If you run operations across multiple jurisdictions you may need to invest in the support of an experienced tech companies that can help you connect the dots.

Steven Smith, Europe Proposition Lead, Corporates, at Thomson Reuters, looks at the challenges that businesses face in being tax compliant across indirect tax, corporate tax returns and year-end accounts across multiple jurisdictions. 

Governments around the world are rapidly moving away from the established ‘old’ standard of gathering taxpayers’ information. These changes are not uniform and vary from country to country, with, for example, Spain requesting invoice details every four days, Hungary demanding them at the point of invoicing, and Italy adopting a clearance model (with Greece following suit in 2020).

Fraud and tax avoidance are the driving forces behind governments refining tax processes. By adding transparency to the invoicing process, tax authorities can quickly identify where one party or another may be cheating the system. In countries, such as India, goods and services taxes (GST) have been introduced, which enable authorities to see both sides of a transaction. China has also introduced a very similar process. It really boils down to compliance and data. If a multinational organisation is striving to comply across different jurisdictions, it must be sure that its data is correct, even before an invoice is raised. Are the buyer details correct? Does the invoice meet the criteria to calculate the correct VAT liability? All of this data needs to be present before the finance department starts raising invoices.

Tax avoidance in the UK is not on the same scale when compared to countries like Brazil and Poland. Indeed, HMRC believes that UK corporate taxpayers are far more compliant and as a result it is very unlikely to introduce intrusive reporting such as Security Industry Association (SIA), however, there is still a gap that needs to be filled so initiatives such as Making Tax Digital (MTD) are only the start of more detailed information requests.

But meeting MTD in the UK is just one thing. It’s a very different story for multinationals. Many are firefighting and taking a ‘sticking plaster’ approach to help meet the myriad of tax requirements across different territories. They tend to focus on one particular country at a time, and that focus is driven by audits. And then once that requirement has been met, they simply switch their ‘firefighting’ mode to the next country and wherever the greater risk for non-compliance rests. However, they’re missing a huge opportunity by taking this case-by-case approach rather than looking at the entire organisation’s global footprint.

Meeting MTD in the UK is just one thing. It’s a very different story for multinationals. Many are firefighting and taking a ‘sticking plaster’ approach to help meet the myriad of tax requirements across different territories.

The sticking plaster approach of hopping from one country audit to the next has left a huge mess and many organisations are now in the position where they could be much smarter in the way they store and utilise their tax data. Organisations need to review how much business they’re doing country by country and prioritise by compliance risks. Now is the time to clean up and identify and rectify problem areas before the authorities come calling.

No company is the same and so it is difficult for businesses to know which country to concentrate their efforts on at a particular time. What they can do though is connect the tax dots. By working with a technology partner that operates across multiple jurisdictions and by prioritising countries, organisations can work to meet immediate requirements and add other countries as they come onboard. Working with one partner to meet these requirements means there’s no need to repeatedly hire new people, partners or add different processes as all the tools are available in one place.

Connecting the dots isn’t just about working more effectively across multiple countries though. It’s also about how invoices and indirect tax relates to the company’s corporate tax position, about corporate pricing arrangements and corporate income tax. And it’s about connecting all that internal information and driving greater collaboration across the tax and finance departments so that all parties have a clearer view of the organisation’s financial position.

MTD is just a tiny piece of the indirect tax puzzle, yet keeping records digitally will not only help to ensure a business is compliant but will also provide far greater insight into operations. Global businesses will always have more important, more urgent things to focus on, but they’d be mistaken to ignore the opportunity digital tax has to offer the business, as well as the tax authorities.

New research analysed by savings and mortgage provider Nottingham Building Society, known as The Nottingham, ranked regions on saving habits and total savings in order to discover the most savings-savvy locations in the UK.

The HMRC data revealed that people in the South East of England are the biggest savers, with a healthy average of £32,984 in their ISAs - over £5,000 more than the national average ISA market value of £27,606.

London has the second highest ISA average of £30,624, despite the high cost of living within the capital, closely followed by the South West, with average ISA savings of £29,397.

The region with the least saved in their ISAs is the North East with £21,749, followed by Northern Ireland (£23,028) and Wales (£23,295).

