News

Confidence in the state of the economy has slid to its lowest level since last spring, according to the British Retail Consortium (BRC).

The trade body’s latest monthly survey — conducted among 2,000 UK adults — shows consumer confidence tumbling to a net balance of -37, down three points from January and marking an 11-month low.

The report follows fresh data revealing that inflation rose to 3 per cent in January, unexpectedly propelled by higher food and travel costs. Personal financial sentiment posted the sharpest drop, slipping seven points to -11. Helen Dickinson, the BRC’s chief executive, warned that shoppers are braced for more expensive bills in the coming months, citing rising energy charges, a planned rise in employer National Insurance contributions from April, and new packaging levies.

“Consumers’ expectations of the economy have plunged by nearly 40 points since last summer’s general election,” Dickinson said. “Coupled with £7 billion in additional costs faced by retailers, including higher National Insurance and packaging levies, many businesses are signalling potential hiring freezes and entry-level job cuts.”

According to the Office for National Statistics, food and drink prices in January reached a 3.3 per cent annual increase — the highest in ten months. Chris Hare, senior economist at HSBC, called the spike in food costs “unhelpful” for the cost of living, cautioning that if everyday inflation remains high, consumer sentiment and spending could remain subdued.

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Inflation fears push consumer confidence to 11-month low

Mira Murati, once the chief technology officer of OpenAI during the development of ChatGPT, has unveiled a new venture — Thinking Machines Lab — with an initial team of about 30 researchers and engineers.

Notably, the group includes several former OpenAI colleagues and hires from Character.AI and Google DeepMind.

Among the recruits are John Schulman, co-founder of OpenAI and now head of research at Thinking Machines Lab, Barret Zoph, another former OpenAI researcher who steps in as chief technology officer, and Jonathan Lachman, the ex-leader of OpenAI’s special projects unit. Murati, 35, has described the aim of the new venture as building AI capabilities that users can customise to address their own needs more effectively.

Murati joined OpenAI as vice-president of applied AI and partnerships in 2018, assuming the role of CTO in 2022. During a tumultuous period at OpenAI, she briefly served as interim chief executive when founder Sam Altman was abruptly dismissed and later reinstated in 2023. She ultimately resigned last September to “create the time and space” to pursue a fresh project.

In a statement posted on the new company’s website, Thinking Machines Lab said it is working on “helping people adapt AI systems to work for their specific needs”, emphasising open publishing and code transparency. Its mission is to bridge current gaps in AI understanding by granting broader access to advanced machine learning tools and fostering collaboration between humans and AI.

Murati’s former colleague at OpenAI, Sam Altman, has recently spoken about the transformative, if sometimes unpredictable, power of AI systems. He estimates that the latest models may already be capable of handling 5 per cent of “economically valuable” tasks, yet acknowledges these technologies will produce both “a lot of good and a lot of bad” in society.

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Mira Murati, OpenAI’s former CTO, launches new ai start-up with ex-ChatGPT colleagues

HSBC has unveiled plans to cut staffing costs by 8% in a push to save $1.5 billion, with thousands of UK employees expected to bear the brunt of the losses.

Georges Elhedery, the bank’s chief executive, announced that while HSBC’s 211,000-strong headcount will shrink by less than 8%, the overhaul will nonetheless involve significant job cuts and additional expenses of around $1.8 billion in severance and restructuring charges.

The move follows a series of corporate changes at the Asia-focused lender, including the merger of its wholesale businesses and a decision to pare back the underperforming investment bank. HSBC has also closed Zing, a digital payments venture, after just one year, as Elhedery focuses on cutting duplication and shifting resources to higher-growth areas, such as wealth management in Asia.

Alongside the restructuring, HSBC reported a 6.5% jump in annual profits to a record $32.3 billion, beating analysts’ forecasts. The FTSE 100 giant confirmed a fresh $2 billion share buyback and declared a quarterly dividend of 36 cents per share, returning a further $6.4 billion to investors.

