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Reeves downgraded growth as business leaders demand urgent action

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Reeves downgraded growth as business leaders demand urgent action

Chancellor Rachel Reeves delivered her Spring Statement to the House of Commons under the shadow of escalating conflict in the Middle East and mounting fears of a renewed inflation shock driven by surging energy prices.

In a speech lasting just over 20 minutes, Reeves stressed the importance of “stability in an increasingly uncertain world”, pointing to falling inflation and previous interest rate cuts as evidence that the cost-of-living squeeze on households is easing. However, beyond presenting updated forecasts from the Office for Budget Responsibility (OBR) and criticising opposition parties, she unveiled no new tax or spending measures.

The Chancellor has pledged to hold only one fiscal event each year, the autumn Budget, meaning the Spring Statement was positioned as a forecast update rather than a policy platform.

Growth downgraded for 2026

The OBR has revised down its forecast for UK economic growth in 2026 to 1.1 per cent, weaker than the 1.4 per cent predicted in November. Reeves insisted that the longer-term outlook remains resilient, with growth forecast to reach 1.6 per cent in both 2027 and 2028, slightly stronger than previously projected, before settling at 1.5 per cent in 2029 and 2030.

The downgrade comes amid soft domestic demand, geopolitical instability and renewed energy market volatility following military escalation in the Gulf region. Rising oil and gas prices threaten to complicate the inflation trajectory, particularly if disruption to global supply chains persists.

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Unemployment to rise before falling

Unemployment is forecast to peak at 5.3 per cent later this year as weaker labour demand feeds through the economy. The rate is then expected to decline steadily, ending the parliamentary term at 4.1 per cent, lower than at the start.

The Chancellor framed this as evidence that the labour market remains fundamentally strong despite short-term headwinds. However, youth unemployment and business hiring caution remain key concerns across several sectors.

Borrowing falls and headroom improves

The OBR forecasts that borrowing will be nearly £18 billion lower than anticipated in the autumn. Public sector net borrowing is projected to decline from 4.3 per cent of GDP this year to 1.8 per cent by 2030.

Reeves highlighted that fiscal “headroom” against her self-imposed rules has increased from £21.7 billion in November to £23.6 billion. The buffer is designed to reassure financial markets and protect against unexpected shocks.

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She also confirmed plans to meet North Sea energy industry leaders to discuss the implications of Middle East tensions on domestic production and energy security.

Night-time economy: “Stability rhetoric won’t save us”

Despite the Chancellor’s emphasis on stability, business leaders were quick to challenge what they described as a disconnect between Westminster messaging and frontline reality.

Michael Kill, chief executive of the Night Time Industries Association (NTIA), said the statement failed to recognise the acute pressures facing hospitality and leisure businesses.

“Across the UK, major brands and corporates are collapsing at pace. Confidence is fragile. Margins are exhausted,” he said.

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Kill warned that escalating energy costs, higher National Insurance contributions and ongoing business rates burdens are placing “compounding pressure” on the sector. He called for a VAT cut for hospitality, arguing that targeted intervention would stimulate demand, protect jobs and restore confidence.

With youth unemployment rising, the NTIA stressed that the night-time economy has traditionally provided entry-level employment for young people, and warned that increased employment costs are making it harder to sustain those roles.

Business confidence remains fragile

Separate research from the Zoho Digital Health Study 2026 underscores the cautious mood across UK businesses. Twenty-one per cent of business leaders cited high inflation, recession risk and rising interest rates as their biggest external challenge.

Half of firms reported rising costs per employee over the past year, ahead of a further 4.1 per cent rise in the National Living Wage due in April 2026.

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Sachin Agrawal, managing director at Zoho UK, said leaders are prioritising productivity and automation over expansion.

“Businesses want to grow, but they’re doing so more selectively by investing in technologies that deliver clear efficiency gains,” he said.

AI platform Photoroom also urged the government to match pro-entrepreneur rhetoric with tangible digital support for SMEs, arguing that access to AI tools can significantly reduce overheads and increase productivity.

Thames transport: a missed green opportunity

Uber Boat by Thames Clippers said the Spring Statement missed an opportunity to accelerate London’s transition to greener river transport.

