LDP Business - 4th January 2012

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5699.91 ▲ 127.63 LONDON’S top-flight shares started 2012 with a major rally yesterday.

The FTSE 100 Index closed at its highest level in two months, as it surged more than 2%, or 127.8 points, to 5,699.91, after strong manufacturing data from the US, China, India and Australia, plus better-than-expected UK factory figures, pleased traders.

Meanwhile, on Wall Street, the Dow Jones industrial average rose 179.82 points, or 1.4%, to 12,397.38, the Standard & Poor’s 500 index finished up 19.46 points (1.55%), at 1,277.06, and the Nasdaq closed up 43.57, or 1.7%, at 2,648.72.

Knowsley jobs joy for specialist contractor

by Neil Hodgson LDP STAFF

neil.hodgson@liverpool.com

A YEAR after a Scottish specialist contractor opened a site on Knowsley Business Park, creating 80 jobs, it has announced expansion plans that will lead to the recruitment of a further 40 staff.

Paisley-based IQA Group provides a variety of services, including electrical internal mains, cable jointing, building maintenance and civil works on behalf of large companies, such as Merseyside electricity provider Scottish Power.

The jobs boost comes as the firm launches a sister company, Innovo

Energy, which is a renewable energy business that will deliver sustainable and renewable energy to homes and premises across the UK. Carl Rugen, electrical operations manager for IQA Group, in the North West, said: “We will be looking to recruit more employees in the New Year through our sister company, Innovo, which will provide renewable energy products, such as solar panels, heat pumps and wind turbines to homes and businesses.

“This is great news and comes after a really successful first year in Merseyside where we have been carrying out various projects for Scottish Power.

“Our work also includes the replac-

ing of electrical network cables as part of a large, on-going project in Speke.”

He added: “We feel we are in a great location which is working well for us.

We looked at potential bases across Merseyside, but opted for Knowsley because it is so central, with great transport links.”

With two offices in Scotland, the company chose to set up a third base in Merseyside last year, to service an increasing number of Scottish Power contracts that it had secured in the region.

A total of 80 people were recruited, including office staff, electricians and cable jointers, and the company has recently invested in a fleet of 27 new vans. Across its three sites, IQA,

headed by recently appointed managing director Gregory AddisonSmyth, employs 250 people.

Knowsley Chamber of Commerce provided support for IQA. Chamber chief executive Lesley Martin-Wright said: “I am really encouraged that IQA has enjoyed such a successful first year and is in a position to create further jobs in the borough, particularly in such a tough economic climate.

“I am delighted that they chose Knowsley.

“At the Chamber, we are doing all we can to support businesses like IQA, and can provide assistance to any firms considering opening a base in the borough or re-locating here.”

MARKET REPORT: PAGE 15

Bio-test company invests £75,000

inside Kenwright weathering the storm EVERTON FC chairman Bill Kenwright saw profits at his theatre and film company fall to £2m – but hit shows such as Joseph and Blood Brothers helped it ward off the worst of the downturn.

PAGE 2

Mayor fears LIVERPOOL Chamber of Commerce has backed proposals for a “metro mayor”, but is looking for reassurances on the role of a city mayor.

PAGE 5

Healthy start JJB SPORTS founder Dave Whelan opens a new health club in Liverpool.

PAGE 10

From left, Alex Bodie, from Lombard; Dave Thomas, of Alpha Biolaboratories; and Angela Moretta, from NatWest

BUSINESS EDITOR: BILL GLEESON 0151 472 2319

DEPUTY BUSINESS EDITOR: TONY McDONOUGH 0151 330 4918

BUSINESS REPORTER: NEIL HODGSON 0151 472 2451

BUSINESS REPORTER: ALISTAIR HOUGHTON 0151 472 2449

LEADING DNA paternity and drug testing specialist, Alpha Biolaboratories, has invested £75,000 to provide an in-house hair alcohol testing service at its Warrington base, after securing funding from Lombard, the asset finance arm of NatWest.

The company has purchased a TSQ Quantum testing machine, a piece of kit which is used to provide hair alcohol tests.

Alpha already offers this service through an outsourced provider.

Managing director Dave Thomas said: “By bringing this service in-house, we can provider a quicker response to our clients and are confident of further growth in this field.”

Lombard’s Alex Bodie said the firm was a “sound investment”.

BUSINESS REPORTER: PETER ELSON 0151 472 2502

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MP backs Croft in national initiative WARRINGTON North MP Helen Jones has backed a Risley company to put British manufacturing on the map.

Made By Britain is a national drive to highlight the best of the UK’s design, production and innovation.

Launched last year, it asks all 650 MPs to nominate one manufacturing company from their constituency to help form a virtual map of manufacturing in Britain today.

Ms Jones visited Croft Engineering Services and spoke to its skilled engineers to find out more about the firm which has been producing bespoke filters for 25 years and employs 22 staff.

She said: “I was proud to nominate Croft Engineering Services for inclusion on the Made By Britain Map, to recognise their innovation and commitment to providing career opportunities in the Warrington area.

“It’s essential that we speak up for British manufacturing to show that companies like Croft are at the forefront of their field.”

Croft partner Neil Burns said: “We are extremely proud of the quality products we produce and the level of customer service we offer worldwide.”

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£2m profit at Everton FC chairman’s theatre group

by Alistair Houghton

LDP BUSINESS STAFF

alistair.houghton@liverpool.com

EVERTON FC chairman Bill Kenwright reported profits at his theatre and film company of £2m, as hit shows such as Joseph and Blood Brothers helped it ward off the worst of the downturn.

In accounts newly filed at Companies House, Bill Kenwright Productions said turnover for the period stood at £35.6m.

The group said that was a strong performance in the teeth of a tough economic climate, with core productions performing well, while new shows, such as Spamalot, began to pay dividends.

These results are not directly comparable with 2009, as the company that year reported 13-month, rather than annual, figures.

For those 13 months, to December, 2009, the company reported a pre-tax profit of £2.4m on sales of £39m.

In 2010, the group also continued its expansion into Europe.

However, the company failed to recoup its investment in 2009 film Cheri. The movie, which starred Michelle Pfeiffer, was a box office disappointment.

As well as receiving pay of £404,000 in 2010, Mr Kenwright – the company’s sole director – received dividends of £3m. But, as he regularly admits, his fortune still cannot compare with those of other Premier League club owners – so his search for new investors in Everton will continue.

Wavertree-born Kenwright began his career as an actor, starring as Gordon Clegg in Coronation Street, before becoming a theatrical impresario.

The report said: “Despite worsening economic conditions, the group’s core business, of producing quality theatrical plays and musicals, continues to yield reliable returns.

“The group’s core shows – Joseph, Blood Brothers and plays from its

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Sporting theatre . . . Bill Kenwright at Goodison, before Everton’s 2-1 defeat of Wolves in November Picture: GAVIN TRAFFORD/ gav191111efc-37

Agatha Christie catalogue – continue to attract substantial audiences and deliver year on year.

“Furthermore, the group’s strategy of complementing its established shows with new productions and investments (Dreamboats and Petticoats, Evita, Jekyll and Hyde, Rocky Horror Show, Spamalot) is starting to generate returns.

“The one major disappointment has been the failure of the feature film, Cheri, to live up to its box office expectations and to recoup its investment.”

The group said its strong balance sheet would allow it to invest in new projects.

It said: “In 2010, the company com-

menced its first European tour, with its critically acclaimed production of Evita. This has been followed in the spring of 2011 by the London Palladium production of the Wizard of Oz, and later in the year with the co-productions of Legally Blonde and South Pacific.”

The report says that the state of the economy is putting pressure on theatre attendance levels – but it says the group aims to keep theatregoers interested “by offering a wide spectrum of productions that appeal to the largest possible audience.”

It added: “The group is performing strongly and is expected to generate a profit in 2011.

“The director (Kenwright) is confid-

ent that the group will continue to prosper throughout 2011 and beyond.”

Over the year, the group made donations of £15,000 to medical charities, £5,000 to wildlife charities and £5,000 to cultural charities.

Many Everton fans are angry that Kenwright has not found a buyer for the club. But, last month, Everton’s chief executive, Robert Elstone, insisted “genuine conversations” were taking place with a number of interested parties.

