Chancellor’s plans fall short as inflation and business costs hinder growth

Despite recent proposals from the Chancellor to stimulate growth, businesses in the East Midlands are sceptical. The region’s inflation rate surged to 3.6% in June, exacerbating already fragile business confidence, as reflected in the latest Quarterly Economic Survey.

In the Mansion House speech, the Chancellor outlined measures intended to ease business operations, including reducing regulatory barriers to encourage risk-taking, streamlining recruitment processes for senior leaders, and offering a concierge service to assist companies wishing to set up in the UK. However, local businesses remain unconvinced.

East Midlands Chamber has pointed out that while the measures may benefit certain sectors, they fall short of addressing the underlying challenges faced by businesses. The rising inflation, alongside increased operational costs such as higher National Insurance contributions and the national living wage, continues to put pressure on firms.

In a climate where many businesses are anticipating no growth, the Chancellor’s plans may not be enough to restore confidence or encourage the much-needed investment. As the economic outlook remains uncertain, business leaders are calling for stronger, more immediate support, including assurances that future tax hikes will not further hinder their operations.

Sustainable building products group sees revenue and profit rise

Alumasc, the Northants-based sustainable building products, systems and solutions group, has seen revenue and profit rise, despite ongoing macroeconomic uncertainty in the majority of its commercial markets.

According to a trading update for the year ended 30 June 2025 (FY25), the firm is expecting revenue growth of 12% to approximately £113m, up from £101m in the year prior.

Meanwhile, underlying profit before tax is expected to be £14.2m, approximately 9% above the prior year, and in line with market expectations.

Paul Hooper, chief executive of Alumasc, said: “I am pleased to report another year of revenue and profit growth and a performance in line with market expectations.

“This strong performance was achieved against a backdrop of challenging market conditions, with macroeconomic uncertainty affecting business and consumer confidence.

“We have established plans to mitigate any continued short term challenges, by continuing to focus on winning market share and entering adjacent markets, and by providing excellent customer service and new products. We will also maintain our disciplined approach to capital allocation and our commitment to efficiency improvements.

“As market conditions improve, we remain optimistic that our growth strategy and focus on higher-growth environmentally sustainable solutions will deliver significant shareholder value.”

Fire protection tech gains traction with UK boaters and caravan owners

A Nottingham-based fire safety company is experiencing a sharp rise in demand from the leisure sector, particularly from boat and caravan owners, who are seeking more effective ways to protect their vessels from fire risks. Aerocom (UK) Ltd, the sole UK distributor of MAUS fire suppression products, has reported an increase in enquiries, driven by the growing awareness of the hazards posed by onboard electrical systems.

The company’s MAUS units, including the MAUS Stixx Pro V1 and MAUS Xtin Klein, are particularly popular due to their compact design and zero-damage capabilities.

Government statistics have highlighted that electrical fires are the second most frequent cause of household fires in the UK, reinforcing the need for reliable fire safety solutions. The MAUS systems, which are also used by high-profile automotive brands such as Toyota and Audi, are proving valuable in protecting both property and people.

In addition to the UK, demand is rising in international markets, with notable installations such as the superyacht Mirage in Spain, which recently outfitted 15 units. Boat owners are increasingly adopting this innovative technology, appreciating its efficiency and minimal footprint for fire protection.

£60m secured to support carbon capture in UK cement industry

A new carbon capture initiative in the UK’s cement industry has successfully raised £59.6 million in equity funding to help decarbonise up to 40% of the sector. The Peak Cluster project, aimed at reducing carbon emissions from manufacturing sites in Derbyshire and Staffordshire, will utilise this funding to develop a new carbon dioxide transport pipeline.

The initiative is backed by key industry players, including Breedon, Tarmac, Holcim, and SigmaRoc, alongside decarbonisation specialists Progressive Energy and Summit Energy Evolution. The project’s mission is to capture, transport, and store CO emissions from cement and lime production, contributing to the sector’s shift towards a low-carbon future.

A £28.6 million investment has been secured from the National Wealth Fund to help fund the pipeline infrastructure. The project is set to play a vital role in achieving the UK’s carbon reduction goals, with significant backing from both the private and public sectors.

