Hull City and East Riding of Yorkshire Council leaders welcome devolution deal sign off
Cllr Mike Ross and Cllr Anne Handley, leaders of Hull City Council and East Riding of Yorkshire Council, have welcomed the news that creation of Hull and East Yorkshire’s Mayoral Combined Authority has been signed off by the government.
The agreement means that Hull and East Yorkshire’s devolution deal will progress through the next steps towards a mayoral election in May 2025.
The deal will give local leaders the power to make decisions in areas such as transport, adult education, and housing, boosting economic growth and opportunity.
The announcement was made by Jim McMahon, Minister of State for Local Government and English Devolution, who, in his letter confirming agreement to the deal, recognised the work that is being done to grow relationships between Hull and the East Riding and Greater Lincolnshire, which has also had its devolution deal accepted.
Cllr Ross said: “After years of being left out in the cold on devolution, the people of Hull and East Riding can now get the fair deal they deserve.
“This is a big step forward in unlocking huge investment into the city, achieved by the two local councils working together.
“This devolution deal was backed by residents and businesses right across our communities. I look forward to seeing it becoming a reality, including the mayoral election next May.”
Cllr Handley added: “We’re delighted that the Hull and East Yorkshire devolution deal has been approved.
“This will be a fantastic opportunity to unlock investment for the region and improve strategic collaboration between Hull and East Yorkshire council areas.
“The mayoralty will provide a strong voice for the East Yorkshire region and support communities and local businesses.”
Thomas Martin, chairman of the Hull and East Riding Business Engagement Board, said: “Finally, the breakthrough that we in this region have been working towards for more than seven years.
“The politics and the economics have come together at last to create an exciting future for our region.
“I commend both local authority leaders for their courage and determination to make this happen, and I believe that investors will see our region fully open for business.
“This is another significant step on our journey towards economic regeneration, and I look forward to further progress on multiple fronts.”
MPs open new facility at CATCH on the south bank
MPs Melanie Onn and Martin Vickers have opened the new facility at CATCH’s Skills and Apprenticeships Centre.
Backed by £1.5m from sponsors in the region, the facility is said to represent a significant milestone in CATCH’s commitment to fostering the green skills needed for the energy transition whilst helping to deliver economic growth locally in the Humber, Lincolnshire and Yorkshire regions.
Melanie Onn said: “Investment in green initiatives like this is vital as we work to grow North East Lincolnshire’s economy. It’s great to see so many businesses putting funding into our area, and I look forward to seeing how things progress as the Humber Skills Plan unfolds.
“This new facility is really exciting in particular. It will provide so many new opportunities for young people across the region, helping to get more of them into STEM careers.”
Sponsors in the region included Viking CCS members Phillips 66 Limited, Harbour Energy, Drax and ABP together with Air Products, Uniper, the ECITB and Humber Freeport.
CATCH is poised to play a pivotal role in steering more young individuals towards STEM careers, as part of the broader Humber Skills Plan to increase training output by tenfold by 2029. This latest funding initiative has had a substantial impact on its facility:
- More than doubling the entry capacity, CATCH will increase its intake from 100 to approximately 220 apprentices.
- Tripling the welding and grinding bay capacity to 80 bays, which have been identified as critical skill gaps needed to power the UK’s energy transition.
- The facility has already welcomed a new cohort of apprentices this September 2024.
Leeds City Council sets out scale of financial challenges
Leeds City Council has published an update on its five-year medium term financial strategy, outlining the severe difficulties it faces to deliver balanced budgets in the face of the continued need to make significant savings.
The report, discussed at the council’s executive board meeting, explains how the council needs to find £273.7million in further savings over the next five financial years.
Leeds and all councils across the country are facing extreme financial challenges as a result of significantly increased costs to provide services and rising demand, especially for vulnerable young people and adults.
This is being seen in supporting looked after children, especially the most vulnerable with high levels of need requiring costly external placements, as well as for adult social care with increases in demand for older people, adults with learning difficulties and those needing support with mental health.
The need to find further significant savings in the coming years follows on from the council having had to deliver savings totalling £794.1million from 2010 to the end of the current 2024/25 financial year.
Commenting on the report and the ongoing position facing local authorities, Leeds City Council Deputy Leader and executive member for resources Councillor Debra Coupar said: “It is not an overstatement to say that this is the most challenging financial period so far facing local authorities, following on from more than a decade of needing to make major savings year on year.
