Kirklees Business News 10/09/13

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ALEXIS BRADBURY He’s on a winning run!

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KIRKLEES BUSINESS NEWS The business NEWSpaper for Kirklees

Kate leads efforts to boost retailers

KIRKLEES Council has teamed up with a Huddersfield-based customer service expert to help boost the district’s retail sector. Kate, who heads business transformation specialist Insight with Passion, will deliver free advice sessions to tourism and retail businesses across Kirklees. The aim will be to show how such businesses can create an excellent experience for the customer – along with tips on how to increase sales. Kate is a retail and commercial expert respected nationally and internationally. She is a regular contributor and industry commentator on television and advises household names on how to reach more customers, transform the customer experience and become more successful. She has recently returned from working in Dubai, New York and London – and says retailers there are facing the same issues as their counterparts in Kirklees. “The independent retailers in Greenwich Village are exactly the same as the independents in Lindley,” she said. “They are facing their own version of the pound shops and charity shops.” Kate cites Lindley as a possible blueprint for other retail locations. “It has a mix of shops and the retailers all

■ SHOPS PLAN: Clr Peter McBride and retail spcialist Kate Hardcastle aim to boost high street businesses

work together,” she said. “There’s one-hour parking, good food and beverage shops, boutiques, gift shops and florists. “It has a Sainsbury’s micro-supermarket nearby, but the businesses are thriving because they are offering alternative products.” Kate said: “There’s no miracle solution to increasing sales or getting more footfall. It’s down to hard work, but it’s also about working smarter. “One pound in every 10 is spent online and internet shopping is not going to go away. The reason is that internet sites deliver what they prom-

ise, efficiently and at the right price. “The high street is evolving. It has to be about mixing and sociability. People have to want to spend time there. It has to be a destination where customers really want to go. “Shops can no longer just open the shutters and expect the customers to turn up.” Said Kate: “As a passionate Yorkshirewoman – and Kirklees-born and bred – I wanted to help Kirklees’ businesses to raise the bar and go from good to great when it comes to retail and customer service. “Working with Kirklees Council,

has allowed us to organise these sessions which we hope will have a real impact for businesses and our town centres.” Clr Peter McBride, Kirklees Council lead member for regeneration, said: “Kate brings with her a wealth of experience and knowledge that will help our already fantastic businesses move up a notch. “Yorkshire is now known not just for setting the bar, but raising it which ultimately makes for an improved customer experience.” As well as being a multi-award winning businesswoman, Kate is a director of Super League side Bradford Bulls and has spoken on business issues around the world. She also founded the Positive Image campaign and is the founder of singing group Charity Dreamgirls, w h i c h r a i s e s aw a r e n e s s o f lesser-known charities. The free workshops will take place from 6.30pm to 9.30pm on September 19 at Full Life Church, Holmfirth; on September 25 at Gomersal Park Hotel, Gomersal; and on October 1 at The Foxglove Inn, Kirkburton. The events are open to retail and tourism businesses, but places are limited to one per organisation. Businesses can register online via Eventbrite at http://bit.ly/1847IuZ

Yorkshire leads the north for exporting A RISE in the value of exports from Yorkshire has been welcomed by a regional international trade expert. Mark Robson, regional director for UK Trade & Investments, was commenting on figures from HM Revenue & Customs which showed exports from Yorkshire during the second quarter of 2013 were worth £4.43bn. That compares with £4.24bn for the first quarter and £3.93bn for the second quarter of last year. Yorkshire and Humber was the only northern region to show second quarter growth – with export values declining in the North East and North West compared with the first three months of 2013. The figures also reveal that regional exports to Asia and Oceania were

worth £467m for the second quarter – up by more than £50m on the first quarter – while exports to North America grew to £1.1bn from £683m. There was also continued growth in emerging economies in Eastern Europe and Latin America for the first half of 2013 compared to the same period of 2012. Mr Robson said he was optimistic that further growth will follow as global markets continue to recover. “It’s refreshing to see sustained growth for the total value of regional exports in 2013 versus 2012,” he said. “This was our strongest quarterly showing since 2011 and it is a further sign that local businesses are taking

the initiative and fulfilling their global potential. “There is still a lot of uncertainty in some areas, not least the European Union and Middle East where we have seen little or no regional export growth in 2013, but that is countered by impressive gains in Asia and North America. “It is also pleasing to see that we are holding our own in emerging Eastern Europe, which will remain a key region for the years ahead.” Said Mr Robson: “We have the

skills, products, services and expertise as a region to capitalise on international opportunities wherever they arise. “I am quietly confident that we will continue driving forwards for the remainder of 2013.” The HMRC statistics show that machinery and transport equipment, mineral fuels and chemicals are the key export commodities for Yorkshire and the Humber – with America, Germany and Holland the region’s top three export partners. Several events are planned in the weeks and months ahead to encourage more local firms to consider international trading, or to explore opportunities in specific countries. Visit www.ukti.gov.uk

INSIDE Football focus HUDDERSFIELD Town manager Mark Robins will take to the stage at this year’s Kirklees Business Conference. The former player, who won honours at all levels, will take part in a question-and-answer session to reveal how getting the best from your people is the key to success in any venture – be it sport or business. Lancashire-born Mark won many accolades as a striker during his 20 year playing career – including a European Cup Winners’ Cup, a UEFA Super Cup, an FA Cup, a League Cup and the Charity Shield.

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Home fixtures YORKSHIRE and Humber has almost 180,000 business owners operating from home, according to a survey by Direct Line for Business. The survey, drawing on data from the Office for National Statistics, said the number of people in Yorkshire and Humber running businesses from their homes stands at 173,933 – representing 7% of the regional workforce.

