Construction starts on site of 280 new homes in Nottinghamshire
Midlands-based homebuilder Spitfire Homes has commenced work on the construction of 280 new properties in Radcliffe-on-Trent, Nottinghamshire.
The collection will include a range of detached, semi-detached and terraced properties ranging from one- to five-bedrooms.
The delivery of new properties also includes community contributions totalling over £2 million, including a commitment of nearly £450,000 intended for local highway infrastructure and public transport improvements.
Over £870,000 is also set to go towards enhancing and expanding Radcliffe-on-Trent Infant and Nursery, and Radcliffe-on-Trent Junior School, so they can offer more places to local children.
Matt Vincent, Operations Director at Spitfire Homes, said: “We are excited to have started on site at this new location, with Radcliffe-on-Trent marking Spitfire’s debut collection of homes in Nottinghamshire.
“We are committed to meeting the continued demand in the market for high-quality, design-led homes and strengthening our pipeline following a portfolio of successful schemes in Warwickshire, Northamptonshire and the Cotswolds.
“Radcliffe represents an opportunity to showcase Spitfire as a forward-thinking homebuilder that creates vibrant and diverse communities. Now that we have officially broken ground on site, we’ll be supporting the employment of over 850 people and investing over £2 million into the local community including contributions towards education and transport infrastructure.
“The first homes are due to be made available this autumn, with first occupations expected from Spring 2025.”
Each property will compliment the local vernacular of the surrounding area, presenting a mix of multi-tonal red and orange brickwork, and chalk white render, to create a range of varied streetscenes. Leading the team on site is Senior Site Manager, Tim O’Toole, who has been recognised at the NHBC Pride in the Job Awards for his previous two developments for Spitfire.
Tim added: “Everybody on site is dedicated to ensuring these homes deliver to the high standards associated with owning a Spitfire home. I am excited to be involved in creating a new community in Radcliffe-on-Trent and deliver properties that our customers will proudly call home, from first-time buyers to downsizers and everything in between.”
Company insolvencies soar, but it’s not all bad news for Midlands businesses
The number of monthly company insolvencies in England and Wales has soared in June, after a surprise fall in May, but it may not be all bad news for struggling Midlands businesses as new government figures highlight a growing quantity able to be rescued rather than wound up.
This is according to the Midlands branch of insolvency and restructuring body R3 and follows monthly statistics published by the Insolvency Service which show that corporate insolvencies increased by 15.7% in June 2024 to a total of 2,361 compared to the previous month’s total of 2,040, and by 17.1% against June 2023’s figure of 2,016.
The research also shows that monthly corporate insolvencies increased by 49.5% from June 2022’s total of 1,579, and by 61.1% compared to the pre-pandemic level of 1,466 in June 2019.
R3 Midlands Chair Stephen Rome, a partner at law firm Penningtons Manches Cooper in the region, said: “The rise in corporate insolvencies is driven by an increase in Creditors’ Voluntary Liquidations, which is a process usually used by smaller businesses and can be driven by cashflow problems or difficulties with access to finance.
“These latest statistics also show that compulsory liquidation numbers have risen to their second-highest level since January 2021, suggesting that creditors are taking a much tougher stance this financial year.
“But there are some positive signs in these figures for local businesses. Company Voluntary Arrangement and Administration numbers have increased compared to last month, and Administration numbers are higher than this time last year and in June 2019, indicating a growing number of businesses for which this is an option, and which have secured creditors willing to support rescue proposals.
“The reality, however, is that businesses are still trading amid high costs and cautious consumer spending. Despite recent data pointing to economic growth and falling inflation, it seems that the improvement has come too late for some.
“While retail sales rebounded in May, they are still down year-on-year, and restaurant spending fell again last month as consumers continued to be cautious with discretionary spending.
“These sectors have struggled since the start of the year and have yet to bounce back from a disappointing pre-Christmas trading period, so we may see insolvency numbers increase in the Autumn if trading conditions don’t improve.
