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‘Make work pay’

Nurses in England have said the government’s offer of a 5.5% pay rise is not enough, the Royal College of Nursing (RCN) has said.

Two-thirds of the 145,000 members of the RCN who voted online said the rise was not fair.

The pay award for 2024-2025 was announced by the chancellor at the end of July, shortly after Labour won the general election.

In a letter to Health Secretary Wes Streeting, RCN general secretary Prof Nicola Ranger said nursing staff were determined to “stand up for themselves, their patients and the NHS”.

But the union is not planning to ballot its members to see if they want to take strike action.

Instead, it is planning to see how the government responds to this vote.

The union argues that the pay of an experienced nurse fell by 25% in real terms under the Conservative governments between 2010 and 2024.

The union was involved in strike action during late 2022 and early 2023, but that ended after other NHS unions accepted a deal made in the spring by the then Tory government. The RCN was unable to get enough nurses to back continued strike action.

Prof Ranger said nurses “do not feel valued”, adding they were concerned by “understaffed shifts, poor patient care and nursing careers trapped at the lowest pay grades”.

As ministers prepare to set out a new health and social care agenda, Prof Ranger added: “The government will find our continued support for the reforms key to their success.”

She said the government will need “safe numbers of nursing staff” who “feel valued” if they are to “raise standards and reform the NHS”.

The announcement follows a vote last week by junior doctors to accept a multi-year pay rise to end their long running dispute.

At that time, Prof Leader said: “We do not begrudge doctors their pay rise.

“What we ask for is the same fair treatment from government.”

Health and Social Care Secretary Wes Streeting said: “We know what nurses have been through in recent years and how hard it is at the moment. That’s why, despite the bleak economic inheritance, the Chancellor awarded them with an above-inflation pay rise.

“For the first time in a long time, nurses have got a government on their side, that wants to work with them to take the NHS from the worst crisis in its history, to get it back on its feet and make it fit for the future. We will work with NHS staff to turn this around together.”

Investing for beginners  

Looking to start investing but not sure where to start and how much to start with? This guide can help you get started and be confident about investing because everyone deserves to understand how to grow their money. You can turn £100 into £1000 over time by understanding your personal risk tolerance, whilst leveraging the power of compound growth. You can use a compound interest calculator to see how this tool can help.  

Can I start Investing with £100 or less? 

Yes! You don’t have to start with a huge sum of money, gambling away your hard-earned cash to invest. Investing is more accessible than before and with technology, user-friendly platforms anyone can start. To start, all you need is to learn the right approach for you, and the sooner you start, the more time your money grows. Small investments can grow into substantial amounts of money when managed correctly and with patience.  

Set yourself clear financial goals and know your personal risk tolerance so you don’t get ahead of yourself.  

Simple steps for beginners 

To start investing you will need to know the different types you can invest and choose which one will work best for you.  

• Exchange traded fund (EFTs) 

This can provide a low-risk investment with a diverse portfolio and a low potential for loss. With an EFT, you get a bundle of assets you can buy and sell, investing in multiple companies helps to keep the risk low as you aren’t relying on only one company to do well.  

This is when you invest in one business at a time. There is a bigger risk as you need the one investment to do well in order to succeed. However, with individual stock you could be offered a bigger return as you would have put everything into it. If you start with £100, the total amount would be invested in one company. If the value of the company increases, you can watch your investment grow before drawing it out. 

This is one of the best ways to invest for beginners, these accounts allow you to invest up to £20,000 per year, any profits you make are also tax free. This means you get to keep more of your return.
Platforms such as Hargreaves Lansdown offer easy access to a Stocks and Shares ISA ideal for beginners. With HL you can open an account with as little as £100 and choose from a range of investments including those mentioned above. As a beginner, these accounts can also give you a ready-made portfolio managed by professionals which will stick to your goals and risk tolerance you set up. This means you won’t have to decide where to invest your money.  

Tips for Beginners 

• Understand your personal goals

By understanding and knowing what your goals are then you can determine your risk tolerance and know what is best for you in investing.

When you begin investing and you are starting with a small amount due to not having a lot of disposable income it might be a good idea to set your risk tolerance low, which means investing in a diverse portfolio (EFT). Understanding why you are investing, is it for a particular purchase such as buying a house, or to generally allow your wealth to grow?

If you can, it will benefit you to invest regularly as consistency can yield significant returns due to compounding. This can be £20 per month or more. 

• Focus on long-term growth 

If you are investing with a small amount to begin with then you should focus on long-term growth and not quick profits. The market trends upward over time so playing the long game can often be a safer bet. 

