UK's growing insolvency – Building greater resilience in your business

Rising costs seem to be coming at UK businesses from all directions, resulting in many difficult financial decisions needing to be made.

New research by the Liquidation Centre found that some employers are opting for job cuts to manage these expenses and 315,605 jobs have already been flagged for redundancy this year.

Times are tough right now for many businesses, but redundancies aren’t the only way to ease the pressure of these expenses.

Building greater resilience can become your biggest competitive advantage and help you avoid making decisions that could do more harm than good for your business.


Review your day-to-day costs


The most resilient businesses we see are the ones that know their operations and costs inside out.

You need to be clear on where your time and money are being spent and where any potential inefficiencies or unnecessary costs can be cut.

It could be that something as small as automating admin tasks or tightening internal processes could ease some of the pressure.

Renegotiating supplier contracts, reducing overheads or outsourcing functions can also help cut back time and money that could be spent more productively elsewhere.


Budget for the future


While getting a handle on your current costs is vital, you also need to be ready for the months and years ahead.

Forecasting ongoing costs and modelling the impact any increase may have on your margins can show if your business will cope with upcoming expenses or need to make some changes.

We are living in uncertain times, so it is important that these estimates have a substantial buffer to allow for further unexpected twists and turns.

Cloud-based accounting and real-time reporting can help to give you up-to-date information on your performance and allow you to make more informed decisions.


Let us help protect your business


The most resilient businesses are planning ahead and seeking expert advice to prepare for rising costs.

Our team can advise you on processes to help improve your cash flow, such as building a cash flow reserve and forecasting the impact of potential cost increases.

We can help protect your margins and allow your business to keep on growing. 

For further advice or support on building resilience, get in touch today.

Which Limited Company Expenses Are Tax Deductible?

Which Limited Company Expenses Are Tax Deductible?

By Dexter Stevens • June 29, 2026
Learn which limited company expenses are tax deductible, how to claim tax relief and reduce your corporation tax bill while staying HMRC-compliant.

The hidden savings tax trap and why changes to ISAs make it harder to put money away

By Charlie Flockhart • June 4, 2026
Do you know what your Personal Savings Allowance is? While most taxpayers in the UK will know the thresholds for Income Tax, a worrying few know the way in which personal savings can be subject to tax. With ISAs set for a significant overhaul, understanding the less tax-efficient saving options will soon be more important. How much tax do you pay on your savings? While your savings are not taxed, any interest generated by those savings could be subject to tax if it exceeds your Personal Savings Allowance. Depending on the rate of Income Tax you pay, your Personal Savings Allowance will differ. The thresholds are: £1,000 for Basic-rate taxpayers £500 for Higher-rate taxpayers £0 for Additional-rate taxpayers ISAs remain the more tax-efficient saving strategy as the interest generated from them is tax-free. It is therefore most effective to utilise the full £20,000 saving limit for an ISA as early in the tax year as possible to benefit the most from the accumulation of interest. How should tax on savings be managed? The main issue is that tax on savings is often overlooked, resulting in HMRC taking action for underpaid taxes. This will often manifest in a charge through PAYE, as employees are more likely to overlook this obligation. Those filing Self Assessment tax returns should already be declaring interest earned, so any compliance issue in that group points to a wider problem with handling tax obligations. When attempting to make the most of saving strategies, it is best to seek professional financial advice. This will be more important if the saving limit for Cash ISAs falls to £12,000 for under-65s in 2027 as proposed, leaving younger savers to have to find new ways to grow their wealth. Our professional team can help you to determine an effective saving strategy that suits your financial goals while helping you to be mindful of the tax obligations that you may face. We do not want to see anyone caught off-guard by an unexpected tax bill and understanding your exposure is vital for preventing this. Get in touch with our team to regain confidence in your saving strategy.

Salary sacrifice cap and the squeezed middle

By Charlie Flockhart • June 4, 2026
The £2,000 cap on National Insurance (NI) free salary sacrifice pension contributions was sold as a tax on high earners but, if you look closer, the opposite is true. In fact, the people most exposed are middle-income savers and the small businesses that employ them. For the so-called “squeezed middle”, it is yet another quiet hit to take. Why do the rules adversely affect middle-earners? From April 2029, salary sacrifice tax relief will continue to be available, but only the first £2,000 of employee pension contributions each year will be free of NI. Anything above that becomes liable to NI for both the employee and the employer and the full adverse effect is clear once the different rates of NI are accounted for. If a person’s total pension contributions are modest, say up to six per cent, those individuals who earn between £35,000 and £50,270 will pay an eight per cent NI charge on pension contributions above the £2,000 cap. By contrast, an individual whose earnings already exceed the upper earnings limit of £50,270 will pay employee NI at just two per cent on those same excess contributions. This imbalance in the NI system means that those on lower incomes could pay four times the NI rate on their pension savings in excess of the new threshold than the highest earners pay. How does this change affect employers’ National Insurance bills? Many employers currently share their own NI savings by topping up staff pensions, but a new 15 per cent employer NI charge on contributions above the cap makes those top-ups unaffordable for a lot of firms. As a result, some employees could see the overall efficiency of their pension saving above the cap fall by as much as 23 per cent once lost top-ups are counted. Even those who stay below the threshold are not safe, as the Office for Budget Responsibility (OBR) estimates that around 76 per cent of higher employer costs are eventually passed back to staff through weaker pay rises and trimmed benefits. Don’t wait for the change The good news is that there is time to plan, as the rules do not take effect until April 2029, which leaves room to act while current allowances still apply. If you are a middle earner, this is exactly the moment to review your pension strategy, weigh up complementary options such as ISAs and make sure your retirement plans stay on track. To talk through what the salary sacrifice cap means for you, please get in touch with our team.