- Reinstate business rates relief for small businesses and bring forward the improvement relief and investment relief exemptions by 12 months
- Extend the Super Deduction scheme with a view to making it permanent at the Autumn Budget.
Manufacturers continuing to increase prices at record rates
Manufacturers are continuing to raise both UK and export prices at record levels in the face of escalating inflationary pressures across the board which show little sign of abating, according to a survey published by Make UK and business advisory firm BDO.
According to the Make UK/BDO Q1 Manufacturing Outlook survey, UK prices rose from a balance of +52% in Q4 2021 to +58%. These are the highest balances in the survey’s history and the fourth successive quarter where record numbers of companies increasing prices has been reached. Given the survey was conducted before the invasion of Ukraine and the substantial increases in the costs of energy and raw materials since, this is likely to have pushed price increases even higher.
To give an indication of just how sharply inflation has bitten, and how manufacturers have responded, the equivalent balance on domestic prices in Q4 2019 before the onset of the pandemic and leaving the EU was just +5%, with the equivalent balance in Q1 2020 +16%.
A similar picture exists for export prices where the balance reported at +50%. By contrast, the balance in Q1 2020 was +13%.
The survey shows a broad impact of escalating costs with over half of companies (54.2%) seeing a major increase in the cost of raw materials and more than a third of companies (37.4%) seeing a major increase in the cost of energy. Almost 10% of companies say that increases in both these indicators represent a ‘threatening increase’ to their business, with a quarter of companies (23.7%) saying that it will take more than two years to resolve energy related costs for their business.
In response to this cocktail of rising cost burdens for business Make UK is urging the Chancellor to use his forthcoming Spring Statement to delay the planned increase in National Insurance and examine other ways to ease business costs and boost investment. These include:
Planning permission for Nottinghamshire solar farm granted on appeal
Planning permission for the construction of a 49.9 MW solar farm on land at Southwell, Nottinghamshire has been granted on appeal.
Pegasus Group provided expert landscape, heritage and planning witness on behalf of clients JBM Solar Projects 6 Limited at the public inquiry into Newark & Sherwood District Council’s refusal of the application.
In allowing the appeal, the Inspector quoted 18th Century French soldier and politician Francois de Charette: “…you cannot make an omelette without breaking a few eggs.”
The scheme is for a 49.9 MW solar farm on a site of approximately 100ha north of Halloughton, and is set to provide a reduction of around 20,690t of CO2 and meet the energy needs of at least 12,000 homes.
Pegasus Group executive director Paul Burrell said: “This is an excellent result for our client JBM Solar Projects 6 Limited, and a real Pegasus Group team effort.
“We provided landscape, heritage and planning witness as well as full appeal project management. And as a jointly resourced office project, with our Cirencester office leading on planning and landscape while colleagues from the Leeds office led on heritage, it demonstrates how we effectively pool resources in order to provide a winning service.”
Mr Burrell said that in his report the Inspector had made some interesting observations on agricultural land and the temporary loss of food production and food security, with weight to be given to the temporary nature of the development, albeit the 40 years sought would be longer than a generation.
He said that the Inspector concluded, in terms of the planning balance, that while there would be some localised harm to landscape character and some visual harm in conflict with the relevant development plan policies, the imperative to tackle climate change as recognised in legislation and energy policy, and the significant benefits of the scheme, clearly and decisively outweighed the limited harm.
Likewise, in terms of heritage, while recognising the great weight required to be attached to the conservation of a Heritage Assets, he considered that the imperative to tackle climate change, as recognised in legislation and energy policy, and the benefits of the scheme, clearly and decisively outweighed the temporary and less than substantial harm to the Heritage Assets involved.
Mr Burrell said: “My view is that this is therefore a decision which shows the strength and weight that is presently being afforded to addressing climate change as a material consideration.”
In allowing the appeal, permission is granted for the construction of solar farm and battery stations together with all associated works, equipment, and necessary infrastructure.
Landmark West Bridgford site sale paves way for new low carbon homes
Rushcliffe Borough Council has completed the sale of its former depot site that will bring over 70 low carbon new homes to the suburb of West Bridgford.
The Council has sold the site for redevelopment to Peveril Homes and Stagfield Group.
The landmark energy efficient housing site on Abbey Road will include a mix of two-, three- and four-bedroom houses and apartments in the heart of the town. The 21 new affordable homes will enable more families and individuals to step onto the housing ladder in West Bridgford.
