Families may face challenges affording domestic vacations due to a proposed ‘visitor levy’, which could impact small businesses like guesthouses and B&Bs, potentially leading to closures. The Labour party is suggesting that regional mayors in England be allowed to implement this tax on overnight stays, similar to practices in some European nations. While the exact mechanism is yet to be determined, it could involve a per-person fee or a percentage of the accommodation cost. Critics argue that for a family of four on a two-week summer trip, this levy could increase expenses by over £100. In a more extreme scenario, a family of six vacationing in Blackpool for four nights at £49 might see costs nearly double to £97.
UKHospitality, representing 200 businesses, has jointly written to Chancellor Rachel Reeves expressing concerns about the potential negative impacts of this proposal. Meanwhile, new research from Zoopla has identified Sunderland as the most affordable city in England for single buyers, with average monthly mortgage payments amounting to 17% of the typical monthly salary. In comparison, Havering in London stands out as the most affordable borough, with average home prices at £305,200. Aberdeen emerges as the most affordable city for single buyers in Scotland, with average monthly mortgage payments of £438.
Greene King has revealed plans to open 30 new franchise pubs this year, expanding its operations into Wales and the Southwest of England in 2026. The company recently reached a milestone of 100 franchise Hive and Nest concept pubs. Additionally, mortgage arrears have decreased, with 80,490 homeowner mortgages in arrears in the final quarter of 2025, marking a 4% decline from the previous quarter. Despite ongoing economic challenges, the decline is attributed to multiple Bank of England interest rate cuts.
The FTSE 100 index hit a new record high in early trading, surpassing 10,500 points, with strong performances also seen in European markets. Schroders notably rose over 28% following a substantial takeover agreement with US investment firm Nuveen. In another sector, Côte Brasserie introduced a half-term special offer for children, joining other chains with similar promotions. Moreover, Marks & Spencer has been recognized as Britain’s top in-store supermarket for customer satisfaction in a recent survey by Which?, with Tesco and Waitrose also performing well.
Despite weaker than expected growth of 0.1% in the final quarter of 2025, the UK economy showed overall improvement from 1.1% to 1.3% for the entire year. Chancellor Rachel Reeves emphasized the government’s economic strategy in response to the GDP figures, highlighting reduced interest rates, declining inflation, and the UK’s leading G7 economy status in Europe. This approach aims to enhance economic stability, reduce living costs, manage national debt, and foster growth nationwide.
