Growth returns for UK economy
The UK economy returned to growth in January, according to new figures from the Office for National Statistics (ONS).
UK GDP (gross domestic product), a key measure of economy growth, increased 0.2% in January, in line with expectations following a 0.1% fall in December.
The increase was supported by a pick up in construction activity (growing 1.1% quarter-on-quarter) and a stronger month for the services sector (increasing 0.2% quarter-on-quarter and acting as the largest contributor to the rise in GDP).
Production output, however, fell 0.2% quarter-on-quarter.
The modest growth comes after the UK fell into a recession.
Tina McKenzie, Policy Chair of the Federation of Small Businesses (FSB), said of the figures: “An increase in GDP is an encouraging start to the year, and one small firms will be relieved to see, as it raises hopes that we may be pulling out of the shallow recession declared following low levels of negative growth through the second half of 2023.
“It’s too early to celebrate with any great level of vigour, however, as small firms are certainly finding the going tough at the moment.
“The recent Budget contained some help for small firms, notably the raising of the VAT threshold from £85,000 to £90,000 and the cut to National Insurance contributions, but small firms hoped for more help with day-to-day costs.
“This isn’t just about existing businesses starting to turn to growth in 2024; this is about creating the conditions for people to set up in business for the very first time, the next generation of start-ups who will make up the ground we lost during the Covid years when the UK small business population contracted by 500,000, losing one in 10 of them.
“Our Small Business Index research has found particular cause for concern among hospitality and retail firms, which are trailing far behind the overall average in terms of confidence levels. Indeed, one in eight firms in the hospitality sector expect to close entirely in the next 12 months, nearly four times the rate for all businesses, which should be a huge wake-up call to the Government about the dangers facing many thousands of small businesses.
“Small businesses contribute an enormous amount to the economy, and a sustainable recovery will be built on their success and growth. Today’s news must be built on if it is not to turn into another false dawn for small firms.”
Agrifood firms get chance to apply for share in £7.5m
A new grant programme is offering regional agrifood SMEs a share in £7.5m from Innovate UK.
Sarah-Louise Fairburn, Chair of the Greater Lincolnshire LEP’s Food Board, said: “The announcement of a Launchpad supporting SMEs in our agrifood sector is warmly welcomed.
“This news comes just days after the announcement of a £4.9 million grant from the Engineering and Physical Sciences Research Council to help transform the Lincolnshire and north Cambridgeshire region into a global innovation centre for agricultural technology.
“The team at the Greater Lincolnshire LEP has worked hard over a number of months to secure one of only eight Innovation Launchpads in the country for the Lincolnshire food and agritech sectors.
“Both announcements put us firmly on course to achieve the ambitious goal of the new UK Food Valley, which is to establish Greater Lincolnshire as a top 10 global food cluster.”
To be eligible, projects must make a significant contribution to one or more of the following:
- enhancing the productivity of primary crops, the bioeconomy, livestock, aquaculture or ornamental plants
- biotechnologies related to agriculture, food and nutrition
- food that promotes safe, healthy and nutritious diets
- resource-efficient production methods for low-emission foods
- sustainability in the context of environmental challenges such as climate change and resource scarcity
- protecting, maintaining or enhancing animal welfare within current UK regulatory standard
- nutritional composition, food manufacturing and processing, packaging, and safety
- minimising negative effects such as pollution, food loss and waste
- resilience and responsiveness in the supply chain, mitigating risks, interruptions or disruptions
Bingley business park bought in off-market deal
Bradford developer Frank Marshall Estates has bought Cottingley Business Park, near Bingley, in an off-market deal for an undisclosed sum.
The 78,000 sq ft office park has been acquired from West Yorkshire property management and development company Cox22.
Frank Marshall Estates is owned and run by Edward and Jimmy Marshall and is a well-established real estate company with significant commercial assets in Yorkshire.
Edward Marshall said: “This is a stunning business park, brilliantly located at the end of the Bingley bypass (A650) in Cottingley, Bingley. It is only 15 minutes from Bradford city centre and 30 minutes from Leeds, with excellent public transport links between both cities and the surrounding areas as well.