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Geoff Symonds, chief operating officer at Uber Boat by Thames Clippers, said regulatory reform and green fuel incentives could be implemented at minimal cost.

“Low-key budgets don’t have to mean low ambition for the environment,” he said, calling for parity in green incentives between river transport and land-based networks.

A cautious tone in uncertain times

The Spring Statement was deliberately restrained. Reeves’ strategy is to project fiscal discipline and market stability while preserving room for manoeuvre ahead of the autumn Budget.

However, with energy prices climbing, geopolitical tensions rising and consumer confidence fragile, the path ahead is far from settled. The coming months will test whether stability alone is sufficient, or whether targeted intervention becomes unavoidable.

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For now, the Chancellor’s message is clear: hold the line, protect fiscal credibility and hope that inflation continues to fall despite global turbulence. Whether businesses and households feel that stability in practice remains an open question.


Paul Jones

Harvard alumni and former New York Times journalist. Editor of Business Matters for over 15 years, the UKs largest business magazine. I am also head of Capital Business Media’s automotive division working for clients such as Red Bull Racing, Honda, Aston Martin and Infiniti.

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UBS Group AG (UBSS:CA) Shareholder/Analyst Call – Slideshow

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OneWater Marine Inc. (ONEW) Q1 2026 Earnings Call Transcript

UBS Group AG (UBSS:CA) Shareholder/Analyst Call – Slideshow

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At Close of Business podcast April 15 2026

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At Close of Business podcast April 15 2026

Ella Loneragan speaks to Nadia Budihardjo about how an Aboriginal art organisation’s work has been showcased globally.

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Storage facility planned for Swansea Markets

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Storage facility planned for Swansea Markets

Following approval by the Statutory Planning Committee, National Storage is planning to convert the Swansea Markets into a $41 million storage facility.

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Goldman Sachs downgrades SolarEdge stock rating on demand concerns

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Goldman Sachs downgrades SolarEdge stock rating on demand concerns

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BofA raises Citi stock price target to $150 on earnings beat

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BofA raises Citi stock price target to $150 on earnings beat

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Free Agency Looms with Cavs, Warriors Rumors

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Steph Curry, LeBron James, NBA All-Star 2021

LOS ANGELES — At 41, LeBron James continues to defy age and expectations, delivering vintage performances for the injury-depleted Los Angeles Lakers as the 2025-26 NBA regular season winds down and the 2026 playoffs approach. Yet with free agency on the horizon this summer, the four-time champion’s future remains the biggest storyline surrounding the NBA’s all-time leading scorer.

Steph Curry, LeBron James, NBA All-Star 2021
LeBron James

James posted a 26-point, 11-assist, eight-rebound double-double in a road win over the Golden State Warriors on April 9, showcasing the all-around dominance that has defined his record 23rd season. Just days later, he scored 18 points in only 17 minutes during what appeared to be the final regular-season home game, fueling excitement for the postseason while managing minor foot issues that kept him questionable in recent matchups.

The Lakers, bolstered by the midseason acquisition of Luka Doncic, have navigated significant injuries to key players including Austin Reaves and others. James has shouldered a heavier load at times, stepping up as the primary option and helping keep Los Angeles in playoff contention in the Western Conference. On his “Mind the Game” podcast, James expressed genuine enthusiasm for the upcoming playoffs, calling the postseason “lit” and noting he does not know how many more he has left.

Father-son highlights with rookie Bronny James have added emotional depth to the campaign. The pair have shared the court multiple times, producing memorable moments including assists and joint plays that underscore one of the most unique stories in league history. Bronny, selected in the second round of the 2024 draft, has seen limited but growing minutes, often flashing defensive potential and occasional scoring bursts off the bench.

Despite the on-court resilience, James’ long-term status with the Lakers is uncertain. He exercised his player option for the 2025-26 season last summer, but he enters unrestricted free agency this offseason. NBA insiders report a growing consensus that James may not return to Los Angeles for a potential 24th season, with speculation centering on a possible homecoming to the Cleveland Cavaliers or a high-profile move to the Golden State Warriors to team with Stephen Curry and Draymond Green in pursuit of another title.

