Housing Association breaches economic standards, finds Regulator
South Yorkshire Housing Association Limited has breached economic standards over both its governance and financial viability, according to the Regulator of Social Housing, and as a result it has been downgraded to non-compliant G3 / V3 grades.
An investigation revealed weaknesses in SYHA’s internal controls framework and concluded that its board has not been managing the organisation with an appropriate level of skill, diligence, prudence or foresight.
Weaknesses in its financial governance has led to SYHA miscalculating its covenant compliance over a number of years. This has resulted in actual and forecast covenant breaches with one of its funders.
SYHA’s business plan demonstrates limited financial capacity in the short to medium term, and does not currently have adequate mitigation strategies in place to deal with plausible financial stresses.
In agreement with the regulator, SYHA is working to strengthen its financial capacity and improve its governance arrangements.
Harold Brown, Senior Assistant Director for Investigations and Enforcement at RSH, said: “Our investigation found serious issues of concern with SYHA’s financial processes and controls, resulting in breaches to its loan covenants. SYHA needs to address these issues promptly to ensure its long-term viability and covenant compliance, and we will continue to monitor the provider closely as it carries out this work.”
Lincoln cyber security firm sold
Lincoln-based cyber-security-as-a-service (CSaaS) provider Cyberlab Consulting Ltd has been sold to technology provider Chess for an undisclosed sum.
As part of a shared growth strategy, the acquisition will supercharge Cyberlab’s expansion, as well as add a unique product to Chess’s extensive suite of existing products and services.
Expanding its portfolio and solidifying its position as a leading technology service provider, the strategic acquisition will see Chess add Cyberlab’s innovative CSaaS portal as a new service to clients. The portal simplifies the oversight of security posture, identifying individual blind spots and providing tailored training programs to automate fixes.
Ryan Bradbury, founder of Cyberlab, has joined Chess’s team as part of the deal, taking on the role of CTO. He said: “We’re delighted to be adding something new, which fits perfectly into Chess’s existing incredible portfolio. There is huge potential for our portal and the backing of such a big player like Chess will help us to meet our ambitions for the Cyberlab brand.”
Chess employs more than 300 people across the UK and supports more than 1,000 UK blue-chip enterprise businesses, government departments, and household names. Its expanded capabilities now cover a wide range of services, including testing, assessment, discovery, consultancy, delivery, and hardening.
Michael Squirrell, partner at Shakespeare Martineau, who advised founders Ryan and Jessica Bradbury on the sale of Cyberlab, said: “There are clear synergies between the businesses and obvious wins from their union. We’re very happy to have supported Ryan and Jessica on the sale.”
The Shakespeare Martineau team involved in the deal also included corporate associate Ashley Taylor, corporate solicitor Nana Maisuradze, intellectual property partner Kerry Russell, and employment expert Oscar Ciaurro.
Antony Voakes and Amy Weston at Wright Vigar advised on tax and financial matters. Chess was represented by Nimbus Legal and Vector Tax Consultancy.
HMRC issues fines of more than £3m for money laundering rule breaches
Hundreds of businesses including a baker’s dozen from the East Midlands have been fined a combined total of £3.2 million for breaching anti-money laundering rules have been named by HM Revenue and Customs.
The 240 supervised businesses named today were fined between 1 July and 31 December 2022 by HMRC for breaching Money Laundering Regulations aimed at preventing criminals from exploiting illicit cash.
Certain types of business are required to register with HMRC which is a supervisory body for Money Laundering Regulations.
Xpress Money Services Ltd, based in London, was hit with a large fine of £1.4 million for failing to carry out risk assessments, not having appropriate anti-money laundering controls, and failing to conduct proper due diligence checks.
HMRC’s work with other enforcement agencies and government departments to tackle economic crime and crack down on breaches is working to drive non-compliant firms out of business. This means that the number of money service businesses has fallen by around a third from 1,508 in 2020 to 1,049 in 2023, and the number of money service business agents has reduced from 35,507 to 30,217 in the same period.
Nick Sharp, HMRC’s Deputy Director of Economic Crime, Fraud Investigation Service, said: “Money laundering is not a victimless crime. We are here to help businesses protect themselves from criminal attacks and will continue to tackle the minority of businesses which do not comply with the Money Laundering Regulations.
“Serious and organised crime costs the UK billions of pounds every year and our anti-money laundering supervision is a vital tool in combatting that.”