The staff bonus pool inched higher to $3.8 billion from $3.77 billion, despite the headcount reductions. Meanwhile, HSBC plans to lift Elhedery’s potential pay package, which could reach £15.3 million this year, or up to £19.8 million if the bank’s share price rises by 50%.

In a separate announcement, the bank postponed its target date for achieving net-zero emissions from its own operations and supply chain from 2030 to 2050. The move comes as HSBC also launches a review of its 2030 goals for financed emissions — the carbon footprint of companies it lends to.

Elhedery said suppliers have lagged in their own sustainability efforts, making it harder for HSBC to meet near-term targets. The decision follows US banking giants withdrawing from the Net Zero Banking Alliance amid a domestic backlash, prompting questions about the global banking sector’s dedication to climate pledges.

Environmental, social and governance (ESG) metrics in Elhedery’s performance-based awards are being scaled back from 25% to 20%, to allow a higher weighting on what the bank calls “value creation”. Critics, however, see this as evidence that HSBC is easing off stringent climate targets in response to market pressure.

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HSBC slashes costs by 8% in $1.5bn drive as it scales back net-zero pledges

Grenada’s Citizenship by Investment (CBI) program has become an increasingly sought-after option for wealthy individuals around the world, offering a pathway to a second citizenship in one of the Caribbean’s most beautiful and stable countries.

This program allows investors and their families to obtain Grenadian passports by making a financial contribution through real estate or donations to the National Transformation Fund. While the CBI program has attracted a variety of investors over the years, there has been a significant uptick in interest from UK elites in recent times. The allure of Grenada’s strategic benefits, including visa-free travel to over 140 countries and a favorable business environment, has made it an appealing choice for those seeking both security and opportunity beyond the UK’s borders.

Grenada Citizenship by Investment Program Review

The Grenada Citizenship by Investment (CBI) program is designed to attract foreign investors who can make a significant contribution to the country’s economy. The program allows individuals to obtain Grenadian citizenship in exchange for a qualifying investment, granting them the privilege of a second passport with a range of benefits. Established in 2013, the CBI program is structured to offer both individual and family citizenship options, making it an appealing choice for those seeking greater global mobility and access to new business opportunities.

Eligibility Criteria for Investors Seeking Grenadian Citizenship

To qualify for Grenadian citizenship through the CBI program, applicants must meet certain eligibility requirements. These include:

Age Requirement: Applicants must be at least 18 years old.
Clean Criminal Record: Applicants and their family members must not have a criminal record in any country.
Due Diligence: Applicants undergo a thorough due diligence process to ensure they meet the program’s standards of integrity and security.
Financial Stability: Investors must demonstrate the ability to make a qualifying investment and support themselves and their dependents.
Health: Applicants must be in good health, as verified by a medical examination.

Once these criteria are met, the investor can proceed with their application, which includes submitting the necessary documentation and completing a due diligence review. The process typically takes between 3 to 6 months.

Types of Investments Accepted Under the Program

Grenada offers two primary investment options under its CBI program, both of which allow applicants to choose the most suitable route based on their financial capabilities and preferences:

Real Estate Investment:

Investors can purchase government-approved real estate developments valued at a minimum of $350,000. These properties must be in established tourism or luxury residential developments, contributing to the country’s growing economy. The property must be held for a minimum of 5 years before it can be sold.
This investment option not only grants citizenship but also provides a potential return on investment through property appreciation and rental income.

Donation to the National Transformation Fund (NTF):

The alternative option is a direct financial contribution to Grenada’s National Transformation Fund, which focuses on infrastructure, healthcare, education, and tourism development in the country. The minimum donation required is $150,000 for a single applicant, with higher amounts required for family members.
This option does not involve the acquisition of property but provides a more straightforward, less time-consuming investment route to citizenship.

Both investment options allow for the inclusion of dependents such as spouses, children, and in some cases, extended family members like parents and grandparents, making it an attractive family-oriented program.

