Arla Foods and DMK Group reveal plan to merge

Arla Foods, which has its UK headquarters in Leeds, and DMK Group have revealed their intention to merge, creating “the strongest dairy cooperative in Europe.” The merger brings together more than 12,000 farmers and the joint cooperative aims to achieve a combined pro forma revenue of 19 billion euros. Arla Foods and DMK Group have cooperated on several projects in recent years, among others the joint venture project ArNoCo, which processes whey from DMK’s cheese production into whey protein concentrate and lactose for Arla’s global ingredients business. Jan Toft Nørgaard, chair of Arla Foods, said: “The foundation of this partnership is formed by our shared values, and I am immensely proud of this proposed merger, which is a win-win for our cooperatives. “The strength of both Arla and DMK Group lies in our shared commitment to quality and innovation, and I see DMK Group as the perfect partner in shaping a new and strengthened Arla, poised to lead in the dairy industry.” Heinz Korte, chair of DMK Group, said: “We are proud of the planned merger with Arla, a cooperative that shares our commitment to innovation and optimal value creation. This partnership strengthens the resilience of our cooperatives and significantly contributes to strengthening the competitiveness of our farmers. “Together, we can expand our reach for our dairy products, thus improving our offering and jointly driving the further development of innovative products for the benefit of our members.” The merged entity will carry the Arla name. The merger is subject to approval from the Board of Representatives in the cooperatives as well as regulatory approval.

Dale Power Solutions acquires long-term business partner

Scarborough-based Dale Power Solutions has acquired long-term business partner, Calibre Power Electronics, demonstrating its commitment to the Scottish market and deepening its offshore oil and gas expertise.

Calibre Power Electronics, based in Aberdeen and founded by Jagdesh Rana, has been a provider of UPS replacement and maintenance services to the oil and gas industry since 2000. Dale provides critical backup power for infrastructure, commercial, industrial and public sectors, including Erskine UPS systems, generators, and battery energy storage systems (BESS). The business received investment from NVM Private Equity and has been on a transformational journey during the last three years under the leadership of CEO Gavin Hepburn. By joining forces, Calibre’s customers will access Dales’ extensive resources, expanded range of products and services, and operational expertise. Chief Executive of Dale Power Solutions, Gavin Hepburn, said: “We will continue to honour the legacy of Calibre Power Electronics, which will remain a key brand within Dale Power Solutions while building on the momentum of strong growth and exciting opportunities across various market sectors. “We are delighted that the full team at Calibre will remain with the business, providing the stability and experience that Calibre was built on.”
Laura Anisha Rana, MD of Calibre Power Electronics, said: “We are excited about what lies ahead and remain committed to providing a top notch, flexible service to our customers and preserving the values, culture, and relationships that have made both Calibre and Dale successful.”

Rix Group sells expenses management platform to Swedish firm

Accountabl, an expenses management platform created by the Rix Group in Hull, has been sold to a fintech listed on the Nasdaq First North Stock Exchange in Sweden. Done.ai has acquired the business in deal which involves a cash sum as well as the Rix Group taking a shareholding in the AI-driven company. The Rix Group decided to divest the business to focus on its core commercial activities of property, leisure, and energy. The company also cited the Labour government’s recent increase in NI rates, amendments to Business Property Relief (BPR) rules, and heightened employment law regulations for the move, as these pose significant challenges for family-owned businesses. Harry Rix, director of the Rix Group and founder of Accountabl, said: “This is a very exciting development for Accountabl. “Done.ai, previously 24SevenOffice, is known for its distribution to ERP providers its AI-first approach to building cutting-edge software solutions. The company already has comprehensive plans to enhance and expand the platform with advanced automation capabilities to drive efficiencies and improved functionality. “We believe this transition will enable Accountabl to thrive under the leadership of Done.ai, as the company has the expertise and focus to ensure it realises its full potential.” Mr Rix added by taking a shareholding in Done.ai, the Rix Group has access to cutting-edge innovation and technical expertise that will drive value for the wider business. “We see this partnership as a positive step for both parties,” he added. “Our ongoing relationship with Done.ai will allow us to benefit from their expertise in AI while continuing to focus on our primary industries.” Done.ai will continue to operate Accountabl in the UK but also focus on distribution within the Nordic region through existing in-country partnerships. Staffan Herbst, CEO of Done.ai, said: “Accountabl has built an impressive foundation, and we see significant potential to take it further. “Our focus is on combining cutting-edge AI with deep ERP integration to create smarter, more scalable tools that genuinely support our customers’ evolving financial operations. “We look forward to building on what’s already working and innovating in the areas that matter most.”

