Switch flicked to give Derby a “once in a generation” internet super-boost
An internet supplier has cut the ribbon to begin offering thousands of Derby homes and businesses access to the city’s new full-fibre internet network, describing it as a “once-in-a-generation opportunity to prosper.”
Gigabit Networks joined forces with Derby Mayor Councillor Robin Wood to officially launch its service at a ceremony held last week (Dec 2).
Derby is the first city in the East Midlands and among the first in the UK to enjoy the benefits of full-fibre internet technology, which will enable subscribers to stream TV, take part in video conferencing or use cloud computing quicker and more reliably than at present.
The technology is being seen as a game-changer for the city because not only will the superfast speeds give its businesses a huge commercial advantage over competitors in others cities, but, as Councillor Wood pointed out, it also promises to boost Derby’s bid to become a City of Culture in 2025 and could be vital in helping the city win the race to become home to the new state-owned rail transport body Great British Railways.
Gigabit Networks, which is operating from an office in Uttoxeter Old Road, is working in partnership with CityFibre, which is installing the all-important cabling that will create a full fibre internet network beneath Derby’s streets as part of an initial £45m private investment.
The network uses 100% underground fibre optic cables, which transmit data quicker and more reliably than the traditional copper wire network and have so far been laid outside 8,000 homes and businesses in parts of Mackworth, Allestree, Mickleover, Abbey, Arboretum and Darley wards.
CityFibre is laying more and more cable every day, but since it is the installer and not an internet service provider (ISP) itself, it does not connect individual properties to the network itself. Instead, it is working in partnership with companies like Gigabit Networks.
Dan Ilett, co-founder of Gigabit Networks, said: “Our recent experience of lockdown showed everybody how critical good connection speeds are and, with more and more data being shared and received across the internet each day, the need for a fast and reliable connection is only going to grow.
“Derby is now able to handle that growth thanks to its new network, meaning that this is a once-in-a-generation opportunity for the city to prosper while others are being left behind. This is why we’re incredibly excited about giving everybody in Derby the opportunity to get on board.”
David Yates, co-founder of Gigabit Networks, added: “Full fibre is only available to around 20 per cent of UK premises, which means that Derby is right at the very forefront of this technology and has a huge commercial advantage because of the internet speeds that are now at its companies’ finger-tips.”
Speaking at the launch just before he announced the service had gone live, Councillor Wood said: “I am proud to say that I am now one of the first people to be able to say that they are Mayor of a Gigabit City. That is very important, because Derby’s future plans rely on connectivity, so you are giving us exactly what Derby needs at the right time.”
It will take until 2025 to install the entire digital infrastructure across Derby.
East Midlands region to deliver disappointing economic growth rates in latest analysis
A new economic report has highlighted the significant challenges for the economies of Nottingham, Derby and Leicester with all three cities set to produce relatively slow growth over the next 12 months.
The UK Powerhouse study, which has been produced by Irwin Mitchell and the Centre for Economics & Business Research (Cebr), analyses 50 of the largest local economies by employment and GVA growth.
In the latest report, Derby is ranked 11th for year-on-year GVA growth in Q4 2022 with its economy due to increase in size by 2.9%. Leicester’s economy is predicted to grow at a slower rate of 2.6% whilst Nottingham, with the largest economy in the region, is set to see growth of 2.3%.
Nottingham’s rate of growth is a full percentage point behind hotspots in the South including Reading, Oxford, Cambridge and Milton Keynes.
Despite Nottingham’s GVA growth being the lowest in the region, its expected employment level growth in 2022 of 1.4% is higher than Derby (1.1%) and Leicester (0.8%).
Similar to GVA levels, the levels of employment growth were much slower in East Midlands than they were in hotspots such as Oxford (3.2%), Chelmsford (2.5%) and Cambridge (2.5%).
Hannah Clipston, partner at Irwin Mitchell, said: “The UK’s economy has undergone significant change over the last two years and this report highlights that the recovery is unlikely to be linear or even uniform.
“Over the next 12 months our report predicts that manufacturing’s output will grow by 3.5% whilst for hospitality it will grow by 35%. This has a huge impact on the variations that we are seeing in terms of growth in different locations and should be considered by the government as it looks to level up.”
Irwin Mitchell’s report also examines to what extent disruption in the economy leads to innovation.
Here the study reveals that the South West and the South East have the largest share of businesses engaged in innovative activity. According to the study, 41% of businesses in the South West are defined as innovative compared to 38% in the East Midlands.
Hannah added: “Businesses have been incredibly resilient over the last couple of years and have faced many disruptors including Covid, labour shortages, supply chain issues and high fuel costs.
“Our latest study recommends that irrespective of the sector they’re in, organisations should be adopting technology more quickly and adapting to the UK’s new status after Brexit.
“All of this will require a shift in approach and for innovation to be celebrated and nurtured more than it is currently. It’s vital that businesses are encouraged to follow this path and receive the right level of support in order to help them succeed.”
Half of Midlands construction firms not confident they will achieve net zero by 2050
As the urgency for the shift to a net zero economy becomes more prominent, a brand-new piece of research has identified that nearly half (43%) of the UK construction industry is not confident they will achieve net zero by 2050 and this is even higher in the Midlands at 49%.
For the sector, which contributes over 40% of the UK’s total carbon footprint, to reduce
emissions and achieve net zero by 2050, it needs to address three key challenges, according to a piece of industry research commissioned by Bramble Energy – a hydrogen fuel cell technology startup:
1. Education and an understanding on the solutions available
2. A net zero ambition which is realistic and ultimately, achievable
3. Full transparency on the government funding available.
Research specific to the Midlands follows the national trend. Over three quarters (81%) of
participants believe the government can be clearer in how it expects the construction industry to hit carbon targets and ensure the net zero ambition is not a pipedream.