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KIRKLEES BUSINESS NEWS

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GSK sells iconic soft drinks brands POPULAR soft drinks brands Lucozade and Ribena are to be swallowed by Orangina Schweppes owner Suntory for £1.35bn. GlaxoSmithKline is selling the well-known brands to Japanese drinks group Suntory Beverage & Food after putting them up for sale earlier this year. Lucozade and Ribena, which date back to 1927 and the 1930s respectively, are made in the UK at a factory in Coleford, Gloucestershire, which employs about 500 staff. Drugs giant Glaxo kicked off their sale in April after concluding they would grow better under a different owner. Instead, it plans to increase the focus of its consumer healthcare business, which includes brands such as Sensodyne, Panadol, Aquafresh and Nicorette. Lucozade is the UK’s top-selling

energy and sports drink, while blackcurrant drink Ribena is the fourth-best selling fruit juice and concentrate. Glaxo chief strategy officer David Redfern said Lucozade and Ribena have made a huge contribution over the years and their future is in “good hands”. He said: “Now is the right time to sell them as we increase the focus of our consumer healthcare business and execute the delivery of our late stage pipeline of pharmaceuticals and vaccines.” Glaxo said the “vast majority” of staff at Coleford and working in commercial, research and development will transfer to Suntory. Glaxo will continue to make and distribute the drinks in Nigeria under licence from Suntory. The drinks were owned by Beecham before its merger with SmithKline and

■ DRINK DEAL: Lucozade and Ribena are being sold to Orangina Schweppes owner Suntory

more than three-quarters of their sales are in the UK. They earn annual revenues of about £510m a year. The drinks are also produced in Nigeria and Kenya. Suntory, which bought Orangina in 2009, said the brands will help it grow

faster in the UK and expand to become the leading global soft drink company by 2020. The cash deal is expected to complete by the end of the year, subject to regulatory approval. Suntory Beverage & Food, which is part of the £12bn turnover Suntory Group, said the drinks’ sales networks will help it grow its other brands in countries such as Nigerian and Malaysia. The brands are understood to have attracted considerable interest from private equity groups, including CVC Capital Partners and KKR, and were also reportedly in the sights of Irn-Bru owner AG Barr. In the three months to the end of June, Lucozade sales grew by 4%, but Ribena was down by 2%. Shares in the pharmaceuticals multi-national closed yesterday 11p down at 1640p.

Watchdog fines Deloitte £14m

LV= remains optimistic

ACCOUNTANT Deloitte has been fined £14m by the industry watchdog over “persistent” failings in its dealings with collapsed car manufacturer MG Rover. The Financial Reporting Council fined and severely reprimanded the “big four” accountant after ruling it did not spot conflicts of interest in its advice to MG Rover and directors who bought the company before its failure. West Midlands car maker MG Rover collapsed into administration in 2005 with debts of £1.4bn and more than 6,000 job losses. It had been bought by directors known as the Phoenix Four for a

A PRICE war in the car insurance market put the brakes on mutual LV= as it reported a 30% drop in general insurance profits. The Bournemouth-based business, which has customer service operations at Folly Hall Mills in Huddersfield, posted half-year operating profits of £43.5m at the division in the six months to June 30. The UK’s third biggest car insurer has 3.1m policies. LV= employs 5,700 people and serves more than 5m customers. With motor premium rates falling and amid intense competition, LV= chief executive Mike Rogers said the

token £10 five years earlier. Former Deloitte partner Maghsoud Einollahi was also fined £250,000 and banned from the profession for three years after he and the firm showed a “persistent and deliberate disregard” of accountancy ethics. Deloitte said it was disappointed with the outcome and disagrees with the tribunal’s main findings. It has 28 days in which to appeal. A Deloitte spokeswoman said the firm takes its public interest obligations seriously. She said the tribunal did not criticise the quality of its work, but still found against it.

performance was “reassuring”. He also reported a 23% fall in profits in life insurance as new business sales were disrupted by an industry-wide shake-up banning independent financial advisers from being able to take commission as payment. Group operating profits fell by 35% to £48.2m, although when factoring in short-term investment fluctuations pre-tax profits more than doubled to £88.4m. Annuities sales fell as LV= focused on returns in a competitive market, although this was offset by strong growth in areas such as pensions.

Page 2 Primark sales up STRONG summer trading and aggressive expansion helped budget fashion chain Primark ring up a 22% surge in annual sales and beat profit expectations. Like-for-like sales at the chain rose by 5% in the year to Saturday while 16 new store openings across Europe and a strengthening euro also helped drive Primark’s sales hike. Lower discounts during its summer sale also bolstered the chain’s profit margins for the year, according to owner Associated British Foods. Primark plans an “extensive” programme of openings in time for Christmas and intends to add more than 1m sq ft of selling space during its new financial year – on top of about 800,000sq ft opened this year. Primark’s latest store opens this week in West Bromwich to give it 257 branches, while its first store in France will open in Marseille in December. Analysts at Panmure Gordon hiked their underlying profit expectations for Primark to £505m from £473m – adding that they expect “another strong year in 2014”. Meanwhile ABF said its Kingsmill bread brand leapfrogged Hovis to claim number two spot in the UK market, behind Warburtons. Its Allied Bakeries business benefited from growing volumes and a contract to supply the Co-op from April, which helped to increase Kingsmill’s market share.

SHARE PRICES NORTH AMERICAN American Express £46.65 +0.01 Gannett 1570.75 +10.17 Hess Corp £49.55 +0.39 Microsoft £20.03 +0.22 Motors Liquidation 47.69 Wal-Mart Stores £46.49 +0.33 AEROSPACE & DEFENCE Avon Rbbr 497 +71/2 BAE Systems 445 -23/4 Rolls-Royce 1134 -8 AIM Brady Plc 611/2 -11 AUTOMOBILES & PARTS GKN 3473/4 +1/4 BANKS Barclays 2991/2 +21/2 HSBC 7011/8 -71/4 Lloyds Banking Gp 763/4 +13/8 Ryl Scotland 340 +3 Stan Chart 14551/2 -161/2 BEVERAGES Diageo 1972 -101/2 SABMiller £307/8 -1/8 CHEMICALS Croda £263/8 +1/8 Elementis 98 2511/2 -1/2 1 Johnsn Mat £29 /2 -1/8 CONSTRUCTION & MATERIALS Balfour Beatty 2635/8 -3/8 Costain 273 -1 ELECTRICITY

