Chamber News

A disorderly Brexit would disproportionately hit small firms in the UK, the Federation of Small Businesses (FSB) has warned, noting that many are worried about being faced with any form of customs declarations.

According to the FSB, 59% of small businesses that export goods to the EU Customs Union worry that trade would be impacted if overall costs increased as a result of having to complete additional customs declarations.

One in 10 (11%) of smaller firms say that this would cause them to stop exporting to the EU altogether.

FSB National Policy Chairman, Martin McTague, is urging the Government to use the summer as an opportunity to intensify negotiations with the EU in order to deliver a “pro-business Brexit” based on easy trade, access to talent and a transition period.

The last of these is particularly important, he explained, to ensure that small firms are only facing one set of changes so that they can continue to operate broadly as they do now until 31 December 2020.

“Smaller businesses, and those businesses they rely upon, simply don’t have enough time to prepare for a cliff-edge Brexit,” Mr McTague warned. “It cannot be forgotten that smaller firms, unlike bigger businesses, do not have the capacity or resources to make adequate contingency plans to soften the impact of this scenario.”

While FSB welcomes the fact that the Government’s proposed Facilitated Customs Arrangement model will not entail any customs declarations, it points out that there are still many questions unanswered on how the newly proposed arrangements would work.

This is particularly the case for those smaller businesses that do not know the ultimate destination of their imported goods at the point of import.

Commenting on today’s A level results and the apprenticeship statistics released by the Department for Education, Jane Gratton, Head of Business Skills at the British Chambers of Commerce (BCC), said:

“Business people across the country will offer their sincere congratulations to all the students who received their A level results.

“Right now, UK companies are hungry for work-ready and employable staff to be part of their teams. Students and their families should remember there are many paths to success in the world of work. Apprenticeships are a great opportunity for young people to develop their skills while learning on the job, but to maximise the number of people taking advantage of this route we urgently need to see reform of the system.

“Once again, we’re seeing a disappointing number in apprenticeship starts due to the shortcomings of the Levy. It’s time to address the barriers and blockages in the system that prevent employers of all sizes from recruiting and training the next generation of apprentices.

“Employers are crying out for more skilled staff, but they can’t train apprentices if the necessary Standards are not in place or if there is no local provider to deliver the high-quality service they need.

“For smaller firms, the 10% co-investment requirement has significantly increased the cost of recruiting and training apprentices. On top of the other costs of employment – such as pension auto-enrolment and above-inflation wage increases – it is pricing people out of apprenticeship jobs and development opportunities, and needs to be scrapped urgently.

“If government, business and providers work together we can create a more flexible system and ensure far greater numbers of young people choose this path to gain the skills and experience they need to kickstart productive careers.”

A highlight in the Norfolk Chamber events calendar, Look the Business, now in its sixth year, is returning to Jarrold, Norwich next Thursday – 23rd August.

Look the Business is a unique, fun and informal way to make new contacts and build relationships both with customers and clients, and with your colleagues.

Held at Benji’s Café on the Women’s fashion floor, the evening will begin with complimentary drinks and a luxury buffet over networking. Once we kick off attendees will take part in our networking activity where we send you off into the shop floor – you’ll find out more on the night!

The evening will also include a beauty demo from the brand experts where you’ll be able to learn about the latest products and trends. Following this will be the main event; the fashion show. Both male and female Jarrold models will strut their stuff on the catwalk giving you a peak at the next fashion phenomenon to hit this Autumn.

Styles will include both business and casual wear, enough to get you wanting to shop – which is perfect because that’s what you’ll be ending the night with! Come 8pm Jarrold will be closing its doors to the public and opening up an exclusive discount for you!

Get ready to shop till you drop and their stylists and experts are on hand to help you find a bargain amongst the rails.

Treat yourself, treat your staff, book now: click here.

The World Trade Organization (WTO) has issued the latest editions of its annual statistical publications: World Trade Statistical Review, Trade Profiles and World Tariff Profiles.

Available at www.wto.org, the Review examines the latest trends in global trade, with an in-depth analysis of what is being traded in goods and services and a guide to the leading players.

It also provides data on trade-restrictive and trade-facilitating measures implemented by WTO members, commitments to the Aid for Trade initiative, and implementation of the WTO’s Trade Facilitation Agreement.

It also looks into the latest developments in trade finance.