• Choose beginner friendly platforms 

Online trading platforms like Hargreaves Lansdown or eToro make investing easy and simple for beginners. They often provide resources and more to help you understand and manage your portfolio and take out the guess work. Many of these will allow you to start with as little as £100. You can find more trading platforms here. 

Turning £100 into £1000 through investing 

Investing can sound scary and if you don’t know where to start then make sure you do your research first. Using trading platforms can help you to set up and manage your portfolio easily. Using these steps, you can see your wealth grow. 

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The US Commerce Department on Monday proposed banning Chinese software and hardware for vehicles with a built-in internet connection, in a move that would effectively ban Chinese vehicles from the US market.

The rule follows concerns from the Biden administration about Chinese companies collecting data on American drivers and infrastructure as well as the potential for foreign adversaries to remotely manipulate connected cars on US roads. 

It is the latest step in a wider US effort to crack down on Chinese vehicles, software and components. The US already this year sharply raised tariffs on Chinese imports, including a 100 per cent tariff on Chinese electric vehicles.

The rule would allow companies to pursue some exceptions to the ban if they could show they are taking mitigating measures such as auditing or site checking. But officials said the rule would essentially ban Chinese vehicles.

“Our assumption as of now is that Chinese vehicles will fall within the prohibition,” a senior official said.

The rule would also ban Russian software and hardware. Biden in February ordered an investigation into whether Chinese connected vehicles pose a security risk to Americans.

There are few Chinese or Russian cars on the road in the US currently and the rule is designed to neutralise the national security threat they could pose in the future, officials said.

“We’re issuing a proposed rule to address these new national security threats before suppliers, automakers and car components linked to China or Russia become commonplace and widespread in the US automotive sector,” commerce secretary Gina Raimondo said.

She pointed to Europe as a “cautionary tale,” where Chinese cars have quickly flooded the market.

“We know the Chinese playbook, they subsidise, so we’re not going to wait until our roads are filled with cars and the risk is extremely significant,” she said.

The Biden administration will draft a final rule after a 30-day public comment period, with the goal of publishing it before it leaves office. The software bans included would apply in the 2027 model year while the hardware bans take effect in January 2029 or 2030.

The commerce department is assessing other industries where they might want to take similar action, such as drones or cloud infrastructure, officials said.

Officials said that phasing out Chinese and Russian software from the US market would be relatively simple as there is not much of it, but that hardware would be a greater challenge.

“The hardware supply chain for these systems is slightly more complicated, there is more Chinese hardware,” a senior US official said. “During that time . . . there will need to be a focus on some shifting of that supply chain to other suppliers.”

The commerce department’s seven-month investigation into risks from connected vehicles revealed a range of possible threats as they become more connected to critical infrastructure, including through charging stations, smart roads and cities, officials said.

Senior US officials outlined a range of possible threats to American consumers, such as collecting data on where drivers live, send their children to school or go to the doctor.

In an extreme example, they said a foreign adversary could shut down or take control of all of their vehicles operating in the US, causing crashes and blocking roads.

“We’ve already seen ample evidence of the PRC pre-positioning malware on our critical infrastructure for the purpose of disruption and sabotage,” US national security adviser Jake Sullivan said.

“With potentially millions of vehicles on the road, each with 10 to 15 year lifespans, the risk of disruption and sabotage increases dramatically.”

An adorable animal that has been dubbed the “world’s fattest penguin” wolfs down an impressive 25 fish in a day and has tourists flocking to him from the other side of the world.

Pesto from Melbourne, Australia, who stands at 35.4 inches tall and weighs a whopping 48.5lbs, has gained a cult following online at just nine months old.

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The furry brown penguin has melted so many Brits’ hearts that some have made plans to fly 10,500 miles to see Pesto in the flesh at Sea Life.

One animal-lover said: “Flying to Melbourne from England on Wednesday, first stop is to see Pesto.”

Another fan named Archie added: “I’m currently crying because I live in England and can’t see Pesto.”

The penguin’s brown feathers have led to him being described as a “kiwi” by some fans.

But when Pesto he learns how to swim, he’ll shed these unique feathers, in a process is known as fledgling.

The nestling only hatched earlier this year but is already taller than both of his parents – Hudson and Tango.

A recent clip that shows the unlikely social media star stand tall and proud while workers dance behind him has amassed a staggering 3 million views.

Another video shows Pesto wobbling towards the camera among a sea of black and white penguins.

Fans were quick to profess their love for the penguin in the comments.

One asked: “Why is Pesto the best penguin name ever?,” while another was keen to “adopt him”.

A different user described the penguin as “an icon”, and another called him “a lovely chap”.

