- UK GDP growth is projected to rise to 1.0% in 2024.
- Momentum should continue in 2025, with GDP growth anticipated to reach 1.9% – broadly in line with the average pre-COVID growth rate (of 2.0% between 2010-19).
- Consumer spending is the main driver of growth, reflecting an improvement in households’ real incomes as inflation falls.
- Business investment is set to be weak in 2024 but will recover as GDP growth strengthens.
- However, productivity remains below its pre-COVID trend, signalling further action is needed to spur longer-term, sustainable growth.
Economy is picking up steam, says CBI
The latest CBI forecast points to encouraging signs that the UK economy is on track to gradually pick up steam over 2024 and 2025. After a strong start to the year, momentum will continue with GDP growth in 2025 anticipated to reach 1.9%.
The economy has struggled in recent years under the pressures of economic shocks such as the COVID-19 pandemic and Ukraine war. GDP growth came in at only 0.1% over 2023, with the dual headwinds of high inflation and increased interest rates weighing on economic activity.
Louise Hellem, CBI Chief Economist, said: “It’s encouraging to see that the outlook for the UK economy is improving after a difficult 2023. However, we cannot afford to be complacent about our progress going forward. To ensure longer-term, sustainable growth, we must tackle our ongoing productivity problem.
“Our Business Manifesto sets out several policies to improve productivity and deliver prosperity through a positive vision for the UK economy. These include a cutting-edge trade and investment strategy, a Net Zero Investment Plan, and more support for firms to invest in AI – particularly where it can help in automation and super-charging productivity.
“Now in the midst of a General Election, political parties have an opportunity to prioritise the economy and unlock long-term, sustainable growth by using their manifestos to set out measures that will support business investment and propel growth for the next decade and beyond.”
The CBI’s latest UK Economic Forecast shows that:
PR company makes donation to Yorkshire mental health charity
Northern public relations and marketing company Clothier Lacey has donated £500 to Harrogate mental health charity Wellspring Therapy & Training.
This donation is part of Clothier Lacey’s on-going campaign to support mental health charities across the UK and to promote good mental health in the workplace.
Philippa Clothier, managing director of Clothier Lacey, explained: “This donation reflects our commitment to the Yorkshire community, in which we have forged significant connections over the years.
“With a diverse range of clients who have offices in Yorkshire, including Yorkshire Country Properties, Summers-Inman, TGA Consulting Engineers and Pickard Properties, alongside past partnerships with Caedmon Homes, AECOM, AtkinsRéalis (formerly Faithful and Gould), Gerald Eve and SES Engineering Services – our ties to Yorkshire run deep.
“Our donation to Wellspring emphasises our dedication to supporting initiatives that promote mental health and well-being, particularly during challenging times. As a result of unprecedented global challenges, the need for accessible mental health support services has never been more vital. By offering affordable private care tailored to the individual, Wellspring plays a pivotal role in addressing this need.
“Wellspring provides private counselling at affordable rates, easing the overwhelming demand on the NHS’s mental health services, and providing hope for children, families and individuals who are struggling with mental ill health and distress.”
Nick Garrett, Interim Chief Executive of Wellspring, said: “This much-needed donation is vital as it will help us improve peoples’ mental health. I can’t thank Philippa Clothier and the staff at Clothier CL enough for their generosity.”
Wellspring Therapy & Training is based at 78 High Street in Starbeck. The charity, which was founded in 2003, provides affordable short and long-term counselling for the Harrogate and district community.
Wellspring hopes to be able to counsel 220 clients by the end of next year, building on the 170 now on the charity’s books.
“Perfect fit” found as Bafta award winner sells York company
Ben Giles has described Omniplex Learning as the “perfect fit” for his company Matobo following its sale.
Matobo was founded by Ben and Cath Giles in 2012 and provides cyber security awareness training to the private and public sectors, having worked with clients which include the BBC, London Fire Brigade and around 20% of UK local authorities.
