Strong levels of M&A activity expected in UK manufacturing
Strong levels of M&A activity are expected across UK manufacturing for the remainder of 2024, as dealmakers see a rise in business confidence.
According to accountancy and business advisory firm BDO LLP, M&A activity looks set to gain momentum in the final quarter of the year, as long as the political and tax backdrop remains conducive to dealmaking. However, reports of a potential rise in capital gains tax in next month’s Autumn Budget could impact sentiment towards M&A transactions.
BDO’s latest Manufacturing Deals Review shows that in the first half of 2024, 307 deals were completed in the sector, across the likes of engineering services, food & drink, building products and packaging and materials. Of these, 18% were buy-outs, with cross-border deals representing a third of transactions (34%).
Roger Buckley, Deal Advisory partner, Industrials and Manufacturing, at BDO, said: “While overall deal volumes remained relatively steady compared to 2023 figures, we expect to see strong levels of M&A activity over the coming months, with the market keeping a watchful eye on the Chancellor’s first Budget announcement at the end of October.
“Manufacturing remains one of the most resilient sectors, with a wide range of market drivers motivating M&A activity. This includes ESG, with the circular economy becoming a growing feature in manufacturing deals, reaching across all sub-sectors. Unsurprisingly, for the third year in a row, the sector has attracted the most circular economy-related investment, accounting for over a third of total deals by volume.”
In 2023, manufacturing saw a 25% increase in circular economy deal volumes, combined with the total deal value soaring to over £400 million of invested capital. The average disclosed deal size increased from £6.7 million to £12.2 million.
Buckley said: “The correlation between manufacturers making their businesses more sustainable and higher circular economy deal volumes is clear to see. More and more UK manufacturers are embracing circularity – a trend that is accelerating due to strong consumer attitudes towards sustainability and investors showing a significant interest in businesses addressing this issue.”
According to a BDO/Make UK survey of more than 200 SMEs in the sector, 40% of respondents believe that operating a circular business model will be more profitable than a linear model, suggesting an increase in manufacturers’ understanding of the economic benefits of circularity. The survey also showed that more than half of businesses (56%) plan to make circular changes in the next three years, with nearly a third (32%) stating that circular or sustainability credentials differentiate them from their competitors.
Rory McPherson, Deal Advisory partner at BDO, added: “Given the pace at which society’s attitude towards sustainability continues to change, it won’t be long before positive environmental credentials are seen as a minimum standard as opposed to a cherry on the top.
“For those who resist change without good reason, the lack of circular and sustainable practices will inevitably become a negative differentiator and dissuade customers from engaging. At the point the customer stops buying, it might be too late.”
Interest rates held at 5%
The Bank of England has held interest rates at 5%, in line with expectations.
The Monetary Policy Committee (MPC), which sets monetary policy to meet the 2% inflation target, voted by a majority of 8–1 to maintain Bank Rate at 5%. One member preferred to reduce Bank Rate by 0.25 percentage points, to 4.75%.
The news follows last month’s reduction in interest rates, which marked the first decrease in four years.
Alpesh Paleja, Interim Deputy Chief Economist, CBI, said: “The Monetary Policy Committee was widely expected to hold fire this month, after the first rate cut in four years in August. There remain very varied views among the MPC around the degree of inflation persistence, and over what horizon this will dissipate.
“Monetary policy will be walking a fine line for a little while yet: between balancing upside risks to inflation, but not being too tight, so as to choke off activity. Developments in fiscal policy in October’s Budget will also be a key consideration for growth prospects.
“We still anticipate another rate cut in November, and a few more next year, in line with the MPC moving at a slow but steady pace. On their own, lower interest rates will be a welcome respite to households and businesses.”
Penny drops as business psychologist rebrands with people-focus
Business psychologist and executive coach Penny Strutton has rebranded with a focus squarely back on putting people first. Strutton, who founded Think Forward Consulting 13 years ago, will now once again operate under her own name, with the Think Forward brand becoming the mechanism of delivery and training. Penny’s “Think Forward” approach is built on creating lasting behavioral change in organisations by focusing on people—helping them unlock their potential, collaborate effectively and lead with confidence in today’s fast-paced work environment. To support this strategic shift, Penny has partnered with Press for Attention PR, led by former journalist and thought leadership expert Greg Simpson, who are also sponsors at Business Link’s East Midlands Bricks Awards. Together, they will work to amplify Penny’s message, highlighting her unique approach to leadership development, career growth, and organisational transformation in a rapidly evolving work environment. “People love to make marketing complicated but at the end of the day, people buy from people,” explains Simpson. “Penny is quite rightly honing in on and developing her personal brand by placing her name and vibrant personality front and center. “In a world that is more and more driven by Ai and the digital experience, it is crucial for experts like Penny to embrace their unique character as much as market their skillset. Think Forward will remain the cornerstone of Penny’s coaching and leadership development methodology but Penny herself will lead with a renewed focus on human-driven results.” “In today’s landscape, where AI is automating many tasks, people want to work with real people, not faceless brands,” said Penny Strutton. “My work has always been about helping individuals and teams thrive and by bringing my personal brand to the forefront, I’m better able to connect with clients who value that human touch. Think Forward remains the core methodology I use to deliver results but this partnership with Greg will ensure that personal touch and human message is heard clearly.”