Inflation sees June jump

Inflation ticked up in June, according to new figures from the Office for National Statistics (ONS). Measured by the Consumer Prices Index (CPI), inflation was stronger than expected at 3.6% in the 12 months to June, up from 3.4% in the 12 months to May. On a monthly basis, CPI rose by 0.3% in June 2025, compared with a rise of 0.1% in June 2024. Transport, particularly motor fuels, made the largest upward contribution to the change. Core inflation, meanwhile, which takes out volatile factors like energy, food, alcohol and tobacco to give a clear picture of underlying trends, came in at 3.7% in the 12 months to June, up from 3.5% in the 12 months to May.
Martin Sartorius, principal economist, CBI, said: “June’s stronger-than-expected inflation print will raise concerns that recent price pressures – driven by higher household energy prices and the passthrough of increased employment costs – could potentially re-entrench inflation in the economy. “While we still expect the Bank of England’s Monetary Policy Committee to continue gradually cutting rates, today’s upside inflation surprise means its August decision will be finely balanced. Underlying price pressures show signs of easing as the labour market cools, which should support a rate cut. However, some members of the MPC will be wary of loosening too quickly and, consequently, risk inflation remaining above target for longer.”

Frank Key backs Deal of the Year at the East Midlands Bricks Awards 2025

Frank Key has joined the sponsor line up for the East Midlands Bricks Awards 2025, backing the Deal of the Year category. Since 1907 Frank Key has been renowned for supplying market-leading building, plumbing and timber materials. Built on family values, the business has grown to stock interiors, landscaping, civils and drainage products, as well as providing high-quality plant and tool hire equipment, making Frank Key a true one-stop shop for all your project requirements. Frank Key’s reputation is not only built on the wide range of products sold, but how it does business. Given its experience within the industry and with many of the Frank Key team being long-standing members of staff, the firm is in the best position to provide you with the expert advice and service you need. Frank Key will order non-stocked items, stick to delivery dates and honour agreements. Speaking with Business Link, Ben Sansom, Group Sales & Marketing Director at Frank Key, said: “Frank Key is delighted to sponsor the East Midlands Bricks Awards 2025. “With over 110 years of experience supplying the building trade, we are proud to support an event that celebrates the incredible achievements in the property and construction sectors across our region. We wish all the nominees the very best of luck and look forward to seeing the innovative projects shaping the East Midlands.” The East Midlands Bricks Awards, which will take place on Thursday 2nd October at Nottingham’s famous Trent Bridge Cricket Ground, celebrates the successes of property and construction companies in Derbyshire, Nottinghamshire, Leicestershire, Lincolnshire, and Northamptonshire. Recognising those behind the changing landscape of the East Midlands, the occasion highlights development projects, businesses, and people in commercial and public building across the region – from office, industrial and residential schemes, through to community projects such as leisure schemes and schools. It also toasts the work of architects, agencies, and those behind large schemes. Welcoming almost 150 professionals, nominating a company or project for the awards is a great way to showcase your successes, recognise your team’s efforts, bolster morale, and reach our audience of over 60,000 business readers, while also offering a chance to connect with respected professionals. It’s completely free to enter and making the top three finalists in your category also wins you free tickets to the event.

To make a nomination for the East Midlands Bricks Awards 2025, please click here.

Supporting imagery, video, documents, or links to these, can be sent to bricks@blmgroup.co.uk. Video nomination pitches are also welcome as an alternative or companion to written entries. Categories include: All finalists will have the chance to take home the Overall Winner award, which this year comes with a grand prize of a year of marketing/publicity worth £20,000, with the opportunity to split or gift the marketing to a charity of your choice.

Nominations will close on Friday 15th August.

New for this year, all entrants will also have the opportunity to be featured on our dedicated nominee showcase on the East Midlands Business Link website, providing space for marketing your achievements.

The East Midlands Bricks Awards 2025

What: The East Midlands Bricks Awards 2025 When: Thursday 2nd October (4.30pm – 7.30pm) Where: Derek Randall Suite, Trent Bridge Cricket Ground, Nottingham Keynote speaker: Councillor Nadine Peatfield – Leader of Derby City Council, Cabinet Member for City Centre, Regeneration, Strategy and Policy, and Deputy Mayor of the East Midlands Tickets: Available here Dress code: Standard business attire Thanks to our sponsors:                                                                        

To be held at:

East Midlands Chamber urges Chancellor to restore confidence in financial sector

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The East Midlands Chamber is calling on Chancellor Rachel Reeves to take swift action in her upcoming Mansion House speech to address the growing concerns within the region’s financial sector. The Chamber’s latest Quarterly Economic Survey for Q2 2025 reveals a concerning drop in overseas sales, which have fallen by 10%, and a 3% decline in orders. Furthermore, only 30% of businesses expect profitability to improve shortly.

