Make UK welcomes news of Government financial boost of SME in manufacturing
The CEO of manufacturers’ organisation Make UK has welcomed news of a financial fillip for SMEs across the country with the government announcement of £4.5 billion in funding for British manufacturing to increase investment in eight sectors
He’s Stephen Phipson, who said: “Make UK has long campaigned for Made Smarter to be a fully national scheme so that all SME manufacturers can benefit from the expertise the programme delivers and we are delighted at today’s decision from government to commit to a national rollout.
“Made Smarter has already transformed thousands of companies in the North East, North West, West Midlands and Yorkshire & the Humber and now it can help turbo-charge industrial digitalisation in SMEs across the whole of the country.
“The end-to-end specialist support the programme delivers has successfully helped smaller businesses dramatically boost productivity, improve energy efficiency, drive growth, upskill roles and deliver new jobs in digital skills to create workforces of the future which will allow Britain’s smaller manufacturers to continue to grow and remain globally competitive.”
The funding will be available from 2025 for five years, providing industry with longer term certainty about their investments.
Over £2 billion has been earmarked for the automotive industry and £975 million for aerospace, supporting the manufacturing, supply chain and development of zero emission vehicles, and investment in energy efficient and zero-carbon aircraft equipment.
Alongside this, the government has committed to £960 million for a Green Industries Growth Accelerator to support clean energy manufacturing, and £520 million for life sciences manufacturing to build resilience for future health emergencies and capitalise on the UK’s world-leading research and development.
With the entire manufacturing sector making up over 43% of all UK exports and employing around 2.6 million people, this funding is targeted at the UK’s strongest, world leading sectors; including where the industry is undergoing fundamental changes to remain at the forefront of the global transition to net zero, like the move to zero emission vehicles in the automotive industry.
The Green Industries Growth Accelerator investment will support the expansion of strong, home-grown, clean energy supply chains across the UK, including carbon capture, utilisation and storage, electricity networks, hydrogen, nuclear and offshore wind. This will enable the UK to seize growth opportunities through the transition to net zero, building on our world-leading decarbonisation track record and strong deployment offer.
The funding forms part of the Prime Minister’s pledge to grow the economy, and his focus on making decisions for the long-term, ensuring this funding doesn’t just focus on the most successful sectors today but looks ahead to how to keep pace internationally and build the UK’s expertise for the industries of the future.
Two units snapped up at urban logistics scheme near Leicester
Two units have been taken at Genesis Park in South Wigston, near Leicester, including an 18,570 sq ft unit by healthcare company Fresenius Medical Care to open a new dialysis clinic.
Genesis Park is 128,180 sq ft urban logistics scheme delivered and owned by developer Chancerygate and comprises 15 units ranging between 4,800 sq ft to 18,570 sq ft.
Fresenius Medical Care is a provider of products and services for individuals with renal diseases. The company provides care for more than 344,000 patients globally, with 50 dialysis clinics in the UK and 42 production sites globally.
The company has signed a 15-year lease on the unit and is converting it to create a 49-bed renal dialysis unit with training and consulting rooms, which is due to be operational in Autumn 2024.
Alongside this, a 12,300 sq ft unit at Genesis Park has also been sold to an owner occupier for an undisclosed price.
One further unit at the scheme is currently under offer meaning there are 12 units remaining, ranging between 4,800 sq ft and 9,975 sq ft available on a freehold or leasehold basis.
Chancerygate’s senior development director, Matthew Connor, said: “The level of interest throughout the development’s build has been high, and now construction is complete interest in the remaining units is continuing to grow.
“We’re very pleased to have completed on these two deals, showcasing our expertise in working with prospective occupiers on both a freehold and leasehold basis. The letting to Fresenius Medical Care further evidences the diverse range of businesses our Grade A accommodation is suitable for.”
191 apartments planned for site near Nottingham train station
Plans for new apartments on Nottingham’s Waterway Street, in place of a vacant 1970’s two storey office building, have been submitted to the city council.
The proposals for the site near Nottingham train station come from Rainier Developments, and would see the demolition of the existing Waterway House building and construction of a new build development comprising 191 apartments.