The survey also revealed that over four fifths (81%) of the construction industry, 82% regionally, has not taken advantage of any hydrogen government funding schemes available to them. In the Midlands, only 37% of the industry know funding is available – nationally it is just under a half (48%).
Chief product officer, Peter Sayce, at Bramble Energy says: “Inherently the construction industry is a heavy carbon emitter and continues to be the focus of many planned government initiatives and policies, as well as public scrutiny. The urgency to act on climate
change has never been greater, and the construction industry – like all others – has a moral and legal responsibility to address the climate emergency and accelerate sector decarbonisation.
“The construction industry is already demonstrating clear intent with the launch of major
projects like HS2. Yet our survey revealed some genuine challenges that continue to face the sector in order to achieve net zero. Yes roadmaps are being put into place by industry experts but the picture being painted is that all parties have to take their share of the responsibility. Construction firms have to become better educated on solutions and support available, and the government has to be more transparent in its support.”
Earlier this summer, the UK government tipped hydrogen as being one of the country’s carbon cutting solutions by launching a dedicated strategy to kick-start the UK in becoming a world-leading hydrogen economy. The vision promises to unlock up to £1 billion in UK
government support for hydrogen and other low carbon technologies, including over £400m for hydrogen specifically. This received huge criticism from industry experts claiming the amount of funding will mean the UK will struggle to deliver at scale because it is dwarfed by the billions earmarked by European counterparts like Germany and France.
Earlier this month more than 100 organisations led by the UK Green Building Council (UKGBC) launched the Whole Life Carbon Roadmap – a vision and actions for achieving net zero carbon in the construction and demolition of buildings and infrastructure.
The benefits of hydrogen power are well documented. Not only does it help reduce carbon
footprint, it is reliable and easy-to-use, its only emission is water and when in operation is
virtually silent. Yet what is stopping the construction industry from implementing it, is cost with 65 percent of participants claiming it was their biggest barrier to entry – from cost of raw materials and overall operating costs to cost of replacing legacy equipment and initial
investment.
The survey did reveal that four percent of the construction industry have already started to
implement hydrogen, with another six percent considering it in the very near future. The good news is innovation continues. Last year Siemens Energy installed a zero-emission hydrogen fuel cell to provide off grid power to the National Grid’s Viking Link construction site and JCB announced earlier this year its development of the construction’s first ever hydrogen powered excavator.
“As more and more construction firms start to strategically prioritise or consider the pursuit of a sustainable world, the more change becomes a reality in how the industry currently powers its sites. The race to net zero is proving to the world that hydrogen will be part of the solution in tackling carbon emissions – for today and tomorrow. After all the talk, it is time for action!
“The climate crisis is the biggest challenge humanity faces and speed is of the essence. COP26 presented a stark warning of the dangers involved when ignoring climate change and lack of action. Everyone has a part to play – this includes the construction industry, but more importantly, those who have access to insight, knowledge and tools to bring it to the forefront and make tackling climate change a collaborative effort,” concludes Sayce.
Booster for business investment needed to sustain the recovery & unleash UK’s potential – CBI economic forecast
The foundations for the UK’s economic recovery remain firm despite global supply challenges weighing on growth in the near-term, according to the latest CBI economic forecast.
However, short-term headwinds – including rising costs and shortages – have grown since the business group’s previous forecast in June. Longer-term challenges, notably persistently poor productivity, underline the need for a booster for business investment to support sustainable growth.
The CBI is forecasting 6.9% growth in GDP over 2021 and 5.1% in 2022, revised down from 8.2% and 6.1% respectively. It should be noted that this largely reflects weaker than expected outturn data since the CBI’s previous forecast. The business group’s forecast expects supply chain frictions to largely dissipate by the middle of next year. Earlier in the Autumn, the Government formed the supply chain advisory group to grip these issues.
Overall, household spending remains the key driver of GDP growth, generating 90% of growth in 2022, and two-thirds in 2023. This is supported by a further improvement in real income, and households running down excess savings accumulated during the pandemic.
The resilience of the UK’s labour market has been a real success story, thanks largely to the Government’s Job Retention Scheme, which helped stave off potentially large-scale job losses. Continued employment growth over the next couple of years also supports household spending.
Business investment appetite has recovered somewhat and, spurred by continual economic growth, it rises briefly above its pre-pandemic level at the end of 2022 (growing by 8.2% over the year as a whole). However, this recovery is short-lived, with capital spending falling from mid-2023, as the super-deduction comes to an end and the rise in corporation tax kicks in. As a result, business investment will continue to lag other advanced economies.
The recovery in exports is also expected to be lacklustre, following disappointing growth over this year so far.
The forecast predicts CPI inflation to peak at 5.2% in April next year. It is set to remain above the Bank of England’s 2% target until Spring 2023, which will hit pay packets and offsets some of the positive underpins to consumer spending.
Tony Danker, CBI Director-General, said: “The challenge for January 1st is now very clear for the UK economy. Significant headwinds and rising costs of living threaten the extent of recovery and prospects for economic success. These hurdles for firms will provide a major test for Government – can they foster sustainable UK investment and growth?
“The UK’s New Year resolution must be to give firms the confidence to go for growth. We should be raising our sights on the economy’s potential and seizing the moment. “I know from speaking with firms of all sizes that they have an ambitious investment mindset, and are anxious to implement growth plans.
