As part of its industrial strategy, the Secretary of State for Business, Innovation and Skills (BIS) announced that there will be, initially, 10 sector strategies, of which oil and gas would be one.
The industry’s input is essential as BIS and the Department of Energy and Climate Change (DECC) develop this work in partnership with Oil & Gas UK. Sector strategies will be co-developed and implemented with industry to be durable and will:
be long-term in focus: developing a vision for the sector and what needs to happen from both government and business to get there
be co-created with industry: committing both business and government to specific actions to maintain and develop long-term capabilities
take a whole of government approach: looking across all of government to identify barriers and levers which have the biggest impacts and align these to deliver growth
engage across the totality of the sector: working with industry and identifying actions which benefit business across the whole supply chain whether they are large, medium or small
The complete UK Government Oil and Gas Sector Strategy can be found here
It is believed this will be of interest to stakeholders across the London and East region and the UK Government very much welcomes Industry’s views, particularly through January 2013.
The last few weeks has seen theGovernmentholding a series of road show consultationevents across England to seek views on a new streamlined approach for delivering European Union (EU) funds.
The EU funds covered include the European Regional Development Fund (ERDF), European Social Fund (ESF), the European Agricultural Fund for Rural Development (EAFRD) and the European Maritime and Fisheries Fund (EMFF). These funds are the main European instruments for supporting local projects to increase jobs and growth.
The value of these funds for the next spending period (2014 – 2020) has not yet been decided, but the Government has been working with stakeholders on a more efficient mechanism for distributing the funds from 2014.
The proposals include ideas for using the different funds in a more complementary and integrated way. The Government also wants to make funding simpler to access and easier to operate for beneficiaries. Local Enterprise Partnerships (LEPs) will be invited to be more closely involved in the process of distributing the funds. LEPs would bring together local authorities and local businesses, and can therefore design and deliver investment strategies that target the needs of their local area.
The East of England road show was held at Ipswich Town FC on the 30th November and attractedrepresentatives fromlocal authorities, LEPs, charities, and other stakeholders. Road shows were also held in Maidstone on the 28th November and in London on 7th December.
Business and Enterprise Minister Michael Fallon said:
“These EU funds help to boost growth and jobs across the UK and we need to make the most of them. For the next seven years it’s important that they are delivered in the most efficient way to ensure we get maximum impact for the investments being made.
“It’s vital we have discussions with the organisations that will deliver and benefit from these funds at an early stage.”
Following feedback from the road shows on the new model, a formal consultation will be launched in spring 2013.
In the US, the latest economic datashowed that activity in the manufacturing sector began expanding again in December. However, the rate of expansion was weak, with many businesses postponing investment decisions due to uncertainty over the fiscal cliff. Both issues still need to be addressed with another stand-off likely to lead to a shutdown of the federal government by late February or early March.
The latest survey of credit conditions from the Bank of Englandpublished last Thursday provided encouraging evidence that the Funding for Lending scheme (FLS) is improving the availability of credit for both businesses and households. The report revealed that the availability of credit to businesses rose for the first time in a year, while the availability of secured credit increased to its highest level since the survey began in 2007. However there are still some areas of concern, including the pressures facing small businesses, with the credit available to small firms significantly below that available to larger scale businesses
The Arab-British Chamber of Commerce have received advices from the Embassy of the Republic of Iraq, that with immediate effect, exporters ofMedicines being shipped to Iraq will NOT need to obtain a Certificate of Conformity.
All other documentary requirements, remain the same.
The second round of the BIS Employer Ownership Pilotlaunched on 20th November, enabling businesses across the countryto bid for a share of a £150 million pot to create the training schemes they need to grow their companies.
Skills Minister Matthew Hancock who announced theextra EOP funding which now totals £250m for rounds one and two, said
“I would encourage businesses – large and small – to be ambitious and innovative in their vision for how the fund can help them grow, from creating new apprenticeship programmes to setting up specialist training academies.”
The prospectussets out the rationale for the scheme in more detail. The vision of greater employer ownership has been championed by the UK Commission for Employment and Skills (UKCES) – a non-departmental public body that provides strategic leadership on skills and employment issues.
The EU has requested the World Trade Organization (WTO) to rule on a dispute on Argentina’s import restrictions which, the European Commission has claimed, are damaging European businesses.
The EU is taking this action, along with Japan and the USA, in an attempt to force Argentina to lift these measures, which have been hitting European trade and investment for more than 18 months.