He said: “As our chairman has acknowledged repeatedly in recent years, we need new investment to further our ambition.”

■ BILL GLEESON: Page 8

Port operator hopeful it can replace lost ferry business THE operator of Birkenhead docks says it is confident it will recover the business it lost when ferry operator DFDS closed a route last year.

Birkenhead Port, part of the Peel group, says overall tonnage for the year to March

stood at 3.2m tonnes – down 3% on the previous year.

It said the fall was due to DFDS’s decision to shut its Birkenhead-Dublin routes in January, 2011.

In accounts newly filed at Companies House, Birkenhead

Port said business for the first ten months of the year had been strong. But it said that, in the final quarter, ongoing growth on its Belfast route was “more than offset by the loss of all Dublin volume”.

It added: “While, in the

short term, the loss of the DFDS business will adversely impact revenues and overall financial result, in the medium term the directors are confident that the company will recover this lost business as we look to con-

tract with another operator at this flagship, purpose-built roll-on, roll-off facility.”

It said that, with Stena axing its Fleetwood-Larne service, Birkenhead could attract more business to its Belfast route.

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Capital gains for kitchen creator winning a name in his industry Alistair Houghton meets PETER KITCHIN, managing director of C&C Catering Equipment IF YOU’RE going to spend your career in the catering industry, it helps to have a name like Kitchin.

Family firm C&C Catering Equipment, led by Peter Kitchin, defied the economic gloom by securing £3.5m in new contracts in the last quarter of 2011.

The Chester firm is developing kitchens and catering facilities at Google’s UK headquarters and at the Cafe Royal, both in London, and at Oxford Brookes University.

Peter joined C&C in 1981, just months after it was founded by his father John, and has seen it grow to win clients including the Palace of Westminster, House of Lords, Nomura, and AstraZeneca.

And, if that client list doesn’t make C&C stand out, then the surname of its founding family certainly does.

Peter smiled: “People ask ‘did you get the name first or did you change the name to go into the business?’

“But it’s a name that, if you do a good job, people don’t forget.”

Peter’s father, John, spent his career in catering, starting in hotels before joining the NHS and rising to become catering manager at Chester’s hospitals.

He became chairman of the Hospital Caterers Association and, in 1972, won one of the industry’s most prestigious accolades – cover star of The Caterer magazine.

But, in 1981, he took early retirement and founded C&C in Chester.

“He knew about catering and thought he could find a niche selling equipment,” said Peter.

C&C’s first customer was Chester baker Weinholts, which bought a £300 slicer.

“We’re now turning over £11m,” said Peter. “It’s grown a little bit since then.”

Peter, who was born and grew up in Chester, joined the family business in December, 1981, just months after taking his O-Levels.

He worked his way through “all facets of the business”, starting as a delivery driver and becoming managing director in 1992 when the company turned over some £2m.

“When we first started in business, we sold one-off pieces of equipment,” said Peter. “Then we started to do some fairly small schemes for the likes of Bass and Whitbread. We did a lot of work for Roadchef.”

That side of the business grew, and, today, C&C specialises in fitting out large kitchens and other catering areas such as serveries and “cold rooms”.

It is based in a converted farm building on the Duke of Westminster’s Chester estate, but Peter estimates that 90% of its work comes from London.

“We’ve just secured a contract from Google, worth £900,000,” he said. “I went past the building on Friday – it’s a cracking site.

“We’re also doing a big job for Café Royal, just off Regent Street. That’s worth £2m.”

As well as its Smithy Farm base, to which it moved in 2008, C&C retains

a showroom in Bumpers Lane, Chester.

Peter is all smiles when he talks about his business, his passion for the family firm undimmed after 30 years. But he remains humble about his achievements, unwilling to be big-headed about what it has achieved.

“I was at a lunch with customers in the House of Lords last month,” he said. “I was sitting there thinking ‘how did a bloke from Chester get here?’

“I try to be humble. I was born in a semi-detached house in Chester. I could never have dreamed we would achieve this.

“We’re not based in London. Yet that’s where everything seems to come from. People seem to like us – they like dealing with us.”

The recipe for success, says Peter, is simple.

“Most of our work comes from referrals,” he said. “We do a job, people see it, say ‘that’s great’, and it goes from there. That’s what keeps us in business.

“We try to never let anybody down.

We try to be honest and give people what they want, as opposed to what we want them to want. “‘Be honest with everything’ – that’s our doctrine. People respect that.”

Despite the widespread economic gloom, many companies are still investing in their properties. That means there are still opportunities for companies such as C&C – and, as its success last year showed, Peter is determined to win those contracts.

“We just do what we can to look after our staff and to make sure that we keep busy, and that we don’t have to let anybody go in the recession,” he said.

“It’s hit us, our suppliers and our customers. But we haven’t had to make any redundancies, which is a real blessing. And we’ve taken on three new people in the last 12 months.

“It’s been difficult. Margins are down. It’s cut-throat out there. But we just try to do the best for ourselves and for the staff.”

One investment Peter has made is in credit insurance – something he says is essential in tough times.

“Every job we do, we’ve got cover,” he said. “If we can’t get cover, we either don’t do the job or we find out

q&a Highest educational qualification: Eight O-Levels Best advice: Always be honest. And always try to improve and get better Proudest achievement: Working with my dad for 30 years Biggest regret: None. If we get anything wrong, we just learn by it Still to achieve: Make sure the business keeps doing what it’s doing, keeps getting better and keeps striving for more. And, personally, I’d like to visit all 50 US states. I’ve done 33 so far

Peter Kitchin, right, presents his father, John, with an award from the Catering Equipment Distributors Association

how they’re going to pay us. That also means our other clients don’t have to worry about us having issues with bad debts.

“I don’t know why other people in our industry don’t pay it. I can go to bed at night not worrying if somebody is going to go bust in the morning.”

Meanwhile, Peter says the company’s long relationship with its bank, NatWest, and its accountants, Murray Smith, have helped give it stability.

“We see them as our partners,” he said. “We run things by them, and bounce things off them. And they’re happy because they think we’re quite a decent customer.”

Peter is hoping for another record year in 2012, and hopes to continue to defy the downturn by taking on still more staff.

“It’s been three hard years,” he said. “But we’ve just tried to keep going and do better.”

Outside work, Peter enjoys travelling – he and his wife are aiming to visit all 50 US states. His love for the US extends to sport, as he enjoys watching American football and baseball.

Peter lives in Chester with wife, Cathy. Their son, Matthew, works at C&C, while daughter, Jessica, is at university.

“This year will be our 25th wedding anniversary and my 50th birthday,” he smiled. “There’ll be some kind of party going on.”

Family is at the heart of Peter’s life, at work and at home.

“I love working with my dad,” he said. “Thirty years of working with your father is a real blessing. I’ve enjoyed almost every day.

“When I was chairman of our trade association, the Catering Equipment Distributors Association (CEDA), I was lucky enough to be able to present him with an ‘industry personality’ award. It was a very proud moment for me – a tearful moment.

“And I’m very proud now to be working with my son. He’s 19, he came straight from school like me, and he’s doing CAD.” Most days, three generations of the Kitchin family turn up to work at C&C. Founder John Kitchin is, his son says with a smile, still not ready to leave the business behind.

“My father has retired three times

now,” said Peter. “He still does five days a week. He’s 79 – he’s meant to do three days.

“He’s banned on Mondays and Fridays, but he still comes in. There’s things to do, people to talk to, customers to see.”

And John is far from a figurehead for the firm he founded.

“He got an order last week for £400,000,” said Peter. “He’s still very active.”

Peter himself hopes to follow in his father’s footsteps by staying at the business for many years to come.

“I really love my job,” he said, with another smile.

“I love what I do. I love every day. I love dealing with clients, suppliers, the people I work with in the office.

“They’re my family, these people who work with me – I say with, not for. There are probably five or six people in the office who’ve been with us for 25 years – another half-dozen have been with us for 10 years.

“I go on holiday for three weeks to the US and I love coming back. It’s not that I don’t enjoy my holiday, but I love what I do. It’s not just a job.