The scheme would offer 122 one bed and 69 two bed flats over a block of three to eight storeys. A courtyard would serve as an amenity space for residents, incorporating green spaces.
The development would provide 22 car parking spaces and 4 disabled parking spaces, as well as 191 cycle parking spaces within cycle store rooms.
The 0.62-acre site on Waterway Street was purchased by Rainier Developments from Nottingham City Council at the start of the year.
At the time, Will Blacker, land director at Rainier Developments, said: “The area around Nottingham train station has been given a new lease of life in recent years via commercial, residential and student developments, and we are excited at the prospect of being able to add to this by helping to potentially transform an unused brownfield site.
“We will now use our extensive planning expertise to apply for planning permission for a modern redevelopment to support not only the wider regeneration of the area, but also the ongoing demand for homes.
“As a company we are keen in investing in sites that we know have the potential to enrich communities, such as this one in Nottingham, and we are actively seeking other sites nationally.”
Administrators appointed to loan provider
Ed Boyle and Rob Spence from Interpath Advisory have been appointed joint administrators to Nottingham-based Morses Club Limited and Shelby Finance Limited.
The two companies provide short-term consumer loans, with Morses Club providing home collect credit and Shelby Finance providing loans online under the ‘Dot Dot Loans’ brand.
The companies have been under sustained financial pressure for some time, a situation which was exacerbated in recent years by Morses Club facing a significant number of customer redress claims for unaffordable lending.
In order to address these issues, the management team worked strenuously in seeking to restructure the businesses. As part of this restructuring, in May 2023, Morses Club entered into a Scheme of Arrangement to provide a mechanism to maximise redress payments to customers and to also allow the businesses to continue to operate.
However, Morses Club has been unable to complete the refinancing of its existing debt facilities and therefore the directors took the decision to appoint administrators to the businesses.
As a result of the insolvency of Morses Club, the Scheme automatically terminates early.
Shortly prior to the appointment of the joint administrators, all new lending ceased, but the companies continue to collect outstanding loans from customers.
The company employed approximately 373 staff who worked remotely. While the joint administrators have retained 272 staff across the two businesses to assist them while they assess options for the businesses, 101 redundancies have been made.
The joint administrators will be working with the employees affected over the coming days to provide them with any support they need.
Matthew Montague Architects makes senior promotions
Derbyshire architects, Matthew Montague Architects has promoted two employees; Paul Myers becomes associate architect and Chris Bayliss becomes an associate.
The practice, which has offices in Longford, near Ashbourne, has been established for 25 years. The promotion of Paul and Chris strengthens the management team of the practice, which continues to grow following the successful acquisition of some significant projects and clients in 2023.
Paul completed his RIBA Part I at Lincoln University in 2012, following a year placement in London, he completed his Part II studies at the University of Kingston; joining the practice in 2015 as a Part II architectural assistant. Paul completed his RIBA Part III at The University of Nottingham, graduating in 2018.
Since joining the practice Paul has been involved with a wide range of different projects, covering all stages of work from preliminary design through to production information and contract management. Paul has worked with Repton School, Hanson’s Auctioneers and Marketing Derby.
Paul’s designs are influenced by Scandinavian and Nordic architecture, he has worked on several housing developments including the award-winning Elms Barns in Newton Harcourt, Leicestershire and Quarndon Hall.
Principal architect, Matthew Montague said: “Paul’s industry knowledge and experience is a great asset to the practice, he has worked across several sectors, designed some excellent buildings and managed several complex projects.”
Chris joined the practice as an architect assistant in 2014 after completing a BSc (Hons) Architecture & Environmental Design at Sheffield Hallam University.
Since joining the practice in 2014 Chris has gained significant experience in housing, education, sport and commercial sectors, designing and technically detailing some of the practice’s most notable work. He is currently working on projects at Lonsdale House for The University of Derby, a housing development in Hulland Ward and several large scale one-off houses.
Matthew added: “Chris’ flair for modern, distinctive design is a great addition to the practice; the work he is delivering on one off houses at the moment is very exciting. I am delighted to promote both Paul and Chris, it’s very much deserved.”
