Hear a quick policy update from Adam Marshall, Executive Director of Policy & External Affairs at the British Chambers of Commerce (BCC). Adam outlines his thoughts on this week’s surprise announcement by the Chancellor, at the Conservative Party Conference in Manchester, on changes to the business rates.
Drivers are warned that delays are likely around Broadland Business Park and the new Postwick Hub access roads from Friday 16 October 2015as the A47 Postwick junction improvement shifts into the final phases.
There will also be two overnight closures (see below) to allow traffic management changes to be made and for bridge works.
The latest stageof the project includes the permanent closure of the sub-standard eastbound exit slip-road. This is essential for safety on the 70mph A47 because of a high risk of trafficqueuing back down theshort slip road on to the dual carriageway. It is not possible to lengthen the slip-road or to reduce this significant risk to road users in any other way.
The changes include the temporary closure of the existing bridge over the A47 for essential maintenance and upgrading. The recently constructed new bridge will come into use (under traffic management) for the first time.
At the start of this new stageof works at Postwickthere will be overnight closures of the A47 on Thursday 15 October and Friday 16 October (8pm to no later than 6am). The signed diversion route will be via the A146 from Trowse, the A143 and A12, re-joining the A47 at Vauxhall roundabout, Great Yarmouth.The closuresare taking placeovernight to avoid peak daytime traffic.
The changedroutes (see below) for trafficusing thePostwick junctionwill take effect on Friday 16 October. These alterations to traffic flows are significant and motorists are advised to allow for delays, particularly at peak times and in the period when drivers are getting used to the new arrangements.There is likely to be particular pressure at junctions, such as the Broadland Way/Peachman Way roundabout where temporary traffic lights will be used.
Norfolk County Council have given their apologies for the disruption that this will inevitably cause and their thanks to all drivers for their continued patience while these important improvements continue. Completion is expected by mid-December.
A47 through-traffic. Traffic staying on the A47 through the junction will be largely unaffected, although drivers will need to be aware of traffic management changes.
Changes for traffic using the junction. Eastbound (from the Trowse direction) trafficleaving the A47: the old exit slip road will be closed. Instead, vehicles will be directed up the new slip road to the new roundabout. From there, traffic heading into Thorpe St Andrewand Broadland Business Park will be directed around the new link roads.
Traffic heading towards Postwick village or the park and ride site will be able to cross the new bridge over the A47. Traffic for Postwick village and park and ride using the A1042 Yarmouth Road from Thorpe St Andrew and Norwich will have to go around the new link roads to reach the bridge.
Westbound (from the Acle and Great Yarmouth direction), traffic leaving the A47 heading towards Broadland Business Park, Thorpe St Andrew and Norwich will be directed across the new bridge and around the new link roads. This route goes through the junction at the southern end of the new bridge, where traffic lights will be installed before completion in December 2015.
Park and Ride. Postwick Park and Ride will continue running, but may be subject to route and timetable changes. Please check with the operator, Konectbus, or go to www.norwichparkandride.co.uk .
The improvement of the A47 Postwick junction, at the eastern end of Norwich Southern Bypass, is essential to business and housing growth in the area. Permissions already exist that would create around 5,000 jobs and 1,600 new homes in the area – but the Highways Agency (now Highways England) put a brake on development because of the lack of capacity at the junction.
In addition to the job and housing benefits in the immediate area, the new junction includes connection to the A47 for the now approved Norwich Northern Distributor Road, which will unlock around £1billion in economic benefits for Norfolk.
Postwick junction improvement: Frequently Asked Questions:
Why does the existing slip road off the eastbound A47 have to be closed? One of the main problemswith the old junction is this below-standard slip-road. It takes eastbound traffic off the A47 towards Broadland Business Park and other expanding business areas in and around Thorpe St Andrew, butit is too short and increased use of the junction wouldfurther increase the risk of traffic queuing back on to the A47 at peak times. This would cause a very serious hazard to high speed traffic on the 70mph dual carriageway.