“If you don’t love your job, you shouldn’t do it.”

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Wednesday, January 4, 2012

LDP business .co.uk Venture provides one-stop solution LIVERPOOL chartered accountants and business advisers Cowgill Holloway is offering a one-stop shop for clients in a joint venture with software solutions provider Eventura.

The collaboration will combine Sage software products with Cowgill Holloway’s accounting expertise and Eventura’s specialism in the area.

Paul Cunnliff, Cowgill Holloway partner, said: “Our clients have identified a market need for cost-effective Sage software products and consultation services.

“Working closely with our colleagues at Eventura, who are a Sage Business Partner and Developer, will give us new impetus and allow us to offer further value-added services to our clients.”

Bolton-based Eventura’s managing director, Chris Houghton, added: “In forming this unique service, we have created a seamless and robust opportunity to provide Cowgill Holloway’s clients with reliable Sage software and first class support services.”

Sage is used by more than 6.5m businesses.

Mr Cunliff said: “In the present financial climate, we understand that our clients are conscious of the need for careful management and cost control, aligned to maintaining high levels of service to their customers. This joint venture has been specifically designed to help them achieve this by providing a highquality solution.”

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‘£100m expansion plans’ report bemuses JLR staff

by Neil Hodgson

LDP BUSINESS STAFF

neil.hodgson@liverpool.com

JAGUAR Land Rover (JLR) has distanced itself from reports that it is set to create 1,500 jobs and double the size of its Halewood plant.

The claims appeared in yesterday’s Daily Telegraph, and reported that “sources familiar with the situation” say the firm is exploring plans to double the size of the plant by developing on surrounding land in an investment estimated at £100m, although it said the proposals are thought to be at a “relatively early stage”.

It claimed the moves were linked to a surge in demand for JLR’s products, and that staff had been called in over Christmas for a special shift to produce more vehicles.

However, the claims are understood to have led to puzzlement within the car manufacturer, which declined to comment in detail.

Instead, it issued a short statement in response which said: “JLR has not made any announcements about Halewood Operations, and we do not comment on speculation about possible future plans.”

Recruitment of a further 1,500 staff for Halewood is unlikely, as the company had already created 1,500 new jobs – doubling its workforce to 3,000 – on the run-up to the July launch of its new Range Rover Evoque model last year.

Staff worked flat-out to produce the Evoque, which won global plaudits from the international motoring press during summer test drives around North Wales and Liverpool.

But, in keeping with production schedules, about 70 non-contract staff were released just before Christmas, taking staffing numbers to the targeted 3,000 level.

And with the plant working at pretty much full capacity, it is unlikely hundreds more would be required.

A Halewood-built Evoque on test drive at Liverpool’s Kings Dock, as part of the model’s global launch Picture: JAMES MALONEY/ jm220711motors-3

Also, claims of expansion for the plant are difficult to comprehend, as it is already bounded on all sides by the Liverpool to London rail line to the

rear, Speke Boulevard to the front, the Getrag Ford transmission plant on one side, and the Boulevard supply park to the other.

Some JLR staff were required to work over Christmas, but this only involved the Solihull plant in the Midlands, and not Halewood.

Record turnover of £1.82bn as Princes vows to drive growth

‘Hedge’ fuel to save on costs

LIVERPOOL food and drink group Princes has posted record sales of £1.184bn, up 8%, and a 5% rise in post-tax profits of £27.6m in the year to March 31, 2011.

It also pledged to continue international expansion in accounts filed at Companies House.

The group’s brands include Aqua Pura, Jucee, Napolina and Shippams as well as the Princes brand among many others.

It is one of the UK’s biggest food and drink manufacturers and importers, with 13 production sites and a global workforce of more than 4,500 people.

It made significant progress

BUSINESSES should act now to fix fuel charges ahead of the Government’s next proposed duty increase, in August.

Treasury experts at Yorkshire Bank say it is important for businesses of all sizes to stabilise their future fuel prices and “hedging” could provide significant savings.

David McGill, head of Treasury Solutions at Yorkshire Bank, said: “Even businesses using just 50,000 litres of fuel a month should be looking at the security provided by hedging, particularly during times like these when speculation over fuel prices is intense.

“Should the proposed duty increase go ahead in August, a business with this level of fuel consumption would be facing additional costs of £1,500 per month.”

He added: “While average UK petrol prices have dropped from their record high of 136.9p per litre in May, there is no guarantee that the downward trend will continue.”

with its strategy of growth in continental Europe, including a new joint venture bottled seed oils business in Poland with Archer Daniels Midland Company.

Its continental European headquarters, in Rotterdam, achieved sales growth outside the UK that saw international turnover surge by 40% to £225m from £161m in 2010.

And, in July last year, Princes built on its UK operations with the acquisition of two major canning sites in East Anglia, along with a number of brands including Crosse & Blackwell, Farrow’s and Smedley’s in a deal with Premier Foods which also gives Princes long-term

agreements to manufacture certain products for the Branston and Batchelors brands.

Princes managing director Ken Critchley said: “We are pleased with our progress during the last financial year and have continued to invest in the development of our UK and continental European operations in the current fiscal year.

“We have a long-term strategy to expand our group both in the UK and into new international markets by investing in our supply chain through acquisitions and strategic partnerships. This will help us to continue to offer our customers quality products and services.”

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Four would-be buyers in bid to acquire stricken Blacks FOUR interested buyers are expected to table final bids for struggling outdoor clothing retailer Blacks Leisure within the next two days.

The potential buyers – who are understood to include Newcastle United owner Mike Ashley’s Sports Direct – are reportedly planning to bid for the majority of the business,

which includes Millets and brands such as Peter Storm and Eurohike.

The outdoor clothing group, which owns 98 Blacks outlets and 208 Millets stores, is expected to be sold under a pre-pack administration deal after it said it did not expect an offer for the group’s shares, only for its trade,

assets and brands. The loss-making group, which employs 3,600 staff in outlets and at its head office and distribution centre in Northamptonshire, put itself up for sale after failing to secure extra funding to turn around the business.

Professional services firm KPMG is running the sale of

Blacks Leisure and is also expected to oversee the administration.

A sale to a trade player – such as Sports Direct – would help save many of the 3,500 jobs but a pre-pack deal would see most of its £36m of debt wiped out and its worst-performing stores closed.

A pre-pack administration

is an insolvency procedure which sees a company being sold immediately after it has entered administration.

The process is viewed as controversial because creditors do not have the opportunity to vote against it – although the swift sale of the assets is necessary to enable the best price to be achieved.

Businesses wary of role for proposed city mayor

by Neil Hodgson

LDP BUSINESS STAFF

neil.hodgson@liverpool.com

LIVERPOOL Chamber of Commerce has backed proposals for a “metro mayor”, but is looking for reassurances on the role of a city mayor.

Responding to Government proposals for a referendum on the issue next May, chief executive Jack Stopforth and chair Neil Scales, chief executive of transport authority Merseytravel, said the business community had reservations about the city mayor.

Their letter says: “We fear a city mayor without a significant relationship with the local councils in the city region cabinet other than Liverpool itself, or, indeed, the Local Enterprise Partnership (LEP), could undermine progress made in the city region.

“Despite this reservation, we acknowledge that the opportunity a city mayor represents to decentralise services and powers away from Whitehall and to the city authorities is one not to be missed.”

They want the referendum extended to include people who own businesses or work in Liverpool, but reside elsewhere, and represent the city “on the national and international stage”.

Their response warned: “Unless the proposed new function brings significant new powers and resources, it will be ineffective and counter-productive,” and it highlighted essential areas for city mayoral powers.

“A city-region mayor or city mayor

with planning powers compatible to those of the Mayor of London is desirable – this would eliminate the requirement for developments to be called in by the Secretary of State.”

The letter added: “Merseyside’s Integrated Transport Authority crosses local authority boundaries.

The mayor, as with other borough representatives, should have the opportunity, but not the right, to chair the committee.

“Digital capacity and energy infrastructure are of increasing importance to business and the economy.

“These are strategic issues more effectively dealt with at city region level. An elected mayor would also add a powerful voice to campaigns such as those to secure the Green Investment Bank for Liverpool, or the drive to achieve European Green Capital status for the city.”