Trade Profiles 2018, which can be found at www.wto.org, provides a series of key indicators on merchandise trade and trade in commercial services for 197 economies, highlighting the breakdown of exports and imports for each one as well as their main trading partners.

The aim is to provide a concise overview of global trade.

Finally, World Tariff Profiles, which is a joint publication of the WTO, the United Nations Conference on Trade and Development (UNCTAD) and the International Trade Centre (ITC), provides comprehensive information on the tariffs and non-tariff measures imposed by over 170 countries and customs territories.

It provides (available at www.wto.org) an analysis of how least developed countries (LDCs) make use of preferential tariffs offered by trading partners for their exports and offers statistics on non-tariff measures by country and by product group.

The results of a recent consultation into transport issues to the west of Norwich show there is strong public support for a new link between the A47 and Broadland Northway.

The Norfolk County Council consultation ran for eight weeks between May and July and asked people to identify any transport problems that exist to the west of the city and what, if anything, they thought could tackle these problems.

The consultation was held to gather evidence on long-standing concerns about traffic congestion on roads and in communities in this area, and in response to calls from many people to fill in what they see as the ‘missing link’ between the A47 and Broadland Northway (previously called the Northern Distributor Road or ‘NDR’), where it meets the Fakenham Road (A1067).

A report produced for the County Council by Commonplace, the organisation which hosted the consultation, shows the majority of people who took part in the consultation believe a new road linking the A47 to Broadland Northway would help tackle transport issues in the area. This option was selected more than three times as much as the next most popular option, ‘Improving existing roads’.

The full breakdown of responses to this question, showing how many people selected each option, is as follows:

People were asked ‘Although one potential option to tackle transport issues in this area is to build a new road we are committed to examining all of the possible options. Which options would you like us to explore?’

• New road linking NDR to A47 – 1,262 • Improving existing roads – 398 • Improving public transport – 268 • Improving cycling routes – 255 • New cycling route linking NDR to A47 – 239 • Traffic calming on existing routes – 176 • Better walking routes – 153 • New walking route linking NDR to A47 – 119 • Other – 25 • Do nothing – 24

Cllr Martin Wilby, Chairman of Norfolk County Council’s Environment, Development and Transport Committee, said: “People have sent us a clear message about what they want to see happen to improve travel in the area to the west of Norwich.

“It’s important that whatever options we come up with to tackle the transport problems that exist take account of the first-hand experiences of those people who live, work or travel regularly in this area. We had a really good response to the consultation, which has confirmed what people see as the major transport issues and also suggested where some of the main problem areas are. So this provides us with lots of evidence that we can consider alongside other information when deciding which options are likely to be the most effective.”

Nova Fairbank, Public Affairs Manager for Norfolk Chamber of Commerce said: “The results of the recent public consultation for the Norwich Western Link clearly show that both the general public and the local business community agree that to maximise the potential for this region – the missing link from the A1067 to the A47 needs to be completed as soon as possible.  

“The Norwich Western Link will facilitate easier access to both Norwich airport and Great Yarmouth port.  It will further help to improve journeys into and around the west of the city, support potential housing and jobs growth; provide the infrastructure to manage the additional traffic this will create, and improve quality of life for people living in the area. 

“This final piece of the puzzle will ensure that Norfolk has infrastructure that will meet our growth ambitions.  It will create stronger and more effective links to the Midlands and the North and will help Norfolk businesses to thrive and deliver greater economic growth and jobs.”

The Commonplace report with more analysis is available to read on Norfolk County Council’s website at www.norfolk.gov.uk/nwl.

Further work to analyse the ‘free text’ information given as part of the consultation is still ongoing, including going through the 773 comments people ‘pinned’ to a consultation map to highlight problems in specific locations.

Norfolk County Council will use the information from the consultation as well as other data and evidence to help propose some options to improve travel in the area to the west of Norwich. A further consultation on these is likely to take place later this year.

The County Council made providing a Norwich Western Link one of its three infrastructure priorities in 2016, along with the Third River Crossing in Great Yarmouth and Long Stratton Bypass.

Since then, a number of changes have taken place or been announced – Broadland Northway is fully open and helping to reduce journey times, a section of the A47 between North Tuddenham and Easton is set to be dualled by Highways England by 2022, and plans for a Food Enterprise Park at Easton are progressing. All these changes, the growth they will enable and the effect they are likely to have on the way people travel around the county will need to be considered as the County Council comes up with options for a Norwich Western Link.