“But while intentions have thawed, we’re coming up to a cliff-edge in 2023. The super-deduction is a welcome catalyst, but a one-hit wonder isn’t enough to make up for four decades of underperforming business investment. We must build on its success with targeted measures encouraging the scale of investment we need, particularly in green technologies. A booster for growth is needed to protect and build on our recovery.
“But this isn’t just a challenge for government. It’s also up to businesses to step up and be part of the solution. Investment in technology and skills are among the most important steps firms can take now that will power productivity growth.
“Government has key levers at its disposal to back business: pro-investment and pro-innovation regulation to help build new markets, a competitive tax regime that incentivises business investment across the board and new market-making interventions, for example on clean energy. Getting this mix right will pay dividends over the longer term, jumpstarting the UK’s flatlining productivity and set us on course for a brighter new year.”
Rain Newton-Smith, CBI Chief Economist, said: “We expect a pretty firm economic recovery ahead, though understandably the emergence of Omicron poses another downside risk to our forecast.
“Ultimately this underscores the need for equitable distribution of vaccines across the world – supporting lives, livelihoods and freeing our international travel sector, boosting trade too. The emphasis must be on testing and using all the tools at our disposal to keep as many global routes open as possible.
“Increasing exports is also a vital component of sustainable growth. Exporting companies are more productive, resilient and help create internationally competitive UK regions.
“Let us be candid: UK exports are being outpaced by our global peers which, if allowed to continue, will negatively impact our economy in the long term.
“We must continue to address market access barriers globally while supporting all businesses to seek growth internationally.
“The export strategy is a positive step forward with the extension of the new Export Support Service, and a welcome focus on the UK’s world-beating services sector. We now need to follow through on delivery.
“And there’s more we can do at home, too. By matching our peers on R&D spending we can build on existing UK strengths in areas like life sciences, higher education and decarbonisation to become the science superpower we all want to see.
“But let’s not forget the importance of normalising relations with the EU – our biggest and nearest trading partner – which will aid cooperation in a host of other areas.”
Key forecast data:
Jobs and household spending
- Household spending is set to increase by 7.6% in 2022 and 3.1% in 2023 as real incomes recover, and employment growth strengthens
- Recovery in the labour market continues with early data indicating only a minimal impact on jobless numbers following the end of the Job Retention Scheme.
- The CBI expect a relatively short-lived rise in jobless numbers at the end of this year, after which unemployment falls back steadily, ending the CBI’s forecast (3.8%) at its pre-COVID level.
- However, CPI inflation is expected to pick up further ahead, peaking at over 5.2% in April 2022 – driven by a combination of base effects from 2020, rises in Ofgem’s energy price cap, higher fuel prices and supply chain pressures. This will hit living standards, with real wages set to fall year-on-year for much of 2022.
- Business investment continues to recover over the coming year, rising briefly above its pre-pandemic level by 2022. However, it then falls from mid-2023 and ends the CBI’s forecast 3% below its pre-COVID level at the end of that year
- At the end of 2023, the CBI expect GDP to still be 3% below its pre-COVID trend.
- Poor productivity persists over the CBI’s forecast: despite the recovery over the next few years, output per worker remains 17% below its pre-2008 trend at the end of 2023
- With the recovery in UK exports lacklustre in the CBI’s forecast, and imports growth kicking off on a stronger footing, the CBI do not expect any support to GDP from net trade.
- The CBI expect global GDP growth (in purchasing power parity terms) at 5.7% in 2021, 4.7% in 2022 and 3.8% in 2023. Most of the economies that the CBI forecast are set to surpass their pre-pandemic levels of GDP at the end of 2022.
- But the global recovery is also likely to be very skewed, with emerging economies lagging behind, due to slower vaccine rollouts and limited space for policy support.
Christie & Co announce the sale of Derby’s iconic Old Bell Hotel
Specialist business property advisor, Christie & Co is delighted to announce one of Derby’s oldest buildings and last surviving coaching inns, the iconic Old Bell Hotel is up for sale with a guide price of £1,500,000.
Set in the heart of Derby’s historic Cathedral Quarter, this charming inn dates back to 1650 and was once considered one of the most prestigious coaching inns outside of London. From Bonnie Prince Charlie’s army to Paul McCartney, the Grade II listed building has played host to many guests over the years.
The current owner, local businessman Paul Hurst acquired the hotel in 2012 and set about an award-winning three year restoration project worth over £1 million, that saw the hotel transformed into a popular destination venue for shows, corporate events and weddings.
Mr Hurst comments, “After a decade of hard work, it is time to hand the baton over to someone else who can take the business to the next level. That is why we engaged Christie and Co, who I know will find the right owner to look after the building and fully appreciate its heritage and importance to our city.
“One of our greatest assets here is our fabulous team,” he continued, “who share the same passion and drive for the building and our customers, to ensure they have the very best experience, whether popping in for a pint, relaxing with a coffee, enjoying a show or getting married! It has been an absolutely honour and priviledge to be the custodian of The Old Bell, working with such an incredible team. I really am dreading my last day as I am sure it is going to be very emotional.
“Following the sale, I will be proud to join a long list of people who have made their mark on this incredible building over its 372 year history but our many loyal customers should be reassured that it will continue to be business as usual throughout the transition to new ownership.”
The substantial building features five bars and several function rooms, including its Grand Regency Ballroom, as well as a 60-cover restaurant. The former hotel rooms are currently used as storage and office space, presenting a fantastic development opportunity for an incoming owner to reintroduce an accommodation offering.
