Chamber News

Additional duties are to be imposed on a range of products from the USA after European Commissioners endorsed a decision to retaliate against the recent tariffs applied by the USA on imports of steel and aluminium from the EU.

Commissioners agreed that selected imports from the USA should be subject to additional duties, which are expected to apply from July.

The additional duties range from 10% to 50% and cover a wide range of items, including: playing cards (10%); cranberry juice (25%); cast steel tubes or pipe fittings (also 25%); paper hand towels (35%) and cordless infrared remote control devices for video game consoles (50%).

The full list of products concerned and the duties which will apply to them can be found at trade.ec.europa.eu.

In total, the theoretical additional duty collected will amount to $1.6 billion the Commission calculates which is far below the estimated €6.4 billion impact that the US measures will have on EU exports.

The EU is therefore reserving the right to impose further measures at a later stage (either in three years’ time or after a positive finding in a World Trade Organization (WTO) dispute settlement procedure if that is made sooner).

Characterising the decision as “a measured and proportionate response to the unilateral and illegal decision taken by the United States”, Trade Commissioner Cecilia Malmström confirmed that the EU’s action is fully in line with international trade law.

The imposition of rebalancing duties is part of what the Commission describes as a three-pronged response to the US action, with the other two elements being the launch of legal proceedings against the USA in the WTO and the possible triggering of safeguard action to protect the EU market from disruptions caused by the diversion of steel from the US market.

The British Chambers of Commerce (BCC) has today (Monday) slightly downgraded its growth expectations for the UK economy, forecasting GDP growth for 2018 at 1.3% (from 1.4%) which, if realised, will be the weakest calendar year growth since 2009, when the economy was in the throes of the global financial crisis. The BCC has also downgraded its GDP growth forecast for 2019 from 1.5% to 1.4%.

The downgrades have been largely driven by a more lacklustre outlook for consumer spending, business investment and trade. While real wage growth has returned to positive territory, the UK’s leading business group does not expect this to translate into materially stronger spending over the forecast horizon, with weak productivity expected to limit the extent to which wages will increase, and household finances are likely to remain stretched amid historically low household savings and high debt levels. 

Business investment growth is expected to slow in 2018 to 0.9%, from 2.4% in 2017. The high upfront cost of doing business in the UK and the ongoing uncertainty over the UK’s future relationship with the EU are expected to continue to stifle business investment.

The UK’s net trade position is expected to weaken over the next few years by more than expected in the previous forecast. Exporters will struggle to recover the ground lost in the year so far, as growth in key markets moderates.

Growth in service sector output, a key driver of UK GDP growth, is expected to slow to 1.2% in 2018, which would be the weakest outturn since 2010. Consumer-focused industries such as retail and hospitality are expected to remain under the most pressure amid weak consumer spending.

If realised, the forecast suggests the economy is in a torpor, with uncertainties around Brexit, interest rate rises, and international developments such as a possible trade war and rising oil prices, all having an impact. The BCC urges the government to focus as much as possible on the domestic business environment, reducing the uncertainty that firms face, and take action on skills shortages and poor mobile connectivity, which lower productivity and hold UK businesses back.

Key points in the forecast:

• UK GDP growth forecast for 2018 is downgraded from 1.4% to 1.3%, down from 1.5% to 1.4% in 2019, rising to 1.6% in 2020 (unchanged)
• Quarter-on-quarter GDP growth is forecast to rise by 0.4% in Q2 2018, from 0.1% growth in Q1 
• Growth in household consumption for 2018 is expected to slow to 1.0%, before rising to 1.4% in 2019 and 1.7% in 2020
• Inflation will continue to ease, but will not fall below the 2% target until 2020
• The next interest rate rise, by 0.25%, is forecast to occur in Q4 2018, followed by a further increase to 1.0% in Q2 2019, with no further rises expected over the remainder of the forecast period
• Average earnings growth will continue to slightly outpace inflation over the forecast period, with growth of 2.7%, 2.9%, and 3.0%, compared with inflation of 2.5%, 2.3%, and 1.9%
• Export growth is expected to grow by 2.8% in 2018, 2.9% in 2019, and 2.9% in 2020. This compares with import growth of 1.7% in 2018, 2.5% in 2019, and 3.0% in 2020
• Growth in the construction sector is expected to slow significantly in 2018, with 0.7% growth, compared to 5.7% in 2017. The sector picks up slightly in the remainder of the forecast period, with 1.3% and 1.5% in 2019 and 2020 respectively
• Services sector growth is expected to slow to 1.2% in 2018, before picking up to 1.5% in 2019 and 1.9% in 2020
• Business investment is expected to remain weak, with growth across the forecast period of 0.9% in 2018, 1.2% in 2019, and 1.7% in 2020

Dr Adam Marshall, Director General of the British Chambers of Commerce (BCC), said:

“A decade on from the start of the financial crisis, the UK now faces another extended period of weak growth amidst a backdrop of both domestic and global uncertainty. 

