east midlands chamber

HS2 Phase 2b critical to business confidence, says East Midlands Chamber director

Investing in key infrastructure projects like HS2 are crucial to rebuilding the confidence of investors in the post-Covid world, an East Midlands business leader has claimed.

Chris Hobson, director of policy and external affairs at East Midlands Chamber, warned the Government that failure to back the Eastern Leg of the high-speed rail line would affect sentiment in the region – with tangible knock-on impacts that would stifle job creation and economic growth.

He was speaking at the Levelling Up webinar hosted by transport body Midlands Connect shortly after it was announced that Phase 2a – connecting the West Midlands to Crewe – had been given royal assent in Parliament.

The future of HS2 Phase 2b – which will connect Birmingham and Leeds via a new East Midlands station in Toton and Sheffield, along with a spur of the line bringing HS2 trains to Chesterfield station – is uncertain after the National Infrastructure Commission recommended a scaled-back version of this line to stop at East Midlands Parkway station.

Businesses need solid Government commitments to plan ahead

Asked by The Sunday Times’ deputy political editor Caroline Wheeler what impact transport investment had on private sector confidence, Chris said: “It has a massive impact and I’d turn it the other way around to say that a lack of investment knocks confidence.

“It’s fantastic news that HS2 Phase 2a has been granted royal assent but there’s still uncertainty in the East Midlands about what’s going to happen to Phase 2b.

“That has a knock-on impact on confidence. When I speak to particularly our larger members, when they assess their asset plans in their various estates, they’re looking over decades rather than years.

“They want to know what the future holds and it’s really important the Government and policymakers don’t underestimate the impact of continually putting off decisions or making firm commitments to projects like this.”

Confidence might not be tangible, but the impact of it is

Chris also highlighted the importance of the connections that businesses, whether they trade locally or internationally, have to physical locations.

“They feel a commitment to the place they’re situated,” he said. “When I talk to members, they’ll talk about being a ‘Mansfield business’ or a ‘Market Harborough business’ – they feel real affinity to where they are as they’re often run by local people and employ people in their communities.

“So they want to buy into an exciting vision of what the future looks like for their business, families and communities they serve. Actually having a plan for infrastructure investment and seeing it take place gives confidence and makes businesses already here want to grow and invest.

“For those companies that are looking to move out of London or the South East – or potentially bring supply chains closer to home – they want to be excited about where they’re doing that so there’s a massive link between transport investment and confidence.

“And while confidence doesn’t feel tangible, the impacts of it very much are so it’s very important to see that investment going forward.”

Chris also spoke about a lack of quality work spaces hampering the influx of inward investment enquiries received by Derby, Leicester and Nottingham during the pandemic as more companies look to leave London, as well as the importance of embracing the region’s thriving advanced logistics sector.

Other panellists at the Midlands Connect Levelling Up webinar were Jane Stevenson MP, former Bassetlaw MP Lord John Mann and Lord Ravensdale, co-chair of the Midlands Engine All-Party Parliamentary Group.

The next event to be held in the webinar series will explore decarbonisation and takes place on Thursday 18 February. For more details, click here.

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Kickstart scheme creates almost 900 new jobs for 16 to 24-year-olds

Businesses have been urged by East Midlands Chamber to use gateway providers to create work placements in the Kickstart scheme – after it helped to create hundreds of roles for young people in the region.

The chamber of commerce for Derbyshire, Leicestershire and Nottinghamshire has so far helped to facilitate 887 new roles across the three counties. All these have been approved by the Department for Work and Pensions (DWP), which will provide a £1,500 grant to employers for each six-month placement created for a 16 to 24-year-old.

Further applications have been submitted for another 900 roles as part of the organisation’s role as a gateway provider, which has so far been required for businesses with fewer than 30 vacancies.

East Midlands Chamber (Derbyshire, Nottinghamshire, Leicestershire) deputy chief executive and Kickstart lead Diane Beresford said: “Using a gateway provider removes the headache of trying to understand the Kickstart application process and ensures businesses receive the full support they need when submitting an application, as well as filling the vacancy with help in tasks such as writing job adverts.

“The Chamber has pledged to work with employers and the young people they hire during the placement to identify any suitable progression opportunities, while we are also able to manage and deliver the mandatory employability support programmes on their behalf with additional sector-based workshops.

