Housing deal to breathe new life into iconic Nottingham building
Citra Living, the rental housing owner and operator that is part of Lloyds Banking Group, is to bring 95 new apartments to the private rental market as work commences on the redevelopment of Nottingham’s iconic British Waterways building.
Citra, which operates a growing portfolio of more than 2,000 homes across the UK, has acquired the entirety of the Grade II-listed residential scheme, paving the way for new rental homes in the area.
The homes have been developed in partnership with H2O Urban, a long-term joint venture between developer bloc and the Canal & River Trust, which owns and manages the surrounding canal network. With a shared aim to regenerate underutilised land and buildings close to waterways infrastructure, the joint venture has aimed to maximise the social and economic potential of the sensitive canal basin site.
The apartments to be marketed by Citra include a mix of studio, one and two-bed homes, with residents to benefit from additional communal space, as well as having access to canal-side public realm. Car parking spaces will be provided in the basement of the development, while secure internal cycle parking will also be provided to help residents take advantage of the city’s improving cycle network.
The refurbishment of the British Waterways building includes a rooftop extension that will provide eight apartments with views over the city. In keeping with the existing structure and design of the building, the parapet of the building will be used as a guard wall for the apartments, meaning much of the extension is hidden from street views.
The scheme forms part of Citra’s growing portfolio in the East Midlands. The rental housing owner and operator, which was established in 2021, has recently acquired more than 100 homes across schemes in Nottingham and Leicester being brought forward by national housebuilder Keepmoat.
Local contractor Jessops Construction have been appointed by H2O to complete the construction works which are expected to complete in early 2025.
Andy Hutchinson, Managing Director of Citra Living, said: “This unique heritage development is a major addition to our growing portfolio of homes, providing high-quality homes in an iconic and now fully revitalised building.
“As well as preserving this important building for years to come, the apartments will also help address a lack of purpose-built accommodation in Nottingham, as well as helping to look after the canal network.
“We’re working in partnership with a wide range of leading developers and housebuilders to address the increased demand for rental properties across the UK, and we look forward to any future opportunities our relationship with H2O Urban brings.”
Richard Thomas, CEO of H2O and Director of bloc, said: “We are delighted to finalise our first deal with Citra Living and look forward to future projects with their support. The British Waterways building is just one example of our ability to deliver impactful developments that create vibrant, sustainable properties from underperforming real estate.
“Our alliances with Canal & River Trust and Network Rail allow for financial reinvestment in local communities through urban renewal, while ensuring environmental improvement.”
Richard Wherry, Managing Director at Jessops Construction, said: “We are delighted to be working with H2O Urban and Citra Living to deliver much needed accommodation within the city of Nottingham and are excited to bring new life into this historic building.”
Acquisitive Phenna Group makes 15th strike of 2023
Nottingham-headquartered Phenna Group, whose aim is to invest in and partner with selected niche, independent Testing, Inspection, Certification and Compliance (TICC) companies that serve a variety of sectors, has made its 15th deal of 2023, and its 4th in food and health sciences.
Formed in 1993 by vets Rob Jones and Pete Eville, Leeds-based Eville & Jones (E&J) is a provider of veterinary, compliance and public health solutions to the food industry. Its UK-wide team of nearly 1,000 professionals delivers audit, verification, inspection and compliance services in the fields of animal health, public health, food safety and animal welfare.
E&J works with various government departments across the UK to safeguard animal welfare within abattoirs and ensure that meat is safe to enter the food chain. E&J is also the country’s largest provider of Export Health Certification services to the private sector, enabling the export of Products of Animal Origin.
Charles Hartwell, CEO of Eville & Jones, said: “My team and I are hugely excited to join Phenna Group. Our business has grown steadily over recent years and I believe with Phenna’s support, that can continue and allow us to expand more rapidly into complimentary services and geographical areas.
“Since our first interaction with Paul and his team, the process has run smoothly and they have acted with great integrity and professionalism throughout. I’m confident in our ambitious future growth strategy and look forward to working with the Phenna Team to deliver it.”
