Kirklees Business News 03.05.11

NEIL SMITH Design firm forges ahead

SIMON KAYE Chinese whispers

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An EXAMINER publication

KIRKLEES BUSINESS NEWS The business NEWSpaper for Kirklees

Valve firm sets up Norwegian base

AN award-winning engineering firm in Huddersfield has launched a new business in Norway.

Specialist valves company Severn Unival – named among the winners of the coveted Queen’s Award for Enterprise last month – has set up Severn Norway to better serve one of its key export markets.

The company has joined forces with long-term business partner in the region J S Cock to launch Severn Norway in Bergen to provide expertise in the service, repair and retrofit of critical control and choke valves used in the Norwegian oil and gas industry.

The new business, which begins operations on May 23, will benefit from the support of Severn Unival’s Performance Plus team, which boasts world-class skills in the field of valve repair and upgrades.

Severn Unival, based at Milford Street in Huddersfield and with other sites at Gloucester and Aber-

deen, has designed and supplied some of its most complex, precision-engineered control valves for the Norwegian sector over the past 50 years.

Director Colin Findlay said: “Specification and engineering standards in Norway are extremely high and Norwegian offshore operations are particularly demanding.

“Our presence on-the-ground will offer a distinct advantage to our core clients who have wanted to see our world class engineering intelligence put into action locally.”

Severn Unival is trusted by some of the biggest names in the global energy markets to maintain operations at their plant and protect against critical service valve failure.

Clients include BP, Shell, Total, ExxonMobil, Saudi Aramco, Chevron and MAERSK. Severn Unival helped parent group The Severn Glocon Group plc clinch the Queen’s Award for inter-

national trade – recognising its success in more than doubling export earnings in the past three years.

Severn Glocon Group designs and makes specialist valves for the energy industry in markets, including the Middle East, the Far East, Europe, Canada, the USA and the North Sea. Severn Unival, which has 80 employees, previously won the category for international trade in the 2009 Examiner Business Awards.

The company has operated in Huddersfield for more than 25 years.

Among its successes last year, Severn Unival won a major valve order from Saudi Aramco, the state-owned oil company of Saudi Arabia and the largest oil corporation in the world. It also won orders from Oman, Qatar and Norway.

yet to come. But by the end of 2012, real incomes should be rising again.

“A number of factors will maintain the downward pressure on household incomes in the near-term. For a start, pay growth is unlikely to catch up with inflation any time soon.

“Inflation is heading towards – and possibly above – 5%. Real earnings are, therefore, all but certain to fall for the fourth successive year in a row –

Warm spell A FIRM supplying fire fighting equipment is blazing a trail as the latest winner of a monthly business award.

Holmfirth-based North Fire Ltd was judged the winner in the award run

by Huddersfield law firm Eaton Smith in conjunction with the Mid Yorkshire Chamber of Commerce and Business Link Yorkshire.

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■ NORTHERN WAY: Colin Findlay, director of Severn Unival in Huddersfield

Weakening trend for consumer spending CONSUMER spending power is set to fall further, said a review of the UK economy today.

Roger Bootle, of accountancy firm Deloitte in West Yorkshire, said the squeeze on household incomes was set to worsen.

“Bank of England governor Mervyn King has called it the biggest squeeze on real pay since the 1920s,” said Mr Bootle. “And worse may be

INSIDE

the first time that this has occurred since the 1870s.

“An additional reason to be pessimistic about the outlook for household incomes is the deepening fiscal squeeze.

“Admittedly, there have recently been some not insignificant tax giveaways, including the rise in the personal income tax allowance.

However, the net effect of this year’s

direct tax changes will still be to reduce household incomes.

“Lastly, the labour market outlook provides further cause for concern. I still doubt that the private sector can compensate for the cuts in public sector employment – which is already falling by 100,000 a year.”

Mr Bootle forecast household disposable income falling by about 2% this year –or £780 per household.

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Time to be strong COMPANIES need a strong management structure in place to help them cope with any repercussions from the abolition of the default retirement age, says an HR expert.

● Full story - Page 5

Solicitors for business inYorkshire www.chadwicklawrence.co.uk Huddersfield | Wakefield | Halifax | Leeds

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Rising costs cause concern for SMEs SMALL and medium-sized manufacturers have reported the fastest growth in order volumes for 16 years today.

But employers’ organisation the CBI warned that smaller firms were being squeezed for “intense” cost pressures.

The CBI’s latest quarterly SME Trends Survey revealed that volumes of domestic and export orders among smaller firms rose at the fastest rate since April, 1995.

Of the 414 respondents, 39% reported a rise in the volume of domestic orders in the three months to April and 23% a fall, giving a balance of plus 16%.

For export orders, 37% said volumes increased and 14% said they declined, giving a balance of plus 23%.

Strong demand at home and abroad, coupled with stock rebuilding, helped push up output further.