A BAFTA award-winning filmmaker for work that featured Sir David Attenborough, Ben writes, edits and publishes York-based Matobo’s digital content used in its online training programme.
Among its flagship courses is Cyber Ninjas, a unique series of e-learning modules which are certified by the National Cyber Security Centre.
“We take immense pride in the quality of training we provide to our customers,” said Ben Giles. “Omniplex Learning was a perfect fit to build upon our work by supporting our customers and enhancing our training and services.”
Omniplex, based in St Albans, has added Matobo to its existing suite of digital learning products and services which offers authoring tools, learning management systems, seamless digital adoption and expert in-house design, content and training services.
“Our customers have identified cyber security as a critical and evolving challenge,” said Patrick Jocelyn, CEO of Omniplex Learning. “The costs of a successful cyber breach to a business are substantial, both financially and reputationally.
“By integrating Matobo’s industry-leading courses into our portfolio, we are poised to provide our customers with digital learning in areas that are of the utmost importance to them.
“We plan to expand our offerings to address the new security and GDPR challenges associated with AI and other threats. This will complement our Good e-Learning digital transformation courses which we acquired just over a year ago.”
Omniplex Learning is backed by private equity investor LDC, with which it partnered in December 2020.
Nathan Leah, KBS Corporate Associate Director, who advised on the sale, said: “I strongly believe Matobo will continue its success story in conjunction with Omniplex, who are a sophisticated and high calibre operator. I wish all parties the very best for the future.
“Special thanks to Harriet Jones of Mackrell Solicitors for her diligence and collaboration throughout.”
Sausages powered by sunshine…food producer invests in sustainability initiatives
Bedale-based HECK! Food has invested in solar energy production at its HQ in Kirklington. The company has installed 433 solar electricity panels, capable of generating 200,000 kwh per year, 20% of the factory energy.
Jamie Keeble, HECK! co-founder, said the installation of solar panels was “an additional effort to make sure that we’re being sustainable from a factory perspective and also to support our journey to net zero. We’ll be saving 45 tonnes of carbon per year.”
The project has received a £49,950 grant of the total £150,000 investment from the UK government through the UK shared prosperity fund.
Richard Flinton, chief executive of North Yorkshire Council, says: “Supporting the decarbonisation of the county is a key priority for the council. It is brilliant to see this grant have such a positive impact in supporting HECK! Food to install solar panels. Manufacturers of quality products like HECK! are an important part of the economy and it is vital they’re supported to reach net zero.”
In addition to the solar panels installed on site, HECK! is working on a programme of sustainability initiatives in its journey to net zero. Part of this work has been the launch of the HECK! “Care Code” to work on initiatives across health, environment, community and kindness.
“Our Care Code is a four-pronged approach that leads to a better HECK! and a better world. It stands for ‘Health, Environment, Community and Kindness’,” continues Jamie. “We are quite unique in the industry as we make all our sausages, meatballs and burgers at our HECK! factory and we’re the only premium brand who makes their own food.
“We’ve made a commitment to our consumers and retail customers to show a transparent sustainability journey. We have measured our Scope 1 and 2 industry standards emissions for three years now, and as such we’ve managed a 30% reduction in our emissions.
“We recently measured Scope 3 emissions and are now identifying opportunities to reduce emissions further. Our first annual impact report will be published this year which charts our climate impact across our supply chain.”
First Chief Executive of York and North Yorkshire Combined Authority appointed
The first Chief Executive of York and North Yorkshire Combined Authority has been appointed.
James Farrar is currently Interim Head of Paid Service and Director of Economy at the Combined Authority.
Prior to the formation of the Combined Authority in January this year, James was Chief Operating Officer of York & North Yorkshire Local Enterprise Partnership and played a leading role in the development and implementation of the region’s historic devolution deal.
The deal enables powers and funding to be moved to the region, with delivery led by an elected Mayor and the new Combined Authority.
