Council loan could trigger regeneration of area surrounding Derby railway station
Derby’s Council Cabinet members intend to provide a £500,000 loan to property and regeneration firm London and Continental Railways, who want to buy Midland House, near to Derby Midland Station.
It’s thought the acquisition could spark significant regeneration of the city’s Railway Conservation Area and create a more attractive gateway into the city centre.
The building is currently owned by the Department for Levelling Up, Housing and Communities who have declared it “surplus to requirements”.
The former industrial land between the River Derwent and the railway lines on the east side of Derby station has now successfully developed into Pride Park, home to many rail-related businesses, including East Midlands Railway.
Following the publication of the Integrated Rail Plan for the North and Midlands in 2021, Derby station area now has HS2 East status and forms part of the HS2 Growth Strategy for the East Midlands.
LCR is wholly owned by the Department for Transport and works in partnership with local authorities, Network Rail and Homes England. The company has invested millions of pounds transforming underused public sector properties, particularly around railway stations and transport hubs, into vibrant destinations. The company also delivered a new Business Park at the former Rail Technical Centre (RTC) in London Road, Derby.
Chris Poulter, Leader of Derby City Council said: “The opportunity to support the purchase of Midland House, an important building close to the station, is really good news. Any step towards the improvement of the area around the railway station is most welcome.
“This is another example of how we have supported regeneration development in the city. The investment should tie in well with other improvements expected, through developments around main stations within the HS2 programme.
“Before Easter we should know where the headquarters of Great British Railways will be located which, if Derby is indeed selected, would further add to the potential improvements, to what is a crucial development area of Derby.”
The emerging regeneration masterplan for the station area will be the subject to public consultation, as will any subsequent planning applications associated with Midland House and/or the wider area.
Built in the early 1870s, Midland House was originally the headquarters of the Midland Railway. Along with Midland Hotel and the remaining Railway Cottages, it is one of the city’s unique rail heritage buildings on the west side of Derby rail station.
Construction firm appointed for new Chesterfield mental health hub
A new mental health hub for Chesterfield has taken a step forward with the appointment of a construction firm to lead the redevelopment of the building. Local firm Beighton Construction will oversee the refurbishment of the former Register Office on Beetwell Street for charity Derwent Rural Counselling Service. The new centre is set to open in summer 2023. Grand plans for the three storey premises include office space, treatment and consulting rooms, meeting rooms and relaxation space to help cope with an increased demand for DRCS services in the area plus tenanted options including rooms and floorspace.Belper-based Norder Design Associates will be supporting the scheme with project management, architectural and engineering design services.Janette Smeeton, Chief Executive at DRCS, said: “This is a huge milestone having a construction firm on board and will mean we can move forward at pace from mid-March to progress to a brand new future for the new building. “By having our services here we can be more efficient, maximise manpower and continue to deliver a high-quality service to support our service users. It will also allow us to offer room rentals and services to other organisations in the town.” Andrew Holmes, director at Beighton Construction, based in Chesterfield, said: “We are really pleased to start a new working partnership with DRCS. This project allows us to take a well known premises in Chesterfield and deliver a true future-proofed building, serving needs across the town and the county. It is a demanding refurbishment, but we will deliver it for this summer. “We are very excited not only about the building development, but the much needed services and benefits it will bring for local people once it’s completed.”The new premises is part of ambitious plans for the charity which currently operates a team of 60 freelance and employed staff working from home and out of seven centres across the county covering the Amber Valley, Erewash, Chesterfield, Buxton, Matlock, Ashbourne, Derby, Swadlincote and the Peak District. Mark Serby, chair of trustees for the Bakewell-headquartered charity, said: “This is a hugely exciting project for the charity, and for people across the county.“By investing in the purchase and renovation of the property, DRCS will be in a position to scale active services and have capacity to introduce potential new ones to meet changing needs, providing a positive impact on the community.”Martin Lythgoe, director at Norder Design Associates, said: “We’ve been working closely with DRCS to develop this project over the last 12 months and we’re really pleased that Beighton Construction have now been appointed to undertake the refurbishment. The project will bring an important local building back to life and provide an asset of lasting value for the local community.”Over the last 30 years, DRCS has become the largest third sector provider of counselling services in the region offering help to individuals, via self referral or via a GP, with common mental health conditions such as depression, anxiety, stress and long term conditions through counselling, CBT, guided self-help, and other forms of talking therapy. For the last eight years, DRCS has been in partnership with Derbyshire Healthcare Foundation Trust to improve access to psychological therapies throughout Derbyshire achieving above national recovery rates and shorter waiting times.