Gavin Webb, Senior Business Agent at Christie & Co comments, “The Old Bell Hotel is a property of historic significance in Derby and opportunities of this nature rarely come to the market. New owners will have the opportunity to further develop the business by creating up to 12 letting bedrooms in the upper floors of the premises”
DHP Family backs team with promotions for key marketing roles
DHP Family has made two key promotions within the marketing team as it continues its commitment to develop talent within the company.
Following a recruitment process open to internal and external candidates, Anwyn Williams has been promoted to head of marketing and Matt Newton is stepping up to become marketing manager.
Anwyn will lead the team, overseeing marketing output across DHP’s concert and festival roster, including some of the company’s biggest arena and theatre tours working with artists such as James Blunt, The Human League, Sam Fender, Rufus Wainwright and Happy Mondays.
Anwyn also manages the marketing for the Dot To Dot Festival, and is a member of the internal teams that deliver the Women in Music initiative, set up to address the gender imbalance within the music industry, and Beat The Streets, a multi-venue event in Nottingham to combat homelessness that has raised nearly £250,000 for the charity Framework.
Originally from Leamington Spa, Anwyn moved to Nottingham to study at Nottingham Trent University in 2010 and became involved in the music scene through performing and promoting herself as an artist.
Staying on after graduation for the city’s vibrant music scene, she began working at DHP as an assistant in 2014, before rising through the ranks of the marketing team based at the company’s head office.
Anwyn said: “I’m extremely proud to be taking on this next challenge with DHP, a company that has encouraged and helped me to grow and develop throughout my career in the music industry.
“Having worked at every level of DHP’s marketing department since joining seven years ago, I’m very pleased to have the opportunity to lead and shape our amazing team, and I’m certain that we’ll see many more talented people rising through the ranks for years to come.”
Newly promoted marketing manager Matt Newton also started out as a marketing assistant less than five years ago and praised the company’s commitment to its staff.
“DHP Family has always been about nurturing staff and developing people to the best of their abilities. I feel privileged to be another example of this in my new position.
“In this new role I will be leading the marketing for DHP Family’s 25,000 capacity Splendour Festival as well as many more concerts and tours. I’m really looking forward to helping continue DHP’s reputation for creativity and innovation under Anwyn’s leadership.”
MAG to host virtual ‘Runway to Recovery’ event for SMEs close to Manchester, London Stansted and East Midlands airports
Small and medium sized businesses can learn more about how they could become a supplier to the UK’s largest group of airports. Manchester Airports Group (MAG) will host a ‘Runway to Recovery’ meet the buyer event on Wednesday 8th December.
The virtual event will be free to join for all and will be hosted by senior leaders from across the Group. The Managing Directors of all three MAG airports – Manchester, London Stansted and East Midlands – will provide an overview of their respective businesses, alongside information from MAG’s procurement team about the process of becoming a supplier, and current available opportunities.
Businesses from across the airports’ surrounding areas in the North West, East Midlands and East of England can sign up to the event here to learn more about their local airport and the wide ranging business opportunities they provide.
The Group works with hundreds of partners and suppliers at each of its airports, spending more than £780million annually. Suppliers are critical to the effective running of the airports’ operations, which collectively welcomed over 60 million passengers in 2019.
As well as gaining insight into working with MAG, businesses can also learn about how to become a leader during changing times through the use of innovation and technology, as well as have an opportunity to network with like minded businesses.
MAG had previously hosted a meet the buyer event at London Stansted Airport for a number of years, and after its long running success, decided to roll the scheme out across the Group to promote the creation of local supply chains which support local businesses.
Neil Robinson, MAG CSR and Airspace Change Director said: “Our ‘Runway to Recovery’ meet the buyer event will provide SMEs from the areas local to all three of our airports with the opportunity to get a unique insight into how they could do business with us.
“By hearing from our airport Managing Directors and our procurement teams, businesses can see how their product or service could contribute to our supply chains which help our airports run seven days a week, 365 days a year.”
Link to event sign up:
Registration Form – Runway to Recovery (weareumi.co.uk)
Long Eaton marina operator completes strategic acquisition of counterpart
Aquavista, the Long Eaton-based marina operator, has expanded its marina portfolio with the strategic acquisition of Castle Marinas.
The Midlands-based firm will see its portfolio expand with an additional 11 marinas added to its footprint at new locations, including Crick Marina, home of the world-famous Crick Boat Show, and the Birdham Pool Marina at Chichester Harbour.
Speaking following the announcement, Aquavista CEO, Steve de Polo, said: “We are delighted to announce the acquisition of Castle Marinas and look forward to the exciting opportunities that this will bring to our customers across all 29 of our UK-based marinas.
“Aquavista believes that life is better by the water and our purpose is to help our customers live that life. Since 2019 we have invested more than £3m into our marina estate, improving marina facilities and helping to deliver a great waterside experience, whether you live, visit, or work at an Aquavista marina.
“Both Castle Marinas and Aquavista have a proven track record of providing a high-quality experience to our customers and we look forward to continuing that tradition through our new combined offering.
“At Aquavista we pride ourselves on investing in our waterside teams, ensuring that our customers’ lives are made as easy as possible. I am delighted to have already begun to meet with the waterside teams at the 11 Castle Marinas to hear their views on how we can work together to further improve the marina experiences.”
Operations director, Mike Braidley, from Castle Marinas, said: “Castle Marinas is very pleased to have reached an agreement with Aquavista. It is clear how closely our mission statements align, and we believe Aquavista is ideally placed to continue to deliver and indeed improve on our commitment to be ‘Big enough to cope, small enough to care’. This transaction will support our waterside teams to continue providing a friendly, helpful and professional service at all our locations.”
rg+p promotes three new directors
Multi-disciplinary design practice, rg+p, has promoted three longstanding employees to directors.
