Today’s cut in interest rates by the Bank of England is welcome news for family businesses, offering some relief after a prolonged period of high borrowing costs. However, inflation remains above the 2% target and unemployment is rising, with almost one million young people currently not in work, education or training.
These challenges are being compounded by the government’s changes to Inheritance Tax reliefs, which are undermining confidence and deterring family businesses from investing and taking on new staff at a time when the economy needs it most.