Over thirty new businesses open in Derby
Derby City Centre has welcomed over thirty new businesses since May, according to the latest report from the city’s two Business Improvement Districts (BIDs).
New cafés, bars and restaurants and a range of other independent shops are now trading within the Cathedral Quarter Business Improvement District (BID) and the St Peters Quarter Business Improvement District (BID) areas.
Brad Worley, BID Manager for Cathedral Quarter and St Peters Quarter, said: “We are delighted to announce this news, and we want to celebrate the fact that Derby has welcomed so many new businesses trading in the city.
“Since May, more than 30 businesses have set up and we would like to officially welcome these entrepreneurs our two BID areas. We are also working with a handful of other businesses who are preparing to open before the end of the year.
“We still have empty units in and around Derby, but the findings from our new report are hugely positive. Like every other city across the UK, there are challenges when it comes to city centre trading, but we are determined to strengthen the quality of our city centre streets.
“The fact that we have seen such a large number of businesses open in Derby in recent months – and more are coming in the next few weeks, is testament to the fact that Derby has a lot to offer.”
Derby mum, Anum Zafar, is currently gearing up to open a new cafe on The Strand in Derby. She is bringing her artisan bakery, Glamberry, to the city after trading from an industrial estate on Mansfield Road.
She said: “I started Glamberry four years ago as a hobby and after a year of running the business out of my parents’ kitchen, I expanded to a commercial unit in Derby.
“I’ve worked tirelessly for the past few years to achieve my dream of opening my own café. I am unbelievably excited and proud that I’ve been able to get such a dream location for Glamberry.
“The building is beautiful and when I’ve finished the renovations it’ll be the perfect café on The Strand. I’m hoping to create a welcoming environment for my customers to enjoy whilst indulging in coffee and cake!”
Houseboat, a South Indian tapas-style restaurant, opened on St Peters Street in July and has been wowing diners with its Asian dishes. It specialises in food from Kerala, a region of South India, and the owners have transformed the building which was once home to the Swiss Cottage café.
Manager, Johns Geo, said: “We are thrilled to be part of the vibrant Derby community. We are excited to bring our unique flavours and warm hospitality to the area and look forward to serving the wonderful people of Derby.”
Farhan Mahmood also has a new shop in Derby after running his stall in the Eagle Market for 30 years. He now runs his business, BCS Electricals, on Albert Street, next door to Martin’s Fruit, who also relocated from the Eagle Market.
He said: “I struggled to find a shop, but Martin’s Fruits was my neighbour in the market, and he helped me. We are now neighbours again and it is great.”
For Yunis Alenzi it was an easy decision to open Shwarma Al-Sham on St Peters Street. He wanted to bring his Syrian-style of food to the city.
The 24-year-old said: “I have been living in Derby for 14 years and had been looking for a shop to open. This one is perfect as it is not too big and not too small.”
Futures Housing Group names new Chair and Board members
The Board of Futures Housing Group has confirmed the appointment of Pauline Davis as the new Group Chair.
Pauline, who was previously a Board Member and Vice Chair, brings over 30 years’ experience in housing, health, regeneration and education, as well as a passion for place shaping and working with local communities.
She will start the new role on 1 October and takes the place of Mike Stevenson who has been Chair since 2019 and was previously also a Board member. Mike has now served the maximum term of office as set out under the organisation’s governance terms and therefore had to stand down this year.
Commenting on the change, Futures’ new Chief Executive, Tim Mulvenna, said: “On behalf of everyone at Futures I want to thank Mike for all he’s done for the organisation.
“He’s helped push us forward with his focus on customers and on ensuring we’re a well-run and financially solid organisation. He’s had a huge impact on how we work which has translated into lasting benefits for our customers. I’d like to wish him the very best in his next ventures.”
Alongside the change of Chair, Futures also recently appointed two new Board members to take the place of others who had reached their maximum term.
Patrick Duffy, who has worked in residential development for almost 20 years, also sits on the Asset Investment Committee and Gary Middleton, who brings experience in commercial banking and residential property, is a member of the organisation’s Audit & Risk Committee as well.
