Contract to build Whitby Maritime Hub to be considered for approval

Plans to launch a multi-million pound development to place Whitby at the forefront of the maritime and offshore renewable energy sectors and help to boost job opportunities for local communities are set to be considered by councillors. Executive will consider proposals next week to approve a contract to build the Whitby Maritime Hub, which is aimed at providing a greater breadth of career paths in the historic port. Building on Whitby’s proud fishing and sailing heritage, the hub in Endeavour Wharf is set to address the need to develop a better supply of technical skills in the maritime sector and put the town at the forefront of the growing renewable energy sector. The hub would also provide accommodation for maritime businesses and service providers to support economic growth in the coastal area. Executive member for open to business, Cllr Mark Crane, whose responsibilities include economic growth and harbours, said: “We have long recognised the need to ensure that there is a diverse and sustainable range of job opportunities for all our communities, and especially those on the coast. “The plans for the Whitby Maritime Hub present us with a significant chance to achieve just that, opening the door to new economic growth and helping to create the next generation of skilled apprentices and professions by providing first-class training and facilities for a range of maritime industries. “The proposals to enter into a contract to start work on the development will be considered carefully by executive members to ensure that we provide the best value for taxpayers while also capitalising on the opportunity to create what we hope will be a landmark development on the North Yorkshire coast.” The funding for the project is set to come from the £17.1 million given to Whitby as part of the Government’s Town Deals programme. A total of £37.3 million was awarded under the programme to both Whitby and Scarborough in 2021. Planning permission for the development was approved by North Yorkshire Council in August last year and the executive will now be asked to approve proposals to enter into a £9.6 million contract with developers from Willmott Dixon. If the plans are approved by the executive, it is hoped that construction on the Whitby Maritime Hub will start early this year for the development to open in the spring of 2026. A report to be considered by the executive next week (January 21), has recommended that North Yorkshire Council initially remains as the operator of the building with the potential for a community interest company to be developed to take on the running of the facility. The chair of Whitby Town Board, Barry Harland, said: “This would be a major development for Whitby, and we want to ensure that the opportunities which it presents are felt by the local community as well as attracting some of the leading talent in the maritime sector. “Whitby has a proud maritime heritage, and we want to make sure that this continues throughout the 21st century.” The hub has been designed to blend in with the existing views of the town. There will be space for classroom-based training, engineering workshops and marine biology laboratories, offering opportunities for training and employment in areas ranging from marine biology to emerging industries, such as off-shore wind. There is also due to be an office space for marine-based start-up businesses and other maritime industries. The offices are intended to be occupied by local, regional and national businesses and organisations, making Whitby a hub of maritime activity. This would enable new and innovative commercial opportunities in the maritime and marine sectors to support growth in the local economy and reduce a reliance on seasonal employment, such as tourism. Cllr Neil Swannick, the member for the Whitby Streonshalh division, said: “The chance to provide a far greater range of job opportunities here in Whitby would benefit not just people living here in the town, but also across a far wider area. “The hub would give Whitby an economic boost and move the town away from a reliance on seasonal tourism and hospitality, which will provide us with a far wider economic base to increase job prospects on the coast.” Cllr Phil Trumper, who represents the Whitby West division, added: “The proposed development of the hub presents a significant opportunity for Whitby to place itself at the front and centre of the maritime and offshore renewable energy sectors. “There would be a more diverse range of jobs available in the town which would help ensure that local people, especially in the younger generations, can remain to pursue a career here.”

Yorkshire Water appoints partners to £850m framework

Yorkshire Water has appointed seven contract partners to its new complex non-infrastructure works framework, worth £850m, which covers the 2025 – 2030 delivery period (AMP8).

The partners have been selected across the framework to deliver on the utility’s increased investment in non-infrastructure clean and wastewater assets over the next five years.

Partners selected onto the framework are Barhale, Galliford Try, Glanua, Kier, Mott MacDonald Bentley, Tilbury Douglas, and Ward & Burke.

Partners will provide civil engineering, mechanical, electrical, instrumentation, control and automation and building capability and expertise to the utility as it increases investment in its clean water and wastewater networks across Yorkshire.

The utility will undertake its largest ever environmental investment programme in the AMP8 period, with plans to invest £8.3bn across the business recently approved by Ofwat, the water industry’s regulator.