It went on: “The recent Business Rates Retention review has paved the way for local councils to borrow against projected future business rates income via Tax Incremental Financing (TiF). We would expect a city mayor to work alongside councils and businesses and assume ultimate responsibility for developing the business plan to take forward TiF initiatives.

“The Localism Bill also gives powers to local councils to offer business rates discounts. We would like to see a city mayor with the power and responsibility to consult widely on such changes and decide how and where these discounts will be applied.”

2008, and yesterday bought the rest of it, taking the total paid so far to £42m, with further payments possible over the next two years if it hits targets.

Toolstation, based in Bridgwater, Somerset, was

Redrow building up its top team REDROW, the Flintshire-based housebuilder created by Liverpool entrepreneur Steve Morgan, has appointed Anita Williams as sales director.

Ms Williams, who has also worked in the banking sector, joins the firm with more than 20 years of experience in the new homes industry, most recently with Persimmon, in the West Midlands.

Meanwhile, Bryn Jones is the new business development manager at Widnes-based same-day Courier Company, Courier Post.

He began his career in the newspaper industry before moving into sales and business development with Yell, publishers of Yellow Pages and Yell.Com. And Liverpool-based industrial recruitment firm gap personnel, formed in 1997, has a new financial analysis and planning manager in Sarah Hughes, of Northwich, who was previously UK finance manager at technical recruitment specialist NES. Sarah said: “I’m excited to be joining gap, which is a dynamic company that’s really going places.”

Liverpool Chamber of Commerce chief executive Jack Stopforth – looking for reassurances on the role of a city mayor Picture: ANDREW TEEBAY/ at111011bstopforth-3

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Travis Perkins buys remaining Toolstation stake THE founder of hardware supplier Toolstation has secured a £24m windfall after Wickes owner Travis Perkins took full control of the company.

Travis bought 30% of the business for £18m in

on the move

set up in 2003 by Mark Goddard-Watts, the founder of rival tool supply firm Screwfix, which he left after a takeover by B&Q owner Kingfisher.

Travis, the UK’s largest builders’ merchant and

home improvement retailer, said Toolstation, which has 103 outlets and a strong internet and catalogue-based sales business, will be a “significant profit generator” for the group.

Travis chief executive Geoff Cooper said the acquisition is expected to boost Northampton-based Travis’s consumer division, which also includes 200 Wickes DIY stores and 107 Tile Giant stores.

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LDP business .co.uk Fears of return to recession THE chances of recession in 2012 have been estimated at 75%, according to the latest Lloyds Bank Corporate Markets Business Barometer “monthly snapshot” for December.

A 3-in-4 probability of recession is likely, given the barometer’s predictive nature.

The report also showed a drop in confidence for economic prospects to a threeyear low, driven by the ongoing eurozone crisis.

Trevor Williams, chief economist at Lloyds Bank Corporate Markets, said: “Our survey seems to indicate companies in the UK are bracing themselves for a period of stagnant or even negative growth, with the eurozone crisis affecting confidence across the board.”

He said much depended on actions by European policymakers.

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City tennis event to benefit from ‘Olympic fever’

Sporting legend Martina Navratilova in action at Liverpool’s 2011 International Tennis Tournament, at Calderstones Park Picture: JASON ROBERTS

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ORGANISERS of the Liverpool International Tennis Tournament believe “Olympic fever” could boost revenues generated by the annual event.

This year’s tournament will be held at its usual venue – Calderstones Park – from June 21 to 25.

Last year, the event generated an estimated £1m for the city region’s visitor economy.

And, with it acting as a warm-up to the London Olympics, organiser Northern Vision expects that figure to be surpassed this year.

Tournament director Anders Borg told LDP Business: “Each year we are joined by some of the world’s biggest tennis players and new rising stars, who use the tournament as a warmup event for Wimbledon, but 2012 will be our biggest year yet, with many athletes going on to compete in the London 2012 Olympic Games straight afterwards.

“We really want to ensure that the Olympics are not just a London-centric event, and that businesses and individuals from this region are also able to benefit.”

City ‘must grasp China potential’

by Neil Hodgson

LDP BUSINESS STAFF

neil.hodgson@liverpool.com

LIVERPOOL’S Chinese Business Champion believes the city region could become a major trade and manufacturing hub for Chinese businesses, as it builds on the relationships and profile generated following its presence at the Shanghai World Expo.

The claim by Dr Lee Kai Hung came on the eve of his visit to China to meet investors and manufacturing companies who are embracing the spirit of the country’s “Go Out” economic policy.

Dr Lee and Cllr Nick Small, cabinet member for employment, enterprise and skills, visited Dr Lee’s home city of Nanning, in October, to explore more commercial opportunities, and Dr Lee said: “Following our very successful visit to China, there is a growing realisation there about Liverpool’s extremely strong offer as an investment and manufacturing centre.

“Increasingly, Chinese manufacturers are moving production closer to international markets and have begun to set up large-scale operations in the USA. They are looking to benefit from Western advanced manufacturing skills, as well as expertise in product design and brand development.

“This presents a massive opportunity for Liverpool.”

He believes Liverpool’s port and its profile in China could give the city a strong competitive edge over other investment destinations. The port’s development of a postPanamax facility will re-establish the city as a major gateway for Chinese trade.

But he sees this as only one part of a poten-

Dr Lee Kai Hung – there is a growing realisation about Liverpool’s extremely strong offer tially transformational economic relationship: “We need to understand the dynamics of the ‘Go Out’ philosophy, and what is guiding Chinese businesses when they make investment decisions.

“Goods finished or made in the West are more attractive to Chinese consumers. Liverpool is a gateway to Western markets, but also a departure point back to Asian markets. Our offer is exceptional.”

7

Wednesday, January 4, 2012

LDP business .co.uk

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No such thing as a free lunch from the taxman – if you’re an SME

Alex Turner

THERE are a myriad of ways to define an SME, most commonly involving employee numbers, turnover or balance sheet total.

I’d like to suggest a simple demarcation. It is a large business if its senior management are invited for

lunch by HM Revenue and Customs (HMRC) and an SME if it feels like they are eating your lunch.

Everyone has heard plenty of war stories about dealing with the taxman. My favourite was told to me during that period a couple of years ago where – publicly at least – there was an effort to show patience towards firms who had fallen slightly behind on their tax bill.

After asking to be able to stagger VAT payments to catch up on a relatively small deficit, the person in question was given the response: “But why don’t you have the money?

VAT isn’t for you to spend, you should put it aside as you get it.” As

opposed to having it put aside after lengthy lunch meetings.

The issues surrounding the treatment by HMRC of companies like Vodafone and Goldman Sachs, who were the recipients of so-called “sweetheart” deals, culminated in a report by Parliament’s Public Accounts Committee just before Christmas that criticised such relationships as being too cosy.

Large businesses’ unresolved tax bills are estimated to total more than £25bn.

It is in this climate that HMRC is preparing to roll out its Business

Record Checks programme, which plans to inspect up to 20,000 SMEs from April, with fines of up to £3,000 for those businesses unable to produce the required paperwork.

Following a pilot, HMRC is now undertaking a “strategic review” of the scheme – presumably over a lunch or two – before it presses ahead.

HMRC has said it attributes 50% of the tax gap to SMEs and that it believes, of that, one-third arises from errors and businesses failing to take reasonable care. That’s the rationale for

‘50% of gap is tax owed by smaller firms’

the spot checks, but it is hard to see how these interventions into individual businesses will help to close the tax gap in any meaningful way.

The deliberately careless will remain so, but the vast majority of businesses either do, or believe they do, take reasonable care. For them, the threat of spot checks will have little impact.

But there is a solution.

Well, I always sleep better after a good lunch.

■ TRADING Gossip: Page 16

■ ALEX TURNER is the general manager of financial training firm, Ambitious Minds

City skincare firm in push to enter overseas markets

by Tony McDonough

LDP DEPUTY BUSINESS EDITOR

tony.mcdonough@liverpool.com

A LIVERPOOL firm offering natural and organic skin products is reporting interest from across the world.

