Chancellor Rachel Reeves has announced a “landmark” pensions review to boost investment, increase pots and tackle waste in the system.

Under the plans pension pots for savers in defined contribution schemes could be boosted by more than £11,000.

And billions of pounds of investment could be unlocked in the UK economy from defined contribution schemes alone.

The review will also look at how to unlock the investment potential of the £360billion Local Government Pensions Scheme, as well as how to tackle the £2bnthat is being spent on fees.

Work has begun on the first phase of the review of the pensions landscape. The next stage, starting later this year, will consider further steps to improve pension outcomes and increase investment in UK markets, including” assessing retirement adequacy”.

The chancellor said: “The review we are announcing is the latest in a big bang of reforms to unlock growth, boost investment and deliver savings for pensioners.

“There is no time to waste. That is why I am determined to fix the foundations of our economy so we can rebuild Britain and improve people’s lives.”

Pensions minister Emma Reynolds added: “Over the next few months the review will focus on identifying any further actions to drive investment that could be taken forward in the Pension Schemes Bill before then exploring long-term challenges to ensure our pensions system is fit for the future.

“There is so much untapped potential in our pensions markets, with an industry worth around £2trn.

“The measures we have already set out in our Pension Schemes Bill will help drive higher investment and a better deal for our future pensioners.”

The review has been widely welcomed by the industry. Legal & General Group Chief Executive António Simões said: “As the UK’s largest manager of money for pension clients, we welcome the ambition set out by the government.

“Driving pensions capital into areas such as science, technology and infrastructure can help support better returns for millions of retirement savers, as well as stimulate much needed long-term growth for the economy.

“Having recently launched our own fund offering Defined Contribution savers access to high growth private market sectors, we look forward to continuing to work closely with government on the next stages of reform to help unlock further funding routes to power UK businesses, communities and society.

“We also strongly welcome the government’s intention to consider the adequacy of overall pension provision in the next stage of the review.”

Aviva’s director of workplace savings and retirement Emma Douglas added: “We fully support government’s ambition to get pension funds invested in a way that both supports UK growth and improves outcomes for savers.

“We see this as an important next step and look forward to working with government and industry on the review.”

• To discus any issues raised in this article please contact me on 01772 430000

Corporate and personal insolvency levels in England and Wales rose in June, with experts warning of a challenging trading environment and creditors taking a tougher stance.

In the North West, there were 2,361 corporate insolvencies in the month, a rise of 15.7 per cent compared to May and an increase of just over 17 per cent on the June 2023 figure.

Personal insolvencies in the region reached 10,395 in June, a 10.7 per cent increase on the previous month and a 32.9 per cent jump on June 2023.

The figures highlight the importance of both businesses and individuals seeking advice as soon as possible if experiencing money difficulties.

Starting conversations with experts who can help can be difficult but the earlier they begin the more options you have – and the more time to make the right decisions when it comes to next steps.

Fran Henshaw, who chairs the North West region of R3, the UK’s insolvency and restructuring trade body, said the rise in corporate insolvencies was driven by an increase in Creditors Voluntary Liquidations.

She said: “It is a process usually used by smaller businesses, and which is often driven by cashflow problems or difficulties with access to finance.

“Compulsory liquidation numbers have also risen to their second-highest level since January 2021 and suggests that creditors are taking a much tougher stance this financial year.”

There were some positive signs in the figures. Company Voluntary Arrangement and Administration numbers increased month on month and Administration numbers are higher than this time last year and in June 2019.

Fran said: “The profession will always try to rescue businesses wherever it possibly can, and this trend suggests that there are an increasing number of businesses for whom this is an option and whose secured creditors are willing to support rescue proposals.

“The reality is that businesses are still trading amidst high costs and cautious consumer spending, and despite recent more encouraging economic data pointing to increasing economic growth and falling inflation, the trading environment is still challenging for many businesses, and it seems that the economic improvement has come too late for some.

“While retail sales rebounded in May, they are still down year-on-year, and restaurant spending fell again last month as consumers continued to be cautious with discretionary spending to save money.

