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 Jonathan Morgan, who is a partner at Zenko Properties, an independently owned sales and lettings agency. Jonathan shares his views about what will happen in Leeds city centre’s residential market in 2024. In the context of the wider housing market, perhaps the single most significant trend will be the impact of the huge weight of capital which is sitting in readiness, waiting to invest in what is known as ‘Single Family Rental’. This is the suburban version of ‘build to rent’ which now dominates the skylines of most of our major city centres and is starting to appear in secondary cities. The challenge of higher interest rates along with the end of Help-to-Buy has meant that housebuilders are increasingly turning to SFR funds as a means of propping up their targets – it seems that a shift towards longer term rental is well underway. Leeds city centre has already seen a significant shift towards institutionally-owned apartment buildings, with multiple amenities and robust professional management. The arrival of schemes such as Mustard Wharf by L and G, New York Square by Moda and Leodis Square by Dandara, coincided with the extraordinary impact of the end of Covid period on the rental market which effectively meant that two cycles of demand bumped into each other. The net effect of this was an increase in average city centre rents to unprecedented levels. Underpinning this trend is the predominance of students from overseas, for whom the traditional affordability measures are largely irrelevant but there is plenty of evidence to suggest that local professionals also have an appetite for this new way of renting. 2024 is going to be another interesting year in Leeds city centre: the key sectors are the rental market, which is the engine room of any successful urban economic centre, the continuing upturn in the delivery of Purpose Built Student Accommodation and the proliferation of fractional sales schemes such as Springwell Gardens, Sky Gardens, Axis and Phoenix, which rely on sales to distant investors. Sadly, there is little sign of the delivery of high-quality apartments or houses specifically aimed at owner occupiers, for which there is still huge pent up demand. This remains the area of greatest opportunity and whilst the likes of 2 Great George Street by Priestley are a step in the right direction, their sales campaign has been driven towards early off plan investor demand. There have still only ever been a handful of sales at over £750,000 in Leeds City Centre which makes absolutely no sense in the context of the wider metropolitan area, where this sort of figure variously buys a 4-bed semi in Rawdon or Roundhay or a 3-bed end terrace in Otley. Recent sales of penthouses at 2 Great George Street for £1.3m and a new apartment listing at £1m may herald the emergence of a premium city centre market but we are a long way from the £1.95m being asked for a penthouse in the Deansgate Towers in Manchester! It is likely that average city centre rents will increase again in 2024 and it would appear from salary data that there is still some headroom in affordability. It remains to be seen whether or not the demand for premium rental from the overseas student sector will wane and what impact this might have on occupancy levels and average rents in the BTR schemes. It is unlikely that this will be a factor in 2024, however, with research suggesting that there is still a significant lag in the provision of Purpose Built Student Accommodation. Sales activity in the mid-market is likely to increase, particularly as more and more developments are slowly unlocked through the impact of the Building Safety Fund. Many of these have been literally unsellable for a number of years due to cladding issues which has meant that those with average budgets have had very limited options. It is likely that many of these have turned their attention to the suburbs, putting further upward pressure on the price, for example, of small terraces in LS7 and LS4. Add into the mix the intriguing mortgage rate war which is currently playing out and it is clear that 2024 is highly unlikely to be the year of the crash!

Yorkshire Water is to build an integrated wetland at its South Elmsall wastewater treatment works to help reduce storm overflow discharges into Frickley Beck – a tributary of the river Don. The wetland is a nature-based solution designed to treat storm flows during heavy and prolonged rainfall, and will take two years to build – a task being taken on by Eric Wright Water An area as big as five football pitches will be built and planted with more then 220,000 plants, which will treat the storm water as it travels through the wetland. Pollutants and nutrients will be naturally broken down and taken up by the plants and bacteria within the wetland. The wastewater will not include solid waste. As well as providing a sustainable and energy-efficient way of treating the water, the wetland will also increase biodiversity in the area and attract a range of wildlife including bees and other pollinators, breeding birds, amphibians and reptiles. Simon Hudson, lead project manager at Yorkshire Water, said: “This is an exciting project and as we’ve seen with Yorkshire Water’s Clifton wastewater treatment works, these wetlands provide a range of benefits not only the way we treat wastewater, but also for the local environment. “We want to naturally treat the storm water at South Elmsall, reducing the reliance of energy-heavy treatment processes, providing a sustainable way to remove pollutants and reducing storm overflows into the beck, while creating wildlife diversity and achieving a biodiversity net gain. “The customers who attended the recent drop-in session were supportive of our plans and we look forward to delivering this project for the benefit of Yorkshire’s environment.”