Drax Gp 716 -1/2 SSE 1559 -7 ELECTRONIC & ELECTRICAL EQUIPMENT Laird 2235/8 -3/8 EQUITY INVESTMENT INSTRUMENTS Alliance Trust 430 -1/8 FIXED LINE TELECOM SERVICES BT Grp 343 +1/8 Cable & Wireless 407/8 +1/8 Comm Colt Group 113 +1/2 KCOM 891/2 +1/2 7 Talktalk Telecom 254 /8 -1/8 FOOD & DRUG RETAILERS Morrison W 2913/4 -11/2 Sainsbury 3923/4 -3/4 1 Tesco 367 /4 +1/4 FOOD PRODUCERS AB Food 1818 -33 -271/2 Tate Lyle 7791/2 3 Unilever £24 /8 -1/4 GAS, WATER & MULTIUTILITIES Centrica 3953/4 National Grid 737 -5 Pennon Grp 7231/2 -4 Severn 1689 -15 United Utils 673 -71/2 GENERAL FINANCIAL 3i Group 3681/4 +5/8 ICAP 4173/4 +181/4 London StockExch 1612 -1 Man Group 89 +2 Provident Financial 1764 -9

Schroders £241/4 +1/8 Schroders NV 1948 +19 GENERAL INDUSTRIALS REXAM 501 -2 Smiths Grp 1343 GENERAL RETAILERS Ashley L 263/4 Carphone Whse 2343/4 -3/4 Dixons Retail 463/4 1 Home Retail 159 /2 +31/4 Inchcape 612 +6 Kingfisher 4131/4 +63/4 M&S 5001/2 +13/4 Mothercare 440 +43/4 Next £503/4 +1/4 WH Smith 851 +1 HEALTH CARE EQUIPMENT & SERVICES Smith Nph 7641/2 -41/2 HOUSEHOLD GOODS Aga Rangemaster 1241/4 -3/4 Barrat Dev 3281/4 +133/4 Persimmon 1173 +13 Reckitt Benckiser £435/8 -1/8 Taylor Wimpey 1057/8 +23/8 INDUSTRIAL ENGINEERING IMI 1492 +2 INDUSTRIAL METALS Ferrexpo 1783/4 +13/4 INDUSTRIAL TRANSPORTATION BBA Aviation 3153/8 -33/8 LIFE INSURANCE Aviva 3993/4 +83/4

1933/4 +31/8 1873/4 +13/4 1137 +16 3191/8 +13/8 3403/4 +23/4 MEDIA BSkyB 8431/2 -61/2 D Mail Tst 804 +14 1 HIBU /8 ITV 1773/8 +27/8 Johnston Press 141/4 -1/2 Pearson 1282 -9 1 Reed Elsevier 815 /2 +81/2 1 STV Group 229 /2 +141/2 Trinity Mirror 127 +13/4 Utd Business 720 -11/2 UTV 190 -2 WPP 1252 +2 MINING Anglo American 15941/2 +131/2 Antofagasta 8911/2 -71/2 BHP Billiton 1907 -14 3 -11/4 Eurasian Natural 224 /4 Res Fresnillo 1269 +5 Kazakhmys 314 +21/4 1 Lonmin 342 /8 -5/8 Rio Tinto £311/4 +3/8 VEDANTA 1190 RESOURCES MOBILE TELECOM SERVICES Inmarsat 7331/2 -71/2 Vodafone Group 2103/8 -3/8 NONLIFE INSURANCE Admiral Grp 1259 +1 Lgl & Gen Old Mutual Prudential Resolution Standard Life

Local shares Carclo Marshalls National Grid Weir Gp

4101/2 164 737 £223/4

+201/2 -5 +1/4

FTSE closed at

6530.74 Down 16.59 RSA Insurance Gp 1203/8 OIL & GAS PRODUCERS BG 1217 BP 4441/8 Cairn Energy 2751/4 Royal Dutch Shell £201/2 A Royal Dutch Shell £211/2 B Total £351/2 Tullow Oil 1059 OIL EQUIPMENT & SERVICES AMEC 1050 Petrofac 1397 Wood Gp(J) 7981/2

+11/4 -65 -11/2 -13/8 -1/4 -1/8 -1/4 -11

-19 +21/2

PERSONAL GOODS Burberry Gp 1635 +35 PHARMACEUTICALS & BIOTECHNOLOGY Astrazeneca £311/8 GlaxoSmithK XD 11 Shire £243/8 REAL ESTATE Brit Land 5571/2 +8 Hamrsn 4861/4 -17/8 Intu Properties 307 +2 Land Secs 8931/2 +91/2 SEGRO 2921/2 +21/8 SOFTWARE ETC SERVICES Invensys 496 +3/4 Sage Group 3443/8 -13/8 SUPPORT SERVICES Berendsen 9061/2 -27 Bunzl 1357 -4 Capita 988 -11/2 De La Rue 1046 +2 Electrocomp 273 -11/2 Experian 1158 G4S 2583/4 +11/8 Hays 1093/4 +11/4 7 Homeserve 263 /8 +5 Menzies J 783 -7 Rentokil 1075/8 +7/8 Smiths News 1893/4 +41/4 Wolseley £333/4 -1/4 IT HARDWARE ARM Hldgs 9171/2 +25 Spirent Comms 1331/2 +11/2 TOBACCO

Br Am Tob £331/8 Imperial Tobacco £221/2 LEISURE & HOTELS Bwin.Party Digital 1141/4 Carnival £231/2 Compass Grp 8471/2 easyJet 1267 Enterprise Inns 1503/8 FirstGroup 1187/8 Go-Ahead Gp 1510 Greene King 8421/2 Intercontl Htls 1884 Intl Cons Airl 3051/2 Ladbrokes 1961/8 Mitchells & Butlers 4581/8 Natl Express 2713/4 Rank Org 1591/8 Stagecoach Group 3215/8 TUI Travel 3473/8 Whitbread £321/8

+1/8 -1/8 -1/4 -51/2 +12 +53/8 -1/8 -19 -3 -5 +41/4 +23/8 +21/8 +31/4 +31/8 -33/8 +91/4 +1/2

