Manufacturing conference puts innovation and sustainability under the spotlight

Innovation and sustainability were key areas of focus at the Greater Lincolnshire and Rutland Manufacturing Conference, when delegates discussed the future of a sector contributing £5.6 billion to the regional economy.

The conference, hosted by Business Lincolnshire in partnership with NatWest, brought together ndustry experts, thought leaders, and business owners to discuss the challenges and opportunities facing the manufacturing sector in the region. The manufacturing sector in Greater Lincolnshire and Rutland alone employs 66,000 workers and contributes £5.6 billion to the local economy, representing 21% of the total economic value (GVA) in the region. What’s more, over the past decade, the sector has experienced a remarkable 64% growth in real terms, outpacing the national average. Laura Capper, Head of Manufacturing and Construction at NatWest, offered insights into the financial and non-financial solutions essential for supporting the growth ambitions of manufacturing businesses. Shane Peel and Angela Borman from Siemens Energy shared their journey and expertise, underscoring the importance of skills development and sustainability in driving manufacturing excellence. A key takeaway from their session that resonated in the room was succession planning with your current workforce to plug the skills gaps projected over the coming two to five years. Chris Corkan, Region Director at Make UK, provided a comprehensive overview of the industry’s current landscape, emphasising the intrinsic link between manufacturing and productivity. Make UK’s analysis underscored the UK manufacturing sector’s growth to £224 billion, positioning it as a global player. However, challenges such as energy prices and geopolitical instability persist, impacting profit margins and employment costs. Make UK’s research shows that in 2024, a significant proportion of manufacturers are poised to seize net zero opportunities for growth, with 13% aligning with environmental, social and governance (ESG) standards and commitments. Additionally, more than half are preparing to launch new products, while over a quarter are gearing up to expand into new, previously untapped markets. These initiatives are fuelled by a collective agreement among 71% of manufacturers that digital technology will drive productivity, with 62% affirming that opportunities outweigh risks. The overarching campaign message emphasises the fusion of physical and digital realms, leveraging automation, innovative materials, and cutting-edge technologies like AI to enhance the UK’s competitiveness and productivity. Moreover, there’s a widespread commitment to sustainability, with 96% of manufacturers already decarbonising operations, 92% prioritising net zero, and 74% integrating ESG conditions into procurement decisions.

Government plans to foot entire pay bill for SME apprenticeships

Prime Minister Rishi Sunk is expected to expected to say Government will fully fund apprenticeships in small businesses from 1st April by paying the full cost of training for anyone up to the age of 21. The move is part of a package of reforms to support businesses to deliver more apprenticeship places, cut red tape for SMEs and leverage more private investment in female founders, and he’ll reveal it at the Business Connect conference in Warwickshire today. This will remove the need for small employers to meet some of the cost of training and saves time and costs for providers like further education colleges who currently need to source funding separately from the government and businesses. The move is underpinned by an additional £60 million of new government funding for next year, guaranteeing that where there is demand for apprenticeships from businesses, the government will ensure there is enough funding to deliver them. From the start of April, the government will also increase the amount of funding that employers who are paying the apprenticeship levy can pass onto other businesses. Apprenticeships can currently be funded by a levy paying employer transferring up to 25% of their unused levy to a different employer. Under the new measures, large employers who pay the apprenticeship levy will be able to transfer up to 50% of their funds to support other businesses, including smaller firms, to take on apprentices. This will help SMEs hire more apprentices by reducing costs and enabling more employers to get the skilled workers they need while unlocking more opportunities for young people in a huge range of sectors, industries, and professions. Hundreds of large levy-paying employers have already taken advantage of the opportunity to transfer their unused levy funds to other businesses. As of [December 2023], 530 employers including ASDA, HomeServe and BT Group have pledged to transfer over £35.39 million to support apprenticeships in businesses of all sizes since September 2021. Taken together, these measures are expected to enable up to 20,000 more apprenticeships, primarily for young people, and is part of our plan to build a stronger economy and deliver a brighter future where hard work is rewarded and young people get the skills they need to succeed in life. This also builds on our record of transforming apprenticeships over the last decade. Since 2010, we’ve helped 5.7 million people start an apprenticeship, working with employers to develop almost 700 new high-quality standards and increasing the funding for apprenticeships to over £2.7 billion from next year. Prime Minister Rishi Sunak said: “Growing up in my mum’s pharmacy, I know first-hand how important small businesses are. Not just for the economy, but as a driver for innovation and aspiration, and as the key to building a society where hard work is always recognised and rewarded. “Whether it’s breaking down barriers and red tape for small businesses, helping businesses hire more young people into apprenticeships and skilled jobs or empowering women to start up their own businesses – this government is sticking to the plan and leaving no stone unturned to make the UK the best place to do business. “Taken together, these measures will unlock a tidal wave of opportunity and make a real difference to businesses and entrepreneurs across the country.”