“We are very pleased to buy this quality asset and to further strengthen our Bradford portfolio of offices. Personally, I have known about the Jaggar family, who own Cox22, for many years and have always thought they were good operators. Having got to know them during this deal, my initial thoughts have been confirmed.
“We are very excited to take this site forward and only hope we can do as good a job as Cox22 have done. It’s always good to do a deal with a handshake and then take it to completion with both sides honouring the deal as agreed.”
Jimmy Marshall explained: “We bought Cottingley Business Park because of its location and quality. The chance to buy such a quality asset arose because of the retirement of Donald Jaggar. One of the keys to successful property investing is being able to take the opportunities that come up when they come up, with a combination of risk tolerance, patience and speed.”
There are 45-plus tenants on the park including: Ramsey Health, Mineral Planning Group, Watson Buckle Accountants, Nevis Computers and Advancery.
Jimmy Marshall added: “The park is in great condition. All we are going to do is some re-signing and re-branding with a view bringing the park in line with the Frank Marshall Estates brands.”
Louise Leckenby, who owned Cottingley Business Park with her father Donald Jaggar, said: “The Marshall brothers have been a delight to deal with, straight-talking, uncomplicated and honourable. Whilst selling the Business Park was by no means an easy decision for either my father Donald or myself, having been a huge part of our lives for 25 years, we feel comfortable and confident that it is now in very capable and much younger hands to carry it forward into the future. We wish them all the best.”
Donald Jaggar added: “Although we had a number of enquiries for our Business Park, they were from the south of England, mainly in the London area. Many of our tenants have been with us from the outset of building the park 25 years ago and they became not just tenants but friends as well and we didn’t want to let them down. So, when the enquiry came from a local Bradford firm, we were pleased to talk to them and a deal was struck at our first meeting. The handover will be seamless.”
Frank Marshall Estates were advised by Drew Abercrombie at Handlesbanken in Bradford and by Simon Mydlowski and Sean Meehan of Clarion Solicitors
Cox 22 were represented by lawyers Schofield Sweeney and Eddisons.
Edward Marshall concluded: “I would like to thank Donald Jaggar and Louise Leckenby of Cox 22 for allowing us the opportunity to buy this great asset and to take it forward for the next few decades. We will safeguard and build on what they have achieved.”
Yorkshire Water builds underground reservoir between Malton and York
In May 2025 Yorkshire Water expects to have completed an £8.5m service reservoir in Harton, between Malton and York, to increase resilience of the drinking water network in the area and improve supplies locally.
It will supply drinking water to existing customers and provide capacity in the area for new developments, including a new prison which is due to open next year.
Once completed, the underground reservoir, which will measure 40mx60m and be six metres underground, will hold almost 10 million litres of clean drinking water – the equivalent to four Olympic swimming pools.
Phoebe Ripley, project manager for operations, at Yorkshire Water said: “This new reservoir will help to significantly increase the resilience of our water network in the area, improving supplies locally.
“We understand the area will be undergoing a lot of changes over the next few years, and we’re keen to ensure that we’re ready to cope with the demand and provide a reliable service to all our customers both now and in the future.
“We’re planning to complete this project by May 2025.”
Caddick completes £14.4m warehouse facility in Doncaster
Caddick Construction has completed building work for a new £14.4m warehouse facility in Doncaster on behalf of Waystone Hargreaves Land.
Caddick’s build comprised the initial groundworks, including stabilisation, vibro piling and lifting of the site level by 1.5m. The project itself saw the construction of a steel portal framed and clad industrial warehouse building.
Totalling 191,000 sq ft, the build also included 9,300 sq ft office space over ground and first floors, together with associated service yard, car parking, landscaping and drainage infrastructure.
Forming part of a wider regeneration plan, Unit B sits within the dedicated employment area of the Unity Connect scheme, strategically located adjacent to junction 5 of the M18 motorway.
Achieving BREEAM Very Good, the scheme represents a huge investment by Waystone Hargreaves Land to regenerate the area, contributing to Doncaster’s growing business community.