A balance of plus 18% of firms said production rose compared with plus

13% in the previous quarter.

With demand and output rising, a balance of plus 16% of firms increased their headcount, the fastest rate since January, 1995, when the balance stood at plus 17%.

But alongside strong growth, production costs increased rapidly, weighing on profit margins.

A balance of plus 53% of firms said average unit costs rose – the highest since October, 2008, when the balance stood at plus 53%.

That led to sharp rises in average domestic prices at plus 26% and export prices at plus 31%, both in line with expectations.

Domestic prices rose at the fastest rate since April, 1995, with a balance of plus 32%.

Export prices saw the sharpest rate of increase since the survey began in October, 1988.

Lucy Armstrong, who chairs the

CBI’s SME Council, said: “Smaller manufacturers are enjoying strong demand for goods at home and abroad, underpinning robust growth in production.

“Headcount has increased for the third consecutive quarter as firms try to keep up with demand and output is

expected to rise again in the coming months.

“However, inflationary pressures remain a dark cloud, with rising oil and commodity prices pushing up the cost of production and eating into profit margins.

“Manufacturers have raised output prices rapidly to cope and expect to continue doing so over the next quarter.”

The survey said inflationary pressures showed no sign of easing in the coming quarter, with firms expecting unit costs to increase sharply again – plus 52%.

Firms expect demand to continue to strengthen in the next quarter, though at a slower rate.

While firms anticipate a similar rise in output, growth in domestic and export orders are set to ease – although remaining well above long-run average rates.

Company turns up the heat with award win A COMPANY supplying fire fighting equipment is blazing a trail as the latest winner of a monthly business award.

Holmfirth-based North Fire Ltd was selected for the award run by Huddersfield law firm Eaton Smith in conjunction with the Mid Yorkshire Chamber of Commerce and Business Link Yorkshire.

North Fire Ltd is the UK’s exclusive partner with world-wide market leader, Rosenbauer International for supplying aerial fire trucks and fire fighting equipment.

The Holmfirth firm supplies fire fighting equipment to 80% of the UK and Ireland’s fire brigades and has recently become the official sales agent for Rosenbauer’s aerial fire fighting vehicles.

The firm was established in 2008 by Oliver North, who started his career in the army as a physical training instructor in the Royal Engineers.

After seven successful years, he left to pursue a career in business and used his brief stint as a firefighter in 2002 as a springboard to move

into the industry.

In conjunction with Rosenbauer, the firm has also developed new innovative flood defence equipment, which it supplies to local fire brigades.

Mr North, said: “For a company in its relative infancy to receive such positive recognition in light of the last two-and-a-half years’ hard work is not only flattering but enthusing to all our staff who have made such a large effort and contribution in this time.”

He said: “ It gives all of us at North Fire a nice morale boost in the process, so we can maintain our objective to be the UK’s biggest and most efficient fire and rescue service supplier in conjunction with our world class partners, Rosenbauer International.”

The award is open to companies in Calderdale, Kirklees and Wakefield.

Go to www.eatonsmith.co.uk, or contact Ian Greenwood on 01484 821389.

■ WARM WELCOME: Chris Taylor (third right), of Eaton Smith, presents the award to North Fire Ltd’s Oliver North (second right) and Rosalyn Raine (right) with (from left) Melissa Healy, of the Mid Yorkshire Chamber of Commerce; Jane Stocks, of Jane Stocks Estate Agency; Pam Murrant and Mark Johnston, of Handelsbanken

Firm is plugging the gap for power generator A LEADING power generation expert has made a connection to Huddersfield-based business IT support specialist P2 Technologies Ltd. WB Power Services selected Lockwood-based P2 to update its old IT system by implementing a full change of equipment – which P2 completed with the minimum downtime and without WB losing any operating hours.

As part of the upgrade, P2 significantly improved the security of the system with the latest anti-virus and monitoring technology to ensure maximum security.

P2 has also put into place remote phone assistance and will now provide IT support on an ongoing basis.

This will include liaising with the company’s internal management provider to ensure the smooth running of the business.

Russ Gratton, WB sales director, said: “P2 initially provided us with a new server system.

“However, it was important that the installation would not disrupt business.

P2 were very accommodating and completed the full installation out of hours.”

Roger Pearson, director of P2 Technologies, said: “We are delighted to be working with WB Power Services. We have provided them with

a high performance platform which has increased the security of their systems and will increase efficiency within the business.

“As part of working with WB Power Services, we will provide 24/7 monitoring and regular strategy guidance.

“We look forward to developing this relationship and providing ongoing support”.

Page 2 R&D at the ready A COMPANY providing services to the engineering sector is expanding its research and development activities.

Service Engineering CNC provides support for smaller engineering firms using computer numerically controlled equipment.

Managing director John Donnelly said that with the demise of many larger engineering companies, the smaller firms were rapidly becoming the mainstream users of advanced CNC equipment in the country.

