Chamber News

British businesses and consumers will soon be able to reap the benefits of the UK’s first trade deals negotiated from scratch since leaving the European Union with the agreements set to come into force this month. Expected to increase bilateral trade with Australia by 53% and with New Zealand by 59% in the long term, the two game-changing free trade agreements are anticipated to go live across all three countries from midnight on 31 May. Both trade deals will drive economic growth and innovation across the UK, Australia and New Zealand through the removal of tariffs on all UK goods exports, open unprecedented access for services, cutting of red tape for digital trade, and by making it easier for UK professionals to live and work in Australia and New Zealand. It comes just weeks after the UK concluded negotiations to join the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP), a free trade area worth £9 trillion, putting us at the heart of a trading powerhouse. Business and Trade Secretary, Kemi Badenoch, said: “With these two deals the UK is using our status as an independent trading nation to tailor agreements to our country’s economic strengths. Alongside our recent conclusion of talks to join CPTPP, the government is forging a bold new future alongside the world’s most dynamic and fast-growing economies. “Putting these trade deals into action will help create new opportunities for business, boosting wages and helping spur economic growth.” Head of Trade Policy at the BCC, William Bain said: “It is good news to hear that the free trade agreements with Australia and New Zealand will finally come into force at the end of the month.  “These deals will lower tariffs, simplify customs procedures, allow for greater freedom of movement for labour and provide stronger market access for the UK’s world-leading services sector. “But the success of any free trade agreement comes down to whether businesses use it, so it’s vital the Government shouts from the rooftops about these new opportunities. “A recent BCC survey also found almost a quarter of firms (23%) said finding a business partner or distributor overseas would encourage them to either start exporting or export more. “We have strong Chambers in both Australia and New Zealand and will be working with them to get the most out of these trade deals for all our economies.”  Services are central to the UK’s economy, accounting for around 80% of its economic output and workforce, and one of its biggest export success stories. The provisions in these deals complement our strengths and will help deliver on the PM’s priority of growing our economy. UK professionals from scientists and researchers to lawyers and accountants will have access to Australian work visas without being subject to its changing skilled occupation list. Brits will also be able to work more freely in New Zealand through commitments which enable UK service suppliers to deliver contracts. Other UK benefits include:

• Investment opportunities and access to government contracts, including putting British businesses on equal footing to compete for an additional £10 billion of Australian public sector contracts per year and high investment screening thresholds for UK investors in New Zealand
• Tariff free access to both markets for all British goods and flexible rules of origins, giving businesses a competitive edge over international rivals
• Reaffirmed commitments to the Paris Agreement and opportunities to grow our low-carbon economy, with tariffs on environmental goods liberalised
• Removal of UK import tariffs on majority of goods from Australia and New Zealand, reducing prices for UK consumers on favourites such as wine and manuka honey and lowering costs on machinery parts for UK manufacturers
• Progressive rules on digital trade and free flow of data, cutting red tape for SMEs and easing trade while protecting intellectual property, brands and innovations

There are robust protections for British farmers in both deals, including staging tariff liberalisation for sensitive goods over time. Both countries are key members of the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP), a huge trade bloc in the Indo-Pacific. The agreement is expected to enter into force on the 31 May, subject to finalisation of UK domestic procedures with remaining changes to UK law coming into force at the end of May. More information on the UK-Australia free trade deal can be found on GOV.UK and the GREAT website. More information on the UK-New Zealand free trade deal can be found on GOV.UK and the GREAT website.

Reacting to the latest ONS GDP figures, David Bharier, Head of Research at the BCC, said: 

“The first estimate of GDP for Q1 2023 of 0.1% growth indicates the UK is avoiding a recession and shows the resilience of businesses who are having to weather serious headwinds. 

“However, this also means we’re in a period of virtually no growth. The core issues affecting British businesses, such as unprecedented inflation, energy price shocks, and record tightness in the labour market, have not gone away. 

“A further rise in the interest rate will also impact firms that have resorted to using finance to manage cash flow.  