Rosehill Polymers expands global footprint with support from UKEF

Rosehill Polymers Group, a manufacturer based in West Yorkshire, has significantly boosted its global presence following financial backing from UK Export Finance (UKEF). Established in 1988, the company is known for its high-performance polymer systems made from recycled rubber, serving diverse industries such as highways, rail, energy, sport, and security infrastructure.

In 2023, UKEF provided a credit guarantee through its General Export Facility, allowing Rosehill to secure financing from Virgin Money. This support enabled the company to expand its operations, resulting in a second manufacturing facility in Sowerby Bridge and an increase in export markets from 52 to over 60 countries.

The new financing facilitated Rosehill’s entry into nine additional export markets in 2024-25, including Chile, Colombia, Saudi Arabia, South Africa, and Iraq. Further market expansions are planned for 2025 in Argentina, Malaysia, and Singapore.

The company currently employs around 100 people in its West Yorkshire base. Its focus is on fostering local talent through apprenticeships and university placements. This investment in workforce development is central to its growth strategy and commitment to sustainable manufacturing practices.

UKEF’s support has been crucial in Rosehill’s ability to expand its international business and align with the UK government’s global trade objectives.

Sheffield industrial estate acquired for £9m

Network Space Investments (NSI) has completed the £9 million acquisition of a 103,262 sq ft industrial estate on Grange Mill Lane in Sheffield – near Meadowhall and junction 34 of the M1. Comprising four vacant warehouse units, NSI will comprehensively refurbish and reposition the estate as a modern, high-spec industrial hub. This will deliver high-quality space across a range of flexible unit sizes from 10,000 to 50,000 sq ft, all featuring eight-metre eaves. The new units will be available from late summer 2025. This latest acquisition is part of NSI’s strategy to redeploy capital following the recent disposal of Europa Way at Trafford Park. It also follows recent acquisitions in Oakhill, Manchester, and Cowley Way, Sheffield. Tom Dawson, Investment Director at Network Space Investments, said: “This is a well-located and underutilised estate that offers significant potential for value creation. Our plan is to deliver modern, energy-efficient space suitable for a range of occupiers – and the flexibility of unit sizes will appeal to both regional businesses and national operators. “The acquisition reflects our confidence in the industrial sector and supports our long-term strategy of investing in assets with strong fundamentals in resilient, growth locations.” Roger Haworth at CPP acted on behalf of the vendor. NSI was unrepresented.

£50m funding injection supports small business growth in the North

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The Business Enterprise Fund (BEF) has distributed over £50m in funding to small businesses across the North of England via the British Business Bank’s Start Up Loans programme. More than 4,500 loans have been provided, helping entrepreneurs launch and expand their operations.

The programme has supported diverse business founders, with female entrepreneurs receiving 37% of the loans, ethnic minority business owners securing 14%, and 8% of loans going to young entrepreneurs aged 18-24. The loans offer up to £25,000 for each director, with a maximum of £100,000 available per business.

Many businesses have benefited from the funding, including JPC Specialist Motorsports in the North East, which received £20,000 for growth. Xtra9ce Wigs in Wigan used £25,000 to relocate to a larger premises, while Leeds-based Yorkshire Mushroom Emporium secured £50,000 to increase production and scale operations. The mushroom farm, founded in 2021, has expanded from a small-scale operation to a fully-equipped facility, providing restaurants with fresh gourmet mushrooms and home-growing kits. The funding helped purchase new equipment, which improved efficiency and reduced costs.