“I want to extend our congratulations to Pauline and a warm welcome to Patrick and Gary,” added Tim. “These are challenging times for our sector and for our customers and it’s fantastic to have new skills, experience and energy on our Board to help us rise to those challenges and do the very best we can for the communities we house and support.”
Buxton Opera House secures vital funding
Buxton Opera House & Pavilion Arts Centre have been successful in their application for funding from Theatres Trust.
Together with nineteen other venues spanning across the United Kingdom, the High Peak Theatre Trust (operators of Buxton Opera House & Pavilion Arts Centre) will receive the grant award through the Small Grants Programme with The Linbury Trust.
The funding will be used towards the modernisation and futureproofing of the backstage communications system within the Grade II*-listed Buxton Opera House. This project is being undertaken to continue to offer the best experiences to touring productions and in-house productions, as well as providing industry standard training opportunities to young people across the local areas.
Amy Simcox, Head of Development at Buxton Opera House & Pavilion Arts Centre, welcomed the news of Buxton Opera House’s successful funding application through the Small Grants Programme with The Linbury Trust: “We are absolutely delighted to be awarded this funding to improve our backstage communications system.
“The new system will be a vital contribution in enabling us to support young people to learn brand new technical skills, forming the foundation of a potential career in arts production. This funding also means we can continue to offer a great experience to both our touring and in-house productions for years to come. We are very grateful to the Theatres Trust for their support.”
Jon Morgan, Director of Theatres Trust also offered his congratulations to Buxton Opera House & Pavilion Arts Centre in their successful grant award: “Theatres Trust is delighted to support this wonderful theatre with a project that will benefit young people training in theatre skills, audiences and performers alike. This is exactly type of project that our Small Grants Programme with The Linbury Trust was designed to fund.”
Logistex wins significant automation contract for Yusen Logistics (UK) Ltd in Northampton
Logistex have secured a significant automation contract with Yusen Logistics (UK) for their new 1.2 million square foot warehouse facility in Northampton.
This Sustainable Distribution Centre (SDC), with a total capacity of 240,000 pallet locations, will serve as an automated shared user facility for both B2B and B2C operations, featuring two distinct chambers for Pharmaceutical and Ambient activities.
Logistex’s scope includes an Automated Storage and Retrieval System (AS/RS) with Aisle Changing and Fixed Aisle cranes, an Automated 4-way Pallet Shuttle solution tailored for Pharmaceutical clients, and a further Autonomous Mobile Robot (AMR) Goods to Person solution servicing both Pharma and Ambient chambers.
Logistex’s warehouse system, Reflex, will directly interface with all technologies and automation equipment providers, ensuring complete inventory and picking control.
Justin Saw, Business Development Director at Logistex, said: “The team at Logistex have collaborated closely with Yusen Logistics (UK) throughout the tender process, establishing a strong partnership. With the freedom to integrate best-in-class technology to optimise the solution, this collaboration showcases Logistex’s capabilities as a systems integrator at the highest level.”
Benjamin Bird, Business Development and Solutions Director at Yusen Logistics, said: “This project represents a strategic milestone in our commitment to delivering sustainable logistics services before 2030, giving our customers net zero warehousing solutions.
“It will also empower Yusen Logistics to meet the future needs of our customers through shared user automation, able to deliver B2B & D2C operations. Alongside the Sustainable Distribution Centre’s proximity to the new rail terminal, it is ideally positioned to offer further carbon reduction incentives for our customers and create a full operation that has ESG at its heart.”
Large firms to be held to account over late payments
The government has unveiled new measures to eradicate late payments from large firms to small ones and the self-employed, which are estimated to cost small firms £22,000 a year on average and lead to 50,000 business closures each year.
All large businesses will be required to include payment reporting in their annual reports – putting the onus on them to provide clarity in their annual reports about how they treat small firms. This will mean company boards and international investors will be able to see how firms are operating.
Enforcement will also be stepped up on the existing late payment performance reporting regulations which require large companies to report their payment performance twice a year on GOV.UK.
Under current laws, responsible directors at non-compliant companies who don’t report their payment practices could face criminal prosecutions including potentially unlimited fines and criminal records.
The consultation which will be launched in the coming months, will also consider a range of further policy measures that could help address poor payment practices.
Every quarter, 52% of small firms in the UK suffer from late payments, meaning roughly 2.6 million small firms face this issue, with the Federation of Small Businesses describing it as one of the biggest problems facing SMEs.
Business Secretary Jonathan Reynolds said: “Late payments are simply unacceptable and this government is determined to level the playing field for small business. When the cashflow runs dry, small firms go under, which is why we need to hold larger business to account with their payment practices and foster an environment that supports growth and jobs.