Tru Organics was started in 2009 by directors Tina Carroll and Ruth Andrew.

From their city centre base, Ms Carroll and Ms Andrew hand-make a range of skincare products.

All are made using natural and organic, “ethically-produced” ingredients, with none tested on animals.

For the past year, they have been out and about in the North West at fairs and other events, doing market research to find out the public reaction to the range.

They have managed to build up a dedicated clientele, but now feel that 2012 is the year when they start to realise their full commercial potential.

They have now made contact with potential customers in other parts of the world through the Government’s export assistance arm, UK Trade & Investment (UKTI).

Ms Carroll said: “We know we are in a very competitive market but the customers we have had so far have been very honest and, as yet, we have had no negative feedback.

“We have been talking to UKTI and already we have had interest from China, Germany, Japan and other parts of Asia.

“In Asia, they are looking to buy quality products and they love stuff from Britain.

“We have been asked to do research into skincare products for Japan, where the climate is very dry.

“Yes, we would love to grow sales in the UK as well, but it is the overseas markets that have approached us.”

Ms Carroll originally ran a practice offering holistic therapies in Slater Street, later moving to Duke Street.

Ms Andrew first came to her as a client, and the two hit it off and then trained together in producing skincare products.

They eventually decided to go into business together, taking premises in Rodney Street.

Ms Andrew says they want the business to be about more than just selling products.

“We want to be a valuable source of

Tru Organics directors Ruth Andrew and Tina Carroll with their range Picture: GAVIN TRAFFORD/ gav211211truorganics-2

information either on our own site or via links through to other sites,” she said.

“We want to be as open and clear with people as we possibly can be.”

Ms Carroll added: “We have been

using the time since we launched the company to get the products out into circulation and see what people really thought of them.

“Our aim is to be both quality and customer-focused and this year we

want to focus on pushing sales. Franchising is possible in the future, too. It is something we will investigate because it would be great to offer employment opportunities to other people.”

Honours for head of Aspire venture THE head of a Wallasey organisation that works across the globe to develop arts in education is celebrating a double achievement.

Dr Nick Owen, who founded The Aspire Trust, was awarded an MBE in the 2012 New Years Honours List and has been appointed Honorary Fellow in the School of Education at the University of Tasmania.

Aspire was behind a scheme to promote professional development opportunities for more than 200 teachers from India and Nigeria through its annual conference programme, including an international conference in Merseyside.

In recent months, Aspire has also been engaged by the University of Tasmania to establish similar global conferences for international educators from around the world, which are due to take place in June and September, this year.

Dr Owen has also set up partnership agreements with artists, teachers, schools and organisations in Australia, Bulgaria, Cyprus, Denmark, Greece, Germany, India, Latvia, Lithuania, Italy, Nigeria, Norway, Portugal, Serbia and South Africa.

And Aspire is the only UK arts business to have received funding from the Norwegian government to assist in regeneration programmes in Serbia and the Balkans.

Dr Owen transformed Aspire into a charity and social enterprise when public funds ran out in 2004.

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Wednesday, January 4, 2012

LDP business .co.uk Bill Gleeson Why wishing a prosperous New Year puzzles me I RECALL, as a young man, looking at the array of Christmas cards taped to the wall of my parents’ hallway.

I was always a bit puzzled by the use of the word “prosperous” in the well-worn sentiment “We wish you a happy Christmas and a prosperous New Year.”

The idea of prosperity seemed illusory to me, growing up in a home in Liverpool, in the early 1980s, at a time when my mother and father were both made redundant within a year of each other. I looked out of the window and counted the number of houses in our street that I knew to be occupied by a wage earner. It was surprisingly few.

But perhaps prosperity refers to more than just money. There are ways of thriving other than by earning more salary. A child might be born, a student might pass an exam, a relative might recover good health.

Yet, at this time, when Europe’s leaders are warning of challenging times ahead, the challenges ahead seem to be very basic indeed. Will there be any economic growth, will inflation be brought under control, how high will unemployment rise, can we afford to heat our homes, are our savings safe?

The prevailing economic grimness reported in the news every day reminds me of the recession of the early 80s; more than the recession of the early 90s.

There are, of course, big differences between now and 30 years ago.

Britain and Liverpool are considerably better off these days. Today, nobody is peddling the idea that there will never be a return to full employment, which was commonplace in the 1980s.

Indeed, we were told unemployment would rise to 5m or more. It never did and probably never will.

The sense of despair felt in that recession is not around today, at least

I haven’t detected it, though things are very different in Greece and elsewhere.

Instead, there is something more akin to frustration and impatience, particularly with the eurozone crisis.

Our immediate economic prospects depend on the ability of the Germans and French to lead the euro out of crisis. It’s going to be a nervous few months ahead, but, hopefully, this time next year, we will all be feeling more optimistic.

IF THERE is one thing that the recently filed accounts of Bill Kenwright Productions tell you, it is that the West End theatre impresario won’t be eating corned beef hash tonight.

With a dividend pay-out of £3m to Mr Kenwright, there is no sign that he will have to swap Fortnum and Mason’s food hall for Lidl. Not that I have any reason for thinking that the owner of Everton FC shops at the Piccadilly emporium, it’s just a supposition based on the fact that the shop is a five-minute stroll from London’s theatreland.

Oh yes, we shouldn’t forget to add in the £404,000 he was paid in salary by his company.

Musical productions like Blood Brothers, Evita, Joseph and others have remained popular.

By the standards of most people, it’s big money.

But it’s not big enough.

Not big enough, that is, to compete in football’s Premier League. Clubs like Chelsea, the two Manchesters, Liverpool and Aston Villa have a lot more cash at their disposal.

I guess Evertonians knew that already. It’s been obvious for years.

The latest filings at Companies House serve to underscore the fact that the Goodison Park club will only make progress after a new owner is found – and there is no sign of that happening just yet.

The uncertain You may have thought 2011 was bad – but just how grim will 2012 be?

Bill Gleeson reports

NOW that we are getting over the Christmas and New Year hangovers, it’s time to face up to what 2012 has to offer.

It may be a big year for Olympic Games host city London, but, for the rest of the country, the outlook looks bleak, at least for the first six months.

A fresh recession in the eurozone, slow growth in the US, a slowdown in China and continued political instability in the Middle East all look set to make conditions extremely quiet in Britain.

Just how bad it could get in Europe depends in large measure on whether an adequately plausible political solution can be found to the Continent’s huge sovereign debt problems afflicting a handful of mostly southern European nations.

Badly managed, this crisis could spill over into the global banking system, effectively inducing a second credit crunch. Our European export markets would freeze up and UK economic output could shrink even more than it did in the 2009 recession.

On the other hand, a deal might be struck, causing things to pick up again in the second half of the year.

Peter Stoney is an economist with the Liverpool Research Group in Macroeconomics.

Normally, his growth forecasts are at the optimistic end of the range, but this year he says: “It’s not looking too brilliant now.

“The main issue is the overall sense of pessimism coming through.

“Output and employment are not as good as they were perceived to be 12 months ago.

“Back then, the BRIC countries were driving growth, but that’s changing because China, Brazil and India are putting the brakes on and the US is not looking as auspicious as it was.

“The euro is showing signs of cracking.

“There is a great deal of uncertainty in Europe and therefore the global economy.

“How this affects Britain is the $64,000 question.

“The Macro Group forecasts 1% growth for next year, but even that could prove optimistic if the eurozone cracks even more.

“I take the view the accord last month was a sticking plaster.

“The accord was for more austerity, rather than the ECB doing what the Bank of England is doing by encouraging monetary expansion. Britain is better placed than the eurozone.

“The Bank of England is much more effective than the ECB, so we are better insulated.

“We think the Bank of England has got the inflation forecast right. It will drop next year, but they are playing with fire. If inflation does not come down without increasing interest rates, they will look silly. They are on a tightrope and could end up jam side up.”

Professor Tom Cannon, head of strategic development at the University of Liverpool Management School, says the local picture might not be as bad as the national and European outlook implies.

Prof Cannon said: “Clearly it’s going to be a tough year, but on the other hand I

don’t feel bad about Liverpool and Merseyside.