Rachael Fox, head of programme delivery at Yorkshire Water, said: “We’re looking forward to working with our chosen partners as we embark on an ambitious investment programme from 2025. There’s a big challenge ahead – not only to meet new regulatory requirements, but to meet customer expectations too – and effective collaboration will be key to our success.”

Make UK partnership offers AI support to businesses

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A new partnership with Protex AI will build on Make UK’s existing health and safety expertise by offering members direct access to AI-powered technology enabling businesses to gain greater visibility of unsafe behaviours in their facilities, helping them make informed safety decisions. Dan Hobbs, Protex AI CEO, said: “Through this collaboration, UK manufacturers will gain access to powerful AI-driven tools that identify and mitigate risks before they lead to incidents, ultimately supporting a safer, more productive work environment.” Together, Protex AI and Make UK aim to harness cutting-edge AI technology to elevate safety standards across manufacturing sectors and help organisations achieve a proactive, data-driven approach to health and safety. Chris Newson, Environment, Health and Safety Director at Make UK says: “By combining Make UK’s industry expertise with Protex AI’s innovative technology, we are paving the way for a safer, smarter manufacturing future.”  

Hull and East Riding of Yorkshire leaders agree Capital Programme funding

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£24.6 million of funding secured as part of Hull and East Yorkshire’s devolution deal is in line to be spent on key projects, after approval was granted by the Leaders of Hull City Council and East Riding of Yorkshire Council. They have agreed to proposals to formally allocate ‘in year’ capital funding awarded as part of the deal struck with the Ministry of Housing, Communities and Local Government to devolve powers to local decision makers. Projects to benefit will include flooding and coastal programmes, as well as transport spending for Bridlington, Hessle, Howden, Pocklington, and the Kingswood area of Hull. There will also be money for the Queens Gardens refurbishment in Hull and the Rawcliffe Bridge Solar Farm. £4.6 million will go towards building houses on brownfield land. The Chief Executive of Hull City Council, Matt Jukes, said: “I’m delighted that we’ve been able to sign off on this investment, which will provide benefits for the city and the wider area. “It allows us to tackle issues that are challenging for our region, such as flooding, and invest in vital new infrastructure, such as transport connectivity, and cultural regeneration, whilst also allowing for the building of more homes.” The Chief Executive of East Riding of Yorkshire Council, Alan Menzies, said: “It’s fantastic to secure key funding for our region, as part of the devolution process. “This funding will play a crucial role in supporting local residents and improving flood prevention measures, transport, and infrastructure.” The Capital Programme funding is part of work arising out of Hull and East Yorkshire’s devolution deal, which involves the creation of a Mayoral Combined Authority (MCA). A £400 million investment fund will be available to the MCA, which will be led by a mayor to be elected in May 2025.

High winter demand for gas reduces reserves to ‘concerningly low levels’

Plunging temperatures and high demand for gas fired power stations have reduced UK winter gas storage to concerningly low levels, according to Centrica.

The UK’s gas storage is under pressure this winter as the UK battles both extreme cold and high gas prices. The ongoing colder-than-usual conditions in the UK combined with the end of Russian gas pipeline supplies through Ukraine on 31 December 2024 has meant that gas inventory levels across the UK are down. As of the 9th of January 2025, UK storage sites are 26% lower than last year’s inventory at the same time, leaving them around half full. This means the UK has less than a week of gas demand in store. Gas storage was already lower than usual heading into December as a result of the early onset of winter. Combined with stubbornly high gas prices, this has meant that it has been more difficult to top up storage over Christmas. The situation is echoed across Europe. By 7 January 2025, despite many countries mandating minimum storage levels ahead of winter, European storage was at 69% capacity, down from 84% at the same time the previous year. The UK’s total gas storage capacity is around 10 per cent or less than in France, Germany, or the Netherlands. As energy demand spikes due to the freezing weather, the UK has seen a particular strain on its gas storage. Despite being full ahead of winter, current gas inventory at Rough, the country’s largest gas storage site, which is operated by Centrica, is 20% lower than at the same time last year. Rough has played a crucial role so far this winter by supplying almost 420 million cubic meters of gas since early November, enough to heat three million homes every day. Chris O’Shea, Group Chief Executive of Centrica, said: “The UK’s gas storage levels are concerningly low. We are an outlier from the rest of Europe when it comes to the role of storage in our energy system and we are now seeing the implications of that. As we work towards Clean Power 2030, long-duration energy storage will be needed more than ever in order to help balance a system that is increasingly reliant on renewables. “Energy storage is what keeps the lights on and homes warm when the sun doesn’t shine and the wind doesn’t blow, so investing in our storage capacity makes perfect economic sense. We need to think of storage as a very valuable insurance policy. Like any insurance policy, it may not always be needed, but having more capacity helps protect against worst-case scenarios. “If Rough had been operating at full capacity in recent years, it would have saved UK households £100 from both their gas and their electricity bills each winter. We stand ready to invest £2bn of our own money in upgrading and redeveloping the Rough gas storage facility but we urgently need the cap and floor model recently announced for long duration energy storage to be applicable to Rough. With that, we can create thousands of new jobs in construction and safeguard a vital national asset. Without that, UK consumers will continue to have higher energy bills than is necessary.”