Paul Barry, Group CEO of Phenna Group, added: “I am delighted to welcome Charles and his team to Phenna Group. The addition of Eville & Jones really augments our fast growing Food & Health Sciences platform.
“By headcount, this is our largest deal to date and their experienced team creates a UK wide footprint of experts, that we hope to leverage into new adjacent services into the future. E&J provide a critical service to the UK food industry and I’m proud to have them join Phenna Group. I look forward to working with Charles and his team to help them deliver their exciting growth plans.”
Phenna Group was advised by Avonhurst and RSM. Eville & Jones was advised by Blacks Solicitors, Parsons Chartered Accountants, and Claritas Tax.
The deal follows hot on the heels of Phenna Group’s acquisition of CEIMIC Life Sciences Testing Group.
Team formed to develop proposals for new leisure centre and Civic Offices in Swadlincote
A new Project Team has been formed to develop options and proposals for Swadlincote’s leisure centre and Civic Offices.
Greenbank Leisure Centre and the Civic Offices are ageing and becoming unfit for purpose in comparison with modern leisure centre facilities and future office requirements. Due to their age, condition and South Derbyshire District Council’s decarbonisation targets these buildings will require substantial future maintenance and investment.
At the Finance and Management Committee meeting on Thursday, 24 November, the Committee endorsed the establishment of a new Project Team that will work up proposals for a new leisure centre and Civic Offices.
One of the initial challenges facing the newly formed team will be determining where the new buildings could be built. So, identifying potential sites and evaluating their suitability will be the priority focus of the project.
The financial viability of the proposals will also need to be assessed.
Councillor Robert Pearson, Leader of South Derbyshire District Council, said: “This new team will start work to explore and present a variety of options which will be carefully scrutinised by partners, stakeholders, residents and staff.
“It is of paramount importance that we ensure residents and our staff have access to modern buildings and facilities that truly serve their needs well into the future.”
The project is at an early stage, and no decisions about the new leisure centre or the Civic Offices have been taken. The Green Bank Leisure Centre, and the adjacent Civic Offices have been at Civic Way, Swadlincote, since the 1970s.
Just weeks left to save Derby train manufacturing
A lobby of Parliament has heard from the UK boss of train-maker Alstom that there could be just weeks left to save nearly 180 years of train manufacturing in Derby.
Managing Director of Alstom in the UK & Ireland, Nick Crossfield, made the prediction at the lobby after appearing at a meeting of a select committee on rail rolling stock.
Production lines at the firm’s Litchurch Lane site are set to come to a halt due to a lack of orders for new train fleets from the UK rail sector. The lobby, attended by members of both houses, as well as city and business leaders, was convened to call on the Government to act.
Mr Crossfield told the lobby: “We are at a most critical stage and if we do not get clarity and commitment in the next two to three weeks then we are in a very different environment. Long term, the UK rail market is the second largest in Europe. The question is, how does Britain want to get those trains?”
Councillor Baggy Shanker, leader of Derby City Council, said: “The lobby was well attended and together Team Derby has highlighted just how urgent and critical it is for the Government to take action promptly to secure the immediate future of rail manufacturing in Derby. We all now anxiously wait for a decision from the Secretary of State for Transport.”
Speaking at the lobby, John Forkin, Managing Director of Marketing Derby, said: “The Bondholder business community of Derby stands in full support of Alstom and its suppliers.
“The short-term threat is real – and we must protect those thousands of jobs. We’ve been here before – and we need an industrial strategy that puts the rail sector at its heart.”
Alstom, and its unions, have been in talks with the Department for Transport for months in an attempt to persuade it to bring forward contracts to safeguard the jobs of hundreds of workers at the Litchurch Lane factory and thousands more in the UK supply chain.
It has been supported by management at Transport for London, which wants Alstom to build additional trains for the capital’s Elizabeth Line.
Rail sector experts also believe there is desperately needed refurbishment work for current rail fleets in passenger service that could be commissioned into Derby.
City leaders have been working closely with Alstom, Unite and senior government officials to explore potential resolutions to the current situation since possible job cuts were revealed back in September.
