RSM UK

Business must prepare for FCA rule changes - is your firm ready? The FCA’s consultation marks a major shift in how firms will support consumers making pensions and investment decisions - focusing on outcomes-based regulation, in line with the government’s growth strategy. By proposing a new category of 'targeted support', the FCA is addressing the long-standing advice gap. This will be transformative for consumers who are currently priced out of advice, or need more than generic guidance, but don’t require full financial advice, but only if firms ensure their support is genuinely helpful, clearly communicated, and demonstrably within the new regulatory boundaries.   Poorly designed advice models risk exposing consumers to unsuitable guidance, undermining trust in financial advice and potentially leading to regulatory breaches under the Consumer Duty. https://lnkd.in/guUDAd_N

Bumpy road to homeownership remains despite reforms. The government’s recent announcements to accelerate housebuilding with more funding aims to put the housing sector back on the right path - but for our Head of Construction Kelly Boorman, until affordability for homeowners has been tackled, challenges will remain. Speaking to the Financial Times, Kelly stated that despite plans to lower salary thresholds and recognise rent payment as a measure of financial reliability, affordability remains a major barrier for first-time buyers. A proposed permanent mortgage guarantee scheme could be the support lenders need to bring more affordable products to market. However, Kelly points out key risks to this scheme around the valuation of properties and creation of negative equity, that could arise if not carefully managed. For now, it remains uncertain how lenders will adapt to these reforms, and if these changes will be the key to unlock home ownership in the UK. Join the conversation below. https://lnkd.in/eV7TsBzK

The government’s zonal pricing plan has been switched off - what does this mean for your business? The UK government scrapped its proposed plans for zonal electricity pricing last month, instead favouring a single national wholesale price, ending widespread debate about which direction the sector should take. Whilst some welcome this change of direction, arguing that a single grid generates more investor confidence, others believe the abandonment of government plans could bring even higher costs. Regardless of which side of the fence you sit on, it’s important that your business is best placed to manage the changes. The zonal pricing market rationale is rooted in supply and demand economics - areas with high energy production and low consumer demand (such as northern Scotland) would pay less for electricity than places with low energy production and high consumer demand (such as southern England). It was intended to encourage heavy electricity users to relocate to areas that have more generation, such as Scotland, where windfarms must sometimes switch off because of a lack of demand. This is estimated to have cost the National Grid over £1bn in “congestion costs” of which circa 40% was the cost of discarding wind energy. Overall, business leaders have welcomed the government’s decision to scrap plans for zonal energy pricing, not least because it would create a postcode lottery and uncertainty for businesses. This is at a time when many businesses are reportedly pausing plans for expansion of their UK operations because of the long queues to get connected. Businesses would welcome some of the funds from GB Energy being used to upgrade the creaking grid so that it is no longer a deterrent for growth. Given energy price uncertainty and the reputational benefits for businesses reducing their carbon footprint, it may be worth considering Power Purchase Agreements to fix energy prices and have control over their energy source.

Despite economic uncertainty, UK tech is charging ahead - with a 17% rise in new tech incorporations from Q1 2025. UK Tech will need further positive stimulus from the UK government around funding, taxes and immigration. Looming tax measure on the horizon could threaten a positive start to 2025. With overseas markets offering competitive salaries and more favourable tax regimes, the pressure to keep the UK’s brightest talent on home soil is mounting. How can the UK remain competitive and keep tech founders from looking elsewhere? Read Ben Bilsland’s take on how the UK Government can keep our brightest businesses on shore.

How did podcasting go from niche pastime to mainstream media powerhouse?    In recent years, a perfect storm of tech innovation, shifting habits, and on-demand content has fuelled podcasting’s rapid rise.    Join Ben Bilsland and Ollie Tiramuragan Collard as they explore the podcasting boom and what might come next. Watch: https://lnkd.in/ekKBg_HQ Listen: https://lnkd.in/ekm8qevb

Could your salary sacrifice schemes be breaching minimum wage rules? With HMRC maintaining its scrutiny on national minimum wage (NMW) compliance, businesses risk penalties and reputational damage, if deductions push employees’ pay below legal thresholds. Many well-intentioned employers fall short through simple errors - such as salary sacrifice for pensions or cycle to work schemes, deductions for parking permits, or even Christmas savings schemes. However minimal these errors may be, the consequences can be costly. It’s important to protect your business and your employees - audit your salary sacrifice schemes and review payroll processes and deductions to ensure you are not inadvertently breaching NMW. Read our full guide on avoiding these breaches below: https://lnkd.in/evH9dsRC

Turning risk into resilience. The scale and sophistication of recent cyber attacks has left even well-established retailers on the back foot; so if the worst-case scenario is inevitable, how can businesses best protect themselves? Perhaps it’s time to embrace the window of opportunity in cyber insurance. Munich Re has forecast an annual growth rate of 10% for global cyber insurance premiums by 2030. It’s clear that the proposition is transitioning from a niche product to a mainstream line of business - it’s no longer a risk transfer tool but a resilience enabler. And whilst corporations will be focused on protecting themselves, the real growth opportunity lies with insurers. They can move from passive risk carriers to active partners in resilience, helping clients navigate an increasingly hostile digital landscape while unlocking new revenue streams. To succeed in this new age, they must: 🧑💻 Invest in cyber expertise to improve underwriting accuracy 🔐 Partner with cyber security firms to deliver holistic solutions 🧑💼 Educate brokers and clients to demystify the product 📊 Innovate coverage models to reflect evolving risks Cyber security and cyber cover are becoming critical lines of defence for corporations, they should be taking advantage of it Erin Sims shares how: https://lnkd.in/ezpdxdBd 

Could energy reform spark activity in real estate and construction? The government's updated Clean Power 2030 Action Plan aims to provide £40-50bn in annual investments over the next 5 years, upgrading national grid infrastructure and energy security in the process - providing the connectivity and clean energy access that’s vital to the creation of new opportunities and growth in the real estate sector. Get in touch with our expert Terence Amako to discuss what these changes could mean for you.

Now is the time to act.   With key UK GAAP changes already in effect for some disclosures, you must act now to help your business stay ahead.   Get in touch with Danielle Stewart OBE for advice, or head to our hub.

A new era of private share trading is coming, and it could be a game-changer for employee shareholders. PISCES (Private Intermittent Securities and Capital Exchange) is the UK’s soon-to-launch regulated framework that will let shares in private companies be bought and sold without needing a full public listing. PISCES could unlock new possibilities for founders, employees, early-stage investors and employee shareholders to realise share value without waiting for the company to be sold or an Initial Public Offering (IPO). The government is supporting with changes to facilitate potential tax advantages under Enterprise Management Incentives (EMIs) and Company Share Option Plans (CSOPs). But how will it work in practice? What are the risks? And how can businesses start preparing? Fiona Bell, Simon Adams and Martin Cooper explain in their latest guide: https://lnkd.in/e-eub6y4