Business jitters ahead of chancellor Rachel Reeves's 'painful' budget

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Firms are pausing hiring new staff while some executives are selling off shares in UK-listed companies because of worries about the potential measures set to be unveiled this month.

Firms are pausing hiring new staff while executives are selling off shares in UK-listed companies amid worries over the possible impacts of the chancellor's first budget, it has been claimed. Business body the CBI said on Friday it was 'clear' that some firms were holding back from employing new staff and making investment decisions until there was 'more clarity' about the measures.

Laura Hayward, a tax partner at Evelyn Partners, said: 'The prime minister's statement that the upcoming budget would be 'painful' has put owner-managed businesses on edge and this has prompted many to want to exit as quickly as possible.' Separate research by AJ Bell has also found that directors at UK-listed companies have sold off more than £440m worth of shares since the general election in July.

 

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