The Drax Bioenergy with Carbon Capture and Storage Project application has been granted development consent by the Secretary of State for Energy Security and Net Zero. The project proposes to capture carbon dioxide emissions from at least one and possibly  two of the existing biomass units at Drax Power Station near Selby. Planning Inspectorate Chief Exec Paul Morrison said:  “The Planning Inspectorate has now examined more than 100  nationally significant infrastructure projects since the Planning Act 2008 process was introduced, ensuring  local communities have had the opportunity of being involved in the examination of projects that may affect them. “Local communities continue to be given the opportunity of being involved in the examination of projects that may affect them. Local people, the local authority and other Interested Parties were able to participate in this six-month Examination. “The Examining Authority listened and gave full consideration to all local views and the evidence gathered during the Examination before making its recommendation to the Secretary of State.”

Business Lincolnshire is here to assist and guide entrepreneurs in Greater Lincolnshire and Rutland through the practical steps of launching and developing a start-up business in 2024. As we step into 2024, it’s a great time to turn your business dreams into reality. For local entrepreneurs ready to take the leap, crafting a solid business plan, securing financial support, establishing a robust marketing strategy, and ensuring legal compliance are among the crucial steps required for success. Recognising the challenges that start-ups encounter, whether you’re at the initial stages or need assistance along the way, Business Lincolnshire is available to guide start-up businesses in the region, providing essential support to help you achieve success. Councillor Davie, Executive Councillor for Economy & Place at Lincolnshire County Council, emphasises: “2024 is a prime time for individuals to take their first steps towards starting in business. We understand the challenges of transitioning from an idea to a thriving business, and that’s why Business Lincolnshire is committed to providing the necessary fully funded support and resources.” At the core of this support system is the Business Lincolnshire Start Up Academy. This initiative offers workshops and personalised advice for those contemplating entrepreneurship or managing early-stage businesses. Led by professional Business Start-Up Advisers, the programme serves as a supportive platform, offering insights into business plans, financial forecasting, accessing finance, mentoring, coaching, and more. Recognising the financial challenges that often accompany business initiation, the Start-Up Academy also offers practical solutions through its Funding Your Start-Up workshops. These are designed to provide valuable insights into securing funding, whether through grants, loans, or various support schemes. Reflecting on the effectiveness of the Programme, Trish Kelly, a past participant, states: “The workshop was very informative, especially on finances. Would thoroughly recommend to others at any stage of setting up a business.” Now is the time for aspiring entrepreneurs to act on their dreams. Business Lincolnshire is ready to provide the tools, support, and expertise needed to turn those dreams into successful businesses. For more information and to access support, please visit Business Lincolnshire’s website. Please note: Geographical restrictions may apply to certain programmes. Interested businesses are encouraged to verify their eligibility before applying.