“All this free support means companies can concentrate on what they do best, which is running their business, while giving opportunities for the young people that extends far beyond the initial six-month period.”

Chancellor Rishi Sunak announced yesterday (Monday 25 January) that businesses can now also apply direct to DWP for a placement.

Diane said the Chamber remained open to offering gateway services to businesses that want to create a placement as part of the £2bn scheme.

She added: “The Government’s drive to support the creation of new jobs at this challenging time for business is laudable.

“Hundreds of businesses in the East Midlands have already stepped forward to create new opportunities as part of the Kickstart scheme, and we’re proud of the role we’re playing in supporting businesses to secure approval for these placements as an official gateway provider for the scheme.

“It is essential that the Department for Work and Pensions works through current applications in order to support more coming through, and that it continues to encourage small business to work with gateways as an essential support mechanism for businesses to provide a helping hand navigating what can be complex bureaucracy.”

To find out more about how East Midlands Chamber can support businesses with the Kickstart scheme, contact education and business partnership manager Pieter Eksteen on 07468 474307 or email pieter.eksteen@emc-dnl.co.uk.

 

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D2 Business Starter Programme set to continue into 2021

A pioneering project aimed at helping people across Derby and Derbyshire to start their own business will continue throughout 2021 to support workers affected by the ongoing coronavirus pandemic.

The D2 Business Starter Programme was launched in January 2017 to help people move into self-employment and develop their ideas into commercially viable businesses.

Through a series of themed workshops and one-to-one support from expert advisers, the programme aims to equip participants with the practical knowledge and skills they need to get up and running.

The programme is funded by Derby City Council and Derbyshire County Council and delivered by East Midlands Chamber (Derbyshire, Nottinghamshire, Leicestershire), the region’s leading business organisation.

So far, it has supported more than 1,000 people and helped to create more than 190 new businesses and 220 new jobs. More than 10,000 hours of free support have been provided to those taking part.

Due to the success of the scheme, it has been extended into 2021 and an online taster session, to give would-be entrepreneurs the opportunity to find out more, takes place between 4pm and 5pm on 27 January.

Paul Stuart, the Chamber’s head of enterprise, said: “The D2 Business Starter Programme has been a huge success since launching in 2017 and has helped many people across Derby and Derbyshire to take the leap into self-employment and start their own businesses.

“We’re delighted to be able to continue to offer this free support throughout 2021, to help even more people follow their dreams and make their business ideas a reality.”

What does the D2 Starter Programme involve?

An individual, tailored package of support is offered to each person taking part in the programme. It includes one-to-one mentor support and a series of workshops, led by experienced professionals and designed to complement the mentoring sessions.

Workshops include subjects such as an introduction to self-employment, marketing, business planning, book-keeping and social media.

The next workshop programme kicks off on 3 February.

There are no costs for those taking part. The only eligibility criteria are that people wishing to access the programme’s free support have a Derby or Derbyshire postcode and the desire to start a business.

Derby-based CRZyBest, a maker of eco-friendly bespoke jewellery, gifts and accessories, was one of the first businesses supported by the programme.

Its founder, Claire Zwozny-Bestwick, enrolled on the programme to learn more about the fundamentals of starting a business, finance, sales and marketing, along with setting short and long-term objectives and developing and refining a business plan.

Over the past year, she has moved the business full-time into a purpose-built workshop in her garden, as well as investing time in developing her website and social media presence in the wake of the coronavirus pandemic, and   diversifying her product offering to suit a more online audience.

Claire said: “The support I received was really useful in giving me the confidence and the skills to follow my dream of setting up in business.

“It also provided a vital support network and has enabled me to keep accessing advice and support to continue to grow the business.

“The past year has been all about adapting what I do to what’s been happening in the world, so I’ve had the time to learn some new skills and focus on improving my website and online presence.”

Business founded by furloughed employee receives support from D2 Starter Programme

Coffee lover Matthew Hilton-Webb, meanwhile, founded his business, The Cloth Filter Co, while on furlough from his job in nature conservation in the High Peak, last summer.

He manufactures and sells handmade coffee filters online and enrolled on the programme in September. His business took off after a major coffee roastery in London placed a bulk order for his products and started recommending them on social media.