With businesses facing mounting pressure, the Chamber is urging the Chancellor to consider measures that reduce the burden of regulation and costs, allowing for more calculated risk-taking within the financial services sector. Firms are seeking a clear and supportive plan, particularly regarding tax policies, to ensure they can continue to plan for growth without fear of additional obstacles.

The Chamber stresses that firms in the region are seeking proactive, tangible actions from the government to support growth. Businesses need a stable and positive environment to thrive, and the Chamber is calling for policies that clear the path to recovery and expansion.

Policies in Employment Rights Bill are barriers to growth says Chamber

East Midlands Chamber has reinforced calls for parts of the Employment Rights Bill to be reconsidered after UK-wide research revealed significant concerns from businesses across a number of areas, such as the speed at which the Bill is travelling through Parliament and the impact of policies on tax, employment and regulation seen as a ‘barrier to growth’. Nearly 8 out of 10 businesses that took part in the British Chambers of Commerce (BCC) study felt the impact of policies is not being adequately assessed, while a third said trade union proposals would have a negative impact. Measures outlined in the Bill, currently going through the report stage in the House of Lords, include removing the lower earnings limit from statutory sick pay; requiring employers to take ‘reasonable steps’ to prevent sexual harassment of employees; ‘day one’ rights given to employees for parental or paternity leave and protection against unfair dismissal. Findings from the British Chambers of Commerce research on business views on the Employment Rights Bill:
  • One third (33%) said trade union proposals would have a negative impact
  • Only 2% of firms believe the proposals would be positive
  • Nearly 8 out of 10 (79%) of firms don’t feel the impact of new government policies is being properly assessed
  • 77% don’t think policy change is moving at the right pace
  • Nearly 7 out of 10 (69%) think government policies such as tax, employment and regulation are barriers to growth
East Midlands Chamber director of resources, Lucy Robinson said: “Parts of this Bill, including requirements like statutory sick pay and day one paternity leave are due to kick in as soon as April next year – that doesn’t give much time for businesses to prepare – and then they’ll be followed not long after with a number of other measures, like the end of ‘fire and rehire’ and day one unfair dismissal protection, according to the timeline the government recently published. “The proposed measures are going to impact the way most firms operate and are likely to add to their pile of paperwork and associated costs, as well as limit the scope of those looking to restructure. While I appreciate there’s been some consultation from the government, for 8 out of 10 businesses across the country that took part in the British Chambers of Commerce research to have said the impact has not been properly assessed underlines the need to get a better steer from the business community and how they’ll be affected. “7 out of 10 UK businesses in this research said policies around things like tax, regulation and employment would be a barrier to growth – I’d say that’s a clear red flag and shows a need for more consultation to get this right. With the speed this Bill is moving through Parliament, also highlighted as a concern in this study, the government should be open to making changes before these policies are set in stone. “When you consider the barrage of challenges firms have had to contend with recently, whether increased staffing costs from higher National Insurance contributions or inflation, it’s essential their needs are prioritised before this Bill is passed. “For East Midlands businesses, I’d urge taking advantage of the Chamber’s HR Forums as a really useful resource around what the proposed changes might mean for them.” British Chambers of Commerce deputy director of public policy, Jane Gratton said: “The opportunity to make any significant changes to the Employment Rights Bill to ease the cost and disruption to business is fast disappearing over the horizon. While the government has consulted on several aspects, and listened to some concerns, the legislation still does not strike the right balance. “A number of the proposals are deeply worrying for employers. They will increase employment costs, complexity and risk for firms, particularly SMEs who will be disproportionately affected. We are likely to see unintended consequences that could limit people’s employment opportunities and the UK’s economic growth. “To grow our economy, firms must have the flexibility and agility to deal with challenges and opportunities. Government needs to help not hinder businesses – to innovate, adopt new technologies and be more productive and competitive. By adding more restrictions and building in further delays before change can happen, the Bill jeopardises all of this. It is creating a lose-lose scenario for everyone in the workplace. “While there many are things in the legislation that reflect what good businesses are already doing, there are some specific proposals that need amending. Planned changes to dismissal rules, trade union ballot thresholds and zero hours contracts, for example, are some of the critical areas that need to be revisited. “The government must continue its positive approach to engagement with business and remain open to changes. Only then can it ensure this legislation is proportionate, affordable and right for both firms and their employees.”