The Combined Authority will deliver £112 million of investment in 2024/25. This includes a £67 million local transport fund, £12.7 million for brownfield housing, £10 million of green economy investment, £2.9 million for skills provision – including the implementation of a devolved adult education budget – and the annual £18 million Mayoral Investment Fund, which will be used for mayoral priorities.
David Skaith, Mayor of York and North Yorkshire, said: “James’ passion, commitment and understanding of the region stood out in interview and I look forward to building on our already strong relationship.
“This is a key appointment for the Combined Authority and James will lead the Senior Leadership Team, providing the vision and drive to ensure we build a Combined Authority that is trusted and delivers across the region.
“A key first job for James will be to complete the Senior Leadership Team and set out the plans to deliver the ambitions of myself and the wider Combined Authority. We secured a great devolution deal and need to ensure we have the team and resources in place to make a real difference to our communities across the region.”
James Farrar said: “Having led the development and negotiation of the devolution deal, I am proud to now have the opportunity to work alongside the Mayor to turn this into reality and make a real difference to the communities across York and North Yorkshire.
“Success will see all parts of York and North Yorkshire benefit and to achieve that we will need to work locally across the whole area. I am committed to ensuring partnership is embedded in our operating model. Born and raised in the region, I am incredibly passionate about the area and have a deep understanding of the opportunities within York and North Yorkshire.”
A start date for the Chief Executive is to be determined. A recruitment process will take place to fill James’ current position of Director of Economy.
News of the Chief Executive follows the appointment of Mike Russell as the Combined Authority’s Director of Resources. Mike previously worked in senior roles at Tees Valley Combined Authority and at director level within the further education sector.
Mike Russell said: “As I step into my new role at the York and North Yorkshire Combined Authority, I am thrilled to be part of an organisation that is driving long-term positive change across the region. I look forward to joining the team, contributing to the Authority’s ambitious vision, and playing my part in delivering a meaningful impact on the lives of residents.”
Industrial valves manufacturer snapped up
INDUS Holding AG has acquired Rotherham-based Colson X-Cel. The medium-sized manufacturer of industrial valves for the control and regulation of liquids and gases is now wholly owned by the INDUS Group.
In March 2024, Pneumatic Components Ltd (PCL), a subsidiary of the INDUS portfolio company HORNGROUP, had signed the contracts for the acquisition of the company.
“With its direct access to the UK and US markets and its globally oriented activities, including in the Middle East, Colson fits very well into our internationalization strategy,” says Axel Meyer, member of the INDUS Board of Management responsible for the Engineering segment.
“In the further development of our portfolio companies, we are actively focusing on opening up new markets. Local presence is becoming increasingly important, especially in times of growing protectionism.”
Doncaster predicts the dawn of a decade of prosperity
Doncaster Chamber and the area’s businesses a prosperous decade ahead for our city according to a new report.
Called Doncaster ‘35: A Manifesto for a Winning City, it’s said to be a forward-thinking plan anticipating what the next ten years will have in store for Doncaster, and outlines the practical steps that must be taken to put it on the best possible trajectory.
Dan Fell, Chief Exec of Doncaster Chamber, said: “Through characteristic Yorkshire grit and determination, Doncaster — and the key partnerships that make it so strong— has accomplished much over the past twenty years.
“From securing City Status to opening a renowned University Technical College and valiantly pulling together to reboot Doncaster Sheffield Airport; we have a lot to be proud of. At the same time as this, we know that we cannot afford to dine out on past glories forever.
“If anything, the assorted hardships of the past couple of years — from the disappointing loss of the former HS2 College to the near miss with our bid to be the home of Great British Railways, and the macroeconomic headwinds that have embattled our urban core — have proven just how important it is that we do not lose momentum. Indeed, those who truly want what’s best for Doncaster know that we must constantly aim higher and always be impatient for progress. That’s where this manifesto comes in.
“Shaped by our member community, and developed in plain sight of our strategic partners, Doncaster ’35 is an ambitious, business-led vision for the future. One in which we candidly address the problems facing our city right now, highlight the exciting opportunities in front of us, call for bold leadership, make some challenging asks, and commit to rolling up our own sleeves to as well.