In addition to the named businesses, another 179 companies received smaller fines totalling more than £200,000 for rule breaches.Business communications specialist set for growth with multi-million pound investment
Wakefield-based business communications specialist NGC Networks is targeting £10 million turnover in the next year, backed by significant new investment from CloudClevr.
NGC Networks was established 20 years ago by joint Managing Directors Dean Harrop and Nikki Guest and has grown to be a leading player in its sector across the North of England.
The company employs 45 people and has more than 800 customers, providing them with telephony, unified communications, connectivity, mobile, contact centre solutions and managed services.
CloudClevr is a new venture with majority investment from specialist investment business Rigby Technology Investments (RTI), part of Rigby Group PLC, a £3.3 billion privately owned technology group and one of Europe’s leading technology investors.
NGC Networks will use the investment to drive its growth across Yorkshire and the North, increasing its customer portfolio, capability and creating jobs in the coming 12 months. CloudClevr will support NGC with enhanced cloud-based propositions and investment in sales and marketing, enabling NGC to concentrate on customer management, sales and technical leadership.
Dean Harrop, joint Managing Director of NGC, said: “We are delighted to secure the investment and support of Rigby Group and to benefit from the ambition and technology investment going into CloudClevr. It’s great for our colleagues who will benefit from being part of a growing, national business allowing them to develop and succeed in an ever-changing marketplace.”
Nikki Guest, joint Managing Director of NGC, said: “We are committed to remaining our customers’ trusted advisor, helping them navigate the growing complexity of converged IT and communications. I’m very excited about the market opportunity we have ahead and to continue building NGC as a powerhouse of the northern region as part of CloudClevr.”
Steve Harris, CEO of CloudClevr, said: “I am pleased to be working alongside Nikki and Dean. In NGC, they’ve created a fantastic business with strong potential. They have a brilliant team in place and I’m really looking forward to starting this new journey together.”
The investment in NGC is the first in a series of strategic investments which will see CloudClevr emerge as a next generation managed services provider focused on delivering converged Cloud, IT and communications services.
Sheffield becomes home to first-of-a-kind campus for Government employees
A first-of-its-kind campus for government staff in key policy roles has been launched in Sheffield, as new figures show Yorkshire and the Humber have benefitted from more than 2,400 relocated roles.
It comes as the Cabinet Office announced the pilot of a new regional fast stream, part of the government’s ambitious plans to bring jobs and drive local economic growth across the UK.
The scheme will prevent graduates having to leave the Yorkshire region to move into decision-making policy teams.
There are also plans for expanded policy apprenticeships and events to attract university-leavers within the city, providing greater opportunities for the young people of Yorkshire.
Traditionally most civil service teams based outside of London have been operationally-focussed, but the aim of the policy campus is to create a hub of core policy jobs, where people can advance their careers in key decision-making positions. Under these new plans, people will no longer have to move to, or work in, London to have a long and fulfilling career in the civil service.
This forms part of a broader strategy to ensure people from all regions and backgrounds are contributing to the creation of government policies. Levelling up the civil service in this way is key to ensuring it reflects the communities it serves, whilst delivering on the Government’s priority to grow the economy.
Latest relocation studies suggest a local economic benefit of £30 million per 1,000 roles relocated.
Cabinet Office minister Alex Burghart said: “This Government is delivering on its promise to level up across the country by ensuring that we create opportunities for people across the country.
“This policy campus is a commitment to the people of Sheffield that local people will have a central role to play in the development of major national policies.
“Relocating roles out of London and establishing skills clusters will provide a fantastic economic boost for the people of Yorkshire and the Humber, a region that has an immense array of talent and I’m delighted that we’re going to make use of it.”
Around 1,000 civil servants working a range of departments including the Department for Education, the Home Office and the Department for Work & Pensions are based at the site.
The Department of Health and Social Care, the Department for Transport and the Cabinet Office have moved the most roles to Yorkshire and the Humber.
637 roles have relocated into Sheffield, primarily in the Home Office alongside more DWP, DfE and Ministry of Justice jobs which have moved to the city under the scheme. Sheffield also has 75 senior civil servants based in the city, one of the highest proportions outside of London.
Farming businesses can bid for share in increased funding for equipment to boost sustainable food production
Farm businesses can benefit from new equipment and technology to boost sustainable food production and reduce emissions and waste after a fund of £17m was upped to £31m in this week’s latest round of the Farming Equipment and Technology Fund.