“Slashing trade barriers, reforming business rates, getting more SMEs exporting – this government is committed to small firms. We know there’s a lot more to be done, but today we are calling time on late payers once and for all.”
Tina McKenzie, Policy Chair at the FSB, said: “This is what real change looks like. Listening to small firms and prioritising action to tear down each and every barrier to growth.
“The Business Secretary has clearly recognised the importance of eradicating bad payment culture, which so devastates the UK supplier base and holds back growth. This series of actions today – including the crucial steps being taken to deliver on Jonathan Reynolds’ commitment on audit committees – shows the Government is rightly focused on delivery and working in partnership with the business community.“There will be so many decisions the Government needs to get right, early – an actively pro-small business budget, a good industrial strategy and tackling late payment. Announcing this programme of work today is a huge confidence boost for the small business community and a clear signal the new Government intends to stand up for small firms.”
East Midlands fruit and vegetable importers brace for more border checks after government delay
East Midlands Chamber has called for simplification of international import rules, following news the government have postponed checks on some fruit and vegetables entering the UK by six months.
Physical checks on ‘medium risk’ items entering the UK from the European Union were due to be in place from 1st January but the Department for Environment, Food and Rural Affairs (Defra) have announced the date is to be pushed back to 1st July 2025.
East Midlands Chamber Director of Partnerships David Pearson said: “While deferring the date of so-called ‘medium risk’ fruit and veg border checks coming in will temporarily ease some of the burden on businesses already grappling with the reams of paperwork needed to trade internationally, importing goods remains a challenge.
“There are costs associated with importing most goods to the UK and the time taken to fill in forms is a hindrance to businesses.
“Reforming International Trade is one of the key asks of the Chamber’s Manifesto for Growth and for the East Midlands to thrive, it’s essential that the new government prioritise lifting the many barriers that complicate import and export.
“With the upcoming Autumn Budget, the new government has an opportunity to support businesses that trade internationally, simplifying things like guidance on rules of origin and I urge them to seize those opportunities.”
Europe’s largest independent gas turbine service provider moves to Teal Park
Gas Turbine Services has signed a new lease on 13,347 sq ft of industrial accommodation on Teal Park on Lincoln’s Whisby Road.
The firm is moving from its current Leafbridge Business Park premises to Teal Park – regarded as the epicentre of industrial gas turbine maintenance in the Lincoln area.
The move to Teal Park follows identification by the business, two years ago, that its Leafbridge Business Park facility would limit future expansion, not only in engine throughput but also in responsiveness to the ongoing changes and competitive demands of the energy market.
The new base at Teal Park sees Gas Turbine Services move to a facility which was originally built and designed for the express purpose of gas turbine support & maintenance and, according to Robert Dye, Technical Director and co-owner, the new base means a swift and seamless transition to meet the company’s current and future expansion requirements.
He said: “For our specific sector specialisation, there was never any question of relocating outside of the Lincoln area – especially taking into account the wealth of local expertise and knowledge as we recruit and expand our business.”
Eddison’s Director William Wall, who led the property deal on behalf of the landlord, added: “Gas turbines are one of the long-established specialisms of the manufacturing sector in Lincoln and the surrounding area.”
“The county’s position on the map, with access to the east coast ports and a road network to the engineering hinterland of the East Midlands, makes it a prime location for operators in the energy sector.”
Gas Turbine Services, part of the Anglo-Danish HKJ Group, was established more than 30 years ago. Headquartered in Esbjerg, Denmark, it has been operationally based in the Lincoln area for the past 16 years.
Shortlist revealed for the East Midlands Bricks Awards 2024
Business Link can now reveal the shortlist for this year’s highly anticipated East Midlands Bricks Awards – THE event for Property & Construction in 2024.
Showcasing the outstanding work of those behind the changing landscape of our region, the Bricks Awards features a diverse range of categories and a glittering awards ceremony that will host many of the region’s industry leaders. This event is also an ideal opportunity to celebrate and network with the very best in the business.
The awards ceremony announcing the winners will take place on Thursday 3rd October, at the famous Trent Bridge Cricket Ground.
East Midlands Bricks Awards 2024
When: Thursday 3rd October 2024, 4:30pm – 7:30pm
Where: The Derek Randall Suite, Trent Bridge Cricket Ground
Keynote speaker: Paul Southby, chair of Nottingham Partners, board member of Marketing Nottingham and Nottinghamshire, partner at Geldards LLP, chair of the Advisory Board to Nottingham Business School, chair of Broadway independent cinema, trustee of Clean Rivers Trust, and former High Sheriff of Nottinghamshire
Dress code: Standard business attire
Tickets: Available at https://www.eventbrite.co.uk/e/east-midlands-bricks-awards-2024-tickets-902294566337?aff=oddtdtcreator
Thanks to our sponsors:
Book your place at the awards now to avoid disappointment!