“Our forecast should serve as a wake-up call to government – as it demonstrates that ‘business as usual’ is not an option when it comes to the economy. 

“With firms facing ongoing Brexit uncertainty, increasing global protectionism and instability in some parts of the world that will impact on costs and profits, now is the time for more robust action to support business confidence and investment. 

“Brexit cannot be Westminster’s only priority. Businesses across the country want to see far more urgency around fixing the fundamentals here at home and a concerted effort to lower the high costs of doing business. 

“The next few years are set to be a testing time for business in the UK. What firms and their employees need is much more visible evidence that ministers are committed to getting the basics right – which would enable business in turn to invest, take risks and grow.” 

Suren Thiru, Head of Economics at the British Chambers of Commerce, added:

“While the bad weather had a demonstrative impact on the economy in Q1 2018, the latest outlook suggests that the loss of momentum suffered by the UK in the first quarter is more than just a temporary soft patch, with UK growth forecast to remain well below its historic average for the foreseeable future unless action is taken.

“The downgrades to our forecast reflect a broad-based weakening in the outlook for key areas of the UK economy including consumer spending, business investment and trade. Consumer spending is expected to be more subdued over the near term from a combination of sluggish real wage growth and stretched household finances. Trading conditions for UK exporters are expected to become more challenging over the forecast period as growth in key markets start to moderate. Against this backdrop, the case for sustainable increases in interest rates continues to look rather weak.

“While Brexit uncertainty and the weakness in sterling have weighed on overall UK growth, it is the failure to deal with the longstanding structural issues from weak productivity to the deep imbalances in the UK economy that continue to undermine the UK’s growth potential.

“The risks to the outlook are on the downside. A messy departure from the EU would likely slow UK GDP growth further over the medium term. The prospect of an escalating trade war is now a key downside risk to our forecast as it could mean much weaker export and business investment growth than implied by the current forecast.”

Norfolk Chamber holds a regular series of evening networking where we like to take Norfolk businesses to new and upcoming venues in the Norwich area. On Thursday 14 June we took a trip to the Bowling House, which opened its doors in March this year.  Our delegates joined us after work, grabbed their bowling shoes and commenced the evening with drinks and networking. The evening got into full swing as we took over the 5 intimate lanes at the Bowling House, perfect for building relationships with teammates and competitors.  There were some interesting bowling techniques on the lanes, but at least one player from each team made a strike, with plenty of cheering and celebration. Our high scorer for the evening was Ross Taylor from Towergate Insurance who scored 157 with 3 strikes from his 10 bowls! This was followed closely by Alexandra Lynch from the UEA with a score of 155.  Following the bowling, all delegates sat together to enjoy the amazing food served by the Bowling House. We were spoilt for choice with so many delicious dishes, including their famous nachos and crispy jalapeños.  Our next evening networking event is Cocktails & Pizza! We’ll be taking you to the hottest new cocktail bar in Norwich: Chambers Cocktail Company! You can enjoy making a cocktail with one of their expert barmen, as well as enjoying a fresh pizza delivery from Brick Pizza!  More details.

Commenting on reports that the Home Office is to exclude non-EU doctors and nurses from the Tier 2 visa cap, Jane Gratton, Head of Business Environment and Skills Policy at the British Chambers of Commerce (BCC), said:

“This is a positive first step. Non-EU doctors and nurses make up a large share of visas granted under the Tier 2 regime, so removing these workers will help many businesses across the UK economy to access the skills they can’t recruit from the UK. The cap on Tier 2 visas has been routinely under pressure from many sectors, with businesses having to compete for vital skills to fill growing shortages.  

“However, if the UK is to truly become Global Britain, then this must only be a first step. The government should go further and remove the arbitrary migration target, and scrap the cap on Tier 2 visas across industry. The current policy hurts business and dissuades some of the best and brightest from coming to the UK, and any changes must help firms compete on the global stage.”

Leaving aside any transition period, the UK will withdraw from its membership of the EU on 29 March 2019.

At that point – or on whatever date is finally agreed between the two sides – it will become what the EU calls a “third country” (a non-member).

One of the consequences of that new status will be that UK businesses will no longer benefit from preferential trade arrangements agreed by the EU with other countries, as it presently does.

In particular, both importers and exporters will have to get to grips with Rules of Origin (ROO) requirements, explained by the European Commission in a recent notice.