 “The Government must now act fast and set out a plan for economic growth to mitigate the impacts of these shocks. Businesses need to see a reduction in the cost and burden of trading internationally, particularly with the EU, as well as support for those continuing to be hit by record energy costs.” 

Reacting to the latest ONS Trade data, William Bain, Head of Trade Policy at the BCC, said: 

“The picture for global trade in the first quarter of 2023 is creating serious challenges for UK exporters, with a drop off in services as well as goods. While a pick-up in global demand is likely to develop in the second half of the year, we need action now to address both the cyclical and structural factors holding back UK export growth. 

“Labour market concerns appeared to act as a brake on any further services growth during March. Removing inflationary effects, UK services exports, which make up the bulk of our overseas sales, are still 0.9% below their pre-pandemic levels. The Government needs to do more to remove non-tariff trade barriers that are frustrating firms and make a big push to improve take up of free trade agreements.” 

Detailed Analysis of UK trade Data 

Q1 2023 

Figures for March revealed a further drop in both goods imports and exports, concluding a weak start to the year. Across the quarter, UK goods exports values declined by 3.2%, and goods imports by 7.5%. Services exports values fell by 2% across the quarter. Taking goods and services trade overall, there was a fall in UK exports values of 2.6% between January and March 2023, and in imports of 6.8%.  

March data 

After taking inflation into account, goods imports values fell by 2.1% in March and goods exports by 2.7%. Although imports of goods with the EU remained static, there was a decline in goods imports trade with the rest of the world in March of 4.7% – driven by lower fuel and oil imports, and across cars, transport, machinery and other manufactured goods. Good exports to the rest of the world fell by 3.6% and to the EU by 1.7%. In services, UK exports increased by 0.8% in March, and imports by 0.3%. 

Trade Deficit 

Reduced imports across the quarter led to a fall in the overall UK goods and services trade deficit from £15.1bn to £10.2bn in Q1 2023.  

On the  26 April at Newmarket Racecourse we held the Norfolk and Suffolk LSIP Co.llaboration Event, which showcased the extensive employer engagement which has taken place, detailing the analysis and key findings in which businesses are communicating the regions skills gaps and needs. We heard from businesses and stakeholders through panel discussions about the challenges being faced by employers, LSIP Theme Analysis Findings and Colleges & Provider Solutions to Skills Priorities. There were opportunities for the audience to put questions to the panels which created engaging conversation. The conversations that took place are key in enabling us to develop the programme to suit the region’s needs. It was clear all shared the passion, determination, and desire to support skills development to meet the future skills needs. Key messages from the day:

• It was clear that apprenticeships are still a key focus for local providers within the region and this was demonstrated by Harry Harris of SWARM who shared his enthusiasm and willingness to support businesses with apprenticeships.
• There is a need for consistent language to be used in the skills landscape with clear definitions of where to access skills and funding our employer panel made up of local businesses of all sizes echoed these comments.
• Encouragement of the coming together or private and FE training providers, to further support the local skills required for businesses to continue to grow in Norfolk and Suffolk
• Nova Fairbank (Norfolk Chambers CEO) provided an update on next steps, which included many of the themes of the day – greater sharing of works well, encouragement of closing working relationships between business and the further education sector, aligned with national and local polices.

Now is the time to keep the momentum going and to drive the skills agenda forward in true LSIP Co.llaboration style. A big thank you to our brilliant hosts John Dugmore – CEO of Suffolk Chambers of Commerce, Nova Fairbank CEO of Norfolk Chambers of Commerce and Dean Pierpoint, LSIP Project Manager of Norfolk Chambers of Commerce, along with our fantastic panellists, everyone who attended and to Newmarket Racecourse for providing such a great venue and service. For more information on the programme, please email LSIP@norfolkchambers.co.uk Norfolk and Suffolk LSIP LinkedIn Group: Stay connected with the latest research, surveys, events, news and discussions