This is a pivotal time for UK businesses. As negotiations on the UK’s departure from the EU continue, the BCC seeks to understand – in this five minute poll – your business’s trade and investment plans, how your business might be impacted by Brexit, and what you would advise UK government to do.

British Chambers of Commerce (BCC) recent surveys have enabled them to present evidence directly to government ministers, policy makers, and the media about how a range of policies are impacting UK businesses. Your voice has been essential in helping them shape policy at the very highest levels of government.

To continue to do this, BCC need to gather the strongest possible evidence base from UK businesses to give your local Chamber and the British Chambers of Commerce the real-world business input we need to stand up for your interests. Thank you in advance for your support.

Start survey here: https://research.britishchambers.org.uk/survey/selfserve/215e/tradeandbrexit2018?list=203&panelist_hash=hdpzh0kzrv0is5rk&campaign_hash=daa0&decLang=english#?

Almost 30% of businesses have seen an increase in the number of staff taking time off for mental health reasons, according to a survey conducted by leading business organisation British Chambers of Commerce, and Aviva, the UK’s largest insurer.

One in three (33%) business leaders have also noticed an increase in the length of time that staff are taking off due to mental health issues.

The survey, of over 1,000 business leaders from every region and nation of the UK, suggests that firms are more aware than ever of mental health concerns in the office and that the topic is becoming less taboo for both employees and employers alike.

 The findings suggest that employers are supporting staff with mental health issues, from reviewing individual workloads (36%) and flexible working options (35%), to organising counselling for staff (20%) and training for managers to better support staff (18%).

 However, the findings also suggest that firms could do more. Nearly half (49%) of those surveyed said that they did not access occupational health support for their staff from external bodies, and 10% were not aware of any available support.

 Adam Marshall, BCC Director General, said:

“As the world of work changes, it is absolutely crucial for business leaders to pay ever closer attention to the health and wellbeing of their employees – especially at a time when firms are facing severe challenges finding and retaining the skilled staff they need.

“While legions of firms are now more aware of mental health concerns and acting accordingly, far too many businesses are still turning a blind eye to this issue, which saps productivity, morale and individual wellbeing. Our message today is that it is no longer acceptable for firms to ignore mental health in the workplace, and all companies need to step up their game.

“Tackling mental health concerns in business need not break the bank. Reviewing workloads, considering flexible working practices, and improving the skills of managers are simple measures that can help all firms build a happier and more productive workforce.”

 Dr Doug Wright, medical director at Aviva, added:

“It is encouraging to see that more businesses are not only more aware of the topic of mental health in the workplace but also actively offering initiatives like flexible working options to help encourage a healthy work-life balance.

“It is, however, worrying to see almost a third of businesses have seen an increase in people taking time off for mental health reasons and whilst some of this increase may be down to staff feeling more able to discuss the issue of mental health which is, in itself, good news, it also suggests that more can be done to help.

“Looking at our claims data for protection insurance we know that mental health conditions are the number one reason for rehabilitation referrals and that early intervention by experts can bring a huge benefit to employees, helping them make a safe and timely return to work.

“It is therefore important to look at what health and wellbeing initiatives are on offer to staff to make sure they have a breadth of options to support them. Doing so will reap rewards for both employee and employer. We believe in this so much it’s something we are doing for our own staff already.”

In Norfolk we are committed to supporting businesses with good practice models for wellbeing in the workplace. A recent conference ‘Leaders in Wellbeing’ co-organised by Tim Handley in May highlighted this pledge with a number of businesses leader being involved such as Stuart Rimmer, Chief Executive of East Coast College Andy Wood, Chief Executive of Adnams.

 Charlotte Purves of New Anglia LEP said: “This is a really important issue to address if the East is going to stand out as the place to live and work. Wellbeing should be top of the agenda for every business and this event will provide business leaders with tools to embed this in their own organisations.”

Chris Sargisson, Chief Executive of Norfolk Chamber added: “Wellbeing and the culture of well-being starts at the top and should always, always include the valuable and influential people at the top. By doing so means organisations can genuinely lead by example in the building of brilliant, healthy, high performing places of work.”

Nearly one in two businesses (49%) are set to grant staff pay rises of over 2% in the next year, according to a new survey by leading business organisation British Chambers of Commerce (BCC) and online recruitment company Indeed.

