UK economy shows growth but precarious position remains
The UK economy grew in November, with GDP* (gross domestic product) seeing a 0.3% rise, stronger than the 0.2% month-on-month growth expected and following a 0.3% fall in October.
However, GDP was down 0.2% over the three months to the end of November, keeping the economy in a precarious position.
Monthly growth reflected strong performance in services, particularly in information and communication which grew 1.5% thanks the computer games industry and telecommunications.
Services output grew 0.4% month-on-month, following a 0.1% dip, while in another positive swing production output grew 0.3% month-on-month, following a fall of 1.3% in October. Meanwhile the construction sector fell 0.2% month-on-month, after a fall of 0.4% in October 2023.
James Smith, research director at the Resolution Foundation, said: “The economy grew more strongly than expected between October and November, driven by a recovery in our services sector including strong black Friday retail sales and a high performing ICT sector, making it less likely Britain will fall into recession.
“The final verdict on 2023 will come next month, but it is essential that Britain builds some economic momentum in 2024.”
Ben Jones, CBI lead economist, said: “It’s encouraging to see that economic activity rebounded in November after the previous monthly fall. But while this means the UK should avoid a technical recession last year, it masks an overall picture of a flatlining economy.
“The CBI’s latest surveys suggest the economy will struggle to gain any traction in the near term, as consumers rein in spending and firms face a trio of headwinds in the form of subdued demand, cost pressures and ongoing difficulties finding the staff they need.
“With an election fast approaching, all parties need to look at measures which can get the economy firing on all cylinders. Full capital expensing was an exciting first step in this direction, but the Spring Budget is a chance to press ahead with a wider programme of measures around innovation, skills and decarbonisation that provide the foundations for sustainable economic growth and kick-start productivity.”
*GDP measures the value of goods and services produced in the UK. It estimates the size of and growth in the economy.
North East Lincolnshire Council’s Cabinet to discuss pre-let for Sea Road building in Cleethorpes
North East Lincolnshire Council’s Cabinet are set to discuss a pre-let for the Sea Road building in Cleethorpes.
Sea Road, in the heart of the town, has been remodelled over the last few years, with the former “Waves” site being demolished for redevelopment. Interrupted by COVID, the scheme has picked up again in the last few months following the award of Government’s Levelling Up Fund monies for three projects in the heart of the town, with the main construction works starting later in 2024. The landmark Sea Road building has been marketed by local agents, PPH Commercial, generating serious interest in the site from interested parties. Discussions regarding a long-term pre-let agreement are in advanced stages, and proposed Heads of Terms have now been agreed, subject to Cabinet approval, for most of the ground floor and all of the first floor of the building, to a leading independent national hospitality company. The remainder of the building will continue to be marketed for use. The Cabinet meeting is on Wednesday 17 January at 5pm at Grimsby Town Hall.Harworth completes six land parcel sales
Harworth Group plc, a regenerator of land and property for sustainable development and investment, completed 964 residential plot sales in December.
A number of further land parcel sales are expected to complete in the coming months, reflecting continued housebuilder appetite.
The December transactions comprised six land parcel sales in Yorkshire and the Midlands to four housebuilders, and the Group’s first forward funding agreement with a registered provider as part of Harworth’s affordable housing portfolio.
The total headline sales price for these transactions was £41.2 million and all were completed at prices in line with, or ahead of, book values.
The largest of the disposals was the whole of a site in Killamarsh, Derbyshire, which has been sold jointly to both Harron Homes and Homes by Honey. In the first half of 2023, an outline planning consent was secured to develop up to 397 family homes at the site.
At its South East Coalville development in Leicestershire, Harworth has sold a land parcel to Strata for the construction of up to 184 homes. The wider development occupies a 250-acre site and has outline planning consent for more than 2,000 homes, with land now sold for over half of these, together with a new supermarket. A new 21-acre park was opened at the site in late 2023 and construction has begun on a new two-form entry primary school.
At its Prince of Wales development in Pontefract, Harworth has sold a land parcel to Harron Homes for the development of 141 new homes. The regeneration of the former Prince of Wales colliery, which will see the creation of a new community of over 900 homes, began in 2013 and is now nearing completion. To date, over 400 homes have been built and occupied at the site, with almost half of these being delivered by Harron Homes, following its first land acquisition there in 2016.