Melvyn King becomes technical director, John Roberts is technical associate director for housing, and Ben Walton is design director.
Collectively the trio has amassed over three decades with rg+p, delivering some of the firm’s flagship schemes including Royal Warwick Square in Kensington and Chelsea, Leicester’s Sock Island waterfront regeneration, the award-winning Passivhaus homes at Heathcott Road and the 692-bed student scheme at The Bendigo Building in Nottingham.
“Melvyn, John and Ben are significantly talented architects, with a breadth of knowledge and expertise that the practice draws upon regularly,” said James Badley, rg+p’s director.
“They each champion the creation of sustainable buildings through design quality and technical accuracy, and as such, have become well-respected by both our team and clients. My co-directors and I were pleased to reward these three professionals with well-deserved promotions and begin a new phase of business growth.”
Whilst Melvyn, John and Ben’s promotions have specific practice-wide responsibilities, each is also expected to train the next generation and will lead in-house forums, review boards, CPD workshops and seminars.
Melvyn will also continue his longstanding partnership with De Montfort University where he provides lectures and tutorials for undergraduates studying towards BA Architecture and BSc Architectural Technology as well as mentoring and guidance aligned to the PEDR (Professional Experience Development Record) programme.
James added: “It’s really important that we continue developing new talent and we’re confident that Melvyn, John and Ben are excellent role models for our aspiring architects. The pandemic has caused swathes of changes to the architectural landscape and it’s an exciting time to be re-imagining our homes, communities, places of work and leisure.
“However, it’s also indefinitely altered the patterns of our working life. With further positive companywide changes soon to be announced, we agreed the timing was right to make these promotions to provide continuity and reassurance.”
These promotions take rg+p’s senior management to a team of nine, with Melvyn, John and Ben joining existing directors, James Badley, Alex Briars, Mitch Dale, Grant Giblett, Chris Lindley and Rob Woolston.
2022 Business Predictions: Mark Richardson, partner at BB&J Commercial
It’s that time of year, when Business Link Magazine invites the region’s business leaders to offer up their predictions for the year ahead.
It has become something of a tradition, given that we’ve been doing this now for over 30 years.
Here we speak to Mark Richardson, partner at BB&J Commercial.
I expect 2022 to be much like 2021 in terms of activity. Demand for good quality commercial freeholds has been high, and I expect once again we will see competitive bidding where investments come to the market.
On several occasions when instructed to sell we have been to ‘best bids’ not only on investments but also on land where a scarcity of opportunities has pushed prices upwards.
I think business owners are looking to sit tight and ride out any remaining uncertainty, and as such I suspect that where freehold sales do come to the market then competition between potential purchasers will be even keener in 2022 than it has been this year.
We have seen some evidence of office uptake increasing a little, and this may accelerate as and when there is more long-term certainty over economic performance.
Surprisingly, demand for retail units has been reasonable, particularly for freehold units with potential for conversion of parts to residential. Hopefully this is a sign that there is gathering momentum behind a trend to repurpose our town and city centres.
On a related front there does not seem to be any waning of developers appetite to secure funding for new build schemes, and encouragingly no seeming shortage of lenders looking to provide finance.
This is only empirical evidence but based on our own activities and work this year it does give comfort that those who are willing to put their money on the line in terms of both borrowing and lending are feeling confident in what they are doing.
£500k funding boost for Leicester’s garment industry
Leicester’s garment industry is set to benefit from a new £500,000 business support project.
The sector has received a boost after the city council was successful in a bid to the Government’s Community Renewal Fund (CRF).
It means Leicester City Council will receive £500,000 to work together with partners Fashion-Enter Ltd and De Montfort University (DMU) to offer co-ordinated support to textiles manufacturers and local textiles workers.
The project will see all three partners providing lots of practical support to participating businesses to ensure ethical compliance and best practice, support innovation and develop their workforce skills.
Deputy city mayor, Cllr Adam Clarke, said: “This is great news for Leicester and demonstrates our commitment to the garment sector locally, which is a vital part of our economy. We’re determined to help raise standards and promote best practice in the industry – and this funding will help us to do that, by working intensively with local businesses.
“We are very pleased to be working with our partners Fashion-Enter and De Montfort University on this project, both of whom bring substantial valuable expertise to the project. Specialist training providers Fashion-Enter are also working with us on our fashion technology academy, while DMU is well known for driving innovation in the fashion industry.
“Together, we can combine our expert local and industry knowledge to support businesses to become beacons of best practice, in turn sharing what they learn with other businesses to create a wide-reaching positive impact.”
DMU will be mapping all the textiles activity in the city from companies and dye houses to brands. The university will then work with companies to develop a sector growth plan – providing leadership training and shifting the focus from low cost and non-compliance to high quality products. New business models will be developed, focusing on new production systems and more sustainable methods and fabrics.
Professor Katie Normington, Vice-Chancellor of De Montfort University, said: “The city of Leicester and DMU share a rich history in fashion and textiles, and the university is delighted to be part of this far-reaching project. We will be working closely with companies of all sizes on this plan, which has the potential to re-imagine business models and develop a more sustainable future for the industry.”
Jenny Holloway, CEO of Fashion-Enter, said: “Following on from the launch of the fashion technology academy, this is more good news for Leicester! The CRF revenue will allow for a wider range of training initiatives that will offer further wrap-around support to factories and workers.
