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Hundreds of thousands of the UK’s smallest businesses risk going under this year as costs keep rising, a report has revealed.

The owners of nearly one in eight microbusinesses, defined as employing fewer than 10 people, fear they will have to fold, equating to 630,000 businesses.

Catherine Sweet sells art for a living – both her own and that of other artists – via her website BobCat Gallery and at exhibitions she puts on.

Small business owner Catherine Sweet
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Small business owner Catherine Sweet

But she says “a massive decline in consumer spending” coupled with rising living costs is a disaster for businesses.

“I know that my business could grow fivefold If I had a physical space, but every negotiation I have entered into with the landlord has come to nothing because I do not have the funds right now.

“Affordable rent subsidies for retail premises would be a huge boon, because for businesses like mine, having physical premises would be a game changer, but it’s completely out of our reach,” she said.

And Catherine is not alone.

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The annual Venture Forward study by website builder GoDaddy found that only a fifth of microbusiness owners think the government is doing enough.

More than three quarters also described the cost of living crisis as the greatest challenge they’ve ever faced, with the price of energy the biggest single concern.

According to Andrew Gradon, GoDaddy’s UK manager, microbusinesses represent 96% of all businesses within the country’s private sector.

“They are the lifeblood of businesses in the UK and it’s them that are on the frontline very much feeling the direct impact of the cost of living crisis,” he said.

“Around 42% said that they wanted support with tax incentives but also looking more broadly to business support – so looking at technical assistance for business development as well as support for digital strategy.”

Read more:
Pub trade warns of 2,000 closures without budget aid
Energy bills may rise again without government plan to deliver 2035 clean power target, NAO warns

The study estimates that if the 12% of microbusinesses under threat went under, it would wipe £12bn from the economy.

The data also shows that the cost of living crisis is having a disproportionate impact on microbusinesses owned by underrepresented entrepreneurs.

A total of 85% of black entrepreneurs described it as the worst time they can remember, as did 84% of those who are Asian compared with 75% of white entrepreneurs.

A government spokesperson told Sky News: “We recognise that companies are struggling with energy bills which is why the government is providing businesses with billions of pounds of support.

“This support means some will be paying around half of predicted wholesale energy costs this winter. We’ve pledged further energy support from April onwards.”

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‘Dangerously stretched’ Met Police has fewer officers working on unsolved murders

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'Dangerously stretched' Met Police has fewer officers working on unsolved murders

Fewer police officers are working on unsolved murder cases amid warnings the Metropolitan Police is dangerously stretched.

Five officers from the force are moving from a specialist cold case department investigating the 30-year-old murder of Atek Hussain to instead bolster basic command units.

Mr Hussain, 32, was stabbed in the heart as he returned from work in September 1994. He managed to stagger to his home and tell his family that his attackers were Asian before collapsing.

No charges have ever been brought in the case despite two focused appeals by the police on the 10th and 20th anniversaries of his killing.

Mr Hussain’s daughter Yasmin was 10 when she watched her father die in their family home. She told Sky News she had hoped the Met would launch a renewed appeal on the 30th anniversary of his death this week.

“I waited and waited as September approached, hoping they’d say something but all of the officers I’d been dealing with have either retired or moved on, and it seems nobody knows what to do with me,” she said.

“One person told me to call 101.”

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Yasmin Hussain has launched her own appeal for help to find her father’s killers

The Met told Sky News the case is not currently active. However, no unsolved murder investigation is ever closed and Mr Hussain’s case was last reviewed by its Serious Crime Review Group in August.

“Should any new information come to light, it will be assessed accordingly,” it said in a statement.

“In order to better protect the public, including the prevention of future homicides, we are moving some experienced officers from specialist units to bolster BCU (basic command unit) public protection teams to ensure they have the right skills, experience and capacity.

“The MPS (Metropolitan Police Service) continues to maintain a strong capability to investigate cold case homicides. No unsolved homicide is ever closed and all cases remain under review.”

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Clive Driscoll, a former Detective Chief Inspector of the Met Police who finally secured two convictions for the murder of Stephen Lawrence, explains how the forces deal with cold cases.

“Every two years you would review the case to see if there are opportunities. The one that always stands out is forensics opportunities. Forensics moved on while we’ve been talking. So that’s what you would do with a review, you would be looking to see whether or not something has changed from the last time you saw it.”

Mr Driscoll says forces across the country are facing challenges including a shortage of officers and staff, greater scrutiny of the police and an issue with confidence among officers.

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Former Met Police DCI Clive Driscoll

“They feel that maybe their job has become harder,” he told Sky News before urging police units to go the extra mile.

“As hard as it may be for a police officer, it can’t be even a slightest comparison of how hard it must be for Mr Hussain’s children who’ve lost their father.”

Recent data shows the annual number of unsolved homicides across Britain has more than doubled since 2010. That is thought to be driven almost entirely by a surge in larger police forces, in particular the Met.

On Wednesday, Met Commissioner Sir Mark Rowley described the force as “dangerously stretched”, telling an audience at the Police Foundation that a wave of new pressures, a lack of investment, abuse and insults of the police and reduced confidence among officers has left London less safe.

Mr Driscoll warned that failing to properly review unsolved homicides sends a dangerous message.

“We don’t want to send the message out to people that feel they can take the life of a human being and after a certain amount of time ‘oh that’s alright then I’ve got away with it’. The message must always be that if there is an opportunity to affect an arrest, put someone before a court then we will take it. We must always show that we will not forget the victim and also that out there is someone who felt that they can take someone’s life.”