At Thoresby Vale in Nottinghamshire, a land parcel has been sold to Homes by Honey to deliver 114 family homes. The development lies on the site of the former Thoresby Colliery, which Harworth is transforming into a new community of around 800 homes, including a new primary school, retail and leisure facilities and a 350-acre country park.
Land at the site has already been sold to two housebuilders – one parcel to Harron Homes, and three parcels to Barratt and David Wilson Homes – for the delivery of over 530 houses in total. The primary school received planning approval in 2023 and construction is expected to commence later this year.
At Waverley in Rotherham, where Harworth is regenerating the former Orgreave Colliery & Coking Works into over 3,000 homes alongside the nationally-significant Advanced Manufacturing Park, extensive green space and amenities, land was sold to Homes by Honey to develop 54 family homes.
At its Gedling site in Nottinghamshire, Harworth sold a remaining small land parcel to Keepmoat Homes, which has an outline planning consent to develop 24 houses. The land parcel is adjacent to a separate development being delivered by Keepmoat Homes and Homes England on the site of the former Gedling Colliery.
Finally, Harworth signed its first forward-funding agreement for its affordable housing portfolio, at Riverdale Park in Doncaster. Harworth entered into an agreement with Great Places, which manages 24,000 homes across the North West and Yorkshire, to develop 50 new affordable housing properties at the development.
Under the terms of the agreement, Harworth has sold a land parcel to Great Places and will oversee the construction of the homes in return for a development management fee.
Lynda Shillaw, Chief Executive, Harworth Group plc, said: “Our large number of residential land sales at the end of 2023, all in line with or ahead of book values, demonstrates the continued strong demand for Harworth’s de-risked serviced residential land product from a wide range of housebuilders, and we are seeing strong sales momentum as we move into 2024.
“We are also pleased to have completed our first forward-funding agreement for our affordable housing portfolio, proving the appeal of our mixed tenure model. We look forward to working with our partners to deliver much-needed new homes across these regions.”
Survival solutions manufacturer acquires Nottingham firm
Survival solutions manufacturer Wescom Group has expanded its presence in the defence market by acquiring Nottingham-based, chemical detection technology company KeTech Defence Ltd, a supplier in the provision of rapid detection solutions in the defence sector.
Wescom Group Chief Executive Officer, Ross Wilkinson says: “I’m delighted to announce that today KeTech Defence Ltd UK joins Wescom Group. KDL’s expertise in detection technologies enhances our current critical survival capabilities. We are excited to work with the management team in growing the business both organically and geographically.”
KDL expands Wescom Group’s portfolio and complements its business model of defence survival solutions that include pyrotechnic signalling, screening, training and simulation, and obstacle breaching solutions and now chemical detection.
KDL’s Tony Shaw says: “Thanks to our shared defence focus and combined market knowledge, this is an incredible opportunity to accelerate the company’s growth into new markets by leveraging Wescom Group’s extensive defence sales resource and distribution network.”
New MD for Clegg Construction
After a long and successful career in the construction industry, and with more than 20 years at the helm of Clegg Construction as Managing Director, Simon Blackburn has announced his retirement.
Michael Sims has stepped up to become MD from his previous role as commercial director, with Darren Chapman and Ross Crowcroft continuing in their roles as operations director and pre-construction director respectively.
The change in leadership comes as Clegg Construction has secured its strongest carry-forward order book, with more than £82m secured turnover for 2024.
Simon, who joined Clegg Construction in 2002, before becoming MD two years later, will remain as a group director until the end of May 2024 in support of the new generation of leadership which will take the business forward into 2024 and beyond.
“Over the last 20 years I’ve been extremely proud to lead a business that has delivered in excess of 7,000 student beds, 1,500 apartments, 1,000 care home beds, 750 hotel bedrooms and more than one million square feet of industrial schemes,” he said.
