Dairy farmers to get new rules over contracts, says Government
NHS names new Chief Exec for trusts north and south of the Humber
Today Jonathan Lofthouse has taken up the role of Group Chief Executive at Hull University Teaching Hospitals NHS Trust and Northern Lincolnshire and Goole NHS Foundation Trust.
Formerly site Chief Executive as part of King’s College Hospitals, Mr Lofthouse will oversee the management of both organisations. As well as five hospitals – Hull Royal Infirmary, Castle Hill Hospital, Diana Princess of Wales Hospital in Grimsby, Scunthorpe General and Goole – he will be responsible for some community services on the south bank of the Humber. He has previously held the position of Director of Improvement at Liverpool University Hospitals NHS Foundation Trust. HUTH and NLaG will continue to be two separate organisations although they will, in future, share an executive team. While the two organisations already collaborate closely in the delivery of many key hospitals services, the appointment of Jonathan Lofthouse is the most significant step in enabling them to work more effectively on shared regional challenges. Mr Lofthouse said:“We all know how busy NHS services are and how much pressure services are under. We also know that following the pandemic many of the demands we are now experiencing across our hospitals and community services are really challenging and difficult to respond to. That’s true across all our north and south bank hospitals. We have emergency pressures, challenges in discharging patients and too many patients who have been waiting far longer than we would desire for our care, whether that be surgery, diagnostic or therapeutic. “Now is the time for us to act creatively and courageously and innovate, focusing all of our efforts on making things better for patients and for staff. Through a group operating model we get to do that on a far bigger scale, and the power of that collective focus, the effect of coming together, I believe will allow us to create stronger, higher quality, better functioning services for our patients, and create more opportunities for our 17,000 staff.”Rising debt and inflation fuel surge of Yorkshire businesses in financial distress
Yorkshire businesses are facing a growing burden of escalating economic pressures including rising interest rates and higher labour and materials costs, according to the latest Red Flag Alert data from independent business rescue and recovery specialist Begbies Traynor.
The report found that 29,261 businesses in Yorkshire were suffering early or ‘significant’ distress in Q2 2023, an 8% increase on the same period in 2022 and up 4.9% on the first quarter of this year. ‘Significant’ distress refers to businesses showing deterioration in key financial ratios and indicators including those measuring working capital, contingent liabilities, retained profits and net worth.
Across the UK, ‘significant’ distress was up by 8.5% in the second quarter of this year compared to the same period last year, with a total of 438,702 businesses affected. The three sectors most severely affected by financial distress nationally were support services, construction and real estate and property services.
The latest data is sourced from a completely new Red Flag dataset that has involved deep dive analysis of eight years’ company data by data scientists over the past two years to track key factors behind company distress and failure rates.
Of the 22 sectors monitored by Red Flag Alert, in Yorkshire nine reported increases of over 10% in the number of companies in significant financial distress compared with a year ago. Sectors suffering the biggest increases in significant distress in the region, compared to last year, included sport and health clubs (16.7%), property businesses (14.2%) and retailers (14.6%) which accounted for 21% of this distress (6,074 businesses). Other sectors which saw escalating early distress were health and education (13.4%) and media (11.3%).
Julian Pitts, regional managing partner for Begbies Traynor in Yorkshire, said: “Higher interest rates have hit both consumers and businesses hard and there are mounting concerns that the situation may become worse in the second half of this year in Yorkshire and across the UK, when winter sets in and energy costs go up.
“Consumers are feeling the pinch and cutting back not just on discretionary spending but also on essentials to counteract higher mortgage and loan repayments. Meanwhile businesses are also seeing the cost of their debt rising and, still reeling from the effects of the pandemic and set back by higher energy bills and the effects of the war in Ukraine, it’s no wonder that the number of distressed companies has jumped since last year.
“Given the wider economic uncertainty we fear that time is simply running out for many businesses and we expect a surge in company collapses with the likely failure of many ‘zombie businesses’ in the coming months.”
He added: “Our advice to businesses is to monitor their financial position carefully and seek advice from qualified restructuring professionals as soon as any problems become apparent to avoid them escalating.”
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Digital double act simplifies procurement on projects worth billions
A digital double act is working to simplify procurement around built environment projects worth billions of pounds and deliver an equally impressive return in social value.
The partnership between Hull-based businesses The 55 Group and 43 Clicks North is also geared to driving the development of digital skills in their home city and helping other employers use technology to flex their marketing muscles. The 55 Group operates frameworks through its Pagabo brand to match public and private sector clients with suppliers for built environment projects ranging from demolition through to major works and civils and infrastructure. Contract values start from around £50,000 and rise to £50m or more and, with its nationwide reach, Pagabo has pulled in completed projects worth a total of more than £4bn. Pagabo’s sister brand, Loop, uses software to forecast, monitor and evaluate the entire life cycle of any project and has enabled a social value return from projects in excess of £26bn. Other brands in the group, which employs 88 people, include risk management and compliance software company Sypro and digital-first training platform Tequ. Sam Burton, head of commercial marketing at The 55 Group, said: “Our mission is to use technology and innovative thinking to support a better, faster, and greener approach within our core markets. “Our platforms support an ecosystem that allows the world to evaluate, procure, manage and learn in a more sustainable way. From compliant procurement of suitable suppliers through to high-quality social value reporting, it’s an end-to-end process helping clients safely, securely and efficiently complete their important projects.” “We tried digital marketing before and we felt 43 Clicks North would give us greater added value, and we have really seen that in the last few months. They have out-performed where we thought we would be and it’s justified our decision to change. “It’s not that we started from nothing but they have kicked on even further in terms of enquiries through our digital channels. We could have carried on as we were and we would have been fine, but we made a business decision to improve and this has been a step change. “We challenged 43 Clicks North to see what they could do and they have risen to the challenge, including working with our team to help us develop our knowledge.” The value of Pagabo projects currently in procurement is nearly £500m and includes a £90m academy services framework launched in July and a £1bn refit and refurbishment framework which went live in May.