“There was positive news, however, for the construction sector, which saw growth in May after a disappointing start to 2024 and a delay in new work at the end of last year. While the uncertainty the General Election will have brought this sector is likely to impact firms and output in the short-term, the new Government’s pledges to invest in infrastructure and encourage housebuilding could reinvigorate two key markets for this industry if they come to fruition.
“It’s also worth noting that many local businesses continue to be positive about the future, with lower inflation and the prospect of higher sales and profits boosting their confidence about the coming months, but we’ve yet to see the full impact of the General Election on the economy and purchasing decisions, and, despite their optimism about the future, organisations remain concerned about customer demand, staff turnover and meeting their regulatory requirements.”
Finch Consulting appoints accomplished health & safety expert
Leicestershire-based health and safety risk management experts, Finch Consulting, have appointed accomplished health & safety expert Richard Bowen.
With over two decades of experience in the oil and gas, defence and manufacturing industries including a health & safety director for top tier COMAH sites in the UK and EHS lead for large oil and gas capital projects in central Asia, Richard will be joining Finch as a senior consultant to help build their health & safety and process safety capabilities.
In his new role, Richard will be using his experience and expertise in risk management and process safety to support Finch’s portfolio of clients and help develop further business opportunities.
Commenting on his appointment, Richard said: “I was really impressed by everyone I met at Finch, they really have a unique blend of talent that I felt I could fit right in with. Being able to utilise my experience and skills, as well as learning some new ones, in such a dynamic and vibrant community of EHS practitioners is very exciting.
“I’m key to play a part in helping the business to achieve its growth plans and hopefully help to develop new opportunities at the same time. On a personal note, I am a passionate learner and look forward to continuing my professional development by learning from the vast expertise that exists within the Finch team.”
Dom Barraclough, Managing Director, said: “We expect Rich’s arrival to bring new opportunities for our community. He is well connected and respected and will work with other consultants to build and promote our Health and Safety capability. His assistance to Tristan (Pulford, Capability Director) in developing our Process Safety capability will be invaluable.”
Profit warnings issued by listed Midlands companies up 15% in first half of 2024
Listed companies in the Midlands issued 15 profit warnings in the first half of 2024, an increase of 15% on the same period in 2023, according to the latest EY-Parthenon Profit Warnings Report.
Companies in the Midlands issued six warnings in Q2 2024, down by a quarter on Q2 2023 when eight warnings were issued. This is the region’s lowest quarterly total since Q1 2023, when five warnings were issued.
Nationally, in Q2 2024, the number of profit warnings issued by UK listed companies fell 26% compared with Q2 2023, with 49 warnings issued – the lowest quarterly total since 2021.
Despite a decrease in the number of quarterly profit warnings, the proportion of UK listed companies issuing a warning over the past year stands at 18.4%, exceeding the peak level observed immediately after the 2008 global financial crisis.
This high level can be attributed to a significant number of ‘new’ companies issuing warnings for the first time within a 12-month period. During Q1 2024, 61% of profit warnings came from companies that had not issued one for the past 12 months, and during Q2 2024 this figure stood at 50%.
Leading factors behind many Q2 profit warnings included contract issues which were cited in 29% of warnings. As companies contended with increasing labour and supply expenditure, cost pressures rose as a key factor in profit warnings for the first time in more than 12 months and were cited in more than a quarter (27%) of Q2 profit warnings.
Jo Robinson, EY-Parthenon Partner and UK&I Turnaround and Restructuring Strategy Leader, said: “An unprecedented rollcall of global elections and geopolitical risks means that an element of uncertainty remains, potentially exerting further pressure on spending and growth. We can expect the economy to continue to recover, but slowly and unevenly.
“We have started to see more companies coming back to the restructuring table because they haven’t made the fundamental changes needed to adapt their operations and balance sheets to new demand, cost and competitive realities. Refinancing is a growing risk, with many companies surprised by the added levels of due diligence and time needed to refinance in this market.
“We expect all of this to drive a slow uptick in restructuring, but without necessarily a big upsurge in administration appointments, as more companies tackle their issues through restructuring plans and consensual agreements with creditors. The profit warning cycle may have turned, but we are at the start of the restructuring one.”
