Businesses prepare to cut staff as they brace for slowdown, CBI finds

A persistent slowdown in activity among private sector firms could weigh on economic growth over the coming months, with businesses set to cut staff and raise prices, according to a survey.

The upcoming increase to national insurance contributions has prompted firms to assess their budgets urgently, the Confederation of British Industry (CBI) said.

Output across the private sector is expected to drop over the next three months, having fallen over the previous three-month period, the survey found. The survey also suggested that sentiment among businesses dipped in the aftermath of the government’s autumn Budget.

Reeves all but confirms backing for third Heathrow runway

Rachel Reeves suggested the full Cabinet must back any potential expansion of Heathrow Airport despite previous opposition from senior government figures, as she all but confirmed plans to endorse a third runway.

The chancellor refused to be drawn on ‘speculation’ over an upcoming announcement she is expected to make about the project but said decisions would be subject to ‘full collective ministerial responsibility’.

Facing questions from Sunday broadcasters about how Labour would balance its climate commitments with her search for growth, Ms Reeves said developments in sustainable aviation mean it goes ‘hand in hand’ with boosting the economy.

Genesis GV60 Desert Edition is a one-off special to celebrate ex-Formula One driver Jacky Ickx

Genesis has created a one-off special of its GV60 SUVs in honour of ex-Formula One racing legend, Jacky Ickx.

Named the ‘Desert Edition’, the car was driven a total of 3,700 miles of the Dakar rally from Bisha to Shubaytah, with Ickx being an honorary guest and joining the teams at each bivouac. The car was unveiled to celebrate Ickx’s 80th birthday.

The car features bespoke forged 20-inch wheels, extended wheel arches of 400mm at the front, all-terrain tyres, adjustable suspension and a ‘desert’ setting, which can be accessed through the car’s drive mode system.

The markets

The FTSE 100 lost ground on Friday to end the week in the red despite having posted several record highs in recent days. It dropped 63 points to finish the day at 8,502, or a 0.7% fall.

France’s Cac 40 closed 0.4% higher and in Frankfurt the Dax was down 0.1%; the S&P 500 was flat and Dow Jones had also fallen 0.1%.

The pound was 1.14% up against the dollar by the afternoon, at 1.249. It was 0.2% up against the euro at 1.189.

Starmer and Trump stress ‘close and warm ties’ and agree to meet soon – No 10

Sir Keir Starmer and Donald Trump discussed the importance of ‘close and warm ties’ between Britain and the US and agreed to meet ‘soon’ in their first call since the inauguration, Downing Street said.

The talks, which lasted 45 minutes, come hours after the US president heaped praise on the prime minister for having done what he described as ‘a very good job thus far’.

In a readout of the conversation, Number 10 said Trump had opened by sending his condolences to Sir Keir after the death of his brother Nick, who had cancer and died on Boxing Day.

Palestinians return to northern Gaza after more than one year of Israel blockade

Palestinians have been allowed to return home to the largely destroyed region of northern Gaza after more than 12 months of besiegement by Israel.

Thousands of Palestinians headed north on Monday after waiting for days to cross into their homeland. Associated Press reporters said people were seen crossing the Netzarim corridor shortly after 7am (5am UK time).

The opening was delayed over a dispute between Hamas and Israel, which said the militant group had changed the order of the hostages it released in exchange for hundreds of Palestinian prisoners.

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What to expect from Car Dealer Live 2025: Great speakers, exclusive research, brilliant networking

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Weather

Today will be windy with showers and heavy rain in the north and west, wintry on Scottish hills, reports BBC Weather. Highs of nine degrees.

Tonight will remain cloudy with rain and showers, wintry over Scottish hills, and breezy conditions across the UK.

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The post Jan 27: Firms to to cut staff – CBI; Third runway at Heathrow likely; One-off Genesis for Jackie Ickx appeared first on Car Dealer Magazine.