Matthew said: “The programme gave me a good grounding in the basics of running my own business and helped fill in some gaps in knowledge.

“I love coffee and tried making my own cloth filters after seeing a few videos online about the difference compared to paper ones.

“I had a lot of time on my hands because of the pandemic, but quickly realised there was a gap in the UK for the products I make, so what started as a hobby quickly became a full-time business.”

Businesses wanting to find out more and register for the online taster session can do so at www.pushthebuttontoday.com.

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East Midlands Chamber survey shows region’s economic recovery is “treading water” – but businesses are confident about future

The economic recovery has stalled in the East Midlands as tightening Covid-19 restrictions took their toll on businesses, according to new research published today.

An East Midlands Chamber study found cashflow and advanced orders were significantly affected for many firms during the final quarter of 2020 as the second national lockdown in November – straddled by the most severe tiered coronavirus restrictions imposed on the region and the uncertainty leading to the end of the Brexit transition period – undermined resilience to future shocks and the ability to respond to new opportunities.

However, the Quarterly Economic Survey for Q4 2020 showed signs of light at the end of the tunnel as a net 16% of businesses in Derbyshire, Leicestershire and Nottinghamshire said they expected to create jobs in the three months following the study, which was conducted in November – while there were also positive indicators for turnover, profitability and investment intentions.

The restrained confidence for the prospects of 2021 was reflected in the Chamber’s State of the Economy Index, which aggregates the survey data to provide an overall “health score”, as it flatlined following the rebound of Q3.

Chris Hobson, director of policy and external affairs at East Midlands Chamber, said: “Future pricing intentions started to creep up as increases in raw material costs – along with access difficulties – began to impact on manufacturers. Advanced orders and bookings were down for many as the national lockdown in November caused some to pause their plans and a general sentiment of ‘wait and see’ started to pervade the conversations of some.

“In conversations with businesses, many spoke of a ‘weariness’ and ‘fatigue’ at navigating themselves and their staff through the difficulties of the past 10 months.

“However, there was still an undercurrent of tentative optimism for the coming year, as reflected in the confidence indicators for future turnover and profitability, perhaps acknowledging that the current predicament can’t last forever.

“The economy, as a whole, hasn’t slipped back to the place it was in during May and June, nor has it continued its rebound from that position. Instead, it can best be described as ‘treading water, waiting to see whether the final days of a year that asked more questions than anyone would have anticipated finally delivered some answers.”

Key findings of East Midlands Chamber Quarterly Economic Survey for Q4 2020

Some 476 businesses across Derbyshire, Leicestershire and Nottinghamshire took part in the Chamber’s Quarterly Economic Survey for Q4 2020.

A third of these were from a manufacturing background, while 200 exporters were represented within the cohort.

Key findings from the survey, conducted between 2 and 23 November, showed:

• Sales decreased for a net 9% of businesses involved in the UK market and net 17% of firms in the overseas market in the three months leading to the survey
• Advanced orders for the three months following the study were down for a net 14% of companies in the UK market and net 21% of those with international operations
• Cashflow worsened for a net 15% of companies. This was the fourth consecutive quarter in which this indicator fell into negative territory
• Investment intentions were in positive territory, with spending plans revised upwards for a net 2% when it comes to buying new plant, machinery or equipment, and a net 10% for training
• A net 6% decreased their workforce during Q4 but a net 16% expected headcount to increase over the first three months of Q1 2021
• Business confidence levels remained stable after a deep fall over the summer. A net 35% of firms expected turnover to improve in Q1 2021 and a net 20% predicted a rise in profitability

What policymakers must do in 2021 to help businesses

The Chamber models the survey data across a range of key performance indicators, including sales and orders, recruitment, cashflow, investment intentions and confidence, to produce a quarterly State of the Economy Index, which enables it to compare local business performance quarter-by-quarter.

In Q2, the score fell to -411, its lowest level on record and the first time it’s fallen into negative territory. It was back into positive territory for Q3 – but only just at +17 – and there was only a three-point increase to +20 in Q4.

This means it remains the third lowest score on record and 221 points lower than the pre-Covid survey for Q1 2020.

