SEPTEMBER 2015 £3.50YORKSHIRE & LINCOLNSHIRE’S LEADING BUSINESS MAGAZINEwww.blmgroup.co.ukVOLUME 30 ISSUE 9IT ANDCOMMUNICATIONSGigabit cityPORTS ANDLOGISTICSRevolutionising haulageCOMMERCIALPROPERTY Designed for talentBRIDGINGTHE GAPBRIDGINGTHE GAP01_Layout 1 01/09/2015 14:03 Page 1Huddersfield joins the pure-fibre revolutionThe Kirklees CORE is a brand new, gigabit speed, pure fibre network bringing ultra-fast internet connectivity to businesses in HuddersfieldPlug in and supercharge your businessPure-fibre connection directly to your premisesBenefit from smart, cost-saving VoIP technologyMake the most of the latest cloud applications and servicesFuture proof your businessRegister today at kirkleescore.comCLAIM UP TO £3,000 TO COVER CONNECTION COSTSmixingis our businessCreamsandOintmentsPaintsandResinsGelsSoupsandSaucesSalsaandDressingsEcoFuelsHigh Shear Mixersand Agitators02_Layout 1 02/09/2015 09:59 Page 1At long last, we’re approaching the end of the silly season. Decision makersin business and politics will be returning to their desks, as will many of theirstaff; recharged following their vacations, or so we hope. The fact is, no matterhow much you love your job, getting back on top of that mountain of workthat’s materialised while you’ve been away is no mean feat.There’s not been a lot of rest in the political arena though, the sideshow of theLabour leadership election has come to a bit of a head in recent weeks. Veryquietly, Corbyn (at the time of writing at least) has edged his way into a clearlead. As I sit down to these notes, some forty leading economists are backinghis so-called ‘Corbynomics’ and, despite warnings by the CBI, some areheralding it as a very real alternative to the measures employed by the othermainstream parties. Despite being hailed as a throwback to the bad old days of the 1970s and‘80s, some business leaders seem to be warming to them too. However,certain sections of the press have been regularly apoplectic in their tiradesagainst Corbyn, and his three opponents haven’t held back much either. Thelabour party have got themselves so worked up, they’ve thrown everything except a publichealth warning at him – maybe that’s next, a sort of surgeon general’s health statementplastered over his images. Despite all this brouhaha, our regional economy continues to be more buoyant than onemight expect at this time of year, and our round up of the latest news certainly shows this. I’dcommend readers to our article on commercial property which reveals the effect your choicecan have on office morale. We’ve the usual insight into various industry sectors, includingadvances in the engineering industry, business growth and the IT industry. These are just someof the many articles in this month’s issue of business link and we trust you enjoy reading themas much as we enjoyed compiling them.Good reading as always.W S FisherEditorThe magazine that caresWE CARE because we want to leave our world a better place than we found itBusiness Link believes that being socially and environmentally responsible is the key to maintaining a flourishingbusiness that our customers will be pleased to use and our staff will be proud to be part of.Community-From a very local point of view, we strive to be a ‘good neighbour’. We also extend that into themuch broader local community, through financial support of local causes and charities. Environment-Our actions extend to: conservation of energy and natural resources, minimisation of waste andensuring our trading partners do likewise.From theEDITOR…“At long, last weare approachingthe end of thesilly season”03_Layout 1 01/09/2015 14:06 Page 16NewsCatch up with news from around theregion9TaxationWhat is an ‘Overdrawn Directors LoanAccount’ and what are the taximplications? by Chris Connor, Senior TaxPartner, Streets Chartered Accountant 11Commercial propertyBusinesses are doing everything in theirpower to recruit and retain the best peoplebut top candidates nowadays expect ever-more creative working environments13LettersReaders’ letters and replies14Ports and logisticsDespite the loss of trade and income, theCalais crisis is offering the Yorkshire andLincolnshire region the opportunity to alignitself as the heart of the UK’s haulageindustry18Engineering and constructionNo matter how sharp our eyesight may be,or how dextrous we are with our hands,the bottom line is that the improvements inefficiency and cost-saving potential ofintegrating robots into the manufacturingprocess cannot be ignored22Food, chemicals and process industriesWe live in a world