The top UK regions with the most amount of ISA savings on average are:

1. South East (£32,984)
2. London (£30,624)
3. South West (£29,397)
4. East of England (£29,364)
5. Scotland (£28,044)
6. West Midlands (£25,220)
7. North West and Merseyside (£24,630)
8. East Midlands (£24,517)
9. Yorkshire and the Humber (£24,368)
10. Wales (£23,295)

Further research from a study of nearly 175,000 UK residents, conducted through YouGov Profiles, has revealed Brits’ top reasons for saving. Over a third (34%) of people are saving for travel or holidays, while more than a quarter (28%) say they’re saving for a rainy day. Retirement was the third most popular life event to save for, with a fifth (20%) saving for our golden years, while one in seven (14%) are saving for a house deposit.

Jenna McKenzie-Day, Senior Savings Manager at The Nottingham said: “Twenty years after its launch, it’s great to see so many savers making the most of their tax-free allowance with an ISA.  To those that haven’t yet started saving, these average amounts may seem high and hard to achieve but the sooner you can start, the better.  Our savers are always sharing their tips and sometimes small changes can be a great place to start building your savings habit. The most popular tip is keeping a money diary to keep track of your finances and see where savings can be made. By writing everything down, it becomes clear where any unnecessary outgoings are happening.

“Another great first step is opening a savings account. Whether it’s a holiday or a home you’re saving for, it is important you choose the right account for your goal. Our customer data has shown that Starter ISAs and Easy Access ISAs have proven popular so far this year, as they made up 81% of all ISA accounts opened in April 2019. Furthermore, our LISA has been our fastest growing product for first-time buyers with seven times more people opening a LISA compared to its closest equivalent, the soon to be redundant Help to Buy ISA.”

The financial crash of 2008 created a huge amount of mistrust toward big banks and FinTech entrepreneurs have taken advantage of that. The disintermediation of banks from areas such as travel money has given rise to a new kind of financial service firm, an area set to carry on this trend. There are some brilliant ideas in FinTech and the problems they solve are widely unrelated to Brexit, meaning that investment is likely to continue to grow.

In much the same way as FinTech came from the financial crash, existing sectors will be disrupted, and new ones created to tackle problems that arise. Many FinTech innovations were born from a lack of trust of banks and traditional sources of financial services. Since 2008, over 200 FinTech companies have been founded in the UK alone, with seven of these going on to reach a billion-dollar valuation or a ‘Unicorn’ status.

Unicorns refer to start-ups that have reached what many perceive to be the holy grail of a $1billion valuation. In terms of producing these companies, the UK is the third best place in the world behind only the US and China. In 2018, 13 companies reached this valuation in the UK, bringing the total number to 72. Many of these companies are FinTechs born of the financial crash. It seems likely that in a few years’ time we may be discussing an even greater number of companies reaching this milestone with a contribution from new and growing sectors.

With Brexit, there are going to be more problems to solve, and entrepreneurs are going to come along and innovate.

The first sector that looks set to benefit is regulation and regulation technology. With Brexit, there are going to be more problems to solve, and entrepreneurs are going to come along and innovate. Everything will get more complicated with import and export, say, and some smart man or woman will come along and solve it. RegTech has already been impacted – perhaps indirectly – by the financial crash, as an increased amount of regulation and legislation led to the birth of many innovative solutions to keep financial services at such a high pace.

Since this time, it is clear to see the rise of this sector within financial services, with over 300 companies working with Financial Services firms in a variety of sectors. Each of these dealing with a specific problem that is ever evolving and often becoming more complex.

Regulatory Reporting is one such example, it enables automated data distribution and regulatory reporting through big data analytics, real-time reporting and the cloud. Many financial organisations have expressed frustration with the high level of redundancy, dependence on manual processes, and opacity of their regulatory reporting processes. This is a critical activity for financial institutions and without tech solutions would require a concerted effort from a range of departments including, risk, finance, and IT.

Risk Management detects compliance and regulatory risks, assesses risk exposure and anticipates future threats. There are over 45 companies specialising in this already and with so much uncharted territory around leaving the EU, this looks to be a potentially important field in the next few years. One of the most important things businesses can do is to properly understand and calculate risk, take too few and growth will stall, take too many and you may be overexposed.

Compliance is the largest RegTech sector with a large scope and responsibility.

Identity Management & Control facilitates counterparty due diligence and Know Your Customer (KYC) procedures. Alongside Anti Money Laundering (AML) and anti-fraud screening and detection. Identity management is the second biggest sector in terms of the number of firms and is hugely important in a wide range of ways especially when growing and taking on new customers and clients.

