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Spring Statement What It Means For Business Owners



Commenting, Faye Church, Senior Planning Director at Rathbones, says:

“The Spring Statement offered little immediate relief for business owners already grappling with a heavy tax burden and persistently rising costs. For many SMEs, the issue isn’t just what was announced, but what remains unresolved - not least the absence of an extension to business rates relief."

“Our research shows that tax and cost pressures have already forced more than one in five SME leaders to cut staff, with business rates, employer National Insurance and regulatory costs weighing heavily on confidence and investment."


"Against that backdrop, the renewed spike in oil and gas prices following the escalation in Iran risks adding another layer of strain at a time when margins are already thin."

“Higher oil and gas prices can feed quickly into transport, utilities and supply chains, pushing up day to day operating costs across the economy. For smaller firms with limited pricing power, these external shocks are particularly hard to absorb - especially when they come on top of an already rising business tax burden."

“In this environment, stability and targeted support matter. Without meaningful action to ease the cumulative burden on SMEs, there is a real risk that higher costs - now compounded by geopolitics and global energy shocks - could further dampen investment, hiring and growth at a time when the UK economy can least afford it.”

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  • Sep 25, 2025
  • 3 min read

Across the UK, families who rely on vital in-home care services are at risk of losing the support they depend on, as smaller live-in and domiciliary care providers are being forced to close their doors under rising costs, warns Noble Live-In Care, part of City & County Healthcare Group (CCH), the UK’s largest provider of community-based care.


While much public attention has focused on care home closures, the impact of some care providers closing doors is being felt even more acutely in family homes. These providers allow people to remain living safely and independently at home - but rising operational costs are pushing many to breaking point.


Kirsty Prendiville, Head of Operations at Noble Live-In Care, said:

“Recent budget decisions are putting immense pressure on smaller live-incare providers, ones that have spent years building their community and carer to patient relationships. "

"This year, the Department of Health and Social Care outlined plans for the hand back of care contracts from struggling care providers which really hit home - the industry is in crisis and it’s the families that are impacted first and foremost.” She adds:


"Families tell us every day how much they want their loved ones to stay in the comfort of their own home, supported by carers who know them well. But many smaller providers simply cannot keep going under the weight of rising wage bills, National Insurance contributions and fuel and transport costs. Even as a larger provider, we feel the brunt of these increases, so it’s no surprise that smaller companies struggle. Families are, in some cases, left scrambling for care – sometimes with less than a week's notice."


Noble Live-In Care highlights in detail the mounting pressures for some care providers:


  • Employer National Insurance contributions have risen to 15%, up from 13.8%, adding a significant additional cost for every member of staff. For smaller care providers operating on tight margins, this increase alone can represent tens of thousands of pounds annually.

  • The threshold for employer NI contributions has fallen, meaning providers now pay National Insurance on a broader portion of their staff wages. This change hits smaller agencies hardest, as they typically have a lean workforce and limited ability to absorb extra costs without passing them onto families.

  • The National Living Wage has increased by 6.7%, further raising payroll expenses. For small providers, this affects existing staff costs and can force difficult decisions about recruitment and retention, risking service disruption.

  • Public transport costs for care workers rose by 4.6% in March 2025, impacting carers who travel between clients’ homes daily. Many smaller providers cannot subsidise these rising costs, creating both financial strain and logistical challenges in maintaining consistent care schedules.

  • Fuel costs have increased by 6.4%, hitting both providers and care workers who rely on cars for home visits. For live-in care providers, whose staff may need to travel significant distances to reach clients, these increases translate into higher service costs and reduced flexibility, ultimately affecting families who depend on reliable, home-based care.


Combined, these factors are creating a perfect storm for smaller live-in and domiciliary care providers: tight cash flows, rising staff costs and limited room to increase fees for families who are already facing high care expenses. For many providers, continuing operations without support or financial relief is becoming increasingly hard.


“At Noble Live-In Care, our scale and backing from City & County Healthcare Group allow us to absorb costs that would cripple smaller entities. It also enables us to take a leadership role in the sector, advocating for change and supporting families when others cannot.” Prendiville added:

“This isn’t just about providers – it’s about families who are suddenly left without the care they rely on. We need urgent collaboration between government, regulators and providers to safeguard community care. Without action, more families will face the distress of seeing loved ones left without support.”

Noble Live-In Care remains committed to keeping care affordable for families while ensuring fair pay and recognition for its carers. For more information visit here.



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