Yorkshire business confidence amongst highest in UK
Business confidence in Yorkshire fell two points during November to 50%, according to the latest Business Barometer from Lloyds Bank Commercial Banking – conducted between 1st-15th November, before the Chancellor’s Autumn Statement announcement on Wednesday 22nd November.
Companies in Yorkshire reported higher confidence in their own business prospects month-on-month, up three points at 49%. When taken alongside their optimism in the economy, down six points to 52%, this gives a headline confidence reading of 50%.
Yorkshire businesses identified their top target areas for growth in the next six months as investing in their teams (44%), introducing new technology (36%) and evolving their offer (33%).
The Business Barometer, which surveys 1,200 businesses monthly, provides early signals about UK economic trends both regionally and nationwide. A net balance of 26% of businesses in the region expect to increase staff levels over the next year, down 15 points on last month.
Overall UK business confidence rose three points in November from 39% to 42%, the third consecutive monthly increase, while firms’ outlook on the overall UK economy increased four points to 38%. Businesses’ optimism in their own trading prospects also continued the upward trend for the second consecutive month, rising three points to 48%.
Companies’ hiring intentions reached their highest level since May 2022, with 35% of firms intending to increase staff levels over the next 12 months, up three points month-on-month.
Firms in London reported the highest level of business confidence, jumping nine points to 56% followed by the North West (54%), Yorkshire and the Humber (50%) and the North East (48%). Companies in the North West reported the biggest uptick in business confidence, increasing 20 points month-on-month to 54%.
Firms in the services industry reported an increase in confidence to 46% (up three points), the highest level for over two years (since September 2021), reflecting broad-based optimism in the sector. Retail confidence also rose for a second month to 42% (up five points), while sentiment among manufacturing firms reached a five-month high of 45% (up nine points) in contrast with recent shortfalls. Construction firms’ confidence improved for the first time in three months to 35% (up four points), but this still lags other sectors.
Steve Harris, regional director for Yorkshire at Lloyds Bank Commercial Banking, said: “It’s interesting to see that businesses in Yorkshire are looking to introduce new technology as they target growth over the next six months. Not only will this help them to introduce more modern working practices, but it can also help unlock profit and have productivity benefits.
“Businesses can also take advantage of the Chancellor’s recent announcement in the Autumn Statement that a 100% upfront tax deduction for UK capital expenditure on plant and machinery is becoming permanent. This makes it a great time for businesses considering significant capital investment to invest into new technologies.”
Hann-Ju Ho, senior economist, Lloyds Bank Commercial Banking, said: “Business confidence rising to a 21-month high shows the resilience of UK companies, as both trading prospects and economic optimism continue to rise.
“It’s encouraging to see signs that wage expectations may be stabilising, even against the backdrop of hiring intentions increasing to an 18-month high. Price indicators in the survey are similarly up, with our data continuing to show that firms are still safeguarding their profit margins in response to past rises in interest rates, wage increase pressures, and the prospect of higher energy prices again this winter.
“Our next survey in December will reveal how firms are digesting the measures announced in the Chancellor’s Autumn Statement last week as they navigate the busy festive season and make plans for 2024.”
Henry Boot Construction start work on Minsthorpe Community College sports facilities
Construction has started on a major new sports facility at Minsthorpe Community College in South Elmsall.
The project is being carried out by Henry Boot Construction and, when finished, it will provide two activity studios, changing rooms, toilets, storage facilities and office space, as well as a 594 m2 main sports hall.
Work got underway this summer to replace the previous sports facilities and is expected to be completed by spring 2025, alongside refurbishment works to several of the existing blocks.
The new sports block is targeting a rating of A+ for energy efficiency (EPC).
During the pre-construction phase, Yorkshire-based Henry Boot Construction has worked closely with the Department for Education (DfE), Niemens Architects and Dudleys Consultant Engineers.