FTSE 100

INDEX 6530.74

-16.59

FTSE 250

INDEX 15092.86

+44.58

TOURIST RATES Tourists going abroad can expect the following rates for sterling: Australia..................... 1.61 dollars Bangladesh................ 114.77 taka Brazil............................ 3.21 reals Canada...................... 1.55 dollars China ........................... 8.56 yuan Czech Republic .... 28.16 korunas Denmark..................... 8.42 krone Euro.............................. 1.13 euro Hong Kong............... 11.52 dollars Hungary................. 319.56 forints India........................ 89.97 rupees Japan......................... 148.12 yen Mexico ...................... 18.37 pesos New Zealand ............. 1.82 dollars Norway ....................... 9.06 krone Pakistan................ 154.23 rupees Philippines ................ 59.38 pesos South Africa................ 14.75 rand South Korea............. 1482.00 won Sri Lanka .............. 196.43 rupees Sweden....................... 9.91 krona Switzerland................ 1.40 francs Taiwan ..................... 40.63 dollars Turkey...................... 3.03 new lira USA ........................... 1.49 dollars


KIRKLEES BUSINESS NEWS HE’S a real enthusiast for the great outdoors. Alexis Bradbury, a director at creative agency Browndog Design in Huddersfield, is a dedicated hill walker and also enjoys running and cycling. And he’s embarked on a particular challenge with a few of his mates – to complete each of the 214 walks featured in the guides written by fell walker and author Alfred Wainwright. “I’ve completed 150 so far,” says Alexis.”It’s difficult juggling work commitments and the demands of two teenage children, but I’d like to complete all 214.I spent three years in the Lake District between school and university working at a remote hotel and spent a lot of time exploring. “I also did a bit of travelling further afield. I bought a Land Rover and went to Katmandu – which is where I got interested in photography.” Alexis, who grew up in Golcar, attended Colne Valley High School and Batley Grammar School. “I was always good at English and languages,” he says. “I took A-levels in English, French and German.” Alexis studied photography at Nottingham University School of Art and Design before his love of outdoor pursuits provided an opening into the world of work. “I got a kit sponsorship from a sports company and they gave me a job in the marketing department when I graduated,” he says. “That introduced me to the varied nature of communications – how to pull together words and pictures to create a compelling marketing proposition.” Alexis worked in the firm’s Nottingham office before moving back to Yorkshire. He worked for a small agency in Elland before joining one of the biggest names in the world of advertising and PR, Brahms, in Leeds. He set up his own consultancy in 2002, working for a time at the Media Centre in Huddersfield and later in Mirfield, where he lives with wife Vikki and teenage children Luke and Megan. “A lot of my work was with new businesses and full service accounts providing integrated marketing strategies,” says Alexis. At that time, he often collaborated with Browndog Design, which had been established in 1999. “I liked the work they were doing,” he says. “We complemented each other because my consultancy provided strategic thinking and Browndog would carry out the implementation.” Alexis came on board as a director of the Bradley-based agency about five years ago, while still running his consultancy as a limited company. Says Alexis: “I’m in charge of client services and strategic thinking at Browndog, working with business owners or senior managers, helping them to understand their businesses and objectives.There are lots of great businesses out there, but they don’t always tap into marketing to its full potential. There are misconceptions about marketing. I hear people

profile

Walk on the wild side say ‘I have tried that and it doesn’t work’ But marketing isn’t something you can turn on and off like a tap.” He also has a message for firms that shy away from the spotlight. “It isn’t possible for firms NOT to do PR.” he says. “You can try to shape people’s opinions of you – or not. But they will form an opinion of you and your business regardless. Any right-thinking business owner would want to have something to say. “The modern business world tends to favour transparency and openness because these days the customer is far more sophisticated and can find things out!” Alexis says new technology has turned marketing into a “two-way street”. He explains: “Marketing and advertising used to be about pushing out the message you wanted to promote. Now it is also a chance to get feedback from stakeholders. Some companies are scared about what people will say about them – but they have to learn to take criticism positively.” Browndog recently carried out a research project for one client which contacted 50 of its top clients. “Through that research, the company got to understand their relationship with their customers, says Alexis. “The information that came out of that was gold

dust. The beauty of the digital age is that so much of the information we get is measurable. We can show companies what their customers are responding to – and what the company should be doing.” Browndog’s clients include many in manufacturing, distribution and the public sector. While most are in West Yorkshire, the agency also works for businesses as far afield as Coventry, Essex and Bedfordshire. Says Alexis: “Manufacturing firms are sometimes seen as not very forward-thinking. But the ones we have helped during the recession have been innovative and we have some real success stories among our clients who have grown turnover and profit and bought other businesses.” The recession has been “good” for Browndog, too. The agency has doubled its numbers from five to 10 in the past five years and has seen the volume of digital work rise from between 25% and 30% of the total to 70%. But Alexis stresses: “From the communications perspective, all the messages have to ‘join up’. You have to make sure the print, advertising and exhibition materials link up and use digital tools to measure the results. Any manufacturing

■ TEAM WORK: Alexis Bradbury, Director of Browndog Design, based at Cartwright Court, Pennine Business Park, Bradley

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Alexis Bradbury

firm still needs to demonstrate to prospective customers why it is different.” Alexis detects “a real positivity” among firms in the region.”I think that has generally been the case for some time and there is a real sense of frustration when people talk things down,” he says. “It is more about attitude and confidence. “There is a feeling that whatever the economic situation, you have two choices – either to wither away and die complaining or do something about it.” Alexis also recognises that the future of his own industry depends on new blood and new ideas. He gives lectures and seminars several times a year to students at Huddersfield University’s graduate start-up support unit while Browndog has recruited several graduates and provides work experience and work placements for young people. Says Alexis: “The aim is to show them the difference between the course and what it’s like in the business world – the commercial reality of being able to produce good work within tight time constraints. The aim is to create a pool of talent. This is a young person’s industry. It’s good to have experienced people, but we need to be challenged and exposed to fresh thinking,” Thinking time is something Alexis values – and he often finds it away from the office. “Most of my world is sports and outdoors-related,” he says. “I’m a member of Dewsbury Roadrunners. I have done the London Marathon for the past couple of years and several half-marathons. I’d love to do some marathons overseas and I’d quite like to do one of those ultra-marathons. I run about four or five times a week, clocking up maybe 30 miles. It’s a great way to release stress. I tend to go running as soon as I get home from work. It’s good thinking time.”