The 71 homes are set to include a minimum 19 per cent reduction on CO2 levels, compared with current building regulations on standard houses across the country.
They will also feature electric car charging, bike store, wildlife habitats, new trees and will meet central government’s no fossil fuels policy on new build housing, three years ahead of its 2025 deadline.
Leader of Rushcliffe Borough Council, Cllr Simon Robinson, said: “This is an exemplar individually designed scheme that will demonstrate how the Council is looking to the future in reducing carbon impact of new housing.
“We have consistently emphasised the need for new energy efficient homes. This is the ideal opportunity to deliver high quality designs to add much needed affordable housing in West Bridgford and we’re pleased to have completed the sale with Peveril Homes.
“The Council had a long-held ambition to relocate our recycling depot from this residential location to a more suitable place and this was a prime location for new homes.
“We set out to design a unique scheme with high environmental credentials and locked this into a Design Code, working alongside Allan Joyce Architects.
“The homes will be 100% electric powered with no gas, having air source heat pumps, underfloor heating and solar panels, the development will really set the standard for others to follow, locally.”
James Smith, Managing Director of Peveril Homes, says: “As the site will be completely gas-free, we are continuing to innovate our product offering.
“Our partnership with Stagfield Group assists us to evolve with each house type designed from the ground up to accommodate modern living and the ambitious carbon net goals set by Rushcliffe Borough Council.
“This development aligns with Peveril Homes’ company ethos and endeavour to provide superior quality homes that stand the test of time.”
Kevin Hard, Managing Director of Stagfield Group, adds: “As custodians of this vision and working with our partner Peveril Homes, we are excited to build and release the homes for future residents to benefit from lower energy bills, quality design and modern living.
“What first attracted us to the development land was the Council’s vision for a low energy development with ‘no gas’ and the desire to incorporate exemplar design and urban living.”
The wider team involved in the sale included Helene Maillet-Vioud, partner of real estate at Geldards, acting on behalf of Rushcliffe Borough Council, and Guy Winfield, partner at Freeths, acting for Peveril Homes and Stagfield.
The Council also worked with Savills’ development team in Nottingham.
Hucknall site sold to Pegasus Hire Limited
Byron Station House on Baths Lane in Hucknall has been sold to Pegasus Hire Limited.
The site consists of a large residential dwelling with commercial buildings and yard to the rear.
The entire site is circa 0.33 acres and located next to Hucknall’s tram/train station, Tesco, McDonalds, Aldi, Iceland and other major occupiers.
The vendors had lived in the house and had ran a scaffolding and skip business from the property for many years.
Pegasus Hire Limited are planning to run their plant and hire business from the site and convert the residential dwelling into apartments.
Anthony Barrowcliffe of FHP said: “This was an extremely interesting instruction which I thoroughly enjoyed as it entailed vision, open mindedness and options.
“Pegasus Hire Limited purchased the site to run their plant and hire business, alongside converting the residential dwelling into apartments. This we felt suited the site perfectly and their simple, straightforward, unconditional offer, enabled a successful sale.”
New senior leaders supercharge Grant Thornton’s Midlands team
Business and financial adviser Grant Thornton UK LLP has made several senior appointments to its Midlands team.
The appointments include Sue Knight becoming the area’s new practice leader, Rachel Parker moving to lead the region’s corporate tax team and Sreekanth Gaddamanugu being appointed as audit director.
Sue Knight has been employed at Grant Thornton for 21 years. Prior to becoming the firm’s Birmingham-based practice leader in January, she led the Private Ultra-High Net Worth team and the Trust business. Sue now takes on responsibility for developing and growing Grant Thornton’s expert team across the Midlands.
Rachel Parker has recently moved from Grant Thornton’s Gatwick office to become the lead partner for Midlands Corporate Tax. In this role, Rachel will head up the 40-person corporate tax team which is based across Birmingham and Leicester.
Rachel joined Grant Thornton in 2006 and specialises in working with mid-market businesses as well as large international firms. Being on the firm’s Social Mobility Board is a key element of Rachel’s role. The Board act as advocates for the firm’s social mobility programme and activity and is focused on continuing to drive change and build on the significant progress already made by the firm in this area.