The closure of the existing slip road and alternative options were considered in some detail by the Inspector during the public inquiry held in 2013. Since then, approval has also been given to Norwich Northern Distributor Road, underlining the need to improve junction capacity.
Why not simply extend the existing slip road, providing more capacity in that way? Extending the existing slip road back along the A47 towards Trowse is not viable because it is too close to the bridge carrying the A47 over the river and railway. Ways of retaining the original eastbound slip road were considered at the 2013public inquiry into the junction improvement, but were ruled out.
The old junction seemed to be coping, so did it really need to be changed? The old junction was suffering from significant peak time traffic queues and delays on the westbound exit slip road. Trying to resolve this issue placed pressure on the existing eastbound exit slip road (discussed above). It was also only functioning adequately because the Highways Agency put a brake on any further housing and business park expansion in the area. Permissions already exist that would create around 5,000 jobs and 1,600 new homes, but the junction has to be improved first.
Why does traffic have to follow a longer route? The layout is the only one that provides the increase in capacity while meeting national design standards. The scope for different layouts is severely limited by the nearby A47 bridge over the River Yare, the railway line, a high pressure gas main, land topography, the current road layout and the existing bridge over the A47.
Were any other layouts tried? Over a dozen designs and a range of variants were looked at, but only the current layout could provide the increase in capacity and meet national design standards. This was confirmed at the public inquiry in 2013, when other options put forward by objectors were looked at but were rejected. The Inspector at the inquiry, having considered all options, was satisfied that the proposed solution is the only viable option.
Regional & City Airports (RCA), the leading UK regional airport operator, has strengthened its strategic relationship with Flybe to introduce year-round scheduled holiday flights at Norwich Airport with seats available for booking from early November following the release of Flybe’s 2016 Summer schedule.
The partnership, which involves significant investment from both parties, will see the return of scheduled sunshine flights to Norwich for the first time in almost a decade. Year round services from Norwich Airport to Alicante and Malaga will start in March 2016 in time for the Easter getaway, with the addition of Geneva expected later in 2016.
The initial destinations will be available for booking next month, and RCA plans to investigate the possibility of adding additional routes, where there is sustainable demand.
Commenting on the introduction of the additional flights from Norwich Airport, Caroline Williams, Chief Executive of Norfolk Chamber said:
“This is very good news for Norfolk, it is great to see Norwich Airport continuing to develop and position itself as a major regional airport. Continued commitment for expansion from the Rigby Group is very welcome as Norwich Airport is a key resource for our region.
Sir Peter Rigby, Chairman and Founder of RCA owners Rigby Group, said:
“Since taking ownership of Norwich Airport a year ago we have been firm on our commitment to invest in the future of the site. Today, with a milestone agreement guaranteeing the continued operation of scheduled winter and summer holiday routes from the airport, we have underlined that determination with some very concrete results.”
Andrew Bell, who heads up RCA (Regional and City Airports) the airport management division of Rigby Group PLC and owners of Norwich, said:
“This is a tremendously exciting time. For nine years the issue of reviving scheduled sunshine flights from Norwich has been the number one priority issue raised by our customers, and to see them return from 2016 will be hugely welcomed across the region.”
Richard Pace, General Manager at Norwich International commented:
“Ever since Rigby Group acquired Norwich Airport it has been our stated aim to protect existing routes while establishing new ones, and today’s announcement underlines that commitment. Not only does this partnership secure scheduled holiday flights from Norwich, but it also provides a firm foundation from which to build for future expansion.”
Earlier this year Norwich was recognised as aTechCity Clusteron the national stage. Work continues to help support not only the creative, digital and design companies, but any organisation that uses technology. In September 2015 the Chamber held its ‘FUTURE IS HERE’ event and now it is the turn of Innovate UK and the Knowledge Transfer Network. (KTN).