HENRYK ZIENTEK

Role: Director Age: 40 Family: Married to Vikki with son Luke, 17, and daughter Megan, 13 Car: Volvo XC90 Holidays: Majorca and camping in Northumberland and the Lake District First job: Trainee chartered surveyor with a firm in Dewsbury Best thing about job: Working with so many different and interesting businesses and seeing the positive impact that results from our involvement Worst thing about job: I do love the job. The hardest thing can be just spinning all the plates Business tip: Don’t be frightened to try something new. Don’t mind failure, learn your lesson and try again

Browndog Design Work: Creative brand and graphic design agency Site: Bradley Phone: 01484 453131 Email: alexis@browndog-design .com Web: www.browndog-design.com

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Region jobs slump EMPLOYMENT agency Manpower said Yorkshire is lagging behind the rest of the UK when it comes to hiring staff. The outlook for jobs has slumped to a 12-month low of minus 3% – some 9% below the national average, according to Manpower’s latest quarterly outlook.

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Time to review those finances LTHOUGH we are some way A off the end of the tax year, it is worth reviewing one’s finan-

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cial affairs now in order to ensure tax liabilities are mitigated. This is especially the case for those affected by the taxation of Child Benefit. The benefit became taxable, from January 7, 2013, where a recipient or their partner had income over £50,000 in a tax year. For this purpose, income is the total income subject to income tax, including salary, benefits and bonuses, profits from self-employment, pensions, rental income, bank interest and dividends. In other words, all income before tax. For those that might be affected, do not forget that payments to pension schemes and charitable Gift Aid donations can be deducted from that income. The tax charge applies at a rate of 1% of the full Child Benefit award for each £100 of income between £50,000 and £60,000. At £60,000, the whole benefit is clawed back. Where both partners have net income in excess of £50,000 the charge will apply to the partner with the higher income. For married couples, the transfer of

TAX TALK Colin Barratt

assets between them is free of all taxes. Where one is a high earner and one is not, it may be beneficial to review the ownership of income producing assets to see if transfers between them can reduce income below the £50,000 threshold so that the full Child Benefit award is retained and at the same time mitigating higher rate tax liabilities on the transferring spouse. Alternatively, the payment of a pre-April 6, 2014, pension contribution should be considered to reduce income below the £50,000 threshold, thus ensuring the benefit is received in full as well as gaining higher rate tax relief on the contribution paid. Gift Aid donations can also be useful in reducing the impact of any Child Benefit tax and, where these are paid by both spouses, it would be sensible for the charity donations to be made by the spouse with the higher

income to obtain the optimum relief for these payments. Any liability to the Child Benefit tax will be collected through an indiv i d u a l ’s S e l f - A s s e s s m e n t Ta x Return. For those who do not normally complete a return, they will need to do so and register with HM Revenue & Customs. For the 2012/13 tax year, the registration date is October 5, 2013, in order to meet the filing and payment deadline of January 31, 2014. Interest and penalties can be levied for late registration and/or filing and payment. Individuals will be able to elect not to receive Child Benefit if their income exceeds £60,000. Child Benefit payments can be re-started if they or their partner’s income falls below £60,000.

Colin Barratt is tax partner at Wheawill and Sudworth chartered accountants, Huddersfield

Consultancy costs biting SMALL business owners in Kirklees have been urged to shop around for more affordable business services – as the cost of complying with rules and regulations escalates. Research by the not-for-profit Forum of Private Business shows that small firms in Yorkshire pay £525m a year to outside consultants for help to comply with regulations – more than a third of their £1.3bn annual “red tape” bill. On average, each firm in the region hands over about £5,600 a year to companies offering legal guidance, including advice on employment law, health and safety and tax. That accounts for about 40% of their £14,300 annual compliance bill, which includes internal time costs. The amount handed over to consultants has increased by about 16% from £4,900 in 2011. The research shows that the combined annual amount paid by Yorkshire small firms to consultants for tax advice exceeds £301m while external health and safety support costs almost £109m a year and employment law consultancy services come to £58m. The main annual internal costs are employment law at about £3,830 per employer; health and safety at £3,050 and tax compliance at £4,870 per employer. Overall, 66% of employers have seen consultancy costs rise since

■ ALERT: FPB chief executive Phil Orford said controlling costs is vital 2011, when the previous “cost of compliance” research took place. Forum chief executive Phil Orford said: “Small businesses in Yorkshire and Humberside continue to struggle to control costs – particularly in the current economic climate – and remain frustrated by the amount of red tape they have to negotiate every day. “With just under a month to go before October’s common commencement date, there is no hiding from the fact that, despite government promises to reduce the time and money spent on red tape, compliance costs continues to hinder job creation and growth.

“Unlike large companies, small firms simply do not have internal departmental resources dedicated to complying with regulations, so it is either the business owner or a key senior manager who is forced to devote a large amount of time to this task – an average of almost 35.5 hours each month – or pay for an external consultant, which can be extremely expensive.” The Forum said that small firms across the UK pay external contractors a total £18.2bn for regulatory compliance services, while internal time costs are £11.3bn in total. It said there was also evidence that steep employment, health and safety, tax and other consultancy fees continue to be barriers to job creation as they increase as a business grows. In particular, taking on more staff leads to more employment law red tape – and greater compliance costs. “The increasing cost of fines for non-compliance on everything from health and safety to unfair dismissal has made the ongoing support we provide to our members through our helpline and guides all the more important,” said Mr Orford. “It is vital that companies ensure they have the correct internal processes in place to avoid the hefty fines and damaging consequences of non-compliance.”

■ MONEY MAC been urged to fin to parking issue “last resort”

Parkin ‘hitting

A SURVEY by a group shows th motorists pay i fines to local co England has ris years. But authorities among those ta from parking c penalty notice London and the the ones taking The survey by Small Business Yorkshire coun during the fivelowest figure w at £2.740m whi was fourth low London took a followed by Tha £44.82m. In tota councils raking from motorists The data, obtai following a Free showed that in permit and pen rose from £810 2011 – a rise of The FSB said th connection bet high streets an parking charge It said local aut closely with bu residents to ge parking policy FSB wants to s and central and join forces to d solutions to the by regions, wit charges used o The survey sho retailers in urba reducing the co priority compar retailers. Some retailers think t availability of p priority against The FSB suppo Review, launch 18 recommend – one of which areas should im controlled park work for their to should have a n table”. FSB national c said: “We know tight, but we do parking being u grab. “FSB experienc parking charge shops suffer.”