The survey, of over 1,000 businesses, including those in Norfolk of all sizes and sectors, reveals that 2% of firms in the East of England will increase pay by more than 5%, 30% by 2-5%, 16% in line with consumer price inflation, and 17% by 1-2%.

Only 1% of firms say that they expect to decrease salaries – set against a backdrop of increasing upfront business costs.

When looking at increases in the National Living Wage over the next three years, just over a quarter (28%) say that they will respond by raising prices of products and services, and under a quarter (19%) say that they will take lower margins and profits. 14% say that they will increase investment in automation, and 12% will recruit those on flexible contracts, such as the self-employed.

The results show that, despite increasing economic uncertainty, a fall in the exchange rate, and numerous upfront costs incurred over the last couple of years, firms remain committed to giving their staff a pay rise. However, at the next Budget the government needs to reduce the growing cost burden on business and make it easier for firms to grow, hire, and retain staff.

Commenting on these results, Nova Fairbank, Public Affairs Manager for the Norfolk Chamber said:

“This is good news for employees who have felt the squeeze in their pay packets in recent months. People and skills are the most important asset for Norfolk businesses, and so employers will want to pay a great wage that motivates and retains their team. But the cost of wage increases has to be offset in some way, for example by greater productivity, lower costs or higher prices.

“The British Chambers of Commerce survey work has shown that growing and pervasive skills shortages are making it harder than ever for firms to fill job vacancies – so it is little surprise that Norfolk firms are pulling out all the stops to keep hold of the ones they have.  But the rising cumulative cost-burden of employment, together with business rates and other charges, increases pressure on firms to raise prices and automate. To avoid future job losses, the government must avoid any additional costs on business and help firms to boost productivity, for example by making it easier for firms to use the apprenticeship levy to upskill their staff.”

Tara Sinclair, senior fellow and economist at global job site Indeed, added:

“It would be understandable if workers had felt a little out of pocket so far this year as wage growth in the UK remained stubbornly low. Record employment has also added pressure on employers who must compete in a tight labour market and do so usually by offering bumper pay packets.

“These figures suggest brighter times are ahead for workers who after seeing their wage growth barely exceed inflation could receive a meaningful pay rise. Couple these findings with the recent public sector pay hikes and it appears organisations are feeling more confident despite continued uncertainty. The question now is will they raise wages enough to continue to outpace price rises?”

Businesses looking to secure investment to grow will be able to benefit from up to 50 hours of intensive support thanks to a successful funding bid.

Norfolk County Council, alongside Suffolk County Council, University of East Anglia (UEA) – Adapt and New Anglia Local Enterprise Partnership, has secured £0.9m of European Regional Development Funding to contribute to ‘Invest East’ – an intensive support programme for high growth businesses.

Councillor Barry Stone, Chair of Norfolk County Council’s Business and Property Committee, said: “Invest East is a great initiative that I hope will benefit a good number of growing Norfolk and Suffolk businesses. “This strong partnership across both counties will achieve a collective impact towards a vision for a healthy investment landscape that will highlight the best we all have to offer.”

Invest East will make up part of the business support offer from the well-established New Anglia Growth Hub and comprises three distinctive work streams:

• Investment readiness support: Delivering investment readiness workshops, training and guidance. UEA (Adapt) will lead across both counties supporting small to medium businesses targeting any form of investment funding to grow. Business can expect up to 50 hours of intensive support to develop a fully worked investment offer. The support will be include contact with expert consultants and experienced entrepreneurs to help businesses overcome any barriers they have in taking forward their plans
• Investor support programme: Landing and account managing external investors and existing companies, as well as supporting and developing external promotion offers with New Anglia Local Enterprise Partnership (LEP). Norfolk and Suffolk County Councils will lead in their respective counties to help provide the best offer to small to medium businesses wanting to invest and grow
• External promotion, profile raising and lead generation: External promotion on a national and international forum to draw in leads, investment and talent into Norfolk and Suffolk. New Anglia LEP will lead on campaigns, working alongside their local sector groups to help transform the way our local area is seen.

Starting on 1 September 2018 and running to August 2021, Invest East will enable businesses to access professional, specialist support to explore investment options and help them to expand and grow. Interested businesses should register their interest at https://www.newangliagrowthhub.co.uk/contact/

Julian Munson, Head of Inward Investment at New Anglia LEP, said: “One of the key priorities of the Economic Strategy for Norfolk and Suffolk is to work with local partners to deliver increased investment into our area, making it a business destination of choice for innovation, knowledge and expertise. This includes increasing the area’s share of global exports and attracting skilled talent.

