Amjad Bseisu, CEO of Enquest, expressed concerns that the framework established by the Energy (Oil and Gas) Profits Levy is creating challenges for operators throughout the UK continental shelf.

He revealed that Enquest has invested over £4 billion in the UK and indicated that similar investments could follow if the regulatory environment improved. Bseisu also questioned the ability of the sector to retain skilled engineering talent, necessary for a successful transition to lower-carbon industries.

The energy profits levy, first introduced in 2022 by Boris Johnson’s administration and later expanded under Rishi Sunak’s leadership, includes plans from Chancellor Rachel Reeves to increase the levy’s main rate from 75 percent to 78 percent and extend its duration until March 2030.

Producers within the oil and gas sector are hopeful that Reeves will provide incentives during her upcoming budget presentation.

Bseisu stated, “The current fiscal regime is causing irreversible damage to an indigenous and strategically important UK industry. The UK energy sector requires a progressive tax regime that acknowledges the maturity of the North Sea and helps restore the UK as a competitive investment location on a global scale.”

“We’ve invested over £4 billion in the past and we can continue to invest that amount in the future if we have a conducive climate for investment, which we currently do not.”

Enquest, a significant independent player in the North Sea, operates the Sullom Voe terminal in Shetland. The company also has oil and gas projects in Malaysia and is exploring energy transition initiatives in the UK, focusing on hydrogen, wind, and carbon capture and storage.

In its latest financial report for the first half of the year, Enquest reported revenues of $586 million, down from $770 million in the previous period, attributing the decline to weaker gas prices and reduced output. The production levels were reported at 42,771 barrels of oil per day, consistent with market expectations, while the company maintained its full-year production forecast between 41,000 and 45,000 barrels daily.

The interim pre-tax profit was noted at $111.3 million, compared to $112.9 million a year earlier, with a tax charge of $34.1 million attributed to the energy profits levy in the first half of the year.

Bseisu confirmed that Enquest plans to direct more capital towards its Malaysian operations while considering a reduction in spending in the UK, even as plans for developments at the Bressay and Bentley sites remain under consideration.

He mentioned that the company is open to consolidation opportunities within UK waters, stating, “We’re still exploring selective investments in the UK if they are reasonable and if returns are still attractive. However, these opportunities are fewer now, as the more punitive tax system has narrowed our list of potential investments.”

“In the UK, we hope to enter a growth phase in the future when the government adopts a more favorable stance on investment and allowances. It is crucial to encourage companies to invest, rather than create disincentives.”

Enquest’s shares fell by 5.4 percent by the end of trading on Thursday.

Her approach involves purchasing former council homes or Victorian terraced houses requiring renovation and significantly increasing their value. While three years ago she paused her property acquisitions due to overpricing, she now perceives the market as turning favorable.

“Currently, it’s an excellent time to expand my portfolio,” said Edwards, 40, from Oswestry, Shropshire. “When many landlords are exiting the market, buying opportunities arise.”

Defying the general trend of landlords selling more houses than buying in the past eight years, Edwards continues to invest. There was a 44% drop in homes available for rent in Britain from May 2016 to the same month in 2021, as per estate agents Hamptons.

Forecasts predict the market will lose another 35,000 privately rented homes this year. The Office for National Statistics reported an 8.7% increase in rents in England over a year, with April’s average reaching £1,301 per month.

Aneisha Beveridge, head of research at Hamptons, noted that tax and regulatory changes have driven some landlords out and deterred new investors.

Rising mortgage costs have exacerbated the situation. Current remortgaging landlords face an average fixed rate of 5.3% for buy-to-lets, up from 3.5% in 2019, according to Moneyfacts.

Monthly repayments on a 25-year £250,000 mortgage have risen to about £1,500 from £1,250, which translates to an extra £3,000 annually. Though many landlords use interest-only mortgages, the higher costs mean many fail affordability tests crucial for obtaining a mortgage.