Among the points made by the Commission are that UK materials or processing operations (aka “inputs”) will be considered as “non-originating” under a preferential trade arrangement for the purpose of determining whether the goods incorporating them are entitled to preferential tariff treatment.

For goods exported from the EU, an EU free trade agreement (FTA) partner country might consider that goods having an EU preferential origin before the UK’s withdrawal date no longer qualify, due to UK inputs no longer being considered as EU content.

Similarly, for goods imported into the EU, UK inputs incorporated in goods obtained in third countries with which the EU has preferential trade arrangements and imported into the EU as of the withdrawal date will be considered non-originating.

Exporters in third countries might, therefore, have to prove the EU preferential origin of the goods they wish to send to the EU.

Is that a problem? This may sound very technical but the Dutch Government has already advised its manufacturers who buy components from the UK that they might want to start looking at suppliers from within the EU27 to ensure that they do not fall foul of ROO rules after Brexit.

In a useful article on Rules of Origin (ROO), Professor Catherine Barnard and Emilija Leinarte of the University of Cambridge suggest that the rules seem to place a big question mark next to the UK Government’s “frictionless trade” objective.

“Every exporter – small or large – will have to determine whether their goods originate in the UK or abroad according to the complex technical and legal rules,” they write.

Customs delays are likely to appear as the application of ROO will require checks – something that could become a hurdle to manufacturers who often work on a precise, and often last minute, schedule to avoid storage.

UK ports do not currently have technical infrastructure to ensure an efficient application of ROO, they warn, and the requirement will also impact on the Ireland/Northern Ireland border issue.

Full fibre broadband connections offer the fastest and most reliable speeds available, and the Department of Digital, Culture Media and Sport has recently announced a UK-wide £67m Gigabit Broadband Voucher Scheme, which is open to Norfolk businesses and residents.

Gigabit vouchers can be used by small businesses and the local communities surrounding them to contribute to the installation cost of a gigabit capable connection. Businesses can claim up to £3,000 against the cost of connection, either individually or as part of a group project. 

It is also possible for multiple businesses to pool their vouchers i.e. if there are 10 businesses on a business park and they all apply, that’s £30,000 towards the connection costs (for installation and other year 1 costs).

For more information and how to apply click here

We have just been informed that on the occasion of Eid al-Fitr the Arab British Chamber of Commerce will be closed on Friday 15 June 2018 and will return for business as usual on Monday 18 June 2018.

Please also note that the Embassy of Saudi Arabia will be closed from 13 June 2018 returning to business as usual on Monday 25 June 2018. Most other embassies will be closed for several days during this week.

We would just like to pre-warn you that you should expect some delay with your legalised documentation. We usually advise 3-4 weeks for the documents to be returned, but during this period it could take up to 6 weeks.

Thank you 

We are pleased to announce that Norfolk Chamber of Commerce will be hosting its very own stand at this year’s Royal Norfolk Show on Weds 27 & Thurs 28 June 2018. 

Held at the Norfolk Showground, the event is one of the largest in the county calendar and celebrates not just agriculture, but the wider business community. 

We are delighted to be taking 9m x 9m marquee to have a big presence at this year’s show.

Come and visit the Norfolk Chamber of Commerce marquee on Stand 74 to learn about why Norfolk is a great place to do business; as well as how you can get involved in growing and developing our county.

The Norfolk show is a great place to do business. We have a dedicated business lounge on our stand where you can meet with other businesses and build relationships. Or come and talk to our team to see how we can help you and your business. We can support anything from networking to exporting abroad. Our stand is not just for businesses, bring your family with fun activities and learning.

In addition, we’ve put together a programme of activities for you to enjoy below: 

9.30 AM – Business Breakfast  Members are invited to join us for a business breakfast in our marquee on both days at 9.30 am with plenty of coffee, bacon baps and pastries to get your morning started the right way. 

1 PM – Network Hour  Make use of our business lounge and treat yourself a well-deserved break with coffee and biscuits.  3 PM – Gin O’Clock (Wednesday only)  Don’t fancy getting up early, come along to Gin O’Clock from 3-5pm on Wednesday and enjoy informal networking and cocktails made by St Giles Gin. 

We look forward to meeting with as many businesses and members over the two days. For more information about our stand at the show contact Philippa Bindley, Events Manager on 01603 729703 or email philippa.bindley@norfolkchamber.co.uk

The International Trade Summit will give delegates practical advice, invaluable resources and the contacts needed to grow their business and begin the next step of their export journey.

Whatever stage of the export journey you are at, the BCC’s International Trade Summit is the event that will help you take your business to the next level.