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Cleveland, where James won his first championship and built his legacy, remains a sentimental favorite for many. The Cavaliers have emerged as a strong Eastern Conference contender, and a reunion could provide a narrative-rich final chapter. Meanwhile, Golden State offers the chance to close his career alongside one of the greatest shooters ever, potentially forming a superteam dynamic in the twilight of both stars’ careers. Some reports suggest the Lakers would welcome James back if he chooses to stay, with team president Rob Pelinka expressing a desire for him to retire as a Laker.

James has been characteristically coy about his plans, focusing publicly on the present. He has not ruled out retirement but has given no indication he is ready to walk away while still performing at an elite level. His per-game averages this season hover around 20-22 points, seven assists and six rebounds — remarkable production for any player, let alone one in his 40s. He continues to lead fast-break points and impact games with his basketball IQ and passing vision.

The 2025-26 season started with challenges for James. He missed the opener and several early games due to sciatica, marking the first time in his career he sat out opening night. Load management and foot/knee concerns have limited him at times, ending his streak for certain individual awards earlier in the year. Yet he has adapted, conserving energy for critical stretches and the playoffs.

Lakers fans and analysts have debated whether James has “played his way back” into the franchise’s long-term plans. A late-season turnaround, driven partly by his leadership amid injuries, has shifted some earlier assumptions that his Lakers tenure might end this year. The addition of Doncic has injected new dynamism, creating intriguing offensive possibilities if the core stays intact.

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Off the court, James maintains his vast business empire and philanthropic efforts through the LeBron James Family Foundation. His influence extends far beyond basketball, with continued involvement in media projects and social initiatives. Family remains central; sharing the court with Bronny has been a highlight he has openly cherished.

As the regular season concludes, the Lakers prepare for a tough playoff path in a competitive Western Conference. James has emphasized that the postseason resets everything, regardless of regular-season results. His experience — 10 NBA Finals appearances and four rings — positions him as a steadying force for a younger supporting cast.

Speculation about his destination has intensified in recent weeks. ESPN and other outlets have detailed factors James will weigh: proximity to family in Ohio, competitive contention windows, coaching stability and lifestyle preferences in Los Angeles versus other markets. Rich Paul of Klutch Sports continues to represent him in what could be one of the most anticipated free-agency decisions in years.

Dwight Howard, a former Lakers teammate and Hall of Famer, publicly encouraged James to consider Cleveland for a fitting end to his career. Other voices in the league predict at least one more season, with tremendous interest from multiple teams should he hit the market.

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James’ longevity stands as one of sports’ greatest achievements. Drafted first overall in 2003 straight out of high school, he has evolved from a prodigy to a global icon while maintaining elite athleticism and skill. His ability to adapt — shifting from slasher to facilitator to stretch forward — has prolonged his prime far beyond conventional expectations.

For the Lakers, retaining or replacing James carries franchise-altering implications. The organization has signaled commitment to building around its stars, but salary-cap realities and roster construction will influence any decisions. If James departs, Los Angeles would pivot toward a Doncic-centric future with younger pieces.

Playoff excitement is palpable. James has spoken about the unique intensity of the postseason and his eagerness to compete. Even as questions swirl about his future, his focus remains on helping the Lakers advance as far as possible in 2026.

Bronny’s development adds another layer. The father-son duo has created historic moments, from shared minutes to on-court connections. Their partnership symbolizes generational passing in the NBA, even as debates persist about Bronny’s path and opportunities.

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As April 2026 progresses, all eyes remain on James. Will he chase one more ring in a new uniform, return to his roots in Cleveland, or conclude his Lakers chapter with a deep playoff run? The King has yet to tip his hand, but his continued excellence ensures the conversation will dominate the NBA landscape through the summer.

Whatever path he chooses, LeBron James’ impact on the game — and the memories he continues to create — cements his status as one of basketball’s all-time greats. The 2026 playoffs offer another stage for his enduring legacy, with free agency promising a dramatic next chapter in an already cinematic career.

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Suzlon Energy shares jump 5%, rebound 27% from March’s record low. What’s driving the rally?