Midlands developer awarded for response to climate crisis
A Midlands housing developer has received national award recognition for its response to climate change.
Northamptonshire-based Cora were crowned winners of the Just Transition Award at the Edie Net-Zero Awards in London on Wednesday, November 15.
The award recognises businesses making strides in their journey to becoming net zero, with Cora having set targets to halve its carbon emissions by 2030 ahead of its 2050 net zero ambitions.
As a profit-with-purpose housebuilder, Cora has invested heavily into green policies – including its Grow Local programme, which allocates procurement preferences to smaller suppliers within a 50-mile radius of its developments.
It also recycled 96% (374 tonnes) of construction waste in 2021 while planting more than 9,000 trees and shrubs on its sites.
Luke Simmons, Managing Director of Cora, said: “At Cora we are dedicated to creating amazing places – and we can’t do that without having a key focus on the environment.
“All of us have a responsibility to reduce our carbon footprint and take steps to building a greener world. We are thrilled to receive recognition for our hard work with this prestigious award.”
Judges also commended Cora for its use of solar energy to power its compounds and for plans to use off-site construction for 80% of home completions by 2025.
Research is continuing into innovative wastewater heat recovery systems for its homes, with a target also set to stop the installation of fossil fuel heating systems.
This is not the first time Cora has been recognised for its environmental credentials, having also won a Gold Award for sustainability at the SME Northamptonshire Business Awards earlier this year.
Luke was also named Climate Champion of the Year at the Unlock Net Zero Live Awards.
Luke added: “We are continuing to show the industry the benefits of prioritising sustainability and our social responsibilities.
“The feedback we are receiving from our customers is incredible and stands testament to the quality of our homes. We will continue to innovate, improve and inspire others with our work in 2024.”
Cosworth appoints new MD for Advanced Propulsion and Full Vehicle Programmes division
Cosworth has appointed Simon Wilding as Managing Director of the company’s Advanced Propulsion and Full Vehicle Programmes division, Delta Cosworth. Wilding joined the company in November and is based at Cosworth’s Silverstone facility.
This strategic move is a natural continuation of Cosworth’s journey of developing a large and diversified range of high-performance, alternative propulsion solutions.
Wilding brings almost 30 years of experience to support the growth of the business, focusing on full vehicle programmes, advanced propulsion systems and high-performance battery solutions.
Wilding was headhunted by JLR in 2020 to lead a newly established Propulsion department within Special Vehicle Operations, dedicated to the delivery of high-performance ICE and BEV powertrain systems for Halo vehicles.
Prior to this, his 25 years’ experience at Mercedes-AMG High Performance Powertrains culminated in the position of Head of Automotive Division and Chief Engineer. During this time, he was instrumental in the delivery of numerous significant programmes, including the Kinetic Energy Recovery System.
This brought exceptional, groundbreaking hybrid technologies to Formula One for the first time, and was raced in 2009 season by the Vodafone McLaren Mercedes Formula One team. Following on from these programmes, Wilding headed the delivery of the HV battery for Mercedes-AMG’s first electric vehicle: the Mercedes-AMG SLS E-Cell and latterly the hybrid Formula One powertrain for the Mercedes-AMG Project ONE hypercar.
Delta Cosworth has been part of the UK’s booming motorsport industry for almost two decades. As well as being highly proficient in the design, development and manufacture of high-performance battery solutions, the company has diversified into the development of other sustainable propulsion applications, such as the Cosworth Catalytic Generator. It has embarked on a number of new projects in recent years, including partnerships in the defence industry with Babcock and the Defense Innovation Unit.
The appointment of Wilding marks the beginning of the next chapter for Delta Cosworth. The company plans to continue the growth of its existing advanced propulsion and full vehicle capabilities.
Wilding replaces outgoing Managing Director, Simon Dowson, who departs the company after almost 20 years.
Wilding said: “I am very excited to be joining Cosworth at such an important time in its history. The company is already in an active pursuit to become the leader in the industry, and I believe my experience in growing skilled teams in this area will help to realise these great ambitions.
