"Whoever wins the (UK general) election is going to have to shortly afterwards give some program for getting the public finances back into shape," Richard Lambert, director general of the CBI, told CNBC Monday.

Homeserve posted a 25% rise in first-half core revenue Tuesday and said it was confident of hitting its full-year target. CEO Richard Harpin told CNBC that customers are sticking with the home insurance group despite the downturn.

UK mortgage approvals hit a 2-year high in October, up 98% year-on-year, according to the British Bankers Association. "Money is beginning to come back into cycle. People are beginning to have some reasonable applications. But we have to put that into perspective, the market was dead 12 months ago," David Brunning, MD of Brunning Newman Houghton, said.

Durex condom maker SSL International reported a 45% increase in first-half profit Tuesday, boosted by its newly acquired Russian business. CEO Garry Watts told CNBC Russia "will be the biggest single territory as soon as we've had it in for a full year. It will take over from the UK."

Shares in BSS Group rose Tuesday as the UK plumbing and heating firm posted a 23% fall in first-half adjusted pretax profit but maintained its dividend and said it was confident on the second half of the year. CEO Gavin Slark told CNBC the group's strategy has been to protect and gain market share during the downturn.

The UK needs to retain its open economy and attract new businesses, Andy Green, CEO of Logica, told CNBC Tuesday. Elissa Bayer from Charles Stanley joined the discussion.

UK inflation looks likely to spike up in the short term, but will be subdued over the longer term, according to the Bank of England Tuesday. Elissa Bayer from Charles Stanley, Andy Green, CEO of Logica, and Alan Clarke from BNP Paribas discuss the outlook for the UK economy.

Lloyds Banking Group completed the first stage of its massive capital raising plan. The bank said demand for its $14.9 billion bond exchange was strong. Simon Kennedy from Marketwatch.com said Lloyds got many of its bondholders to exchange their bond holdings for new notes. Wayne Bishop from King & Shaxson joined the discussion.

Prime Minister Gordon Brown spoke to UK business leaders at the Confederation of British Industry's conference Monday. Justin Urquhart Stewart from Seven Investment Management and Stephen Alambritis from British Federation of Small Businesses discuss Brown's comments.

BMW has been chosen as the official automotive partner of the London 2012 Olympic and Paralympics games. Ian Robertson, board member of BMW Group, spoke to CNBC about the sponsorship.