“We have already bucked one trend.

“Traditionally, since World War II, we have been first in to recession and last to recover. But this time, we have had more momentum, so we won’t be as bad. The new retail momentum and a cohort of new entrepreneurs have made the difference.

“We have been looking to Asia faster than other parts of the UK. And that’s not just the university, but companies as well.

“For the first time since the war, we now have more positives going for us than negatives.

“The big concern regionally is MBNA, in Chester. Clearly, it’s an important part of our local economy.

“Now the Local Enterprise Partnership has got its act together, it looks like it’s a good group of people: Robert Hough, Steve O’Connor and others. It’s a very good LEP. “And don’t forget the Global Entepreneurship Congress. It’s a big opportunity to profile the city.”

Liverpool Chamber of Commerce chief executive Jack Stopforth says his mem-

‘Accord was no more than a sticking plaster’

bers will be approaching the coming year “warily”.

“It’s been a very bruising 12 months for most businesses.

“There is little around to give them a lot of encouragement. We must assume it’s going to be another difficult year.”

Mr Stopforth nevertheless pointed to the results of a recent survey of his members’ prospects for the coming year.

He said: “It’s the usual mixed bag.

“There is a resilience in terms of domestic orders.

“Export orders are down. Export sales were up.

“There are a couple of export exemplars, such as Jaguar Land Rover and the Evoque.

“The new car is doing well. Halewood is fully manned up.

“Yet all the commentators are telling us it’s hard, but I think we are not doing so badly in the North West.

“That’s masked by the national figures, but, yes, businesses are right to be cautious.

“I do feel nervous.

“Unemployment will continue to rise, not necessarily dramatically, but will continue to rise.”

Phil Orford, chief executive of the

9

Wednesday, January 4, 2012

the big feature

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year that lies ahead The newly-built Olympic arena, in east London – the event may boost the capital, but the benefits to the rest of the UK are questionable Picture: YUI MOK

David Ost, chief executive of the EEF – manufacturing sector is the key to growth

Forum of Private Business, said: “With 2012 expected to be another difficult year, one thing is certain – entrepreneurs will continue to show courage and creativity in the face of adversity. Of course, they will also need enterprise policies that free them to grow and create jobs.

“The continuing scarcity of affordable credit, rising late payments, mounting business costs and turmoil in the eurozone, in addition to the perennial problems of tax and red tape, are sapping both cashflow and confidence.

“Clearly, 2012 will again be challenging. If a ‘double dip’ recession is to be avoided, we must create the conditions necessary to fuel small business growth.

“Confidence is low but, despite the difficulties they face, there is some optimism among small business owners. More than a quarter of our members surveyed recently plan to grow in the next six months. Some are even reporting stronger orders and turnover compared to this time last year.

“The Forum is re-energising our campaign, Get Britain Trading for 2012, and we are again asking our members to tell

us their fears, hopes and expectations for the year ahead.

“The results will be published early in the New Year, when we hope events such as the Queen’s Diamond Jubilee, football’s Euro 2012 and, of course, the London Olympics and Paralympics will provide a few of the economic ‘bounces’ the UK needs.”

Carl Cross, investment director at Investec, believes that the progress of stock markets next year will depend on whether a resolution to the euro crisis is found.

Mr Cross said: “We have experienced a difficult year in equity markets in line with wider economic concerns.

Indeed, it has been a difficult ten years for equities.

“A lot depends on the economy and the resolution to the euro crisis.

“The UK would be impacted by developments on the Continent.

“Within the equity markets, there is likely to be a search for yield, given the progress of the UK gilt market last year and the ongoing low interest rates, which will continue for some time yet.”

‘We must create the conditions to fuel growth’

■ BILL GLEESON: Page 8

Could our manufacturers rescue Britain by taking advantage of weak pound?

BRITAIN’S manufacturers had hoped that 2011 would develop into a sustained recovery.

The sector was especially hopeful that a relatively weak pound would make exports more price competitive overseas. However, 12 months on, that hope appears to have been superseded by the eurozone crisis, which looks set to send British manufacturing’s principal market place into a downward spiral.

David Ost, chief executive of the EEF, the Engineering Employers Federation, said: “Last January pointed to the broad-based industrial recovery that began at the end of 2009 continuing. Since then, manufacturing has accounted for over a quarter of UK economic growth.

“For most of last year, this was borne out as manufactur-

ers outpaced the rest of the UK economy.

“A competitive exchange rate, and the opportunity to sell into fast-growing markets overseas have helped, but this is far from the whole story. We have now a much more competitive manufacturing sector, which increased its productivity rise by almost a half over the last decade and increased its output per head by almost five times the economy overall over the past year.”

Looking ahead to this year, the eurozone government debt and banking crisis has gathered pace, weakening many of our major export markets and leaving industry facing greater uncertainty.

Mr Ost added: “However, in spite of the risks ahead, we should not forget there are still areas of growth. A number of sectors, including automotive,

civil aerospace and mechanical equipment remain more optimistic and have seen significant investment and expansion plans announced.”

Emerging economies are continuing to post considerably stronger growth than the UK's European neighbours. Mr Ost said: “Increasingly, we hear from manufacturers that they are making major inroads into these markets, and this is backed up by trade statistics, which show that our exports to the BRIC economies have grown by a half since the beginning of 2009.

“The first half of this year, at the very least, is going to be immensely challenging, and policymakers and companies are likely to need to react quickly to changing circumstances. It is vital that government maintains a relentless focus on economic growth.”

10

Wednesday, January 4, 2012

LDP business .co.uk briefing Carillion wins contract for M6 project SERVICES firm Carillion has been awarded a £105m contract to turn a further section of the M6 in Birmingham – between Junctions 5 and 8 – into a managed motorway.

The project will use technology to control traffic flow, including variable mandatory speed limits and opening up the hard shoulder to traffic to reduce congestion and improve journey times and safety.

Balfour in line for waste deal INFRASTRUCTURE group Balfour Beatty has been named preferred bidder on an £800m joint venture project for a sustainable waste treatment facility in Essex.

Balfour will invest 30% of the equity, around £7m, in the project before it is handed over to waste manager Urbaser to operate from mid-2015.

The facility will treat up to 417,000 tonnes of municipal waste a year.

The announcement comes just three weeks after Balfour Beatty and Urbaser were awarded Gloucestershire’s 28-year residual waste project.

Gas buyout CENTRICA’S North American subsidiary, Direct Energy, has acquired the Indiana-based natural gas retailer, Vectren Source, for £25m.

The business has more than 146,000 residential and small commercial customer accounts, and will add substantially to Direct Energy’s existing Ohio residential base.

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JJB founder defies gloom as health club chain booms

by Bill Gleeson

LDP BUSINESS EDITOR bill.gleeson@liverpool.com

AGE has definitely not diminished Dave Whelan’s zest for enterprise.

Now in his mid 70s, Mr Whelan has pushed aside the prevailing sense of economic doom and gloom, and is ploughing ahead with an ambitious plan to build a chain of 100 health and fitness clubs.

The Wigan Athletic FC chairman is in the fortunate position of having £250m to invest, so he isn’t hindered by any lack of availability of bank finance or stock market funds. This week sees the opening of his latest venue at Hunts Cross, in Liverpool.

Last May, Mr Whelan’s company, Dave Whelan Sports, paid £2m to acquire the freehold of the former Buckingham Bingo building on a trading estate off Speke Hall Road. Since then, another £3m has been spent converting the premises into a wellappointed gym and health club.

Covering 33,000sq ft, there is a large open-plan area for running machines and cross-trainers, weights and other gym equipment, three studios for aerobics and Zumba classes, a spin room with 25 bikes and a 25m swimming pool with Jacuzzi.

Mr Whelan said: “You should have seen this place when we took it over. It still smelled of cigarettes, even though it had been shut as a bingo hall for 12 months.

“The last person out had just switched off the lights and left everything as it was. There were slot machines, bingo desks and chairs. It looked like it was still ready to use for bingo. It was sad.”

Nevertheless, he sensed immediately he wanted to buy the building.

“I had been looking for somewhere in Liverpool for 10 years,” he said.