Compliance pertains to real-time monitoring and tracking of the current state of compliance and upcoming regulations. Compliance is the largest RegTech sector with a large scope and responsibility. Companies from this sector are charged with meeting key regulatory objectives to protect investors and ensure that markets are fair, efficient and transparent. They also seek to reduce system risk and financial crime. As regulations change when we do leave the EU, this will likely be one of the key sectors to face some of the challenges that arise.

Transaction Monitoring provides solutions for real-time transaction monitoring and auditing. It also includes leveraging the benefits of distributed ledger through Blockchain technology and cryptocurrency. Even apart from Brexit, cryptocurrency and Blockchain tech looks to be a sector of huge growth in the next few years, regulating that in the context of traditional financial service providers will be of significant importance.

For all of these sectors, it is likely that changes to legislation and procedures after Brexit will have a profound effect on what is required by firms in order to stay compliant, potentially creating a huge number of problems that will have to be dealt with in one way or another.

You just have to reverse engineer all the problems that are going to be thrown up by Brexit and then you’ve got investment opportunities. Here’s a problem, let’s find an opportunity.

Wherever’s there’s huge problems and disasters, there’s always going to be an entrepreneur who comes along and will find a solution. From my perspective, that’s exciting because these new crunch points provide opportunity and employment. I set up IW Capital in a recession after a stock market crash, and WeSwap was set up because the market was falling to pieces. What actually happened was the birth of the FinTech sector. Opportunity comes out of a crisis.

Philip Hammond says that the UK fintech industry is currently worth £7 billion, employing more than 60,000 people. These massive, tech-driven disruptions are proof that fintech has finally emerged as a mainstream industry. Not only that, but these changes have also created numerous new trends that will benefit both businesses and consumers. Here are some to watch out for this year that will affect the financial industry:

Voice technology will grow in banking

Consumers can already operate a handful of things by voice, including music, TV, GPS, and even home security. Currently, banking is slowly catching up in order to improve customer service and prevent fraud. HSBC have reportedly saved £300 million in fraud through voice biometrics. Customers repeat a phrase after giving the bank their details over the phone in order to provide an extra level of security. Expect more banks to follow suit this year and for voice biometrics to become even more widely used.

Faster payment processing

Bloomberg reports that customers can expect banks to speed up checkout lines through a wider adoption of contactless cards. Payment Relationship Management CEO Peter Gordon said large banks do not want to be displaced so they’ll do what they can to be more efficient. In Singapore, they opened their first real-time and round-the-clock payment system called FAST. Singapore Minister for Education Ong Ye Kung talked about it at the launch of SGQR, Singapore’s single and standardised QR code for e-payment. "We will allow non-bank players to have direct access to FAST. This is to enable their e-wallets to bring greater convenience to consumers," he said. Expect e-wallets to become more widely used this year.

Blockchain-powered freelance market

The global recession along with the advancements in technology has led businesses to embrace alternative work arrangements particularly for freelancing, which is becoming increasing popular in the finance industry. In fact, the world’s first blockchain-powered freelance market has already been launched in the UK. The Fintech Times highlights how the marketplace gives employers instant access to a talent pool of freelancers. Work and skills are continuously validated and recorded, and the platform allows freelancers to create smart contracts, which ensures they get paid on time. This brings transparency and fairness to the gig economy. And Yoss explains how the current state of freelance recruitment now includes “highly rigorous skills validation and qualification tests,” as the demand for specialists in areas such as AI increases. The blockchain platform will allow companies to find freelancers based on the quality of their work rather than the quantity, which will benefit both businesses and those looking for jobs.

Alternative Finance for SMEs

Resesarch by American Express found that 30% of SMEs find it difficult to access the finance they need, despite the fact that 68% think cash flow is important to their business. In the UK an increasing number of SMEs are moving away from traditional financial avenues like bank loans. This has led to a 13% increase in the use of peer-to-peer lending in the past 12-months. Peer-to-peer collaboration is a much more streamlined way for SMEs to access financial support. For instance, micro-lenders mainly operate online, which helps reduce overhead costs and takes out the middleman.

Chatbots and robots

Apart from speeding up transaction times, fintech is also revolutionising customer service through chatbots and AI. Today’s chatbots are already able to not only understand what the customer needs but also the entire context of the conversation. This will help reduce the amount of time customers spend waiting for answers or on being hold. The technology will also mean that banking apps will become the primary form of communication between customers and their banks in the future. This will reduce costs and allow for a more streamlined service.