where almost everythingwe purchase or use is identified in someway or other, either by coding, marking orlabelling. But with ever changinglegislation, it is imperative manufacturersand packaging companies find the rightsystem to meet their needs• DataLase26Business growthThe UK government implemented theEnergy Saving Opportunity Scheme(ESOS) in 2012 to comply with the latestEU legislation, but recent surveys suggestthat all too many businesses are unawareof the scheme, or its December deadline -despite fines of up to £50,00030Energy and renewables This month we examine the kinds ofrenewable energy sources beingemployed by companies in Yorkshire andLincolnshire, and look at some of thelarge-scale commercial schemes that arehelping to establish the region as a worldleader in the field35Conferences and exhibitions In an increasingly technologicallyadvanced world, organising a live eventmight seem an old fashioned way of goingon , but even here at Business Link we4011CONTENTSSEPTEMBER 2015www.blmforum.netutilise face-to-face events provide anexcellent opportunity to foster personalrelationships with customers38Brand Yorkshire Brand Yorkshire returns with its sixthannual conference 40IT and communicationsInadequate internet connection ishindering the growth, ambition andproductivity of many Yorkshire andLincolnshire based businesses.CityFibre has found a future proofsolution42AutoLinkSummer finally arrived, and departed,just as quick. Hopefully though, it’s notall grey skies and dark nights from thispoint on- so, if you want to really makethe most of the brighter days, thenwhat better way than open-toppedmotoring?• Mini Cooper D 5-door hatch road test46EventsWe take a look at business eventshappening around Yorkshire andLincolnshire49Classified50And finally…04-05_Layout 1 01/09/2015 14:07 Page 1EditorSteve Fisher (s.fisher@blmgroup.co.uk)JournalistsMichael Fisher (m.fisher@blmgroup.co.uk)Stuart Pearcey (s.pearcey@blmgroup.co.uk)Dominic Cuthbert (d.cuthbert@blmgroup.co.uk)Editorial contactnewsdesk@blmgroup.co.ukTel: (01472) 310305 Fax: (01472) 310317Sales DirectorAngela Cooper (a.cooper@blmgroup.co.uk)AdvertisingTel: (01472) 310310Accounts & SubscriptionsAngela Sharman, John DownesTel: (01472) 310301 Fax: (01472) 310311Design & ProductionGary Jorgensen, Mark CassonTel: (01472) 310304 Fax: (01472) 310314(studio@blmgroup.co.uk)E-Mail:yorks-lincs@blmgroup.co.ukWebsitewww.blmforum.netAddressHaychart Ltd, Armstrong House, Armstrong Street,Grimsby, N.E. Lincs., DN31 2QE.ISSN No:1462-2092All rights reserved. No part of this publication may be reproduced,transmitted, photocopied, recorded or otherwise without expresspermission of the copyright holder, for which application should beaddressed first to the publisher. While every reasonable care istaken, neither the publisher nor its participating agents acceptliability for loss or damage to prints, colour transparencies,negatives or other material of whatever nature submitted to thispublication. The views expressed in this publication are notnecessarily the views of those held by the publisher.This magazine is now fully recyclable. By recycling magazines,you can help reduce waste and add to the 5.5 million tonnes ofpaper already recycled by the UK paper industry each year.Before you recycle your magazine, please ensure you removeall plastic wrapping, free gifts and samples. If you are unable toparticipate in a recycling scheme, then why not pass yourmagazine onto a local hospital or charity?Yorkshire-Lincolnshire-Business-Link @blmforumblmforum.netCOVER PHOTOS: SHUTTERSTOCK.COM - IURII • MONKEY BUSINESS IMAGES • RTEM • GYN90371404-05_Layout 1 01/09/2015 14:08 Page 2Yorkshire lads launchcounty clothing companyTwo young Yorkshire entrepreneurs with a passion for the countyhave launched a new e-commerce business that offers hundreds oforiginal t-shirts and merchandise products, all with a Yorkshire theme.Kristian Wilkinson, 26, and Edward McConville, 29, created I’mFrom Yorkshire as an online community in 2013, allowing users toshare and showcase photographs and stories from across the region.However, after identifying a gap in the marker for Yorkshire-themedproducts, they have since started designing and printing t-shortsfeaturing coming sayings from the county.Edward commented: “Whilst the business is still very muchfocused on the community that we have built, there no denying thatthe products we create are hugely popular. We can now offer themclothing and merchandise.”Kristian added: “Yorkshire people are seen to identify more withtheir county than