On Thursday 15 October 2015, they will jointly be holding a regional event at Proxama in Norwich. The event is part of their regional coverage visiting different parts of the country, which have a digital cluster and talking the business community through the funding that is available. This will be the first time such an event has been held in Norwich.
As a starting point, KTN and Innovate UK are aiming at the creative, digital and design companies, looking to access funding and support to grow. There will be presentations from both Innovate UK and KTN on the types of support and funding available, and also be a chance to meet with and discuss your business over a networking reception. However this event is not just for those companies in the digital/creative sectors, but all technology based companies, such as those in advance engineering.
Help chart the development of Norwich’s digital economy
As part of the work to make our region more successful as a vibrant technology cluster, Tech City UK is aiming to gain an even deeper insight into the technology startup landscape to discover what digital companiesneed in order to grow and scale.
Just a few reasons why should you complete the survey:
Commenting on the forthcoming event, Tom Fiddian is one of the Lead Technologists at Innovate UK, said:
“Every year we award over £400m of grants to innovative projects in the UK. As well as national competitions, we also run regional activities such as engagement pieces (like the event on the 15th) and funding to clusters which we call Launchpads (our latest one was in Edinburgh ).”
“We’re visiting Norwich as part of a regional engagement programme where every month we visit a city and give a brief presentation of what we do and upcoming competitions. I’m originally from the area and I’ve been pushing for a visit to Norwich for some time. I’m acutely aware of both the potential of the area and the lack of applications we get from Norwich. Attendance and engagement will be used as
Caroline Williams, Chief Executive of Norfolk Chamber said:
“It is fantastic news that both Innovate UK and the Knowledge Transfer Network are finally coming to Norwich. The event on 15 October will be used an unofficial barometer by Innovate UK and KTN, with regard to possible future activities in Norfolk. The better the participation of the Norfolk’s business community at this event, the stronger Norwich’s position will be when our region is being considered by these organisations for future regional funding or a centre of excellence.”
To book your place on this exciting event click here.
Working grandparents will be allowed to take time off and share parental leave pay to help care for their grandchildren, the government has said.
The plan would extend the current system, which allows parents to share leave and statutory parental pay.
It was announced by Chancellor George Osborne as the Conservative conference began in Manchester. Labour’s Harriet Harman had proposed a similar policy in amanifesto for women.
Mr Osborne’s plan involves extending the current system ofshared parental leave– which allows a total of 52 weeks off – to cover grandparents as well as a child’s mother and father.
Families will also be allowed to split statutory shared parental pay – which is £139.58 a week or 90% of average weekly earnings, whichever is lower.
The Conservatives say the policy will particularly benefit single mothers who, without a partner to share leave with, will now be able to do so with one of their child’s grandparents.
Mr Osborne also hopes the option will allow parents to return to work more quickly if they want to. He said more than half of mothers rely on grandparents for childcare when they first return to work after having a baby. He said: “Research shows two million grandparents have either given up a job, reduced their hours or taken time off work to look after their grandchildren. Allowing them instead to share leave with their children will keep thousands more in the workplace, which is good for our economy.”
Commenting on the Chancellor’s announcement, Caroline Williams CEO Norfolk Chamber of Commerce, said:
“Although fine in principle, another change to parental leave policy is the last thing businesses need after a decade of upheaval. The last set of changes hasn’t even bedded in yet, and many firms will be astonished that the government has decided to intervene yet again.
“Most employers are sympathetic when parents or grandparents need flexibility to help with caring duties, and many go out of their way to accommodate affected staff. But adding new legislation – and increasing the administrative headache and uncertainty businesses already face – is not the way to go.”
Commenting on Chancellor George Osborne’s speech at the Conservative Party Conference in Manchester, John Longworth, Director General of the British Chambers of Commerce, said:
“The Chancellor could have delivered his conference speech in a hard hat and hi-vis. ‘George the Builder’ set out to demonstrate his commitment to improving Britain’s infrastructure and competitiveness. He now needs to demonstrate that he can, indeed, fix the problems that still hold our businesses back.