Chris added: “It’s clear that 2020 was unprecedented, unpredictable and created amazing levels of uncertainty. Much of what has gone on has been out of businesses’ ability to control. However, under those circumstances, with one hand tied behind their backs, they have worked to manage those factors that they can control, looking for internal efficiencies, improvements in quality and new opportunities.

“As we move into 2021, policymakers must do likewise. It is in their gift to control the nation’s capacity for testing, the speed at which a vaccine is rolled out and the availability and reading of data on how the pandemic is progressing.

“They can also control the levels of business support provided, the rules as to how it’s accessed, and the measures that exist to allow businesses to reopen and make money without Government support.

“It is essential that we get this right for 2021, particularly as we begin the year in the worst possible manner with the prospect of at least two months of national lockdown.

“Despite all the challenges of the past year, the vast majority of businesses have made it through – with some even finding opportunities to excel. If the first half of 2021 follows a similar pattern to the past six months, then more of those currently treading water may sadly slip under.”

 

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East Midlands Chamber responds to national lockdown announcement

East Midlands Chamber is welcoming One-off £9,000 business grants, but says firms need the inside track to the Government’s plan for coming out of the newly-announced national lockdown.

Responding to the Government’s announcement of a third national lockdown for England, East Midlands Chamber (Derbyshire, Nottinghamshire, Leicestershire) chief executive Scott Knowles said: “After a desperate 2020 for businesses and communities, a third national lockdown is another devastating blow to business confidence as it follows hard on the heels of lost trade during the festive season – not to mention the uncertainty that prevailed up until the eleventh hour of the Brexit transition period.

“The Government’s need to act in the face of spiralling threat to public health is obviously understood but after already spending billions on helping good firms to survive this crisis and save jobs, it must not let these companies fail now when the vaccine rollout provides light at the end of this long, dark tunnel.

“The Chancellor’s announcement today of a one-off £9,000 grant for retail, hospitality and leisure businesses will hopefully help keep their heads above water for a couple more months, but Westminster must remember financial support – while certainly welcomed and required – is no substitute for a fully open economy that allows businesses to generate their own revenue.

“It’s now time for the Government to open the lines of communication with businesses by sharing its plan for how the brakes will be lifted on the economy over the coming months to allow businesses to plan properly.”

For more information on guidance and business support available during the current lockdown, visit our Covid-19 support page here.

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Chesterfield business leaders urge government to deliver HS2 Eastern Leg in full

The chief executive of East Midlands Chamber says there are “No excuses for the HS2 Eastern Leg not to be built in full,” after the National Infrastructure Commission published recommendations earlier this week.

Responding to the National Infrastructure Commission’s (NIC) Rail Needs Assessment Plan in which it outlines recommendations on the future of HS2, East Midlands Chamber (Derbyshire, Nottinghamshire, Leicestershire) chief executive Scott Knowles said: “HS2 is the single-biggest transport infrastructure project in a generation and represents a huge opportunity for businesses, with the potential to unlock economic benefits of more than £4bn for the East Midlands and part of Yorkshire.

“By connecting the region with a first-class UK and Europe-wide rail network, it will bring enormous opportunities to local firms and make the East Midlands a much more attractive location for inward investment.

“However, these benefits for both the region and country will only be realised once it is delivered in full. That means the Eastern Leg being built exactly as the Government has promised all along, rather than a diluted version of this, and at pace.

“We will have major capacity issues on the Midland Main Line within the next two decades unless something is done to upgrade the rail network, so this needs to be addressed urgently. HS2 would achieve this, while also offering much-needed improvements in connectivity between the region’s towns and cities.

“However, this is so much more than just a railway line. It’s been great to see many parts of the East Midlands come together to commit to a blueprint for the future of the region that will bring economic growth and jobs. We have been very clear on our vision, which is built on the idea that the Toton hub station becomes a destination in its own right – a magnet for inward investment and an industrial hub that unlocks further development opportunities.

“The NIC’s report is therefore very concerning as it doesn’t take any of the regional growth plans into account and we absolutely do not accept its findings.

“Any suggestion that involves stopping HS2 at East Midlands Parkway would not work for the region, and has already been considered and dismissed from a feasibility perspective years ago.

“When the Government makes its decision about which option to include in its Integrated Rail Plan, it will have a clear choice between an exciting vision created by a region that’s focused on long-term growth and prosperity – one that will shape how we want our country to look as we leave the UK-EU transition period – and another that applies rough methodology, offers short-term logic and ultimately doesn’t deliver the same benefits.