However, Paragon Bank research reveals that 37% of portfolio landlords (with four or more properties) aim to increase their holdings this year, driven by strong rental demand or retirement income plans. We spoke with three investors for their success strategies.

‘I seek the ideal tenant’

Edwards started her buy-to-let journey in 2021. Following her brother and father’s deaths from cancer two years earlier, resulting in debt from her father’s treatment, she needed financial stability. She left a communications job to manage the family construction business but found herself without a steady income.

“With £50,000 savings but no wage, I had to find a way to generate regular income,” said Edwards, whose daughter, Florence, is nine. “I researched property investment strategies online and consulted other investors.”

Edwards employs the BRRR strategy: buy, refurbish, refinance, and rent out. She targets undervalued run-down properties, spending up to £25,000 on renovations before letting them out.

By remortgaging at the newfound higher value, Edwards releases equity, recovering most of her deposit. She aims to boost a property’s value by 20% post-refurbishment.

Focusing on Shropshire towns and nearby Wrexham, Edwards purchased three properties using bridging finance and two more via buy-to-let mortgages and equity released from other properties. Her construction business developed the remaining properties with development loans.

Her latest buy-to-let is a £200,000 three-bedroom Victorian mid-terrace in Shropshire, intended for conversion into a five-bedroom house of multiple occupancy (HMO), expected to earn £2,500 monthly rent.

“Most of my tenants are immigrants on five-year work visas, which ensures long-term tenancy,” she said.

“Many work for the NHS and have undergone extensive background checks, making them ideal tenants who are keen on building good credit records. Despite their reliability, they often face rental challenges due to landlord prejudices.”

Generating about £5,000 monthly profit, Edwards attributes her career shift to buy-to-let for transforming her life, claiming it shows other women how to achieve financial independence.

‘I purchase properties others avoid’

Thomas Balogun, 41, from Essex, focuses on properties with significant structural issues, such as subsidence or roof problems, often available at discounted auction prices. “I seek those with substantially lower market value and enhance them significantly,” he explained.

Balogun sources multiple building firm quotes to estimate costs and includes budget for extensions for added rental value. He calculates potential profitability to ensure the project covers mortgage costs.

Rising borrowing costs pose a challenge, with landlords finding rents insufficient to cover new mortgage rates. Balogun typically starts with bridging loans, transitioning to standard mortgages within nine months after renovations that increase property value. Shawbrook Bank’s Daryl Norkett confirms this as a common portfolio expansion tactic among landlords.

‘I established a limited company to maximize profits’

Recent tax changes have complicated profit-making for landlords. Previously, buy-to-let owners could offset all mortgage interest against rental income before tax; now they can claim only 20% tax relief on finance costs.

Owning property through a limited company remains advantageous due to corporation tax liability replacing income tax, allowing full mortgage interest deduction before tax calculation. This also means easier affordability checks and larger loans from lenders.

According to Paragon Bank, the percentage of property purchases through limited companies surged from 4% in 2014 to 79% by 2023, reaching 82% this year.

Davinder Sanghera, 36, entered the buy-to-let scene in 2016 while working as a trader. Transitioning to a full-time landlord after professional training, she set up a limited company to benefit from favorable tax rules.

“All my HMOs are under the limited company,” Sanghera said. “Thus, I can deduct full mortgage interest from rental income before tax. This isn’t possible when properties are personally owned.”

Sanghera acquires affordable two and three-bedroom terraced houses in the West Midlands, often adding rooms by extending ground floors or lofts for HMO configurations, renting to individual tenants.

Living in south Manchester with her partner Chris Ribeiro, 34, and their four-month-old daughter Inaya, Sanghera’s seven properties used to earn £1,000 to £1,500 monthly post-tax. After mortgage rate increases on two homes, earnings have dropped to about £800 monthly.

Despite this, she plans to expand her portfolio in future years when parenting responsibilities ease.