Grenada’s CBI program is one of the few in the Caribbean that allows applicants to include a wide range of family members, adding to its appeal for wealthy individuals from the UK and other regions seeking to secure a global future for their families.

Reasons for Increased UK Interest

The growing interest of Grenada citizenship for UK citizens is driven by several key factors, ranging from economic and geopolitical stability to enhanced global mobility and business opportunities. As high-net-worth individuals increasingly look for ways to secure their assets, expand their investment portfolios, and gain greater international freedom, Grenada has emerged as a highly attractive option.

1. Economic and Geopolitical Stability of Grenada

Grenada is known for its stable economy, democratic governance, and strong rule of law, making it a reliable choice for those seeking security in an uncertain world. Unlike many regions experiencing political turbulence and economic downturns, Grenada has maintained steady economic growth, largely fueled by tourism, foreign investment, and government-supported development projects.

For UK citizens who may be concerned about political shifts or potential policy changes affecting their financial interests at home, Grenada offers a safe and predictable environment. The country’s economy is backed by a strong banking system, a favorable tax regime, and a government committed to supporting foreign investors. With no history of currency volatility or extreme financial crises, Grenada provides an appealing destination for those looking to diversify their wealth and secure a second passport in a stable jurisdiction.

2. Visa-Free Access to Over 140 Countries, Including the EU Schengen Zone and UK

One of the biggest advantages of Grenadian citizenship is the enhanced global mobility it offers. Grenadian passport holders enjoy visa-free or visa-on-arrival access to over 140 countries, including major global hubs such as:

The United Kingdom (allowing UK elites to maintain easy access for business and personal travel).
The European Union Schengen Zone (allowing unrestricted short-term stays in France, Germany, Spain, and other EU nations).
China (one of the few Caribbean CBI programs offering visa-free travel to China, making it an attractive option for business executives with operations in Asia).
Singapore and Hong Kong, further expanding access to key business and financial centers.

This level of mobility is particularly appealing to UK business leaders, entrepreneurs, and investors who travel frequently for work, leisure, or investment opportunities. Unlike traditional visa applications, which can be time-consuming and restrictive, holding a Grenadian passport allows seamless entry into major global markets without bureaucratic delays.

3. Opportunity for Business Expansion and Investment Diversification

Wealthy UK individuals are increasingly looking beyond domestic markets to expand their businesses and diversify their investments, and Grenada provides a compelling gateway for international opportunities.

Strategic Access to the US Market through the E-2 Visa Treaty
One of the standout advantages of Grenadian citizenship is its E-2 visa treaty with the United States. This treaty allows Grenadian citizens to apply for an E-2 investor visa, which grants them the ability to live and operate a business in the U.S. While the UK also has an E-2 treaty with the U.S., Grenadian citizenship offers an alternative path for those seeking an easier or more flexible way to establish business operations in the U.S. without long waiting periods.
Tax Advantages for Global Investors
Grenada offers an attractive tax system with no capital gains tax, no inheritance tax, and no worldwide income tax for non-residents. This makes it an ideal jurisdiction for UK investors looking to legally minimize their tax obligations while enjoying the benefits of a second citizenship.
Caribbean Investment Opportunities
With Grenada’s growing tourism and real estate sectors, UK investors can benefit from high-return opportunities in luxury resorts, commercial developments, and eco-tourism projects. Additionally, investing in Grenada’s National Transformation Fund supports long-term infrastructure growth while providing a direct path to citizenship.

For UK elites who want a combination of financial security, global access, and strategic investment opportunities, Grenada’s CBI program offers a powerful solution. The increasing demand for alternative residency options among high-net-worth individuals has solidified Grenada’s position as a premier choice for second citizenship among the UK’s wealthiest.

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Why UK Elite Are Flocking to Caribbean Citizenship

Feedback is key to improving services, boosting guest satisfaction, and ultimately driving more bookings. And getting visitors to fill out your guest feedback forms isn’t impossible—but it sure can be tricky.