“We have a plan that’s ready to go and it’s time the Government delivered on promises it has made so many times over the past 12 months since it firmly committed to the scheme – and in the years that preceded it.

“The East Midlands currently has the lowest transport spend per capita – £245 per head – of any region in the UK, receiving just 51% of the £483 UK average. The region is in desperate need of investment and finally putting any questions to bed on the HS2 Eastern Leg would go some way to proving the Government is serious about delivering on the ‘levelling-up’ agenda – a point on which it has repeatedly banged the drum without any serious proof of what this actually means.

“To do anything else would be a huge mistake, critically undermining the entire project and blowing a huge hole in Government rhetoric.”

Councillor Tricia Gilby, Leader of Chesterfield Borough Council has responded to the NIC publication. She said: “We are hugely disappointed that of the options presented the National Infrastructure Commission does not recommend delivery of the eastern leg of HS2 in full. This directly conflicts with the Government’s pledge to levelling up in areas like ours. It also seriously undermines local plans for growth in the north and the midlands.

“After decades of underinvestment in strategic rail infrastructure, delivering HS2 is a once in a generation chance to transform connectivity, attract investment, create new jobs, build new homes, boost skills and opportunity and level-up communities across the North, Midlands and beyond. This is even more crucial to our economic future in optimising recovery from the pandemic, which has hit the North and Midlands hard.

“We have been working with our partners across the north and midlands for a number of years, making it clear that the full eastern leg is a critical requirement for Northern Powerhouse Rail as well as investing huge amounts of money in developing growth plans that will help our communities make the most of HS2.

“For Chesterfield, the failure to deliver the eastern leg in full means facing the prospect of reduced connectivity for our communities, as well as damaging the momentum we have built up around our ambitious comprehensive plans for both Staveley and the area around Chesterfield Station.

“In the Staveley area alone, planned growth worth at least £1bn has been catalysed by the planned HS2 maintenance depot. Taking this away would be a huge blow for an area that has had its hopes raised on the back of HS2’s plans and would leave a huge question mark over how we can deliver the ambitious growth plans our communities need and deserve.

“It is vital that the Eastern Leg of HS2 is delivered in full and that delivery starts as soon as possible. This is about more than just rail and trains – it’s about new jobs, new homes and new starts for communities that have been denied these opportunities over many years.

“This is a critical issue for Chesterfield and Staveley. I will not rest in working with council and business leaders along the planned Eastern Leg to hold Government to account and to ensure that the Prime Minister honours his commitment to deliver HS2 East in full. Time is of the essence to re-assert the strength of Chesterfield’s social and economic case ahead of Government’s planned publication of its Integrated Rail Plan.”

 

Dom Stevens, manager of Destination Chesterfield commented: “Chesterfield is already moving forward with significant plans and developments so that the town can maximise the wide range of economic benefits HS2 has to offer.

“The originally proposed spur of the line arriving at Chesterfield Station will improve connectivity, journey times and capacity on our rail network locally and nationally, bringing with it vital investment opportunities.

“We would urge the NIC to rethink its recommendations and take into the account the huge strides our town has already made to regenerate its economy, with HS2 playing a huge role in attracting new people into the area to invest, live and work.”

 

 

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Businesses desperately require answers as Brexit negotiations reach decision point, says East Midlands Chamber.

With the UK and EU yet to agree a trade deal, businesses are being left to “pick up the pieces” as they attempt to plan for 2021 amid huge uncertainty, believes the Chamber.

It comes as the latest analysis by the British Chambers of Commerce (BCC) showed that with just 24 days to go until the end of the transition period, businesses still have insufficient official information available in 24 critical areas.

Scott Knowles, chief executive of East Midlands Chamber, said: “Businesses are hooked to the news waiting for a positive update from the negotiations because the current stalemate is undermining their ability to prepare for change on 1 January.

“We know our trading relationship is going to look a lot different and many businesses have been managing their ‘known unknowns’, helped by organisations like the Chamber via our Readiness for Change programme.

“But there’s still many critical areas where they need answers, and they need them now, because they are being left to pick up the pieces while uncertainty rules.