During the turf-cutting ceremony at Minsthorpe, Tony Shaw, Henry Boot Construction Managing Director, said: “It’s great to get started on the construction stages of our work here at Minsthorpe Community College. Since the beginning of the design and planning process, we have had a clear vision of what the final product will look like.
“Projects like this are always incredibly rewarding, providing high-quality facilities to the local community that will greatly benefit them. We are modernising existing spaces so that we can support curriculum activity and greatly enhance the student experience.
“We’re starting to build a strong portfolio in the West Yorkshire area and this project adds to our ever-increasing Department for Education portfolio which began in 2017. We’re proud to be working on this fantastic project.”
Leeds insurance group makes fresh acquisition
Leeds-based Bspoke Insurance Group Ltd (Bspoke Group) has agreed to acquire the personal lines elements of the Police & Forces Mutual businesses, Police Mutual Healthcare (PMHC) and Police Mutual General Insurance (PMGI), from The Royal London Mutual Insurance Society Limited (Royal London).
Bspoke Group, which is backed by private equity investors RCapital Partners LLP & MIG Partners LLP, will acquire 100% of the share capital of the two businesses, subject to regulatory approval.
This is the second acquisition for the specialist insurance MGA group following their buy-out in October 2022, further building the momentum for their organic and inorganic growth strategy within the niche insurance sector.
The transaction will see over 250,000 general insurance policies and c16,000 healthcare policies transfer to Bspoke Group.
Tim Smyth, Bspoke Group CEO, said: “With a 150-year history, PMHC and PMGI are both highly regarded and trusted names within the police and military sectors, and we are thrilled to have secured their purchase.
“This type of specialist product fits perfectly within the Bspoke Group portfolio. It was always our intention to combine organic growth with acquisitions where they have a clear strategic fit to our long term aims.”
Siobhan Barrow, Royal London UK Distribution Director, said: “We are delighted to have reached agreement with Bspoke Group on this transaction on the general insurance and healthcare elements of the Police and Forces Mutual businesses.
“These are not central to our core business of protection, long-term savings and asset management. Customers will be better served by an expert in those GI and Healthcare markets. Central to our considerations has been finding a buyer with the right strategic and cultural fit, and who recognised the heritage of the businesses.”
Tim Smyth added: “It’s a hugely significant deal for Bspoke Group which continues our recent substantial growth in the MGA sector. We are taking on a well-run, highly respected business that enjoys a loyal customer base with very high persistency and an experienced, respected team who really know their customers and appreciate the value of high-quality service.”
The PMGI and PMHC businesses are based in Lichfield and Liverpool. 140 colleagues, including the management team led by Kerry McMahon White, Managing Director, and Phil Hall, Commercial Director, are expected to transfer across to become part of the Bspoke Group under TUPE arrangements in the New Year.
Second £1.2m pilot boat joins the Humber fleet
New pilot vessel, the TRENT, has joined ABP Humber’s fleet at the port of Grimsby.
A £1.2m pilot boat called the Trent has joined the Humber fleet as part of ABP’s replacement programme.
The vessel is the second in class Orc design 171 built by Norfolk-based boat builder Goodchild Marine Services in 2020 to supply nine state-of the-art pilot boats over a five-year period. ABP’s total investment of £9 million is delivering five vessels to serve its Humber ports, three for Southampton and one for Barry in South Wales.
This class of vessel is at the forefront of technology and handling performance. Named by many pilot boat operators throughout the world as the ‘Pilot Boat of Choice’.
Simon Bird, ABP Humber Regional Director, said: “These innovative pilot vessels, designed by Frech naval architect Pantocarene, will be ensuring ABP can deliver its exemplary pilotage service here on the Humber.
In 2021 alone there were in excess of 34,000 ship movements on the estuary, overseen by ABP’s Vessel Tracking Service. 15,000 of these movements were acts of pilotage carried out by ABP’s Humber Pilots.