“George Osborne is right to say that Britain needs to be better prepared in the event of a future global slowdown. Yet the UK remains under-prepared for an economic shock. We have more to do to fix the fundamentals here at home, from training and infrastructure through to access to finance and export. The achievement of the Chancellor’s deficit and debt targets is essential. Otherwise, future governments will lack the headroom needed to support the economy when times are tougher.
“The Chancellor talks of a ‘new settlement with businesses. For too many companies, though, it feels like a set of impositions rather than a grand partnership. Governments must not forget their responsibility to deliver high-quality education, so that businesses can then invest in training, skills and higher wages – rather than constantly make up for the deficiencies of the system.”
Concerning news of business rate pilots Caroline Williams CEO Norfolk Chamber of Commerce said:
“The business community have been calling for business rates reform for some time. However we need to ensure that the process is thorough and planned with the business community at the heart of any decision.
The positives could be that the rates are spent to develop local business stock and encourage inward investment with the business community thoroughly involved.
The negative could be that the money is used to plug holes and neighbouring local authorities could start to compete with each other rather than working collaboratively
The devil is always in the detail and we await to see what the detail looks like.”
On the announcement of a National Infrastructure Commission, Caroline Williams added:
“The announcement of a new National Infrastructure Commission is an ambitious move to get key transport and energy projects built – rather than just debated. Norfolk businesses will welcome the appointment of Lord Adonis to build cross-party consensus and drive key projects forward.
“However, the new Commission isn’t worth setting up if politicians block its decisions. We will be watching closely to ensure that the Commission is able to achieve the goal of getting roads laid, railways improved, runways built, new houses delivered and our energy security ensured.”
In his round up at the end of the week, Dr Adam Marshall, Executive Director of Policy and External Affairs at the British Chambers of Commerce summed up his thoughts on the Chancellor’s announcement on business rates.
The Norfolk Chamber Board and members of the Representation Council, together with senior Chamber staff recently spent the morning at Barnham Broom Hotel looking at the Chamber’s aspirations for the next 3 years.
The brainstorming session was held to kick off the start of the Chamber’s business planning process and the meeting was facilitated by the Chamber President, Ian Hacon. The group reviewed the future aims and aspirations of the Membership, Events, International and Policy Departments.
There was some fantastic feedback and ideas raised by the new Chamber Board members and the Representation Council. Each Chamber department manager will now start to draft their business plans for 2015/2016 and beyond, which will be presented to the Board later in the year for approval.
(Based on September 2015 data releases)
This month’s headlines:
The latest monthly economic review by the British Chambers of Commerce (BCC) showed that UK Economic Growth remained unrevised at 0.7%. However the UK’s recent GDP history has been upgraded by the Office of National Statistics. This is due to upward revisions to GDP growth between 2011 and 2013. The UK is now 5.8% above its pre-recession peak, up from an earlier estimate of 5.2%
The latest QES for Q3 2015 revealed weaker balances for both the manufacturing and service sectors but the survey did signal moderate economic growth over the next year. Click here to view the full Norfolk QES results.
As reported earlier in September, the US Federal Reserve decided against raising US interest rates. BCC have advised that they now expect the first rise in UK interest rates is likely to be seen in Q2 2015 at a rate of 0.75%.
Commenting on the National Minimum Wage increase – which is now in force as of yesterday – Caroline Williams, Chief Executive of Norfolk Chamber said:
“The changes to the National Minimum Wage, coupled with the introduction of the National Living Wage, will leave businesses with a large increase in wage bills to adapt to over the coming months.”
“Making ends meet is clearly an issue of huge concern to many in Britain today. And we applaud all of those businesses that pay, or aspire to pay, their staff above the Living Wage. That includes a huge majority of Chamber of Commerce members, with 61% paying all staff at or above the Living Wage, and a further 20% paying most staff above the Living Wage rate.”