“While it appears we are edging towards a decision either way on whether we will have a deal in time for the end of the transition period, the BCC’s Brexit Guidance Dashboard shows there are too many questions that remain unanswered – despite these issues not actually being impacted on the resolution of the trade negotiations.

“There is therefore no excuse for the UK Government not to do everything in its power to ensure the changes from 1 January will be as seamless as possible.”

BCC’s analysis finds 24 questions remain unanswered

The BCC’s Brexit Guidance Dashboard – long used by both business and government to evaluate the quality of official UK Government guidance – compiles 35 questions most frequently raised by businesses, which apply in both “deal” or “no deal” scenarios.
It has assessed the information available to firms and rated it green (information is sufficient), amber (some information is available) and red (information is wholly inadequate).

The BCC last evaluated the quality of official HM Government guidance to assess whether it provides sufficient, clear and actionable information that businesses can use to prepare for the coming changes in September and has now provided its latest assessment.
Government guidance has only been upgraded to a “green” rating in two areas – duty deferment accounts and the paperwork needed to import under a Generalised System of Preferences programme – since its last update, with 24 of 35 key questions still flashing “amber” or “red”.

Among the unresolved issues are:

• Firms still do not know what rules of origin will apply after the transition period, preventing them and their customers from planning – which could potentially create unprecedented new administration and costs
• There remains very limited guidance on procedures for the movement of goods from Great Britain to Northern Ireland
• Ten-digit tariff codes have still not been published and there is still doubt about the final World Trade Organisation’s most favoured nation (MFN) tariff rates
• There is no information on how UK tariff rate quotas will be administered or how businesses can access them beyond the transition period.

The lack of information with which to plan, and potential deadline fatigue, presents further challenges to firms up and down the UK that have already faced reduced demand, ongoing Government restrictions and sustained cashflow challenges due to the coronavirus crisis.

BCC director-general Adam Marshall said: “Posters and television adverts are no substitute for the clear, detailed and actionable information businesses require to prepare for the end of transition.

“None of the issues businesses are grappling with are new. They have all been raised repeatedly over the past four years, from tariff codes and rules of origin through to the movement of goods from GB to NI.

“The detail and precision of UK Government guidance matters, and will make all the difference as the trading relationship between the UK and EU changes on January 1.

“With the clock ticking down, the Government must do everything in its power to provide businesses with answers as they prepare to navigate a New Year like no other.

“We welcome the fact that UK and EU leaders are still talking, as the overwhelming majority of businesses want the two sides to reach an agreement.

“If a breakthrough happens over the coming hours and days, the two sides must immediately set to work on pragmatic steps to smooth the introduction of the new arrangements from January, including easements for genuine administrative errors, clear procedures at ports, and fast help from customs authorities.”

Easements and temporary waivers needed to help firms adjust
In addition to clarity on the new arrangements in any deal, the BCC said it is crucial the UK and EU member states agree to implement changes in a way that helps businesses to adjust to the new procedures and systems that will come in to force from January 1.
Example UK easements could include:

• A temporary waiver of the £300 fine for hauliers arriving at Channel ports that aren’t border-ready due to genuine errors in the preparation of their documentation
• Flexibility in the requirements for EU companies to be registered in the UK for paperwork purposes
• A mandatory grace period for all companies that have inadvertently shared personal data unlawfully between the UK and the EU (whether with third parties or subsidiaries) without adequate legal authority – unless there has been a substantive breach of data subject rights

On areas such as the mutual recognition of professional qualifications, the BCC said the Government should be prepared to act unilaterally to maintain the provision of services within the UK while also working with the EU and member states on reciprocal provision.
If no agreement can be reached, the organisation has urged both the UK and EU to take steps to help keep trade flowing in the interests of businesses on both sides.

Brexit business support chesterfield

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‘Shop local to help independent retailers overcome impact of lockdowns,’ says East Midlands Chamber

East Midlands Chamber has stressed the importance of shopping locally now the national lockdown has ended.

Ahead of Small Business Saturday on 5 December, the chamber of commerce says it has never been more important to support local businesses that have been badly affected by coronavirus lockdowns.

Scott Knowles, chief executive of East Midlands Chamber, said: “As so-called ‘non-essential’ retailers are finally allowed to reopen after a month of national lockdown, it is vital that they receive the support of local people.