One even joked: “What are y’all feeding pesto? The other penguins?” and another felt the nestling was “too adorable”.

Sea Life Melbourne say Pesto is “officially the largest chick” they’ve ever seen.

It comes just weeks after one half of a world-famous same-sex penguin couple tragically died at the age of 11.

Sphen, a gentoo penguin died in Australia, leaving his partner of six years, Magic, behind.

Sphen’s partner Magic, eight, was taken to his body to help the penguin understand that Sphen wouldn’t return.

The heartbroken penguin started singing goodbye which was reciprocated by the broader penguin colony.

The gay penguin couple shot to fame in 2018 when they fell in love at the Sea Life Sydney Aquarium.

Aquarium staff first noticed an attraction between the two male gentoo penguins when they started bowing to each other – a form of penguin flirting.

They later adopted and raised two chicks as their own.

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The countdown to the Labour government’s first Budget on 30 October is well and truly on, meaning it’s time to get your clients’ houses in order ahead of expected tax changes.

With rumours already circulating on what chancellor Rachel Reeves will announce, the first port of call will be reassuring clients that they should not be making any rash decisions.

Though Reeves has confirmed tax changes are on the table, we cannot know exactly what they will be or how much people will be impacted, so it is important not to try to play a guessing game.

The best course of action will be to ensure clients are making the most of what is on offer to them now, so their tax bill is no higher than necessary.

Inheritance tax

 While Labour has committed to maintaining its manifesto pledge not to hike National Insurance, VAT or income tax, inheritance tax (IHT) may not share the same fate. Make sure clients make the most of the allowances on offer to them now.

The annual exemption remains at £3,000 for the 2024/25 tax year, and your clients may wish to carry forward any unused annual exemption from the prior tax year.

Similarly, the gifts out of excess income rule means they can gift as much as they wish as long as the payments are regular and do not impact their usual quality of life. If your client is intending to make any gifts this year, be that a one-off gift or setting up regular payments, it is worth making them sooner rather than later to make the most of the current IHT gifting rules.

If the rumours are to be believed, we may see the removal of business property relief, or possible reduction in the nil-rate band, bringing more estates into the IHT net, or perhaps an increase in the IHT headline rate of 40%.

If we assume a client dies leaving £300,000 subject to IHT:

A 10% increase could lead to a potential increase of £210m tax (10% x £2.1bn IHT tax receipts at June 2024). However, the Institute for Fiscal Studies reported last September that the removal of a number of ‘poorly justified reliefs’ would raise £4.5bn, assuming the wealthier clients do not respond by reducing the size of their estates.

Capital gains tax

Labour’s manifesto lacked clarity on capital gains tax (CGT) and, with confirmation that tax rises are on the cards, there is a chance we could see further changes in this area.

In recent years, CGT allowances have been slashed to help plug the fiscal black hole the UK is suffering, with the annual tax-free allowance for capital gains reducing from £12,300 to £6,000 in 2023 and again to £3,000 from April 2024.

This has heavily impacted those looking to sell shares, other assets or second homes, and the rumoured changes, such as removing the £3,000 allowance completely or increasing the rates to be in line with income tax, could result in a need for swift changes to clients’ financial plans, which may already have had to be adjusted.

While no changes have been confirmed yet, it is always wise to work closely with your clients to ensure they are making the most of the financial planning techniques to mitigate CGT that are currently on offer.

This may include transferring assets to a spouse, maximising contributions to Isas and, for specific investors, considering enterprise investment schemes (EIS), though this carries significant risk and is therefore only suitable for some.

The annual Isa allowance of £20,000 represents a highly tax efficient way for clients to grow their savings and, should CGT face changes at the Budget, it will be all the more important that as much of their money is held in a tax-free environment as possible.

Pensions

Similarly, for most people up to the age of 75, who can earn tax relief on pension contributions up to 100% of their earnings, with total tax relieved contributions limited by a £60,000 annual allowance, topping up their pension will be one of the most highly effective ways of mitigating their tax bill in the lead up to the Budget.

Pension contributions will be particularly advantageous for those clients who are higher and additional rate taxpayers as, at present, they can receive up to 40% or 45% tax relief on their contributions, respectively, making pensions an efficient way to save for retirement while also reducing their current overall tax liability.

It is important to help your clients understand and make use of the various allowances available to them. Carrying forward and using any unused pension annual allowance for the last three tax years, or utilising the marriage allowance where applicable, can help shield more of their household income from tax and ensure they are making the most of the current allowances ahead of any potential changes.

Rachael Griffin is tax and financial planning expert at Quilter