Over the coming weeks the Trent will be put through its paces by our pilot launch crews as they familiarise themselves with the new vessel.”
Stephen Pierce, General Manager Goodchild Marine Services Limited, said: “Our aim is to deliver the highest quality pilot boats, which provide a safe, comfortable, reliable and efficient vessel. Thus, ensuring the best possible working space for the boat crews, pilots and the maintainers.”
Invited guests, including the TRENT’s sponsor Rt Hon Dame Diana Johnson, Labour MP for Kingston upon Hull North, gathered for the vessel’s naming ceremony at the Port of Hull.
MP Dame Diana Johnson said: “It is a great pleasure to have been asked to be the official sponsor of this impressive looking vessel. I know that over the course of her lifetime as a working pilot launch, she will be providing a vital function in taking pilots out to large ships beyond Spurn Point, so that they can be brought safely into our ports and bring in the goods and supplies that we all need. She will therefore be an essential component part in the role that ABP plays here in the Humber, of keeping Britain trading.”
Government publishes guidance to help firms maximise the benefits of AI
Guidance published today is intended to help all UK businesses to unleash the potential of Artificial Intelligence across their workforce by making sure employees have the skills they need.
The guidance is intended to help employers boost employee understanding of AI so they can use it safely in their day-to-day role, by setting out the key knowledge, skills and behaviours they should have in order to reap the benefits of AI safely – including how to use artificial intelligence tools effectively such as Large Language Models and the safe and secure management of sensitive data.
Minister for AI Viscount Camrose, said: “Making sure workers up and down the country have the skills they need for their jobs with and in AI is a key part of our strategy in making the UK an AI powerhouse and ensuring the skills of our workforce keep pace with this rapidly developing technology.
“This guidance will be vital in helping us realise that ambition, continuing an important conversation with businesses across the UK to make sure the steps they can take are practical, functional, and successful.
“Having a workforce which is equipped to work alongside AI will drive growth for businesses and allow us to realise the enormous opportunities AI presents in every sector of our economy.”
Focused on five key areas, the guidance covers everything from using AI to evaluate the performance of projects through to how to build the skills and techniques needed to solve issues as people work with AI when they crop up. Employees will be helped by employers and training providers to develop a deeper understanding of how their organisation works with AI, how they can further incorporate its use, and in turn what tools they need to tackle a particular task. From admin to accounting and a range of other aspects in a worker’s day-to-day role, the guidance will support employees to propose solutions and build a strong knowledge base to go from strength to strength as they work increasingly with AI.
Given the growing use of AI in businesses across the country, this will serve as a vital tool for employers to ensure their workers can harness the huge potential of the technology to fuel both their own development and that of their organisation. By upskilling workers, businesses will also ramp up productivity and ensure their workforce can focus on the tasks which will make the biggest impact. Having a highly skilled workforce will allow businesses to go from strength to strength, fuelling their success and contributing to the Prime Minister’s priority to grow the economy.
Developed in partnership with the Innovate UK BridgeAI programme and The Alan Turing Institute the guidance marks a first step, with the UK government continuing to work closely with the business community and experts to further develop the guidance and draw concrete actions which can be implemented by businesses across the country – ahead of publishing a final version.
It comes as the Chancellor welcomed Microsoft’s £2.5 billion investment in UK AI over the next 3 years – expanding its next generation AI datacentre infrastructure, which is a vital investment to process, host and store the massive amounts of digital information needed to develop AI models. He will today (Thursday 30 November) visit one of Microsoft’s new ‘next generation datacentre facilities’ under construction in North London – which will create jobs and run fully on renewable energy – joined by Microsoft Vice Chair and President Brad Smith, and Microsoft UK CEO, Clare Barclay.
- Read the full draft guidance and details on how to provide feedback.
Nilesh Shah joins new accountancy company as Group Chairman
Nilesh Shah, ex-CEO of leading accountancy firm Blick Rothenberg, is taking on the role of group chairman of a new accountancy group formed by Blixt.