Steelmaker secures top accolade for steel going to automotive industry

British Steel has been awarded the International Automative Test Force 16949 certificate – a standard demanded by the vast majority of customers in the automotive industry – for the quality of product and process at Scunthorpe Rid Mill. The mill makes products to be converted into springs of all kinds, tyre cord and bead, and fasteners. After an audit by Lloyd’s Register Quality Assurance Plant Manager Paul Collins said: “After four days of intense auditing, LRQA has approved our continued certification for a further year. “We have a fantastic team at SRM and the entire Rods business. I cannot credit them enough. This was a really terrific effort by the whole Rods team, and those who provide the associated support functions, in achieving this certification. “Everyone has the same vision, focus and passion and the contribution from colleagues has been excellent. Since 2019, when we were first accredited with IATF 16949, we have improved year on year and that is testament to the hard work and skills of this team. Everybody at the mill has played their part in influencing the high standards that have been set.” Commercial Director – Wire Rod, Phil Knowles, said: “This is a very testing and competitive market with very exacting requirements. The fact that we have  retained this certification with flying colours is a massive boost to the business and a testament to the work of our colleagues throughout the whole Rods business ”

CITB labeled ‘unfit for purpose’ after publishing its latest annual report

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The Construction Industry Training Board is unfit for purpose and has had its day, claims the MD of Bridington-based CIS payroll company Hudson Contract. He’s Ian Anfield, who highlights that CITB reserves have risen by £8.4m to more than £100m in a year in which the Board has said employers had said they were too busy for training. Mr Anfield said: “The reality behind the falling demand is massive disengagement with CITB. Under the Industrial Training Act, CITB is allowed to raise the funds necessary to cover its costs, but the latest report and accounts show it is raising much more, and has been for some time, which stems from its failure to properly engage with many employers. “The accounts pose serious questions and could expose CITB to legal challenge when it goes back to government to ask for another year of levy raising powers. There could be problems ahead with the Charity Commission and HMRC.” He called for the Board to cut levy rates to ease pressure on construction SMEs or to increase the number of training courses delivered, saying that its current business plan did little to address skills shortages or improve engagement levels with employers. Mr Anfield added: “CITB supposedly exists to provide training to construction but by the chairman’s own admission, yet again it has failed. “And when it comes to explaining what is going wrong, the best CITB can do is come up with glib criticism of the industry for not prioritising training. “If our clients didn’t have to dig so deep to pay the levy in the first place, the state it has got itself in would be almost amusing.”

Major, new mixed-use neighbourhood approved in Leeds

Caddick Developments, part of Caddick Group, has received a unanimous resolution to approve a major, new, mixed-use neighbourhood in the South Bank of Leeds.

To mark the planning decision, the 2m sq ft scheme, previously named City One, has been rebranded as South Village. The new name reflects not only its location within one of the UK’s largest brownfield regeneration sites – South Bank, Leeds – but also the development’s design as a contemporary urban village for modern city living.

South Village could provide up to 1,925 homes, 650,000 sq ft of commercial space and significant landscaped areas, all centred around a curated ‘village green’ the size of a professional sports field, and accessible to both residents and local community alike. 

Positively received by Leeds City Council’s City Plans Panel, the scheme was praised for its potential, which would “change this part of the city altogether.”

A new place brand has also been developed to accompany the name change, which will be revealed in due course. 

Lee Savage, Director at Caddick Developments, said: “South Village will offer a revolution in city-centre living, transforming this strategically located brownfield site into an ambitious and accessible new neighbourhood.

“Our proposals are incredibly exciting, having been designed to provide bold, modern architecture, significant public space and enhanced connectivity between Holbeck and the city centre. 

“As we work towards submission of a detailed planning application, we will continue to collaborate closely with key partners and the community to bring forward a vibrant new chapter for this part of the South Bank.”

Johnny Caddick, Caddick Group, said: “We’re delighted to have received the resolution to approve from Leeds planning committee for this transformational new development. South Village is set to redefine contemporary urban living in Leeds, offering all the amenities of a traditional village, while being located in the heart of the city centre.  

“Perfectly suited to modern patterns of living and working, South Village has been carefully designed to provide significant public realm and community space, promote active lifestyles and connectivity, and ultimately enable the creation of a dynamic, multi-generational community.”