Under the new guidelines set for consultation, first-class letters will still be delivered six days a week. Ofcom emphasized that there is considerable backing for the essential principles of universality, affordability, and uniform pricing.

A review conducted by Ofcom acknowledged that revisions to the current universal service obligation are necessary for the service to remain sustainable and dependable.

The suggested reforms echo proposals from Royal Mail, which was privatized in 2013 and is currently facing a £3.57 billion takeover bid. Royal Mail has urged Ofcom and the government to ease existing obligations, citing a “critical financial sustainability challenge.” Additionally, the postal service is preparing for another significant fine for missing delivery targets once again last year.

Martin Seidenberg, CEO of International Distribution Services, the parent company of Royal Mail, expressed support for Ofcom’s proposals, stating that adapting the universal service is essential for its survival. He highlighted a severe decline in letter volumes, dropping from 20 billion to 6.7 billion annually, leaving the average UK household receiving only four letters each week. He noted that while other countries have adjusted their universal service requirements to reflect this shift, the UK has not made similar changes.

Ofcom’s review garnered thousands of responses from various stakeholders, including consumer organizations, labor unions, and the postal sector. It was evident that there is widespread acknowledgment of changing habits regarding letter usage among individuals and businesses.

Affordability remains a pivotal concern for letter deliveries, prompting Ofcom to commit to maintaining affordable options for consumers based on a single price policy across the board.

While consumers desire a next-day delivery service available six days a week for urgent letters, it was recognized that most letters do not necessitate immediate dispatch.

These proposed adjustments may proceed without parliamentary intervention, with Ofcom planning a comprehensive consultation in early next year, followed by a final decision anticipated in the summer.

“We are exploring ways to stabilize the universal service in alignment with public needs,” stated Lindsey Fussell, Ofcom’s group director for networks and communications. “However, this will not exempt Royal Mail from the necessity of investing in its infrastructure, enhancing efficiency, and boosting service standards.”

The Carlsberg Marston’s Brewing Company revealed plans to shut down the historic Chapel Ash brewery, which has been operational since 1875, in autumn of the following year.

This decision follows Carlsberg Marston’s acquisition of the remaining shares in Marston’s for approximately £206 million in July, and is attributed to Mahou San Miguel’s choice not to renew its long-term exclusive licensing agreement, which expires in 2025, along with a steady decrease in cask ale consumption over recent years.

Ash Corbett-Collins, the chairman of Camra, stated: “In light of Carlsberg’s buyout of CMBC, effectively converting Marston’s brewing entity into a globally owned brand, we anticipated developments like this would arise sooner rather than later.”

He further commented: “We are, however, encouraged by the willingness of Carlsberg to consider offers for the site to continue brewing operations. It is essential that the brands produced by CMBC at Banks’s continue at the Marston’s brewery [in Burton], as their absence would significantly impact consumer choice and the diversity of British beer.”

This situation highlights the considerable challenges faced by global brewers due to rising beer taxes, energy costs, and raw material expenses. These challenges are particularly severe for independent brewers, who also contend with limited access to the pub market, underscoring the necessity for government support through the upcoming budget for the pub and brewing sectors.

In a statement, CMBC confirmed its commitment to assist the 97 employees affected by this restructuring plan at the Wolverhampton brewery.

As part of its restructuring strategy, CMBC intends to inject additional funds into its breweries located in Northampton and Burton, aiming to position Marston’s Brewery in Burton as a “national hub for craft beer and traditional ale production in the UK.”

CMBC plans to invest over £6 million in significant projects at its Burton brewery, including updates to its cask ale production line and the establishment of a new logistics depot in the Black Country area.

CMBC’s chief executive, Paul Davies, remarked: “This has been an exceptionally tough decision. However, it has become imperative to realign our business to sustain competitiveness in the current challenging UK beer market.”

