Cloud hosting specialist ramps up growth plans following acquisition by private equity firm
Manufacturing output contracts in the quarter to March
- Output volumes fell in the three months to March at a steeper pace than last month (weighted balance of -18%, from -12% in the quarter to February). Manufacturers expect output volumes will be broadly unchanged in the three months to June (-2%).
- Output decreased in 14 out of 17 sub-sectors in the three months to March, with the decline driven by the glass & ceramics, building materials and electrical goods sub-sectors.
- Total order books were reported as below “normal” in March (-29% from -28%). The level of order books remained far below the long-run average (-13%).
- Export order books were reported as below “normal” but improved relative to last month (-29% from -36%). This was still below the long-run average (-18%).
- Expectations for average selling price inflation were broadly unchanged in March (+22% from +19% in February). Expectations remain above the long-run average (+7%)
- Stocks of finished goods were reported as more than “adequate” in March (+16% from +4% in February), with stock adequacy now standing above the long-run average (+12%).
Arriva seeks approval for expanded rail services in Yorkshire and the Humber
Arriva Group has submitted an open access application to the Office of Rail and Road (ORR) to introduce direct rail services between Cleethorpes, Grimsby, and London. The plan would extend Grand Central’s open access route to Doncaster, addressing a 30-year gap in direct rail links from Cleethorpes to the capital.
The service will add four daily return journeys if approved, providing 775,000 additional seats annually. A Greater Lincolnshire Local Enterprise Partnership study estimates the Cleethorpes-London connection could generate up to £30.1 million per year for the regional economy.
Arriva’s open access model aims to improve connectivity without government funding by using underutilised network capacity. The company has also applied for additional Bradford-London and York-London services and is seeking to extend its track access rights until 2038. Arriva is the only UK rail operator managing national rail contracts, concessionary services, and open access routes.
Businesses in York and North Yorkshire cut jobs ahead of National Insurance hike
According to Sir Alec Shelbrooke, MP for Wetherby and Easingwold, small businesses in York and North Yorkshire are already reducing staff and freezing recruitment in response to rising employer National Insurance (NI) contributions.
From April, employer NI contributions will increase from 13.8% to 15%, while the threshold for employee salaries subject to the tax will drop from £9,100 to £5,000. Public sector organisations will receive grants to offset the cost, but businesses will bear the full impact.
Shelbrooke warned that many small businesses have acted preemptively, making redundancies or halting hiring plans to manage the additional costs. Larger firms in York, Harrogate, and Leeds are freezing pay for senior roles to cover higher wages for lower-paid staff on the National Living Wage.
He also raised concerns about removing Agricultural Property Relief from inheritance tax, which could force multi-generational farming families to reconsider their operations, impacting local food supply chains and rural economies.
This week, the issue will be discussed at North Yorkshire Council’s Thirsk and Malton area committee.
Lincolnshire solar farm approved despite land use concerns
A new 28MW solar farm near Bourne, Lincolnshire, has received approval from South Kesteven District Council. The project at Home Farm, Dyke Drove, will operate for 40 years and generate enough electricity to power 13,661 homes annually, reducing carbon emissions by 8,200 tonnes per year.
Landowner William Ash stated that the development will cover 6% of his landholding, with the rest remaining in food production. He emphasised the need for diversification due to financial pressures in the farming sector.
Developer Enray Power Ltd assured that construction will be brief, with minimal HGV traffic and no routes through Dyke. Once operational, the site will be unmanned except for maintenance visits.
Councillor Zoe Lane opposed the plan, highlighting that the land is among the most productive for agriculture. She warned that a 40-year energy project could lead to permanent industrial land use.
Lincolnshire County Councillor Sue Woolley noted two formal complaints from residents but acknowledged the landowner’s right to manage his property. She stated that any disruption from construction would be temporary.
Legal challenge halts landlord licensing scheme in Scunthorpe
A legal challenge has delayed the rollout of North Lincolnshire Council’s selective licensing scheme for private landlords in parts of Scunthorpe.
The scheme, approved in September 2023, was set to take effect on 20 March 2024. It required landlords in Crosby, Park, and Town Wards to obtain a licence, costing £955 for five years, and comply with regulations on safety measures and anti-social behaviour management.
The Crosby Landlords’ Association has filed for a judicial review, questioning whether the council followed proper procedures in approving the scheme. As a result, the council has suspended applications and will provide further updates on its website.
The delay leaves uncertainty for landlords and tenants, as the scheme aimed to improve housing standards. North Lincolnshire Council has yet to comment on the challenge.
£400m digital and film hub planned for Doncaster Waterfront
City of Doncaster Council is working with a developer on a £400 million transformation of the Doncaster Waterfront, aiming to establish a digital and creative hub. The proposed “Digital Cluster” includes a digital arena, film studio, hotel, multistorey car park, and around 300 residential units, including senior living accommodation.
The project is part of Doncaster’s 25-year City Centre Strategy, which the council recently approved. The development is expected to attract investment, create jobs, and support Doncaster’s goal of becoming a centre for digital technology. Remediation work on the brownfield site is already underway, funded by the UK Government and South Yorkshire Mayoral Combined Authority (SYMCA).
Sheffield and UK universities drive start-up surge and job growth
The number of start-ups launched with university support has risen sharply over the past decade, with higher education institutions playing an increasing role in business incubation and entrepreneurship training.
Data from the Higher Education Statistics Agency (HESA) shows a 70% increase in university-backed start-ups between 2014-15 and 2022-23, averaging more than 4,300 new businesses annually. A total of 38,750 companies have been established through university support since 2014.
Financially, student start-up turnover across the sector has surged by over 750% in the past decade, reaching nearly £5 billion. External investment in these ventures has also grown significantly, rising from £303 million to £1.35 billion—an increase of almost 350%.
These start-ups contribute to job creation, employing 64,384 people in 2022-23—up 177% over the past decade. With continued growth, Universities UK (UUK) estimates that around 27,000 new start-ups could be established through university support over the next three years.
Universities facilitate this growth through business mentorship, workspace provision, investor connections, and networking events. Three-quarters of UK institutions now offer enterprise-focused modules to equip students with entrepreneurial skills.
Universities UK has launched the “Unis Start Up the UK” initiative to highlight the role of university-supported businesses in economic development. Case studies include Bullion, a Sheffield-based bean-to-bar chocolate company founded by a Sheffield Hallam University graduate with the university’s enterprise team’s backing.
Ripple Energy faces collapse, putting 20,000 customers at risk
Ripple Energy has filed a notice to appoint administrators, raising concerns for its 20,000 customers. The company, which allows customers to co-own wind and solar projects to lower energy costs, is working with Begbies Traynor on restructuring.
Founded in 2017 by CEO Sarah Merrick, Ripple Energy secured a £21.8 million loan from Virgin Money last year to develop the 42MW Derril Water Solar Park in Devon. The project also received £20 million from institutional investors and is scheduled to be operational by 2025.
Ripple’s financial difficulties highlight alternative energy firms’ challenges despite growing demand for renewable solutions. The UK government and industry stakeholders are monitoring the situation as concerns mount over the stability of small-scale renewable energy providers.