They potentially affect all EU exports to Argentina, which were worth €8.3 billion in 2011.
The decision follows efforts by the EU to find a solution with Argentina through WTO dispute settlement consultations during the summer, which ended without success.
“Argentina’s import restrictions violate international trade rules and harm EU exports,” EU Trade Commissioner Karel De Gucht said. “This is the EU’s last resort to see Argentina’s unfair trade practices lifted and free and fair trade re-established according to the WTO rules to which Argentina has subscribed.”
Since February, Argentina has subjected the import of all goods to a pre-registration and pre-approval regime called the “Declaración Jurada Anticipada de Importación”.
Hundreds of goods also need a non-automatic import licence. On the pretext of this requirement, imports are systematically delayed or refused on non-transparent grounds, the Commission said.
As of March 2011, more than 600 product types have been affected by this licensing regime.
Argentina also requires importers to balance imports with exports, increase the local content of the products they manufacture in Argentina, or not to transfer revenues abroad.
This practice is systematic, unwritten and non-transparent, the EU told the WTO.
Foreign direct investment reforms to its consumer goods market – which will allow greater participation from foreign companies – have been approved by India’s parliament.
“Driven by the twin engines of economic growth and favourable demographics, the Indian consumer goods market continues to evolve rapidly, and is predicted to expand by a staggering 15-20% over the next five years to reach $1.3 trillion by 2020,” according to the UK India Business Council (UKIBC).
It explained: “The approved reforms now permit Indian states to allow FDI [foreign direct investment] of up to 51% in multi-brand retail, opening the way for Tesco’s and others to open supermarkets in India.
“The reforms also introduce new and welcome flexibility in the requirement that foreign-owned single brands must source 30% of their products from small Indian industries. International firms seeking a waiver on this sourcing provision now have the option of establishing their own factories in India. The UKIBC welcomes the outcome of the Parliamentary vote and expects that the reforms will, over time, be of significant benefit to the Indian consumer, as well as the industries that supply them with everything from food to fashion.
“According to Standard Chartered, there will be a five-fold increase in India’s per-capita income by 2030. However, despite a growing demand from India’s expanding consumerist middle-class, the Indian retail market suffers from major under-investment in its supply chains and back-end logistics. An upgrade of India’s retail infrastructure and supply chains will benefit everyone from consumers to local companies, including those in the unorganised retail sector.
“The reforms will also create fresh investment in the farming and food sector, which will dramatically bring down the burden of rising food prices and create a greater choice of consumer goods – and better service.”
Turkey is one of the most dynamic and attractive markets for UK companies. Already sizeable, the Turkish economy will be the second fastest growing economy in the world by 2018 and will out-strip those of Italy and Spain in the next decade.
This visit is open to experienced exporters from all sectors who are interested in doing business in Turkey, partnering with companies in Turkey or looking to expand operations in Turkey.
While these are priority sectors companies from other sectors are welcome to join the mission
Infrastructure
Construction
Marine
Ports
Rail/ Airports
ICT
Automotive and High Performance Engineering
If you’re interested in this opportunity, please click here to see the flyer.
BCC’s Quarterly Economic Survey for Q4 2012 shows progress, with almost all major balances across the UK improving since Q3.
Norfolk businesses are ambitious, and confident the economic outlook will improve in 2013
Although they are stronger, many key balances are still low by historical standards, indicating that growth remains weak.
“It is a new year and time for a new chapter in our economy”, says John Longworth, BCC’s Director General.
The latest Quarterly Economic Survey released today (Tuesday) by the British Chambers of Commerce (BCC) shows that the economy improved in the fourth quarter of 2012, with stronger balances seen in both the manufacturing and service sectors. The new survey, made up of nearly 8,000 business responses, shows that UK firms are confident and ambitious, but also indicates that growth remains weak and there are still economic challenges ahead.
Commenting on the results, John Longworth, BCC’s Director General, urged the government to take bold and imaginative measures to boost growth that will help businesses of all sizes to deliver a lasting recovery throughout 2013 and beyond.
The Norfolk results show the following:
Balances for the manufacturing sector improved in Q4 compared with Q3.
Balances for the service sector also showed improvements, although the service sector results were not as strong.
Norfolk Manufacturing export sales and orders improved, with deliveries increasing from 27% to 33% and orders from 30% to 42%. These results were reflected in the East of England results, both of which were stronger than the national results.
Service sector export deliveries and orders showed a decline from the previous quarter. Deliveries contracted by 10 points and the orders by 3 points.