“The world is changing faster than ever before and yet the current pace of change is the slowest it will ever be. With that said, we want our city to not only keep pace, but to set it. We hope that others share our determination.”
The Chamber says the document explores how the Chamber itself — alongside the private sector it represents, colleagues in the local authority & regional government, as well as other assorted partners — can help Doncaster overcome its greatest challenges, while also seizing the opportunities that are within its grasp. The overarching goal behind all of this is to get to the point where we have a flourishing economic environment that serves as a “gold standard for what small, modern cities with an industrial heritage will look like in the year 2035.”
Bridge engineers take the plunge to raise museum money
Six employees of Hull-based Spencer Bridge Engineering have helped to raise money and awareness for the Menai Heritage Museum by picking up their paddles to take part in the Great Strait Raft Run.
The Menai Heritage Trust honours the two world-famous bridges that span the Menai Strait – the Menai Suspension Bridge and Britannia Bridge.
The team, nicknamed the Menai Museum Pirates rowed from Y Felinheli to St Georges Pier Promenade on a hand-built raft made from redundant and recycled construction materials, raising over £800 for the museum.
Spencer Bridge Engineering also sponsored the children’s colouring competition during the event and handed out almost 100 medals and certificates to entrants, as well as presenting the three winners with their prizes.
Customer Relationship Manager Diane Rowe said: “This is the second year we have taken part in the Raft Race and once again it was a brilliant day enjoyed by all.
“We wanted to support the trust by raising both funds and awareness so that it can continue telling the story of the Menai and Britannia Bridges, the rich marine environment and outstanding beauty of the Strait.
“We know the projects we work on can have an impact on local communities and we are always available to answer any questions or concerns. Where possible, we like to get involved in community activities and local organisations.”
Candice promoted to role of Associate Solicitor
Sheffield property law firm Mason Thomas Law has marked its fifth anniversary by promoting legal team member Candice Birch to the role of Associate Solicitor.
Candice, a commercial property solicitor joined the firm in 2021. Since joining she has overseen a number of successful property transactions, including the high street expansion of the vintage clothing company Glass Onion.
She said: “I am really happy to develop my career with such a supportive team around me, and I am excited to help the firm grow in the future. So am pleased to help lots of happy clients from near and far and I am very excited to have a number of interesting projects in the pipeline.”
Candice’s promotion reflects her role in driving forward the business which was founded in 2019. In addition to Candice, the Mason Thomas Law numbers four team members including founder and solicitor Cathy Thomas. Earlier this year it was named as the Commercial Property Team of the Year at the Sheffield & District Law Society 2024 Legal Awards.
Cathy said: “Candice is an intrinsic part of Mason Thomas Law’s future, and her new role reflects this. We are a strong team that is going from strength to strength, I am delighted that Candice sees her future with the firm and will continue to grow her career with us.”
In addition to Candice’s promotion, Mason Thomas Law is marking its fifth year of business with a recruitment drive. In response to growth and surge in demand, the firm is recruiting a Conveyancing Assistant.
Cathy Added: “Our focus on property law together with a strong team has created high demand for our services. It is an exciting time for the business.”
AAB Wealth acquires Scots company
AAB Wealth, which has offices in Leeds, has acquired central Scottish Synergy Financial Planning.
The move means AAB Wealth will have assets under advice of more than £800 million. The combined team of 37 are spread across Scotland, England and Northern Ireland, all of whom are dedicated to helping families and individuals plan for their future.
The Synergy Financial Planning business led by David Neely, supports over 200 families across Central Scotland and shares the same evidence-based approach to investing as AAB Wealth.
Andrew Dines, Head of AAB Wealth, said: “Synergy Financial Planning is a fantastic addition to our expanding team. David has been instrumental driving the growth of the business and his approach to financial planning and client support match perfectly with our philosophy. I look forward to welcoming David and his team to AAB Wealth to continue delivering the very best financial planning advice for our clients.”