“It is important for politicians to recognise that the UK economy is still fragile and to heed the Low Pay Commission’s considered recommendations for future wage rates, if they are to reassure businesses who may be looking at their recruitment plans for the year ahead.”
The British Chambers of Commerce (BCC) Quarterly Economic Survey (QES) – Britain’s largest and most authoritative private sector business survey, based on almost 7,500 responses from firms, employing around 800,000 people – shows that Britain’s two-tier growth trend continues.
While both manufacturing and service national balances were generally weaker this quarter, manufacturing balances declined to a much larger extent than in services. This was not the case in Norfolk, where both sectors saw falling balances. In Norfolk the service sector dipped on the previous quarter. Nearly all key Norfolk manufacturing balances remained stagnant or fell, this paints a picture of prolonged, slow manufacturing growth.
Caroline Williams, Chief Executive of Norfolk Chamber said:
“Following recent trends, growth in both the service and the manufacturing sectors in Norfolk has slowed over the last quarter. Businesses completing the survey, which represented 37% of the total East of England responses), reported a very limited increase in employment over the last 3 months, despite the reduction in Norfolk’s official unemployment figures. And both sectors continue to report difficulties in recruiting skilled staff. More telling is the falling employment expectations balances for both sectors in the coming 3 months.”
“During the recession, many employees opted for secure employment, however as the economic situation improves, the trend is for them to seek progression and improved wages. This has created gaps in some companies due to a shrinking skills pool.”
“Locally, the oil and gas industry sector advised that whilst contracts are not being cancelled, they are being delayed. The challenge facing businesses at the start of the supply chain is to find ways to sustain their businesses to ensure they are around to take advantage when the upturn comes.”
Overall these results show that the Norfolk business community is falling back into a more cautious approach to growth, however investment is still being made in staff training, despite the weakening order books.”
Key findings in the Q3 2015 Quarterly Economic Survey:
Norfolk Services
Norfolk Manufacturing
John Longworth, Director General of the British Chambers of Commerce, said:
“These latest survey results are somewhat disappointing, as both manufacturing and service firms experienced dampened growth. The real area of concern is manufacturing. Confidence is low, as growth continued to fall, and our measure of manufacturing export growth hit a six year low. Services growth, on the other hand, dipped only slightly and overall trends show the sector remains relatively strong and stable.”
“Global uncertainty, weakened demand from China and the strength of the pound are some of the factors likely hindering manufacturers’ performance. If the manufacturing sector has entered a prolonged period of slow growth, then closing the trade deficit and improving the current account deficit will become more difficult.”
“If we want to make sure this period of two-tier growth is only temporary then we must help businesses get access to the working and growth capital that they require. We must also deal with the intensifying skills gap, which is holding British businesses back. The Chancellor’s Spending Review is the opportune time to tackle these shortcomings, not only for manufacturers but for all companies. Only action to help fix the fundamentals – skills, infrastructure and access to capital – can help end the UK’s two-tier growth pattern and ensure all businesses can grow.”
Commenting on Angela Eagle MP’s speech at Labour Party Conference, Caroline Williams CEO Norfolk Chamber said:
“This was a very political speech, more concerned with addressing the Conference than the business community. Much of this is Labour doctrine from before the change of leadership and it is still not clear what Labour policy will be in regards to business.
“It is welcome that the Shadow Business Secretary wants to partner with business, as it is a trait of the most successful economies in the world. However, it will need to be a true partnership, not the usual master servant relationship that government tends to favour.
“We welcome recognition of some of the fundamental issues facing business, such as access to finance, innovation and skills – as they are key to building a strong, sustainable economy. In addition, Norfolk businesses will welcome a focus on driving quality in apprenticeships and reforming the EU. It is, however, disappointing that infrastructure was not mentioned as it is a key area of economic development for Norfolk and the UK.
“We would hope that Labour uses this opportunity to consult with local businesses and economists, to get a thorough understanding of the UK and Norfolk economy and the importance of wealth creators for this country.