“This will include information on new learner technologies, workers’ rights and e-commerce websites for brand development. It’s time to really establish Leicester as a major quality ethical manufacturing centre of excellence.”
The project will work with local manufacturers and textiles workers on accredited skills and training via the newly-launched Fashion Technology Academy, develop links to research and innovation to drive productivity, offer support for manufacturers to adopt best practice ethical compliance procedures, and work to promote the best of Leicester manufacturing.
The funding award is part of an overall £3milllion package secured by Leicester City Council from the Community Renewal Fund, with four further projects also benefitting, including schemes to support people into employment, provide English lessons for speakers of other languages, help women in business and provide mentoring and digital support to businesses.
Parent company considering sale of Boots
Boots’ parent company is reportedly considering a sale of the Nottingham-based business, which would see it valued at over £5bn.
According to Sky News, Walgreens Boots Alliance (WBA) is lining up Goldman Sachs to advise it on a review of options that could see new owners for the retailer.
Sky News further noted that the process would be exploratory, and may not lead to an ownership change, with a floatation being considered also.
A pharmacy-led health and beauty chain, Boots has over 2,000 stores and a team of over 50,000 colleagues.
Food packaging and catering supplies business agrees deal for brand-new Ilkeston warehouse
Catering24 has agreed a deal with Clowes Developments for the development of a state of the art warehouse facility in Ilkeston after doubling in size.
The family run business adapted their business model throughout the difficult year of 2020 for the hospitality industry by providing food packaging for takeaway and delivery. Their continued growth in this area is set to rise over the next decade and Catering24 have agreed a bespoke build with Clowes Developments in the East Midlands area strategically located between Nottingham & Derby.
Catering24 have agreed a lease with Clowes Developments for the development of a brand-new purpose-built warehouse and distribution facility at Etiquette Park located off the existing Manners Road Industrial Estate in Ilkeston.
The deal marks significant expansion for the food packaging distributor who have double their turnover in the past 18 months. Catering24 has the option to purchase the property within the first 2 years which Catering24 aim to do and represents a total investment in the warehouse, equipment, racking and IT software to the sum of £2.8million.
The 27,249 sq ft warehouse & office planning application has now been approved by Erewash Borough Council and work is expected to start on site within the next couple of weeks.
Clowes Developments have instructed TanRo to construct the bespoke facility for Catering24 at the Ilkeston-based business park. The 27,249 sq ft facility will be the larger of two brand new facilities expected to be built at the site following a successful planning application submitted by the developer to Erewash Borough Council.
Catering24’s bespoke building will sit within a secure complex and will comprise of a steel portal frame single storey warehouse with integral two storey offices. The property will benefit from a secure service yard, 40 car parking spaces, 8m haunch height, 2 level access loading doors, 3 phase power supply and EV charging points.
“I have been very impressed with the team at Catering24. We have totally restructured the business in 2020 due to the pandemic. Staff have adapted well to new ways of working, software system and alternative working hours to satisfy online consumer purchasing needs. Etiquette Park will be a welcome facility to achieve even more levels of customer service which we look forward to announce in 2022,” Steve Lloyd, CEO, said.
Prominent Castlewood Gateway facility sold to ConSpare and ProSpare
Clowes Developments have sold the prominent facility on Plot 5, Castlewood Gateway, at Castlewood Business Park to ConSpare Ltd and sister company ProSpare Ltd, for an undisclosed sum.
Ashfield District Council gave the green light for a 19,438 sq ft single story industrial warehouse unit with two storey offices earlier this year which allowed Clowes Developments to press on with the construction of the prominent standalone facility at the entrance of Castlewood Business Park which has already seen 1,500,000 sq ft of industrial space built and occupied.
ConSpare was established in 1978 and is a supplier of spare parts and process improvement solutions to the UK concrete producing industry. ProSpare was founded in 2007 and serves a wide array of companies handling and processing powders or bulk raw materials, with clients in sectors such as quarrying, recycling, glass and food manufacturing.
The owners have invested in and developed their previous site many times over the last 40 years, but Castlewood provides the opportunity to take a significant step forward. 40 employees will be moving to the new facility which allows for expansion in staff numbers in the future. Both businesses are stocking distributors, the additional warehouse space, which is 400% bigger than their previous premises in Pinxton, will allow the businesses to improve the efficiency of warehousing operations and further modernise the way they work.
James Bullock, Managing Director, ConSpare and ProSpare, commented on the move to Castlewood Business Park: “The location is ideal, and the chance to plan the building ‘from the ground up’ will allow us to implement many improvements to the businesses going forward. The building also provides a great environment for our employees to work within and to hold meetings with our customers. Castlewood reinforces our drive to ‘Make it better’.
“The move to Castlewood will form the cornerstone of our relentless drive to improve our process improvement and spare parts support services. It will provide the perfect platform to continue to grow both businesses and futureproof our operations for the next 40 years. We anticipate moving into the building in Spring 2022.”
Roe Developments were awarded the construction contract for the delivery of the facility.
Small firms sound alarm as £60bn EU import checks close in
With only one month to go until the first working day on which full import controls for EU goods will apply, a UK business group is flagging a lack of capacity among small businesses to handle new paperwork.
Currently, full customs declarations for EU goods can be deferred at the point of arrival. From this coming 1 January, however, paperwork will have to be handled up front, and notice of food, drink and products of animal origin imports given in advance.
With fewer than five weeks left to prepare for the changes, new Federation of Small Businesses (FSB) research shows that only one in four (25%) small importers who are impacted by the changes, and aware of them, are ready for them to take effect.