The event will begin at 4:30pm and continue until 7:30pm, with plenty of time for networking and celebrating. The occasion will additionally feature Paul Southby as keynote speaker. Paul is a partner at Geldards LLP, chair of the Advisory Board to Nottingham Business School, chair of Broadway independent cinema in Nottingham’s Lace Market, and a longstanding trustee of environmental charity Clean Rivers Trust. He is chair of Nottingham Partners, a group of businesses that supports the work of the local inward investment agency, Invest in Nottingham, and a board member and past chair of Marketing Nottingham and Nottinghamshire Limited. Paul is also a former High Sheriff of Nottinghamshire (2022/23).Shortlist for the East Midlands Bricks Awards 2024
Architects of the Year – sponsored by Mather Jamie IMA Architects Design Haus Architecture Matthew Montague Architects Commercial Development of the Year – sponsored by Global HSE Group Brackley Property Developments – The Dock Extension, Leicester Pick Everard – Nottingham Central Library G F Tomlinson – The Air and Space Institute, Newark Contractor of the Year – sponsored by EMEC Ecology Cawarden Clegg Construction Winvic Deal of the Year – sponsored by Tutum Consulting heb Surveyors – The Oaks, Mansfield FI Real Estate Management – The Quad, Chesterfield Freeths – Former Boots factory site, Beeston Developer of the Year – sponsored by IMA Architects Vistry Group East Midlands Indurent Wavensmere Homes Excellence in Design – sponsored by Cawarden G F Tomlinson – The Air and Space Institute, Newark Design Haus – Musters Road Distinctive Developments – Woodwell and Meadow Barn Most Active Agent – sponsored by Roy Geddes Bricks Rigby & Co FHP Property Consultants Salloway Property Consultants Residential Development of the Year – sponsored by Devello Distinctive Developments – Woodwell and Meadow Barn Phoenix Brickwork UK LTD – IQ Nelson Court Chevin Homes – Chevin Close Responsible Business – sponsored by Press for Attention PR Stepnell Ltd Cawarden Cora Sustainable Development of the Year – sponsored by Viridis Building Services Ltd CPMG – Sir Peter Rubin Centre for Veterinary Education Henry Brothers Construction Ltd – Alfreton Park School Keepmoat – Gedling Green The Overall Winner, sponsored by Blueprint Interiors, will also be announced at the ceremony, who will be awarded a year of marketing/publicity with Business Link worth £20,000.
To be held at:
Strong sales see Next upgrade expectations
Enderby-based retailer Next has upgraded its expectations for the year following strong half year results.
In the half year ending July 2024, total group sales rose to more than £2.9bn, up from £2.7bn in the same period of 2023.
Meanwhile, Next Group profit before tax saw a 7.1% increase to £452m from £422m.
The business has also seen a robust start to its second half, with full price sales over the first six weeks materially exceeding expectations, being up 6.9%.
As a result, second half full price sales growth has been upgraded to be up 3.7% versus last year (previous guidance +2.5%), and full year, full price sales are now expected to be up 4.0%, with total Group sales (including subsidiaries) up 6.6%.
Furthermore, full year pre-tax profit guidance has been increased by £15m to £995m (up 8.4% on last year).
On upgrading its full year sales and profit guidance, Next said: “We are upgrading the profit guidance we issued on 1 August by +£15m to £995m. This is as a result of the strength of our full price sales over the last six weeks.
“We now estimate that full price sales in the second half will be up +3.7% (against our previous estimate of +2.5%). This represents an increase of £30m of full price sales which, after accounting for other anticipated changes in our cost base, is expected to deliver an additional £15m of profit.”
Rolls-Royce to sell Naval Propulsors & Handling business
Rolls-Royce has reached an agreement to sell its Naval Propulsors & Handling business to Fairbanks Morse Defense.
The sale comprises the naval propulsors units in Pascagoula, Mississippi and Walpole, Massachusetts, in the US, as well as the specialized naval handling systems unit in Peterborough, Ontario, Canada.
The Naval Propulsors & Handling business manufactures and supports a range of specialist propellers and waterjets for naval applications, as well as specialized handling systems that enable the deployment and recovery of manned and unmanned craft, and other cargo, from naval vessels.
Rolls-Royce will retain its Naval Gas Turbines and Generator Sets operations, which provide power dense solutions for naval propulsion and onboard power needs.