At the lobby, local MPs of different political hues came together to discuss the crisis. Also present was Lord McLoughlin, himself a former Transport Secretary, who spoke about the skills that existed in Derby, the importance of the supply chain and the quality of trains the city produces, particularly for the Elizabeth Line.
Growth continues at Games Workshop
Revenue and pre-tax profits are showing continued growth at Games Workshop, the Nottingham-based manufacturer of miniature wargames.
In a new half year update the business confirmed trading is in line with expectations, with the Board’s estimate of results for the six months to 26 November 2023, at actual exchange rates, being core revenue of not less than £235 million (up from £212.3 million last year) and licensing revenue of c. £12 million (down from £14.3 million).
Core operating profit, meanwhile, is estimated to be no less than £82 million (increasing from £70.7 million) and licensing operating profit is anticipated to be £11 million (down slightly from £12.9 million).
Furthermore, profit before tax is estimated at not less than £94 million (growing from £83.6 million).
Under Games Workshop’s profit share scheme, it is paying £2,500 in cash to each employee in December to reward their contribution to the firm’s performance. Dividends declared and paid in the period are 195p per share, £64.2 million.
Frasers Group hails “strong set of results”
The CEO of Frasers Group has hailed a “strong set of results” for the retail giant’s first half.
According to unaudited results for the 26 weeks ended 29 October 2023 (FY24 H1), group revenue passed £2.7bn.
Meanwhile, the Shirebrook-based firm’s reported profit before tax surged to £310.2m from £287.2m last year.
Michael Murray, Chief Executive of Frasers Group, said: “We have delivered a strong performance in the first half of the year, with great momentum as we head into the Christmas trading period. The elevation strategy continues to drive strong trading performance across the business with good growth in Sports Direct supported by our brand partners.
“Our long-term ambitions for our Premium Lifestyle business remain unchanged although it is likely that progress will remain subdued for the short to medium term in the face of a softer luxury market however, we continue to invest with confidence in our unique proposition.
“During the period, we have opened new elevated stores, and further strengthened brand partnerships to allow us to deliver the best consumer experience. I am also excited about the potential of our strategic investments which we expect to unlock further opportunities for the Group. We have a clear ambition to be the leading sports retailer in EMEA and we are making progress on broadening our footprint through a focused international M&A strategy.
“As we look to 2024, we are confident that our diversified proposition will continue to provide consumers with choice across a range of brands and price points. I want to thank our talented colleagues for their relentless focus and hard work which has enabled another strong set of results.”
Profits dip at Watches of Switzerland Group
Watches of Switzerland Group has seen a 20% dip in pre-tax profits in its first half, while revenue has also witnessed a small decline.
According to results for the 26 weeks to 29 October 2023 (H1 FY24), group revenue sat at £761 million, down from £765 million in the same period of the year prior.
While the Leicester business saw strong momentum in the US with a 5% increase in revenue to £328 million, revenue in the UK and Europe was down 4% at £433 million, in part due to a more challenging consumer environment in the UK, and several high turnover showrooms being closed for upgrade during the period. Statutory profit before tax, meanwhile, declined to £67m from £83m.Keeping positive, Brian Duffy, Chief Executive Officer, said: “Our good first half performance reflects the Group’s growing leadership position in our chosen markets as the strength of our longstanding brand partnerships and our proven business model continue to drive our performance forward.
“We are particularly pleased with performance in the US, where we grew revenue +11% in the period, and the US now comprises 43% of Group revenue. The consumer environment in the UK continues to be more challenging and UK and Europe revenue was -4% in the period, impacted by the timing of product intake in Q1 FY24 and temporary showroom closures for refurbishment.
“We have expanded our retail network at pace in the first half, opening a total of 19 showrooms globally, whilst investing in elevating the luxury experience for our clients through significant refurbishments across seven showrooms.
“We were also delighted to complete the acquisition of selected luxury showrooms from Ernest Jones in November 2023. Looking ahead into the balance of the financial year, we will integrate the Ernest Jones portfolio and continue to deliver on our exciting pipeline of new projects.