One in eight (16%) of the importers surveyed by the group say they are unable to prepare for the introduction of checks in the current climate, and a third (33%) say they were unaware of their introduction prior to the FSB study, but will be affected by them.
Latest figures from the ONS show total imports to the UK from the EU rose 2.2% to £57.7bn in Q3 2021. The UK’s total trade deficit widened to -£39.9 billion over the same period.
FSB Development Manager, Natalie Gasson-McKinley, said: “Given the turmoil of the past 18 months, new concerns about the spread of Covid, and this being the busiest time of year for many, it’s understandable that few firms are fully prepared for the introduction of import controls from January.
“What we’re saying to firms is: there’s still time to act. Speak to suppliers to ensure you have all you need to make declarations, consider alternative providers if that looks like an efficient way forward, and think about different transportation routes.
“Stockpiling will naturally be a temptation for those fortunate enough to have the funds for it, but there is already a squeeze on warehousing space – if everyone ramps up storage, that squeeze will only tighten.
“We’re urging the government to do all it can to raise awareness, with our support, through every channel available to it in a climate where a lot of small firms simply don’t have the cash or bandwidth to manage this new red tape.
“Too little support was made possible by the first iteration of the SME Brexit Support Fund due to narrow eligibility criteria and application timeframes. Policymakers should learn lessons from that process and launch a new fund, with the same aim of helping existing international businesses with growing admin, and inspiring new ones, but with a truly global focus.
“We’ve recently had the very welcome launch of the Export Support Service. What we need now, as these stark figures demonstrate, is an Import Support Service to empower firms with the guidance and information they require to successfully navigate global trade as it evolves.”
Triumph for Sandiacre local as she’s awarded prestigious National Young Business Woman of the Year title
The founder and director of architectural design firm The Practical Planning Company has been crowned Young Business Woman of the Year at this year’s National Business Women’s Awards – and Silver Overall Winner.
Jodie Heginbotham, from Sandiacre, Derbyshire, triumphed at the national awards ceremony, which took place at the Hilton Wembley Hotel in London. The awards programme was made up of 21 categories, celebrating the most successful business women from across the UK and judged by a national panel of judges.
“Although I was very much looking forward to the awards ceremony,” comments Jodie, “I saw it just as a chance to celebrate being shortlisted, enjoy some glitz and glamour, and meet some incredible businesswomen. I never expected to actually win. Our business story began right at the end of 2019 and as such a new – and small – company, I could never have hoped to be in such a position.
“So, to be crowned Young Business Woman of the Year was beyond my expectations, and such an honour. And to then be named the Silver Overall Winner, when so many successful women from larger, more established companies were in the running, I was blown away.”
Jodie’s recent successes are the latest in a triumphant year for the firm, which also saw it shortlisted for the Architectural Practice of the Year award at the National Building and Construction Awards 2021.
Jodie hopes that her accomplishment will show other industrious and hardworking, career-conscious parents that a traditional career path is not their only option, particularly if it doesn’t allow the flexibility they need.
“I never planned to walk away from the security of employment but I’m so glad I took the plunge. I wanted to create a business I could be proud of; something that represented everything I’d been looking for, with authenticity and quality along with flexibility and professional satisfaction.
“There have been so many obstacles in the past couple of years – the pandemic, the trials and tribulations of running a small business, working in the male-dominated construction industry, and then trying to balance it all as a working mum. But it’s all been worth it and I’m so proud that I’ve now got these two awards on display in my home.”
Awards Director, Damian Cummins, says: “The National Business Women’s Awards 2021 has shown the very best of Britain when it comes to women in our workplaces. The calibre of finalists in 2021 was higher than ever before and after a challenging year for business as a nation we can celebrate those women who are literally driving UK plc forward.”
East Midlands businesses fear HMRC clamp down on IR35 compliance
With HMRC’s ‘light touch’ approach to IR35 compliance enforcement set to end in April 2022, new research from Grant Thornton UK LLP’s latest Business Outlook Tracker finds that the East Midlands mid-market is struggling to comply with the changes.
The survey found that a quarter (24%) of mid-market businesses in the East Midlands are not confident in their business’s compliance with IR35.
From 6 April 2021, for large and medium sized businesses, the responsibility for determining whether a contractor is deemed an employee for tax purposes shifted to the end-user of their services. Broadly, this means that organisations have new obligations regarding their population of contractors within scope of the updated off-payroll working rules (IR35) and could ultimately be liable for PAYE and National Insurance Contributions (NICs) on this population.
However, HMRC has confirmed that it will take a light touch approach to penalties until April 2022.
With only a few months to go before the ‘light touch’ approach ends, less than three quarters of respondents in the East Midlands (64%) were found to be confident in their business’s compliance. With only 28% responding that they were ‘very confident’.
Commenting on the results, Dave Hillan, partner and practice leader at Grant Thornton UK LLP in the Midlands, said: “Many firms in the East Midlands have been dealing with a roller coaster of changes, upheavals and challenges over the past 18 months. When combined with the fact that HMRC has been lenient on IR35 compliance penalties for nearly a year, it’s possible that many may have overlooked this issue.
“While the new IR35 rules can be difficult to navigate, this won’t be seen as a good excuse for any non-compliance, especially given that the previous 12-month delay to the reforms should have been sufficient time to prepare. For any business that isn’t sure if it’s in line with the new rules, now is the critical time to address this concern before HMRC begins its clamp down.