The programme continues to provide crucial support to small businesses, enabling them to scale, invest in infrastructure, and contribute to local economies.

UK businesses shift focus from cost-cutting to strategic software investments

A new survey of over 2,000 UK business professionals shows a significant change in how companies approach software investment. Following a turbulent economic period, businesses are moving away from short-term cost-saving measures and instead prioritising investments in artificial intelligence (AI), analytics, and cybersecurity to build long-term resilience.

The survey by Yorkshire-based Propel Tech reveals that companies increasingly see bespoke software as a key driver for business success. The findings from the 2025 Bespoke Software Wishlist Survey indicate that, unlike last year, decision-making tools powered by analytics and robust cybersecurity solutions have topped the agenda for many firms.

In 2024, businesses focused primarily on cost reduction and efficiency, with many viewing software investments as a means to streamline operations. However, the latest research shows a nearly 200% increase in the importance placed on software that enhances decision-making through analytics, with a marked rise in the prioritisation of cybersecurity investments. Just 37 businesses reported revenue growth as their top software need for 2025, down sharply from 329 the previous year.

This shift signals a growing recognition that short-term savings no longer suffice in an unpredictable business environment. With cyber threats escalating and AI becoming a standard feature of bespoke software systems, UK businesses opt for custom solutions that offer agility and security, rather than focusing solely on quick fixes.

The findings underscore a broader trend: companies are transitioning from a mindset of immediate survival to one of strategic, long-term growth, where intelligence, security, and adaptability are essential for future success.

Planning approved for 66-bed care home in Bourne

LNT Care Developments has secured planning approval from South Kesteven District Council for the construction of a 66-bed residential care home in Bourne. The development will replace an existing house on Tarragon Way, with a two-storey H-shaped building designed to include parking for 30 vehicles.

The project is expected to create between 50 and 60 local jobs and represent a significant investment in the area. Beyond construction, it will generate ongoing opportunities for local contractors, suppliers, and community engagement, including potential partnerships with schools and community groups.

While most local residents supported the location, concerns were raised over the site’s accessibility and parking capacity. Ward councillor Helen Crawford noted issues with the proposed entrance on Coriander Drive, potential congestion from HGV traffic, and insufficient parking for visitors and staff.

The planning committee approved the project with the condition that a travel plan and construction plan be submitted. No timeline for the project’s completion has been provided.

Largest cold storage facility opens in Lincolnshire to boost UK food security

Magnavale has launched the UK’s largest cold storage facility in Grantham, Lincolnshire. With a capacity of 101,000 frozen pallet spaces, the site is designed to support the growing demands of the UK food supply chain while focusing on sustainability.

This cutting-edge facility operates entirely on renewable energy and incorporates advanced automation and high-bay, rack-clad storage. It also offers additional services such as blast freezing and contract packing, streamlining operations for businesses in the sector.

The opening of Magnavale Easton will strengthen the UK’s food security and is expected to bring long-term economic benefits to the local area. It will also help companies reduce costs and improve supply chain efficiency.

New solar farm proposal in Lincolnshire to power 23,000 homes

Starlight Energy has unveiled plans for a new solar farm in Lincolnshire, which will generate enough energy to power 23,000 homes. The proposed site, located near Burton Pedwardine on the outskirts of existing solar farms, spans 76 hectares (188 acres) off White Cross Lane, Sleaford.

Following consultations with the Burton Pedwardine Parish Council, the developer scaled down the project’s initial size. The proposal includes the installation of 3m-tall solar panels, a substation, fencing, CCTV cameras, and access tracks, with a 40-year operational timeline.

If approved by North Kesteven District Council, the project is expected to generate £50,000 annually in business rates and establish a community fund. Until the consultation period ends, the public has until the end of the period to submit feedback through the NKDC website.