“Demand dynamics remain strong, and our client registration lists continue to grow, whilst the pre-owned market remains a significant opportunity. We are encouraged by the early performance of the Rolex Certified Pre-Owned programme following its launch in the first half in both the US and UK. We will continue to expand the number of showrooms to meet demand for all pre-owned luxury watches and are excited by the growth potential in this category.
“Looking ahead, we are well positioned for a good holiday trading period as we present our clients with our strongest ever range of luxury watches and luxury branded jewellery. We remain on track to deliver full year guidance, with our confidence for H2 underpinned by the reopening of several high revenue showrooms which were closed for upgrade in H1.
“Looking further ahead, we are confident in our Long Range Plan objectives of doubling sales and profit by 2028 through capitalising on our leading market positions and the unique growth opportunities available to us as the world’s largest luxury watch retailer.”
Social media followers to help IT firm support Northants charity
Staff from IT consultancy 3RS IT Solutions have pledged to support a charity which supports adults with mental health needs, autism and learning and physical disabilities, by undertaking fundraising challenges suggested by their social media followers.
Director Stephen Souch and services operations manager, Ethan Malvern, will be raising money for Teamwork Trust by participating in a series of activities and challenges over the course of the next year – all of which will be decided by a series of online polls across their social channels.
Stephen said: “Some people may know that my son is autistic, and The Teamwork Trust does a huge amount to support people with additional needs in Northamptonshire. We want to help them by raising as much money as we possibly can.
“Ethan and I have formed two teams, Team Souch and Team Malvern, but we need help in deciding which challenges we should take part in.
“Over the coming weeks we will be posting a series of polls on our social media channels and we are inviting everyone to go online and vote.
“While we’re secretly hoping people aren’t too brutal, we will try anything, so we would urge everyone to get online and have their say!”
Helen Burdett-Wright, Chief Executive at Teamwork Trust, said: “Thank you to 3RS IT Solutions – for your support, generosity and such a fun-filled and committed fundraising drive.
“We are 40 years old this year and are all about supporting autistic adults, people with learning disabilities and individuals with mental health needs. This support will make a huge difference to our life changing charity and our service users can’t wait to find out more and get involved.”
To learn more about their challenge and to vote in the online polls visit 3RS IT Solutions’ social media channels at www.linkedin.com/company/3rs-it-solutions/ or search for 3RS IT Solutions on Facebook.
Streets Chartered Accountants covers tax, national insurance, pensions and more in new news roundup
Streets Chartered Accountants covers tax, national insurance, pensions and more in its latest monthly news roundup.
Corporation Tax marginal rate
The Corporation Tax main rate for companies with profits in excess of £250,000 increased to 25% on 1 April 2023…read more
Marriage allowance entitlement
The marriage allowance applies to married couples and those in a civil partnership where a spouse or civil partner does not pay tax or pay tax above the basic rate threshold for Income Tax…read more
Income Tax – £5,000 savings zero rate band
If you have taxable income of less than £17,570 in 2023-24 tax year you will have no tax to pay on interest received…read more
CGT – Lettings relief
In general, there is no Capital Gains Tax (CGT) on a property which has been used as the main family residence…read more
IHT – Giving away your home before you die
The majority of gifts made during a person’s life, including gifting a home, are not subject to tax at the time of the gift…read more
Filling gaps in National Insurance record
National Insurance credits can help qualifying applicants to fill gaps in their National Insurance record…read more
NIC changes for the self-employed
In the recent Autumn Statement, the Chancellor announced two important changes to National Insurance contributions (NIC) for the self-employed…read more
NIC changes for employees from 6 January 2024
In the recent Autumn Statement, the Chancellor announced a significant change to National Insurance contributions (NIC) for employees…read more
Tax relief on pension contributions
Taxpayers can usually claim tax relief for their private pension contributions…read more
Help to Save bonus payments
The Help to Save scheme is intended to help those on low incomes to boost their savings…read more
Due a student loan refund?
