Clifton Business Park ambitions take step forward
Calderdale Council is progressing its longstanding ambition to transform a large site in Clifton into a thriving business park, to create 1,300 jobs and major benefits for Calderdale and West Yorkshire.
In line with the Council’s priority for thriving towns and places, the proposed Clifton Business Park would support economic growth, bring opportunities for local people and businesses, and build on the significant level of aspiration in Calderdale.
The Council has been seeking funds to make the land viable for sustainable development. Following unsuccessful bids for the Government’s Levelling Up Fund grants, the Council has now launched a tender to potentially bring a specialist developer on board as a partner with expertise to ensure the delivery of commercial units at Clifton Business Park.
If the tender process results in a suitable joint venture, the developer would work alongside the Council to finance and manage the design, planning, construction and marketing of the scheme. They would work together to explore ways to maximise the value of the scheme and combine their individual expertise to deliver maximum benefit to local and regional businesses.
The Council remains confident in the potential of Clifton Business Park because undeveloped new employment land of this scale, with its vast range of distinctive qualities, is rare. The site already has planning permission, there is high demand from businesses to locate there, and it’s close to the M62. There is also a strong local workforce and Brighouse town centre nearby. As an Enterprise Zone, Clifton could be transformational, making a large impact across the entire borough and West Yorkshire region. Enterprise Zones are designated areas aimed at new and expanding firms that provide tax breaks and Government support.
Cllr Jane Scullion, Calderdale Council’s leader, said: “We want people to feel pride in the place where they live and do business, and a key part of this is the Council’s commitment to support all parts of Calderdale to thrive. We also want to build on our borough’s strong contribution to the wider West Yorkshire economy.
“The proposed Clifton Business Park – a major regeneration project – aims to do just that. It’s an example of our ambition for Calderdale, and our aim to make things happen in line with our Vision 2024 for Calderdale and the Local Plan.
“The site has the potential to create 1,300 high-quality new jobs for Calderdale and West Yorkshire, attract significant investment and new businesses into Brighouse, support our inclusive economic recovery through sustainable development, and add to local climate action through new walking and cycling routes, trees and plants.
“So, we’re being bold and saying Clifton is worth investing in. We’re determined to make the Business Park a reality through an enterprising new route, exploring the option of bringing in an external partner with expertise in moving sites like this forward.”
Work will progress throughout the year to consider tender responses and confirm whether a joint venture is appropriate. Reports about the next steps and funding requirements for Clifton will be discussed by Cabinet and Full Council in early 2024.
Duo of Yorkshire industrial assets sold for £16.1m
AEW UK REIT has sold two industrial assets in Yorkshire for £16.1m.
Euroway Trading Estate in Bradford has been purchased for £6.45m after being acquired in November 2016 for £4.95m.
At acquisition, the property benefitted from a new eight-year term certain to Advanced Supply Chain (BFD) Ltd. In December 2019, the company completed a rent review which resulted in a 9.1% annual rental uplift.
Lockwood Court in Leeds was sold for £9.65m after being acquired in February 2019 for £7.32m. The property was acquired with the benefit of a new 10-year lease to L.W.S. (Yorkshire) Ltd, guaranteed by Harrogate Spring Water. In December 2019, AEWU secured a new 10-year lease to Harrogate Spring Water, following L.W.S. entering into liquidation.
Laura Elkin, portfolio manager, AEW UK REIT plc, said: “Both Euroway Trading Estate and Lockwood Court have performed well, delivering strong returns to AEWU shareholders since acquisition.
“The value creation through strong performance of the Yorkshire industrial markets, coupled with our successful asset management initiatives, presented an opportunity to crystallise capital growth and reinvest the sales proceeds into higher yielding opportunities. As such, we expect to make further purchase announcements in the coming months.”
Yorkshire Water signs ten-year renewable power deal with Shell Energy
Yorkshire Water has entered into a 10-year power purchase agreement with Shell Energy Europe Limited to buy renewable energy generated by the Thanet and Dogger Bank offshore wind farms.
Shell has offtake agreements with both Dogger Bank and Thanet, will supply Yorkshire Water with approximately 16% of its electricity needs, from October 2023.
Situated off the coast of Kent, Thanet’s 100 wind turbines have an operational installed capacity of 300 megawatts Dogger Bank is situated off the north-east coast of England. When fully operational it will be one of the largest wind farms in the world with an installed capacity of 3,600 MW.
Dan Oxley, Yorkshire Water commercial programme manager, said: “Our ambition is to use less energy and procure more renewable energy to help us achieve our net-zero emissions goal and this deal with Shell Energy aligns with our sustainability targets.