Network Rail begins Scarborough station roof restoration project

Network Rail has launched a year-long, multimillion-pound renovation of Scarborough railway station’s Grade II-listed roof. The project aims to restore the roof while maintaining the station’s historical character. It will include upgrades to the drainage systems and stonework, enhancing safety and the overall passenger experience. Despite the scale of the work, the station will remain open during the day with efforts made to minimise disruption.

The restoration is expected to improve facilities, such as the ticket office and waiting areas, while preserving the building’s heritage. The project is set to be completed by early next year.

In addition, Network Rail is progressing with the restoration of a Grade II-listed water tower in York. Part of the York Station Frontage transformation, the tower will be refurbished to provide a rehearsal space for the York Railway Institute Band and a second unit for lease. Planning permission and listed building consent have been granted, and the project is now moving forward with funding and contractor selection.

Meanwhile, Network Rail has announced plans to complete essential repairs on the historic Ryde Pier on the Isle of Wight by May 2025, ensuring continued service on the Island Line.

Hat-trick of property panel reappointments for Gateley Legal

Gateley Legal’s specialist residential development team has secured a trio of legal panel reappointments for Bellway Homes, McCarthy Stone and Taylor Wimpey. The legal business, which has offices in Leeds, has been advising Taylor Wimpey for more than 30 years and recently celebrated its 20-year anniversary of working with Bellway Homes. The team has been reappointed to the streamlined panels covering all regions for both housebuilders. It will provide support on a wide range of property, construction, disputes, commercial, regulatory and compliance matters. Following five years of service, Gateley Legal has also been reappointed by retirement living developer, McCarthy Stone, across all its regions to cover land acquisition, planning and plot sales matters, as well as construction, litigation and fire safety work. In addition to core legal advice, complementary support will be provided through the technical expertise of its property and construction consultancies within the wider Gateley group. This includes assisting with utility diversions and new connections, surveying matters, project management and capital allowances. Callum Nuttall, partner and national head of the residential development team at Gateley Legal, said: “We are delighted to be continuing our long-term relationships with Bellway Homes, McCarthy Stone and Taylor Wimpey. “These reappointments are a result of the hard work of our brilliant people, a series of strong lateral partner hires and our unrivalled multi-disciplinary offering which sees us providing both legal and consultancy services under one roof to meet the needs of both clients and the market.”

Helmsley Group sees growing demand for office space in York

Helmsley Group, a York-based property investment firm, has reported increased demand for office space in the city centre. The firm has secured 42,000 sq ft in new lettings, including spaces for flexible workspace providers Patch and Wizu and NHS service provider Nimbuscare Ltd.

This growth comes as businesses adapt to hybrid and in-person working models. The lettings include the Grade II-listed Bonding Warehouse and East Coast House, which will cater to companies seeking modern, flexible office environments.

The company is also preparing to launch its Coney Street Riverside development, which will introduce a mix of retail, leisure, commercial, and residential spaces in the city centre, further enhancing the area’s business appeal.

The increasing demand for office space in York reflects the ongoing shift in how businesses approach office-based work, with many now seeking environments that foster collaboration and community.

Skegness station upgrade delayed after contractor exits project

A £3.3 million redevelopment of Skegness railway station has stalled after the appointed contractor, Taziker Ltd, withdrew from the project. East Midlands Railway (EMR), which is overseeing the scheme, is now in the process of sourcing a new delivery partner.

The revamp is part of a broader investment funded through the government’s Town Deal programme and aims to improve passenger flow by reconfiguring the station’s internal layout.

Originally scheduled for completion by 25 May, the timeline is now uncertain. EMR has reaffirmed its commitment to the project and is working to minimise disruption while securing a new contractor.

For businesses involved in infrastructure, transport, or town centre regeneration, the delay highlights the potential risks of contractor dependency in publicly funded development schemes.

Metro Bank partners with Ask Silver to launch AI-powered scam detection tool

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Metro Bank has launched a new AI-powered tool designed to help its customers—both personal and business—protect themselves from fraud. The Metro Bank Scam Checker, developed in partnership with Ask Silver, uses artificial intelligence to detect potential scams, allowing users to easily verify suspicious communications.