Construction underway on new further and higher education campus in Skegness

Construction has started on the new campus for Skegness TEC which will deliver further and higher education courses for the residents of Skegness and surrounding communities. The new campus, supported by a £14 million government-funded Connected Coast Town Deal, is set to make a huge impact in the community, offering further and higher education tailored towards vocational skills training to meet local needs. Having gained planning permission from East Lindsey District Council last year, works are now underway on the Wainfleet Road site, led by contractors Hobson and Porter. Ann Hardy, CEO of TEC Partnership, said: “I am delighted that construction is underway on our new Skegness Learning Campus. It is going to be great to see our designs and plans become a reality. The new learning campus will bring with it a broad curriculum and new opportunities for the community of Skegness.” Chris Baron, Chair of Connected Coast, said: “It is fantastic to see work now underway on the Learning Campus, a development set to be genuinely transformational for local people, offering access to training in much-needed subjects in Skegness. “The Learning Campus is Connected Coast’s flagship Town Deal, and it has the potential to be an economic game changer for the area, allowing people to gain the skills and knowledge they need to get the jobs they want. “The start of work is a hugely significant milestone, and I look forward to seeing this exciting new facility come out of the ground over the coming months, ready to welcome students in 2025.” The campus will in turn bring enhanced employment opportunities and a broader range of curriculum tailored to economic changes and demands. Over the coming years, the project aims to help over 1,000 residents into employment, supporting growth in the local economy and enriching the community.

West Yorkshire buses taken back under public control

The Mayor of West Yorkshire Tracy Brabin has decided to take control of the buses in a major shake up to public transport. In a landmark move, the Mayor decided to bring buses under local control – through a process known as franchising – as recommended by the Combined Authority at its meeting in Leeds. Routes, frequencies, fares and overall standards for buses in the region will be set by the West Yorkshire Combined Authority – not private operators, who will instead be contracted to run services on the Combined Authority’s behalf. Buses are the most widely used form of public transport in West Yorkshire and provide a crucial public service, connecting communities and enabling people to get to work, school and meet family and friends. But the current deregulated system has seen a decline in patronage over many years and the increasing use of public funding used to support services. Despite the action the Combined Authority has taken through its Bus Service Improvement Plan (BSIP), bus services in the region remain too infrequent and unreliable to meet passengers’ needs, with West Yorkshire ranking bottom for customer satisfaction according to a survey released by Transport Focus. A franchised model will allow the Mayor and Combined Authority to better deliver on ambitions for a greener, joined-up and easier to use transport network as part of a better-connected West Yorkshire. The Mayor’s decision follows a three month consultation which revealed that nearly three-quarters of the people and organisations which responded supported franchising. Mayor of West Yorkshire Tracy Brabin said: “I’m delighted to announce that we are taking back control of our buses in West Yorkshire, empowering the public to hold me to account for better services. “For too long, buses have been run in the interests of private companies, not passengers. Franchising will help us build a better-connected bus network that works for all, not just company shareholders. “But we know that change will not happen overnight – the hard work we’ve been doing to improve the bus network continues while we work at pace to bring this new way of running the buses to our 2.4 million residents.” To ensure a smooth transition, franchising will be introduced in phases, with the first franchised buses up and running in parts of Kirklees, Leeds and Wakefield from March 2027. In the meantime, the Combined Authority will continue with its BSIP, which has seen the introduction of the £2 Mayor’s Fares, increased frequencies on key routes, investment in bus stations and shelters and new bus services launching across West Yorkshire. A new package of bus improvements for services across the region is also set to be announced in May.

Plans confirmed for new train maintenance facility in Shipley

Rail Minister Huw Merriman has confirmed plans as part of the government’s most recent £3.9 billion investment into the Transpennine route upgrade (TRU) to build a new maintenance facility in Shipley. Around £100 million will be provided to deliver what will be known as the Shipley TrainCare Centre, which will provide extra resilience to the North of England’s rail network. With construction set to begin this year, the new maintenance facility will be home to Northern’s electric fleet of trains operating across West Yorkshire, bringing essential maintenance works closer to the centre of the north Transpennine route, leading to increased reliability for passengers. Neil Holm, Managing Director of TRU, said: “We’re delighted to reveal our plans for this major investment in Shipley, demonstrating the Transpennine route upgrade’s commitment to supporting local communities and creating local jobs.

“This brand new depot will support rail services while we carry out essential improvements and will also leave long-lasting legacy benefits for the town going forward.”

Rob Warnes, Strategic Development Director for Northern, said: “We’re delighted to announce this investment in our brand new TrainCare Centre for Shipley. As the future home for most of our electric train fleets for West Yorkshire, the new site will bring a wealth of highly-skilled jobs into the region, as well as providing resilience for our network across the North.

