6:50 am, April 8, 2026
UK services industry hit by Iran war as ‘stagflation’ risks increase
Activity in the UK’s services sector slowed last month as business and consumer spending were hit by war in the Middle East while cost inflation accelerated, increasing the risk of ‘stagflation’, according to a new survey.
The S&P Global UK services PMI survey, which is watched closely by economists, showed a reading of 50.5 in March, down from 53.9 in February.
This marked the lowest score for 11 months, but remained above the 50.0 threshold which indicates that activity is growing.
Millions of graduates to have student loan interest capped at 6%
Millions of graduates will have the interest on their student loans capped at 6% from September after mounting criticism over repayment costs as the UK braces for the economic fallout from the Iran war.
Ministers said the move would help ‘defend against the consequences of far-away conflicts in an uncertain world’ by protecting borrowers from the risk of rising inflation.
Plan 2 student loans are those taken out for undergraduate courses and Postgraduate Certificates of Education since September 1 2012 in Wales, and between September 1 2012 and July 31 2023 in England.
Nissan adds ‘Pulse Edition’ to Juke line-up
Nissan has added more appeal to the Juke model line-up with the ‘Pulse Edition.’
The Juke was the trailblazer of the compact crossover market in 2010, and sixteen years later, the Japanese brand has sold more than 1.4m units in 50 markets across the globe.
The Juke Pulse Edition adds more style with the exterior boasting a sound-wave inspired roof decal with the Pulse name integrated into the graphic. The car is finished off in Ocean Deep paint, a contrasting black roof and door mirror caps, as well as 19-inch Aero alloy wheels with Ocean Deep inserts.
The markets
European stocks retreated on Tuesday as investors took to the side-lines ahead of the latest deadline in the Iran war.
The FTSE 100 closed down 87.50 points, 0.8%, at 10,348.79.
In European equities on Tuesday, the Cac 40 in Paris closed down 0.7%, while the Dax 40 in Frankfurt fell 1.1%.
Tuesday on Car Dealer
Jaguar boss on the personal attacks that followed firm’s controversial rebrand
Rawdon Glover said Jaguar’s controversial rebrand brought intense online backlash and personal attacks, including threats to staff. Despite this, he defended the bold overhaul as necessary to secure the brand’s long-term future and relevance.
‘They’ve bet the house on it’ – the experts’ view on Jaguar’s controversial relaunch
Car Dealer explores Jaguar’s controversial relaunch, with experts saying the bold reset was necessary but possibly mistimed. While it generated huge attention, concerns remain over demand for luxury EVs and whether the gamble will pay off.
Chinese car tops UK sales charts as EVs power best March since 2019
The SMMT reported March registrations rose 6.6% to 380,627 – the best since 2019 – driven by private demand and record EV sales. However, EV uptake still lags targets, with the Jaecoo 7 topping the charts.
Dealer group Allen Ford carries out restructure after slumping to hefty pre-tax loss
Allen Ford has launched a major restructure after a £12.5m loss in 2025, down from a £3.5m profit. Asset write-downs, weak sales and higher costs hit performance, prompting redundancies, site closures and franchise exits to restore profitability.
Lloyds sticking with £1.95bn provision for handling motor finance compensation claims
Lloyds Banking Group will keep its £1.95bn provision for the car finance scandal despite Financial Conduct Authority rule changes. A £7.5bn scheme is expected, but legal action and uncertainties mean the final industry cost remains unclear.
Wireless Festival cancelled after Kanye West blocked from entering UK
Wireless Festival has been cancelled after US rapper Kanye West was blocked from entering the UK.
Music fans who have purchased tickets for the three performances by West, now known as Ye, scheduled for July in London’s Finsbury Park, will now be refunded.
Prime Minister Sir Keir Starmer said the Gold Digger rapper, who has used Nazi imagery and faced accusations of antisemitism, should never have been invited to headline the festival.
Trump agrees to halt bombing of Iran for two weeks subject to strait reopening
Donald Trump has agreed to a provisional two-week ceasefire in the Iran war after pulling back at the last-minute from his apocalyptic warning that ‘a whole civilisation will die’ unless Tehran met his demands.
Less than two hours before his deadline passed for Iran to agree a deal, the US president said he was suspending his threat to widen the military offensive to power plants and bridges subject to the reopening of the critical Strait of Hormuz waterway.
He said Tehran proposed a 10-point plan that provided ‘a workable basis on which to negotiate’.
April 7 UK’s warmest on record and hottest day of the year so far
The UK has experienced its warmest April 7 on record, the Met Office said as the country also enjoyed the hottest day of the year so far.
Temperatures soared yesterday (Tuesday), with 24.8C recorded in Mona, on the island of Anglesey in Wales.
Today is set to feel even warmer, particularly in central and south-east England, where temperatures could reach 26C, which is ‘well above’ the early April average of 12C to 15C.