“Any businesses that are seen as being deliberately non-compliant will not only face significant consequences but it will also not prevent any uncollected PAYE and NICs from being due. Firms using agencies to source temporary resource should be aware that a non-compliant approach could already mean that they are on the hook for PAYE and NICs – plus interest – not collected by the agency.”
HR consultancy expands health & safety provision with acquisition
A HR services consultancy has made its largest acquisition to date, while strengthening its position in the Health & Safety sector.
HR Solutions has significantly expanded its reach in the field by bringing Essential Safety on board – a health & safety and fire safety consultancy, with a team of 12.
Essential Safety is an established Health & Safety consultancy with offices in Corby and London. Its team of experienced and IOSH qualified consultants support and advise clients in a broad range of industries and sectors, including construction, education, manufacturing, warehousing and distribution.
Greg Guilford, CEO of HR Solutions, said: “Essential Safety has an excellent reputation in the Health and Safety sector due to the expert knowledge of its consultants and its dedication to clients.
“As a result of this, the company has secured larger corporate clients, as well as working with SMEs. The company’s 25 years’ experience and its expertise compliments HR Solutions’ offering, having recently launched its Health and Safety division in 2020.
“This is a great opportunity to work with a like-minded business that has service delivery and client satisfaction at the heart of what they do.”
The acquisition is HR Solutions’ fifth over the past six years. In 2015 the company merged with Business Human Resources Solutions, followed by the acquisition of HR Services (UK) in 2017, the addition of Crispin Rhodes in 2020 and Cherington HR earlier this year.
Greg added: “Whilst HR Solutions continues to grow organically, we are excited by the opportunity of acquiring similar business to be able to offer a wider range of services to businesses.”
As a result of joining HR Solutions, Essential Safety’s clients will benefit from a wider service offering and access to additional experienced staff with extensive skills.
Dean Howells, Managing Director at Essential Safety, added: “We are delighted to be joining the HR Solutions team, who we have trusted for HR advice and support for the last 10 years. Our clients will now have access to a broader range of services and support from a wider team of consultants and advisors.
“Helping our clients succeed safely has always been at the heart of everything we do at Essential Safety, and that will not change. This new alliance will add further investment and impetus into our business, and our consultants and advisors will benefit from increased support as they continue to deliver the high levels of service our clients expect.”
With a head office in Kettering, Northamptonshire, HR Solutions operates in a variety of industries and has a client list that ranges from small care agencies to multi-national technology firms.
Frasers Group rings up nearly £1bn funding in largest retail deal this year
Frasers Group has refinanced nearly £1bn in bank facilities as it seeks to continue its Elevation Programme.
It will be able to access credit facilities and a term loan totalling £930m to support its growth ambitions. Frasers Group is on an ambitious elevation strategy and continues to invest significantly across its portfolio of retail fascias and digital platforms.
Jointly led by HSBC UK and backed by several other lenders, the deal refinances £913.5m of existing loan facilities and adds £16.5m in new funding. It is the largest bank funding package to be secured in the British retail sector this year.
Chris Wootton, Chief Financial Officer at Frasers Group, said: “Partners like HSBC UK, will allow us to continue with our commitment to the UK high street and retail sector – investing significantly into the future with our on-going elevation strategy that fuels our long-term growth.”
Richard Bacon, relationship director at HSBC UK, added: “The retail sector is undergoing immense change and it is crucial for retailers to have the capability and flexibility to evolve. Frasers Group has a clear plan in place and this substantial package is evidence of our support for, and confidence in, its future direction.”
Work to transform heart of Grimsby given boost
Plans to transform the heart of Grimsby have been given a boost with the appointment of a specialist development management organisation to lead the project.
Queensberry, a nationally recognised regeneration specialist has been brought on board to drive the “Future High Streets” town centre project forward which will create a mixed use cinema and leisure space and a new market in the centre of Grimsby.
Queensberry will coordinate the whole project, from overseeing the work to progressing planning applications, developing the business plans, through to the construction of the new facilities.
Queensberry has been working in partnership with local authority clients for over 10 years. They are currently working on a number of urban regeneration schemes that are transforming places including Barnsley, Sheffield, Doncaster, Nuneaton as well as several in London.
Cllr Callum Procter, Cabinet member for Economic Growth at North East Lincolnshire Council, said: “I’m delighted to have Queensberry on board to help us really push on with our plans to transform the heart of the town and build on the great work that’s already been done at St James’ Square and Garth Lane.”
Charlotte Dunlop, Asset Manager at Capreon, the asset managers for Freshney Place, said: “With their vision, knowledge, and extensive credentials, we are confident Queensberry will drive the successful delivery of this exciting town centre project.”
Paul Sargent, CEO, Queensberry, said: “We can’t wait to get started on the scheme with Freshney Place and the Council. We have a huge amount of experience of working with local authorities and understand the challenges that lay ahead. We recognise that Grimsby has its own personality and we will work closely with the Council and the community to restore civic pride and deliver a sustainable long term future for the town.”
This decision means that the Council, in partnership with town centre regeneration specialist, Queensberry, will now progress to the design and consultation phase, with plans to consult local residents and businesses to be announced in the coming weeks.
Earlier this year, the government awarded £17.3 million for the Future High Streets Fund bid from the Council and the owners of Freshney Place Shopping Centre.
The project will provide a leisure-led scheme for the centre of Grimsby town which incorporates a new market and food hall alongside new leisure and retail units and a new cinema.
The overall aim of the project is to provide a new space for people to enjoy the town centre’s day and evening economy.
The scheme will be delivered through the removal of some of the 1960s and 1970s buildings and retail space at the western end of Freshney Place.