East Midlands business confidence grows
Business confidence in the East Midlands rose eight points during February to 18%, according to the latest Business Barometer from Lloyds Bank Commercial Banking.
Companies in the region reported higher confidence in their own business prospects month-on-month, up two points at 26%. When taken alongside their optimism in the economy, up 11 points to 9%, this gives a headline confidence reading of 18%.
East Midlands businesses identified their top target areas for growth in the next six months as evolving their offer (41%), diversifying into new markets (28%) and investing in sustainability (26%).The Business Barometer, which surveys 1,200 businesses monthly, provides early signals about UK economic trends both regionally and nationwide.A net balance of 14% of businesses in the region expect to increase staff levels over the next year, up 14 points on last month.
Overall UK business confidence decreased by just one point to 21% in February. Firms remained positive about their own trading prospects with a net balance of 31% expecting business activity to increase in the coming 12 months.
Firms also reported plans to create new jobs with 20% of businesses intending to make new hires over the next 12 months – up three points from January.
All UK regions and nations reported a positive confidence reading in February, with six areas reporting a month-on-month increase in confidence. Of those, the West Midlands (up 30 points to 48%) and Yorkshire and Humber (up 22 points to 34%) saw the largest monthly increases.Dave Atkinson, regional director for the East Midlands at Lloyds Bank Commercial Banking, said: “It’s pleasing to see confidence in the East Midlands increase this month. January tends to be quieter for businesses but firms in the region are clearly buoyed by their trading prospects and are looking to diversify their offering, demonstrating their resilience to more challenging market conditions.
“To help steel against potential future disruption, firms in the region should take a proactive approach to managing their cashflow, ensuring they have corporate cards and overdraft facilities to help with short-term finance needs.”
Retail confidence bounced back, rising for the first time in three months to 21% (up 14 points), led by improvements in both trading prospects and economic optimism. However, business confidence fell in construction (down eight points to 19%) and services (down five points to 20%) although this remains higher than in the latter part of 2022.
Hann-Ju Ho, senior economist for Lloyds Bank Commercial Banking, said: “Business confidence has lost a little momentum this month, following the strong gains seen recently. Firms are feeling more cautious about the wider economy. However, confidence in their own trading prospects continues to strengthen, helped by tentative signs that wage and other cost pressures may be reducing.
“While inflation appears to be tapering, pressures on consumers will need to ease further to help make it a more stable environment for businesses to operate.”
More than half of SMEs predict rising costs will be key challenge in 2023
Recession, rising costs and retention of staff were the three key challenges identified by SMEs for 2023, according to the latest survey from a HR consultancy.
The third annual SME Survey, from Kettering-based HR Solutions, has revealed that “finances are arguably a higher priority than ever before” with more than half of the companies questioned predicting rising costs will be an issue in the year ahead and 70% stating that available finance would have the biggest impact on decision making, closely followed by profitability and inflation.
A total of 46% of participants admitted managing and controlling costs is a major financial challenge for 2023 and to effectively manage costs, 38% of SMEs have highlighted that maintaining a sufficient cash flow will continue to be vital throughout the year.
The fieldwork took place at the end of 2022 and all the companies surveyed had fewer than 250 employees. The respondents spanned multiple industries, including manufacturing, education, care, hospitality, finance, energy, insurance, property, and pharmaceuticals.
HR Solutions first launched the SME Survey in 2021, during the pandemic, and priorities have changed dramatically since then. In the first and second SME Survey reports, Covid-19 had a huge impact on the findings. However, this year not one SME mentioned the virus.
Business financial performance and securing new business have consistently been selected as key challenges throughout each of the three surveys, and, unsurprisingly, 46% of survey respondents selected a potential recession as one of the main challenges in 2023.
HR Solutions CEO Greg Guilford said: “Each year, our SME Survey provides a pulse check on the SME landscape. We look at how the previous year has impacted businesses, and we use our results to predict key factors for the year ahead, sharing insight on how to leverage opportunities, and overcome challenges.
“This is our third SME Business Survey and offers us the chance to evaluate how trends have changed over the past few years. The UK now finds itself on the verge of a recession which is highly likely to have impacted the survey data for 2023 and swayed the statistics heavily towards a financial focus. Finances are arguably at a higher priority than ever before.