Mr Donnelly said Service Engineering, which has been based in Clayton West for 15 years, was expanding its R&D programme with support from regional development agency Yorkshire Forward to provide improved precision diagnostics to be used on the various generations of Fanuc CNC controllers – the most widely used.

Fanuc parts sent to the firm for fault diagnosis can now benefit from faster and more accurate procedures as a result of recent research carried out by the company. In a number of cases, this can eliminate the need for an on-site visit.

Said Mr Donnelly: “These developments should be of enormous benefit to the many small and medium-sized enterprises which presently have no on-site maintenance personnel and which are extremely conscious of expensive repair bills in an industry where margins are very tight.

“We are extremely grateful to Yorkshire Forward for the assistance given to us for this work and its awareness of how it can be of value to the many small engineering firms in the region”.

Driving ahead A RECRUITMENT agency with offices in Huddersfield has expanded its presence in Yorkshire.

Jark, which already provides industrial and construction industry jobs from premises in High Street, has now opened a new driving and HGV recruitment site in Wakefield.

Jark already has an industrial recruitment base at Wakefield as

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Neil shares grand design

NEIL Smith is a man on a mission.

The managing director of Lepton-based Blacksmith Design has a heartfelt message to deliver to businesses across Huddersfield about marketing, branding and the perceived intricacies of the internet. Particularly the internet and the “must have” tools like Facebook and Twitter.

“There is still a widespread misunderstanding and mistrust around all matters to do with the internet,” he says. “There are so many people selling small parts of the whole package to their clients that it becomes very confusing.

“Businesses have this idea that they really have to have a Facebook page or a presence on Twitter. They put Facebook and Twitter logos on their sites without knowing what they are going to do with them.

“Having a website is about having fresh, relevant content – which is where we come in. It isn’t necessarily about social networking.

“You have to make sure business following a move your marketing strategy can to its impressive premises in make good use of it. You Lepton 18 months ago. have to understand the The building on Wakefield value of a marketing tool Road was originally used as which people are using to council offices before talk about what they had for housing in turn a clinic, a breakfast!” print company and an Misunderstandings about accountancy practice. the internet have also led to “We moved here because companies failing to make I thought we needed to the most of their websites – re-invent ourselves and by neglecting the creative raise the profile of the element which should be business,” says Neil. “Now foremost among their we are trying to thread two concerns. or three new projects “There are still a lot of together. companies doing web “One is based on the development work who are resurgence in basically programing and IT manufacturing. There is still orientated,” says Neil. enough manufacturing in the “They don’t have our town and the wider region marketing, branding and for us to have a good target design sensibilities. audience.

“Some people who buy “One of the things web design and web manufacturers have not development are not taken seriously, generally, is sufficiently sophisticated in marketing and branding. We their understanding of the want to work with marketing. manufacturing – which is a “Bad web design can sector not all design stick out like a sore thumb. agencies have covered.

The place for web “The second strand is that development and design to we have developed our take place is within a online offering to the point design company that where we can offer a understands the full marketing picture and not in compete in-house service. a web development company that doesn’t.”

Neil’s reason for putting design above technicalities is straight forward. “The user of a website doesn’t see how it is programmed or coded, but he does see the inconsistencies, whether the site is user friendly and whether it is loaded with pointless little gimmicks.”

He says: “The crucial thing is that a company’s online offering must sit inside its overall strategy and the organisation to help decide on that strategy is a proper marketing consultancy.”

Neil and his team are making a concerted pitch ■ FORGING AHEAD: Neil for new business in the Smith, of Blacksmith Design Huddersfield area after effectively “relaunching” the Consultancy in Lepton

We are very focused on local businesses because the marketplace is ‘open’ in Huddersfield. We think we can recapture that market.”

Neil attended Huddersfield New College before gaining a business degree at Huddersfield Polytechnic – now the university.

He recalls: “I took a four-year sandwich course and my year out in industry was with Halifax Building Society, which was one of the plum placements. I was very lucky to get that.

“They sent me to their advertising agency in Leeds and the second I walked through the door I knew that this was what I wanted to do.”

Neil’s first job in the industry was as a sales rep for Colgate Palmolive. “It was quite a harsh environment for someone straight out of college,” says Neil. “I lived in a hotel in Carlisle for the first six months covering my patch and ended up covering North Wales and Edinburgh as well.

“I wrote off to every advertising agency in West Yorkshire offering to work for nothing to get a start. I got two offers – one from a firm in Sheffield offering me a job as an account manager and one from a firm in Manchester to be a copywriter because I had creative aspirations.

“I took the Sheffield one because it was closer to get to! It was about getting a foothold, but in the event I stayed there for five years.”

Says Neil: “Being in design is a bit like being a chef in a kitchen – always facing deadlines, always under pressure and lots of excitement with the potential for things to go wrong – but tremendous job satisfaction.”