“When I saw this building, I was immediately impressed. I bought it in 10 days. Its got everything we look for in a successful gym. I predict this will be our busiest gym in the UK.” The Hunts Cross club will trade under the DW Sports Fitness brand and opens its doors for business this morning. It will employ 40 staff.

“That opening date is very important,” he said. “The first three months of the year are the busiest time for recruiting members to health clubs.

It’s because of the desire to get weight off ahead of the summer holidays and the Christmas puddings are lying heavily on the stomach.”

Mr Whelan has been investing in the current chain of health clubs since he bought 55 of them from his former retail empire JJB Sports in 2009. His health club venture, therefore, has coincided with one of the worst and protracted downturns in recent economic history.

“In this climate, some might think investing like this is brave and others might say it’s stupid,” he said. “But the health market is staying vibrant.

“It’s happening all over the world.

People realise they have to keep the body in good condition. Whether it’s the USA, Mexico or Britain, people want to live longer. Our clubs have been very popular.”

When he gave LDP Business a guided tour of his new gym just before

Dave Whelan – doesn’t need to fall back on bank funding to expand his health club empire Pictures: PAUL HEAPS/ ph201211whelan-4

long-established rival David Lloyd Leisure, the new club will charge a full membership fee of £38, though off-peak discounts are also available. The club needs to attract 3,000 members to break even.

Once open, the new venue will be the 70th in the chain. It’s a chain that already stretches from Inverness in the North to Poole, on the south coast.

“The ambition is to open gyms wherever they can be a success. The immediate target is to get to 100,” said Mr Whelan.

The Liverpool facility occupies 33,000 sq ft of space, in Hunts Cross Code: ph201211whelan-3 Christmas, Mr Whelan had Wigan Athletic manager Roberto Martinez with him.

Mr Martinez said: “I’m really impressed. The big global disease at

the moment is stress, arising from the economic situation. We need places like this to feel good. It’s a most impressive health club.”

Situated just down the road from

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December PMI rise fails to lift manufacturing gloom THE manufacturing sector suffered its worst quarter for nearly three years, despite an “encouraging” performance in December, figures showed yesterday.

The Markit/CIPS purchasing managers’ index (PMI) survey, where a reading below 50 indicates a contraction, rose to 49.6 in December, from 47.7 the previous month.

The City had been expecting a fall to 47.3.

Manufacturers were boosted by stronger new export orders, which helped make up for the weakness of UK demand.

But the overall sector still declined in December, making its performance over the final three months of 2011 its worst since the second quarter of

2009. The index has now shown a decline for five out of the past six months, fuelling fears the sector will lead the UK economy back into recession.

James Knightley, an economist at ING Bank, said: “While today’s headline figure is encouraging, it still suggests that manufacturing will drag GDP growth lower and

that recession will remain difficult to avoid.”

However, there was some good news for cash-strapped consumers, as factory gate prices rose at the slowest rate for more than two years in December.

Companies reported that input costs fell for the second month in a row and the rate of decline was at its most notice-

able since June, 2009. This was driven by the falling cost of chemicals, paper, plastics and steel.

The survey showed that production levels showed signs of stabilisation in December after recent declines. New export orders rose for the first time in five months, and at their fastest since April.

BP says Halliburton should pay disaster clean-up costs

by Peter Cripps

LDP CORRESPONDENT business@liverpool.com

OIL giant BP has fired the latest shots in a legal battle over the Deepwater Horizon catastrophe, claiming contractor Halliburton should pay all of its billions of pounds of costs.

In a filing at the Federal Court in New Orleans, BP said the cement contractor should reimburse it for the cost of cleaning up the oil spill, the lost profits from the well and “all other costs and damages”, Bloomberg News reported.

BP has so far paid £13.5bn for the clean-up operation and compensating individuals, businesses and governments.

It has also reserved more than £25.8bn to cover costs related to the sinking of the Deepwater Horizon drilling rig.

BP and Halliburton accuse each other of making critical mistakes that caused the blow-out of the well off the Louisiana coast in 2010.

The disaster killed 11 workers and caused millions of gallons of oil to be leaked into the Gulf of Mexico, killing wildlife, polluting waters and shattering fisheries and tourism along the coasts of Texas, Alabama, Louisiana, Mississippi and Florida.

BP owned the lease for the Macondo well and Halliburton provided wellcompletion services for the project.

They are believed to jointly face more than 500 lawsuits by coastal property owners, businesses and governments claiming billions of dollars in damages.

A judge at a Federal Court in New Orleans is expected to begin a trial next month to determine liability for the spill.

Halliburton, based in Houston, Texas, has said its cementing services contract requires BP to indemnify it from all damage claims, even if its employees were found to have shared

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Banks forcedto pay out £160m BANKS paid more than £160m in compensation to customers last year, after a crackdown by the financial regulator.

Barclays was the worst offender, in a year in which compensation was nearly treble the £62m in 2010, according to research by law firm Freshfields.

The bank was ordered to shell out £59m to retail customers and was fined £7.7m for failings in the way it sold funds labelled “cautious” and “balanced”.

The crackdown by the Financial Services Authority (FSA) also saw HSBC landed with the largest ever retail fine of £10.5m for misselling investment bonds to elderly customers.

Large financial groups paid £55.7m in fines during the year, down from £79m in FSA fines the previous year. Banks were ordered to pay at least £1m in compensation in at least five cases.

Acting FSA enforcement director, Tracey McDermott, said: “We have had some significant retail fines against big firms that should know better.

“The big players have the potential to damage larger swathes of the community than the small firms.”

When penalties against individual salesmen were included, the FSA handed out just over £66m in fines last year, the second-highest total in its history.

Response crews spray water on the blazing remnants of BP’s Deepwater Horizon offshore oil rig blame for the disaster, according to Bloomberg.

But BP has rejected that argument and has accused Halliburton of gross negligence.

The defendants in the lawsuits over the spill also include Switzer-

land-based Transocean – the owner of the Deepwater Horizon, Cameron International – the maker of the blow-out prevention equipment, Anadarko Petroleum, which owned 25% of the Macondo prospect, and Mitsui & Co’s Moex Offshore unit, which

owned a 10% stake in the well.

Cameron, Anadarko and Mitsui have already reached settlements with BP. Before the disaster, BP was the biggest company in the FTSE 100 Index, and its leading payer of dividends.

Co-op in move to help families

Greek woes

THE Co-operative Bank is scrapping interest charges on agreed overdrafts for the next three months, in a move it said would help customers struggling after Christmas and shake up competition.

GREECE will have to leave the euro zone if it fails to clinch a deal on a second, 130bn euro bail-out with its international lenders. “The bail-out agreement needs to be signed, otherwise we will be out of the markets, out of the euro,” government spokesman Pantelis Kapsis said.

A current account customer with an agreed overdraft of £2,000 could save £75 in fees over the “interest free” period.

The bank said customers will automat-

ically have the interest charges put on hold on the overdrafts which qualify, and they will not be asked at any point to pay the interest which would have accrued.

Robin Taylor, head of banking at the Co-operative Bank, said: “This move again highlights how we are looking to bring some muchneeded competition to the high street.”

LDP

MOBILE

FOR News, Sport and Business on your phone

Text LDP to 67800

12

Wednesday, January 4, 2012

LDP business .co.uk

LIVERPOOL’S INVESTMENT SPECIALISTS

IN ASSOCIATION WITH

location

Government must clear up confusion around planning framework

view point

by Liz Peace, chief executive of the British Property Federation WE AT the BPF are urging ministers to resolve confusion surrounding the Government’s fiercely debated National Planning Policy Framework (NPPF) after an influential commit-

Property ‘set for big fall’ A PANEL of economists and analysts believe UK commercial property values could fall by 4.9% this year.

The panel, assembled by financial news provider Bloomberg, said the experts were concerned about the eurozone debt crisis and about the possibility that Britain may slip back into recession.

Prices tracked by Investment Property Databank fell in November for the first time since July, 2009.

“Businesses are not feeling confident,” said Ed Stansfield, chief property economist at London-based Capital Economics. “They’re not investing.”

tee of cross-party MPs called for “significant changes”.