The finance industry is not only opening doors to faster transactions and better customer service, but it’s also creating more opportunities to work in a fast-evolving and lucrative industry. Chris Renardson points out that if anyone wants to make it in the industry, it takes more than technical and numerical know-how. So follow the above trends to stay ahead of the competition.

Oxford Economics recently published research titled “the big business of small business”, which states bank lending to SMEs has fallen 3% since 2015. This is in the face of a rise in credit provisions to large companies of 43%. The report states that SMEs are being given the ‘cold shoulder’ resulting in an impact on recovery against small businesses.

Sam Moore, Managing Director of Oxford Economics, says the findings of the research offer a “stark reminder” of “the uphill challenges which small businesses face when dealing with the traditional banking sector”. Although SMEs are responsible for half of all employment in industrialised countries and 50-60% of GDP, the focus of banks is still on loaning primarily to larger firms. A primary factor for this is the “lingering effect” of the financial crisis ten years ago, with the impact it had on the small business lending market still being prominent today.

Why is the merchant cash advance rising in popularity?

The way consumers access their money and choose financial products has changed drastically due to technology continuing to advance at an incredibly fast pace. Oxford Economics state that it is estimated a third of all digital consumers now use a form of FinTech (Financial technology). This ranges from apps which allow you to take a loan out, online banking or invest in stocks and shares, among other things.

Small businesses, due to the poor treatment they are receiving from banks, are also beginning to get on board with FinTech. As the financial services landscape changes due to a number of innovations within the sector, the reliance on traditional banks has fallen substantially in favour of a FinTech solution.

How does a merchant cash advance work?

A merchant cash advance - or MCA - is a form of alternative business finance for small firms and sole traders. Whereas traditional bank loans require borrowers to pay back a set amount of funds on set dates over time, a merchant cash advance – also known as a business cash advance – works on a rather different basis, with the amount repaid at any one time proportional to turnover. That’s because it’s a form of finance based on a company’s credit or debit card transactions.

Given the difficulty of obtaining a traditional bank loan for many businesses, it’s understandable that a great number turn to this innovative source of finance.

What advantages are there to a merchant cash advance?

There are many advantages to a merchant cash advance. For instance, during busier periods when a business is making more money, more of the MCA will automatically be paid back, compared to leaner times when it won’t pay so much. With an MCA, there’s also no need to worry about keeping a certain amount of money to one side to pay on a set date - it really is a flexible, scalable and manageable form of business finance

With high approval rates, approvals within as little as 24 hours, zero APR, no fixed term, no other hidden charges and no need to provide security or a business plan, merchant cash advances are becoming an ever-more invaluable part of many firms’ cash-flow management.

An MCA also frees you up to use another type of finance alongside it, such as a bank loan or equipment lease, in the knowledge that the MCA won’t imperil your entire financial future in the way that other loans can if you are unable to keep up with the repayments.

Given such wide-ranging advantages as the above, it’s no surprise that so many firms that may otherwise struggle to obtain finance – especially those in the leisure sector, such as bars, restaurants, clubs and shops – are increasingly deciding to use their future credit card receipts as a means of securing quick funding through an MCA.

Letting agents are great in that they manage the trickier and lengthier aspects of tenancies which landlords typically dislike. With that said, finding one which best suits you and your needs can be tricky, CIA Landlord Insurance has put together a handy guide which may assist in laying out the basics.

Who is likely to benefit from using a letting agent?

Typically, landlords who benefit from the use of a letting agent are those who have a large number of properties to manage. Also, landlords do not always live close to the property they are renting out, so a letting agent close to the property may prove wise in order to keep tabs on their tenancies.

Letting agents work well for inexperienced landlords, where they can be utilised for some added security and support. It is highly important landlords are up to date on relevant regulations and legislation, therefore if you are not or you do not feel comfortable in this department, it is most-definitely worthwhile using a letting agent.

What services do letting agents provide?

There are varying levels of service which letting agents provide, from a ‘let-only or ‘tenant-find’ service for example, through to the more comprehensive ‘fully managed’ service.

A ‘let-only’ and ‘full management’ service are typically the two main categories which a letting agent will provide.

A ‘let-only’ and ‘full management’ service are typically the two main categories which a letting agent will provide.