“These sectors have struggled since the start of the year and have yet to bounce back from a disappointing pre-Christmas trading period, so we may see insolvency numbers increase in the autumn if trading conditions don’t improve.

“There was positive news for the construction sector, which saw growth in May after a disappointing start to 2024 and a delay in new work at the end of last year.

“While the uncertainty the General Election will have brought this sector is likely to impact firms and output in the short-term, the new government’s pledges to invest in infrastructure and encourage housebuilding could reinvigorate two key markets for this industry if they come to fruition.”

Fran also spoke of the new government’s business policies that could boost the fortunes of SMEs.

She said: “Their pledge to reform business rates to be fairer may benefit businesses in the retail and hospitality sector, while plans to introduce legislation to tackle late payments, if effective, will improve cashflow for businesses and free up resources that will potentially allow firms to focus on investment and growth instead of chasing money they are owed and managing cashflow.”

However, she sounded a note of caution, adding: “These measures will take time to introduce and may come too late to help those who are currently struggling.

• To discuss any issues raised by this article please contact me on 01772 430000

An architectural practice, supported by WNJ from day one, is celebrating its 10th anniversary as it delivers a host of high-profile projects in its home city.

Studio John Bridge is behind the plans to revive one of Preston’s architectural gems by turning it into a new art gallery and conference centre.

The studio’s blueprint for the Harris Institute, on Avenham Lane, would see the 175-year-old, Grade II-listed building brought back into use for the first time in almost 10 years.

The studio is also part of the team delivering the new structure that will replace the former Old Tram Bridge over the River Ribble linking Preston city centre and South Ribble. It has designed the new ‘sleek, efficient and sustainable’ bridge.

The practice has also worked with Preston Council on plans to refurbish the city centre’s iconic red phone boxes. Restoration work will enable the kiosks to be used for creative installations.

And in another Preston project, the studio has delivered the designs for a new youth and community centre which is replacing the old Foxton Centre in Avenham.

The plans to bring the Harris Institute back to life have now been lodged with the city council.

Owners of the grade two star-listed building, The Harris Investment Group, want to transform it into a coworking and exhibition space with an art shop, a gallery, and conference and café facilities.

Studio John Bridge has now grown to a seven-strong team and has moved into new offices in the city centre.

John Bridge, who founded the practice, said: “As a proud Prestonian it is great to be working on these projects making a real difference for the city.

“When it comes to the Harris Institute project, we were delighted with the response to our public consultation last year. There is a significant amount of interest across the city in the building’s restoration.

“The tram bridge is another high-profile project that has attracted a lot of public interest, given its history. Since its closure it has been a huge talking point.”

Looking back at the history of his business, John said: “The first ten years have been hard work but it’s been really enjoyable. We’re collaborating with organisations and businesses today that I didn’t dream we’d be working with when we set out.

“We’re on the path for further growth as we look outside Lancashire for projects. We’re active now in Cheshire, Yorkshire and London and we’ve even got the chance of a project in Morocco.

“Things are looking really good, it’s just a case of keep pushing and innovating and being prepared to come up with concepts and ideas that start conversations and spark interest.”

Over its first decade, the practice has also gained a growing reputation for its expertise in city regeneration, eco-living and digital.

John said: “WNJ have been great for us from day one. They have been brilliant in the advice and support they have given us as we have grown and developed the business.

“That has included helping us when it comes to claiming R&D tax relief to support our work in eco-design systems and pushing our skills and innovation further. WNJ’s input has been invaluable.”

A long-standing WNJ client is celebrating 90 years of creating chances, choices and opportunities for children, families and communities.

Caritas Care is a not for profit, registered charity. Its head office is in Preston and its work covers the entire North West of England.

That work is structured into different operational areas. These include children’s services, where its purpose is to provide security and stability for children and young people in need, achieved through adoption or foster care.

The charity also delivers adult and community services for adults with physical and/or learning disabilities/complex health needs and community projects which reach out to people who are at risk of isolation or homelessness.