Applicants can now claim for grants under the Productivity and Slurry budget to help cover the costs of over 90 pieces of equipment, from rainwater harvesting tanks to reduce water scarcity for farmers in the summer; tree shears to help stop the spread of pests and diseases; to equipment to minimise grass contamination and ammonia emissions when spreading slurry.
The Farming Equipment and Technology Fund provides funding to farming businesses so they can invest in the tools they need to improve sustainable production across agriculture, horticulture and forestry. Productivity and Slurry grants will specifically support the procurement of equipment and technology that will help farmers use fewer inputs, reduce emissions and cut waste.
With more than 3,000 applications received for the FETF 2023 Productivity and Slurry grants, the government is matching this high demand by increasing the total funding offered from £17m to £31m. Twenty-one additional items have been added under the scheme in 2023, including camera-guided inter-row sprayers to help reduce herbicide usage, and mulchers for forestry, orchards and vineyards to help reduce input costs and improve carbon retention in the soil.
This will ensure as many farmers as possible can claim for the equipment they need to run a profitable farming business that delivers for both food production and the environment.
Secretary of State for Food and Farming Thérèse Coffey said: “The tremendous interest shown in the FETF 2023 Productivity and Slurry underscores the determination of our farmers to drive ever more productive and sustainable farming practices to keep food on our plates whilst protecting our important landscapes and habitats.
“By empowering farms to invest cash in new kit, we are ensuring our farmers, growers and foresters have the equipment they need to embrace innovation, protect the environment, and contribute to a thriving and sustainable agricultural sector.”
Items applied for in the FETF 2023 Productivity and Slurry budget include:
- Direct drill with fertiliser placement for precision drilling of arable and cover crops to help reduce crop establishment costs and increase efficiency of fertiliser usage. 250 applicants to be offered this grant worth £6.25m.
- Robotic drill and guided hoe – an autonomous robotic vehicle which can precisely place seed in the ground and return to mechanically weed – this helps to reduce herbicide usage and associated costs. Ten applications accepted with a value of £250,000.
- Rainwater harvesting tanks with a minimum capacity of 5,000 litres which will help to reduce water scarcity for farmers in the summer months. This equipment will now benefit 86 recipients with a value of £110,802.
- Tree shears with the capacity to fell 300mm diameter trees to stop the spread of pests and diseases across our woodlands. This funding helped 113 recipients with a total value of £363,747.
- Dribble bars with a minimum working width of 6m designed to apply slurry to the soil surface as accurately as possible to minimise grass contamination and ammonia emissions. This equipment was made accessible to 94 farmers, amounting to a value of £403,200.
- Direct drills with a width of 3m to conserve moisture and reduces soil erosion. This initiative assisted 129 applicants, totalling £1.555m in value.
Labour leader tours British Steel’s Scunthorpe steelworks
Labour Party leader Sir Keir Starmer has visited British Steel’s Scunthorpe site to discuss the significant challenges faced by Britain’s steelmakers.
British Steel is the UK’s only manufacturer of structural sections, which it supplies into three out of four major construction projects in this country, and is the only company in the UK which makes rail and special profiles. In addition to this, it provides thousands of highly skilled and well-paid jobs while an estimated 19,000 people are employed in its supply chain.
During its first three years of ownership, Jingye has invested £330 million in capital projects at British Steel.
The company says its decarbonisation strategy is underpinned by a Low-Carbon Roadmap which will help secure low embedded carbon steelmaking in the UK. A spokesman for the company said: “However, we need the UK to adopt the correct policies and frameworks now to back our drive to become a clean, green, and successful company. Governments in the countries where our major competitors operate have adopted such policies and the longer we wait for their implementation in the UK, the more impact this will have on our competitiveness and the country’s ability to meet its carbon objectives.”
Alun Davies, National Officer for Community, the steelworkers’ union, said: “It was good to meet today with Keir and discuss Labour’s plans to deliver a decarbonised steel industry at the core of an ambitious industrial strategy. Britain needs its steel industry and Britain’s steelworkers need government to do far more to support our steelmakers to go green and prosper. All us steelworkers ask is the chance to compete on a level playing field with EU producers.”
Sir Keir was joined on his visit by Ed Miliband MP, Shadow Secretary of State of Climate Change and Net Zero, and Sir Nic Dakin.
Sewell Construction joins ranks of firms to share in £305m of capital works
Sewell Construction has been chosen as one of the suppliers for procurement organisation Fusion21’s Refurbishment, Construction, New Build and Modular Buildings Framework.