“Over the last four years alone six councils have issued section 114 notices, in effect declaring that they cannot achieve a balanced budget, and a survey from the Local Government Association at the end of last year indicated that as many as one in five thought it was likely or very likely that they would have to do the same before the end of the next financial year.
“Following fifteen years of sustained reductions in local government funding, we are now reaching a stage where councils simply cannot continue to balance their budgets in the face of escalating demand for some of the most costly services for our most vulnerable adults and children.
“In Leeds the reductions equate to a real-terms decrease in funding of £465.9m or 70 per cent over those fifteen years. Whilst we’ve made significant savings already of £730.2million, including reducing the council’s workforce by nearly a fifth, we need to find a further £63.9million of savings this year and then in addition to that over £273million more across the next five years. It is an incredibly difficult situation.”
The medium term financial strategy outlines further savings totalling £273.7million needed across the next five financial years. The pressures of £63.9m for this year alone equate to 10% of the council’s annual net revenue budget.
The annual breakdown for those five following years is: £106.7m in 2025/26, £45.7m in 2026/27, £42.1m in 2027/28, £37.3m in 2028/29 and £41.9m in 2029/30.
All council assets and services are being continuously assessed and reviewed to see how they can help mitigate the financial position. The council will also continue its current freeze on recruitment, as well as on non-essential spending except where necessary for health and safety or statutory reasons.
Council tax in Leeds remains the second-lowest of the eight core cities in England, with an increase of 4.98 per cent (including 1.99 per cent dedicated to adult social care) in this financial year.
Whilst funding from council tax and business rates in recent years has increased, these have been outweighed by reductions in funding from the government grant alongside increases in pay, service delivery prices, the impact of the cost of living and demand pressures.
Siemens launches internship for students with learning disabilities
Working with Selby College, Siemens Mobility has launched an internship scheme at its Goole Rail Village to provide supported work opportunities for young people between the ages of 18 – 24 with learning disabilities.
They’ll gain valuable work experience alongside education, and six candidates have started at Siemens Mobility’s Goole Rail Village, where they will rotate through work placements alongside their college courses.
CEO of Siemens Mobility, Sambit Banerjee, said: “We are thrilled to announce the launch of the DFN project SEARCH supported internship scheme, which builds upon our commitment to fostering a culture of inclusivity at Siemens Mobility.
“Our goal is to equip participants with essential skills and confidence needed to thrive in the workforce. We understand the challenges these individuals face in accessing employment opportunities, which is why we are committed to providing equal opportunities and support, enabling everyone to feel like they belong at Siemens Mobility.”
“We are excited to welcome the six successful candidates to the Siemens Mobility Goole Rail Village and look forward to witnessing the positive impact this program will have on their lives.”
The supported internship scheme is tailored to equip participants with the essential skills and confidence needed to thrive in the workforce. Working with a job coach and a tutor, the individuals will have access to specialised training and hands-on practical experience across various areas of the Rail Village. Placements will rotate through the Components Facility which services rail gearboxes and motors, the warehouse, office and administration, and security and facilities maintenance.
Kirsty Matthews, Chief Executive of DFN Project SEARCH, said: “Each new group of talented individuals brings with them a unique set of skills and perspectives, which not only enriches their own lives but also the workplaces they join. At DFN Project SEARCH, opportunity and inclusion is at the heart of all our work. I am confident that these interns will leave a lasting positive impact on their organisations and community while gaining the essential skills to build brighter futures for themselves.”
Siemens Mobility is currently investing up to £200 million in a rail village in Goole, creating up to 700 skilled jobs, as well as a further 1,700 supply chain roles. This includes 11 apprentices at Goole, with 25 more arriving this month.
Finance Yorkshire appoints new board chair
Finance Yorkshire has appointed Nigel Ward as its new chair.
Ward succeeds James Newman OBE who has been chair of Finance Yorkshire since its creation in 2009. Ward joined Finance Yorkshire as a non-executive director in 2021. He was a partner at PWC and spent more than 30 years advising companies across a range of industry sectors.
Ward will oversee investment from Finance Yorkshire’s new fund which is expected to provide more than £50m to SMEs across Yorkshire and Humber over five years. This fund was created using the legacy from Finance Yorkshire’s previous investment support to regional businesses through its Jeremie Fund.
Newman was the founding chair of both the Sheffield City Region and Hull and East Riding LEPs and has held many other prestigious and influential roles nationally and in Yorkshire in the business, academic and charity sectors. He was Master Cutler in 2009 and was awarded an OBE for services to business, the economy and charity in Yorkshire in 2017.