FTSE Industrial Support Services accounted for more than a fifth of all warnings in Q2 2024
While overall profit warnings fell in Q2 2024, there were a number of sectors where warnings remained high, revealing persistent and developing challenges.
Companies within FTSE Industrial Support Services, which encompasses business service providers, industrial suppliers and recruitment companies, issued 10 warnings in Q2 2024, accounting for 20% of all UK profit warnings during the period. Of the 19 warnings issued by the sector in 2024, eight have come from business services providers, seven from recruitment and training companies and four from industrial suppliers.
Warnings were also seen across FTSE Software and Computer Services (5), Retailers (4), Household Goods and Home Construction (4) and Finance and Credit Services (3).
In the Midlands, companies operating in Consumer Discretionary FTSE sectors continued to issue the highest number of warnings (eight), making up 53% of the region’s total warnings in H1 2024.
Dan Hurd, EY Partner, Turnaround and Restructuring Strategy based in Birmingham, said: “The FTSE Industrial Support Services sector is heavily reliant on business and public sector spending and is particularly vulnerable to economic fluctuations and cost-cutting measures. With 19 warnings so far in 2024, companies have cited decreased sales, challenging contract negotiations, and budgetary pressures as key concerns.
“Cost increases in labour, equipment, and debt, alongside necessary investments in supply chain improvements and new technologies, have compounded the financial strain. Recruitment companies, as business confidence indicators, have notably issued 12 profit warnings in the last 12 months.
“The sector’s challenges are exacerbated by complex outsourcing contracts and cost inflation, with nearly half of the warnings in H1 2024 mentioning higher costs. Companies are therefore having to actively manage the risks on existing contracts whilst learning from the past and trying to avoid the pitfalls of overly aggressive pricing strategies on new work.”
Contractor appointed to build new £15m health services hub for Belper
Contractor Henry Brothers Construction has been appointed to build a new £15m centre for community health services in Belper, Derbyshire.
The modern facilities – designed to have high environmental credentials to ensure long-term sustainability – will be built on the site of the former Belper Clinic, as part of the Babington Hospital site on Derby Road, Belper.
Derbyshire Community Health Services NHS Foundation Trust has commissioned Midlands-based contractor Henry Brothers to deliver the new building.
It will include environmentally sustainable features such as photo-voltaic panels on the roof to harness the power of the sun, with pledges to use local and recycled material from demolished buildings in the build where possible, along with timber from certified sources.
The health hub will feature 15 consulting rooms, six treatment rooms, a health education group room and other facilities, and will provide a range of services including community nursing, midwifery clinics, podiatry services, speech and language therapy, physiotherapy, continence advisory service, wound care and phlebotomy.
Designed by architects Race Cottam Associates, it will accommodate all existing outpatient and clinical services provided at Babington Hospital.
Ian Taylor, managing director of Henry Brothers Construction, said: “We are proud to have been appointed by Derbyshire Community Health Services NHS Foundation Trust to build this important new community health facility for the people of Belper.
“Henry Brothers has wide experience of delivering community facilities in Derbyshire and beyond, such as schools and health care services, and we look forward to starting on site.
“Once completed, the Belper health hub will play an important role in the local community, providing key facilities to residents, and we are pleased to be involved in delivering this development for Derbyshire Community Health Services NHS Foundation Trust.”
Planning permission for the new community health services hub was granted by Amber Valley Borough Council in September last year, paving the way for the process of inviting tenders and appointing a contractor, procured through the Pagabo Framework.
Jim Austin, executive director at Derbyshire Community Health Services NHS Foundation Trust, said: “We are delighted to announce the award of the contract for this project in anticipation of the start of work on site.
“Once completed, this new building will deliver healthcare facilities fit for the 21st century for people in Belper and surrounding area. It has been a long time in the planning and we’re excited to see site preparations for building work to start soon.”
Enabling work at the site is now getting under way, with a planned construction phase of 66 weeks. It is being built to BREEAM excellent standards to ensure long-term sustainability.