Sreekanth Gaddamanugu’s appointment as audit director in December 2021 further strengthens Grant Thornton’s mid-market audit business. He has experience working with both large listed companies as well as dynamic mid-market businesses in the Midlands. He has an in-depth understanding of a range of sectors in the Midlands market, with a particular focus on the automotive and manufacturing industries.
In addition to these appointments, James Brown, partner and practice leader at Grant Thornton UK LLP in the East of England, will take on new clients and markets leadership responsibilities in the Midlands. This will see James focus on developing existing relationships and collaborate with new companies in the region to help them fulfil their strategic goals.
James Brown said: “I am tremendously excited to be part of our Midlands team, which, as these recent appointments illustrate has such a great breadth of expertise, and I’m looking forward to building on the already strong relationships that we have in the market.”
Sue Knight, partner at Grant Thornton and Midlands practice leader, said: “The recent appointments to our Midlands team illustrate the high level of talent we’re able to provide the region’s market. The skills and knowledge they bring are vital to ensuring that the innovative and ambitious businesses here are able to grow and capitalise on new opportunities.
“The Midlands team is full of incredibly supportive, dedicated and gifted experts, which makes it an exciting environment to be in. What’s more, we’re working in an area that has a wealth of interesting organisations to which we can offer everything from advisory, audit and forensic services to tax, global mobility and private wealth support.”
Rachel Parker, lead partner for Midlands Corporate Tax, said: “This is a really exciting time to be leading the Midlands Corporate Tax team. There are significant opportunities in the market – a lot of innovative businesses with ambitious growth plans. The team’s increasing strength makes it well placed to unlock the potential of the Midlands’ market and help businesses navigate the increasingly complex world of taxation and realise their ambitions.
“As a member of Grant Thornton’s social mobility board, it’s really important for me that our team is not only as talented as possible but that it provides a supportive and inclusive space that reflects the diversity of our area.”
Sreekanth Gaddamanugu, audit director, said: “The area’s mid-market is very dynamic and has the capacity for substantial growth. I’m looking forward to working with the team to support our clients and provide assurance as they navigate the ever-changing external environment. I’ll also have a keen focus on inclusion and diversity and creating a culture of challenge and personal responsibility that enables every member of the team to fulfil their potential.”
Consumer electronics start-up approaches investment target
A consumer electronics start-up, founded by a Loughborough graduate, is close to completing their third investment round to launch sports earbuds.
Tom Jelliffe, founder of Tzuka, has already closed two previous funding rounds, as well as raising over £115k in grants. This has enabled Tzuka to engineer a prototype with “never-before-seen durability, achieving a world-first impact (IK) rating for earbuds.” In addition to Bluetooth, the earbuds have an on-board audio storage system, with space for 60 hours of music or podcasts. Users can workout without the need for a phone and can even listen whilst underwater.
Of Tzuka’s current investment round, £190k has already been raised, with a target of £240k to enable the earbuds to be launched. Tom has attracted investment from Loughborough alumni and Wilkinson Future – the family-owned investment fund of the well-known high street retailer.
“I’m so proud of what the team has achieved, overcoming the challenges over the past two years,” said Tom, who at one point, with all his savings invested in Tzuka, painted the house of an electronic engineer in return for professional advice. He added: “These earbuds are a true Loughborough collaboration with input from the University’s innovation, engineering and sport communities.”
Professor Claudia Eberlein, Loughborough University’s Dean of Science and innovation lead, said: “Tzuka is a great example of how Loughborough supports students throughout their entrepreneurial journey to build sustainable businesses. I wish Tom every success and look forward to Tzuka adding value to the University’s world-class sports cluster to drive innovation and economic growth.”
Belvoir acquires estate agency in £200,000 deal
Belvoir, the property franchise group with its central office in Grantham, has acquired Mr and Mrs Clarke Limited (MMC) for £0.2 million.
MMC was founded in 2015 by Paul and Alex Clarke, offering a specialist concierge-style personal estate agency model through a national network of 10 licensed partners, predominantly in Warwickshire, South Wales, the Midlands and North London.
Executive directors Paul and Alex Clarke, will continue to manage the business as part of Belvoir.
Dorian Gonsalves, CEO of Belvoir, said: “The acquisition of Mr and Mrs Clarke provides the Group with a new service offering, which will recognise the breadth of ways in which our customers want to interact with their estate agent and the different ways in which potential new franchisees or partners want to operate.