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Suzlon Energy shares jump 5%, rebound 27% from March's record low. What's driving the rally?
Suzlon Energy share price today: Shares of Suzlon Energy jumped over 5% on Wednesday, extending gains for the third straight session and taking the stock’s rally to 27% so far in April, even as it remains down 11% over the past year.

After hitting a 52-week high of around Rs 74 apiece in May last year, the renewable energy stock plunged nearly 49% over the next 10 months to a 52-week low of Rs 38.19. However, bulls have since regained control, driving a sharp rebound in recent sessions.

April saw markets rebound sharply following the incessant selloff in March, amid rising hopes for peace talks and a ceasefire between Iran and the US in the Middle East, which had triggered a skyrocketing rally in oil prices and made analysts worry over the possible impact on India’s macroeconomics.

Suzlon Energy shares rode on the overall bullish sentiment. After hitting the record low level at the end of March, the stock rallied nearly 27% to hit today’s intraday high of more than Rs 48 apiece.

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Market value swells by Rs 13,900 crore in April

The strong surge in the share price led to strong gains in Suzlon Energy’s market value. The total market capitalisation of the company soared by more than Rs 13,900 crore in April so far to nearly Rs 66,270 crore today.
The stock has rallied nearly 500% in three years, and more than 1,000% in five years. For context, the stock had hit an all-time low of Rs 1.70 apiece during the infamous COVID crash of March 2020. The stock has so far rallied a whopping 2,700% since then.

FIIs increase stake in Suzlon Energy

Foreign institutional investors (FIIs) quietly increased their exposure to Suzlon Energy in the March quarter, even as they overall remained strong net sellers of Indian equities during the same period. FIIs raised their stake in the renewable energy company by about 1.68 crore shares sequentially. Their holding stood at 3.07 crore shares, or 22.42%, at the end of the March quarter, compared with 3.06 crore shares, or 22.34%, in the December quarter.

Operationally, Suzlon has delivered decent numbers in the recent past. The company reported a 15% year-on-year (YoY) rise in consolidated profit to Rs 445 crore in the December quarter, while revenue jumped 42% YoY to Rs 4,228 crore, reflecting robust execution and order conversion.

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With India accelerating its renewable energy push, particularly in wind capacity addition, Suzlon remains well placed to benefit from sector tailwinds. The recent FII buying, despite broader market selling, suggests institutional investors may be positioning for that next phase of growth.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

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Nufarm guides 1H26 EBITDA in line with expectations at $236-244m

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Nufarm guides 1H26 EBITDA in line with expectations at $236-244m

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Schaeffler reports stronger-than-expected first quarter margins

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Schaeffler reports stronger-than-expected first quarter margins

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Canadian Imperial Bank Of Commerce: Bullish Stubbornness Increases Valuation Risks (CM)

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Canadian Imperial Bank Of Commerce: Bullish Stubbornness Increases Valuation Risks (CM)

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I have been working in the logistics sector for almost two decades. I have been into stock investing and macroeconomic analysis for almost a decade. Currently, I focus on ASEAN and NYSE/NASDAQ Stocks, particularly in banks, telco, logistics, and hotels. Since 2014, I have been trading on the PH stock market. I focus on banking, telco, and retail sectors. A colleague encouraged me to engage in the stock market as part of my portfolio diversification instead of putting all my savings in banks and properties. That was also the year when insurance companies became very popular in the PH. Initially, I invested in popular blue-chip companies. Now, I have investments across different industries and market cap sizes. There are stocks I hold for my retirement, while others are purely for trading profits. In 2020, I also entered the US Market. It was about a year after I discovered Seeking Alpha. Originally, I was using the trading account of NY CA-based cousin. Somehow, I acted like his personal broker. That made me more aware of the US market before deciding to open my own account. I decided to write for Seeking Alpha to share and gain more knowledge since I have been trading on the US market for only four years. Like in the ASEAN market, I have holdings in US banks, hotels, shipping, and logistics companies. I discovered it in 2018. Since then, I have been using the analyses here to compare them to the ones I’m doing in the PH Market.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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