Skills was the primary focus at our recent Norfolk & Suffolk Local Skills Improvement Plan (LSIP) Co.llaboration event at Newmarket Racecourse.   The event showcased the extensive employer engagement across both counties and the collaborative work undertaken with many key stakeholders, including colleges, independent training providers, local authorities, the DWP, universities and many others around the region’s skills gaps and needs. Through a series of interactive panel discussions, we heard the employer’s perspective, the provider perspective and the findings of four deep-dive pieces of work around the LSIP’s themes and cross-cutting themes: Agri-tech/Food Processing, Net Zero, Soft or Impact Skills and Digital Workforce Skills. Opening the event, John Dugmore, Chief Executive of Suffolk Chamber of Commerce said: “Skills development supports the local economy, but is also important for our social landscape – supporting young people coming in to work with the right attitudes is just as important as training up managers to effectively run the business.  The LSIP has been listening to employers, but it is also there to highlight that our partners in education establishments and the independent training providers are already doing great work in this space and whilst there is always more work that can be done to ensure that we exploit all the opportunities available to us, as we’ll see this afternoon, we start from a very strong position already.” The LSIP Project Manager, Dean Pierpoint, facilitated the panel discussions and commented on the clear shared the passion, determination, and desire to support skills development to meet the future skills needs by all involved. Key messages from the discussions:

• Apprenticeships are still a key focus within the region and this was demonstrated by Harry Harris of SWARM who shared his enthusiasm and willingness to support businesses with apprenticeships.
• There is a need for consistent language to be used in the skills landscape, at present employers are not understanding the skills language used by providers and the Department for Education.
• Encouragement of the coming together or private and FE training providers, to further support the local skills required for businesses to continue to grow in Norfolk and Suffolk
• Now is the time to keep the momentum going and to drive the skills agenda forward this can only be achieved with continuous ongoing engagement with both employer, providers and all relevant stakeholders.

Nova Fairbank, Chief Executive of Norfolk Chambers rounded the afternoon off by outlining the next steps for the LSIP, including how the LSIP will move forward into Phase II.  Commenting on the hard work done to date by the LSIP team she said: “Investment in skills is a priority to support Norfolk and Suffolk businesses and the LSIP and all our partners and stakeholders are collaborating to achieve this.  The final LSIP Report will be submitted to the Secretary of State for Education by 31 May 2023.  However, the submission of the LSIP report is not the end – just the end of the beginning.  The LSIP report is not a document that will sit on a shelf gathering dust.  It becomes an ongoing, living, breathing, evolving document that is a template for business and skills engagement across Norfolk and Suffolk.  This can only be achieved by continued ongoing close collaboration with our wide range of stakeholders and businesses across Norfolk and Suffolk.” For more information on how to get involved with the Norfolk and Suffolk LSIP, please email LSIP@norfolkchambers.co.uk. To get involved with the LSIP’s work and to have your say, please visit the Norfolk and Suffolk LSIP LinkedIn Group: Stay connected with the latest research, surveys, events, news and discussions 🌟  

Reacting to the news that the trade deals with Australia and New Zealand will come into force on May 31, Julie Austin, International Trade Quality Manager at Norfolk Chambers said: “It is good news to hear that the free trade agreements with Australia and New Zealand will finally come into force at the end of the month. “These deals will lower tariffs, simplify customs procedures, allow for greater freedom of movement for labour and provide stronger market access for the UK’s world-leading services sector. “But the success of any free trade agreement comes down to whether businesses use it, so it’s vital the Government shouts from the rooftops about these new opportunities. “A recent BCC survey also found almost a quarter of firms (23%) said finding a business partner or distributor overseas would encourage them to either start exporting or export more. “We have strong Chambers in both Australia and New Zealand and will be working with them to get the most out of these trade deals for all our economies.” Further details on the trade agreements can be found here, for Australia, and here, for New Zealand. Find out how the Norfolk Chambers could support your business with International Trade here.