Both sectors reported a lack of recruitment, with the manufacturing sector balance reducing from 62% to 52% and the service sector falling from 59% to 44%.
Manufacturers’ confidence in their profitability rose by 17 points to 35%, but service sector confidence dropped slightly from 37% to 33%.
Service sector investment strengthened by two points to 5% in plant and machinery, and by four points to 14% in training in Q4. Despite these gains the results are still relatively weak.
In contrast, manufacturing investment in plant and machinery decreased by 9 points to 6% and similarly training was also down by 12 points at 11%.
Cashflow balances, though higher, are weak overall, despite the service sector’s improvement of from a negative -11% to a positive 4%. Manufacturing’s cashflow balance remained the same at 5%.
Plans to raise prices have increased in both sectors. The manufacturing sector showed an increase of 4 points to 32% and the service sector a considerable increase from 19% to 33%.
Both the manufacturing and the service sectors highlighted continued concerns about raw material prices, pay settlements and business rates.
Commenting on the results, Caroline Williams, CEO of Norfolk Chamber said:
Norfolk businesses are working in an increasingly difficult market place with raw material costs being identified as one of the key challenges to many businesses. Businesses in both the manufacturing and the service sectors are showing reluctance to invest in their businesses and to create new jobs when their customers are demonstrating real caution in their buying patterns. Overall there is a quiet determination within the Norfolk business community to develop their businesses, which will in turn help the Norfolk economy to grow in 2013.
Commenting on the results, John Longworth, Director General of the BCC, said:
“Our survey results show that the economy is making progress, despite the numerous challenges it has faced. Although the improvements we have seen are slight, it is progress nonetheless, and highlights the determination and ability of the businesses we have here in the UK. Despite rising business confidence that the outlook will improve, it is clear that economic growth remains weak and that nurturing it must be a top priority.
“The UK economy will continue to face major obstacles as we head into 2013, and every effort must be made to kick-start growth. Politicians can make a difference to our economic success, as they have the power to deliver bold and imaginative measures that will drive growth. The question is whether they have the guts to do it.
“It is a new year and the time for a new chapter in our economy. The government must build on measures announced in the Autumn Statement and deliver a strategy that combines deficit reduction with a realistic long-term growth plan, including immediate measures to support business confidence.
“Recent steps to improve access to finance, such as the commitment to create a business bank, must be implemented at scale and with clear timetables. More forceful measures are also needed to unlock massive private funding to renew Britain’s infrastructure that will create confidence in the short-term, jobs in the medium-term and growth in the long-term. But this will only work once we free up the planning system at national and local levels, and defeat the culture of NIMBYism that prevents many business projects getting off the ground.”
Greater Anglia has completed work at North Walsham rail station to install environmentally friendly lighting.
The existing lighting at North Walsham has been replaced by more energy efficient LED lights which will provide the same level of light but consume far less energy in the process, as part of a carbon reduction scheme.
The work, which represents an investment of £8,000, is the second phase of a £50,000 investment by Norfolk County Council which has already seen voltage regulators installed at nine stations along the Norwich – Cromer / Sheringham Bittern Line railway line, which has reduced energy consumption at stations by between 8% and 20% (depending on the station) along the route.
New Customer Information Screens have also been installed at North Walsham for more energy efficient ones as the final phase of the scheme.
Both the lighting and enhanced Customer Information Screens emerged as priorities from the North Walsham Station Travel Plan which was drawn up in consultation with passengers and stakeholders.
Chris Wood, of Community Rail Norfolk, said, “The railway is already the most energy efficient form of motorised transport and the work at North Walsham station helps to extend this advantage. Taking the train instead of the car is a sure way of reducing your carbon footprint.”
A delegation of Members of Parliament, Council Members and others met Roads Minister, Stephen Hammond MP recently. The meeting, organised by Brandon Lewis, MP for Great Yarmouth, was held at the Department for Transport to discuss the future of the A47.
Mr Hammond was presented with a copy of the Gateway to Growth report, put together by New Anglia Local Enterprise Partnership and Norfolk County Council. The delegates at the meeting presented a firm, fact based business case to show the economic benefits that government investment in the A47 can encourage.
Roads Minister Stephen Hammond said: “I recognise the importance of the A47 route and the economic benefits the improvements could bring. The Alliance has done an excellent job at pulling together the case for future investment which will be of great help in shaping and influencing our decisions on future investment in the strategic road network.”