Paul Dodsworth, Managing Director at Caddick Construction Group, says: “This has been a brilliant development working with Waystone Hargreaves Land to transform this unused site into what will become a widely connected industrial corner of Doncaster.
“Delivering Unit B at Unity Connect is a great privilege for the Caddick team, and has provided us the opportunity to utilise our extensive expertise in building high quality and modern warehouses.
“We look forward to seeing how this project will help to shape the local community as it attracts new and growing businesses hoping to strengthen their operations at Unity Connect.”
Lincoln tech business makes acquisition as part of growth strategy
Bluecube Cloud Services Limited has acquired Techbox Managed IT Services Limited as part of its business growth strategy as it evolves from a communications provider to MSP (managed service provider).
Bluecube was founded 15 years ago, initially to provide mobile phone services for business, as well as broadband and telephony. The communications side of the business evolved and Bluecube became a key provider of hosted telephony, unified communications, mobile and internet connectivity services.
Last year the business entered into the IT sector and the acquisition of Techbox Managed IT Services adds momentum to this growth.
In a statement on the acquisition, Managing Director Paul Reames said: “We are absolutely thrilled to welcome the Techbox team and a diverse base of business and education sector clients to add to our growing customer base.
“The merging of the Techbox and Bluecube skill sets demonstrates our commitment to bringing further new talent into the business as we strive to become a leading MSP.”
Techbox was founded in 2018 by Andy Fellows, who becomes Head of IT Services at Bluecube as part of the acquisition deal. Andy and his team have more than 20 years of experience in the IT industry supporting clients in the education and SMB sectors.
As part of the acquisition Bluecube has taken new and larger offices in Lincoln to make room for the new team.
Two join board of HEY Smile Foundation charity
KCOM’s Chief People Officer Kenneth Ross has joined the board of leading local charity HEY Smile Foundation and will serve on the charity’s Board of Trustees alongside another new appointee, Catherine Sykes, Director of Governance at Hull College.
Kenneth said: “In my role as Chief People Officer at KCOM I’ve been proud to work with HEY Smile Foundation on a number of community initiatives and I’m delighted to be able to further strengthen the long-standing partnership between our organisations by becoming a trustee.
“Initiatives such as KCOM’s Digital Inclusion Grants, which we’re running in partnership with Smile, show what a huge difference organisations such as ours can make when we work together and I can’t wait to get started as a trustee to help deliver more schemes to improve lives in communities across Hull and the East Riding.”
Other projects KCOM and HEY Smile Foundation has worked together on include the Time2Volunteer portal which provides volunteering opportunities for KCOM employees in the local area. Last year KCOM employees donated more than 1,000 volunteer hours to community projects in Hull, East Yorkshire and North Lincolnshire.
HEY Smile Foundation’s CEO, Jamie Lewis, said: “We are delighted to welcome our new trustees Catherine and Kenneth to the board here at the HEY Smile Foundation. We are excited to work alongside these prominent figures from within the city, tapping into their wealth of knowledge and expertise. Attracting talented trustees is always a challenge for most charities. I know we are extremely lucky to work alongside Catherine and Kenneth, especially as our foundation evolves to focus on the needs of our local communities.”
Patricia Dalby, Chair of Trustees, added: “A warm welcome to Catherine and Kenneth as they join our team of trustees at the HEY Smile Foundation. We are grateful for the extensive skills and expertise that they will both bring and the passion that they have for the important work of Smile.”
2 Sisters Food Group CFO to step down in July
2 Sisters Food Group’s CFO Craig Tomkinson has decided to step down from his role and will be leaving the business in July.
Craig has held the position of Group CFO and Board Director for almost six years, working in total for the company for over a decade, and has decided on a career break before taking on new opportunities.
He will be officially handing over responsibilities at the start of April to new CFO Nigel Williams, after Nigel’s full induction in March. Craig will then focus on key projects from April until his official departure date later in the year, reporting as normal to Chairman Richard Pennycook.
Nigel is a highly-experienced CFO with more than 20 years leading multi-site food and beverage retailers. Having relocated back to the UK last year, Nigel spent the previous eight years in Australia as Chief Financial Officer at global business Collins Foods Ltd. Prior to his role at Collins, Nigel was Finance Director for Starbucks UK.