With a ‘let-only’ service, the letting agent takes responsibility for things such as providing rental assessments to give you a better understanding of what you can realistically charge, conduct viewings on your behalf and acquire references from tenants. What can also be expected from this level of service is a tenancy agreement to be provided, credit checks performed and the tenants first payment be taken by them.

A full management service, on the other hand, will incorporate all of the aforementioned elements but you can expect the letting agent to take responsibility for the day-to-day management, too. If for instance, a tenant locks themselves out of the property or there is a boiler fault, the letting agent will arrange for one of its approved contractors to resolve the issue.

What is the cost of a letting agent?

The cost of a letting agent greatly differs depending on factors such as the location and size of your property. As it is a highly competitive market, there is always the prospect of negotiation to get yourself a better deal, so long as you are prepared to haggle. Request a price from a number of sources in your locality, and begin negotiations from there.

If a small independent letting agent is hired, then for a ‘let-only’ service you may be fortunate enough to pay as little as a couple of hundred pounds for the service. However, the likelihood is you will pay the equivalent to a months rent + an annual tenancy renewal fee.

It is important to note, from June 1st 2019 landlords or letting agents are no longer able to charge these fees to tenants. This means that (some) letting agents have been offsetting this loss onto the landlords (therefore paying double what would originally be paid for the renewal fees).

A full management service will typically be a 12-month deal with fees starting at around 12% and can rise to as much as 20% depending on location. If you come across prices lower than this, it may be wise to avoid them for reasons of service quality.

A full management service will typically be a 12-month deal with fees starting at around 12% and can rise to as much as 20% depending on location. If you come across prices lower than this, it may be wise to avoid them for reasons of service quality.

Should I use a letting agent?

With a wealth of information at our fingertips, it may seem lucrative to consider a ‘DIY’ approach for conducting a letting agent’s traditional duties. With plenty of research, it is possible you can do it yourself. Only go down this road if you feel confident in yourself to abide by the relevant regulations and legislation.

One thing to consider if you do decide to use a letting agent, check to see if they are registered with an industry body or trade association. These include the Association of Residential Letting Agents (ARLA), National Approved Lettings Scheme (NALS) and UK Association of Accredited Letting Agents (UKALA) as the main bodies whereby the letting agents have to adhere to certain standards in order to become a member.

The idea of being a landlord is great, but the reality, for the most part, is it is not an easy task. Taking control of all of your own property management may prove extremely difficult depending on the size and number of property’s you own, and the nature of your tenants. You may have the best intentions of delivering everything all of your tenants require but sometimes this may not end up as being the case. If dealing with unhappy tenants is your idea of a nightmare, letting agents will do this for you.

In accordance with your own circumstances and requirements, only you as a landlord can make the decision but by keeping yourself well informed on all aspects discussed in this guide, to begin with, you can improve your chances of making the best possible choice for you.

However, despite propaganda and horror stories surrounding the housing market in the UK, and the question of how Brexit will affect this, there are actually a lot of positives to buying in the UK at the present. It may well be the case, that now is in fact the perfect time to buy a house in the UK, and here’s why.

Population Levels

A recent census actually showed that the population has grown by a record of 7% in the last decade to just over 68 million people. That’s almost the equivalent of adding the entire city of Manchester to the UK every year. In the next twenty or so years, the number of UK houses needed is expected to reach the sum of at least 28 million, which is an increase of 250, 000 households per year. With rapidly growing numbers like this and the demand for houses growing, why wouldn’t you invest in a property? Not only this, but cities such as Birmingham, Manchester and Leeds are flourishing like never before. London no longer has the monopoly, as many places up North are regenerating. Birmingham alone has gone through a complete transformation, costing over £500 million in development.

Low Prices

Housing prices are at an all time low, meaning it can only go up from here, so why wouldn’t you buy them now in order to make money on them later? It’s a very rare combination: the

weak pound, low interest rates and falling property prices. Because of these elements, borrowing is cheaper than ever, and mortgage rates are at an all time low. This increases the amount of money landlords can charge for rent, thus making their monthly rental income higher than ever before. Therefore investing a buy to let property in the UK at present could make you a lot of money in the long run.