“Projects have included new builds, refurbishments, re-cladding & extensions, providing education facilities for primary, secondary, further, higher and vocational training, advanced manufacturing centres, research and development labs, offices, distribution, storage, libraries, leisure facilities, hotels, residential developments, community centres, places of worship, sports facilities, retail buildings, archives, courtrooms, the odd glulam replacement here and there, a raft ride, a cable-ski and even a crematorium.
“I am pleased to be handing over the business with a record level of carry forward workload and I congratulate Michael on his new role as Managing Director and wish him, and the other directors, all the best for the future.”
Michael Sims, who joined Clegg Construction in spring 2021, bringing to the business over 20 years of industry experience with key expertise in commercial and risk management and contract negotiation, paid tribute to his predecessor.
“I am proud to have been appointed to follow in his footsteps and take up the reins as the new MD for a company that is so well regarded and has such a long history. Alongside the other directors, I look forward to building on Simon Blackburn’s legacy and continuing to provide design and construction excellence to our clients across the country.”
Shorts makes director promotion
Shorts has promoted Alicia Williams to the position of Genus director.
Since joining Shorts in 2016 as an accounts senior, Alicia has earned promotions to client financial controller and finance system/app integrator in 2017 and then client FD and digital improvement lead in 2022.
Her progression to director is testament to her skills and is a reflection of the active role she has played in the development of Shorts’ Genus, management information offering during that time.
Partner Malcolm Pope said: “Alicia is not only recognised as a leader within Shorts, but also the wider UK accounting community, following an appearance at a Xero Talks Event in London (and subsequent Podcast) and her involvement in the recording of numerous videos for reporting software provider Fathom.
“She has long been Shorts’ ‘go-to’ in terms of helping our clients improve efficiencies and opportunities through the introduction of software solutions, but she has also more recently been heavily involved in the development of what comes next for Shorts in all things AI / data analytics completion of the data analytics qualification from the ICAEW. Alicia’s promotion is very much deserved and she has worked hard to achieve it.”
Alicia said: “I am incredibly proud to have been promoted to Genus director at Shorts and excited to be taking the next step in my professional journey. Shorts has fostered a culture of learning and development, and my promotion showcases the firm’s genuine commitment to supporting its employees’ career growth through structured paths.
“I am excited for my new role, working closely with both our existing clients and future ones and helping to contribute to the continued success of the firm.”
Pall-Ex Group appoints warehouse and logistics director
Pall-Ex Group, a Leicestershire-based pallet distribution network, has appointed Carl White as warehouse and logistics director.
Carl joins the executive team with an impressive portfolio, having accumulated over 23 years of extensive experience in the logistics sector including his recent position at Knights of Old.
Having joined the executive team in November, Carl is at the forefront of developing Pall-Ex Group’s pioneering logistics 3PL division, a strategic initiative which will see the development of warehousing and logistics centres positioned near the Pall-Ex Group hub facilities to gain a competitive advantage.
Carl White said: “Joining Pall-Ex Group represents a pivotal moment in my career. The opportunity to contribute to an organisation that is at the cutting edge of logistics solutions is both inspiring and aligns perfectly with my professional ethos. The logistics sector is a cornerstone of global commerce, and I am committed to enhancing our operational capabilities to better serve our diverse client base.”
Barry Byers, MD of Pall-Ex Group, said: “Carl’s appointment is a testament to our commitment to attracting top-tier talent. Our strategic direction has been developing over the past few years and the launch of this division will add competitive synergies aligned to our core business.
“This will provide added value to our shareholder members and our customers as we diversify to offer a seamless and visible solution direct from our storage centres through to the delivery point. Our warehousing and logistics activities will only support our growth trajectory and further reinforce our market position.”
New hire and appointment to management team for Derby accountancy firm
Derby-based accountancy firm, Ascentant Accountancy, has appointed Jayne Sheehan in a newly created role as practice manager.Jayne will manage the operational needs of the business day to day, having joined from Bhatia Best Solicitors and is the first appointment to Ascentant Accountancy’s management and leadership team as the firm restructures through a period of steady growth.
Jayne brings a wealth of leadership experience, putting solid foundations in place to develop the team, increase efficiency and launch the firm’s trainee program. The appointment of Jayne will free director, Kevin Drew, to push Ascentant Accountancy to the next level, focusing on the firm’s strategic objectives, developing commercial partnerships, sales and marketing.