INESS NEWS

CHINE: Councils have ind “creative” solutions es and use charges as a

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a business pressure hat the amount in parking charges and councils across isen by 10% in just five

s in Yorkshire were aking the least income charges, permit and charges – while he Thames Valley were g the most. the Federation of ses showed that West ncils took £5.724m -year period. The was for East Yorkshire ile South Yorkshire west at £9.920m. a massive £323.19m hames Valley at tal, the five local g in the most income s amassed £479.37m. ined by the FSB eedom of Information, ncome from parking, nalty notice charges 0m in 2008 to £884m in f almost 10%. there was a clear tween protecting local nd the impact of es. uthorities should work usinesses and et a more effective in place, saying: “The see business groups d local government discuss creative he parking issues faced th heavy parking only as a last resort. owed that 59% of ban areas believe that ost of parking is a ared with 45% of rural e 53% of urban that increasing the parking should be a st 31%. orts the Mary Portas hed in 2011, which gave dations to Government h suggested that “local mplement free king schemes that town centres and new parking league

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Page 5

Now, who wants to be a millionaire? OST people can identify with M the dream of one day becoming a millionaire, but it would also

be fair to say that for many of us the chances of ever achieving this dream seem a remote and distant possibility. Unfortunately, the feeling that this is an impossible target quite often means we pin our hopes on unlikely solutions such as playing the lottery, or, perhaps more commonly we simply accept being a millionaire is more than likely just a pipe dream. If you are willing to invest sufficiently over the long term, however, the £1m target might be more within reach than you think. There are, of course, various high risk investment strategies you could consider, but the greater likelihood is that you will never achieve this goal via a “quick and easy” route and in reality will probably end up worse off than before you started. Trying to spot the next great investment opportunity or trying to perfectly time the markets is difficult enough for even the most successful investment manager, never mind ordinary investors, and is always very high risk. Building a £1m fund is possible, however, with two basic ingredients: sufficient time and an appetite to take some degree of investment risk.

FINANCIAL FOCUS Karen Wynard

Let’s consider an example. To maximise tax efficiency and to target state pension age, we will assume an individual contributes to an ISA starting at age 36 (retirement age will be 68) and that they are then able to contribute the maximum amount of £11,520 per year. (This is the maximum allowance for the 2013-2014 tax year for stock and shares ISAs). The maximum annual ISA allowance will likely increase over time to keep pace with inflation, but for the sake of argument we’ll assume that contributions stay constant over time at £11,520 per year. If you diligently keep up those annual subscriptions, you will need to achieve an average return of 5.7% (after charges) per year in order to end up with an ISA worth more than £1m after 32 years. Total contributions in this time would have been £368,640. This demonstrates the potential impact of consistent contributions and

assumes realistically achievable growth rates. Of course, it must be said that if the growth rate in our example was significantly lower – let’s say a deposit rate of 2% (after tax) – this would mean it would take 51 years to break the £1m mark. Total contributions in this time would also have been £587,520. It may be that you feel that it is either too late to or simply unaffordable to start making these level of contributions but it is still worth considering the potential fund that could be built if saving for a child using the new junior ISA limits. Let’s assume a Junior ISA is started at birth and you are able to contribute the maximum amount of £3,720 per year (This is the maximum allowance for the 2013-2014 tax year for Junior ISAs). This maximum level will likely increase over time to keep pace with inflation, but again for the sake of argument we’ll assume that contributions stay constant over time at £3,720 per year. Assuming the same 5.7%

Karen Wynard is director at Eastwood & Partners (Financial Services) Ltd

Networking group offers contact point KIRKLEES firms have been invited to a West Yorkshire-wide business networking event. The event has been organised by Bradford Chamber of Commerce in response to a nationwide Be Well Connected membership campaign initiated by the British Chambers of Commerce. It takes place from noon to 2pm on September 19 at the Provident Stadium, Bradford. Known as #WellConnected Yorkshire, the use of the hash tag in the title refers to social media site Twitter, which the British Chamber campaign is using as its main method of communicating its Be Well Connected message. Darren Precious, sales and marketing manager at Bradford Chamber, said: “Organisations from Leeds, Wakefield, Halifax and Huddersfield have all been invited to attend #WellConnected Yorkshire. “The Mid Yorkshire chamber has been busy encouraging businesses from its patch to come along and say hello to their neighbours from over the border and I am keen to do the same.” But he added: “You don’t have to be a chamber member to attend. Every company of every size is invited in order to increase their business and play a part in growing the region's economy. “As a chamber, we hope that all those who attend discover new opportunities for working together and increasing sustainable growth. “We are particularly keen on the social media aspect of #WellConnected Yorkshire. In addition to the event, we provide lots of opportunities via the chamber’s online networks to forge new relationships and we would encourage businesses to take advantage.”

growth after charges, then they could have a fund at age 18 of over £118,125 which is quite a decent pot to cover university costs with hopefully some left over as a welcome contribution to a house deposit. If this is left for another 50 years and no further contributions are made, assuming the same level of growth then the pot could be worth over £1.88m – a reasonable return for an investment of £66,960 and the perfect example of compound growth. As with any such examples this is assuming growth and contributions will be consistent and as the world of investing has shown us over the past decade or so, this is not as predictable but is a good example of what can be achieved with appropriate long term planning and some commitment. Levels and bases of and reliefs from taxation are subject to change and their value depends on the individual circumstances of the investor. The value of your investments can fall as well as rise and investors may not get back the full amount originally invested Past performance is not a guide to future performance. Equity investments do not include the same security of capital which is afforded with a cash account.