“Businesses have invested huge amounts of money into making themselves Covid-secure but have lost out through no fault of their own as they have been forced to close again. Customers who feel safe and comfortable to visit shops again once national restrictions are lifted should be mindful to support small independents in particular.

“At a time when our city and town centres are being decimated by the collapse of chains, these are the businesses that will hopefully remain once stores around them close. They are the beating heart of high streets and a huge part of the character in what makes towns and cities unique.

“Small Business Saturday is a great initiative that highlights the wide variety of businesses that people have on their doorstep, and in 2020 it’s perhaps never been more important to give them our support.”

On Friday 4 December, the Chamber will run a virtual roundtable event with Derby North MP Amanda Solloway to prepare for Small Business Saturday. You can find out more and book your place at the event here

The Parliamentary Under Secretary of State at the Department for Business, Energy and Industrial Strategy will speak to her local businesses about the impact of lockdown and their plans for the future.

Find out more about shopping locally in Chesterfield here. High street shops and Chesterfield’s market will also be extending their trading hours on the run-up to Christmas. Find out more and plan your shopping trip here.

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Chamber chief executive writes to Prime Minister demanding greater clarity for businesses in lockdown decisions

The chief executive of East Midlands Chamber has written to Boris Johnson urging the Government to provide greater clarity to businesses over lockdown restrictions.

Scott Knowles told the Prime Minister yesterday (1 December) about the “dissatisfaction” felt by the private sector in the region regarding plans to place Derbyshire, Leicestershire and Nottinghamshire into Tier 3 measures.

He said the East Midlands has been impacted by restrictions longer than anywhere else in the country, with Leicester and parts of Leicestershire the first area to be placed under local lockdown at the end of June, and reminded Mr Johnson of the five tests requested by the chamber of commerce – which represents 4,250 members across the three counties – by which to assess decisions taken.

Commenting on the new tiered approach to restrictions in the letter, Scott said: “I understand the difficult discussions involved in this and the numerous factors that have to be taken into consideration.

“However, I wanted to express our dissatisfaction at the outcome for the majority of the East Midlands and ask for greater clarity over the basis on which decisions were taken, future plans for ending these restrictions and greater support for those businesses impacted.”

Five tests for continued coronavirus restrictions on business activity in the East Midlands

The five tests set out in June, when the Leicester lockdown came into effect, were:

1) Any decisions around closures must be based on evidence that can be shared with those affected and taken on as local a basis as possible

2) Businesses must be given enough time to make the practical preparations needed for closing and reopening

3) An exit strategy, including triggers for changes, must be made available to businesses to support them in their planning and decision-making

4) Businesses adversely impacted must be given additional grant support to compensate them for costs associated with being shut, losing trade and investment into making themselves Covid-secure

5) During closures, steps must be taken locally to reduce the risk of further disruption, including improvements made to testing and tracing

Scott added that clear, timely and consistent communication was vital in underpinning these tests.

While businesses accept the country was still learning about the nature of coronavirus in the spring and early summer, he believes there are no longer any reasons why the tests shouldn’t be met nine months on and asked for feedback from Government on decisions taken that affect the East Midlands.

“To be clear, this is not intended to be a petulant request,” he added. “Working with our members, we see the on-the-ground impact that restrictions are having in terms of business failure, livelihoods destroyed and jobs lost, along with the negative social and health fallout of this – which promises to have a longer-lasting and greater deleterious impact than the virus itself – and believe that our businesses and the communities they serve deserve better.”

The Chamber has also offered to work closer with the Government to ensure communication to and from businesses in the region works better than it has to date.

With recognition the pandemic will continue to impact lives for months to come, Scott added: “A strong, growing private sector will be central to securing our recovery and ultimate success. There is no alternative that anything other than a fully open and functioning economy will right the recovery of the region.

“Right now, businesses require more focused and enhanced support, both financial and to support in planning, in order to ensure as many as possible are fit for growth in 2021 and beyond. Meeting our tests will help ensure this happens.”

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Proof will be in the pudding for ‘levelling up’ funds, says Chamber in response to Rishi Sunak’s spending review

Responding to Chancellor Rishi Sunak’s spending review statement on Wednesday (25 November), Scott Knowles, chief executive of East Midlands Chamber (Derbyshire, Nottinghamshire, Leicestershire), said: “The Office for Budget Responsibility’s forecast that GDP will contract by 11.3% in 2020, the largest fall in output for more than three centuries, underlines the massive scale of the problem we face as a nation.

