PwC UK

What does the Government’s Growth and Competitiveness Strategy mean for the UK’s financial services sector - and what will it take to turn ambition into action? Catch up on our latest 30-minute discussion unpacking the strategy’s implications for a critical part of the UK economy. Hosted by Tessa Norman, the conversation features expert insights from: Darren Kerringham, our leader for Financial Services, Miles Celic from TheCityUK and Conor MacManus, Financial Services Regulatory Insights. Watch it here: https://xmrrwallet.com/cmx.plnkd.in/e3rrC6-X

What role can employers play when it comes to solving the biggest economic challenge the UK is facing? 1 in 10 workers are actively thinking about leaving the workforce – with ill-health, both physical and mental, a major driver. The number rises when it comes to younger people aged 18 – 24, where 1 in 4 is at risk. We’ve been highlighting the challenge of economic inactivity, which the government estimated is costing £132 billion in lost output. Sir Charlie Mayfield OBE said the most effective solution is a prevention-first approach from employers.

 "It looks like the uptick in inflation in recent months is starting to eat into consumers’ spending power" - so what does this mean for the rest of the year? Read the insights on today's ONS retail figures from our Head of Retail Jacqueline Windsor.

Our consumer sentiment results are in. While net confidence has risen to its highest level this year (from -12 to -5), the real picture is a bit more complicated. Inflation and job security remain a concern for many and it's impacting where and how much we're spending. Essential categories like grocery, children and pets are still top priorities, followed by holidays, health, home and hobbies. Under-35s are notably more willing to spend on fashion, beauty and tech. So, what does this mean for retail and hospitality businesses? Explore the data using the interactive tool on our website: https://xmrrwallet.com/cmx.ppwc.to/4kNJI9V #ConsumerSentiment

Agentic AI not only learns from data, but also assesses situations based on goals and context – effectively becoming a proactive problem-solver. Working with Google Cloud, we are seeing its transformative power reshape industries from healthcare to finance, making technology more responsive and personalised than ever before. Check out our latest insights: https://xmrrwallet.com/cmx.ppwc.to/3TDy4TW and explore how Agentic AI could redefine the future. #AIInnovation #PwCAndGoogleCloud

This year marks one of the largest drops in the UK gender pay gap since reporting began. This is what happens when organisations embed equity in everyday decisions: transparent recruitment, consistent promotion practices and inclusive pay reviews. Our report has the full picture. Follow the link in comments. #FutureOfWork #Inclusion #PayGap

The Financial Conduct Authority released a series of new publications, examining key areas including premium finance, motor insurance, home and travel claims and General Insurance Pricing Practices (GIPP) evaluation. Samantha Jones, a director in our insurance practice, walks through the latest updates and how best to navigate these changes.

Introducing Assurance for AI: it's a suite of services we've designed to give boards and executives the clarity they need to deploy AI responsibly. As organisations embrace its potential to transform how they work and compete, confidence in these technologies becomes essential. By applying our assurance expertise to advanced AI systems, we help clients demonstrate that their AI is safe, explainable and aligned with ethical and regulatory standards. Explore how Assurance for AI can help build trust with stakeholders and unlock innovation - more details in the comments section.

The UK’ s economic inactivity crisis is increasingly being driven by people choosing to leave work. 1 in 10 workers is actively thinking about it. Among younger people aged 18 – 24, it is 1 in 4. It equates to 4.4m workers who are on the brink of leaving the labour market. Although there is often no ‘one single reason’, our research found ill-health, both physical and mental, is a major driver. We discussed this issue with two of the experts working on solving it - Rt Hon Alan Milburn, Chair of the Pathways to Work Commission and Sir Charlie Mayfield OBE, who is leading the Keep Britain Working review. Watch the full discussion hosted by Partner Katie Johnston – link in comments.

Following this morning's news that UK Government borrowing is higher than expected, our economist Nabil Taleb took a look at what's happening. 📈The ONS Public Sector Finance data shows borrowing in June at £20.7bn. This makes it the second highest June borrowing since records began. What's more important according to Nabil is that "the borrowing figure is £3.5bn more than the OBR forecast for the month." 💷He's attributed the increase in public spending largely down to a significant increase in debt interest payments: “Debt interest payments came in at £16.4bn in June, up 105% from last year and the second highest June figure since monthly records began 27 years ago. This reflects the fiscal challenge the Chancellor faces. Higher debt servicing costs as a share of total revenues leave the public finances more exposed to future economic shocks." The UK now has the third highest borrowing costs among advanced economies. Nabil highlighted that with global uncertainty persisting, particularly around the impact of US policy, the cost of servicing UK debt could climb even higher. 👈On the domestic front, he says the Chancellor faces an additional challenge after the government’s U-turn on welfare reform. "(It) blew a £5bn hole in the public finances. Her fiscal headroom was already under strain following higher-than-expected borrowing since the Spring Statement, and the latest data deepens the challenge. As she looks ahead to the Autumn Budget, the Chancellor will see how the next few months play out both domestically and in the global markets but speculation around tax rises is likely to persist throughout the summer." Follow us for more economic commentary.