“Cosworth’s developments in electrification are incredibly exciting, and only just beginning to demonstrate the levels of growth I think we can achieve. Everyone has been very welcoming – it is a real sort of family feeling – and I cannot wait to truly get stuck in and continue the Cosworth legacy.”
Cosworth CEO, Hal Reisiger, said: “Simon brings extensive OEM experience into our business, which will underpin the next growth chapter for our Advanced Propulsion and Full Vehicle Programmes offering.
“It shows the continued momentum of Delta Cosworth as we continue to broaden our reach and demonstrate our capabilities and expertise in new and established markets. We’re delighted Simon shares our same vision and drive to achieve this.
“As Simon Wilding comes in, I would like to thank Simon Dowson for his commitment to Cosworth after the acquisition of Delta Motorsport – he has been a hugely valuable member of the senior leadership team, and we wish him all the best in his next venture. We are all excited to see what the future holds for Delta Cosworth.”
Last plot at Castlewood Business Park achieves practical completion as Hines take ownership
Lead contractor, Roe Developments have achieved practical completion on the last remaining plot at Castlewood Business Park as part of the development funding deal between Clowes Developments and Hines.
Site owners, Clowes Developments instructed Roe Developments to build the 76,680 sq ft standalone unit as part of the 1.36 million sq ft portfolio with global real estate investment, development, and property manager, Hines.
The brand-new commercial unit was designed by IMA architects and comprises of a 72,386 sq ft single storey warehouse and 4,294 sq ft office and welfare space which is split over two floors and front of the building. The unit benefits from a large secure yard to the side with two level-access loading bays and eight docks.
There is a car park to the front of the building with five disabled bays and four EV charging stations. The roof is designed to carry photo voltaic panels subject to the occupier’s requirements. Additionally, this unit boasts floor to ceiling double glazing in the warehouse and 10% roof lights creating a brighter environment for warehouse workers.
In total, the partnership is developing eight state-of-the-art warehousing and light-industrial units covering a total of 126,347 square metres (1.36 million sq ft) across the East Midlands.
In 2022, the first of the units, a 195,000 sq ft warehouse was delivered at Dove Valley Park in South Derbyshire. In 2023, to date, a 342,000 sq ft unit has been delivered at East Midlands Distribution Centre and an additional three units totalling 268,000 sq ft have been handed over at Fairham Business Park.
With the latest completion at Castlewood, there remains only two plots at Dove Valley Park which are due to achieve practical completion early next year.
Greg Cooper, Managing Director at Hines in the UK, said: “The completion of Castlewood is another important milestone for our partnership with Clowes, with over 75% of the portfolio now successfully delivered.
“We are delighted to be developing best-in-class buildings that meet the needs of today’s occupiers, with Castlewood achieving BREEAM ‘excellent’ certification and including EV charging infrastructure and the ability to support the installation of solar photovoltaic (PV) panels.
“The quality of the offering at Castlewood is reflected in the strong interest we have received from several occupiers. We look forward to continuing our work with Clowes to deliver the remaining space at Dove Valley Park in early 2024.”
James Richards, development director at Clowes Developments (UK) Ltd, added: “Castlewood has been a brilliant site since we started development in 2010. Plot 10 is the last plot to be developed at this flagship site.
“With excellent transport links and direct access to the main arterial route through the Midlands, it’s no surprise that Castlewood has welcomed a number of nationally recognised names including Parker Knoll, Co-Op and Alloga but also provided a unique opportunity for local businesses to grow and expand such as CST, ConSpare, Charles Pugh and many more.
“We are extremely proud of this development, and we wish Hines all the best with their new unit.”
Nottingham University Business School research shows company mergers may increase investment and innovation
New research from Nottingham University Business School (NUBS) has shown that some company mergers may promote product innovation and benefit society, contrary to previously held opinions.
In previous research, merger decisions, which see companies merge to create a single firm, have been criticised for removing competition in the market and for their adverse effects on innovation.
Antitrust authorities, which challenge company mergers, prevented mergers due to their possible adverse effects on innovation and competition, previously supported by research in this area.
Professor Arijit Mukherjee, from Nottingham University Business School, challenges this in his new research paper, published in Economics Letters, and suggests that mergers may increase product innovation and benefit society in the presence of passive cross ownership – where businesses hold non-controlling shares in rival businesses.