their country and the dialect and accent is alsovery distinctive. With I’m From Yorkshire, we have been able tocapitalise upon this using it as a basis for the business.”6Business Link www.blmforum.netNEWSCBI predicts more growth andrising interest rateA firmer rise in household spending, accompanied by robust investment growth, will helpto duel faster ‘twin engined’ growth in the UK economy, according to the latest CBI economicforecast.The UK’s leading business group is forecasting 2.6 per cent GDP growth for 2015, and 2.8per cent in 2016. The upgrade is due to a combination of factors including signs of recoveringproductivity in the first half of this year feeding through to stronger wage growth.Combined with continued low inflation from falling commodity prices, this gives a welcomeboost to household spending. Furthermore, business investment is also likely to remainhealthy, with surveys indication robust plans for capital spending. John Cridland, CBI Director-General, said: “We’re seeing tentative signs of productivity picking up. But the outlook on exports is somewhat muted:the strong Pound is hampering our competitiveness abroad and growth in the Eurozone, our biggest trading partner, and will remained subdued for theforeseeable future, particularly given renewed uncertainty.” KC communications given PRduties for Educated Yorkshire KC Communications has been handed the PR duties for the inauguralEducated Yorkshire Conference. The conference will shine a light on the changing world of education,offering insight to a variety of senior leaders. Chrissie Slater, Event Director, commented: “As an agency with a strongbackground in the education sector, we are delighted to be working with KCCommunications to support us with our public relations in the lead up to thefirst ever Educated Yorkshire Conference.” Katrina Cliffe, Managing Director of KC Communications, added: “It’s adelight to have been appointed by Chrissie to promote the EducatedYorkshire conference. Having supported a number of educationalestablishments with their marketing and PR requirements we are lookingforward to helping bring those in the Yorkshire education sector together forthis not-to-be-missed conference.” The appointment follows news that the PR company was shortlisted forStart-up Business of the Year awards in the Forward Ladies, Women inBusiness Awards. The conference takes place at Bradford College, in November. Asbestos training is being ignored, says UKATAFollowing recent stories of asbestos being mishandled across the country, the UK Asbestos Training Association has issued a warning that adequatetraining in safety management is being ignored. The number of prosecutions brought by the HSE has been on the rise and many examples cite bad asbestos handling practice. “It is imperative that any tradesperson who may come across asbestos during the course of their work is aware of the legal requirement andfurthermore knows how to protect themselves and those around them,” comments Craig Evans, General Manager of the UK Asbestos TrainingAssociation (UKATA). “Asbestos Awareness training is the absolute minimum requirement for anyone who may come into contact with asbestos although this level oftraining does not permit them to work with any forms of asbestos containing materials.” As UKATA launches its latest Train Safe, Work Safe, Keep Safe initiative to offer small traders the opportunity to have some free asbestos safetytraining, there is no excuse for tradespeople to not be prepared. 06-09_Layout 1 02/09/2015 10:49 Page 1www.blmforum.netBusiness Link 7Is your fire safety up to standard,ask fire service professionals Humberside Fire and Rescue Services is to hold Business Fire SafetyEducation Seminars across the region to help business comply with firesafety legislation.HFRS want to offer as much support and guidance as it can helpbusiness owners reduce the risk of fire affecting infrastructure andendangering staff. Many businesses may be unaware of their statutoryrequirements, but are legally bound by them.As the enforcing authority for this legislation, HFRS periodically auditsbusinesses to verify compliance as part of a Risk Based InspectionProgramme. The Business Safety team conducts in excess of 3,000 auditsper year on commercial premises. The can contact any business at anytime in the Humber region to carry out an audit of fire safety measures andwill required details on the significant findings of Fire Risk Assessment. The seminars are free to attend and take place in September. South Holland businessawards