The problem? Feedback forms don’t always get the attention they deserve. While we all appreciate receiving feedback, many hesitate to give it. Guests may be rushing to check out, eager to move on, or unaware their input is needed.

The good news? You can change that. With the right approach, you can increase your feedback form response rate. Let’s break down why guests tend to skip these forms—and what you can do to get more responses.

Why guests usually don’t fill up your guest feedback form

Before we get into the “hows,” let’s discuss the “why.” Understanding why guests skip your feedback forms is the first step to fixing the problem. 

Here’s why guests often leave feedback forms unfinished or blank:

A long and complicated form can be a major turnoff. Guests will likely skip it if it takes more than a few minutes.
Guests need to see the value in providing feedback. Without a clear purpose, it can feel like they’re just sharing their thoughts with no real impact.
Inconvenience and complexity are major factors in lack of motivation. If they have to navigate a complicated website or, even worse, fill out a paper form, they’re more likely to ignore it. 
Too generic requests for feedback often fail to capture attention. A simple “Please fill out our form” message doesn’t feel inviting or personal. Makes the request more engaging, more personal.
Bad timing can ruin your chances of getting feedback because, let’s be real—we love rewards. People might not feel motivated to participate if there’s nothing in it for them.
Without appreciation incentives, don’t be surprised if participation drops.

Strategies to get more feedback from your guests

Ready to turn those silent guests into feedback champions? Here are seven tried-and-true strategies to boost your response rate:

Make it convenient for guests to provide feedback

Let’s start with the basics: convenience. If your feedback process feels like a hassle, guests will skip it. So, make sharing feedback as easy as possible. 

Using a form QR code generator is the simplest and most convenient way. Guests can scan, tap, and submit their responses in seconds—no extra steps or hassle.

Here’s how to set up a QR feedback form for your guests:

Choose a form builder that lets you create online feedback forms.
Select a template or design your own based on your hotel’s needs.
Add the necessary fields to gather valuable guest feedback. Customize the form’s appearance to match your hotel’s branding.
Generate a QR code that links directly to your feedback form.
Download the QR code as a printable version for physical placements or a digital version for online sharing.
Place the QR code inside guest rooms, at receipts, check-out counters, or dining tables, or send it via email or SMS.
Monitor the form’s performance and analyze guest responses using the dashboard’s tools to track submission rates, review feedback trends, and make necessary improvements.

Keep the form short and simple

Guests shouldn’t feel like they’re writing an essay after a relaxing stay. Keep your guest feedback form concise and focused. Include only the essentials—overall experience, room cleanliness, staff friendliness, and perhaps one open-ended question for additional comments.

Your feedback form is a conversation, not an interrogation. Keep it light, and guests will be more likely to engage. Researchscape suggests that the ideal survey length is around five minutes—any longer, and you risk losing their attention.

Communicate the value of feedback

Here’s the thing—guests need to know that their feedback matters. Be transparent about how their input will improve the guest experience. For example, you could say, “Your feedback helps us create unforgettable stays for you and future guests.” 

Effective customer feedback management also means showing guests that their opinions lead to real action. Did you upgrade your pillows because guests said they were too firm? Let them know! When guests see that their opinions lead to real action, they’ll be more inclined to share.

Offer rewards

Honestly, who doesn’t love a little incentive? A study published in the PLOS journal page, “Does Usage of Monetary Incentive Impact the Involvement in Surveys?” found that monetary incentives increase survey response rates. 

Offering a small reward for completing your feedback form can work wonders. It doesn’t have to be extravagant: a discount on their next stay or a free drink at the hotel bar. Avoid cash rewards—they attract low-quality responses.

The key here is to make the reward relevant and appealing. For example, “Complete our feedback form and enjoy 10% off your next booking!” It’s a win-win: guests get a perk, and you get valuable insights.