Nottingham Venues to open Castle Meadow Central following two-year refurbishment

Nottingham Venues has been appointed to operate Castle Meadow Central, the iconic Grade II listed building in Nottingham city centre. The building will reopen in early September following a significant two-year refurbishment and will serve as a new destination for conferences, events and flexible working. It will also be home to a new deli which will be open to the public, offering a range of locally sourced fresh food and 200 Degrees Coffee. Nottingham Venues, which also operates the East Midlands Conference Centre, Orchard Hotel and Bramleys Restaurant, as well as the Jubilee Hotel and Conferences on the University of Nottingham campus, will operate Castle Meadow Central as the city’s newest location for conferences and events. With the capability to host events for up to 300 people Castle Meadow Central will become an integral part of the company’s portfolio of venues across Nottingham. Castle Meadow Central is part of the wider Castle Meadow Campus and is located just a short walk from Nottingham Train station and Castle Wharf on the banks of the Nottingham and Beeston Canal. Originally completed in 1994, Castle Meadow Central is widely regarded as a landmark of 1990s British architecture. Its distinctive tensile fabric roof, supported by four steel masts, remains a defining feature. The building was one of the first in the UK to achieve the highest possible BREEAM rating and was awarded both a Brick Award and a Concrete Society Certificate of Excellence in the 1990s. The building has now been adapted for public and commercial use following a two-year renovation. It will offer a variety of flexible spaces, including five meeting rooms and a large central atrium suitable for conferences and larger events. The ground floor will feature Deli Central, a café open to the public, providing locally sourced food and refreshments in a relaxed setting. The café will also serve the wider business community based at Castle Meadow Campus. Tom Waldron-Lynch, CEO of Nottingham Venues, said: “Castle Meadow Central is one of the region’s most recognisable buildings. For many years it was home to HMRC, and while people in Nottingham have always known the building, very few have had the opportunity to step inside and experience it. “That is now changing. We are delighted to be operating this iconic venue and opening it up for meetings, events and public use for the first time. “Our aim is for Castle Meadow Campus to become a real asset to Nottingham, not just for the businesses based here, but for the wider community. With its unique design, central location and high-quality facilities, we hope it will become a valued part of Nottingham life for years to come.” The opening will also create new local employment opportunities, with Nottingham Venues recruiting staff across hospitality, events and facilities roles.

Asbestos management consultancy raises £3,000 at halfway point of charity challenge

The mammoth fundraising mission of a Northampton-based asbestos management consultancy has already raised more than £3,000 for a trio of charities. In April, Acorn Analytical Services pledged to complete 10 events in six months to raise much-needed cash for local cause Cynthia Spencer Hospice, plus Mesothelioma UK and Muscular Dystrophy UK. Already, after just three months, the dedicated team have completed six fundraising events including the London Moonwalk, the Northampton Dragon Boat Festival and Cynthia Spencer’s annual Northampton Colour Run, as well as a parachute jump and boxing match. Two courageous colleagues, Viviana Pista and Abbie Bruce, from sister company Acorn Safety Services, also abseiled down the Northampton Lift Tower. Collectively, the efforts of the whole Acorn Analytical team have taken their charity collection so far to £3,255 – more than half of their £6,000 target. The final four fundraisers – the Pretty Muddy course, the first ever Acorn coffee morning, the Northampton Half Marathon and a gruelling 100 miles in 24 hours trek attempt – will complete the gargantuan challenge by September. Alongside the 10 charity events, Acorn Analytical have also raised an additional £3,500 for the charities involved with the actual events, for example the Moonwalk also raised £2,000 for Breast Cancer Awareness and the Dragon Boat and boxing events both raised cash for smaller local charities. It is hoped that at the end of the challenge, the team will have raised £10,000 in total, £2,000 of which Acorn Analytical has donated as a company through entry fees. Acorn Analytical Services managing director, Sam Savage said: “It has been an amazing start to our charity challenge. The dedication and enthusiasm of the team has been contagious and to watch them all in their fundraising efforts has been inspiring. “Six events down and four to go and we are more determined than ever to reach that £6,000 target for our three fantastic charities. These causes make such an incredible difference in their vital work and we’re proud to be able to show our support. “If you’re able, please do back our charity campaign as we hurtle towards the finish line.” A Go Fund Me page has been set up to cover all events. All proceeds from the page will go to the three partner charities. Anyone can donate by visiting: https://gofund.me/0ee714e7