Adam Riddle, President – Defense and Chairman & CEO, Rolls-Royce North America, said: “Rolls-Royce Naval Propulsors & Handling is an industry leader and trusted supplier to navies around the world.
“We are pleased to collaborate with Fairbanks Morse Defense, who recognizes the value of this business and the outstanding opportunities for its strong future. We believe this transaction represents the best outcome for the business, its people and the military customers they serve.”
Greater Lincolnshire’s devolution deal gets the green light
Devolution for Greater Lincolnshire is to go ahead, bringing together North East Lincolnshire, North Lincolnshire, and Lincolnshire County Council together as the Greater Lincolnshire Combined County Authority.
It’s expected that devolution will progress through its final legislative stage to allow the forming of the new authority before the Mayoral election next May.
The Leader of North East Lincolnshire Council, Cllr Philip Jackson said: “I am sure I share the sentiments of the Leaders of Lincolnshire County Council and North Lincolnshire Council, when I say this is the best possible news we could have hoped for. Months and months of dedicated hard work and effort has been put into creating a vision for Greater Lincolnshire that will offer a cohesive approach – allowing this region to grow and prosper.
“Our deal was supported by the last Government with millions of pounds of funding agreed to be devolved down to our new Greater Lincolnshire Combined County Authority to ensure we would be able to truly invest in our key priority areas, which will underpin our positive way forward.
“I am therefore delighted that Greater Lincolnshire devolution continues to have the support of the country’s new Government and I now look forward to continuing our journey towards more local control with funding and powers handed to those who are closer to the communities they serve. We have a chance to make a real difference.”
Lincolnshire County Council Leader Martin Hill said: “This is great news and I’m pleased we are able to move forward with devolution to deliver growth in Greater Lincolnshire. We have always been clear that strengthening local decision-making where we consider the needs and wants of our communities, will give the best results for residents and businesses.
“It’s clear that having a Mayoral Combined Authority will give us the ability to liaise directly with the government about what is best for our residents and be able to achieve our ambitious plans more quickly. The decision to take this forward reflects our strong partnership work with North Lincolnshire and North East Lincolnshire councils, and the hard work we have all put in to making sure it’s the right deal for our area.”
Cllr Rob Waltham of North Lincolnshire Council, said: “Our £720m deal was supported by thousands of residents and has been on the table for years and negotiated earlier this year. At last, we can get to work on seizing this monumental opportunity – bringing better paid jobs to the area, boosting skills, expanding local infrastructure and enhancing our environment across Lincolnshire.
“We will continue to strengthen ties across our great historic county – I am incredibly proud to have been born, educated and lived and worked in Lincolnshire for most of my life and to have 10 generations of my family living throughout Lincolnshire. We are a great county full of inspirational people who deserve the best opportunities for them and their families as we seek to level up Lincolnshire to deliver a better quality of life for local residents.”
The financial Deal remains the same as finalised between the three lead authorities and the previous Government, with a total investment fund of three-quarters of a billion pounds over the next 30 years. This includes an annual £24m Mayoral Investment Fund to invest in priority areas of jobs and skills; housing & highways, transport, the environment and nature, net zero, digital improvements, and innovation and trade. There is also an initial capital funding pot of £28m including brownfield funding for individual schemes across Greater Lincolnshire.
Leicester College breaks ground on new Aeronautical and Space Engineering Technology Centre
Leicester College has officially broken ground on the construction of it’s new, state-of-the-art Aeronautical and Space Engineering Technology Centre at the Abbey Park Campus.
The new facility, which is scheduled for completion by May 2025, will deliver Level 4 and 5 technical skills, and will provide crucial support for the aeronautical and aerospace industries.
The new 800-square-metre building will be home to workshops, propulsion, aerodynamic, avionic and instrumentations laboratories, and collaborative working spaces. It is designed to support the growing need for skilled professionals in the aerospace industry, which is projected to require over 10,000 additional aerospace engineers in England by 2033.
Leicester College is working with main contractor, Wilten Construction, on the new facility.
Shabir Ismail, Deputy Principal at Leicester College, said: “We are so excited to break ground on our new facility, set to enhance technical skills in the aeronautical and aerospace industries. This facility is not just a building; it’s a demonstration of our commitment to supporting our regional network of employers and stakeholders and building a skilled workforce for the future.
“As the demand for aerospace engineers continues to grow, this project will play a crucial role in addressing that need. We’re excited about welcoming students to the new building next year and look forward to the positive impact it will have on the industry and beyond.”
Phoebe Dawson, Director of Business and Skills at LLBSP, added: “It’s a really exciting time for the college and the city. The UK space sector is worth more than £18.9 billion and growing twice as fast as the UK economy, and it currently employes 52,000 people.