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Atek Hussain had spent the evening working at his family-run restaurant in Croydon before arriving home to Burnels Avenue in East Ham at around 2.35am on 18 September 1994.

Officers believe he had just got out of his blue Vauxhall Cavalier and was walking towards his front door when he was attacked and stabbed in the chest.

In the absence of a renewed public plea from the police, Yasmin Hussain has launched her own appeal for help finding her father’s killers.

If you have information that could help police, call 101 or post @MetCC, or to remain 100% anonymous contact the independent charity Crimestoppers on 0800 555 111, or visit crimestoppers-uk.org.

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Mohamed al Fayed ‘carried Viagra’ and ‘cherry picked’ women from Harrods shop floor, ex-employee claims

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Mohamed al Fayed 'carried Viagra' and 'cherry picked' women from Harrods shop floor, ex-employee claims

A former member of the Harrods management team has told how Mohamed al Fayed would “cherry pick” women from the shop floor.

Speaking to Sky News anonymously, the woman described the billionaire, who died last year aged 94, as “demonic” and said he “controlled everything with fear”.

Lawyers representing 37 alleged victims of sexual abuse at the hands of Fayed branded him a “monster” who was “enabled by a system that pervaded Harrods” at a news conference on Friday.

The former employee of the luxury department store, which the Egyptian businessman took control of in 1985, worked at Harrods at the height of his power.

“We were all told Harrods is the greatest place on Earth – but he controlled everything with fear,” she said.

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“The power dynamic was so strong, in the blink of an eye you would lose your career and they would try and destroy you. It was this dark psychological trap and everybody was caught.”

She said she heard stories Fayed, known to staff as “the chairman”, would grope people although she was never a victim herself.

Harrods department store in London. Pic: AP
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Harrods department store in London. Pic: AP

“The chairman would walk around the store and he would cherry pick people from the shop floor, if you had blond hair and brown eyes you were favoured,” she said.

“He used to say, ‘I want that one up in my office now’. He used to carry Viagra around in his pocket, and people were so scared of his ‘floor walks’ – if you weren’t smiling enough you were in the shit, if you smiled too much you were also in the shit.”

Read more: Egyptian tycoon was never far from controversy

The ex-employee, who worked at Harrods in her first job after leaving university, said when women were called to Fayed’s office they “couldn’t say no”.

“I would sit her down and I would say I need to let you know what you are walking into,” she said.

“It’s suddenly a pay rise, and you’ll be invited to expensive events and lavished with expensive gifts but really you need to be aware of something.

“I said you will get invited to Park Lane, and parties where there will be lots of rich men, and you would be invited to sleep with people.”

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She said she was once asked to see Fayed in his lounge-like office where he was wearing his slippers and said: “When are you going to come up and work for me here?”

The woman said she told him she did not want to work there and went back to her normal job.

“Afterwards he would smile at me and was courteous but then I started getting extra money in my pay packet. I went to the pay office and they said it’s a bonus for what you are doing. It didn’t last long but it happened just after he’d asked to meet him.”

The woman said she now feels “really conflicted” as she was “vulnerable too”.

“It was my first job leaving university. It leaves me feeling angry that we put up with things in that generation, that was our norm,” she added.

Harrods has said in a statement it is “utterly appalled” by the allegations of abuse and apologised to Fayed’s alleged victims.

The department store has also set up a page on its website inviting former employees to come forward if they have allegations.

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Katherine Watson: Body found in search for missing TV chaplain

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Katherine Watson: Body found in search for missing TV chaplain

A body has been found in the search for a missing hospital chaplain who starred in a Channel 4 documentary.

Katherine Watson, 50, was last seen in the Heaton Road area of Newcastle, at about 1pm on Thursday and Northumbria Police had become “increasingly concerned” for her welfare.

But after “extensive searches”, the force said a body had been found in the Jesmond Dene area of the city. Although formal identification has yet to take place, “it is believed to be Katherine”, they added.

“Her next of kin have been made aware and are being supported by specially-trained officers,” it said.

“This is an incredibly sad outcome and our thoughts are with Katherine’s loved ones at this difficult time. We will continue to support them in any way we can and we ask that their privacy is respected.”

Also known as Reverend Captain Katie Watson, she joined the army in her late teens, serving in Bosnia in the 1990s and as part of the Royal Military Police.

“Once you have seen genocide first-hand on the streets of a European country, there is nothing left in the world that can faze you after that,” she told the Church Times in 2022, as the Geordie Hospital documentary was first aired on Channel 4.

“I have seen the worst of humanity and I have seen, and continue to see, the very best of it.”

Ms Watson worked at the Newcastle-Upon-Tyne Hospitals NHS Foundation Trust for more than 16 years and was made head of chaplaincy in 2020.

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Channel 4’s documentary Geordie Hospital was a six-part series that filmed hospital staff through a shift, featuring a cast including porters, surgeons, dental nurses and chaplains.

Speaking about her role in the show, Ms Watson said: “We only have two things to offer, the gifts of time and presence, but we give them whole-heartedly.”

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There was an outpouring of support online for Ms Watson following the news she was missing.

“She baptised our baby boy when he passed away at birth and presided over his funeral,” one person wrote on X. “She’s such a wonderful person who gave us unwavering support through our darkest hours.”

Another said: “The compassion and care you gave me and my family when our mum passed last year was a tremendous blessing and support.”

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