Significant growth for Geo Green Power as demand for renewable energy soars
Civil engineering sector set for growth in the Midlands – but key issues remain
The civil engineering sector in the Midlands is set to grow in the coming year – but labour shortages, rising costs and a drop in road projects are key issues for firms in the region.
Midlands firms have contributed to the Civil Engineering Contractors Association’s (CECA) latest workload trends survey and it reveals how the sector is expected to fair in the coming 12 months.
More than half the firms surveyed (53 per cent) said that orders had risen with 28 per cent saying that their order books had decreased.
Areas such as renewable energy works, water & sewerage and railways have grown but preliminary works and motorways & trunk roads have seen a drop off.
On balance, 30 per cent of businesses expected workloads to increase in the next year and this trend will continue to impact the already tight labour market, according to the survey.
Firms in the civil engineering sector reported an increase in staff over the past year and, on balance, 43 per cent were forecasting a rise in skilled operatives and 38 per cent were expecting an increase in wider staff employment.
That is contributing to a rise in staffing costs – 6.1 per cent for engineering staff and 4.7 per cent for administrative staff.
Other costs also continue to rise although the rate of the increase has slowed compared to a year ago.
Aggregates, bricks and clay products have all risen by seven per cent or more. Fabricated steel is also up by seven per cent although it was rising by more than 13 per cent a year ago.
The rate of inflation has also dropped on timber and plastic but it is still relatively high at 7.7 per cent and 6.3 per cent respectively. The rate of increase on fuel prices has also fallen sharply but is still more than four per cent.
Lorraine Gregory, regional director of CECA Midlands, said: “This survey offers a real insight to the way civil engineering firms have performed over the last 12 months and, crucially, their expectations for the next year.
“There is no doubt that costs are still a big headache and, while the rate of inflation has fallen compared to 2022, businesses have still seen a substantial increase on materials and general running costs.
“On balance, companies believe they will grow over the next year and, of course, that means increasing their headcounts.
“However, as we know, the labour market is already extremely tight and with more firms looking to grow, it is only going to get tighter.
“I’d encourage firms to get in touch with us here at CECA as we can support on training and, also, chat through areas of best practice on how to grow a workforce by looking at different ways to recruit.
“On the whole, the sector remains positive in the Midlands but it’s vitally important that those issues raised start to be addressed.”
CMP Legal raises over £900 for Ashgate Hospice with charity pub quiz
Planning granted for £14m residential development in South Normanton
Housebuilder Honey will deliver 50 new two, three and four-bedroom homes in the village of South Normanton, near Alfreton, after being granted planning permission for a £14m development.
Called Amber and located on Lees Lane, the 4.5-acre development is the Sheffield-based housebuilding company’s first since launching last October.
Amber will feature 14 housetypes which Honey says have all been specifically designed to combine “style, substance and sustainability” for the benefit of buyers. Prices will start from £184,950 for a two-bedroom mid-terrace home.
Work at Amber has already commenced with the first residents expected to move into their new homes in March next year.
As well as providing new homes for the area, Honey is also making a £160,000 contribution to initiatives that will benefit the local community.
Honey was founded by former Avant Homes Chief Executive Officer, Mark Mitchell. Commenting on the proposed development, he said: “Our focus at Honey is to ensure all our homes provide buyers with an ideal combination of style, substance and sustainability which is unmatched at its price point.
“We are hugely excited to now be able to start building and make our homes available to buyers for the very first time. South Normanton is an excellent location for us to launch our high build quality, high specification new homes.
“We had a significant number of enquiries via our website when we announced we had submitted planning for Amber. We are now contacting those prospective buyers and would ask anyone else who is considering buying a Honey home at Amber to register their interest with us as soon as they can.”
The Access Group fast tracks expansion plans by partnering with Malaysia Digital Economy Corporation
The Access Group, the Loughborough-headquartered provider of business management software, is fast-tracking plans to expand operations into Malaysia later this year through a new partnership with Malaysia Digital Economy Corporation (MDEC), the government agency leading the digital transformation of the Malaysian economy.
The partnership will be formalised during London Tech Week when representatives from Access along with other industry leaders join Malaysia’s Minister of Communications and Digital, YB Fahmi Fadzil, to set out ambitions to collectively shape the future of Malaysia’s digital economy.
For Access, the partnership with MDEC will propel the group’s plans to enhance its presence in the APAC region and support the opening of a new Global Operations Centre (GO Centre) in the capital Kuala Lumpur later this year.
Following the official opening in June of the Access GO Centre in Romania supporting EMEA, the establishment of a GO Centre in the Asia Pacific region is fundamental to the group’s global expansion, and Malaysia’s thriving digital economy and stable business landscape offer an attractive location for a new hub, ideally positioned to support Access’s ongoing global expansion.
Chris Bayne, CEO of The Access Group, said: “This is an exciting development for Access and we are grateful for MDEC’s support which will propel our growth in APAC. Kuala Lumpur offers a compelling proposition for our new GO Centre with its fantastic business environment and exceptional talent pool.