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KIRKLEES BUSINESS NEWS

property

More businesses happy to be home

■ RESEARCH: Jazz Gakhal, head of Direct Line for Business

THEY’RE hardly home alone! Yorkshire and Humber has almost 180,000 business owners operating from home, according to a survey by Direct Line for Business. The survey, drawing on data from the Office for National Statistics, said the number of people in Yorkshire and Humber running businesses from their homes stands at 173,933 – representing 7% of the regional workforce. Across the UK there are now 2.5m home business owners, representing 52% of the total number of UK small businesses and 8% of the UK’s total workforce. Direct Line for Business said the analysis highlighted an evolving UK workforce “which has developed in a challenging and uncertain economic environment”. It said: “Millions of people are choosing to take control of their future, achieving a better work-life balance and turning a potential hobby into a career by

using an increasingly digital, mobile and flexible business landscape.” According to a recent Real Business Report, a large majority of home businesses operate across a range of sectors – including e-commerce, travel, marketing, recruitment and legal. The Direct Line for Business survey has also identified an increase in home businesses operating in other key trades such as catering, photography, hairdressing and arts and crafts. South East and South West have the highest concentration of home business owners, representing 10% of the total workforce in both regions. London’s home business owner community accounts for 9% of the total 4m-strong workforce – with more than 356,000 across the city. Men are more than twice as likely as women to run their own business from home – with 1.7m male home business owners across the country against

818,000 female home business owners. Jazz Gakhal, head of Direct L i n e f o r B u s i n e s s, s a i d : “Self-employment has been on the rise for several years and our research now shows that a great number of these people work for themselves from home.” But the survey showed that when asked about how these home business owners prioritised key actions when they first became operational, sorting tax arrangements and organising insurance ranked sixth and eighth respectively – even though three in four home businesses kept all their stock at home, worth £4,388 on average. Said Jazz: “We urge anyone looking to operate as a business from home to organise home business insurance from the start. The potential emotional and financial loss from an accident or theft could be devastating.”

Get switched on to the rules OWNERS of hotels and guest houses in Kirklees have been warned to make sure their TV licences are in order. TV Licensing said that budget hotels, B&Bs, luxury spa resorts and serviced apartments must all be covered by a TV licence if guests or staff are watching live TV as it us broadcast. For many smaller hotels and guesthouses, the cost of a TV Licence is £145.50 a year – the same amount as a private house.

Hotels with more than 15 rooms are covered by one licence for the first 15 rooms, but will need an additional licence for every five rooms thereafter. TV Licensing spokesman Paul Williams said: “Whilst the comfort of hotel guests is paramount, it’s the manager’s responsibility to make sure holidaymakers are able to watch television legally by are breaking the law and run the making sure the business is correctly licensed. risk of a court prosecution and “Those without a valid licence fine of up to £1,000 per offence,

plus costs. “According to research among business owners, long-term business reputation is more important than any gains made by cutting corners, particularly when it comes to keeping on the right side of the law.” Buying a licence is easy, and hoteliers can pay using BACS electronic transfer. Call the TV Licensing businesses team on 0300 790 6124 or visit www.tvlicensing.co.uk/hotels

Page 6 Pigs get a nice warm feeling TALK about pigs in clover. Visitor attraction Cannon Hall Farm at Cawthorne has installed air source heat pumps to the pig farrowing building to keep the animals warm with underfloor heating. The system was installed by Sheffield-based electrical and renewable energy specialist Norcroft Energy. Farmer Roger Nicholson said: “We were looking for a more economical and environmentally friendly way to keep our pigs warm. We spoke to Philip at Norcroft Energy and installing air source heat pumps seemed like a great solution to help reduce our running costs.” Philip Mosley, managing director at Norcroft Energy, said: ““This was a rather unusual job for us as not many heat pump installations have been completed in pig sheds. The biggest challenge was getting the floor temperature correct.” The heat pump requires electricity to operate, but for every unit of electricity it uses it can create the equivalent of three or four times that in heat energy. Cannon Hall already has a large solar PV installation which will contribute towards the running of these heat pumps.

Hammer time A MAJOR residential property at Dalton in Huddersfield is set to come under the hammer. Briarfield House, within Briarfield Gardens, comprises 12 self-contained flats – 11 of which are included in the sale – producing annual rental income of £42,060. The guide price is £320,000 to £350,000. The property is among 104 lots at a two-day auction to be held next week by property agency Eddisons. Other lots include vacant land at Leymoor Road in Golcar, Yorkshire Water land at Upper Hopton, Mirfield, and two vacant lock-up shops and a tenanted three-bedroom house at Westgate, Heckmondwike.

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KIRKLEES BUSINESS NEWS

property

Tyre centre pumps up the investment in Huddersfield A TYRE centre in Huddersfield has undergone £80,000 of investment as part of a company-wide programme. ATS Euromaster, based at Old Leeds Road, opened in 1971 and has been part of the local landscape for more than 40 years. Area manager Frankie Nichol said: “The centre has been looking tired for a while and we don’t want to look out of place in this busy retail area, especially now that new businesses are popping up all the time; we need to stay ahead of the competition. “With the new management team and a greater focus on the customer journey, we have seen a fantastic increase in the performance of the centre, so we thought the centre would definitely be able to gain some great benefits from this level of investment. “We’re now looking to employ some more technicians in the centre to ensure that we offer the best customer service in Huddersfield.” The changes include a modernised, child-friendly reception offering customers magazines and complimentary coffee.

Page 7

Golf club’s solar panels to the fore

■ WELCOME: ATS Euromaster's refurbished Huddersfield centre has received an £80,000 facelift to provide a welcoming new reception area Centre operations manager wanted to make sure people feel batteries, shock absorbers and Steve Marsden said: “Fast-fit comfortable and welcome. suspension, oil, exhausts, fault tyre centres can be daunting The firm’s technicians offer diagnostics, air-conditioning places, so getting the new look services including tyres, servicing and scheduled reception right was key as I nitrogen inflation, brakes, maintenance servicing.

A GOLF club has installed solar panels to help reduce its energy costs. Norcroft Energy has the installation at the 18-hole Woolley Park Golf Club, Wakefield. Golf club owner Philip Rowbottom said: “Our electricity bills continued to escalate and we needed to find a way to manage this. “The more money we can save on our electricity bills, the more we can invest in the grounds to provide the best course for our members. “With a south facing roof on our site, it made perfect sense to use this space to install multiple solar panels to generate our own power and make a profit at the same time.” Philip Mosley, managing director at South Yorkshire-based Norcroft Energy said: “We find that a typical business can benefit in three ways from Solar PV technology. “First, they have the reliability of generating their very own power – a big consideration with energy prices continuing to increase. “Secondly, they can make a profit with their guaranteed Feed in Tariff payments and thirdly they can make more profit on the Export Tariff.” Norcroft Energy installed an 8kW solar system comprising 32 solar panels on the clubhouse roof.