Other members of the construction team alongside Henry Brothers and Race Cottam Associates include project manager Capita, civil and structural engineer Eastwood Consulting Engineers, and mechanical and electrical engineers EP Consulting.
Stellar Asset Management buys Newark Golf Club
Twenty jobs and a golf club that dates back more than a century have been saved by the sale of the assets of Newark Golf Club to Stellar Asset Management, which owns a number of golf clubs and leisure resorts.
The deal has not only secured the future of the historic golf club and saved jobs, but will also deliver a significant dividend to its 400-plus members.
Earlier this year directors of the club, founded in 1901, recognised that its funds were not
sufficient to undertake the substantial improvements needed to update the 18-hole course and club house, threatening its ability to continue to operate without becoming insolvent.
With the support of the membership, the directors worked with Begbies Traynor to market the club while managing its cash flow and reserves, enabling it to continue to trade during the sale process. The sale was supported by the club’s lender Clydesdale Bank.
Yü Group records “set of strong results”
Yü Group, the independent supplier of gas and electricity, meter asset owner, and installer of smart meters to the UK corporate sector, has recorded a “set of strong results” in a trading update for the six months ended 30 June 2024.
The business saw first half revenue reach £310m, up 60% on the same period last year (£195m), despite mild Spring temperatures reducing consumption. Monthly average bookings, meanwhile, were down at £46.9m (H1 23: £51.3m and FY23: £55.5m), reflecting reduced commodity market prices. This was offset by the Group delivering a 35% increase in supplied meter points in H1 24, and 82% from June 2023, to close at 72,300 (H1 23: 39,700; FY23: 53,400).Yü Group noted it is on track to deliver EBITDA and EBIT margins and therefore profitability for FY24 in-line with current market expectations.
Bobby Kalar, Chief Executive Officer, said: “I’m proud to report a continued set of strong results; with revenue, meter points supplied energy, and meters installed increasing by c.60%, 82% and 125% respectively on the same period in 2023.
“We continue to focus on delivery of our strategy, increasing market share through our unique Digital by Default offering and supported by our new agreement with Shell, and to deliver sustainable margins as we scale.
“Cash generation is very strong and provides a good basis to support our progressive dividend policy and to invest in strategic initiatives.
“I remain excited by the future and am fully committed to delivering shareholder value. I would like to thank my fantastic team for continuing to deliver our growth trajectory and enabling the Group to benefit from its position as a key challenger brand in a £50 billion market.”
Green light for 1.5 million sq ft industrial & logistics development in Derbyshire
Harworth Group has secured a resolution to grant outline planning consent from Amber Valley Borough Council for the development of 1.5 million sq ft of Grade A Industrial & Logistics space and up to 300 new homes at its Cinderhill development in Derbyshire.
Harworth owns or controls the majority of the site through a combination of freehold ownership and under a Planning Promotion and Marketing Agreement (PPMA). Harworth is the first developer to unlock this complex site since taking control of it in 2018. Located in Derbyshire, adjacent to the A38, the Cinderhill site has a long history of industrial uses including an iron foundry and opencast coal extraction. The Group’s proposal includes land remediation, site servicing and installation of high-quality infrastructure to facilitate the construction of Grade A commercial units. The regeneration of this site once complete is expected to create over 1,000 new jobs and the whole scheme has been carefully designed to incorporate infrastructure capable of supporting sustainable living and provides connectivity via cycle paths, footways and bus routes. Lynda Shillaw, Chief Executive, Harworth Group, said: “The receipt of planning at Cinderhill is a significant milestone as this complex site has involved careful masterplanning over the years alongside collaboration with a number of different stakeholders. “This achievement highlights our specialist skillset and track record of securing planning and regenerating former industrial land. “We look forward to playing a part in the delivery of a high-quality sustainable scheme in a region which has a strong manufacturing and logistics presence and where Harworth continues to see strong demand for our serviced land products.”Obsequio Group secures financing solution to fuel buy-and-build strategy
Obsequio Group, a provider of fire detection, safety, security and water hygiene solutions, has secured a new senior finance package from Kartesia, a European specialist provider of financing solutions for small and mid-sized companies.