Neil later took two “very indulgent” years out to travel the world and broaden his horizons – visiting Greece, Egypt, Israel, Thailand and India as well as getting two

Page 3 Neil Smith

ski-ing seasons in France.

Neil joined the massive Graham Poulter ad agency in Leeds within a few weeks of getting back to the UK, where he capped two years as production group head.

Neil readily admits that a move to another design agency in Leeds in the late 1990s was “a mistake” – leaving him with “only one thing to do, which was to branch out on my own”.

“I started out with a fax machine and a mobile phone working from home, initially serving other design, print and PR companies. The business has grown from there.”

Blacksmith forged ahead almost from the start, gaining blue-chip clients including British Coal, Yorkshire Water and Rentokil Initial.

Says Neil: “I worked really hard – very long hours and five-and-a-half days a week. The client list came relatively easily through contacts and persistence and by putting together good proposals.

“People were more receptive to speaking to potential new suppliers in those days There has been a change over the past 10 years in that people genuinely resent any ‘cold’ approach. Now business is won through networking and recommendation.”

Blacksmith has certainly built a strong reputation. It is the only Huddersfield agency registered with the Design Business Association, a body demanding the highest professional standards from its members and placing great emphasis on the measurable results that can be directly attributable to the impact of design on a business.

“I think design is still misunderstood,” says Neil. “People think about it in terms of aesthetics, but it is about helping a business to achieve a stated objective. Design won’t do that on its own, but it can make it a lot easier.”

Away from work, Neil’s passions include cooking – and his Harley Davidson bike.

“I’m an enthusiastic cook,” he says, “I like wandering around the specialist food shops in Birkby buying authentic ingredients.

“I also love scaring the neighbourhood on my Harley Davidson. I have had a number of bikes, but I got this one because I wanted a motorbike that I couldn’t kill myself riding!

“I have a three-year-old Jaguar because I love Jaguar cars – but I use the motorbike for work in the summer and if I am going to see an open-minded client on a sunny day!”

HENRYK ZIENTEK

Role: Managing director Age: 52 Family Divorced with two children Holidays: Summer on the unspoilt Atlantic coast of Spain and winter ski-ing in France Car: Jaguar XJR First job: Saturday boy at a greengrocers in Almondbury – where my love for food began Best thing about job: The challenge of winning new business and making creative judgements Worst thing about job: Losing an account when I’m absolutely convinced we’ve done nothing to deserve it. That doesn’t happen very often!

Business tip: Be excellent at what you do and never compromise

Blacksmith Design Consultancy Work: Design agency producing on-line and off-line communications Site: Lepton Employees: Six Phone: 01484 605103 Web:www.black smithdc.co.uk E-mailneil@black smithdc.co.uk

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KIRKLEES BUSIN

A proper Chinese puzzle over prices HINA’S influence on the global ecoC nomy is being felt in numerous ways and this appears likely to continue for the

foreseeable future.

One particularly positive effect over the past 20 years was the dis-inflationary impact of exports from China – and indeed from other emerging markets – on the developed world.

Chinese exports stayed competitively priced thanks to productivity gains offsetting wage growth and also as a result of commodity prices remaining low.

This in turn meant that major elements of Western consumer price inflation baskets – for example clothing – saw prices fall in real and sometimes absolute terms.

This benign situation for the developed world changed in the middle of the last decade owing to heavy Chinese investment in infrastructure, along with the rapid development of a buoyant urban consumer society, which led to increased demand for commodities and rising global commodity prices.

Following the brief hiatus of the financial crisis, the impact of China’s rapid economic growth on global commodity prices has resumed and was a

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CITY TALK Simon Kaye

major contributor to the 30% increase in food prices and 40% increase in the oil price over the past year.

Wage inflation has also been growing rapidly (21% to 22% over the past six months) as workers’ influence grows and as the shift from rural areas to cities has started to slow.

Inflation is now a major concern in China and the extent of the problem is clouded by the apparent attempt by the authorities to manipulate the reported data.

In January, the Chinese National Bureau of Statistics changed the composition of its consumer price inflation basket, reducing the weighting of food (to about 30%) and increasing the weighting of housing.

While a revision in the food weighting is partially justified by the fact that rising incomes mean that a lower proportion of consumption is taken up by necessities such as food, the precise timing of this revision is significant as it had the effect of reducing reported inflation.

The increased weighting of housing could also make reported inflation appear lower, if the Chinese authorities are successful in their attempts to get rampant house price inflation down.

Despite four interest rate rises since October, Chinese inflation remains elevated and the annual rate of consumer price inflation, according to official figures, rose to 5.4% in March.

We are of the opinion that the Chinese authorities will do whatever it takes to get inflation under control over the long term, as not to do so would lead to significant popular discontent that could threaten the government’s stability.

However, in the near term there remains scope for upside inflation surprises, which would feed through to global inflation levels and encourage interest rate tightening in developed countries.

Were China to allow the Yuan to appreciate against the American dollar, this would help to alleviate domestic Chinese inflationary pressure.