Customers can now send a photo or screenshot of emails, websites, letters, or leaflets they suspect to be fraudulent via WhatsApp to the Metro Bank Scam Checker. The tool quickly analyses the content and alerts users if it is a scam, offering guidance on how to proceed.

This partnership responds to the growing threat of sophisticated scams in the UK, including impersonation fraud, where criminals pose as trusted organisations to access sensitive customer information. By leveraging AI technology, the tool aims to provide customers with a quick and effective way to spot fraud and prevent financial losses.

In 2023, UK Finance reported over £1 billion in losses due to scams, with a significant portion of fraud starting online. Metro Bank’s Scam Checker is available to its customers free of charge, ensuring quick alerts and automatic reporting to authorities when a scam is detected. This feature is intended to aid in the broader fight against fraud by assisting law enforcement and the financial sector.

The tool reflects Metro Bank’s commitment to enhancing security and providing customers with a reliable method to stay one step ahead of scammers. The bank emphasises that it will never pressure customers into urgent actions or request sensitive information like passwords or PINs via email or phone.

Founded by Alex Somervell and Jonny Pryn, Ask Silver was inspired by a personal experience when a family member lost a significant amount of money to a scam. With this new partnership, Ask Silver continues its mission to combat fraud and protect consumers from scams.

UK Government introduces measures to support the automotive sector amidst global challenges

The UK Government has unveiled a set of measures aimed at securing the future of the domestic car industry, which has been under increasing pressure due to global factors, including US tariffs and the ongoing shift to electric vehicles (EVs).

The automotive sector has faced significant difficulties recently, including a 25% tariff on exports to the US, which has raised concerns over potential job losses and economic impact. The Government’s new initiatives are designed to mitigate these challenges and support the transition to electric mobility, a critical component of the industry’s long-term strategy.

One of the key changes is a revision to the zero-emission vehicle mandate, which will provide greater flexibility to manufacturers in meeting the 2030 target for phasing out petrol and diesel cars. This includes extending allowances for hybrid vehicles and offering exemptions for smaller manufacturers, such as McLaren and Aston Martin. In addition, the financial penalties for manufacturers failing to meet EV targets have been reduced from £15,000 to £12,000 per non-compliant vehicle.

Nissan, which has significant operations in the UK, will benefit from these adjustments. The company, which focuses on exporting vehicles primarily to Europe, is on track to expand production at its Sunderland plant. The launch of new electric models, including the next-generation Leaf, Juke, and Micra, is expected to strengthen its market position, with 2024 projections showing a rise in production and revenues.

While the measures are a step in the right direction, some industry leaders have voiced concerns that they do not go far enough to address the broader challenges manufacturers face. The Society of Motor Manufacturers and Traders (SMMT) has welcomed the flexibility provided to car makers, but cautioned that a more comprehensive approach is needed to stimulate demand for EVs, beyond the current focus on quotas and penalties.

The Government’s efforts aim to balance the need for environmental progress with the economic realities of a rapidly changing global market, offering a mix of regulatory adjustments and targeted support to help the UK automotive sector remain competitive on the world stage. However, as manufacturers continue to face mounting pressure, many are calling for further action, particularly on the demand-side incentives necessary to accelerate EV adoption among consumers.

McCain Foods UK reports strong growth, nearly doubling profits in three years

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McCain Foods UK, based in North Yorkshire, has posted impressive financial results, with pre-tax profits reaching £98.7 million for the year ending 30 June 2024. This represents a significant increase from £77.3 million the previous year, showcasing the company’s strong performance despite ongoing challenges. Over the same period, UK revenue rose from £692.4 million to £781.1 million, contributing to an overall group revenue increase from £712.5 million to £799.1 million.

While McCain saw a decline in revenue from its European operations, dropping from £18.6 million to £15.6 million, other global markets experienced growth. Revenue from regions outside Europe grew from £1.5 million to £2.2 million.