“Paul and Alex have created a really positive, vibrant brand that stands out from the crowd. The future success of their business will benefit from the credibility that the Belvoir Group can bring and we extend a warm welcome to the MMC team, and look forward to working alongside their partners to further strengthen the business’s growth potential.”
Paul Clarke, Managing Director, Mr and Mrs Clarke, said: “Dorian understood our vision from the word go, making this acquisition a natural step in the evolution of our business. The brokerage style business model is one which is becoming increasingly popular in the UK, especially in our new flexible working era.
“The opportunities arising from being part of a Group that is so experienced in estate agency, lettings, franchising and financial services, are extremely exciting for our partners, and we will be grabbing the opportunity with both hands to exceed our plans for further national business growth.”
National operator swoops for Market Harborough day nursery
Specialist business property adviser, Christie & Co, has sold Progress House Day Nursery in Market Harborough.
Established over 20 years ago, Progress House is a family-run day nursery with an effective operating capacity for up to 80 children aged 0-4 years.
The setting was previously owned by Julian and Linda Peach who, after many successful years running the nursery, are now looking forward to their retirement.
Following a confidential sales process, the business has been purchased by national operator, All About Children. This marks the group’s thirty-eighth setting.
Sinead Johnson, Chief Operating Officer at All About Children, says: “Progress House has a lovely, homely atmosphere, delivering high-quality care to local families and is a great addition to the All About Children group. We’re excited to meet the team and work with them for many years to come building on the exceptional reputation they already enjoy.”
David Eaves, director – childcare & education at Christie & Co, who handled the sale, says: “Progress House is a wonderful nursery at the heart of its community, and we were delighted to support Julian and Linda with their retirement plans. The nursery received immediate interest upon entering the market, with an offer accepted in just 10 days; this speaks volumes as to the level of demand amongst buyers for high-quality assets.
“As established group operators continue to expand out from their traditional geographical hubs, we anticipate increased demand all across the Midlands for both freehold and leasehold settings, creating tremendous opportunity for owners thinking of selling their nursery in the near future.”
Progress House Day Nursery was sold for an undisclosed price.
Businesses show overwhelming support for improvements to Nottingham to Lincoln rail route
A survey of firms employing nearly 8,000 people has delivered an ‘overwhelming’ message that rail improvements are needed on the Nottingham, Newark to Lincoln line.
The survey organised by transport body Midlands Connect showed that over half of businesses (51%) thought if the rail route was improved it would be used more by their employees.
97% of companies stated that investment in train routes between Nottingham and Lincoln should form part of the Government’s Levelling Up agenda.
Over 70% thought an improved rail route would make recruitment of new staff easier and 53% of businesses thought a faster and more frequent rail route would help their business grow as a result. 45% of the firms also responded to say they believed that investment on the Nottingham to Lincoln rail route would save their businesses money.
74% of respondents stated their employees mostly drove to work. This is compared to just 14.5% who stated that most of their staff use the train to travel to work. The most common reason cited was inconvenient train times, followed by infrequent service.
Commenting on the survey findings, Midlands Connect’s head of rail, Karen Heppenstall, said: “The results are pretty overwhelming and show that businesses in Nottingham, Newark and Lincoln want to see improved rail services. They see this investment as an example of levelling up their area and helping their economy to grow.
“What the survey also showed is faster and more frequent trains will save businesses money, allow them to recruit more people and grow. We will use these results as part of our strategic case for investment in the corridor and I want to thank all the firms and organisations who took part and supported the survey.”
Karl McCartney, MP for Lincoln and member of the House of Commons’ Transport Select Committee, said: “This research shows the case is even clearer now for the need for new investment in this strategic rail route. It will further plug Lincoln into the regional and national rail network which is vital to the success of the whole City and region.
“This will bring significant benefits to employers, workers and the wider public, including making it easier for tourists to enjoy Lincoln’s wonderful heritage and supporting our brilliant businesses to grow.
“It is well known that improving the transport infrastructure of regional cities like Lincoln and Nottingham leads to clear economic, environmental and quality of life benefits. To continue the drive to ‘Level Up’ our Country, this is the exactly the type of project that should be supported by the Government and delivered at pace.”
What to think about before starting your own business
If you’re thinking of starting a business, there are many things you must consider ensuring the greatest chance of success. Whether you’ve already started making plans or you’re just looking into the viability of running your own company, here are things you need to think about.