In any eventuality it seems clear that China is more likely to be a source of inflationary, rather then dis-inflationary, pressure on the West in the future.

Simon Kaye is divisional director at Rensburg Sheppards Investment Management

Stepping out in safety O

UR risk management consultants have several clients who operate engineering or vehicle service and repair workshops and are often asked similar questions regarding safety footwear.

Some employees are reluctant to wear footwear with toe protection and some employers are reluctant to pay for it. It is well worth clarifying the legal position with the following points.

All types of personal protective equipment, including safety footwear, gloves, eye protection, hearing protection, cold and wet weather clothing etc. are covered by the Personal Protective Equipment at Work Regulations 1992.

The employer should assess risks to employees, visitors, members of the public etc. in all areas of the workplace, including the workshop.

The employer should assess which risks have not been adequately controlled by other means and where items of personal protective equipment are necessary. Such risks could be from falling heavy objects such as vehicle batteries or crush injuries from trolley jacks or

RISKY BUSINESS Mark Dalton

forklift truck wheels.

Specific items of personal protective equipment, such as safety shoes with toe protection, should be identified and the wearing of this PPE by all people exposed to these risks must be enforced.

The employer must provide these items of PPE free of charge to employees. It is common practice for employees to “top- up” to buy better footwear above the basic version supplied by the employer, provided the chosen items still provide adequate protection.

The employer must enforce the wearing of PPE by people exposed to the uncontrolled risks. We recommend regular, recorded checks in the workplace by supervisors. The regulations do not allow employees to opt out of this requirement by signing some type of waiver.

The employer must train, inform and instruct employees on why the PPE is required, how it should be worn and maintained and what to do if defects are noted. We recommend this basic training is given at induction and repeated periodically, and that records are kept and the PPE requirement could even be included in workplace rules.

Employees must use the PPE as instructed and report defects if they want to be exposed to the risks i.e. work in the workshop.

While these points focus on safety footwear, they hold true for all types of personal protective equipment. Note that there are other legal requirements not covered by the above list.

Wilby Risk Management can carry out detailed audits to check levels of conformity to legal requirements and best practice standards.

Mark Dalton is associate director at Wilby Ltd

Transport tale of investment

A TRANSPORT company has invested in two new vehicles after completing a major takeover.

Birstall-based Bedfords Transport has bought two Iveco EcoStralis tractor units to run on behalf of its recent acquisition, LinQ Alliance.

The new 44-tonne units – which boast improved fuel consumption – were bought from Brighouse-based truck and van dealership Northern Commercials and will carry LinQ Alliance livery.

Bedfords managing director Steff Pfadenhauer said: “Investing in the new Ecostralis units is another move forward for Bedfords and demonstrates our strong relationship with Northern Commercials.

“We work hard to reduce fuel consumption with our current fleet, but these new units hope to reduce it further still, continuing to aid Bedfords to provide the reliable service we are known for.”

John McCune, of LinQ Alliance, said: “Having recently been acquired by Bedfords, LinQ now has the opportunity to improve the success of the network.

“With the addition of the two Ecostralis units, LinQ aims to continue its national distribution service and hopes to reduce fuel costs at the same time.”

Roger Peel, dealer principle at Northern Commercials, said: “The Ecostralis units will provide huge savings for Bedfords and the purchase of the units further enhances the relationship we have with the company”.

Firms seek out ‘green’ advice RISING numbers of Kirklees firms are seeking advice on saving money through “green” measures.

In the run-up to Green Office Week – which runs from May 9 to 13 – Business Link Yorkshire reported an increase in the number of companies seeking advice on energy reduction, producing less waste and making savings on raw materials.

Karen Marsden, head of Business Link Yorkshire’s customer information centre, said, “Research shows UK businesses could save a total of £6.4bn a year by implementing low-cost and no-cost measures.

“There are lots of simple ways that businesses can make their office greener. Simply switching lighting off in empty rooms could save as much as 15% on lighting costs.”

Business Link Yorkshire and its environmental partner, CO2 Sense, are running free workshops with environmental themes tomorrow at Victoria House in Leeds, and on Thursday, June 30, at Sedum House in Doncaster. Visit www.businesslinkyorkshire.co.uk

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Summit tackles some big issues KEY manufacturers came face-to-face with representatives of smaller companies to debate local supply chains at the third Kirklees Summit.

Items on the agenda of the Q&A-based panel session included the recently announced Enterprise Zones and the role of the internet in modern manufacturing – leading the panel to explore whether social media and smartphones have a place in the manufacturing landscape.

Danny Matharu, of Summit organiser Mirfield-based Hillrich, said: “This was a unique opportunity for the audience to have their say publicly on the potential for a locally-centred supply chain.

“Key manufacturers mixed with their SME counterparts and discussed how to encourage each to trade together.”