return for 2015Local businesses can look forward to winning coveted awards acrossseven categories, including Apprentice of the Year, Supporting theCommunity Award and Customer Care Award. The awards are open to members and non-members of the LincolnshireChamber of Commerce. Talking about the awards, which are now in theirsecond year, Spalding and District Area President of the LincolnshireChamber of Commerce Phil Scarlett says: “We want to recognise the workthat South Holland businesses have done over the last year. “As well as bringing businesses together to network and make newconnections, we’ll also applaud the outstanding work that South Hollandbusinesses have achieved. And this year – we’re expecting things to bebigger and better than before!”Speaking about the free publicity winning awards can bring forbusinesses, Simon Beardsley, Chief Executive at the Lincolnshire Chamberof Commerce, commented: “Entering and winning awards can make asignificant difference to a business. It helps differentiate you from thecompetition as well as generate media interest.”BUSINESSLINKMULTI-PLATFORM MARKETINGIN PRINTBusiness Link is theregion’s leadingbusinesspublication,reaching decisionmakersthroughout the region.Often imitated but never equalled.ON LINEWith over 200,000visitors per monthvisiting our website,Business Link gets youradvertising message infront of the peoplethat count.FACE TO FACEBusiness Link hostsmany corporateevents bringingtogether theregion’s topbusinesses todiscuss hot topicsand provide valuablenetwork opportunities.GAIN AN UNRIVALLED ADVANTAGEThe region’s leading companies and mostprestigious brands promote themselvesthrough Business Link.You can too, just call Angela Cooper orSam Trott on 01472 310310 foran informal chat.www.blmforum.netLinkingbusinesstogether06-09_Layout 1 02/09/2015 10:50 Page 28Business Link www.blmforum.netNEWSWordsandSpacesLtdtel:01724 352156 mob:07736 952885 fax: 0871 989 5784 email: stuart@wordsman.co.uk twitter:@stuartpearcey Armstrong House, Armstrong Street, Grimsby, North East Lincolnshire, DN31 2QEI’ll write blogs, websites, ads, articles, leaflets, news releases and newspapers; I’ll design print and buy it. I’m Stuart Pearcey. How can Imake your life better today?www.wordsman.co.ukWhere goodcopywritingmeans businessLincoln’s visitor economycontinues to rise Lincoln’s visitor economygrew 5 per cent between 2013and 2014, according to recentfigures. The largest growth area wasin visitors staying in paidaccommodation – aligned withVisit Lincoln’s ambition ofgrowing the valuable shortbreak market. The staying withfriends and relatives marketand day visitors also increased. Emma Tatlow, Manager ofVisit Lincoln, said the growth ispositive and demonstratesthere is an opportunity tocontinue to drive growth in this sector. “Lincoln’s visitor economy supportseconomic growth in the local area and creates and supports jobs. It isencouraging that we continue to see year on year growth - and we anticipatethat with the Magna Carta 800th Anniversary, investment in Lincoln Castle, thestunning events programme the city has played host to this year that we willsee even more growth in 2015. Visit Lincoln have delivered a significantnational marketing campaign to really put Lincoln on the map and fly the flagfor this historic city.” The sector contributes £175 million to the economy each year, and supportsmore than 2,000 jobs.Barnsley support programmelaunches roadshow forbudding entrepreneurs Budding entrepreneurs arebeing invited to the biggestever roadshow organised bya successful Barnsleybusiness start-up programme. Anyone interested insetting up their own business- or who has recently set up anew business - is encouragedto come along and find outmore about the free businesssupport available to them inBarnsley. The programme providesone-to-one businessmentoring plus an intensive eight-week course of workshops coveringall aspects of running a business, including planning, finance,marketing and sales. Would-be business owners can just drop-in on the day or get intouch and book a one-hour appointment with a mentor in advance.People interested in setting up new businesses in fitness, food andphotography sectors have already been in touch to book places. BBIC’s SmartStart business development manager, SarahValentine-Bull says: “SmartStart is all about reaching out to people inBarnsley who are considering self-employment and setting up theirown business.”06-09_Layout 1 02/09/2015 10:50 Page 3www.blmforum.netBusiness Link 9TAXATIONWhat is an ‘OverdrawnDirectors