Kevin will also continue to manage Ascentant Accountancy’s recently launched Ripley office and development of its niche legal PMS migration services, having recently partnered with Clio among other international legal tech suppliers. Kevin said: “We are really pleased to have Jayne onboard at this crucial period in our growth; 2023 saw us move to a new office to accommodate our growing team, launch our second office and increase our headcount, service lines and client base.
“Having recently recruited professionals from Rotheras Solicitors, John M Lewis & Co and now Bhatia Best, we are cementing our position as a specialist in the legal sector both locally and nationally.”
Centrick sells high street division
Property specialist Centrick is planning for growth across its property solutions services as it sells its high street sales and lettings business.
The firm has taken the decision to move away from high street estate and lettings agency to focus on delivering property management and associated professional services to the residential property sector.
Its high street division has been acquired by the Lomond Group and will operate under its John Shepherd brand. The deal involves teams in Nottingham, Solihull and Birmingham, with 25 staff transferring across.
Centrick’s new initiatives include a £1 million investment in tech solutions to deliver best-in-class resident engagement, further strengthening its dedicated Building Safety & Compliance service, as well as a new 3,500 sq ft ‘Centrick Academy’ – a training facility aimed at growing grass-roots talent and raising both technical ability and service standards for Centrick staff and the wider property management community.
Centrick founder James Ackrill said: “Our ambition as a group has always been to deliver a truly exceptional service, building a team of highly skilled property professionals that care about our clients and the residents we support.
“We recognise the need for focus and depth in our specialisms in order to deliver on our long-term plans and commitment to clients today, as well as into the future. This move puts the group in a really strong position to focus consistently on those specialisms and continue to enhance our already high service levels, aligning our teams around the needs of our clients.
“Our high street agency has always been extremely successful, holding numerous awards and top positions in a number of areas, driven by incredible property professionals. We are grateful and genuinely thankful to all the people that have been part of the Centrick family.
“All of the Centrick high street agency team will be transferring to John Shepherd who have a long and trusted history. This means that all of our high street clients will continue to be looked after by the people they already know and trust without any loss of service.”
Free conference will offer firms advice about upskilling
A free Chesterfield and North Derbyshire Skills and Employability Conference on February 8th will highlight the support available for businesses to upskill their workforce, further enabling local organisations to grow. organically.
Research conducted by East Midlands Chamber found that 72% of local businesses have difficulties in recruiting suitable staff. Meanwhile, The Chartered Institute of Personnel and Development found that nearly two-fifths of organisationsare increasing efforts to meet their needs by developing more talent in-house. Upskilling existing employees is the most common response to solving recruitment issues.
Attendees will hear how local businesses have benefited from investing in upskilling existing employees, including through apprenticeships. BHP Chartered Accountants will share how they have promoted more than 70 of their own staff into more senior roles within the last year, alongside taking on more than 40 new trainees.
Chesterfield Borough Council will also reveal more details about its new skills brokerage service for businesses. Funded through the UK Shared Prosperity Fund, the service aims to give firms a single point of contact for impartial advice and support on how to fill vacancies and reduce skills gaps within their organisations.
Cllr Tricia Gilby, Leader of Chesterfield Borough Council commented: “We’re proud to support the annual Skills and Employability Conference because we believe it helps businesses to share best practice and encourages them to work together to develop the skills of our residents, creating a resilient workforce who are able to capitalise on new opportunities and help local businesses to grow. This year the conference will be heavily focused on the support that local businesses can access and I’d encourage any business owner to come along and find out more about the help available to them.”
Michael Timmins, Chair of the town’s Skills and Employment Partnership and Director at AECOM, said: “The annual Skills and Employability Conference continues to prove popular with firms across the town, enabling them to gain the latest information on the initiatives taking place to ensure we keep producing a strong and talented workforce for our organisations to thrive. As a collective, our town must continue to play its part in unlocking the potential of our people, so I would urge any business owner in the area to attend the conference and see how we can support you to grow.”
The event is being hosted at Chesterfield’s Winding Wheel Theatre, on Thursday, 8th February 2024 (8am-11am). Book your free place at the event here.