He said: “In a format unlike any other business gathering currently taking place, Kirklees Summit creates a live forum where Kirklees businesses can openly debate how to make our district an even better place in which to run a business.

“It was fantastic to see social media being spoken about by what is seen as a traditional industry in manufacturing.”

The panel consisted of Ian Parker, chief executive of Liversedge-based Birkby’s Plastics; Gary Jones, chairman of Calderdale and Kirklees Manufacturers Alliance; Adrian Lythgo, chief executive of Kirklees Council and Ian Brierley, chief executive of Turnbridge-based JLB Group.

Audience member, Mick Fortune, managing director of Liversedge-based AS Fabrications, came armed with a list of all things his company bought on a monthly basis – and gave his fellow attendees the opportunity to contact him and supply him should they be able to.

Said Mr Lythgo: “Manufacturing is an integral part of the Kirklees economy in

A SHOWER tray firm has been well-served by a Rastrick supplier of compressed air equipment.

Just Trays turned to Boge Compressors Ltd when the firm decided to upgrade its compressed air system following a £1m investment at its Leeds premises.

■ TALKING POINTS: Gary Jones (left), chairman of Calderdale and Kirklees Manufacturing Alliance, with (from left) Kirklees Council chief executive Adrian Lythgo; Ian Parker, chief executive of Birkby's Plastics; and Ian Brierley, chief executive of JLB Group

terms of well-paid jobs and high-grade skills, innovation and creativity, growing export activity in important markets, leading us out of the recession and all-round current and future wealth creation for the area.

“Kirklees Council is fully committed to helping its manufacturers make the best of local supply chain opportunities.”

Kirklees Summit is sponsored by Kirklees Council, Fantastic Media, Ramsdens Solicitors, Kirklees Grantmakers’ Alliance and CKMA. Sinead Sopala, marketing manager of Ramsdens, said: “We are delighted that so many businesses took the opportunity to attend the summit and I’m confident that

more will take the opportunity to talk directly to each other following the event.

“The importance of events such as the Business Summit in providing a forum for local businesses to meet, exchange information and experience and also learn of assistance which may be appropriate for their own circumstances, cannot be underestimated.”

Kirklees Business Summit is run quarterly throughout the year and works on an “invitation only” basis.

It runs as a panel question and answer session and is held in the Fantastic Media Suite at the Galpharm Stadium.

Go to www.kirklees-summit.co.uk

No time to be shy and retiring A SOLID management structure could help firms cope following the abolition of the default retirement age.

S o s ay s Ju l i e S y ke s, o f Shepley-based human resources consultancy JCS HR. She said: “With the abolition of the default retirement age in October, 2011, it will be automatically unfair and age discriminatory to retire someone simply because of their age – unless, of course, you can objectively defend your decision, although this will be extremely difficult to do in practice.

“In reality it may well be that some staff will still aspire to ‘retire’ at or about age 65 and they can simply resign as would any other employee.

Shower power

“Where this isn’t the case, and employees continue to work beyond what would have been their normal retirement date, employers will be limited to the same small number of potentially fair reasons for dismissing them.

“The most commonly used of these are conduct, redundancy and capability. The first two of these are relatively well understood; it is the third, capability which is likely to be the most contentious.”

Julie said: “The fear among employers appears to be that, beyond a certain age, employee performance will deteriorate.

“This may or may not be the case in individual circumstances.

Where it does happen, it will have to be managed as it would with

■ BE PREPARED: Julie Sykes, of consultancy JCS HR

any employee. There is no longer the option of tolerating decreasing performance because of the view that it isn’t worth the effort of sorting it out, if the person will be retiring in a few months.

“It will have to be managed so that the performance returns to the necessary standard or the individual is managed out of the organisation.

“In view of this, a company’s performance management and appraisal processes have never been as important.”

Julie said processes did not have to be overly complex in order to meet the recommendations of arbitration service ACAS. Said Julie: “Once a performance management process is in place, you will be able to more easily identify performance issues and their causes and you will be in a much better position to address them”.

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KIRKLEES BUSINESS NEWS

property

Page 6

Colne Valley building among the lots in latest property auction A MIXED commercial and residential property in the Colne Valley is among the lots being auctioned at a forthcoming property sale.

The property (right) at Market Street in the centre of Milnsbridge generates annual rental income of £23,400 and is being offered at a guide price of £200,000 to £220,000 in the sale to be held on May 12 in Leeds by Eddisons.

It is among 124 lots due to come under the hammer at the two-day sale.

Instructions have been received from LPA receivers, local councils and Yorkshire Water.

The catalogue also includes a vacant former Baptist Church, public houses, development and agricultural land, along with vacant and

tenanted retail and residential stock.

Tony Webber, of Eddisons, said: “We have assembled another excellent catalogue which offers a strong mix of residential and commercial lots.

“With the majority of stock priced to sell, it should appeal to buyers looking for viable investment opportunities.”