As part of its 90th anniversary celebrations, Caritas Care has now embarked on a major exercise to raise funds and boost the profile of the charity.

Susan Swarbrick, Caritas Care chief executive, says: “Our mission has been to respond positively to the changing needs of our community, by delivering services that give better life chances to people of all ages.

“Our aim is to provide services that enable people in our community to have the chances, choices and opportunities to live the best lives that they can.

As we enter our 90th year, we will be celebrating our achievements and the work of the charity through a range of activities during the year, and these will include many of our service beneficiaries whose lives we have touched throughout our existence.

“We hope that these celebrations will help to raise awareness of our work in the local community and raise the profile of Caritas Care, to encourage more people to come forward and access our services.”

She adds: “As a charity, one of our biggest challenges is generating sufficient income to cover the on-going costs of delivering our services, and we are therefore using our 90th anniversary as a fundraising opportunity to support the on-going work of the Charity in the future.

“As our theme for the year is linked to ‘90’, we are planning 90 activities for our staff and service users, such as walking 90 miles, having 90 different cakes at our annual afternoon tea party event or collecting 90 pennies in a jar.”

WNJ acts as auditor for Caritas Care and also provides a payroll service for the charity.

Here is the charity’s Just Giving link: https://www.justgiving.com/caritas-care
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HM Revenue and Customs (HMRC) continues to invest time and money in its tax enquiry operations as it works to bring money back into the Treasury to help ease government finances.

Figures revealed last year showed a 21 per cent rise in tax investigations into sole traders and small businesses by HMRC between the 2020/21 and 2022/23 tax years.

On top of that a further £79m has been invested into HMRC’s operations as it looks to recover £725million in unpaid taxes over a five-year period.

An additional 2,500 compliance staff were recruited to help in this task in 2022/23.

And HMRC now uses a sophisticated database called ‘Connect’ to start more than 80 per cent of enquiries. It analyses more than 55 billion pieces of data, including land registry documents, social media account information and banking details.

HMRC activity has increased significantly in recent months, with the number of new enquiries opened now exceeding pre-pandemic levels.

What sparks an investigation?

An investigation into your tax return by HMRC may be triggered by several reasons: a tip off, paying the incorrect amount of tax, late returns or simply working within a selected area, to name a few.

No reason has to be given as to why the enquiry is being undertaken. The assumption when you’re selected for a tax investigation is that you have done something wrong. This is rarely the case.

Random enquiries into tax affairs can and do happen. Whether you’re an individual taxpayer or business owner, an investigation is possible, and nobody is exempt.

That brown envelope arriving on your doorstep is not to be ignored.

Any taxpayer can be targeted by HMRC, answering all its questions takes time and the enquiries often drag on for months and sometimes take years to conclude.

It can cost a lot to defend you, whatever the result. That is why it as important as it has ever been for you to protect against these costs.

What happens during an investigation?

Once HMRC decide to investigate you must comply with their requests.

HMRC will check your accounts, request a plethora of documentation, ask lots of questions and may even want to visit you in person.

No additional tax may be due, but you will still be left with enquiry fees which could cost thousands.

Investigations are costly, stressful, and an unwelcome distraction from day-to-day life; whether HMRC initiate a Full Enquiry of your tax history or an Aspect Enquiry into a specific area of your return, you will be liable for the professional costs to bring about a prompt resolution.

What can you do to protect yourself or your business?

WNJ’s professional fees do not cover the additional costs of handling tax enquires and compliance checks.

However, the good news is there is help available. Tax Fee Protection, like the scheme WNJ offers its clients, will protect you from our fees associated with an HMRC enquiry, limiting the stress and uncertainty.

It will cover fees incurred translating the many complicated questions the taxman may pose, manage the entire conversation with HMRC, help you submit any required information and challenge its findings.

The protection gives you the comfort of knowing you will be fully defended if you fall under HMRC’s spotlight.

There are other benefits from the WNJ scheme, including complementary telephone access to business support advice lines on employment law, health and safety and general legal issues.

• To find out more about the Tax Fee Protection service offered to WNJ clients please call 01772 430000