He said: “I have a passion for building high-growth, people-centric businesses. By overseeing group strategic decisions and advising on who we partner with going forward, I will ensure everyone involved in this journey is working towards our collective ambition to create a leading people-driven accountancy group. I am very excited to kick off this journey with Duncan & Toplis as the first pillar of the group. They bring almost a century of experience in developing quality talent and providing excellent advisory services to clients.”
Carl Harring, CEO at Blixt said: “Establishing a strong and strategic group leadership team is a crucial step in the development of our accountancy group. Core to this group’s mission is to continue providing exciting growth opportunities for the talent in the businesses we partner with and ensuring we continue to push the boundaries of excellence in client service. Nilesh very much shares this mindset with Blixt and the group’s first platform business, Duncan & Toplis, and we are therefore very pleased to have him on board as group chairman. Businesses joining this journey in the future will share this mindset too.”
Adrian Reynolds, managing director of Duncan & Toplis, said: “We’re thrilled to be the first business in the UK to form a platform in this exciting new venture, as we focus on growing our organisation in the years to come, both organically and through carefully selected acquisitions. Nilesh’s appointment to the role of group chairman gives us access to guidance and insight from some of the best minds in the industry as we embark on delivering Duncan & Toplis’ accelerated growth strategy.
Adrian Reynolds, managing director of Duncan & Toplis and Damon Brain, director at Duncan & Toplis (and succeeding Adrian in April 2024 as managing director) will sit with Nilesh Shah on the board of the group. Working alongside them will be Carl Harring, CEO of Blixt, and Hamza Virjee, director at Blixt.
Recyclable safety gear development earns recognition for Arco
Hull-based Arco has been awarded the prestigious ‘Recycled Product of the Year Award’ at the 2023 MRW National Recycling Awards for its ‘Responsible Hi-Vis’ clothing range.
The products have been created to tackle excessive waste in a niche and difficult-to-recycle segment of the clothing industry.
The ‘Recycled Product of the Year’ category called for products entered to show the best of sustainability, and have been designed with careful consideration of resources and incorporate recycled content.
Through a partnership with polyester recycling company, Stuff4Life, Arco’s Responsible Hi-Vis garments are designed to last longer, made from certified recycled and responsibly-sourced materials, and developed with end of life in mind, focusing on the recyclability of materials.
Once a garment comes to the end of its life, it can be recycled using Stuff4Life’s patent-pending chemical recycling solution that’s currently in development, with the recovered materials from the recycling process becoming valuable raw materials that can be transformed back into new polyester yarn for garment production over and over again.
Jim Harbidge, Head of Sustainability at Arco said: “This award confirms our view of a future where the value of textiles is preserved through the process we have developed. As we and our customers begin to move away from thinking about these items as ‘disposable’, we have been able to incorporate other aspects of design to offer comfort, durability, recycling ease and of course lower life-time costs.
“Our aim is to make the most sustainable items also the lowest cost choice. Our new range is already available to customers who are working with arco on their journey to circularity.”
John Twitchen, Co-Founder of Stuff4Life said: “This award is the result of all the hard work and commitment Arco has made in developing these exceptionally well-designed products.
“Nearly 90 per cent of the 33 million workwear items provided to workers annually currently end up in landfill or are incinerated, but this workwear range is fit for a future where materials have multiple usages and longer lifecycles.
“We’re pleased to have played a role in challenging conventions and championing change, and of course we look forward to recycling these fantastic products back into new stuff when they have served their purpose.”
Prime Minister praises Sunny Bank Mills
Prime Minister Rishi Sunak has praised the dramatic transformation of the iconic Sunny Bank Mills in Farsley from an old textile mill into a business, artistic and community hub.
Spending an afternoon at Sunny Bank Mills, one of the most historic family-owned mills in Yorkshire, Mr Sunak spoke to over 20 business owners and tenants in an informal and relaxed question-and-answer session.