Craig said: “I believe now’s the right moment for a career break. I will take on fresh challenges after a period of recharging my batteries with my family.
“I have had an incredible journey at 2 Sisters and I’m proud to have played a role in transforming the company. The priorities when I re-joined were to improve trading performance, reduce debt and the pension deficit, strengthen financial controls and rebuild the finance team, and I’m proud of the progress made.”
Richard Pennycook added: “On behalf of the Board, we would like to thank Craig for his significant contribution over the years and his considerable talents in helping transform 2 Sisters for the better. Craig has played a critical role in helping us to overcome some tough external challenges in recent years and setting us up for future success. We wish him and his family all the very best.
“We would also like to welcome Nigel to the Board. He has a first-class track record in financial leadership roles and we look forward to working with him in taking the business forward to the next stage of its evolution.”
Builder gets suspended sentence and fine for illegal waste dumping
A builder caught on camera dumping and illegally storing construction waste in a rat-infested bin yard has been hit with a fine and suspended prison sentence.
Magistrates in Leeds heard that David Dixon, of Nansen Grove, Bramley, was filmed by an eagle-eyed neighbour who’d become fed up with the mess and nuisance being created.
After the footage was passed to Leeds City Council’s serious environmental crime team, they identified Dixon’s vehicle before tracing him and prosecuting him.
The court heard that Dixon, who’d been convicted of fly tipping in 2010, failed to co-operate with the investigation and didn’t attend court on several occasions. He was finally arrested by West Yorkshire Police and appeared in Leeds Magistrates Court on 28 February.
As a result, he was sentenced to six weeks imprisonment suspended for six months. Due to having outstanding court fines he was also ordered to pay £145 in costs and a victim surcharge of £154.
During the investigation it was found that Dixon didn’t hold a waste carrier licence to transport waste as part of his business. The bin yard used to dump and store the waste was also infested with rats.
As part of his defence Dixon stated that the bin yard was owned by his sister, and he was allowed to dump waste in there. However, council environmental enforcement officers found not only that it wasn’t his sister’s but also that there was no environmental permit or exemption allowing the depositing and storage of waste there.
Councillor Mohammed Rafique, Leeds City Council’s executive member for climate, energy, environment and green space, said: “I’m proud of the work Leeds is doing to combat fly tipping in our city and grateful to those residents who are playing their part, whether that is making sure that they check who takes their waste away or providing important information to help us track and convict fly tippers.
“We have a zero-tolerance approach to environmental crime and I hope this particular prosecution is a warning to anyone thinking about fly tipping their business waste.
“We know that most people want to dispose of their waste correctly, and we will soon be formally launching an innovative accreditation scheme for Leeds to help residents find someone trusted.”
Council extends free Wi-Fi to make running businesses easier outdoors
Market traders and cafes and pubs with outdoor spaces will be able to connect to free Wi-Fi more effectively thanks to East Riding of Yorkshire Council providing internet access in key outdoor areas of Bridlington, Goole, Hornsea, Withernsea, Beverley, Pocklington, Hedon, and Howden.
Lisa Gray, who runs The Little Cheese Pantry at Beverley’s Saturday Market, said: “For a while now, there have been signal problems in the centre of Beverley, which has meant many of the traders have struggled to use their card machines.
“This is frustrating for not only the traders but the customers too. I think the installation of the East Riding of Yorkshire Council Wi-Fi will hugely impact the service our traders can offer customers, and potentially increase sales.”
Public Wi-Fi has proved popular since being installed in the new outdoor areas, with an average of 1,478 connections per day.
Users should simply connect to the “EastRidingFreeWiFi” network and provide their email address. They will then be directed to a Visit East Yorkshire page full of information relevant to the town they are in.
Councillor Charlie Dewhirst, deputy leader of the council, said: “Access to digital services is an essential part of our lives, and we all know how frustrating it can be when mobile data is not available when we’re out and about.
“By providing free public Wi-Fi, as part of our wider Smart County programme, we hope to improve the way businesses, residents, and visitors access digital services in our town centres, marketplaces and beachfronts.”