Entries are now open for the Eastern Daily Press Business Awards 2023. The theme for this year is those heroes, the team members that are the difference between success and failure. We are pleased to see so many of our members involved with the awards already, with several being sponsors of the award categories and local Charity and Norfolk Chamber members, Walking With The Wounded being named EDP Business Awards Charity of the Year for 2023. The award categories are:

• Norfolk Business of the Year, sponsored by Barclays
• Customer Excellence Award, sponsored by Greater Anglia
• Digital Business of the Year, sponsored by Upp
• Environmental & Sustainability Award, sponsored by Norse
• Large Business of the Year, sponsored by FRP Advisory
• Positive Impact in the Community Award, sponsored by Vattenfall
• Rising Star of the Year, sponsored by Birketts
• Growth Business of the Year, sponsored by Ashtons Legal
• Employer of the Year
• Director of the Year
• Small Business of the Year
• Medium Business of the Year
• Outstanding Achievement Award, sponsored by Barclays

Find out more about the categories here Entries can be made here, please note the deadline for entries is Sunday 16th July.

Reacting to reports that the sunset clause might be removed from the Retained EU Law Bill, William Bain, Head of Trade Policy at the BCC, said: “Over the past few months, the BCC has consistently put forward a strong business case to remove the uncertainty caused by an imminent sunset clause for retained EU law. “If Ministers are now considering a more pragmatic approach this would be greatly welcomed. Firms have been battered by the pandemic, energy costs, inflation and rising interest rates, but their confidence in the economic outlook has been starting to grow. Now is not the time to knock that with a hasty sunset clause across vast areas of UK regulation. “But it would appear the Government has been listening and we welcome the opportunity for further dialogue. Businesses are keen to see reform which removes barriers to growth, where appropriate, that keeps costs down and avoids divergence within the UK internal market.”

Responding to the House of Lords European Affairs Committee report on the future of the UK-EU relationship, William Bain, Head of Trade Policy at the BCC, said: “The BCC welcomes these clear and well-evidenced proposals for reform of access to the UK labour market. We provided evidence to the Committee based on our research among businesses in key economic sectors. “There are still particularly tough issues faced by firms who cannot attract sufficient UK staff in care, hospitality, manufacturing and logistics. “We need a fast, efficient and affordable system to access skills from outside the UK when we can’t recruit and train locally.   The Shortage Occupations List (SOL) is key tool to do this, but it must reflect the reality on the ground. “UK firms are also hampered when it comes to travelling to Europe due to the lack of flexibility in some of the business travel and mobility rules in the Brexit deal, especially in relation to financial, professional and business services. “We urge the UK Government to respond decisively to these findings, so that firms can have the confidence in access to the skilled workers they need to grow their businesses and get economic growth moving.” A copy of the full committee report can be found here.

The Norwich BID (Business Improvement District) has acquired a limited number of licenses for Rio Carbon Reporting’s Carbon Tracker. “What is Rio? Rio is an intelligent sustainability management system. This platform helps businesses, public sector organisations, and SME’s track their sustainability data, report on their progress, and learn to become more sustainable. Rio can not only help businesses track their sustainability journey, but the platform also analyses your data and provides actionable ways to improve your sustainability and save you money! Rio can help with:

• Target-setting establish your organisation’s targets and monitor progress
• Reporting provide information to key stakeholders
• Legislation access a legal library of environmental legislation (with synopses!)
• Identify opportunities to reduce your carbon footprint
• Training Rio Learn provides training resources on a range of topics to increase sustainability knowledge.”

See the full article on the BID’s website here.