“Recruitment and employee retention also remain key priorities for SMEs as they continue to focus on their people, as they did in 2022. The importance of mental health at work has increased by six per cent when compared to the 2022 SME Business Survey results. Business owners must continue to see this as a high priority, particularly with external factors including the cost-of-living crisis, which are likely to have an impact on employee wellbeing throughout the year.”
In the report, HR Solutions address the issues raised and suggest recommendations for SME business owners to overcome the challenges. The forward-thinking firm have created a dedicated hub of resources, templates and guides as well as a 10-point plan to help companies manage effectively in a recession.
The plan, which can be used as a checklist, covers topics including cost cutting, organisational structure and pay.
Greg added: “With 69% of SMEs focusing on increasing turnover this year, forward planning and innovative thinking will be crucial for SMEs to succeed.”
90 jobs on the line at JD Sports brands acquired by Frasers Group
90 jobs are on the line at fashion brands acquired by Frasers Group from JD Sports in December, according to reports in the Retail Gazette.
Redundancy consultations are said to have begun at a number of the businesses that were snapped up in the £47.5 million deal.
The Shirebrook-based business swooped for premium fashion brands including Base Childrenswear, Choice, Clothingsites (including Brown Bag Clothing), Cricket, Giulio, Kids Cavern, Missy Empire, Nicholas Deakins, Pretty Green, Prevu Studio, Rascal Clothing, Tessuti (including Xile), Scotts, Watch Shop and Topgrade Sportswear (including Get The Label).
It followed an acquisitive year for the company, with purchases of Missguided, I Saw It First and Coventry Building Society Arena.
Retail Gazette notes that some of those affected have been offered work at Frasers Group’s Derbyshire HQ.
Grimsby Town slip to £930,000 loss despite turnover rise
Grimsby Town have slipped to a £931,000 loss in newly released accounts for the football club’s year ending May 2022, dipping from a £196,000 profit in the year prior.
Turnover however increased by over 26% from £3.5m to £4.4m thanks to the return of fans to the ground following the COVID-19 pandemic – to the highest level in nearly 20 years – and a successful season on the pitch which saw promotion to League Two. Matchday receipts increased to £1.4m compared to £680,000 in 2021 and there was an increase in revenue from commercial and hospitality activities.
Due to the prior year’s relegation, income from sources such as the Premier League, EFL and National League reduced from £1.5 million to £720,000.
Grimsby Town’s new owners invested £1.5m of loans into the company during the year, ensuring the club’s progress, some of which was used to repay debt in the form of loans from the previous principal shareholder and the balance was used to fund improving operations and infrastructure of the club.
East Midlands’ Information and Communications sector forecast to be UK’s fastest growing sector in 2024-26
The East Midlands’ Information and Communications sector is forecast to be one of the UK’s fastest growing regional sectors between 2024-26, as the UK economy continues to recover from the COVID-19 pandemic, according to EY’s latest Regional Economic Forecast.
When measured by Gross Value Added (GVA), the sector is set to grow by an average 4.4% each year between 2024-26 in the East Midlands – faster than any other sector in any other region. However, as a region the East Midlands is forecast to grow at the second lowest rate over the same period, with average annual GVA growth of 1.9%, compared to the UK average of 2.1%. Leicester and Nottingham are expected to lead the region with annual average GVA growth of 1.9% between 2024-26, while Derby, Boston and Mansfield are not much further behind at 1.7%.
The region’s GVA is expected to contract 1% this year, compared to a 0.6% contraction for the whole of the UK.
Looking ahead, East Midlands employment growth is expected to be affected by job losses in the region’s manufacturing sector partly offsetting gains in the retail and health sectors. As a result, average annual employment growth in the East Midlands (1.2%) is forecast to be marginally behind the UK average (1.3%) over 2024-26 – although the region is set to just outperform the West Midlands’ 1.1% annual average growth over the same period.
Simon O’Neill, managing partner at EY in the Midlands, said: “Sectors continue to play a key role in forecast performance at a city and town level. While the pandemic put pressures on city centres or supply chain-dependent manufacturing areas, the rising cost of living is likely to have the biggest impact in places that are dependent on the local High Streets or public sector jobs, due to the squeeze on consumer spending and wages.
“According to the report, the East Midlands is over indexed to the UK’s slowest growing sectors – and currently the least exposed to the five fastest growing. This is why the forecast performance of the region’s information and communications sector is so important. It’s the type of high value sector which can boost growth across the region and add resilience to the economy.