Timed-in asking feedback

Timing is everything. Asking for feedback at the right moment can significantly increase your response rate. Instead of bombarding guests with a form as they check out, try sending it via email a few hours after leaving. This gives them time to reflect on their stay without feeling rushed.

Alternatively, you can ask for feedback during their stay—for example, after they’ve enjoyed a meal at your restaurant or used your guest services. The experience will still be fresh in their minds, making them more likely to share their thoughts.

Personalize the request

A generic “Dear Guest” message doesn’t exactly scream “We care about you.” Personalize your feedback requests by addressing guests by name and referencing specific aspects of their stay. For example, “Hi Sarah, we hope you enjoyed your relaxing massage at our spa! We’d love to hear your thoughts.”

Personalization makes guests feel valued and encourages more meaningful hotel guest reviews. It’s a small touch that can make a big difference.

Train staff to encourage participation

Your staff are the face of your hotel and play a huge role in encouraging feedback. Hotel staff training should include guiding them on how to politely ask guests to fill out the form during check-out or after a positive interaction. A simple, “We’d love to hear about your stay—would you mind sharing your feedback?” can go a long way.

Ensure your staff understands the importance of feedback and how it benefits the hotel and future guests. That energy will rub off on guests when they’re enthusiastic about it.

Encourage guest engagement with a form creator

Remember, feedback is more than just data—it’s a conversation with your guests. Listen to what they have to say, act on it, and watch your guest satisfaction (and response rate) soar. 

Simplify and enhance your feedback collection with digital forms. QR code forms make it even easier for guests to respond and for you to manage and analyze data—plus, they’re eco-friendly and efficient.

Increasing guest feedback form responses isn’t complicated—it’s about understanding your guests and making the process easy and rewarding. Start applying these strategies today and watch your response rate rise.

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Why Guests Ignore Guest Feedback Forms—And How to Change That

UK inflation jumped to 3% in January, up from 2.5% in December, driven by rising food costs, higher air fares and an increase in private school fees.

According to the Office for National Statistics (ONS), this is the fastest pace of price growth in 10 months.

Grocery staples such as meat, eggs, cereals and butter have become noticeably more expensive, with items like olive oil and lamb soaring by 17% and 16% respectively over the past year. Meanwhile, many households are bracing for further increases, as energy, water and council tax bills are all set to rise in April.

Higher wage bills and a forthcoming increase in National Insurance could also prompt some employers to pass on costs to consumers, further stoking inflationary pressures. “Life is a struggle,” one young mother, Gaby Cowley, told the BBC, noting that her weekly shop has nearly doubled over the past three years.

A key factor in January’s inflation jump was the inclusion of VAT on private school fees for the first time, effective from 1 January. The ONS says this “one-off” addition triggered about a 13% increase in fees at the start of the year.

Air fares also contributed to the rise. Although flight prices usually dip in January, the drop was less steep than usual, meaning travel costs remained higher than in previous years.

The higher-than-expected inflation rate has led to fresh speculation about whether the Bank of England will slow its interest rate cuts. With inflation still above the Bank’s 2% target, some economists believe policymakers may reconsider the pace of further reductions, although many expect the gradual downward trend to remain on track.

Professor Jonathan Haskel, a former member of the Bank’s Monetary Policy Committee, says it’s unclear whether the latest spike is a “harbinger of more to come” or simply an outlier that can be discounted when setting monetary policy.

While Treasury Minister James Murray has warned the path back to lower inflation could be “bumpy”, he insists the government’s reforms will “kick-start” growth. The government also points to the state pension triple lock and new minimum wage rates as ways to mitigate the cost-of-living crunch.

However, both the Conservatives and Liberal Democrats have blamed Labour’s tax and spending policies for January’s rise in inflation, with Liberal Democrat Leader Ed Davey warning of a “new era of stagflation” if growth remains weak while prices climb.

Analysts, including Ruth Gregory at Capital Economics, describe the inflation jump as “uncomfortable” for the Bank of England but do not expect it to halt further interest rate cuts altogether. Nevertheless, the persistent threat of rising wages and higher bills for consumers suggests that inflation could remain a pressing issue for the foreseeable future.