A new centre that enables businesses to carry out innovative research and development projects with some of the largest and most exciting equipment in Europe, has opened at the University of Sheffield. The Energy Innovation Centre (EIC) gives industries access to some of the University’s world class research facilities to test and develop new low-carbon energy technologies. Leading global aerospace company Boeing is one of the founding members and is set to work with the University to help develop sustainable aviation fuels (SAF). As the founding industry member, Boeing has access to the University’s Translational Energy Research Centre (TERC) and Sustainable Aviation Fuels Innovation Centre (SAF-IC) – two world leading research facilities, both of which are UK firsts. Boeing will use these to advance the development of SAFs and support new SAF producers in the UK, including Bicester-based Zero Petroleum. They have achieved this level of capability with £7 million previously awarded to the Translational Energy Research Centre by the Department for Energy Security and Net Zero,  £19.3 million from the European Regional Development Fund and further funding from the University of Sheffield. TERC is a world class testing facility – one of the best equipped facilities in Europe – that enables businesses to test new low-carbon energy ideas at pilot scale. SAF-IC provides state-of-the-art facilities to rigorously test, certify and deploy new sustainable aviation fuels all in one place. Both R&D facilities, under the new Energy Innovation Centre, are helping put South Yorkshire and the UK at the forefront of efforts to decarbonise the aviation industry and develop new low-carbon energy technologies. Minister for Energy Efficiency and Green Finance Lord Callanan, was joined at the event by Steven Gillard, Sustainability Regional Director for UK and Middle East at Boeing. Minister for Energy Efficiency and Green Finance Lord Callanan said: “Having awarded £7 million to the Translational Energy Research Centre, I’m thrilled that they’re combining their strengths with the Sustainable Aviation Fuels Innovation Centre, in the search for new and creative solutions to help us hit net zero. “This includes working on four carbon capture projects – backed by the government’s £1 billion Net Zero Innovation Portfolio, to help bring down the cost of this technology as we make the UK a pioneer in this area.” Boeing being a founding member builds on its longstanding relationship with the University of Sheffield, which has helped to bring major investment into the South Yorkshire region and drive innovation in aerospace. Boeing was a founding member of the University of Sheffield Advanced Manufacturing Research Centre (AMRC) – a hugely successful blueprint for academic and industry R&D – and chose to open its first European manufacturing facility in Sheffield in 2018. Steven Gillard, Sustainability Regional Director for UK and Middle East, Boeing, said: “We are committed to working with our partners across the globe on our journey to more sustainable aviation, including efforts to develop and scale SAF – our industry’s biggest lever in reducing emissions today and into the future. Building on our longstanding presence in South Yorkshire, being founding members of the EIC further solidifies the region’s pivotal role in our industry’s pursuit of net zero emissions.” Professor Mohamed Pourkashanian, Managing Director of the Energy Innovation Centre at the University of Sheffield, said: “The official launch of the Energy Innovation Centre is the result of many years of hard work to both build TERC and the environment at the University of Sheffield which allows their success to flourish. We are grateful for the many years of support from the Department of Energy Security and Net Zero, and the European Regional Development Fund which enabled the existence of these world-leading research facilities. “I’d also like to once again welcome Boeing, the founding member of the EIC, and our new member DRAX. We look forward to working with many more industrial partners in the future to drive forward decarbonisation technology and meet the net zero goals of the UK and beyond.”

North Lincolnshire businesses are being invited to invest in a motivated and skilled workforce by signing up to the next North Lincolnshire Jobs Expo. Taking place on Wednesday 7 February at Scunthorpe’s Baths Hall, the Jobs Expo attracts hundreds of jobseekers and upskillers looking to improve their prospects and develop their careers. Employers who have attended previous Expos report positive results from engaging directly with potential new employees. Comments from businesses who attended previous Jobs Expos include: An exit poll of jobseekers at a previous Jobs Expo found that of the more than 700 people who attended the event, the majority said it had been worthwhile them attending, with 64 per cent saying they would definitely be applying for vacancies and another 14 per cent said they were considering doing so. Cllr Rob Waltham, leader, North Lincolnshire Council, said: “The kind of North Lincolnshire we want to build relies on high-quality sustainable jobs and a well-trained, motivated workforce. The Jobs Expo helps us go a long way towards achieving this. “Supporting businesses to get the people and skills they need will help build back our economy better, improving the outcomes for every family in North Lincolnshire.” Exhibitors will get access to the Baths Hall from 11am and free parking is available in nearby Dene Avenue. A table and power is supplied as well as free tea and coffee. Further information: events@northlincs.gov.uk