Competition among businesses encourages them to invest a significant amount in the research of competitors. Both passive cross ownership and cooperative research tend to reduce investments by reducing competitive behaviour or, in other words, creating more collusive behaviour among the businesses.
On the other hand, mergers between businesses creates an upward pressure on investments in research by increasing the profits of the businesses. The intensity of competition in the product market plays an important role to determine the net effect.
In an industry with severe price wars, mergers may increase product innovation and benefit society in the presence of passive cross ownership or cooperative research.
Professor Mukherjee said: “Challenging mergers due to their adverse effects on innovation is a complex matter. This research explains how passive cross ownership and cooperative research contribute to this complexity.
“The intensity of competition in the product market plays an important role for the innovation and welfare raising effects of a merger. These factors make decision making by antitrust authorities difficult.”
Antitrust authorities may actually reduce product innovation and the betterment of society by preventing mergers in these industries when there is a severe price war among the businesses. Over £2.6m for city projects supporting local prosperity
A network of over 30 groups and organisations is set to receive over £2.6m in funding to deliver advice, support and training for Leicester businesses, people and communities.
The local projects will be supported through Leicester City Council’s allocation of cash from the Government’s UK Shared Prosperity Fund (UKSPF).
An open call was launched in May 2023, inviting bids for projects under two categories – Supporting Local Business or People Skills and Communities. Voluntary and community sector organisations in Leicester, together with the council, the city’s universities and business support organisations, were able to bid.
A total of 12 projects – six in each category – have now been approved and will receive funding ranging from £75,000 to over £300,000. They will be delivered by a network of over 30 groups and organisations and will offer a varied programme of support for local businesses and people.
Deputy city Mayor Cllr Adam Clarke, who leads on climate, culture and the economy, said: “Whilst this is a relatively modest amount of funding, the expertise within the projects being supported means we are well placed to deliver huge value to local businesses and community organisations.
“Taken together, these projects represent a programme that will help strengthen the city’s prosperity by delivering advice and support directly to local businesses, communities and people during very challenging economic times.”
The 12 Leicester projects supported through the UK Shared Prosperity Fund are as follows:
- Empower Biz – a comprehensive business support programme led by The Race Equality Centre aimed at individuals running a business who are of African or African-Caribbean heritage. Will include improvements to the African Caribbean Centre, in Highfields, to create a black business hub and co-working space.
- Everyday English – an innovative ESOL (English for Speakers of Other Languages) programme led by Leicester Adult Education and delivered in partnership with community groups and venues across the city.
- ExSEL – a project led by Leicester Social Economy Consortium to support the expansion and development of social enterprises across the city.
- Futures – careers advice, guidance, employability support and entry-level training targeted at long-term unemployed and economically inactive people.
- Growth accelerator for social entrepreneurs – a programme of expert training, consultancy and support to help social entrepreneurs grow their business, delivered by the University of Leicester’s School of Business, in partnership with the Cooperative and Social Enterprise Development Agency and Community Enterprise Engine.
- Leicester Accelerator – a business support project delivered by East Midlands Chamber to help local businesses enhance their digital and low carbon business skills.
- Leicester Productivity Programme – expert help and advice for local small businesses to support growth and help identify areas where productivity can be improved, delivered by leading business support organisation Exemplas.
- Moneywise Living – one-to-one support for people to gain financial and digital skills to help deal with the rising cost of living, delivered by Reaching People – a membership organisation of over 35 local voluntary, community and social enterprise (VCSE) organisations.
- NBV Enterprise Solutions – expert advice aimed at early-stage businesses – trading for between one and three years – to support survival and growth.
- Positive Communities 2 – a project aimed at supporting people into employment delivered by the Bangladesh Youth and Cultural Shomiti charity working with seven local grassroots organisations.
- Twin Training Limited – one-to-one support and training to help people with basic skills and ESOL training.
- Zinthiya Trust – support for the most vulnerable households in Leicester to help strengthen their finances during the cost-of-living crisis. Will provide money and energy advice, to help reduce household bills.