During his time as chair of Finance Yorkshire, Newman oversaw the successful delivery of its original Jeremie Fund and an Extension Fund which saw £113 million invested in over 500 companies in Yorkshire and Humber.
The investments created and safeguarded more than 16,000 jobs, enabling businesses to increase their turnover by a total of £474m and attract a further £374m from private sector sources. Utilising the legacy from this fund, Newman negotiated the development of the new evergreen fund which will allow Finance Yorkshire to continue to invest in the region for many years to come.
Newman said: “I have very much enjoyed my time as Finance Yorkshire chair, overseeing the growth of the brand and delivery of investments which have made a real difference to individual businesses and the wider economic health of the Yorkshire and Humber region.
“It has been a privilege to lead such a committed board and I look forward to witnessing Finance Yorkshire’s continued success with Nigel at the helm.”
Ward said: “I am very pleased to be taking on the role of Finance Yorkshire chair. Finance Yorkshire has a formidable reputation for supporting the region’s SME community led by the board who will continue to steer the organisation as we deliver further investments for the benefit of businesses.”
Alex McWhirter, Chief Executive of Finance Yorkshire, said: “James has led the company since it was established in 2009 and has been pivotal in the successful delivery of our previous investment funds and its key objectives to deliver jobs and business growth across Yorkshire and Humber. His chairmanship has not only delivered a legacy we are proud of but the returns on our investments which are enabling us to continue to support SMEs.”
McWhirter added: “Since joining the board, Nigel has provided strong direction for Finance Yorkshire’s investment activities. I look forward to working with Nigel to ensure that Finance Yorkshire continues to invest in SMEs that will make a difference and deliver a positive benefit to the regional economy in the future.”
LEP Chair welcomes devolution announcement
The man leading the Greater Lincolnshire LEP has announced his support for the devolution deal for Greater Lincolnshire.
Professor Neal Juster said: “The deal will move decision making and funding from Westminster to Greater Lincolnshire, which can only be a good thing for our economy.
“In the long term it will bring around £4bn of extra funding to Greater Lincolnshire and, just as importantly, it will give our area a stronger voice and better access to the levers that drive our economy such as transport, jobs, housing and skills. This should lead to improved outcomes and greater prosperity for us all.
“It will bring about new investments in infrastructure and skills to turbocharge business growth, tackle low productivity, protect our environment and unlock high-quality housing.
“The extensive consultation carried out showed that most businesses support devolution, recognising that it has the potential to bring more power, more money and more say over public sector funding. It is essential that we retain a strong Lincolnshire business voice at the heart of the devolution deal.
“We look forward to working with the government and closely with partners to put the new arrangements in place.”
Lupton Fawcett expands leadership team with new partner
Yorkshire law firm Lupton Fawcett has appointed a new partner to help advance its commercial offering.
Julie Evans will take a lead role in the firm’s Commercial Property team.
Her role will involve all areas of expertise relating to commercial real estate including acting on behalf of SMEs and individuals on landlord and tenant matters.
She said: “I’m looking forward to playing a key role in the supervision of junior members of the department as well as working with the leadership team to grow the Commercial Property department.
“Prior to joining the firm I was invited to spend time with the team so that we could get to know each other before my official start date – I think this was such a positive approach and a really warm welcome to Lupton Fawcett.”
Julie, who has more than 20 years’ experience and previously worked at Clarion, will be based at Lupton Fawcett’s Leeds office.
James Richardson, managing partner at Lupton Fawcett, said: “We are really pleased to welcome Julie to the Lupton Fawcett team. She has a broad breadth of experience and has a proven track record in all aspects of Commercial Property.
“Having someone with her knowledge and capabilities joining the team is a tremendous boost in taking the Commercial Property department to the next level. Her no nonsense approach to serving our clients without compromise perfectly complements the Lupton Fawcett ethos.”
Period property transformed from offices into homes fully let within two weeks
A brand-new apartment development in Leeds city centre, consisting of nine, one and two bedroom rental homes, has been let within just two weeks of being brought to the market by Zenko Properties. The city living agency fought off stiff competition to win the contract.
The former office building has been redeveloped by Yorkshire property specialists, Blackshaw Holdings, with a new build zinc clad extension added to Somers Street and the conversion of an original townhouse on Park Square West.
The development now offers a selection of individual apartments. Furniture, appliances and interior design services have been supplied by Leeds-based firm, Kit It Out.
Tobias Duczenko, Managing Director at Zenko Properties, said: “We competed against several other Leeds lettings agents to win this instruction, but we knew it would be a great fit for our portfolio, which already includes a good selection of small-scale but very high-quality schemes in sought after parts of the city.