He continued: “The harsh reality is, due to the existing conditions for ale and Mahou San Miguel’s decision to not extend its exclusive production and distribution contract with CMBC starting next year, we must address the significant excess capacity within our brewery network.”

Reflecting on his time in the special forces, where the quality of equipment often exceeded that of regular army gear, he questioned how high-priced jackets could feature subpar zippers.

Now, at 40, Stazicker has shifted gears from military service to spearheading ThruDark, an outdoorwear company he co-founded with fellow special forces veteran Louis Tinsley in 2016. Initially focused on enhancing military apparel quality, ThruDark has since blossomed into an impressive £13 million business, primarily selling high-performance clothing online for activities ranging from climbing to gym workouts.

Based in Poole, Dorset, ThruDark has seen nearly a 90 percent increase in turnover over the past three years, largely attributed to a dedicated customer base attracted to the founders’ elite military backgrounds. The popularity of Channel 4’s SAS: Who Dares Wins, a show highlighting ex-army officials training recruits, has notably boosted both the visibility of the brand and the special forces community.

“Our social media following exploded by 10,000 overnight after our gear was featured on the show,” says Stazicker, who also participated in the series in 2021.

The authenticity of the brand is apparent, with both founders having endured extreme conditions in environments such as jungles, deserts, and heavy snows. This firsthand experience informs their choices in materials and technologies suited for rigorous outdoor activities.

What began with cold-weather gear and bespoke mountain suits designed for subzero climates has now diversified into skiwear and fashionable athletic clothing, produced in Italy, Vietnam, and Eastern Europe. With customers predominantly aged 30 to 40, who are willing to invest up to £1,000 for quality outerwear, it signals a sustained shift in outdoor apparel towards a more upscale market.

According to McKinsey’s 2024 State of Fashion report, outdoor apparel revenues surged 24 percent in 2022 compared to pre-pandemic levels. This trend is echoed by UK retailer Mountain Warehouse, which reported record revenues of £386 million last year, marking its highest earnings in a 27-year history.

While the journey from special forces to a thriving clothing brand is rare, the foundation of ThruDark reflects a strong vision and determination amid past skepticism from peers.

“Leaving the military on my own terms was crucial for a smooth transition to civilian life,” shares Stazicker, who notes the challenges faced by many veterans in securing stable livelihoods post-service. Teaming up with a trusted partner has been instrumental in navigating this new venture.

Though the duo initially lacked business experience, their military-acquired skills—such as meticulous planning and effective leadership—have served them well in the business realm. They approach their new roles like ascending the ranks in the armed forces, engaging in everything from mastering spreadsheets to overseeing product packaging.

Adapting from the military’s intense feedback culture has been a learning curve, requiring Stazicker to foster greater empathy and understanding with his 40-member team.

“In special forces, the emotional investment and camaraderie are paramount, but translating that to a business context presents its own challenges. Finding dedicated team members is critical,” he explains.

The support of the Poole-based Clark investment group, introduced in 2017, proved pivotal, providing necessary funding and mentorship for early-stage development.

With a strategy targeting the burgeoning American market—projected to be worth $10.5 billion in 2023—ThruDark aims to grow significantly, leveraging social media influencers and Stazicker’s military connections.

Despite rapid expansion and prospects for future growth, caution guides plans for retail presence, currently limited to a small footprint in Selfridges and at ThruDark’s headquarters in Poole.

“Navigating the high street remains challenging, especially as growth amplifies responsibilities and cash flow considerations,” Stazicker notes. “Ultimately, it boils down to problem-solving, a skill we are accustomed to honing.”

ThruDark has achieved recognition as the No 61 company on The Sunday Times 100 list for 2024, highlighting Britain’s fastest-growing private enterprises.

Associated British Foods announced that its pre-tax profits surged to £1.91 billion, a notable rise from £1.34 billion, for the year ending September 14. The company’s adjusted operating profit, a key performance metric, also saw an increase to nearly £2 billion, up from £1.51 billion in the previous year.

