Category Archives: regulation

What do ESG and impact investing mean for investors?

Sustainable investing has grown rapidly over the last couple of decades. Investors are increasingly committed to the social and environmental impact of where they put their hard- earned money. Getting good financial returns and having a positive impact on the world are not mutually exclusive. Impact investing and ESG investments allow investors to ‘kill two birds with one stone’, as they say

American financial association SIFMA estimates the market size of sustainable investments to be $8.72 trillion. That figure was calculated in 2016, so it’s likely to be substantially larger than this now. Continue reading

Could your business be claiming more tax relief?

Whatever your business, you might be eligible to claim more tax incentives than you currently do. Sometimes tax incentives are available on things you might consider to be mundane in your business, so it would be wrong to assume that your business won’t qualify.

Here is a list of the most common incentives you could be missing out on:

Research and Development

You might think this would only apply to companies with multi-million pound research operations, but this is often not the case. As long as your business researches or develops new processes, products or services in science or technology, you might be eligible.

SMEs with less than 500 staff and a turnover of under €100m or a balance sheet total under €86m can be eligible for R&D tax relief. If you qualify, you can deduct an extra 130% of your qualifying costs from your yearly profit, as well as the normal 100% deduction, to make an overall 230% deduction. As well as this, you can claim a tax credit if your company is loss making. This is worth up to 14.5% of surrenderable loss.

Annual Investment Allowance

You can get tax relief on the plant and machinery you purchase in the year before you purchase them. If you’re eligible, relief will be on 100% of the cost. You can also claim on the demolition cost and alterations to plant and machinery. It’s important to note that this tax relief doesn’t apply to repairs.

In his recent Budget, Philip Hammond announced the annual investment allowance has increased from £200,000 to £1 million. This comes into effect on January 1 2019 and is aimed at preventing investments in British businesses stagnating because of Brexit.

Tax relief on green equipment

In order to encourage businesses to be greener, the government’s Energy Technology List (ETL) and Enhanced Capital Allowances (ECA) offer relief on high-performance energy efficient equipment. Products on the ETL deliver a high standard of efficiency, defined as performing within the top 25% of all similar equipment available in the UK market. ECA lets you claim 100% capital allowance on products on the ETL.

Employment Allowance

Employers can get up to £3,000 a year off their National Insurance bill. The allowance will reduce your (secondary) Class 1 National Insurance payments each time you run your payroll until the £3,000 has gone or April, when the tax year ends (whichever is sooner).

Speaking to a qualified accountant will give you your best bet of finding what relief applies to you. Often the processes for claiming aren’t very transparent, so getting some expert help is recommended.

10 years on from Lehmans and what has the financial services sector learnt?

The financial crash after the Lehman Brothers collapse saw the biggest global monetary crisis since the end of WW2. It led to a lost economic decade for many – average incomes in the UK still languish far behind their 2008 peak.

15 September 2008, the fall of Lehman sent shockwaves around the world. It was (and still is) the largest bankruptcy of all time. The colossal investment bank fell with $639 billion in assets and $619 billion in debt.

Founded in Montgomery, Alabama by German immigrants in 1850, the firm grew towards the end of the 19th century as America became an economic powerhouse. For an investment bank that survived the railroad bankruptcies of the 1800s, the Great Depression of the 1930s and two World Wars, it was a reckless rush into the doomed subprime mortgage market that proved a fatal error. Continue reading

What might be in the Autumn Budget?

In normal years, the Autumn Budget (formerly the Autumn Statement) is announced in November. However, with less than 6 months left on the countdown to Brexit, this year is far from a normal year.

At the end of September, Chancellor Philip Hammond revealed that the Autumn Budget would be released on 29 October which is also, unusually, a Monday – traditionally budgets are announced on a Wednesday. Since the Wednesday would’ve been Halloween, perhaps the Chancellor moved the budget forward by two days to avoid a potential Budget horror show. Continue reading

END OF SUMMER REVIEW 2018

This time last year we produced our first End of Summer Review. We described it as a ‘reflection on some key events over the last few months’: would they, we wondered, ‘give us an idea of what might happen in the run up to Christmas?’

First of all, let’s reflect on what the world looked like 12 months ago. Continue reading

Post-Brexit trade uncertainty: A difficult time for British exports.

For British companies who rely heavily on the E.U. export market, Brexit has been a nightmare, to say the least. Until recently, though, the full effects on British exporters have been unclear.

Some versions of Brexit currently under consideration by the cabinet could potentially cut U.K. exports by as much as a third, according to a study by a team of trade experts at the University of Sussex. The study also predicted that a fall in British exports would hit ‘Leave’ voting areas such as Sunderland, Coventry and Derby the hardest. Continue reading

How to approach student loans with your kids

University is always going to be at least partially a  both for prospective students and their parents, or whoever they rely on financially. Calculating the rising total bill for tuition fees and cost of living for a degree course can make university seem like an impossibility for some. But it’s essential that all involved carry out proper research into the cost of higher education before making a decision about the future, rather than letting sensationalist reporting in the media surrounding student debt scare them away. Continue reading

What does GDPR mean and how does it affect me?

GDPR is one of those acronyms you’re probably hearing a lot about at the moment. You’re no doubt receiving a high number of emails asking if you’re still happy to receive communications from a company and to be on their database. So what are the reasons behind this? In 2016, a bill was passed by the European Union introducing the Global Data Protection Regulation, which will come into force as of 25th May 2018. GDPR defines the legal rights of EU citizens in relation to their data, and enforces regulations on the data controllers and processors who hold that data. Continue reading