“However, high value sectors won’t function without a high value workforce and the East Midlands needs a clear strategy for retaining and uplifting its skill base. This needs to be approached from several angles: graduate and skills retention relies not just on the development of well-paid jobs, but strategic planning on the broader set of social, environmental and structural components that determine the quality of life in a given region too.”
| Region | 2023 GVA Growth | Region | Annualised GVA Growth 2024-26 |
| London | -0.2% | London | 2.6% |
| Scotland | -0.6% | South East | 2.2% |
| UK | -0.6% | UK | 2.1% |
| East | -0.7% | South West | 2.1% |
| Northern Ireland | -0.7% | East | 2.1% |
| South East | -0.7% | West Midlands | 2.1% |
| North West | -0.7% | North West | 2.0% |
| Wales | -0.8% | Northern Ireland | 1.9% |
| South West | -0.8% | East Midlands | 1.9% |
| North East | -0.8% | Wales | 1.7% |
| West Midlands | -0.8% | Yorkshire & the Humber | 1.7% |
| Yorkshire & the Humber | -1.0% | North East | 1.7% |
| East Midlands | -1.0% | Scotland | 1.7% |
EMEC welcomes ex-army captain as new project manager
Nottinghamshire-based East Midlands Environmental Consultants (EMEC) has taken on Lee Holland as a new project manager in response to a number of significant new contracts won.
Prior to joining EMEC, Holland was a captain in the Royal Army Medical Corps (RAMC). Upon leaving the armed forced he obtained a APM Project Management Qualification (PMQ). Holland also holds an BSc Economics (Hons) degree.
In his new role, he will be responsible for project managing many of the firm’s regional and national projects, where EMEC is responsible for acting as the consultant ecologist tasked with protecting habitats and offering added value advice to developers so that the communities they create, incorporate diversity.
Established in 1991, EMEC is a one stop shop for specialist ecology, biodiversity, land management and arboriculture services. Notable clients include Severn Trent Water, Nottingham City Council and Centre Parcs.
Commenting on his decision to join EMEC, Holland said: “Growingly environmentally aware, I wanted to work for a business that was positively impacting our natural environment. Having recently left the armed forces I qualified as a project manager and wanted to join a smaller, local business that was ambitious whilst maintaining strong core values and beliefs and EMEC ticked all these boxes.”
Dr Ed Tripp, consultancy director at EMEC, added: “To have someone of Lee’s background join the business is a major coup. EMEC is entering an exciting period having won some exciting new contracts, which Lee will be a valued member of our project management team.”
Outside of work, Holland plays ice hockey for the Nottingham Lions senior men’s team. He is also continuing service in the Army Reserves as part of 202 Field Hospital.
A wholly owned subsidiary of Nottinghamshire Wildlife Trust, all EMEC’s profits are gift aided to the Trust to support nature conservation.
Leicestershire businesses focus on skills, costs, and exports as region moves on from lockdown
Small businesses in Leicester and Leicestershire continue to keep a close eye on skills, costs, and exports as the region moved past lockdown and addressed new challenges.
Results from the latest Leicester and Leicestershire Enterprise Partnership (LLEP) Business Tracker Survey, conducted in December 2022, have now been published.
They show the responses from local SMEs to the latest of four surveys, each of which has checked the pulse of businesses over the last two years.
The purpose of the project throughout has been to better understand, and respond to, the needs of local businesses as a consequence of the pandemic.
The first survey was conducted in December 2020 and provided officers with data around how business was managing the impact of Covid-19.
Data has provided an insight into local business confidence, where support has been required, been used as evidence for funding bids, and shown how businesses have adapted.
The sequence started two years ago and 118 businesses participated in the fourth and final survey.
Tracker survey data has been used to support successful bids for the £3m Made Smarter programme, which is supporting digitalisation of East Midlands manufacturing businesses, and the £1.3m Create Growth programme, which is helping East Midlands creative businesses to grow.
Headlines from the final survey include:
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Only 30% of organisations were satisfied with their workforce’s basic skills. This is the lowest level recorded and fits with anecdotal evidence from local businesses that new starters may have missed out on learning ‘soft skills’ in a physical working environment.
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There remain many skills challenges to address. The LLEP is now working to improve alignment between skills required by businesses and how schools and further education support students to meet these challenges.
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Recruitment difficulties also remain. Businesses are responding with salary rises and increased training. In total, 38% of businesses had experienced difficulties with recruitment during the last six months. More than two-fifths of businesses have capacity to offer work experience.
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Europe continues to be the key trading partner for both imports and exports. More than 50% of those involved in exporting were experiencing challenges, which most blamed on the UK’s exit from the EU. Import challenges were blamed both on Brexit and shipping issues.