Revenues for the FTSE 100 company climbed by 2% to £20 billion, compared to £19.75 billion last year. This growth was fueled by a strong performance in its grocery division, along with the solid results from its Primark clothing operations, despite a downturn in its sugar sector.

The company announced a special dividend of 27p per share in addition to a final dividend of 42.3p per share. Furthermore, it plans to return an extra £500 million to shareholders over the next year.

Chief Executive George Weston remarked, “This year showcased exceptional financial and operational advancements across the group. We realized significant profit enhancements, impressive cash flow, and strong returns stemming from ongoing investments and a return to more stable market and supply chain conditions.”

ABF, overseen by the wealthy Weston family, operates in 55 nations and employs around 133,000 individuals. In addition to Primark, it produces well-known items such as Twinings Tea, Kingsmill bread, and Ryvita crackers.

In terms of profit contribution, the sugar division is approximately 20% the size of Primark. The discount fashion retailer, with around 440 locations globally, generates about two-thirds of ABF’s overall profits.

Grocery sales increased by 4% over the past year, while Primark’s sales rose by 6%, attributed to robust performance in the US, France, Spain, Italy, and Central and Eastern Europe, as well as growth in the UK, which remains its largest market.

Discussing Primark’s performance, Weston stated, “Our low-cost model continues to thrive as we sustain our unwavering commitment to providing high-quality, affordable clothing and a distinctive shopping experience.”

ABF indicated that it anticipates its store expansion strategy will contribute approximately 4% to 5% annually to Primark’s total sales growth in the foreseeable future.

The company highlighted on Tuesday that falling sugar prices in Europe during the fourth quarter are expected to significantly affect performance in its sugar division in 2025, projecting adjusted operating profits for this segment to fall between £50 million and £75 million.

In September, the company had already cautioned that dropping sugar prices in Europe would have a pronounced impact on its upcoming financial performance.

ABF projects that profitability will rebound in 2026, aligning closer to 2024 levels due to lower contracted beet prices and a “rebalancing” of market supply and demand.

Shares of ABF increased by 62p, or 2.7%, to reach £23.51.

The TTF claims that statements made during the meeting were “factually inaccurate” and criticized the format of the public meeting, which did not allow for real-time questioning of FCA officials. The event was held digitally, with all external questions pre-selected and relayed by Alder.

This forceful communication has also been shared with Tulip Siddiq, the Treasury minister overseeing financial matters, and Dame Meg Hillier, the recently appointed chair of the Commons Treasury select committee.

During the meeting, FCA representatives, including Rathi and deputy chairman Richard Lloyd, suggested that parliament mandated the implementation of the “consumer duty.” However, the TTF argued that legislators had originally recommended a more stringent “duty of care” for the financial industry, branding the FCA’s assertions as misleading.

The TTF has called for the FCA to clarify its statements publicly to ensure accurate representation of the facts.

TTF founder Andy Agathangelou emphasized the importance of accountability during the meeting, stating, “It is unacceptable that no one was able to challenge the assertions made. The narrative regarding the consumer duty was particularly misleading, as it implies parliamentary involvement that was not accurate. Politicians had instructed the FCA to engage on a duty of care—a concept that carries specific legal implications and is distinctly different from what the FCA proposed.”

This critique emerges during a challenging period for Alder, who was recently found to have violated internal protocols related to whistleblower confidentiality. Following an investigation led by Lloyd, it was determined that while Alder did not adhere strictly to the rules, his actions were deemed “reasonable” under the circumstances.

Agathangelou holds additional roles as chairman of the All Party Parliamentary Group on Investment Fraud and Fairer Financial Services and as co-founder of an organization for investors affected by the Woodford scandal.

While acknowledging the necessity of online meetings during the COVID-19 pandemic, Agathangelou advocated for a return to in-person or hybrid formats as normalcy resumes. He asserted that having an engaged audience present facilitates immediate questioning of contentious statements, which could have rectified the misleading claims regarding the consumer duty.

