What happened in world of business during 2023: April to June

The deal cut tariffs for UK exporters to a group of nations which, with Britain’s membership, has a total gross domestic product (GDP) of £11 trillion, accounting for 15 per cent of global GDP, according to UK officials. Critics said the impact would be limited, with official estimates suggesting it would add just £1.8bn a year to the economy after 10 years, representing less than 1 per cent of UK GDP.

The travel company Jet2 was looking forward to the summer holiday season with relish. In April, Jet2 said it was set to post almost £400m in profit for the past year as it upgraded its targets for the second time in three months. The low-cost airline and holiday firm saw shares rise after it reported “encouraging” summer bookings.

It told shareholders that it expected to record a profit before tax and foreign exchange revaluation of between £387m and £392m for the year to March. Jet2 said it would benefit from increased passenger numbers with seat capacity for this summer about 7.2 per cent higher than last year, at 15.26m seats. The group added that “forward bookings to date remain encouraging” with over three-quarters of bookings represented by package holiday customers. Nevertheless, the firm remained “somewhat cautious” over its profit outlook for the new financial year.

In May, it was also revealed that the commercial law firm Hill Dickinson had agreed a lease for 11 Wellington Place in Leeds, providing further evidence of growth and competition in the legal sector. It was reported that the firm’s rapidly growing Leeds team was set to move into the 254,879 sq ft building later in 2023.

Esther Venning, Hill Dickinson partner and head of Leeds office, said: “Having operated within Leeds for five years now, our team has grown considerably in that time. We are in a position to accelerate these plans even further as we expand our offering to new and existing clients. As such, we require an inspiring space that can grow alongside us, with 11 Wellington Place perfectly placed to offer this in the heart of the city.”

In May, most of the 14 health unions staging industrial action in disputes over pay and working conditions accepted the Government’s offer of a 5 per cent rise, bringing brief respite amid long-running disruption across public services.

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The cut and thrust of politics in Westminster was also briefly suspended as events marking the King’s Coronation took over. However, arrests of anti-monarchy activists and other groups demonstrating in London during the period reignited debate about the Government’s controversial new Public Order Act that introduced restrictions on disruptive protests. In early June, former prime minister Boris Johnson dramatically quit as an MP ahead of the publication of the Privileges Committee’s report into lockdown-busting gatherings during his time at Number 10.

The resignation paved the way for a by-election in his seat of Uxbridge and South Ruislip and reopened divisions among some in the Tory ranks, with Johnson ally Nigel Adams also announcing he would stand down. Former culture secretary Nadine Dorries also announced her resignation following a row about her not receiving a peerage in Mr Johnson’s resignation honours list, leaving Mr Sunak facing three electoral tests.

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It was also a period of change at a famous Yorkshire business. The national law firm Freeths revealed it had advised multi-disciplinary equity, lending and advisory services company Breal Capital on its acquisition of Black Sheep Brewery, its shop and visitor centre and its estate of public houses. It was stated that the deal would secure “significant local employment” and the family-run company’s future growth.

As Britain moved into high summer, the boss of a major supermarket chain warned that shoppers were still facing “disappointingly and stubbornly high” inflation. Speaking in late June, David Potts, chief executive of Morrisons, said the retailer had made continued progress but stressed that customers’ budgets are still under pressure. He said: “The momentum we reported in the first quarter has continued with further progress in our like-for-like sales and in our price competitiveness.

"Through the quarter we continued with our programme of large-scale price-cutting campaigns, complemented by quick, tactical price cuts in areas where we can see the early signs of inflation easing.”

Millions of consumers continued to feel the pinch as inflation displayed a worrying tendency to defy attempts by polcymakers to bring it under control. It was a pattern that would continue into the autumn.