He was welcomed by John and William Gaunt, the joint Managing Directors of the award-winning mill complex.
The Prime Minister said: “It has been fantastic to meet local artisans and entrepreneurs at Sunny Bank Mills and to see the transformation of this former textile mill into a thriving hub for businesses.
“Last week the Chancellor Jeremy Hunt announced tax cuts that will benefit over one million small businesses like those I have met at Sunny Bank Mills. By backing British businesses and taking long-term decisions to grow the economy, we will see entrepreneurial areas in and around Leeds, such as Sunny Bank Mills, continue to thrive.”
While visiting Sunny Bank Mills, Mr Sunak also stressed the importance of devolution and making sure that local people were in control of their own destiny, while revealing that businesses could expect to see cuts to their rates in the next year.
“It is vital to back the incredible people and businesses of Leeds. I have been talking to some of them at Sunny Bank Mills, together with Pudsey MP Stuart Andrew and they are incredibly entrepreneurial people.”
The Prime Minister also made some jewellery when he visited the Sunny Bank Mills jeweller Emma White, who was a finalist in the popular BBC-2 show All That Glitters: Britain’s Next Jewellery Star. Emma said: “It was very interesting to meet the Prime Minister when he visited my jewellery studio in the Twisting building at Sunny Bank Mills.
“After a brief chat about my multi-faceted business, he had a go at punching a silver star and hammering a texture on to a silver bangle. We discussed the positive impact of creative pursuits and I asked him if he’d bought his wife a Christmas present yet.”
John Gaunt said: “The fact that Sunny Bank Mills attracted a visit from the Prime Minister of the United Kingdom is a real milestone in the successful regeneration of the mills, as well as being an incredibly exciting moment for us all.
“It is a reflection of how far we have come, and all the hard work we have all put in, not just William and I, but our staff team and mill community, the local community and all those who have supported us.”
William Gaunt added: “It was a great pleasure to welcome The Prime Minister to Sunny Bank Mills and to get him in front of our business owners to hear about their challenges. He was also able to see what a wonderful community makes up Sunny Bank Mills, bursting with creativity and energy.”
During the past 11 years Sunny Bank Mills has been transformed into a modern office and mixed-use creative complex for the 21st century, creating 500 sustainable new jobs, with more than 100 companies on site.
Pudsey MP Stuart Andrew said: “I was absolutely delighted that the Prime Minister visited Sunny Bank Mills to see for himself the wonderful transformation of an old textile mill into a fabulous business centre and community asset.
“What has happened here is inspirational and has had a massive impact on the economy and the life of Farsley. Huge congratulations are due to William and John Gaunt for overseeing the renaissance of the mill complex.”
Revamp of Huddersfield Station to commence
From the end of November, Transpennine Route Upgrade (TRU) will commence major upgrades at Huddersfield station.
The work, which is part of a multi-billion-pound railway programme, will see the waiting rooms and toilet area, previously referred to as the old tearoom, removed.
Whilst these upgrades are required, preserving the rich heritage of this Grade I-listed station is vital. To enable this, engineers will carefully dismantle the waiting room, before taking it off site to be stored. It will later be reinstated as part of the new platforms 3 and 4 layout.
Whilst the waiting room area is out of use, a temporary toilet block will be installed at the Manchester end of platform 4. These toilet facilities will include a fully accessible toilet, with baby changing facilities.
Paul Sumner, Senior Sponsor on the Transpennine Route Upgrade, said: “Huddersfield Station is an iconic building and an intrinsic part of West Yorkshire heritage, so whilst this series of improvements are necessary, the restoration and retention of its historic features is of paramount importance.
“That’s why – after an extensive in-depth planning process – the Transpennine Route Upgrade will bring the station up to modern standards in terms of functionality, without harming it’s cultural and traditional significance.”