“The Opposition must also be careful that application of industrial policy does not equate to picking winners and propping up ailing industries. It would be better to create an environment in which all businesses can prosper and grow, and where winners can pick themselves.”
Half (50%) of the senior businesspeople polled in a major new British Chambers of Commerce survey have revealed that the concessions the Prime Minister brings back from Brussels will have an impact on their voting intentions in the upcoming EU referendum.
The findings from the leading business group demonstrate that many businesspeople have not yet taken a firm position on the question of Britain’s future relationship with the EU – and a clear desire for greater clarity from Downing Street.
If an in-out referendum were to be held tomorrow, 63% of businesspeople would vote to remain in the European Union, 27% would vote to leave, and 10% are unsure. Yet fully 50% said their vote could change depending on David Cameron’s renegotiation package.
The survey polled over 2,000 senior business leaders from all sectors, regions and all company sizes during August 2015. Highlights – including business understanding, impacts, and priorities – are detailed below.
Commenting on the poll results, Caroline Williams, Chief Executive of Norfolk Chamber said:
“Although many businesses will have made their decision, as to which way they will vote in the EU Referendum, there is a large proportion of the Norfolk business community who will chose which way to vote, dependant upon the level of concessions agreed within the renegotiated package. We acknowledge that there is limited information as to what the Government’s negotiating stance is, so we will continue to monitor and listen to the Norfolk business community over the next few months. It is essential that the business community does influence the government’s agenda so do let us know your views”
Also commenting on the results, John Longworth, Director General of the British Chambers of Commerce, said:
“Businesspeople want more clarity on the Prime Minister’s renegotiation plans before they have their say on Britain’s future in the EU. With half keeping their options open before making up their mind on how to vote, business’s top concerns need to be at the top of Downing Street’s negotiation agenda.
“Businesspeople are demanding a real shift in the balance of power between the UK and Brussels in any deal. Clear safeguards for the UK, and greater decision-making here at home, are at the top of their priority list.”
Key highlights – August 2015 BCC Europe Survey
BUSINESS KNOWLEDGE
Businesspeople are following the EU debate closely, with 51% reading about it at least weekly, and a further 26% at least every fortnight.
Majorities say they are familiar with the implications of an in-out referendum, with 72% saying they understand the implications for their business and 69% saying they understand the implications for the UK.
BUSINESS IMPACTS
Over eight in ten business leaders report no material impacts of the planned referendum on their businesses to date.
If the UK were to leave the EU, 40% currently expect this would have a negative impact on their overall growth strategy; 40% expect it would have no impact; and 14% expect it would have a positive impact.
When asked about the impact of a future change in the UK’s status in the EU on their business, 46% of businesspeople expect a negative impact – but the same amount, 46% expect either no impact or a positive impact.
THE PM’S RENEGOTIATION PACKAGE
Only 31% of businesspeople claim to be familiar with the PM’s renegotiation package – with those who are not at all familiar representing 30%.
Businesspeople want the Prime Minister to focus his aspirations for renegotiation on greater powers for the UK parliament to block proposed EU legislation (56%), allowing the UK to opt out from ‘ever closer union’ (41%) and greater UK control over migration (40%).
The most beneficial pan-EU reforms would be a reduction in regulation and red tape (59%) and a change in the balance of power between Brussels and individual member countries (45%). Some 11% do not believe any EU reforms would have a beneficial impact on their business.
VOTING INTENTIONS
Businesspeople who favour remaining in the EU are more committed to their position (48% completely committed) versus those who favour leaving the EU (37% completely committed). Notwithstanding, 50% of the total believe the Prime Minister’s reform package could affect their vote.
John Longworth, BCC Director General, also commented:
“Many assume that the EU referendum is a simple in-out debate where both camps are firmly entrenched in their positions, but this survey shows that businesspeople want more information and greater clarity, and for now at least their vote is still up for grabs.”