Other Positives

Of course there are further positives to investing in a UK property:

• Studies show that the UK is actually the top European city for property investment, despite political Imagine how much it will boom when Brexit is (finally!) concluded.
• For investors, thanks to the internet and a growth in the alternative methods of sale to the traditional, such as quick sale investors, for example here. This is a great option in case investors end up looking for a quick cash sale, or alternatively look to make a purchase of the
• If statistics are indeed correct, it’s set that at least 20% of the population will be looking to rent their home rather than buy them in the next five If this is the case, then now would be the perfect time to invest in a buy-to-let property. Imagine the money you could make in the future - not bad for the pension pot. Sometimes an investment now is worth the reward you’ll get in the future.
• In the world, out of the top universities, sixteen are actually in the
• In regards to the growth in population, mathematically there are actually too few houses for the amount of people in the country now, and by how much that’s set to grow. Because the demand outweighs the current supply, investors who have exposure to property as an asset are likely to be able to regenerate a return from
• The rise in employment levels in the country is also another reason for investors to buy. By the end of 2017, 75.3% of people in the UK were then employed, as opposed to the 5% the previous year. 2017 showed the joint highest number since records began in 1971. To make this more useful, in numbers it means that roughly 415,000 more people were employed since 2016.

In short, these are only a small amount of the reasons why it’s worth investing in the UK now, and why in fact it’s the perfect time to buy property in this country. Regardless of your purpose, whether you’re looking to become a landlord or wanting to buy your own home, looking at prices and statistics now is the ideal time. So what are you waiting for

The comments come ahead of the recent TV debate between Boris Johnson and his rivals to be the next leader of the Conservative party and British Prime Minister.

Mr Johnson has been publicly open about a no-deal Brexit, which has weighed heavily on the pound.

The deVere CEO’s observation also comes at a time as Bitcoin, the world’s largest cryptocurrency, hit a 13-month price high on Sunday above $9,300, with predictions of the next crypto bull run making headlines.  Bitcoin prices have soared more than 200 per cent over the last several months.

Mr Green comments: “It looks almost certain that Boris Johnson will be Britain’s next Prime Minister.  His vow to leave the EU in October — deal or no-deal — has prompted a decline in the value of the pound.  

“Sterling has lost almost 5% of its value against the US dollar since the start of May.  Similarly, it continues six straight weeks of falls against the euro.

“As Mr Johnson’s campaign moves up a gear – as it moves into the next phase to win over the party’s grassroots – we can expect him to also up his hard Brexit rhetoric and this will likely drive sterling even lower.”

He continues: “We are already seeing that UK and international investors in UK assets are responding to the Brexit-fuelled uncertainties by considering removing their wealth from the UK.

“One such way that many are looking to diversify their portfolios and hedge against legitimate risks posed by Brexit is by investing in crypto assets, such as Bitcoin.

“Crypto assets are often used around the world as alternatives to mitigate geopolitical threats to investment portfolios.”

He goes on to add: “The no-deal Brexit issue might be the catalyst for new investors in this way, but they are likely, too, to be aware that many established indicators and analysts are pointing towards a currently new crypto bull run. 

“As such, they might think this is now the time to jump into cryptocurrencies - which are almost universally regarded as the future of money.”

In May this year, deVere carried out a global survey that found that more than two-thirds of HNWs - classified in this context as having more than £1m (or equivalent) in investable assets - will be invested in cryptocurrencies in the next three years.

The poll found that 68% of participants are now already invested in or will make investments in cryptocurrencies before the end of 2022.

Of the survey’s findings, Nigel Green commented at the time: “Crypto is to money what Amazon was to retail.  Those surveyed clearly will not want to be the last one on the boat.”

The deVere CEO concludes: “As Boris and Brexit continue to dominate the agenda, Bitcoin and the wider cryptocurrency sector could experience a boost as investors seek to protect – and build – their wealth by hedging against the geopolitical risks they pose.”

(Source: deVere Group)

The analysis also found that, out of the 10 most common names on the executive boards, the first female name, Sarah, only comes in 10th and none of the boards have more women than men.

An online employee referral recruitment platform has analysed data from the top 25 accountancy firms in the UK and discovered that women make up just a quarter of the executive boards, however statistics show that women made up 44% of full-time accountants in the UK in 2014.

The research was conducted by Real Links, a platform that allows UK business owners and HR teams to access a potential talent pool of hundreds of thousands of employee referral candidates and creates anonymised profiles, ensuring there’s no unconscious bias when choosing candidates.