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Inflation climbs to 3% as pricier food, flights and private schooling hit households

MPs have criticised the portrayal of baby boomers as “wealth-hoarding” at the expense of younger generations, warning that such stereotypes risk normalising “ageist attitudes” across the UK media.

A new report from the Commons women and equalities committee highlights the widespread depiction of those born between 1946 and 1964 as either frail or living a life of opulence while their children and grandchildren struggle on lower incomes. The committee points to a 2020 study by the Centre for Ageing Better that examined how older people are shown on TV, in advertising and in magazines, with evidence suggesting these caricatures overlook inequalities within age groups.

Sarah Owen, chairwoman of the committee, is urging regulators such as the Advertising Standards Authority and Ofcom to help put an end to harmful, dismissive representations. She says existing laws prohibiting age discrimination are “failing older people” because they are rarely enforced.

Despite average household wealth rising with age, MPs say too little attention is paid to those in later life who do not own property or who face “digital exclusion”, especially as essential services increasingly move online. About 29 per cent of people over 75 have no home internet access, according to Ofcom – an issue that complicates access to banking, health services and council resources.

The government says the Equality Act already offers robust safeguards and points to the state pension triple lock for boosting incomes in later life. However, Owen wants stronger measures, including a UK-wide commissioner for older people – similar to the role in Wales – and a national strategy to combat ageist stereotypes in public services, healthcare and employment.

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MPs critical of ageist ‘wealth-hoarding’ labels for baby boomers

A Cambridge-based start-up that designs and manufactures folding electric bikes has secured £1.2 million in fresh investment, aiming to ramp up production in a bid to rival market leader Brompton.

Flit, founded in 2016 by cycling enthusiast Alex Murray and former Jaguar Land Rover engineer Dave Henderson, says demand for its models far exceeds current supply, with customers facing a wait of up to four months.

The new funding round was led by ACF Investors and Cambridge Angels, and attracted high-profile backers, including Tony Purnell, former head of technical development at British Cycling and once a team principal for Jaguar’s and Red Bull’s Formula One outfits.

Flit first gained traction with a £214,000 grant from Innovate UK in 2020, money it used to pioneer a new technique for bonding bike frames without welding. According to Murray, this process delivers a lighter and more robust frame by eliminating the distortion risk seen in welded parts. The company’s M2 model weighs just over 14kg and folds easily, making it well-suited for the commuter market.

“Not only did it improve our product, but it also re-imagined how we manufacture,” Murray said, explaining the decision to base production in Cambridge. “We’re hands-on in the factory, which ensures we fully master and control the process. And being in a city that loves bikes puts us close to our core community.”

Although Flit imports the raw aluminium and certain components, the entire assembly process takes place in Cambridge. The aim is to challenge Brompton’s long-established foothold in the market; Brompton recently reported a difficult trading year, forecasting a pre-tax profit of just £4,602 for 2024.

Murray, a passionate cyclist who has ridden across America and China, hopes Flit’s growing order book and new manufacturing approach will help it capture a bigger slice of the urban cycling market. “Our next step is to scale up to meet demand,” he said, highlighting the company’s intention to reduce waiting times and continue expanding its market presence.

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Folding bike pioneer Flit raises £1.2m to challenge Brompton’s dominance

A dyslexic entrepreneur has won the support of Sir Richard Branson by pitching his new education app to a video doorbell installed in a hotel lift.

Hugh Johnston, 27, discovered last week that the Virgin founder had watched his 60-second pitch and would help promote Tyypo, the app he created to help dyslexics learn from their mistakes.

The “Elevator of Dreams” can be found in Virgin’s Shoreditch hotel, where entrepreneurs have been invited to share their ideas on camera. Johnston, recognising Branson’s status as one of the world’s most high-profile dyslexic entrepreneurs, jumped at the chance to record his pitch.