“This Invest East funding will help us to deliver innovative and targeted campaigns to help our region’s businesses and economy grow.”

Professor Fiona Lettice, Pro-Vice Chancellor for Research & Innovation at University of East Anglia said: “Invest East will play a vital role in supporting our local economy and I’m delighted that the University’s innovation, enterprise and investment expertise will be making an impact through this project.” Saffron Myhill-Hunt, Innovation Funding Manager at Adapt adds;

“There are so many great businesses in Norfolk and Suffolk that just need the right information, advice and contacts to be able to raise the funds they need to grow. We’re very pleased to able to offer this support and look forward to working with the next generation of successful companies.”  

Five new job roles are being created to support the Invest East programme and more details can be found at https://norfolkcc.engageats.co.uk/ and https://myview.uea.ac.uk/webrecruitment

UK producers and product users are being invited by the Department for International Trade (DIT) to give their views on existing EU trade remedy measures.

Publishing the provisional findings of an earlier consultation on the issue, DIT has now issued a call for evidence aimed at identifying which existing EU anti-dumping or anti-subsidy measures should be maintained when the UK begins to operate an independent trade remedies framework.

That earlier consultation elicited 74 responses, of which 47 were from producers and 27 from other parties.

An initial assessment of the data provided by respondents has determined, the Department notes, that 42 existing EU measures should be maintained, with appropriate levels of duties to be set.

The measures to be maintained will be reviewed by the UK’s new Trade Remedies Authority (TRA) and adjusted if necessary to ensure that they reflect the UK-specific market situation and injury to UK industry.

DIT also found that 72 measures did not meet its criteria and will not be reviewed or put in place once the UK begins to operate its own trade remedies system.

Anyone with an interest in reviewing the provisional findings and in providing any further evidence to the Department is now being given an opportunity to do so. That includes those who might wish to apply for measures to be maintained, but did not do so earlier.

Further details of the call for evidence can be found at www.gov.uk. The deadline for responses is 24 August 2018.

01 April – 30 June 2018

Norfolk County Council have released their latest economic intelligence report. The report headlines are:

• 22 new jobs created with new manufacturer, Retro Activewear in Great Yarmouth
• The average house price in Norfolk increased by 42% since April 2012 – however Norfolk prices are still lower than the national average.
• £900,000 of ERDF funding for high growth business support has been awarded to this region for a £1.8m project that will run for the next 3 years.
• Norfolk unemployment levels remain below the national average at 4.3%

For full details of the latest economic intelligence report click here.

Last Friday was the first ever Norfolk Day and it was great to see the business community of the county supporting this campaign in the UK’s heatwave.

The day was an opportunity to shout about how great our county is from our innovative businesses to the fantastic landscapes. We were overwhelmed by the support and the number of Norfolk businesses who got involved from holding their own events, to creating a #15secbiz video as part of our Norfolk Day campaign.

Our campaign #15secbiz gave a real insight into the progressive work that is happening right now in Norfolk, and certainly showed a real ‘wow factor.’ We asked Norfolk businesses to create 15 second videos showcasing the amazing things they are doing both locally and globally: and we weren’t disappointed.

We received over 50 videos, which were showcased on Norfolk Day at the Norwich Cathedral with over 60 businesses in attendance to watch. Entries included Captain Fawcett showing their world class gentlemen’s grooming from King’s Lynn, who export globally, East Anglia’s Children’s Hospices who are building a new hospice just outside of Norwich and Ember Films who work with the likes of Disney, Netflix, BBC and more! Sadly we can’t mention all of the amazing things that were shown, but you can watch them now – view the show reel by clicking here. 

After putting the #15secbiz films out for voting, Tiger Eye Consulting scooped the most votes for their video and won the Chamber Oscar! 

Norfolk Chamber would like to say a very big thank you to everyone who got involved and supported this day, and created a video too, without your help this day would not have been possible. The aim of our campaign was to really show how amazing Norfolk is as a place to work, with such unique and expert businesses. We want to continue this message, continue promoting our great county, and change the outside perception. 

We know that just by watching our #15secbiz show reel, each viewer will come away thinking ‘I didn’t know that’ – so let’s really shout about it!