“It takes a significant amount of energy to keep taps flowing and toilets flushing, and energy is one of our largest operational costs. This 10-year deal will help protect us from volatility in the energy market, which we have seen in recent years. Ultimately, partnerships such as this will help to reduce our costs and provide better value for the people of Yorkshire.”
Rupen Tanna, head of power at Shell Energy Europe Limited, said: “Shell Energy Europe offers a range of clean power solutions to help customers reduce their carbon emissions and we are pleased to support Yorkshire Water in decarbonising their operations through our growing portfolio of renewable energy supply.”
Goole business could share in £4m to spruce up town centre premises
The Goole Town Deal programme has launched a £4million Property Activation Fund grant scheme to encourage developers, property owners, and tenants to make improvements to buildings in Goole town centre and bring empty or under-used sites back into use.
The Property Activation Fund aims to make the town centre a more attractive and appealing place to invest in and do business by restoring, refurbishing and, ultimately, reinventing buildings that are empty, under used or in a poor state of repair. A total of £4.175 million is available to help transform buildings and sites within the town centre and will be allocated to applicants in three different size brackets – small (up to £20,000); medium (£20,000 to £314,999); and large (above £315,000). Funding is available to businesses, charities, voluntary sector organisations, learning establishments and public sector organisations in several postcode areas within the town centre. Full details of the eligibility criteria is available in the Property Activation Fund Guidance Document, which will be made available to prospective applicants. More information is available via email to goolepaf@eastriding.gov.uk. They will then be able to complete an Expression of Interest form, outlining details of their business/organisation and the project that they’re seeking funding for. The information provided will be subject to a series of checks to ensure that the business and proposal are eligible. Once this has been confirmed, eligible applicants will then be invited to submit a full application, using the Guidance Document to help them. The Property Activation Fund team will also be attending and arranging further events in the Goole area during the coming months, details of which will be widely publicised to enable as many local property owners as possible to go along and find out more. Andrew Hewitt, Regeneration Project Manager at East Riding of Yorkshire Council, said: “There are two stages to the application process and the first of these is a really quick and simple Expression Of Interest stage. Eligible applicants will then be asked to submitted a full application, which will be appraised by the delivery team and then considered by the Property Activation Fund Investment Panel. Both stages of the application process can be completed via the council’s online Flexigrant Portal. “We’ll be looking to allocate grants of various sizes to sites and premises within the eligible postcode areas as part of our aim to regenerate Goole town centre, finding new uses for sites and creating new attractions to boost footfall and fuel economic growth.”Advertising creativity comes under the spotlight at Yorkshire event
Creativity in advertising will come under the spotlight next month when three Yorkshire digital agencies join forces for an event which is attracting industry colleagues and clients from across the region.
Hull-based 43 Clicks North will host the seventh edition of its Power Hour at Social in Humber Street, Hull, on Friday 7 July. Speakers will include Tom Berridge, the firm’s head of paid media, plus Dave Ellis, co-founder of Leeds-based Everything’s Fine, and Callum Devine, co-founder of cbsocial in Middlesbrough. Power Hour was launched by 43 Clicks North founder and MD Mike Ellis as a post-pandemic initiative to put top tech talent from East Yorkshire alongside some of the key players from bigger cities. Tom will pose the question “Is There Room For Creativity in PPC” and will outline how he uses data creatively to solve problems for clients and maximise results. Dave will discuss the work of his two-man remote design and motion studio that focuses on making things move, from explainer animations and social content to app demos and showreels. Callum, who specialises in Facebook and social ads, sees creativity as key to success and client performance for his firm’s work in Meta advertising and content creation. Mike said: “Numbers at Power Hour are increasing from one event to the next as we all work to bring together people from different agencies to build a digital community and develop skills in the sector across Yorkshire and the North. “Demand for this event is higher than ever but that’s not surprising because creativity really counts when times are hard and budgets are tight, and we’ve got three speakers who all work in advertising and have that at the heart of their skill set.” Power Hour is a free event and taks place at Social, Humber Street, Hull, at 1pm.Wood and Centrica Storage explore East Yorkshire low-carbon hydrogen production hub
Wood is working with Centrica Storage to evaluate the feasibility of transforming its Easington gas processing terminal to a low-carbon production hub. Centrica Storage has partnered with Equinor on this project to deliver hydrogen to the Humber region.
Based in East Yorkshire, the hub will be integrated with Centrica’s Rough field redevelopment, as well as the Easington Terminal’s hydrogen fuel switching project, both of which Wood is executing parallel studies for.
The development of the Easington low-carbon hub over the next ten years supports Centrica’s goal to achieve net zero by 2045. Hydrogen is a crucial element in achieving this target, as well as contributing to the UK’s net zero ambitions.