Anglian Waste Recycling are excited to have launched their latest initiative, the Anglian Green Scheme, which aims to educate school pupils on the importance of waste reduction and responsible recycling. The waste management company hopes that this engaging scheme will create a long-term change in the way young people approach recycling to protect our environment. With concerns over climate change and environmental damage on the rise, the recycling initiative seeks to inspire students across the region to reduce the amount of waste they produce and introduce positive recycling behaviors into their daily routines. Influencing the next generation to make sustainable choices that have less harmful impacts on the environment will play a key role in the solution to limit global warming in the future. Designed to make recycling fun, interactive and accessible, Anglian aspired to make all activities within the scheme rewarding, to encourage children to recycle using the separate waste streams. Participating schools receive a range of educational resources including workshops and assemblies led by Anglian, digital toolkits, and their most popular learning tool, the Anglian Recycling Station. “We believe that educating our future generations about the importance of recycling is crucial in creating a sustainable future,” said Matthew Raven, Field Sales Executive of Anglian Waste Recycling. “Through the Anglian Green Scheme, we hope to ignite a passion in young people to become environmental stewards by instilling a culture of recycling in them from an early age.” Bawburgh School are one of the first schools to sign up to the Green Scheme initiative to increase recycling rates within their facility. Zoe Courtney, Caretaker of Bawburgh School, said “It’s fantastic to see how Anglian Waste Recycling have helped to raise awareness for recycling among our pupils. Our students are having so much fun while they learn about this topic and it’s wonderful to see them taking an active interest in protecting our environment.” After running a recycling themed poster competition for the students at Bawburgh, Anglian hosted an assembly where the two winners were announced and awarded with goody bags – Asta (Kingfishers – Year 2) and Evie-Rose (Jackdaws – Year 4). The two poster designs have been printed onto the Anglian Recycling Station in the playground by CIM Signs & Graphics, who kindly donated their time and materials to this project. Anglian Waste Recycling would like to encourage all schools in East Anglia to participate in the Green Scheme to support their local communities in creating a cleaner, greener environment for all. Established in 2007, Anglian originated as a demolition and asbestos company, but has rapidly grown over the years to include multiple divisions, including waste management. Providing commercial waste and recycling collections, skip hire and scrap metal processing, they are also the new preferred waste supplier for Norwich Business Improvement District – offering levy payers access to exclusive rates to increase recycling across Norwich City. To stay up to date with Anglian Waste Recycling’s initiatives, visit their website, www.anglianrecycling.co.uk or find them on social media.

Meet the Buyer | 25^th April 2023 | Hitachi Energy Hitachi Energy has been appointed by Ørsted, the world’s most sustainable energy company, to deliver the construction of two HVDC Converter stations Link 1 & 2 for the Hornsea 3 offshore wind farm. The Norfolk Chambers of Commerce worked closely with Hitachi Energy to deliver an event which gave Local Businesses the opportunity to showcase their skills and expertise to Hitachi Energy. Businesses from different sectors joined us on Tuesday 25^th April to meet and discuss the opportunities to work on the Hornsea 3 project with Hitachi Energy. Meet the Buyer was an opportunity for local businesses to sit down and have a 15 minute meeting with a representative from Hitachi Energy to learn more about the project and showcase how their business can support them. Several attendees joined us at Hitachi Energy’s Meet the Buyer after attending our previous Meet the Buyer in November 2022, including Wensum Print. Oli Smith from Wensum print said “This is the second meet the buyer we have attended, we provided the signage for the Hornsea 3 Onshore Cable Works project after attending Meet the Buyer at the end of last year and we have come back today to represent our business again and showcase what we can offer and hopefully build some new business relationships.” Office Water Supplies also attended the event after being subcontracted after last year’s Meet the Buyer. When asked how important do you think it is that the Norfolk Chambers of Commerce are apart of an event like this they said: “It is massively important that the Chambers are a part of an event like this, it’s a huge opportunity for us and many other local businesses.” After the event, Michael Chappell from Hitachi Energy said: “The one-to-one meetings provided meaningful new potential suppliers for which we will be looking to explore more in the coming months. In addition to which, Simon Knapper, who welcomed visitors to the Hitachi Stand, received significant interest and thoroughly enjoyed discussing how Hitachi’s HVDC technology is bringing power from the Hornsea Offshore Windfarm into the UK transmission network at Necton. Initial feedback from the Hitachi team was all extremely positive.” Amy Wright, Events Manager, Norfolk Chambers of Commerce: “I would like to thank all the businesses who attended the event, it was fantastic to hear the buzz of the networking area and to meet some of our members. Norwich City Football Club’s hospitality was outstanding and it was a very engaging environment to be in.” Thank you to Sizewell C Supply Chain and Hitachi Energy for exhibiting at Meet the Buyer and thank you to Norwich City Football Club for their venue space in the Top of the Terrace.