of large family firms want action to reduce energy costs, 
  • 34% of medium and large family firms want to see a reform of business rates to support investment and growth, 
  • 30% of medium and 34% of large family firms want action to cut the burden of additional administration and compliance, 
  • 29% of medium and 34% of large family firms would like to see the early publication of a credible plan for growth and investment, 
  • 25% of smaller family businesses3 want action to cut employment costs and taxes. 

Neil Davy, CEO Family Business UK said: “With his pledge to be a pro-business leader, the first 100 days in office offer the new Prime Minister a golden opportunity to embrace the power and scale of Britain’s family business sector and give firms confidence to invest and grow for the future. 

“Central to that are the changes to Inheritance Tax reliefs. That single policy change continues to present a material challenge to Britain’s family businesses and serve as a drag on both growth and employment across the country as firms pull back on investment. 

“Our latest insights send a clear message to the new administration to reverse this policy change and end speculation by making an early commitment to rule out additional tax rises on business ownership, succession and investment. 

“These two steps would give family business owners renewed confidence that this administration is prepared to work with, and not against them.  

“But the challenges faced by family businesses go beyond inheritance and other ownership taxes. As our research shows, high energy costs and the incremental rise in business taxes and regulation are strangling the very firms the government needs to deliver a growing economy. 

“The new Prime Minister’s plans for greater devolution and place-based growth should prioritise family businesses and put them at the heart of that mission. They are an economic powerhouse in every part of the country. Built around a long-term vision, a commitment to people and local communities, and a willingness to invest over decades, they will be critical partners in delivering the regional growth and investment the Prime Minister wants. 

“It’s what sets family businesses apart and makes them one of this country’s greatest economic assets. Government policy, led by the new Prime Minister, must reflect that.” 

New PM must back family businesses

Posted on by Vanessa Barrett

Neil Davy, CEO Family Business UK. 

For family businesses, the last two years of this government have been challenging. They have been forced to adapt to almost constant uncertainty and daily speculation about the next policy in line for change or tax to be increased.

When Labour was elected in 2024, it was with a promise to be the most business-friendly government with a clear priority to create the conditions for economic growth. We, along with other business organisations, were encouraged.

But the promise has not yet been delivered and for Britain’s five million private and family-owned companies, the reality has been notably different. The ending of long-standing and well-understood rules on Inheritance Tax relief remain a penalty on family ownership and an existential threat to five million British businesses.

For the new prime minister there is a golden opportunity to change that and reset relations with family firms. His plans for greater devolution and place-based growth should prioritise family businesses and put them at the heart of that mission. To succeed, he must commit to fully reverse the changes to Inheritance Tax.

Business Property Relief and Agricultural Property Relief exist for a very clear purpose – they incentivise the business investment and long-term stewardship our country needs. But the changes to BPR and APR have achieved the opposite, forcing businesses to prioritise the short-term and tear up longstanding plans for investment and jobs.

Worse, they have created a two-tier tax system in which family businesses are penalised — they must plan for a future liability while their non-family and foreign-owned competitors do not. That simple truth continues to weigh heavily on Britain’s family business sector.

Our latest research shows that more than half of all family firms will still be affected by the change and, for those with more than fifty employees, the impact rises significantly. There is simply no downside to the immediate reversal of this policy change.

Secondly, the new prime minister must commit to stopping the inexorable tax increases on all business and be relentless in creating the policies and conditions that instil confidence to invest, expand and create jobs, particularly those for young people who are bearing the brunt of these tax changes.

Ensuring the next generation have both the skills and the opportunities takes a long-term approach is central to family businesses and critical for the future of local communities and a healthy economy.

However, a public commitment to stick to Labour’s Manifesto commitments on tax does not fill me with confidence that the incoming chancellor will take a pragmatic and proportionate approach to tax.

Next, the new prime minister must support growth for scale-up family businesses – particularly the medium-sized businesses often forgotten by policymakers. There are 10,000 mid-market, scale-up family businesses in the UK contributing more than £140 billion to the UK economy and employing close to one million people. Imagine the growth and tax receipts that could arise from this cluster of businesses if they were incentivised rather than penalised.

Finally, strengthening local communities. In every part of the country family businesses are often cornerstone businesses on local high streets and communities. It is their long-term outlook and pride in place, underpinned by family values and a sustainable business model that makes them a critical part of the social fabric on which our communities and regional economies are built.

Sadly, family businesses are mis-understood by policymakers, too often dismissed as just ‘lifestyle’ businesses. But family firms are the beating heart of our economy built around a long-term vision, a commitment to people and local communities, and a willingness to invest over decades. It is what sets them apart and makes them one of this country’s greatest economic assets.

Government policy, led by the new prime minister, must reflect that.