Wood will leverage its extensive experience in the hydrogen sector to evaluate development scenarios including both green and blue hydrogen production facilities and their associated offsites and utilities.
Dan Carter, president of decarbonisation at Wood, said: “This study is closely aligned with Wood’s strategy to focus on enabling our clients to decarbonise their operations and reach net zero through sustainable design. The creation of the Easington hub would provide secure low-carbon energy to the region, supporting the UK’s energy transition.
“We are delighted to continue working with Centrica Storage on the design of this facility, utilising our trusted technical experts, combined with decades of hydrogen experience.”
Martin Scargill, Centrica Storage Managing Director, said: “We are excited to continue our collaboration with Wood as we explore opportunities to fulfil our pledge of facilitating the UK’s transition to net zero, with our goal to establish 1GW+ of green and blue low carbon hydrogen at Easington in East Yorkshire.
“We entered into a co-operative agreement with Equinor in 2022 to develop low carbon hydrogen at Easington and as we progress through the design phase, we are building upon our strong and strategic partnership with Wood, whose extensive experience in the hydrogen sector is critical in developing and driving this project forward.”
Begbies Traynor Group firms move to new Leeds home at Wellington Place
Property group Eddisons and independent insolvency practitioner Begbies Traynor have relocated their Leeds offices to Wellington Place.
The two firms, part of Begbies Traynor Group, have taken the 7,100 sq ft second floor of 10 Wellington Place, which will be home to Eddisons’ head office and the Leeds office of the national insolvency specialist.
The two businesses employ more than 1,200 people nationally with around 100 staff alone working out of the Leeds office.
Eddisons managing partner Anthony Spencer said: “This is an exciting move to state-of-the-art offices for both Eddisons and Begbies Traynor and represents our joint commitment to Yorkshire, where Eddisons was first founded in 1851, and an investment in our people, as well as strengthening the relationship between the two firms.”
He added: “It’s a reflection of our change in priorities since Covid, and an emphasis on the wellbeing of our team, that we are actually taking less overall space than we had previously but it is more people-focused.”
Julian Pitts, regional managing partner for Begbies Traynor in Yorkshire, said: “This is a great move for both firms and 10 Wellington Place will be an inspiring city centre environment both for our own staff and our clients.
“While we have reduced the need for storage space, our new offices will have much improved staff welfare facilities, including a larger kitchen and more breakout spaces, embracing more modern ways of working and making this a welcoming and productive environment for our team.
“We believe these new offices located in this impressive new development, are a reflection of the ambition of the group and an important milestone, supporting our strategic growth plans and enabling us to better serve our clients.”
Three firms become Chamber Patrons in Yorkshire
Adams Foodservice, PIB Insurance and Arup have upgraded their membership of the membership West & North Yorkshire Chamber of Commerce.
Bradford-based Adams Foodservice is a family-run food and drink giant servicing the country’s hospitality trade, while PIB Insurance, in Leeds, is a national leader in its field. Finally, Arup, which employs hundreds of people in the region across its offices in Leeds and York, is a global collective of designers, consultants and experts with a focus on the built environment.
The developments come hot on the heels of Teesside International Airport becoming patrons earlier this year.
James Mason, chief executive of West & North Yorkshire Chamber, said:“The work these firms do is cutting edge and the firm is so well-respected in the region. We look forward to working with them even more closely as we strive to make the region everything it can be as a place to do business.”
Mohammed Kola, Finance Director at Adams Foodservice, said: “We are delighted to be a patron member of the West and North Yorkshire Chambers. We have already experienced the phenomenal work the Chamber does both nationally and internationally.
“As patron members we hope to add value by helping promote the growth of local businesses and the surrounding communities.”
Arup’s upgrade comes at an exciting time for the business as it prepares to relocate its Leeds offices to state-of-the-art new premises in the city’s Wellington Place development.
Tom Bridges, the firm’s Leeds and York Office leader said: “Arup’s vision is to collaborate with our clients and partners, using imagination, technology and rigour to shape a better world. That is why we are proud to be a patron member of the West and North Yorkshire Chamber.
“Our teams work with local businesses and regional partners across our City Regions to reshape and generate our communities, helping to influence a greener, healthier and more prosperous future for Yorkshire.”
A spokesperson for PIB Insurance said: “We are delighted to be patrons of West and North Yorkshire Chamber of Commerce.
“Supporting businesses at a local level is very important to us, as is the commitment of the Chamber in the region.
“We are pleased to be listed amongst other businesses and look forward to working with you all.”