LoanAccount’ and what arethe tax implications?Chris Connor, Senior Tax Partner,Streets Chartered AccountantAn ‘Overdrawn Directors LoanAccount’ is a common term usedto describe money owed to aclose company (a companycontrolled by 5 or fewershareholders) by a director-shareholder. The most commonsituations for an overdrawndirectors loan account to arise iswhere a director-shareholderdraws money from the companybut does not have existing funds in the company to draw from. Where a loan exceeding £10,000 is made to a director it istreated as an employment related loan. A taxable benefit willarise on this loan if the director pays little or no interest which isto be reported on form P11d.Corporation Tax on Loans to Participators (S455 tax)S455 tax is payable at 25% of the drawings of a shareholderduring an accounting period, less any repayments made in thatperiod, and is repayable to the company 9 months following theend of the accounting period in which it is repaid.This will also apply to the borrowings of partnershipscontrolled by a shareholder of the company and trusts for whicha shareholder is a beneficiary. Relief is available for S455 tax in cases where the loan hasbeen repaid within 9 months of the accounting period in which itwas made. However, due to the abuse of this relief in recentyears, there are now strict rules surrounding the application ofthis relief. So that loans cannot be repaid one day and drawn outthe next, thus effectively maintaining the loan without paying anytax, HMRC have introduced the following two conditions:30-day matching ruleThis is where any repayments totalling £5,000 or more andnew loans totalling £5,000 or more are made within a 30 dayperiod; the repayments will be treated as repaying the new loansrather than any earlier loans. Arrangements ruleIf any arrangements are in place, at the time of repaying a loan,to redraw further amounts at a later date, relief will be denied.The term “arrangements” in this context is not defined and will bewidely interpreted by HMRC so it is important to consult your taxadviser when considering the best method of repayment. Chris Connor is a Senior Tax Partner at Streets CharteredAccountants, a top 40 UK accountancy firm. Telephone 0845 8800320,email info@streetsweb.co.uk or visit www.streetsweb.co.ukPlanning rules could becosting small builders dearly,claims report A new report commissionedby the Federation of SmallBusiness suggests planningauthorities could inadvertentlybe costing small house buildersmillions of pounds.The FSB says that these extracosts rick blocking otherwiseviable housing projects at a timewhen we desperately need tobuild new homes. The report by BCIS found that,on average, smaller housebuilding projects of 10 units orless – typical of developments run by smaller firms – had significantlyhigher basic building costs. The difference lifted average house buildingcosts by 14 per cent when compared to larger developments.The report found no evidence of councils accounting for these highercosts when stipulating the level of the Community Infrastructure Levy –a charge that developers pay when they are granted planningpermission. John Allen, FSP National Chairman, said: We are deeply concernedthat an inflexible approach by local authorities could be preventingsmaller house builders from taking on otherwise viable projects.” Generation Y needs morehelp if it’s to avoid a roughretirement Retiresavvy.co.uk, the online retirement community powered bySkipton Building Society, has shared the results of a heated debate onits forum, looking at how today’s younger workers are preparing forretirement.John Adams, a leading blogger, author and media commentator forDad Blog UK, started a thread with a simple question: “Do youngpeople give enough thought to retirement?” Over 2,000 views later, and having generated a much heated socialdebate, the social media interaction revealed that there’s not enoughaccessible and engaging information available on retirement planningand pensions that will interest younger workers, and not nearly enoughis being done in workplaces to educate employees. Others agreed thatmany are living in denial, adopting an out of sight out of mind attitudewhen it comes to retirement. The thread also identified that there is achronic gap in generation Y pension provisions, based on currentsavings levels, with many people in their twenties and thirtiescommenting that saving for a pension is an unrealistic commitment,and that student loans and mortgages take priority. 06-09_Layout 1 02/09/2015 10:50 Page 4Next >