Real Links also discovered that only two of the top 25 firms boards are nearly equal in the gender split and a further six boards were only one third women. Four executive boards had no women on them at all.

When studying the data further, Real Links found that, out of the 10 most common names on the executive boards, Mark, David and Andrew are the three most common and the first female name, Sarah, only comes in at the 10^th spot. Furthermore, out of the top 20 most common names, only two female names appeared.

Sam Davies, CEO and Co-Founder of Real Links, said: “While statistics show that the accounting industry has a relatively even split between men and women, it seems women are still struggling to climb to the top of their firms.

“The statistics we discovered were shocking and show that inequality is still prevalent in the industry. Despite targets and policies designed to encourage more women into senior roles, progress has been slow. The recent gender gap reporting has shown that parity is still a long way off, so at Real Links, we think that employers need to consider anonymising recruitment to ensure candidates are chosen on experience rather than being subject to any unconscious bias.

“The top 25 accountancy firms need to ensure they’re leading by example to try and close the gender split at the most senior levels in their industry.”

(Source: Real Links)

The UK has long been a top destination for investors, having received over £4.5bn of investment into technology companies within the last 3 years. However, with Brexit on the horizon, there is a discussion about how the UK can maintain its attractiveness to foreign and domestic investors after leaving the European Union.

Ana Bencic, Founder and CEO of NextHash, comments on how UK-based, high-growth companies can maintain their appeal to investors in a post-Brexit Britain:

"It is clear that in the UK currently, there is no slowdown in appetite for the investment opportunities that exist, especially in the fast-growing tech sector, but there are questions about whether this will continue after Britain has left the European Union. The UK's abundance of high-growth businesses, particularly those in the technology sector including FinTech, require vital growth finance in the next five years and with the current funding gap, how will these businesses thrive in post-Brexit Britain?

“Blockchain investment platforms can help make global growth finance for scaling technology businesses more transparent and easier to access. Both individual and institutional traders will be able to engage more with blockchain technology-backed trading, where the businesses are backed by a Digital Security Offering and there is greater potential to make rapid returns on their investments than the traditional venture capital route. When this is adopted into the mainstream, it will revolutionise the way businesses will access scale-up finance, how investors will access these companies, and how illiquid shares can be traded into liquid capital in ways never imagined before. As Britain prepares for Brexit, new forms of investment could be crucial for these scaling businesses as well as global investors who want to maintain access to the UK marketplace."

(Source: NextHash)

Here Jamie Johnson, CEO and Co-founder at FJP Investment, discusses with Finance Monthly the real impact of Brexit on the UK property market.

While it may seem like the country has ground to a standstill as the political standoff in Westminster continues, we cannot let this overshadow the activity and trends underpinning many of the UK’s leading sectors.

The property sector is a case in point – domestic and foreign investment continues to pour into the market, increasing house prices grow and in turn producing attractive investment opportunities. Recent research suggests that property investors also stand undeterred despite Brexit uncertainty –almost half (45%) of property investors have expanded their property portfolio since the EU referendum, whereas only 7% said they had sold one or more homes as a direct result of Brexit.

To understand why the UK continues to be a prime property hotspot despite the current state of political affairs, it can be valuable to reflect on how the sector has fared over the last two and a half years. This including understanding the key trends that have played a central role in shaping the real estate market.

Strong regional growth

In times of uncertainty or transitions, commentators like to take a keen interest into how different sectors are performing in London. As a cosmopolitan hub renowned for its residential and commercial real estate opportunities, the capital has faced some challenges. Since the EU referendum, house prices have largely stagnated, and in some postcodes even fallen.

However, focusing on primarily on London risks overlooking the progress taking place in regional markets. Indeed, national house prices have actually been on an upwards trajectory in recent months, driven largely by strong growth in places like the Midlands and North of England.

Birmingham (up 16%), Manchester and Leicester (both up 15%) have experienced the fastest rates of house price growth since the June 2016 referendum, followed by Nottingham (14%), Leeds (12%), Liverpool and Sheffield (both 11%). In real terms, this means that the average property in Birmingham now stands at £163,400, while the average house in Manchester costs around £168,000. For an investor, this attractive capital growth few assets can match.

So, what are the underlying reasons for these strong performances? Much of it comes down to large-scale regeneration projects which are reviving infrastructure, construction and transport links. Some of the construction works include the redevelopment of land close to new stations that are being created for High Speed 2 (HS2).