Despite supply chain issues and rising input costs driven by factors like increasing fuel and fertiliser prices, McCain’s North Yorkshire operations reported positive sales growth in both retail and food service sectors. The company continues to prioritise sustainability, with investments in agricultural support and efforts to manage rising energy costs for storage growers. Additionally, McCain invested in the renewal of its Scarborough facility and brand development through media advertising.

Looking ahead, McCain plans to continue driving growth through innovation, quality, and service, while maintaining a strong commitment to environmental sustainability. Although no final dividend has been proposed for the fiscal year ending 30 June 2024, an interim dividend of £8 million has been addressed.

Leeds-based provider of data and AI consultancy services snapped up

Softcat, a provider of IT infrastructure products and services, has acquired Oakland, a specialist provider of data and AI consultancy services.

Oakland’s specialist consultancy services range from data strategy and governance, through to architecture and engineering, analytics and AI.

An existing partner to Softcat, Oakland is headquartered in Leeds, employs 70 people, and in the twelve months to 31 December 2024 generated revenue of £10m. As part of the transaction, Oakland’s leadership team will join Softcat to run the business initially as a standalone operating unit.

A payment of £8m has been funded by Softcat’s existing cash, with further contingent payments over the next three years depending on performance.

Graham Charlton, Softcat CEO, said: Data is one of the biggest opportunities ahead of us as innovation in technology continues to shift rapidly towards a more automated and AI-driven world.

“Our customers need expert support to navigate this transition, so by combining Softcat’s market presence and broad portfolio with Oakland’s specialist capabilities, we can guide customers through every stage of this journey.

“The acquisition of Oakland delivers an immediate, strategically important addition to our portfolio of services, and most importantly brings into the Softcat family a fantastic group of people who we know well and who align closely to our culture and values.”

Richard Corderoy, Oakland CEO, added: “We are excited to join forces with Softcat. By combining our deep expertise in data and AI consulting with Softcat’s extensive portfolio and market presence, we can deliver unparalleled value and innovation to our clients.

“This partnership marks a significant milestone in our journey, and we’re looking forward to achieving great things together.”

Link Golf UK takes over Middlesbrough Municipal Golf Centre

Link Golf UK has officially been appointed as the new operator of Middlesbrough Municipal Golf Centre, with plans to elevate the venue into a leading golfing destination. The company is set to enhance the existing 18-hole course, driving range, and other facilities, introducing new technologies like TrackMan Range for a more interactive and modern golfing experience.

Link Golf UK, which takes over from Everyone Active, is focused on making the centre a community hub for golfers of all levels, emphasizing accessibility and technological advancements. The site, covering 160 acres on Ladgate Lane, is already home to a floodlit driving range and junior golf programmes to introduce young players to the sport.

As part of its strategy, Link Golf UK is prioritising community engagement and the development of the centre’s infrastructure to ensure it becomes a welcoming venue for both seasoned golfers and newcomers.

UK construction sector struggles with rising job cuts and declining demand

UK construction firms have been shedding jobs at the fastest rate in four years, driven by an ongoing decline in sector activity. March saw another contraction, marking the third consecutive month of shrinking output, though slower than in February.

The latest data from S&P Global’s construction purchasing managers’ index (PMI) revealed a reading of 46.4, slightly better than the previous month’s 44.6 but still below the 50 mark that signals growth. This indicates that the UK construction industry continues to face tough conditions, particularly within commercial construction, which saw its sharpest decline since early 2021.

Concerns over the broader economic landscape, including rising interest rates and global uncertainties, have contributed to the sector’s woes. A weak order book and subdued demand for construction projects have led to further job losses, with firms cutting staff at the highest rate since October 2020.

In particular, civil engineering experienced the largest drop in activity since 2020, while commercial construction remained relatively stronger but still contracted. Firms cited a slowdown in investment due to uncertain economic conditions and geopolitical risks. These factors, combined with an ongoing reduction in infrastructure work, paint a bleak picture for the future of the UK construction sector.