2025 Business Predictions: Martyn Kendrick, regional director of Yorkshire and the Humber at Lloyds

It’s that time of year, when Business Link Magazine invites the region’s business leaders to offer up their predictions for the year ahead.  It has become something of a tradition, given that we’ve been doing this now for over 30 years. Here we speak to Martyn Kendrick, regional director of Yorkshire and the Humber at Lloyds. As we look ahead to 2025, Yorkshire’s diverse and dynamic economy is well-positioned to drive growth across key sectors. The technology sector continues to lead the way, with businesses ramping up investment in digital transformation and automation to tackle longstanding productivity challenges in the North. From AI-driven tools to cloud-based platforms, these innovations are helping firms operate more efficiently and stay competitive in an evolving landscape. Yorkshire’s professional services sector, anchored by Leeds’ position as home to the second-largest legal hub outside London, is also set to thrive. As businesses navigate more complex regulatory challenges, the demand for expert advice is rising, solidifying the region’s reputation as a thriving leader in legal and professional services. Industrial manufacturing remains a cornerstone of Yorkshire’s economy, with a renewed focus on sustainability and innovation. By adopting energy-efficient processes and leveraging advancements in green technologies, manufacturers are staying competitive while contributing to the region’s net-zero ambitions. Yorkshire’s attractiveness lies in its diversity, and by embracing its many sectors’ strengths, businesses across the region are creating opportunities for long-term prosperity in 2025 and beyond.

New warehouse supports growth of York logistics specialist

Celkom Transport Ltd has invested in a new 50,000 sq ft warehouse at its York site. Utilising an existing building that it has fully refurbished to industry specifications, the newly opened facility will provide additional 3PL pallet storage and fulfilment options for customers. Celkom has benefitted from sustained growth as a shareholder member of the Pallet-Track network, and the new warehouse will help increase the distribution of goods nationwide. Celkom Transport already provides 24/7 operation for customers using a diverse transport service from vans to temperature-controlled HGVs. As part of a new warehouse division, the additional space will facilitate in-bound transportation and fulfilment and improve outbound haulage services as part of a new one-stop-shop facility. As part of the Pallet-Track network, Celkom’s new warehouse will further enhance its offer through providing single pallet distribution, storage, and fulfilment, to full loads. Lukasz Komamicki at Celkom said: “The new space cements our long-term vision for growth. We can now provide a complete commercial offer allowing customers to have full control of their pallets and goods at any one time. “Importantly, it will facilitate the best service possible by incorporating our haulage division and warehousing groupage within the Pallet-Track network.” Taking 12 months to renovate, the new warehouse incorporates several sustainable features, including full solar panels on the roof which provide self-generating electricity. Electric forklifts will help move the 2,500 pallets which can be stored inside, supported by LED movement sensor lighting. Five new jobs have been created as part of the investment, with longer-term plans for growth on the site. Stuart Godman, CEO of Pallet-Track, said: “We congratulate Lukasz and the Celkom team on their continued success, which is driving significant growth for their business and the Pallet-Track network. “As an agile and customer-focused business, we are immensely proud to work with Celkom to provide their customers with a high-quality service, driven by our network and supported with real-time updates through our tracking software. “Celkom’s investment in sustainable features, such as solar panels and electric forklifts, futureproofs the business and aligns closely with Pallet-Track’s own commitment to carbon neutrality, after becoming a Carbon Certified Business in 2024.”