“But staff recruitment is frequently referenced as the biggest constraint to growth and this facility will provide a clear pathway in a broad range of subjects and deliver a talent pipeline for those organisations in that sector locally.
“As a business and skills partnership, we are determined to close the gap between the roles and jobs of the future, and the skills that will be required. This facility is going to go some way to supporting that.”
Number of firms offering 60-day payment terms more than doubles post pandemic
One in six B2B suppliers are offering their business customers over two months to pay their invoices as a route to securing sales – twice as many who offered such terms in 2020.
That’s the finding in a new joint report from economic consultancy Cebr and lender iwoca, which reveals the number of suppliers offering repayment terms over 60 days to customers has surged from just 7% of suppliers in 2020 to 17% this year.
This comes as more businesses are asking for payment flexibility from their suppliers, says the report. More than eight in 10 suppliers say they have to adjust payment terms for business customers, nearly twice the rate four years ago.
Changes are having to be made to secure sales, as two in three B2B sellers report that offering trade credit increased their number of sales. Three out of four (75%) suppliers offer longer repayment terms for loyal or large customers, or for bigger orders.
On the other side of the deal, nearly half of surveyed business customers reported avoiding using a supplier, or considering doing so, due to short or non-existent payment terms.
The report, called Credit Where It’s Due, says the change is a welcome trend for buyers, outstanding payments in 2024 are more common than they were at the height of the pandemic. Nearly half of UK suppliers serving business customers are now owed in excess of £10,000 from their trade customers, up 13pp from 2020 levels. A third of suppliers are very confident that their invoices will be repaid, but fewer than one in three (29%) are ‘very confident’ in assessing customers’ creditworthiness.
iwocaPay co-Lead Lara Gilman said: “The sector has always talked about payment terms in the context of big corporations trampling over small ones. But since the pandemic it’s clear that across the board, firms – including SMEs – are now calling for flexibility from their suppliers to keep business moving.”
Christopher Breen, Head of Economic Insight at Cebr said: “Trade credit continues to be an important tool in B2B transactions, offering buyers the flexibility to purchase now and pay later. However, it presents challenges for suppliers, such as late payments and the potential accumulation of bad debt. “Despite these risks, an overwhelming majority of B2B suppliers offer some form of payment terms, recognising the importance of trade credit in securing sales. The already widespread use of trade credit systems presents an opportunity for them to be modernised by the use of digital solutions, which could help both suppliers and customers to navigate these financial pressures effectively.”Financial advisory firm triples headcount
Independent financial advisory firm, Dow Schofield Watts (DSW), has tripled the headcount of its Midlands Corporate Finance team, from three to nine, just one year since its launch in September 2023.
In its first year, the Midlands DSW Corporate Finance team has established itself as a key player in the region’s corporate finance market, advising on multiple mid-market deals. Its growth has also led to a recent move into a larger office at The Dock in Leicester’s Space City Enterprise Zone to accommodate its expanding operations.
The team has already completed several notable transactions. In May 2024, the team advised on Bakkavor’s acquisition of Moorish, a well-known premium humous brand, which now sits alongside household names such as Pizza Express, The Delicious Dessert Company, The Pizza Company and Pinch in the FTSE 250 listed business’s portfolio. Notably, this was the team’s first deal.
In July 2024, the team supported Brand K Group, a major UK supplier of radiators and bathroom equipment, on its acquisition of Paladin Radiators, marking the seventh time Harry Walker and Brand K had worked together.
Harry Walker, founding partner of the Midlands DSW Corporate Finance team, said: “Since joining Dow Schofield Watts a year ago, we’ve seen tremendous growth, expanding our team with six new members, including three over the summer, and completing some exciting, high-profile deals with more in the works.
“Our new office in Leicester’s Space City gives us plenty of room for further growth and places us at the heart of a tech-led and innovative community of high growth businesses, reflecting our aim to bring a fresh and innovative approach to dealmaking in the Midlands.”
The office’s growth has been bolstered by the addition of several key hires. Launched by Harry Walker, Fahim Kassam, and Daniel Choucino – who all joined from FRP Corporate Finance – the team has since welcomed Shaf Bheda (partner), Ryan Shields (partner) and most recently Ishan Sharda (executive), Zain Mahmood (manager), and Gurpreet Poonia (manager). The team has also been supported by summer intern Manvir Goutam from Leicester University and executive assistant Nancy Benn.
Shaf Bheda, founding partner of the Midlands DSW Corporate Finance team, added: “We’re thrilled with the success of our first year, firmly establishing DSW as a key player in Midlands dealmaking. Our commitment to the market is clear through significant investments in people, and office move. With a strong pipeline ahead, we’re excited to share more completions soon.