Student Loans are part of the government’s financial support package for students in higher education in the UK…read more
Childcare support from HMRC
Parents may be eligible to receive childcare support from HMRC using the Tax-Free Childcare (TFC) scheme…read more
Current State Pension age
The second review of the State Pension age has been published by the Department for Work and Pensions. The State Pension age is currently 66…read more
Paying tax by direct debit
One of the many ways that payments can be made to HMRC is by using a direct debit…read more
Tax Diary December 2023/ January 2024
1 December 2023 – Due date for Corporation Tax payable for the year ended 28 February 2023.
19 December 2023 – PAYE and NIC deductions due for month ended 5 December 2023 (if you pay your tax electronically the due date is 22 December 2023).
19 December 2023 – Filing deadline for the CIS300 monthly return for the month ended 5 December 2023.
19 December 2023 – CIS tax deducted for the month ended 5 December 2023 is payable by today.
30 December 2023 – Deadline for filing 2022-23 self-assessment tax returns online to include a claim for under payments to be collected via tax code in 2024-25.
1 January 2024 – Due date for Corporation Tax due for the year ended 31 March 2023.
19 January 2024 – PAYE and NIC deductions due for month ended 5 January 2024 (if you pay your tax electronically the due date is 22 January 2024).
19 January 2024 – Filing deadline for the CIS300 monthly return for the month ended 5 January 2024.
19 January 2024 – CIS tax deducted for the month ended 5 January 2024 is payable by today.
31 January 2024 – Last day to file 2022-23 self-assessment tax returns online.
31 January 2024 – Balance of self-assessment tax owing for 2022-23 due to be settled on or before today unless you have elected to extend this deadline by formal agreement with HMRC. Also due is any first payment on account for 2023-24.
Read more
Midlands’ business profit expectations plummet as low optimism reflects bleak economic outlook
The December round of Grant Thornton’s Business Outlook Tracker, which monitors mid-market business sentiment, shows that profit expectations have plummeted since October, with 1 in 3 (32%) expecting a decrease in profit in the next six months.
Business optimism also continued a downward trend across all indicators, whilst investment expectations also fell across all categories.
Key findings include:
- Profit expectations have plummeted 20 percentage points (pp) since October to 46% – this is 9pp below the rolling average
- 1 in 3 (32% expect a decrease in profits)
- Optimism about economic growth stayed flat since October at 58% – this is 11pp below the rolling average (69%) and just 1pp higher than the lowest recorded level
- Revenue growth expectations fell 12pp below the rolling average to 58%
- 18% of respondents were pessimistic about revenue growth – this is the highest level recorded in three years
- Pessimism levels were also at a record high for funding position (17%)
- Investment expectations continue to slow down with all expectations down or the same as in October. Technology (down by 8pp), recruitment (down by 6pp) and skills development (down by 5pp) / growing in international markets (down by 5pp) saw the biggest declines since the last round in October
James Brown, practice leader for Grant Thornton UK LLP in the Central and East region, said: “Throughout most of 2023, businesses have remained relatively optimistic about the economy and their ability to weather the many challenges.
“This latest set of business outlook data suggests that businesses are now starting to come face to face with hard realities resulting from a combination of poor economic performance, biting covenants, higher interest rates, relatively high levels of inflation, energy cost increases, political uncertainty, and decreased investment expectations.
“The only way to get the economy onto a high growth, low inflation path which leads to economic prosperity and welfare gains is to invest in areas that improve productivity, close the productivity gap, and enhance skills. Currently there are decreased investment expectations across the board, including in these key areas.
“The government has put some measures in place such as the Apprenticeship Levy, green grants, R&D tax credits – and while businesses should take advantage of these, they currently don’t seem to be sufficient to ward off all the pressures faced.
“Businesses will know that investing in these areas is critical to their long-term competitive success – so the fact that they are cutting back in these areas paints a clear picture of the pressure they are under.
“With all of this in mind, it is understandable that optimism is at an all-time low, as businesses are in the thick of the storm and trying to find a way through. However, over half (58%) of respondents remain optimistic about the economic outlook, suggesting that businesses can still see light at the end of the tunnel.
“The economy is predicted to improve from 2026 onwards, by which point government policies such as childcare and pension reform will hopefully have kicked in and started loosening the labour market.”