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KIRKLEES BUSINESS NEWS

Nicolae Pirlea, Trevor Smith, Victoria Bray, Zac Teasdale & Angela Pearson

Ferno

A FIRM supplying medical equipment to the emergency services and funeral sector has strengthened its service team with five new appointments. Joining the Cleckheaton-based firm are service technicians Nicolae Pirlea and Trevor Smith, commercial co-ordinator Victoria Bray, telesales executive Zac Teasdale and receptionist Angela Pearson. Pictured above are (from left) Mr Pirlea, Mr Smith, Ms Bray and Mr Teasdale. Romanian Mr Pirlea and Mr Smith take responsibility for servicing products in the field across the UK. Ms Bray, who lives in Huddersfield and graduated from Huddersfield University, is responsible for managing all internal sales processes. Mr Teasdale, of Bradford, will provide sales service and account management while Ms Pearson will provide the first point of customer contact. Managing director Jon Ellis said: “These recent appointments underscore our commitment to the highest standards of customer care both in terms of sales support and also ensuring that our equipment is maintained to the best operational levels.” Ferno exports to more than 150 countries worldwide and is recognised as a global leader in its field.

Movers and shakers

Page 8

Talking tactics for businesses HUDDERSFIELD Town manager Mark Robins will take to the stage at this year’s Kirklees Business Conference. The former player, who won honours at all levels, will take part in a question-and-answer session to reveal how getting the best from your people is the key to success in any venture – be it sport or business. Lancashire-born Mark Robins won many accolades as a striker during his 20 year playing career – including a European Cup Winners’ Cup, a UEFA Super Cup, an FA Cup, a League Cup and the Charity Shield. Starting at Manchester United under Sir Alex Ferguson, he made 71 appearances for the club before joining Norwich City in 1992 in search of regular first team football. During his time at Old Trafford he also earned six England Under-21 caps. He played regularly for the Canaries and then Leicester City in the Premier League before loan spells abroad with Danish side FC Copenhagen, Spanish team CD Ourense and Greek outfit Panionios. Mark returned to England and enjoyed spells at Manchester City, Walsall, Rotherham United, Bristol City, Sheffield Wednesday and Burton Albion before hanging up his boots in 2005. He served as assistant manager to Alan Knill at Rotherham before becoming caretaker manager at Millmoor in March, 2007. He moved the Millers off the foot of the League 1 table and to survival in his first few months before going on to establish Rotherham as a promotion contender over the next two seasons – despite a 17-point deduction in one campaign. Robins took over at Championship side Barnsley in 2009 and repeated his feats at Rotherham, leading the Tykes out of relegation danger in his first season and helping to consolidate their status in the second tier the following season. He left Oakwell at the end of the 2010/11 season and worked as a consultant for the Premier League during the creation of the Elite Player Performance Plan – the new structure for youth and under-21 football in England.

■ TALKING POINT: Town boss Mark Robins will speak at Kirklees Business Week

He was appointed Coventry City manager in September, 2012. During his five-month tenure, they won 52% of their games – propelling Coventry up to eighth in the table. He left Coventry to become the new Huddersfield Town manager in February, 2013, and steered the club to Championship safety. Town’s 2013 season has started with great promise and Robins is hopeful this vein will continue. Danny Matharu, event director of Kirklees Business Conference, said: “Although Mark has played under arguably the greatest living football manager in Sir Alex Ferguson, this session at KBC is not about football. It is a unique opportunity to pick his brains and discover what

makes for a successful team. “Many say that the work of a football manager mirrors that of a business owner and it is for that reason that we approached the club to see if Mark would be interested in speaking. We are honoured to welcome Mark to KBC13 and see this as a real coup to secure him. We thank Mark and the club for agreeing to this.” KBC takes place on Wednesday, October 16, and is a key fixture in the second Kirklees Business Week. Monday, October 14, sees the start of KBW – an “Open Source” Business Week, full of sector-specific seminars run by different businesses and all free to attend. Said Mr Matharu: “The principle of KBW is to provide a platform for Kirklees businesses to share their knowledge across the district spread across the week in a manner that is convenient for all sectors of business in Kirklees. “All venues will be supplied free and all event delegate places will be free.” Businesses wanting to submit their event to KBW should visit the website at www.kirkleesbusinessweek.co.uk

Communications network Celebration time ■ CELEBRATE: The P2 Technologies team

A HUDDERSFIELD firm is celebrating six years of success. IT specialist P2 Technologies has marked its sixth anniversary with an expanding client list and a growing number of employees. Its impressive client list includes well-known and local Yorkshire businesses as well as companies further afield. Recent investments have included specialist Kaseya remote monitoring and helpdesk software and the refurbishment of P2’s Lockwood Park offices. Director Martin Page said: “I am very proud to be celebrating P2’s sixth birthday. “I would like to thank our staff and customers for their support. “The P2 team has expanded this year and we have recruited senior and apprentice level staff to bolster our service delivery. Together with significant investment into new technology and continually improving services we are looking forward to a prosperous future.”

A COMPANY providing telecoms and audio visual services to Huddersfield Town has signed a partnership extension with the club. And as part of the deal, Skelmanthorpe-based Direct Voice & Data is working with the club to set up a new text messaging system to improve Town’s communications strategy – with an emphasis on the corporate audience in the first instance. During the first 12 months of the partnership, Direct Voice & Data installed state-of-the-art Ethernet First Mile (EFM) technology that is now used in the first team’s post-match analysis process, sending high-quality video files to Prozone’s head office. Direct Voice & Data has also installed the telephone system used in the new offices at the club’s Canalside training complex. Town commercial manager Ajin Abraham said: “We are pleased to see

Direct Voice & Data renew their partnership with the club. “Our relationship has grown over the last 12 months and it is great to see Direct Voice & Data continue to invest in the club and help us in our telecom requirements. “We’re excited about the new text messaging system that is in the pipeline. We look forward to continue growing our partnership with Dave and his team.” Dave Henderson, managing director of Direct Voice & Data, said: “We are delighted to be continuing our working relationship with Huddersfield Town and are delighted to introduce our SMS text messaging services to the club so that they can communicate with their valued contacts further. “We are confident that our continued telecoms support and expertise will benefit the team’s communications strategy for the future.”

■ DIRECT ACTION: Ajin Abraham (left), of Huddersfield Town, with Dave Henderson, of Direct Voice and Data


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