In his correspondence, Agathangelou referenced critical comments from a recent article in The Times that described the online meeting as overly managed.

In response to the backlash, an FCA spokesperson stated: “After thorough consultation, we implemented the Consumer Duty, which establishes a general duty of care. We stand by our assurance that it fulfills the expectations set by parliament.”

Sources indicated that regulatory provisions allowed for consultation on alternatives to a duty of care, a detail not included in the TTF’s letter.

However, focusing solely on numbers can make us forget that homes are more than financial assets; they are where we live and build our lives. Our homes are integral parts of communities, places where we have friends, familiar shops, our GP, and even parks we frequent.

Despite this, surveys such as the one from Rightmove emphasize the financial perks of downsizing. The property portal highlighted that homeowners with five-bedroom houses could gain nearly half a million pounds by moving to a three-bedroom property.

The push to persuade the older generation to vacate their larger homes isn’t a recent trend.

Messages like, “You’re old; soon those stairs will be challenging,” or “You’re in a coveted school district; make way for families desperate for a spot,” target the elderly.

Yet, older individuals are not merely financial opportunities, nor is downsizing just about money. The value of a home encompasses more than monetary aspects, and the fear of leaving a beloved area can be a significant deterrent.

The charity Intergenerational Foundation found that 23 percent of people surveyed didn’t downsize because they were too attached to their local area. This is understandable, especially as community ties become more crucial with age and increased time spent at home.

Contrary to popular belief, more space can become more critical as people age. For couples, more room may be necessary to ensure personal space, especially when spending more time together at home post-retirement. Furthermore, having extra rooms could be important for hosting visiting grandchildren.

Data from the 2021 national census show that three-bedroom homes make up 40.4 percent of housing stock. The Intergenerational Foundation notes that many pensioners prefer to keep their three-bedroom homes.

Moreover, the cost of moving, stamp duty, and finding a suitable new property can make downsizing akin to finding a needle in a haystack.

To genuinely encourage pensioners to downsize, we need to understand both the motivations behind it and the reasons people choose to stay in larger homes. Elderly individuals should not feel pressured to move merely to make space for younger generations. Living in a community where one feels a sense of belonging is invaluable, and no one should be compelled to give that up.

Siemens Energy’s UK head, overseeing more than half of Britain’s offshore wind turbines, urges the government to commit to multi-year support for new wind projects instead of annual contracts.

Currently, developers compete yearly for contracts, securing a guaranteed maximum price for the energy they will generate. This year’s auction budget for such projects stands at a record £800 million.

“If we aim to quadruple offshore wind, we need predictable support to plan necessary domestic enhancements for such growth,” said Darren Davidson, CEO of Siemens Energy UK and Ireland.

Labour aims to quadruple offshore wind capacity, double onshore projects, and triple solar power by 2030.

Siemens Energy’s Hull facility, the UK’s lone offshore wind turbine blade manufacturer, employs approximately 1,300 people. Although the UK ranks second to China in offshore wind capacity, many wind turbine components are produced abroad.

In 2022, GE Vernova, another significant player supplying the world’s largest wind farm at Dogger Bank, scrapped plans for a blade factory in northeast England due to no new orders from the year’s capacity auction.

Davidson, 51, indicates that clearer multi-year government support could mitigate supply chain issues and prompt more UK-based manufacturing facilities.

“Achieving our set megawatt targets in the North Sea sustainably over the long term requires a stable supply chain and reliable resources,” Davidson added.

The Department for Energy and Net Zero stated: “The government aims to position Britain as a clean energy powerhouse, ending the onshore wind ban, backing solar, and supporting diverse clean power initiatives for 2030.

“Our current contracts-for-difference funding exceeds £1 billion, including £800 million for offshore wind projects. We are evaluating applications, and the secretary of state will consider increasing the budget.”