Brandon Lewis said: “I was delighted by the positive attitude from all sides during the meeting. The A47 is an excellent example of how the private and public sectors can work together to deliver jobs and economic growth to the UK. Investment in improvements to the A47 would be great news for the people of Great Yarmouth and Norfolk as a whole.”
Andy Wood, Chairman of New Anglia Enterprise Partnership: “We are delighted that the Minister acknowledges the work undertaken to date and the strategic importance of the A47. The level of impact investment will have should not be underestimated. It will be a catalyst for business growth and jobs in key sectors including energy, life sciences, engineering and tourism and will boost the economy across the region. The aim is to drive this forward in the new year to ensure we secure the investment needed to make it happen.”
Jonathan Cage, Norfolk Chamber Board Member, A47 Alliance & New Anglia LEP Transport Forum: “The Norfolk Chamber and businesses in general are fully behind the A47 Alliance initiative in bringing forward the business case for the improvement of the route. Whilst the dualling of the A11 will be a major boost to the County, the east/west links to the Midlands and the opening up of Gt Yarmouth as a gateway to Europe are equally important to business. Given the opportunity the business community of Norfolk will more than payback any investment that could be released to fund these improvements and will provide an excellent rate of return. The Ministers comments yesterday were extremely positive and we will continue to work with the County and the A47 Alliance to continue to build the business case including identifying any alternative funding.”
Graham Plant, Norfolk County Council’s Cabinet Member for Planning and Transportation, said: “We have been greatly heartened by our meeting with Stephen Hammond. He clearly recognises the A47 as a route of strategic importance. We know that money is extremely tight, which is why Norfolk County Council and New Anglia LEP produced a carefully considered and realistic business case for targeted improvements on the A47. It is clear that this businesslike approach impressed the Minister. The Minister says there is a strong case for the A47 to be the focus of one of the national Route Based Strategies next year. This would be a huge step forward and would have the full support of all those who want to see improvements on the A47. We will do everything we can to secure the A47’s place in the Route Based Strategy process.”
Chloe Smith, MP for Norwich North, commented: “The A47 is vital to businesses and households in Norwich. Getting it upgraded will help our economy and bring more jobs to the city. We are campaigning hard for this as part of the better transport infrastructure we need in Norfolk.”
MP for Mid-Norfolk, George Freeman, said: “For too long Norfolk’s infrastructure has been neglected. The A47 has been a key artery but it’s clogged, very dangerous and too many of my constituents suffer injury and death from avoidable accidents. I greatly welcome the campaign to improve the A47 and the profound benefit it will have for my constituents.” Norwich South MP, Simon Wright: “Improving the A47 would deliver economic growth and jobs to Norwich. It’s an important route, but one which is poor quality in parts. I was pleased to hear the Minister recognise that in his comments. There is strong cross-party political support for the A47 Alliance proposals.”
Keith Simpson, MP for Broadland commented: “We had a very positive meeting and the minister was impressed by our business plan. The A47 is now nearer being a priority for development and I look forward to working with colleagues in Norfolk and here in London to start work on this vital transport link”. South West Norfolk MP, Elizabeth Truss: “It is good that MPs, councillors and business are working together to secure improvements to the A47. I am keen to see the Wisbech to Kings Lynn and Lynn to Swaffham sections improved. Of particular concern is Broadend Road junction which needs to be made safer and I have written to the minister on this issue. Businesses, local residents and tourism all rely on this route. The Brecks are showcasing all that there is to offer in the area and the Fens are home to some fabulous agricultural producers, plus we have superb engineering and hi tech companies that all use the A47. Earlier in the year in the House of Commons Chamber I asked the roads minister about it being upgraded to a national strategic route. I was told then that DFT is seriously examining the possibilities for the road and I will continue to press the Department for Transport on this very important issue so that we have the infrastructure in place to support future economic growth.”
Cambridgeshire County Councillor Ian Bates, Cabinet Member for Community and Infrastructure, said: “I urged the Minister to back the campaign to improve this highly used and congested road. Improving the A47 would help boost business and future trade and therefore create jobs and prosperity for the area. Our continued efforts to lobby Government for an improved A47 shows our commitment to Fenland and runs alongside groundbreaking work on the Wisbech 2020 Vision with our local partners. The County Council has been a member of the A47 Alliance for many years. We will continue to push for these improvements although we recognise the difficulties of finding funding for major schemes in a tough financial climate. I would also like to praise the delegation which went to London and the work of Norfolk County Council on leading the A47 Alliance.”