There will be a choice of informative workshops, lively panel discussions with businesses with export experience from a range of sectors, stimulating speeches from policy makers, successful exporters and household names. And, of course, plenty of time for networking.

The themes for 2018 are: • Dealing with the practicalities of Brexit • The changing face of International Trade • Trading the world – be inspired!

This year’s International Trade Summit will take place at etc venues, Bishopsgate in London on 18th October.

This year we have received 20 complimentary tickets to the event for exporters or businesses looking to export. When booking your place, if you are a member of the Norfolk Chamber please use the code NOR18 to receive your complimentary ticket. These will be delivered on a first come first served basis. Once all 20 complimentary tickets have been claimed, the code will stop working. This offer expires on Monday 10th September 2018.

To find out more information about the International Trade Summit and to get your tickets, please visit https://www.bccexport.co.uk/

Following a successful Pub Quiz in May, our summer of fun and informal evening networking events continues. With the sun giving us glorious weather recently, we’ve released more events in our After Hours series to help get you building new connections in a different way.

Next week we’ll be at The Bowling House for a game of bowling and some tasty treats from their new menu. There’s still time to book so make sure you don’t miss out – we’ve even opened bookings to non-Chamber members so you can bring business guests! More details.

Following some competitive bowling, we’re taking the Chamber to Chambers! Chambers Cocktail Company opened in Norwich just a few months ago with a unique serving style for their cocktails. Attendees will get the chance to make one of their cocktails, guided by their expert barmen. We’ll also be bringing some of the finest pizza in town fresh from Brick Pizza for you to enjoy with fellow Norfolk businesses. Cocktails and Pizza is taking place on Thursday 26 July – more details.

Next we’re bringing back our flagship fashion event Look the Business to Jarrold on Thursday 23 August. Keep up-to-date with the hottest new trends in business and casual as Jarrold put on a fashion show to make you want to treat yourselves. To make this even easier, you’ll also get exclusive shopping time with discounts! More details.

If you have any questions about any of our After Hours events please do get in touch.

We hope to see you at an event soon!

On a sunny Wednesday morning over 60 Norfolk businesses joined Norfolk Chamber at Barnham Broom Hotel for networking and an informative talk fuelled by breakfast.  As delegates began arriving the tea and coffee flowed to wake everyone up and get them in gear to start making new connections. Once called through to the main event room Chamber CEO Chris Sargisson kicked off the morning by welcoming attendees and setting them up for the agenda ahead. First item was our networking activity, designed to spark conversations amongst the tables and get delegates building relationships. Delegates were given a timeline with key years listed along with a set of images which contained tech items such as the first Macintosh and the Nintendo Wii. The aim was to match the tech to the year it was released which was cause for plenty of debate on the tables. In the end the highest score was 7 out of a possible 12.  Following the activity came breakfast served kindly by Barnham Broom Hotel. The conversations continued throughout and gave delegates a chance to really get to know those around them.  Our guest speaker for the morning was Tim Robinson, Chief Operating Officer for TechEast. Tim began his talk by telling delegates to continue growing the tech community in Norwich by giving a strong voice and shouting about the amazing things the sector is doing locally. Not only do tech companies need to continue collaborating, but every business needs to join forces with the tech sector – this was echoed throughout Tim’s presentation and by our tech attendees in the audience.  Tim also touched on TechEast’s vision to make Norwich become a top 5 digitech cluster by 2020 and highlighted how great the tech community in Norwich is, with it being the number 1 strength in Norwich as discovered by this year’s Tech Nation report.  The event came to a close and gave delegates more time to network with those around the room.   Our next networking breakfast is in Great Yarmouth on Thursday 21 June. More details.

We have a big mission over the next few years of ‘Connecting, supporting and giving voice to every Norfolk business’. We also want to double the number of members in the next five years and be relevant in all regions and towns across Norfolk. 

Norfolk Chamber of Commerce needs to transform its culture and behaviour from siloed and administrative towards invigorated, multi skilled and totally customer centric by creating a Customer Experience team. 

We are currently recruiting for the following roles. 

1. Customer Experience Team Member 
2. Customer Experience Team Member
3. Customer Experience Team Member with Events 

We are looking for candidates to actively engage either by phone, email or at events with a wide range of business customers to understand and support their needs and then be motivated, inspired and driven to always exceed the customer’s expectations.

Members of the team will bridge and connect our customer across all our business disciplines (finance, international, policy and membership) and work within and environment of complete, transparency and customer care. 

Norfolk Chamber is a not for profit business membership organisation with over 900 members. We provide networking opportunities, share knowledge, offer business services, signpost to business opportunities and inspire innovative thinking to enable companies to do better business.

To find out more information and to apply visit: https://www.norfolkchamber.co.uk/vacancies