More than 500 hopefuls have stepped into the lift since it was launched by Branson and Simon Squibb, the founder of business-focused social media platform HelpBnk. Johnston had tried to find ways to contact Branson for some time; so when he spotted Squibb’s YouTube video on the “Elevator of Dreams”, he felt fate was on his side.

After struggling with spelling and writing for years, Johnston devised Tyypo to address dyslexia at its root. Unlike other programmes, which he felt simply acted as a crutch, Tyypo tracks common errors and teaches users how to improve, rather than just highlighting mistakes. Johnston initially taught himself to code with the help of ChatGPT, storing his frequent errors in a spreadsheet. He later teamed up with two software developers, Omid Javedan and Nael Aborrob, to accelerate development.

When Johnston recorded his pitch in the lift, he shared a personal anecdote about mixing up “father” and “farter” on the order of service for his grandfather’s funeral. In his response, Branson praised his honesty, revealing that he too had suffered countless dyslexic mishaps.

Johnston asked Branson for two things: first, that he share Tyypo’s waiting-list link, and secondly, to introduce Johnston to Made By Dyslexia, a charity promoting dyslexic thinking with which Branson has partnered to develop university courses. After a month of refreshing social media, Johnston finally saw Branson post about Tyypo this week, with sign-up numbers more than doubling in the first hour.

Tyypo is now close to launch. The venture has also secured a place on a Barclays Eagle Labs programme, designed to help early-stage start-ups fine-tune their products. “It’s an amazing step in our journey,” Johnston says. “We’re hugely grateful to Richard and everyone behind the Elevator of Dreams for giving us such a once-in-a-lifetime opportunity.”

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Dyslexic founder secures Branson’s backing with ‘Elevator of Dreams’ pitch

Barely one in ten aspiring first-time buyers can now purchase a home without family assistance, new research from Skipton Group reveals.

The owner of Connells estate agency calculates that only 11.5 per cent of potential homeowners are able to buy in their local area on their own income.

Skipton’s analysis of average incomes and house prices shows Ceredigion in west Wales as the UK’s least affordable region, with fewer than 3 per cent of locals able to afford a typical starter property. Wales dominated the least affordable list, largely because of what Skipton describes as “very low” average earnings rather than soaring property prices.

In London’s Square Mile, the City of London, 3.2 per cent of first-time buyers are able to climb onto the property ladder unassisted, with higher house prices offset somewhat by higher salaries. Meanwhile, the most affordable regions are almost all in Scotland, led by Aberdeen, where about a third of local prospective buyers can purchase unassisted. Manchester is the sole English location to make the top ten, at roughly 23 per cent.

With house values outstripping wages over the past decade, many younger buyers are increasingly dependent on family contributions – the so-called Bank of Mum and Dad. According to Legal & General, parents contributed £9.2 billion last year alone.

Skipton Group’s chief executive, Stuart Haire, warns the challenges are poised to intensify with the forthcoming stamp duty shake-up. From April, the threshold at which first-time buyers start paying stamp duty will revert from £425,000 to £300,000, potentially adding as much as £6,250 to overall purchase costs.

This will see the share of local authorities where stamp duty applies on a typical first-time home leap from 8 per cent to 32 per cent, according to Skipton. Haire is urging the government to keep the nil-rate band for first-time buyers at £425,000 and index it with inflation.

He also highlights a looming crisis for savers using Lifetime ISAs (Lisas), which currently allow tax-free savings for a property costing up to £450,000. Projections indicate that 10 per cent of first-time homes will exceed that limit by 2027, risking penalties for those who exceed the cap or wish to withdraw funds early. Haire is calling on the government to raise the Lisa price cap to £500,000 and reduce withdrawal penalties.

“Across the country we see first-time buyers doing all they can to afford a home of their own,” Haire says. “But monumental barriers stand in their way – barriers that can and should be removed.”

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First-time homeownership slips further out of reach without family assistance