Ibstock, the manufacturer of building products and solutions, has seen a dip in profit and revenues.

According to results for the six months ended 30 June 2024, revenues reduced by 20% to £178 million, down from £223 million in the same period of 2023.

The firm said this principally resulted from lower sales volumes across the core business, with lower market demand compounded by exceptionally wet weather.

Statutory profit before tax, meanwhile, dropped to £12 million from £30 million.

Joe Hudson, Chief Executive Officer, said: “Market conditions remained challenging in the first half, as expected, with sales volumes below those reported in the comparative period. We delivered a solid profit performance for the period which reflected our ongoing focus on the active management of cost and margin.

“Lead indicators point to an improving sector picture, and although we are taking a cautious view of the extent to which this will translate into a demand improvement in the balance of the year, we expect adjusted EBITDA for the second half of the 2024 year to be broadly in line with the comparative period in 2023.

“The new government’s commitment to increasing the supply of new homes creates a more positive backdrop for medium term demand, and the Group remains well-positioned for market recovery.

“Our investments over the last few years have added high quality, lower cost, efficient and more sustainable capacity to our network and developed new capabilities for the group in diversified construction markets, while also creating a leaner, more customer-focused business. We believe this will be a powerful combination as market conditions improve.

“The fundamental drivers underpinning demand in our markets are firmly in place and our prospects remain strong, underpinned by our robust balance sheet.”

Clinigen, a Burton-based specialist pharmaceutical services business, has acquired Kinesys Consulting, a provider of strategic regulatory affairs, regulatory/medical writing, and medical devices services for the pharmaceutical and biotechnology industries. This strategic acquisition strengthens Clinigen’s ability to offer clients comprehensive high value services across the entire drug development and commercialisation lifecycle. Kinesys adds valuable expertise in regulatory strategy and execution for drugs and medical devices, complementing Clinigen’s existing capabilities in regulatory affairs, pharmacovigilance, medical information, clinical trial services, licensed and unlicensed distribution, managed access, and commercialisation. The Kinesys team of experts will integrate into Clinigen’s Lifecycle Services division. Kinesys also brings a respected scientific and regulatory advisory board, comprised of seasoned industry veterans, including former regulatory agency assessors. Clinigen was advised on the transaction by BDO LLP and Stevens & Bolton LLP, while Ernst and Young LLP and JMW Solicitors LLP acted as financial and legal advisors to Kinesys Consulting. Clinigen CEO Jerome Charton says: “At Clinigen, we’re dedicated to ensuring everyone has access to the treatments they need, and this acquisition unites Clinigen’s commitment to healthcare equity with Kinesys’ specialised expertise, solidifying Clinigen’s position as a life sciences leader. “By combining the expertise of Kinesys with our existing services, Clinigen will be better positioned to achieve our mission of accelerating the development and delivery of life-saving treatments to patients worldwide. This move underscores our commitment to helping our clients navigate the complexities of developing and commercialising drugs and medical devices, bringing innovative therapies to patients faster.” Co-founder of Kinesys Consulting Elaine Murphy says: “At Kinesys, we specialise in guiding clients through the intricacies of regulatory strategy and execution for drugs and medical devices, as well as providing a high-quality medical/regulatory writing service. This strong foundation allows us to support our clients throughout the entire development journey. “By joining Clinigen, we’re excited to offer both our existing clients and Clinigen’s a seamless path from navigating initial regulatory hurdles to achieving successful market access.” Co-founder of Kinesys Consulting Gerry McGettigan says: “Clinigen’s commitment to improving access to crucial treatments for patients across the globe make them the perfect partner to take Kinesys into its next exciting chapter. This partnership unlocks new horizons for Kinesys. “By joining forces with Clinigen, with its leading expertise across the entire drug development landscape, we can create a truly powerful force for accelerating patient access to life-saving treatments on a global scale.” Both Elaine Murphy and Gerry McGettigan will remain within the business to ensure a smooth transition and bring their wealth of expertise to Clinigen’s new Lifecycle Services division.

HMRC’s annual report suggests that the tax authority is getting much tougher on historic R&D tax relief claims it suspects may be incorrect or fraudulent.

The new statistics show that the tax under consideration in R&D investigations being carried out by HMRC’s Wealthy and Mid-sized Business Compliance Directorate has doubled over the past year to reach £641m in 2023/24.

Over the last few years, there has been increasing concern about the level of fraud and error in R&D claims. Last year, HMRC published a new analysis of R&D claims in 2020-21 which estimated that almost a quarter (24.4%) of claims by value in the SME scheme and 3.6% of claims in the RDEC scheme were either incorrect or fraudulent – with a combined cost to the Exchequer of an estimated £1.13bn.

While the new report shows the estimated level of “error and fraud” in claims for 2022/23 is almost unchanged, HMRC estimates that its policy and operational measures in 2023/24 – notably the introduction of the Additional Information Form – will have reduced the overall level of error and fraud in claims to 7.8% overall (down from 13.3% in 2022/23).

Commenting on the report, Carrie Rutland, Innovations Incentives partner at accountancy and business advisory firm BDO, said: “We’ve been aware of an increase in HMRC activity in relation to historic R&D claims. Buried in the detail of today’s report are clear signs that the tax authority is getting much tougher when it comes to investigating past claims it thinks were wrong or fraudulent. “In our view, the published increases in tax under consideration must equate to a lot more R&D investigations.

“With an increase in targeted HMRC activity, many businesses may find they are subject to an enquiry triggering a large clawback in R&D tax credits. Many will require specialist advice to ensure their claims, both historic and current, are watertight.”

Builders’ merchant Travis Perkins has battled through a challenging first half of the year, with profits and revenue declining. For the six months ended 30 June 2024, the business delivered revenue of £2.3bn, down 4.4% versus the same period of the prior year. The decrease in revenue was driven by the firm’s Merchanting segment which experienced a combination of activity across the construction sector remaining subdued and significant price deflation, predominantly on commodity products. Adjusted operating profit of £75m, meanwhile, was £37m lower than the first half of 2023. Moreover, adjusting items of £32m recognised in the first half resulted in statutory operating profit of £38m, down from £107m. Nick Roberts, Chief Executive Officer, said: “Trading conditions have remained challenging through the first half of the year and we have continued to prioritise delivering for our customers whilst also recognising that a persistently lower volume environment means that we have to deliver a simpler, more efficient business. “Whilst market conditions have impacted on our trading margin, we have made good progress on managing our overhead base and generating cash. “With a new government quickly setting out its plans to reform planning to deliver more housing and infrastructure, and the expectation of an easing in macroeconomic conditions, the Group is focused on ensuring that it is well placed to maximise the benefits from both a future recovery in demand and the long term requirement for the UK to expand and decarbonise its housing stock.”