“We’re grateful to everyone who has been part of our journey so far and look forward to building on this momentum as we continue to grow.”
Freeths named Law Firm of the Year
Law firm Freeths, which has offices in Derby, Leicester and Nottingham, has won the coveted title of Law Firm of the Year at this year’s esteemed Legal Business Awards.
Hailed as the ‘most prestigious event in the legal calendar’, the 27th annual Legal Business Awards celebrates the very best in the legal profession. Legal Business is the team behind the Legal 500.
As one of the fastest growing firms in the UK, Freeths’ 2024 Law Firm of the Year success follows consistent double-digit annual revenue growth since 2015. Freeths was recognised by judges for its outstanding organic expansion with six of the firm’s 13 offices achieving annual revenues of more than £10 million.
Commenting on the firm’s success, Karl Jansen, National Managing Partner of Freeths, said: “As a firm, we’re incredibly honoured and proud of this prestigious recognition which certainly reflects the hard work and sheer dedication demonstrated by colleagues across our business over a number of years and not just the last 12 months.
“It’s an incredible achievement for Freeths and truly humbling to be named Law Firm of the Year, and I would like to personally extend a huge thank you to all of our colleagues, and also for the support we’ve received from our clients.”
Leicester and Leicestershire Business Board meets for first time
The newly-formed Leicester and Leicestershire Business Board has held its inaugural meeting.
Senior leaders came together at City Hall on Monday to represent local authorities, business, education, and the third sector.
Board members were welcomed by Chair Andy Reed OBE and Leicester City Mayor Sir Peter Soulsby.
Attendees also received a summary of the role of the Board and its relationship with the Leicester & Leicestershire Business and Skills Partnership (LLBSP).
LLBSP, which formed earlier this year, is led by Leicester City Council and Leicestershire County Council.
The Business Board will include delegates representing:
- Leicester City Council
- Leicestershire County Council
- Federation of Small Businesses
- Institute of Directors
- East Midlands Chamber
- Make UK
- Leicestershire Business Voice
- Voluntary, community, and social enterprise sector
- Higher education sector
- Further education sector
- Leicestershire district councils
- Rutland County Council.
MBO at East Midlands workplace consultancy Blueprint Interiors
The management team has completed a buyout at workplace consultancy and commercial interior design firm, Blueprint Interiors.
Rachel Biddles and Chloe Sproston have taken ownership of the business, which will see chairman and founder Rob Day take a step towards retirement and his passion for community-led projects for the company.
Operations director Rachel Biddles and creative director Chloe Sproston have been with Blueprint Interiors for 22 and 19 years respectively, having played a significant part in its innovation and growth over the years.
The new ownership marks a new chapter for the Ashby-based business – as it celebrates a record 12 months of trading and secures significant projects with household names in 2025.
Set up by Rob 23 years ago, Blueprint Interiors continue to shape the future of workplace design, meeting the evolving needs of employer and employee.
Rachel Biddles said: “This has been three years in the planning and it’s wonderful to be able to share the news with the industry. While it’s a strategic move, it has felt a natural transition with Chloe and me being in the business for such a long time.
“With a very busy order book and some big projects to announce in the coming months, there is plenty for Chloe and me to deliver and celebrate. This new ownership will enable us to continue to drive forward innovation and quality in workplace design, which is what Blueprint is known for.”
Chloe Sproston, said: “Rob has passionately created a vibrant company with strong ethics and values. His success is significant and he has been a fantastic mentor to Rachel and me.
“We have always had a clear sense of who we are at Blueprint, our expertise, and our desire to provide the best experience for our clients. We love this company and have always treated it as our own, so to now be a co-owner is incredibly rewarding.
“I want to thank Rob for putting his trust in us to take things forward, and the dedicated team who Rachel and I will be working alongside in this next phase of organic growth and expansion.”
Rob Day, said: “As we celebrate 23 years in business and a number of recent talent acquisitions, we now also celebrate this exciting new chapter for Blueprint.
“This has been a long time in the planning and I feel grateful and proud that Chloe and Rachel will now take the business forward. They have been instrumental in creating the company we have today so it couldn’t be in better hands.
“Their commitment to Blueprint along with their ambition, vision and sheer talent, ensure the ongoing success of the company, providing clients with our unique services and nurturing the best team in the business.
“Now is the perfect time to hand the reins over, whilst I’ll remain in my role as chairman and founder, as well as continuing to help drive our community and social value activities. There may also be some sailing on the horizon for me as I relish a little more free time! I wish Chloe, Rachel and the team the very best for the future and look forward to seeing their continued success.”