Calls for Government action to prevent new EU rule crushing UK’s steel industry
Trade body UK Steel has warned that almost 23 million tonnes of non-EU steel could flood the UK, if the UK fails to introduce its own ‘Carbon Border Adjustment Mechanism’ at the same time as the EU.
The steel trade association says the UK Government must act swiftly to avoid crushing the UK steel industry when the EU brings in new import carbon costs in 2026.
Gareth Stace, Director General of UK Steel, said: “Over three times our annual steel consumption is at risk of being diverted from the EU to open markets like the UK, which could suffocate our domestic industry. By not acting now UK government will burst the dam, when high-emission, cheap steel floods the UK market while ruining our export opportunities at the same time.
“We need a UK Carbon Border Adjustment Mechanism to level the playing field on carbon costs across local and international suppliers. By having a competitive domestic steel industry, the UK can lead the way to Net Zero steelmaking. Steel is vital to the UK’s economic resilience, jobs and hitting Net Zero targets for the wider economy, and integral to green tech, transport and future housing.”
The Government has today closed its consultation on a UK CBAM. UK Steel’s new stats expose how 23 million tonnes of steel currently imported into the EU could be diverted from Europe and onto the UK market when the EU’s CBAM is put in place, if the UK has no equivalent. The UK uses only 9Mt of steel, meaning any imported, cheap and high-emission steel will be stacked in stock yards, undercutting local costs and devastating the domestic industry.
The main aim of a CBAM policy is to create a market for low-emission steel and help the industry decarbonise. Imported steel can undercut domestic production simply because most nations do not apply the high carbon costs to their steel industry.
The second blow would come from the restrictions to exports, as 75% of the UK steel industry’s exports totalling 2.55Mt of steel (£3.5bn in value) goes to European markets. This could face a trade barrier from the European CBAM from 2026, unless the UK moves forwards with its own UK CBAM.
By implementing its own Carbon Border Adjustment Mechanism, the UK removes a trade barrier to the steel industry’s biggest market, stops the risk of trade diversion in its tracks, and creates a market for low-carbon steel vital for UK plc’s Net Zero transition.
Nine in ten mid-sized businesses halting growth plans due to difficulty accessing capital
Difficulty accessing capital is forcing nine in 10 (91%) of mid-sized businesses to curb growth plans, according to the latest research from accounting and advisory firm BDO.
The bi-monthly survey of 500 leaders of medium-sized businesses, which looks at the challenges and opportunities facing UK companies, reveals nearly one in four (24%) are being forced to scale back the business or make redundancies as a result of difficulty accessing capital. 22% are unable to finance plans for expansion, with a further fifth (20%) struggling to invest in new technology or software to improve their business for this reason.
An additional fifth say they are unable to raise salaries while almost a quarter (24%) are also struggling to invest in initiatives or benefits to retain current employees. Concerningly, this comes as 24% of businesses cite staff and skills shortages as one of their biggest challenges over the next six months.
Amid growing concerns about their access to capital, record levels of inflation or increased operating costs, such as energy bills, commercial rent and payroll, are the biggest challenges facing over half (56%) of mid-sized businesses. Improving cash flow, generating new sources of revenue or raising new financing from existing funding sources are also the top priorities for more than two-fifths (44%) of companies over the next six months.
Against this backdrop, businesses are turning to private capital markets for potential funding solutions. Private equity investment is the most attractive source of capital for almost a third (32%) of those in need of new funding, followed by equity capital markets (28%) and government support schemes (25%).
As a result of tough economic challenges, 40% will need to raise funds over the next year, while a further third (33%) plan to source new financing in the next 13 to 18 months.
Mid-sized companies, which employ eight million people and provided a around a quarter of UK jobs according to further research, are now calling on the Government to support them with rising costs and improve access to capital to make the UK a more appealing place to do business.
More support from policymakers to address high costs from inflation was the most common call among business leaders. Almost 30% want the Government to do more to improve access to private sources of funding, including bank loans, regional banking and private equity investment.
Even more (32%) are calling for better public financing, such as government grants, specifically targeted at businesses in the mid-market. More than one in three (35%) want the Government to introduce or improve tax incentives to help support their business and a third (33%) believe the Government could do more to offer support with energy bills, whether through subsidies or improving insulation for commercial buildings to cut demand altogether.
Richard Austin, partner at BDO LLP, said: “Despite staying resilient through an incredibly difficult time, tough challenges remain for mid-sized businesses, with access to capital becoming a critical issue.
“As the engine of the UK economy, these companies are responsible for a large, vital proportion of its income and employment and their success will play a key role in the economic performance of the UK overall. Businesses believe more can be done to address their concerns, drive their growth and ensure the UK remains an attractive place to do business both today and in the future.”