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Around 8% of businesses are struggling to repay Government support accessed during the pandemic. This is likely to become a more serious issue once increased costs associated with cost of living and energy prices are factored in.
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About 57% of businesses have been significantly impacted by inflation of raw material costs. Shipping costs and utility prices also factored, with most businesses raising their own prices, as well as looking for cost and supply chain savings.
Andy Reed OBE, co-chair of the LLEP Board, said: “The survey has covered themes that directly impact local businesses of all sizes, from skills and recruitment to digital investment and exporting patterns.
“What it has shown us is that the situation remains delicate for many small businesses in the region.
“This time a year ago, 90% were cautiously optimistic about the future, but that has since slid to just over eight in ten as the impact of inflation began to bite.
“We will continue to use the data from all four tracker surveys to inform programmes and policy at the LLEP as we move forward.”
The survey went to businesses ranging from two to 249 employees. About a quarter were based in the city, with the remainder operating across Leicestershire.
Businesses covered a range of sectors, from agriculture and construction through to logistics, education, hospitality and the arts.
Funding awarded to accelerate growth of Nottingham’s medtech businesses
Medtech and life sciences businesses in Nottingham will continue to benefit from the support, connectivity and collaboration delivered by specialist life science industry association, Medilink Midlands, following its successful bid with Nottingham City Council to be part of the government’s UK Shared Prosperity Fund.
Medilink Midlands has received £271,872 from the UK government through the UK Shared Prosperity Fund to deliver business growth support to the medtech and health tech industry across the city of Nottingham.
The UK Shared Prosperity Fund (UKSPF) is a central pillar of the UK government’s Levelling Up agenda and is to provide £2.6bn of funding for local investment by March 2025. The Fund aims to improve pride in place and increase life chances across the UK investing in communities and place, supporting local business, people and skills.
Part of the UKSPF’s Supporting Local Businesses fund, the Business Growth fund aims to support start-up businesses, support businesses with innovation and R&D, and provide tailored dedicated support in order to grow business productivity, increase the local business pool and drive growth in the economy. Its main objective is to support high growth, high value jobs and sectors, as well as sectors that are significant or important to Nottingham.
As one of four organisations awarded Business Growth grant funding, Medilink Midlands’ project will focus on the delivery of business and innovation support to companies already in, or transitioning into, the life science and medtech sector within Nottingham, to ensure Nottingham continues to be recognised globally as a city for pioneering medtech and health tech innovation.
Chief Executive of Medilink Midlands Simon Himsworth said: “We are delighted to have secured this funding which we will use to help stimulate a culture of innovation across Nottingham, and further develop our comprehensive, integrated, co-ordinated life science ecosystem to support companies to accelerate their ideas to market.”
“Medilink Midlands has been delivering innovation support to Nottingham SMEs for a number of years,” Simon explained. “Using our comprehensive cross-sectoral knowledge and networks across the med tech and life sciences industry, this project will enable us to support more companies in the city to increase their competitive advantage and facilitate collaborations with industry suppliers and partners, academic research, the NHS, local government, and other sector stakeholders.
“We are committed to delivering opportunities for business growth across the East and West Midlands regions, and await the outcomes of other bid applications which we hope will further enable us to set a precedent for the delivery of life sciences support in the Midlands as a whole.”
Robert Dixon, Head of Business Growth and Inward Investment at Nottingham City Council, said: “We are delighted that Medilink Midlands will be using our UKSPF funding to provide business support for the life science sector in Nottingham.
“Nottingham is an increasingly nationally important home to many new life science businesses, based on the strengths of the two universities, the home of BioCity/Pioneer Group, which is Europe’s most successful life science incubator, and Boots – the UK’s premier health and wellbeing retailer.
“We are confident that Medilink Midlands can support businesses to grow with its concept of creating synergies between business, academic research, and NHS and healthcare providers.”
Professor Steve Morgan, Director of the Centre for Healthcare Technologies at the University of Nottingham, said: “We are proud to be partnering with Medilink Midlands on this exciting project with Nottingham City Council. The medical technologies sector in Nottingham is vibrant and growing, and we are delighted to be able to play our part in facilitating further growth by supporting the adoption and adaptation of new knowledge and innovation for local businesses.”
Simon Himsworth added: “The life sciences sector in Nottingham is incredibly diverse, with many innovations and technologies being developed to address socio-economic and health issues. Through additional support, these innovations can be developed and accelerated through the development process and can play a key role in the ‘levelling-up’ of Nottingham city.”