“It will play a key part in helping us to deliver our plans for the Transpennine route upgrade and beyond.”

As many as 100 highly skilled jobs will be supported at the site, as well as apprenticeships. Councillor Susan Hinchcliffe, Leader of Bradford Council, said: “We welcome this major investment in Shipley, which is another vote of confidence in the district from industry and further positions Bradford as a great place to do business. “The new depot will be an important part of operating rail in the north of England, increasing service reliability for rail service users. A new state-of-the-art facility such as this is one of the many tangible improvements to the rail network we are supporting, delivering greener, more accessible trains across the north.

“Increasing employment opportunities and developing skills through regeneration are key priorities for the council, so it’s great to hear that local jobs will be created to facilitate this project in the immediate term, as well as 92 permanent skilled posts being created in the longer term.”

Private equity investor supports Hull’s The 55 Group

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Dan Smith, Partner and Head of Yorkshire at LDC, added: “The 55 Group is a great example of a fast growing Yorkshire business led by a hugely ambitious team. It represents LDC’s third investment in the region in just under 12 months, underlining our commitment to supporting the best businesses in Yorkshire. “It is also another example of the strength of our leading software and data credentials in the built environment space, where we continue to see a shift towards more digital ways of working and an increased focus on ESG.” Will Scales, Investment Director, added: “We are delighted that Simon and team have chosen LDC as their partner to support the delivery of The 55 Group’s next phase of growth. “The quality of The 55 Group’s offering and technology in supporting sustainable and compliant practices is unique and we are excited about what the future holds for the business as it continues to invest in its people, products and services.” The 55 Group was advised by Rothschild (Stephen Griffiths), Addleshaw Goddard (Richard Hunt and Peter Wood), Graph Strategy (James Tetherton) and KPMG FDD. Management were advised by Park Place (Richard Firth). LDC was advised by KPMG (Ben Taylor), Squire Patton Boggs (Paul Mann and David Milne), DSW FDD (Jonathan Steed), PMSI (David Crout), Better Faster Growth and Catalysis. HSBC, advised by DLA Piper, provided financing and working capital facilities to support the transaction.

Historic England funding to spur on multi-million-pound redevelopment of Rutland Mills

Wakefield Council has welcomed funding from Historic England to repair an historic mill as part of the multi-million-pound redevelopment of Rutland Mills. Historic England has awarded £625,000 to help breathe new life into Phoenix Mill, a former textile mill in Wakefield. Phoenix Mill forms part of phase two of the multi-million pound redevelopment of the Rutland Mills complex in Wakefield. The waterside area is being transformed into Tileyard North, a creative industries hub housing state-of-art recording studios, creative workspaces and events venues.

Cllr Michael Graham, Cabinet Member for Regeneration and Economic Growth at Wakefield Council, said: “We’re investing alongside Historic England and City and Provincial Properties so that the former mill buildings can be transformed into vibrant spaces for creativity. They will provide world class facilities to artists and creatives based right across the north of England.

“This is part our wider regeneration plans for Wakefield. Our programme is attracting external investment from across the public and private sector, making a positive impact as we position our district as a great place to do business.”
Duncan Wilson, Historic England’s Chief Executive, said: “After lying derelict for many years, it’s wonderful to see that Phoenix Mill is now rising from the ashes and will soon be given new life as an integral part of the fantastic Tileyard North. “I applaud the bold vision of City and Provincial Properties who have rescued an important part of Wakefield’s industrial heritage and reshaped it into an engine of the town’s future prosperity.” Paul Kempe from City and Provincial Properties said: “We extend our thanks to Historic England for the awarding of this invaluable grant, igniting the transformation of Phoenix Mill. With their generous support, we eagerly anticipate breathing new life into this historic gem, creating more space for our creative industries hub to grow.” Wakefield Council has enabled the project from inception, with funding also provided by the Government’s Levelling Up Programme (LUF) and City and Provincial Properties. This is seeing the refurbishment of Phoenix Mill along with the demolition of a second mill and construction of a new building alongside, called Gradient Mill. Further office space along with bars and a restaurant will be created. Historic England’s £625,000 grant will fund work to the outside of the building including roof, drainage and wall repairs, as well as new windows. This will secure the building’s structure, enabling its future redevelopment as part of Tileyard North. Phase one of the scheme saw the restoration of five mill buildings. It has created space for creative industries, music studios, outdoor events space, indoor events, space for festivals and concerts, a hotel, gin distillery, restaurant and bar.