This partnership is set to fuel Leicester-headquartered Obsequio Group’s buy-and-build strategy. The financing provided by Kartesia will support strategic growth initiatives, enabling further expansion through targeted acquisitions of established compliance services and technology businesses. The Obsequio Group buy-and-build strategy focuses on broadening geographical coverage, enhancing service capabilities, and expanding market presence. Obsequio Group currently serves over three thousand public and private sector customers operating across a wide range of sectors including education, industrials and student accommodation. Additionally, Obsequio Group has a growing technology offering through its Drax Technology division, offering a range of monitoring and detection technologies. Following initial investment from Beechbrook Capital in 2021, Obsequio Group has successfully acquired and integrated eight companies including Complete Detection Systems, Genex, Drax360, APS, Brunel and Bryland. Simon Cashmore, Obsequio Group Chairman, said: “From our very early discussions with Kartesia it was evident that there was strong alignment between our teams, complete buy-in to our strategy and a genuine interest and desire to build a detailed understanding of our business, all of which contributed to us selecting Kartesia as our preferred partner for the next stage of our journey. “During the last 3 years we have successfully acquired and integrated a number of businesses into the group and we are delighted to be able to confidently progress our strategy with the financial support of Kartesia, and indeed our partnership with Beech Tree Private Equity.” Daire Creighan, at Kartesia, said: “We are excited to partner with Obsequio Group and Beech Tree Private Equity to support the next chapter of their impressive growth story. “As one of the UK’s fastest-growing founder-led companies, Obsequio Group has significantly expanded its service offerings and geographical presence, demonstrating a commitment to constant innovation and service quality in the fire safety and adjacent compliance sectors. “Their impressive M&A and integration strategy has established Obsequio Group as a market leader across the UK in fire safety and compliance, and we look forward to supporting their ongoing growth and success in partnership with Beech Tree Private Equity.” Ben Cartwright, at Beech Tree Private Equity, said: “We’re delighted to have secured this financing package with Kartesia. This deal will not only enable Obsequio to accelerate its organic growth plans, but will also provide significant additional firepower to pursue other high quality compliance services and complementary technology acquisition targets. “We have a clear plan to build Obsequio into the leading technology-enabled compliance services provider in the UK and I firmly believe that Kartesia’s support over the coming years will help us to achieve this.” Paul Whitehouse, at Beechbrook Capital, added: “It has been a pleasure to work with the Obsequio team over the last three years and support the early stages of their buy and build journey. We look forward to seeing where the next stage takes them and wish them all the best in their future partnership with Kartesia.”Colleges propose merger
Loughborough College and SMB College Group are proposing a merger, following the latter’s financial trouble.
The two colleges are currently in a consultation period, whereby they are working closely with key stakeholders to ensure the new offering meets the needs of the region and shapes professional futures through the development of skills.
Corrie Harris, Principal and CEO at Loughborough College, said: “This partnership represents a highly exciting proposition, promising significant benefits and opportunities for students, staff, and employers throughout Leicestershire.
“We hope that it will be transformational, by delivering greater economic prosperity and by offering a larger number of students from across our region an outstanding experience.”
Dawn Whitemore, Principal and Chief Executive of SMB College Group, said: “This strategic partnership marks an exciting step forward for both our colleges as we combine our strengths to enhance educational opportunities for our students and community.
“We are pleased to be working with a partner with the same values and passion as SMB College Group.”
Following the consultation period, both organisations will create a joint merger steering group of governors to oversee the proposal and perform due diligence, with an anticipated merger date of 1st August 2025. Final approval also needs to be secured from the Education and Skills Funding Agency and Department for Education.
This proposed merger will strengthen the current growth plans for both colleges. These include more than £35m investment in significant projects such as the East Midlands Institute of Technology (EMIoT) and the Digital Skills Hub at Loughborough College in addition to £20m investment in the brand-new Land-based and Agri-tech centre at SMB College Group’s Brooksby campus.