At its last sale, Eddisons reported that 120 out of 145 lots – 83% – were sold, generating proceeds exceeding £7.9m.

The next sale takes place on May 10 at the Premier Inn, Trafford Park, Manchester, and on May 12 at Leeds United Football Club, Elland Road, Leeds. Both sales start at 12.30pm.

Contrast in prices down on the farm PRICES for farm houses are “polarised” across Yorkshire, according to research by property consultants Carter Jonas.

During the first quarter of 2011, the agency’s Harrogate and Huddersfield offices registered average farm house price increases of 5.8% and 2.8% respectively.

This is in contrast to York and Leeds, which recorded prices down by 3.4% and 4.3%.

Catherine Penman, head of research at Carter Jonas, said the national picture showed a broadly static market during the first quarter of 2011.

The average price of a farm house across the agency’s 19 offices outside of London rose by less than 1% in the 12 months to the end of March.

Carter Jonas spokesman Tony Wright (pictured), of Carter Jonas’ Slaithwaite office, said: “These statistics make very interesting reading with Harrogate and Huddersfield reporting prices well above the national average.

“On the other hand, we must

bear in mind that this is a snapshot of one area of the residential market, concentrating on the sale of farmhouses in particular and we must not confuse the two.

“Traditionally, the residential market picks up in the spring and this year is no different.”

Said Mr Wright: “All the offices are reporting good activity levels and properties that are sensibly priced are achieving good prices and moving relatively quickly.”

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Legal worries affect market POTENTIAL landlords are being put off entering the buy-to-let market because of the perceived “legal minefield” standing in their way, it is claimed.

Now lettings specialist Belvoir is taking steps to clarify the legal process and encourage more people to buy-and-let.

Srini Ram, of Belvoir’s John William Street office in Huddersfield, said: “With lending volumes increasing by 22% during 2010, some 32% of landlords increasing their rental yields in the first quarter of 2011 alone and the Council for Mortgage Lenders expecting strong rental demand to remain throughout 2011, the buy-to-let market is looking very healthy for new investors.

“Yet, despite the positive outlook many potential landlords are still being discouraged by the perceived ‘legal minefield’ standing in their way.

“We believe that many prospective buy-to-let investors are being put off by complex legislation and fear of legal action.”

Mr Ram said legal issues that landlords should expect to deal with in the rental sector included tenancy agreements, tenancy deposit schemes, and matters relating to repairs and maintenance, power supplies and furnishings.

He said: “Most landlord-tenant legal issues arise from ‘tenancy disagreements’. There are different types of tenancies such as assured shorthold, assured and regulated or protected – but most landlords favour an assured shorthold tenancy because it entitles them to take back the property after six months.

“All landlords operating an assured shorthold tenancy have to sign up to tenancy deposit schemes, which obliges them to place tenant deposits in one of three schemes approved by the government within 14 days of receipt. If not complied with, the courts can force the deposit to be tripled and repaid immediately to the

■ LETTING GO: Srini Ram, of Belvoir, says help is available

tenant or in extreme cases it may be difficult to get possession of the property.

“As for the property itself, landlords must maintain and repair it as required. This includes anything that affects the structure and exterior as well as the electrical, heating, hot water and sanitary conditions.”

Landlords must ensure all furnishings comply with fire and safety regulations. Failure to comply can result in imprisonment and/or a fine of up to £5,000.

An annual inspection by a Gas Safe-registered engineer is also essen-

tial. The landlord must arrange the checks and keep records of appliance test dates as well as providing duplicates to existing and new tenants within 28 days of inspection. Failure to provide may result in imprisonment and/or fines of up to £25,000.

All electrical appliances need to be certified safe when a tenancy begins, maintained throughout tenancy by competent persons and fit for purpose at all times.

Failure to comply may result in imprisonment and/or fines of up to £5,000.

In addition, all households are legally required to obtain an Energy Performance Certificate.

Carried out by a certified inspector, it rates the energy performance of the building allowing the prospective tenant an insight into utility costs. It concludes with advice to the landlord on how energy efficiency could be improved. There is no legal requirement to act on the information provided by an EPC, but doing so can improve tenant relations and reduce household costs.

Said Mr Ram: “The buy-to-let market is likely to expand further during 2011 as more competitive products enter the market and lenders begin to loosen their purse strings.

“So it’s important that when it does, landlords are aware of what legislation to expect and can approach their purchase and subsequent letting in a positive man-

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KIRKLEES BUSINESS NEWS

Movers and shakers

Page 8

It’s three at the back for Wilby!

Lisa Blackburn

Simon Blyth Estate Agents ESTATE agency Simon Blyth has welcomed back a former employee.

Lisa Blackburn, pictured with group sales director Martin Thornton, has been appointed senior sales negotiator at the firm’s flagship Holmfirth office.

She has returned to Simon Blyth after a five-year absence during which she was a director of another estate agency.

