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Writer's pictureCynthia Fortlage

Does the UK Budget Have Financial Consequences for Your Business?



Advice from a Corporate Veteran to Help You

With the recent UK Budget, businesses across sectors are facing a rise in costs and, in many cases, challenges to headcount and compensation structures. Having weathered three economic downturns, I know the pressures can feel overwhelming. But, with a focus on strategic responses, this climate can also provide unique opportunities for growth and resilience. Here’s what businesses can consider in five key areas, along with how I can support you in navigating each challenge.


  1. Capture Higher Financial Performance with Diversity Initiatives Given the increased expenses brought by the budget, focusing on diversity as a strategy for financial performance is a valuable opportunity. According to 2020, McKinsey & Company, Diversity Wins: How Inclusion Matters, companies with diverse leadership are 25-36% more likely to financially outperform their peers. This makes DEIB strategies not only ethical but also economically prudent investments during tough times. 

    How I Can Help: My approach aligns DEIB with strategic business outcomes, empowering your team for growth and resilience even in challenging climates.


  2. Foster Psychological Safety to Retain Morale Post-Reductions With potential headcount reductions on the horizon, establishing psychologically safe environments is essential for maintaining morale and focus among remaining employees. Research from 2020, Gallup, State of the Global Workplace highlights that psychologically safe workplaces can reduce turnover costs by as much as 41%. This level of support and trust will be vital in times of uncertainty. 

    How I Can Help: I offer frameworks for psychological safety that create supportive environments, sustaining morale and engagement even when conditions are uncertain.


  3. Reduce Turnover Costs by Retaining Top Performers Amid Financial Pressure In today’s climate, even small financial incentives can lure talent away, making retention a top priority. 2017, Deloitte, The Diversity and Inclusion Revolution: Eight Powerful Truths found that effective DEIB strategies reduce turnover-related costs by building loyalty among top performers. The current climate also presents an opportunity to attract top talent from other companies, especially those exploring new roles. 

    How I Can Help: Together, we can identify and retain high-value talent while creating an environment that attracts top performers from across the industry.


  4. Protect Client Relationships by Retaining Key Personnel In service-based sectors, losing top performers can mean losing client trust, which directly impacts revenue. Retention strategies focused on inclusivity and psychological safety are essential to maintaining these relationships. 

    How I Can Help: I’ll work with you to strengthen your team’s client connections through inclusive leadership strategies, safeguarding valuable relationships that contribute to long-term stability.


  5. Offset Rising Costs by Prioritising Innovation-Driven Revenue Research from 2018, Boston Consulting Group, How Diverse Leadership Teams Boost Innovation shows that inclusive cultures report 19% higher innovation revenue, which can effectively offset costs introduced by the budget. Cultivating psychological safety and inclusive leadership creates an environment where innovation thrives, delivering measurable financial benefits. 

    How I Can Help: With extensive experience, I guide organisations in building psychologically safe, innovative workplaces that provide tangible results and support your bottom line.


Interested in hearing more? Engagements start at £300. Contact me to book a discovery call today.

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