Fewer firms take on new employees, BCC survey finds

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Fewer than a quarter of firms took on new employees during the last quarter of 2024, the Insights Unit at the British Chambers of Commerce has discovered in its latest survey of almost 5,000 firms, 90% of the SMEs. Just 24% of responding businesses said they had increased their staffing numbers over the last three months, down from 27% in Q3. 60% said their workforce had remained constant, and 16% reported a cut in staff. Construction and engineering firms continue to struggle the most finding staff, with 83% reporting recruitment issues. Manufacturers are not far behind with 82% having difficulty, followed by 81% of businesses in the transport and logistics sector. At the other end of the scale, 69% of marketing and communications firms faced problems. Labour costs continue to be the main pressure businesses are facing to raise prices in Q4, cited by 75% of firms. That’s up significantly from 66% in the previous quarter. The pressure is currently felt most keenly in hospitality (87%), then transport (84%), construction (82%) and manufacturing (80%). More firms are reducing investment in staff, with 19% of responding businesses reporting a cut in training spend compared with 13% in Q3. Meanwhile, 22% said they had increased training investment, down from 25% in the previous quarter. 60% of businesses said training investment had remained the same. Jane Gratton, Deputy Director Public Policy at the BCC said: “Our latest concerning results are likely to represent just the tip of the iceberg. Business confidence has been hit hard since the Budget. Employers are now having to plan for a significant increase in employment costs, with steep rises in national insurance and the minimum wage coming down the track in April. This will inevitably impact on recruitment, retention and staff development. Firms tell us they will have to make some tough decisions to balance the books. “The cuts in training investment are also worrying because improving skills is a vital part of driving economic growth. Our data shows firms are facing significant challenges recruiting the right people. The problems in the construction and manufacturing sectors are particularly concerning. “Cost pressures are already casting a shadow over recruitment, employment and training efforts. However, the full impact of these challenges will only become apparent later this year. “If businesses are to grow and meet future demand, they need a functioning labour market. This means addressing skills shortages, removing barriers to workforce participation, and creating the right conditions for firms to invest in their people.”

NFU calls for ban on personal meat imports after Foot and Mouth outbreak in Germany

An outbreak of Foot and Mouth disease in a German water buffalo herd has prompted the NFU to call for a ban on personal meat imports into the UK. President Tom Bradshaw said: “The confirmed outbreak of foot-and-mouth disease in Germany is very worrying news for all livestock keepers across the EU. “We welcome the swift action taken in reporting the disease so that we can minimise the risk to all livestock keepers, and it is now paramount that we make sure our borders are secure so that we don’t risk importing the disease into the UK. “With so much uncertainty about where this disease is and where it came from, and knowing the impact this horrendous disease can have, we’re calling on the government to ban personal imports of meat, milk, and meat and milk products, unless accompanied by official veterinary documentation. “The government must also ensure that those fighting illegal meat imports, including Border Force, have the resources they need to stamp out this practice.” An outbreak of the disease has been confirmed in a herd of water buffalo near Brandenberg to the west of Berlin. It’s the first instance of FMD in Germany since 1988. The cases were confirmed on 10 January and affected three water buffalo out of a herd of 14. The remaining animals in the herd have been culled to prevent further spread. 200 pigs on a nearby farm have also been culled as a precaution. A 3km exclusion zone and a 10km surveillance zone have been put in place around the IP (infected premises) and the German authorities are slaughtering all susceptible livestock within 1km, including wild boar within 1km of the IP. Additionally, no animals or their products can be taken out of this area.

Business Lincolnshire offers fully-funded advice to startups and new businesses

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Business Lincolnshire is inviting budding entrepreneurs and early-stage businesses across Greater Lincolnshire and Rutland to take advantage of the fully funded Business Lincolnshire Start-Up Academy.
In 2024, almost 500 individuals and early-stage business owners were given specialist advice by the Business Lincolnshire Growth Hub. Almost 300 attended a workshop or met an adviser, going on to launch 24 new businesses and creating 25 jobs.
Councillor Colin Davie, Executive Councillor for Economic Development, Environment and Planning at Lincolnshire County Council, said: These figures highlight the entrepreneurial spirit thriving in our region. The success of the Start-Up Academy underscores our commitment to fostering a robust business environment in Greater Lincolnshire and Rutland.”
The programme is led by Malcolm MacPhee and Andy Byrne, Business Lincolnshire’s specialist advisers. From business planning and cash flow forecasting to practical advice for overcoming challenges, Malcolm and Andy are there to guide you every step of the way – and it’s all fully funded.