The framework is designed to support public sector organisations to deliver up to £305m worth of housing, education and healthcare capital works programmes, including building and refurbishing schools and hospitals.
Sewell Construction Joint MD Chris Soper said: “We’re really pleased to have been awarded a place on this framework, which compliments our place on the Fusion21 Decarbonisation Framework. Our team have extensive expertise across the public and private sectors, but some of our highest profile projects have involved constructing and refurbishing schools, colleges, universities and healthcare buildings. We’re looking forward to working with partners across the North of England to ensure that education and healthcare professionals can deliver services in world-class facilities.”
Paul Towers, Framework Manager (Construction & Decarbonisation) at Fusion21 said: “We welcome Sewell Construction to the framework. The tender process was highly competitive and has identified the best contractors for our members to use for the delivery of a whole range of construction programmes.
“Members accessing this framework will benefit from flexible call-off options, UK-wide coverage, and the option to deliver social value to their communities, aligned to their organisational priorities.”
Sewell Construction, based in Leads Road in Hull, has more than 150 years’ experience in construction projects across Yorkshire and the Humber. Recent successes include the design and building of the new Broadacre Primary School, the construction of West Hull Health Hub (pictured above), the refurbishment of The Edge fitness centre at the University of Leeds and the ongoing conversion of the former Central Fire Station in Hull into a high performing, low carbon-impact extension of the Ron Dearing UTC, housing a renewables innovation lab, creativity hub and sixth-form centre.
Refurbishment programme leads to full occupancy for Rotherham business park
An extensive £1m refurbishment programme has led to full occupancy at a 112,000 sq ft Rotherham business park.New tenants Fourways Traffic Management, introduced to the industrial scheme by property consultants Knight Frank, have completed the line-up of 20 occupiers at Waleswood Industrial Estate, while two lease renewals have been agreed for a further five years.The well established MLI estate, comprising of 22 units across three terraces, was purchased in October 2021 for £9.95m by BCCIM, a joint venture between Barwood Capital Ltd and Caisson Investment Management, in their Urban Industrial Income LP, who undertook a substantial refurbishment of the development.Tenants have been attracted by the refurburbishment works which were recently completed, which included ESG works to improve the energy efficiency of the estate with new roof coverings, cladding and the replacement of windows and doors across the whole estate resulting in EPC upgrades, and also its ideal position within South Yorkshire, at the boundary of Sheffield and Rotherham allowing easy access into Sheffield and onto the M1 motorway.Harry Orwin-Allen, senior surveyor at Knight Frank in Sheffield which marketed the units with CPP, said: “The offer of modern refurbished units, tailored to occupiers needs, has satisfied the continued need for good quality accommodation, and subsequently achieved strong headline rent levels.”Fourways Traffic Management has joined the local and national occupiers at Waleswood including Yorkshire Crisps, Pollybrook Ltd and Xpress Sameday Ltd.
Engineering boss urges plastics manufacturers to be ready for new legislation
Doncaster-based precision engineering company Agemaspark is urging plastics manufacturers to get ready for the changes in legislation coming later this year and in 2024.
The company is keen to ensure that businesses are ready for October 2023, when the single use plastic ban comes into force in England and, for the July 2024 changes, requiring tethered caps and lids for plastic containers up to three litres across Europe.
Paul Stockhill, MD at Agemaspark said: “These are big changes that are coming into force in the UK and across Europe. They are important changes to help businesses find more environmentally sustainable ways of working. This is an opportunity for the industry to review and modify production processes to identify areas that may need modification to meet the new regulations.
“We want to make sure that all businesses working in plastics manufacturing are aware that the legislative changes are coming and that they have solutions in place to help them to continue to deliver their products in a way that meets the new requirements.
“Working together we can devise efficient and sustainable solutions that align with the legislation.”
The EU will implement a new regulation in July 2024 requiring all plastic containers up to three litres to have tethered caps and lids. This measure aims to reduce the number of caps and lids that become litter and contribute to plastic pollution.
“Plastics manufacturers must prepare for this change by modifying their manufacturing processes to incorporate tethered cap solutions. Ensuring these caps and lids remain attached to the containers throughout their lifecycle will not only comply with the regulation but also demonstrate a commitment to sustainability and environmental responsibility. This will impact not only on drinks bottle manufacturers but shampoo, shower gel and many make up products too.
“One thing is for certain, the plastic industry is on the verge of significant legislation changes that demand the preparedness of plastics manufacturers, by being proactive and embracing improved manufacturing processes they can help to reduce their environmental impact.”