“Over the next four years the Access GO Centres will support 40% of our global staffing needs. Having these strategically located offices keeps momentum growing. It gives our teams a workplace they can genuinely be proud of while positioning the business in an excellent place to execute strategic growth and drive acquisitions across multiple regions, languages and time zones.
“Our ambition is to create a global ‘backbone’ of GO Centres which will provide international management, access to diverse talent and regional infrastructure to execute the group’s sustainable growth more easily.”
Mahadhir Aziz, Chief Executive Officer, MDEC, said: “The Global Operations Centre (GO Centre) is a resounding affirmation of Malaysia’s position as a competitive powerhouse for high-value investments and propels us closer towards our goal of firmly establishing Malaysia as the digital hub of ASEAN.
“We are delighted to welcome Access Group into Malaysia and we are committed to supporting their ambitious goals of igniting growth in the digital economy via the Malaysia Digital (MD) national strategic initiative and various catalyst programmes.
“Access not only represents a monumental leap in enhancing Malaysia’s innovative capabilities, but also signifies confidence in Malaysia’s robust and enabling ecosystem, our pool of digitally skilled talent and expertise, and establishing Malaysia as the destination for unparalleled digital excellence.
“We look forward to playing an integral role in the growth of Access in Malaysia, wider APAC and beyond.”
Access entered the market in Malaysia in 2018 through the acquisitions of iCare, Sage’s local businesses and Volcanic and currently employs around 150 people across three offices in both Kuala Lumpur and Penang.
The new Access GO Centre will create hundreds of jobs in the region, partnering with regional universities to hire the best talent, drive innovation, develop skills and provide international management to support teams in both APAC and the UK.
The Access Foundation which supports charities in regions where Access has a presence already supports Malaysia’s leading cancer charity – the National Cancer Society Malaysia’s ‘Home Aways from Home’ initiative – and will announce further support for local charities later in the year.
Hearthstone Investments snaps up Derby residential properties
Sustainable warehouse completed at St. Modwen Park Lincoln
St. Modwen Logistics has completed work on a £15m, 111,000 sq ft sustainable warehouse, as part of the fourth phase of development at St. Modwen Park Lincoln, which could save occupiers more than £90,000 a year in operational energy costs.
Delivered by Caddick Construction, Lincoln 111 becomes the biggest unit at the site, demonstrating St. Modwen’s confidence in the Lincoln and Newark region following the success of the Park since the first unit was completed back in 2019.
In total, St. Modwen Logistics has invested £35m to deliver 411,000 sq ft of space at the Park in this period, with the likes of logistics giant DHL, retailer Furniture Village and international ice cream distributor NIC all occupying space at St. Modwen Park Lincoln.
Built to St. Modwen Logistics’ ‘Swan Standard’ guidelines for sustainable construction, Lincoln 111 is rated ‘Excellent’ by sustainability certification body BREEAM and comes complete with more than 1,000 sq m of solar PV panels installed as standard to help prospective occupiers to meet their own ESG targets.
Energy generated from these panels will fully power the building’s 5,300 sq ft of Grade-A offices, making them net zero carbon in operation. Combined with other energy-efficient features which are incorporated in the design process, Lincoln 111 has been awarded an EPC A+ rating, helping occupiers to reduce their operational costs.
Reserved matters planning consent has also been achieved for the fifth and final phase of development which will see the capacity of the Park total 740,000 sq ft in the coming years.
Ben Silcock, leasing & development manager, St. Modwen Logistics, said: “We are always striving to develop industry-leading warehouses in fantastic locations for our customers and Lincoln 111 is a prime example of this.
“As well as being near to the vital A1 interchange and benefitting from crucial infrastructure works in the region of late, the building is also best-in-class when it comes to both the quality of the development and its sustainability credentials.
“With extra power capabilities and reduced operational costs thanks to the installation of solar PV panels, it would be the perfect home for any businesses looking to expand their operation to the East Midlands or upgrade to a highly-efficient building.”
Dominic Towler, surveyor at Cushman & Wakefield, added: “Lincoln 111 is the largest speculatively built unit available within a 20-mile radius and adds much-needed supply to the area. The building’s sustainable design also offers exceptional cost savings for occupiers looking to relocate from less efficient and inferior stock.
“Phases 1 to 3 have demonstrated that demand for space in the area is buoyant with both local and national occupiers taking units within the Park, and we again expect the unit to be of significant interest to similar occupiers.”
Lincoln 111 features eight loading docks, two level access doors and 12.5m of clear internal height, as well as 48m yard depth. In addition, 20% of the building’s car parking spaces will have EV car charging points installed and the Park offers a provision of cycle spaces, encouraging greener travel amongst employees.
How do you really get value from strategic planning? By James Pinchbeck, partner at Streets Chartered Accountants
The East Midlands Bricks Awards 2023: “an important date in the diary of every property and construction professional in this part of the world”
- Most active estate agent
- Commercial development of the year
- Responsible business of the year
- Residential development of the year
- Developer of the year
- Deal of the year
- Architects of the year
- Excellence in design
- Sustainable development of the year
- Contractor of the year
- Overall winner (this award cannot be entered, the winner will be selected from those nominated)
To be held at:
Planning consent achieved for 213 Oakham homes