“It’s important the Government recognises it’s the private sector that will get us back to growth so it must have a proper plan in place to provide the continued support for businesses to get them through this pandemic.
“The £3bn Restart programme, which will help more than one million people who are unemployed for over a year find new work, is a significant intervention that will help both young and old people enter sustainable employment. It builds on the work of the Work & Health Programme, the Kickstart scheme and Job Entry Targeted Support (JETS) scheme – three projects the Chamber is helping to deliver.

“If the 2.2% increase to the National Living Wage is going to come into force in April like the Chancellor has promised, he must be prepared to ensure support is in place for the businesses that will have to bear these increases, many of which are in the sectors hit worst by the pandemic, such as hospitality, leisure and retail – otherwise this may only add to the burden of firms already struggling to survive amid continued shutdowns.
“It was positive to hear the Chancellor commit to the new Shared Prosperity Fund matching the numbers involved with current EU structural funds, which have been essential to parts of the country such as the East Midlands, and we await more detail on what the pilot programmes next year will involve.

“Finally, the £4bn pledged on levelling-up and a new UK infrastructure bank to be set up outside London appear to be positive moves, and it’s good to see various Government departments working together on this rather than in siloes.

“However, it must be noted that there have been so many announcements like this over the years by successive chancellors from different political parties, and it is not always clear which funds are new and which ones are repackaged from previous commitments.

“Ultimately, all these pledges amount to absolutely nothing until we see this money spent on the ground. We already know the East Midlands receives less infrastructure investment per head than anywhere else in the country – £268 per capita in 2018/19, just 56% of the £481 national average – and we still await confirmation of the Eastern Leg of HS2. On this one, the proof of the pudding will very much be in the tasting.”

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East Midlands can be at forefront of UK’s “green industrial revolution”, says Chamber

Following the Prime Minister’s announcement of a £4bn green plan to tackle climate change and create jobs in the low-carbon economy, East Midlands Chamber (Derbyshire, Nottinghamshire, Leicestershire) chief executive Scott Knowles said: “On the face of it, today’s announcement is just the type of bold vision the UK needs in order to seriously rebuild our economy with a greener tint.

“It signals that these are the sectors where businesses need to invest in the future, while it should remove some of the financial barriers that have so far prevented many firms from switching to the low-carbon economy – although questions remain about whether the £4bn funding from Government is anywhere near sufficient to truly stimulate a green revolution.

“This news comes hot on the heels of the Chamber’s Sustainable East Midlands campaign, which was launched last week to highlight the benefits in embracing the sustainability agenda to the region’s businesses, while acting as a new hub for signposting companies to the support available to them.

“We’re excited to hear more about this from Rt Hon Kwasi Kwarteng, the Minister for Business, Energy and Clean Growth, at our East Midlands Energy Summit tomorrow (Thursday 19 November), an event that will place sustainability at the top of the agenda for the region’s post-Covid economy.

“We believe the Government’s UK Net Zero 2050 vision plays into our region’s strengths as the East Midlands has all the pieces of the sustainability jigsaw – the high energy users in manufacturing, energy producers in our coalfield heritage and new hi-tech businesses coming out of our world-leading universities – putting us in a position to be at the forefront of delivering a low-carbon economy.

“In research conducted with the University of Derby that preceded the campaign, we found that engagement with this subject is quickly rising in the East Midlands but there remains a yawning gap in awareness.

“The percentage of businesses deriving turnover from low-carbon and pro-environmental goods and services has nearly doubled between 2015 and 2020 – growing from 16% to 31% – and just over a third (35%) of businesses said they were integrating clean growth into their business plan.

“On the flip side, four in 10 businesses told us they didn’t feel well-informed about support for clean growth.

“This suggests the Government still has a lot to do in order to encourage more businesses to switch to the low-carbon economy by pushing on-the-ground activity to engage and support more firms – and making sure the financial incentives involved will make a tangible difference to their bottom line.

“Only then will it be realistic to achieve the targets set by the UK Net Zero policy and bring the exciting vision for a green industrial revolution to fruition.”

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