Property as an attractive asset class

Significant public and private investment is undoubtedly bolstering the sector, yet another important trend to note is the volume of property transactions taking place even at the height of Brexit uncertainty.

In January of this year – just weeks from the original Brexit deadline, and without a clear vision of what the UK’s transition from the EU would entail in practical terms – the number of transactions on residential properties with a value of £40,000 or greater was 101,170, or 1.3% more than a year prior.

This is testament to the underlying popularity of property as an asset class able to deliver long-term returns, and weather political and economic transitions. In fact, recent research revealed that Brexit hasn’t dampened investor sentiments towards property; the survey of over 500 property investors revealed that 39% plan to increase the size of their property portfolio in 2019, regardless of the ongoing negotiations.

Challenges facing the market

Notwithstanding the obvious challenges facing the UK – namely, setting out a clear direction for the future of the country outside of the EU – there are some pressing national priorities that also deserve attention.

Perhaps most important of all is the housing crisis. At present, there are simply not enough affordable and accessible houses on the market to meet growing demand. And while the government has set targets to address this issue, there is an overwhelming fear that these goals will ultimately fail to materialise.

Last year, Prime Minster Theresa May committed the government to delivering 300,000 new homes a year by the mid-2020s. Although a positive step in the right direction, the current pace of progress suggests that construction efforts will fall short of reaching this target.

Figures released by the housing ministry in March 2019 showed that building work began on 40,580 homes in England during the final quarter of 2018. This is down 8% on the previous three months. Further to this, a National Audit Office report recently concluded that half of councils are expected to miss house building targets.

While Brexit has largely taken priority over important issues, the Government cannot put off committing the necessary time and resources towards rebalancing housing supply and demand. Creative reforms are needed, and debt investment projects, such as off-plan property investments, are but one of the many solutions that could promote the construction of new-build properties.

Despite the current obstacles facing the property market, UK real estate has proven itself to be a resilient asset class even in times of hardship. Bricks and mortar remains a popular destination for domestic and international investment, and looking beyond the more immediate challenges lying on the horizon, it is important to recognise the resilience of property as a leading and desirable asset class.

Decimal Day on 15 February 1971 replaced shillings with pounds and pence. Ireland went one step further when it announced in 1999 that it would swap pounds for euros and this came to fruition in 2002. While the UK remained adamant they wouldn’t join the euro, something else has eclipsed the possibility that we might exchange our sterling for something more continental – the fact that we might not deal with any money whatsoever. There are calls from some people to begin the process of foregoing cash and replacing it with digital payment methods instead. But, will society ever go cashless?

The Argument for a Cashless Society

Since contactless was introduced, almost two-thirds of people in the UK use contactless payments, while June 2018 saw cashless payments eclipse those who used traditional cash methods. Indeed, with the rise of Monzo, customers are encouraged to spend via their card to track what they are spending and where. This allows you to make better choices. Bus companies, such as First, have begun accepting contactless payments on their buses as well as payment via an app, which offers discounted fares. Even vending machines allow card payments, while traditionally cash-centric parking meters also offer you to pay through digital means that bypass cash methods. Many industries already use cashless methods. For example, when you play online slots at Magical Vegas, there are several digital payment options to choose from for depositing and withdrawing any winnings you make, which matches the modern technology used in the video slots. These include Paysafecard, Neteller, Skrill and Paypal as well as Visa and Mastercard.

Why Might Cashless Be Bad?

Of course, the issue with switching to contactless, smartphone payments or even just relying on chip and pin, is that there is a portion of the country who either have no access to this or wouldn’t feel comfortable using it. A fixed address is necessary for a bank account, so those who live without one would be left without the money they might otherwise be able to access. Without physical money, everything relies on big data to ensure our details and bank accounts correspond. With so much money in accessible accounts, crime that mines our personal financial data may increase, especially in the advent of a data breach, which isn’t beyond the realm of possibility. Anecdotally, many say they struggle to manage their finances when they don’t have the actual cash, claiming contactless makes it easier to overspend because the money is less tangible. One of the main concerns for a cashless society is the fact that we would be at the mercy of technology – and that something that might affect this, even a simple power cut, could leave us penniless.

Cashless society may seem futuristic, but we are already making some waves in that area. While there are enough cons to ensure that we will never fully go cashless, instead it will likely be made easier to opt out of using cash as a matter of personal preference.