From early January, engineers will start the restoration of the existing trainshed roof, which is one of only a few remaining ‘Euston roof’ examples on the operational railway today. During this time, the long stay car park will be closed to allow a site compound to be installed.
Chris Nutton, Major Projects Director for TransPennine Express, said: “Huddersfield station will undergo major changes over the next few years, which will enable faster and more frequent trains to call there and provide better facilities for the millions of passengers who use the station every year.
“We would like to thank our customers in advance for their understanding and patience as we work together with colleagues from Network Rail to transform Huddersfield into a station fit for the 21st century.”
The upcoming station improvement work is part of a wider, more long-term goal of transforming Huddersfield Station with a new layout, longer platforms, a new footbridge and a refurbished roof structure, with restored lantern.
Over three million passengers travelled through Huddersfield Station last year, with that number set to steadily increase. The upgrades at Huddersfield Station will take Transpennine Route Upgrade one step closer to their vision of creating a cleaner, greener, and more reliable railway system that will bring improved connectivity and travel experiences to passengers travelling across the Pennines.
Minister and council leaders sign Hull and East Yorkshire devolution deal
Council leaders in the East Riding and Hull put pen to paper on a proposed devolution deal with the Government as Levelling Up Minister Jacob Young visited East Yorkshire.
Councillor Anne Handley, leader of East Riding of Yorkshire Council, Councillor Mike Ross, leader of Hull City Council, and the Levelling Up Minister all signed the proposed deal at Ergo Business Centre near the Humber Bridge.
The deal, if implemented, would bring significant investment and new job opportunities to the area. If approved, it would lead to the creation of a Hull and East Yorkshire Mayoral Combined Authority (MCA), led by a directly elected mayor, who could be elected in May 2025.
The MCA would have powers to invest in areas such as transport, skills and housing, as well an additional £400m of devolved funding over the next 30 years to invest in local priorities.
The proposed deal will be considered by both local authorities’ full council meetings in December. Subject to councillors’ approval, a period of statutory public consultation will follow in January.
Cllr Ross said: “This is a significant moment for the city as the proposed deal has the potential to be a game changer for Hull and the East Riding in terms of jobs, investment and growth. Local people could see real, positive change in their lives.
“We are committed to making sure that people in this area are no longer left behind. That means getting this fair deal agreed which will give our city a brighter future.
“Now we have a deal, it is vitally important people have their final say. We are committed to listening to what the residents and others think about this proposed deal, though we believe it is something that will help make a big difference across Hull and all of East Yorkshire.”
Cllr Handley said: “I am thrilled to finally put pen to paper on this deal today, marking the next step in our devolution journey. I’m so proud of the hard work that has got us to this point, and I’m excited about the positive changes this deal will bring to East Yorkshire.
“With a £400million investment fund and new powers in key areas like transport, housing and adult education, this deal offers us a seat at the top table and the opportunity to truly level up our region.
“Our focus is and always will be what matters to our residents, and I encourage everyone to get involved and take part in the upcoming public consultation. This is our chance to shape the future of East Yorkshire.”
Key aspects of the proposed deal include:
- £400 million (£13.34 million a year) investment funding over 30 years, to drive growth and deliver local priorities.
- Up to £15 million in 2024/25 to support transport, flood and coastal erosion programmes across the area, including a coastal regeneration programme in the East Riding.
- Up to £5 million in 2024/25 to support local economic growth priorities, including any further expansion of Siemens Gamesa at Alexandra Dock in Hull.
- Up to £4.6 million for the building of new homes on brownfield land in 2024/25.
- UK Shared Prosperity Fund planning and delivery from 2025/26.
- New powers to shape local skills provision, including devolution of the core adult education budget.
- New powers to drive regeneration and build more affordable homes.
- New powers to improve and integrate the regional transport network, with a multi-million-pound integrated transport budget.
- A commitment to rail electrification between Hull and Sheffield, and Hull and Leeds, integrating East Yorkshire into the Northern Powerhouse Rail network.