“This development definitely fits into this mould. It’s very close to Leeds Town Hall and The Headrow, but still enjoys a quiet location overlooking the green and tranquil surroundings of Park Square, with some of the city’s best independent cafes and eateries on the doorstep.
“As a result, we were able to quickly generate interest in the development and let all of the apartments. The city centre rental market continues to go from strength to strength and it is unusual to be able to offer a small, purpose-built scheme of this quality in such a great location.”
Sam Taylor, from Blackshaw Holdings, said: “We invested significant sums in transforming this period property on Park Square from offices into homes, and we are very pleased to have worked with Zenko Properties and appreciate their proactive approach to marketing our development.”
Construction confidence tempered by funding and skills concerns, finds report
Confidence in the Yorkshire & Humber construction sector is tempered by funding and skills concerns, according to the latest Construction Market Intelligence from Yorkshire-based construction and property management consultant Rider Levett Bucknall.
Major developments including Sheffield Policy Campus and West Yorkshire Mass Transit are driving demand across a range of sectors and underpinning confidence in the region’s medium to long-term outlook.
Placemaking is now more prevalent in development opportunities in the region with the new emphasis on living and working within city centres. The demand for flexible, high-quality commercial spaces is still strong as hybrid working remains the norm.
The region’s confidence is being tempered by budget constraints across the public sector and the lack of clarity over the new government’s spending priorities. Labour shortages have continued to add pressure to wage inflation and construction costs, affecting project viability.
Contractors are cautious and their reluctance to take on uncertain commercial risk is a key feature of contract negotiations. This is both slowing progress and further inflating construction costs across the supply chain as contractors strive to maintain a reduced risk profile, says the company.
There has been minimal change in overall pricing levels since the last quarter with the general election dampening new opportunities, and material inflation having settled and reduced in areas. The key challenge remains the labour shortage and the impact this continues to have on labour price inflation.
There is cautious optimism among contractors over their future pipeline of work, but the long-term outlook on tender prices is hard to call until there is clarity on the spending priorities of the new government and given the backdrop of economic uncertainty.
- Steel prices continue to fall while other commodities remain relatively stable, which is reflected in the mixed picture we are seeing.in material prices.
- Material prices have fallen slightly overall with the biggest drops in plywood and reinforcement bar. Metal doors and windows have continued to increase in price.
- Due to the skills shortage in construction, labour prices continue to increase generally adding further pressure to the viability of projects. Facade contractors are in particular high demand.
Business chosen to build Sea Road building in Cleethorpes
JemBuild Ltd, based in Humberston, have won the contract to build the iconic Sea Road building in Cleethorpes.
Committed to using local companies where possible, JemBuild have already been working with North East Lincolnshire Council on the retaining wall works behind the old beach safety offices. Once this has been completed, work will start on the main building.
A new three-storey building will be constructed on the brownfield site on Sea Road, comprising retail or hospitality space, as well as new public amenities and a changing places facility. Work is ongoing to secure the pre-let agreement for the hospitality provider, which will be announced in due course.
Paul Barker, Managing Director of JemBuild, said: “I am delighted to have secured this fabulous contract with North East Lincolnshire Council and look forward to working with NELC along with our construction partners, Hodson Architects and C2C Structural along with our local suppliers on this exciting project that will undoubtedly cement its place on the local landscape to become as iconic as its sister building, the prominent Pier.”
Cllr Philip Jackson, Leader of the council, said: “This is great news for the area and it’s good to see things moving forwards. The Cleethorpes Masterplan, carried out by renowned consultants, Hemingway Design, has helped us create a vision for the future of the resort, based on what people who took the time to respond to the Masterplan want to see. And hundreds of people have been having their say about the future designs for Pier Gardens and Market Place in the last few weeks too.”
Interrupted by COVID, the three-storey Sea Road building was granted planning permission in 2020, and promises to offer new high quality outside space, with public viewing areas as well as balconies. The first floor of the building will be accessible from Pier Gardens, giving a gracious nod back to how the pier was accessed when it was first constructed.
Other elements of the building hark back to the Art Deco seaside style and the buildings constructed around the resort at that time, such as the small retail kiosks on Central Prom, and the former Electricity Board showroom on Isaac’s Hill.
Work to deliver the three key schemes in Cleethorpes, the Sea Road building, Pier Gardens and Market Place, along with a small amount for signage, is being funded by HM Government.