Ms Blackburn, who lives at Crosland Hill, has 11 years experience in the property sector and is well-versed in the Huddersfield housing market.

Mr Thornton, who lives at Birchencliffe, takes responsibility for Simon Blyth’s sites at Huddersfield, Holmfirth, Kirkburton, Penistone, Wakefield and Barnsley, where it also has a lettings office.

Mr Thornton, who joined Simon Blyth about a year ago, has 20 years’ experience in the industry, including 10 years in the Huddersfield area, having previously worked for a number of agencies throughout West Yorkshire.

INSURANCE broker Wilby Ltd has notched up a hat-trick with Huddersfield Town.

The firm’s logo will appear on the back of Town’s home shirts for the third successive season during the 2011/12 campaign.

The distinctive red logo of the locally-based independent insurance broker and risk management specialist has become a familiar part of the club’s famous blue and white striped home shirts.

Over the first two years of the relationship between Town and Wilby, the pair have launched a partnership to bring local businesses and supporters a great deal on their insurance – with a proportion of all income generated going to the club’s academy.

Wilby, based in Halifax and established more than 25 years ago, is one of the UK’s top 100 independent insurance brokers and looks after the insurance arrangements of a wide range of businesses both locally and across the UK. The firm also has an excellent reputation for providing bespoke insurance solutions

for individuals with valuable possessions. It also goes beyond insurance to offer a wide range of risk management and health and safety services to help businesses cut through legislation and red tape.

Town commercial director Sean Jarvis said: “Over the past two seasons, Wilby has become an intrinsic part of Huddersfield Town and we are all absolutely delighted that its logo will be featuring on the back of our home shirts for a third successive season during the 2011/12 campaign.

“Our working relationship with Richard Blackburn and the rest of Wilby’s staff continues to go from strength to strength – this is much more than a usual sponsorship deal. They are a part of the club’s framework now.”

Wilby Ltd managing director Richard Blackburn said: “We are delighted to renew our partnership with Huddersfield Town.

Over the past two years, we have developed an excellent relationship with the club and other partner sponsors and we hope to further this over the next 12 months.”

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■ RACE TEAM: Clough & Co chairman Steven Gash (right) with colleagues Martin Clark (left) and Howard Smith set for their fundraising dash to Germany

THREE fundraisers from Cleckheatonbased accountancy firm Clough & Co are raising cash for the Help for Heroes charity.

Practice chairman Steven Gash and colleagues Martin Clark and Howard Smith are taking part in a charity rally where they will attempt to drive 1,206 miles from Huddersfield to Germany’s world-famous Nurburgring racetrack.

Team ITwiser – which is named after Clough & Co’s IT consultancy division headed by Martin, aims to complete the challenge in five days in a car that cost less than £500.

Said Steven: “It’s a Top Gear-style challenge really as last year 20 cars set off and only two made it back! We’ve bought a 1998 Audi A4 and will be relying on our own mechanical and endurance skills to

complete the journey.

“Our goal is to make it to The Nurburgring, complete a few laps of the track and get back to Huddersfield in one piece, whilst hopefully raising lots of money for a great cause.”

They embarked on the journey last Thursday and hope to return to West Yorkshire in two days’ time.

Meanwhile, Katie Fairbrother, a cashier in the firm’s insolvency department, is raising cash with a mile-long swim across Lake Windermere on June 18.

She said: “It’s the first time I have done anything like this, but I have family in the forces and wanted to raise money for Help for Heroes so decided to sign up to the Great North Swim.”

Help for Heroes was launched in 2007 to help wounded servicemen and women.

■ TREBLE TOP: Town commercial director Sean Jarvis (left) and business development manager Mark Davies (right) with Richard Blackburn, of Wilby Ltd

Curtain up on seminar RETAIL experts are set to address a major exhibition this month – in a bid to help reverse a trend of declining sales in the interiors industry.

Kate Hardcastle and Richard Gomersall, of business Greetland-based transformation company Insight with Passion, will address kitchen, bathroom and bedroom industry event KBB on May 17 in London.

Kate and Richard will present their seminar entitled Retail Theatre – Bringing Your Shop Floor to Life to a group of delegates from across the world.

The seminar will stress the importance of retailers delighting customers through sounds, scents, feel and services that will ultimately increase footfall and average spend.

Said Richard: “Many retailers are suffering the impact of tax increases and a negative economy.

“What we’ll be showing at KBB is that it doesn’t cost a lot to transform your business to entice new customers, regain customer loyalty and increase propensity to buy.”

Richard said retailers should follow three top tips – to be different, ”live” their brand and become a “destination” for shoppers.

“By standing out from the crowd, you are more likely to capture people’s attention and not blend into the background,” he said.

“Tell your story and ‘live the brand’ – you’ll be surprised that you will win the hearts and minds of your customers.

“Finally, tap into the physical, intellectual and emotional needs of your customers to ‘capture’ them, encouraging them to shop longer and spend more.”