The draft NPPF consolidates thousands of pages of planning policy into one 52-page document designed to expedite the planning process.

We at the BPF believe planning policy should be streamlined, succinct and to the point, if it is to deliver the growth and sustainable development that this country needs.

Before Christmas, the CLG Committee suggested Government reinstate the “brownfield first” policy, amend the contentious presumption in favour of sustainable development so it only applies if a proposal is consistent with a local authority’s

local plan, and should even offer a “more inclusive definition” of sustainable development.

We support many of the report’s findings, particularly the reintroduction of brownfield and town centre first policies.

The property industry is also not at odds with the committee’s proposed definition of sustainable development and the “presumption in favour of sustainable development consistent with a local plan”, as long as there is a suitably robust mechanism to ensure that, in the absence of a local plan, development

can continue. It is also imperative that there is a suitable incentive for local authorities to produce a plan – seven years on from legislation requiring local authorities to do so, most authorities do not have finalised plans in place.

This report and much of the rhetoric surrounding the NPPF exposes the vast disparity of views when interpreting the framework.

Ministers must stand up and be counted and explain exactly what certain sections of the NPPF will mean in practice.

Many of the findings we have long

‘We back many of the report’s findings’

supported, such as the reintroduction of a brownfield first policy.

We could support the committee’s definition of sustainable development and re-worded “presumption in favour”, as long as local authorities were compelled to produce a local plan. Only 47% of local authorities have got around to producing one and the committee’s suggestion risks a complete development hiatus in the remaining 53% of areas.

Much of the debate around the different definitions of sustainable development and the obsession with the length of the NPPF itself misses the point that the new system will only succeed if all local authorities have a robust local plan.

Heath gets go-ahead for 11,000 sq ft development

Carol Thomas, of SOG – we’re delighted to be pushing ahead

BUSINESS to BUSINESS Commercial Premises

FOR SALE / MAY LET

Freestanding Chester City Centre Office Building 14,000 sq ft with car parking Potential for Re-Development The Heath Business & Technical Park is built on the site of the former ICI headquarters, in Runcorn Picture: ANDREW TEEBAY

by Tony McDonough

LDP DEPUTY BUSINESS EDITOR tony.mcdonough@liverpool.com

Further information please contact Neil Dryburgh or Euan Ross at

COUNCIL planners have given the green light for a new laboratory to be built as part of ongoing expansion at The Heath Business & Technical Park in Runcorn.

The proposed single-storey building, which has been designed by Runcorn-based creative and construction specialist RJ Lewis Projects, will provide 11,000 sq ft of laboratory and office space.

It will be known as Quantum House and will be built on the east side of the

business park adjoining Runcorn Heath Golf Club.

It is hoped the building should be operational by early next year, and will provide facilities for more highskill jobs at the site.

Quantum House is the second of a series of proposed new buildings to be developed at The Heath by the business park’s owner and operator, SOG. It forms part of a multi-millionpound expansion and refurbishment programme instigated by SOG and aimed at generating hundreds of new jobs.

The expansion programme got under way in 2009 with the opening of

Progressive House, a two-storey office block providing 7,500 square feet of floor space.

The building became home to Progressive Solutions, an information technology specialist which had outgrown its previous base on The Heath.

Carol Thomas, SOG’s finance director, said: “We are delighted to be pushing ahead with a further exciting new research and development facility which will provide a base for more highly skilled jobs.

“It is another example of The Heath’s ethos of nurturing talent and a boost to the further development of hi-tech business in Halton.”

13

Wednesday, January 4, 2012

LDP business .co.uk

NewfashionoutletssignupforCheshireOakscomplex TWO retailers have joined the mix of luxury, designer and high street brands available at McArthurGlen’s Cheshire Oaks.

This brings the total number of stores at the centre, near Ellesmere Port, to 145.

Both international designer fashion label Hugo Boss and British womenswear brand Jigsaw opened their doors to Christmas shoppers, with both brands offering shoppers savings of up to 60%, all year round.

Colin Wilding, McArthurGlen UK country manager and Cheshire Oaks centre manager, said: “2011 has been a fantastic year for new store openings at McArthurGlen’s Cheshire Oaks, with over 14 new brands including Armani, Mamas and Papas, Gant, Reiss and Wolford joining the centre.”

Hugo Boss, which sells a wide range of men’s formalwear and casual clothing, has joined a cluster of luxury stores at Cheshire Oaks.

The new Jigsaw Outlet, which is the first in the North West for the brand, provides a further boost to Cheshire Oaks’s female fashion offering.

Eco firm is latest tenant at Frodsham A FIRM that turns waste wood into affordable energy has taken space at Frodsham Business Centre.

2CWTE – which stands for Chadwick and Clarke Waste to Energy – builds power plants that run on biomass such as waste wood that would otherwise go into landfill sites.

Director Robin Chadwick said: “With rising fuel costs, more businesses are looking at cheaper alternatives to source their energy.”

Frodsham Business Centre has become a hub for a diverse range of businesses including specialist IT, finance, legal and mechanical firms over the past 16 years.

It has also become home to two charities and an executive chauffeur firm.

Cheshire Oaks, near Ellesmere Port – saw 14 new brands set up shop in 2011

CPO secured in key resort plan

location

LIVERPOOL’S INVESTMENT SPECIALISTS

IN ASSOCIATION WITH

Cheshire West & Chester Council

Freehold Development/Refurbishment Opportunity (Subject to Planning)

Former Parochial Hall, King Street, Ellesmere Port, Cheshire, CH65 4AZ

by Tony McDonough

LDP DEPUTY BUSINESS EDITOR

tony.mcdonough@liverpool.com

LIVERPOOL commercial agency and consultancy Keppie Massie has secured a compulsory purchase order (CPO) that will allow a £220m regeneration scheme for Blackpool to move forward.

The scheme will transform Talbot Gateway, a run-down and neglected part of the town, into Blackpool’s central business district with hotels, offices and retail outlets anchored by a 60,000 sq ft Sainsbury’s store, cafes and restaurants, and a new transport interchange.

Handled by the regeneration and strategic development arm of Keppie Massie, the confirmation of the CPO means that, within the next few months, Blackpool Council and its partner, Muse Developments, will have all the land ownership they require to start on site.

Keppie Massie has advised both parties on the strategy to ensure the development commences in accordance with the proposed timescale.

Outline planning consent for the entire scheme was granted early in 2010.

And, according to Stephen Lashmar, associate partner with Keppie Massie’s regeneration division, the CPO confirmation was achieved within the timeframe they had anticipated, enabling the first phase of the scheme to proceed on programme early this year.

“We were able to successfully acquire approximately 75% of the properties required in advance of the CPO decision and believe this reflects the fact that Blackpool’s business community recognises the urgent need for such a scheme,” he said.

FOR SALE

BY INFORMAL TENDER The scheme is a boost for Blackpool Phil Mayall, development director at Muse Developments, added: “Working in partnership with Keppie Massie, Blackpool Council and all stakeholders, a successful resolution to the CPO process was achieved and we now look forward to delivering the regeneration of this important gateway.”

Deadline for unconditional offers Noon on Friday, 3 February 2012

Ref: JGW

For details please call 0151 356 6454 or contact: Cheshire West and Chester Council, Facilities and Asset Management Department, Whitby Hall Lodge, Whitby Park, Stanney Lane, Ellesmere Port, CH65 6QY

14

Wednesday, January 4, 2012

LDP business .co.uk Aerospace & Defence

32778 26112 Forgn & C

Index 3417.34 ▲ 65.02 201

325

Avon Rbbr

305

-10

294

+512

32334 23834 HendSmllrCos 258

+338

385

321

Law Debenture 345

252

202

Scot Am

533

40112 Witan

+1112

210 xd +112

36118 24818 BAE Systems

29478

+934

73612 36834 Chemring

41038

+1012

23612 16578 Cobham

18514

+134

Fixed Line Telecoms

358

+514

Index 2276.31 ▲ 83.99

Meggitt

39758

305

757

55712 Rolls-Royce

19058 13258 Senior

757 xd +1012 17238

+138

Automobiles & Parts Index 4477.40 ▲ 198.74 157

245

GKN

19112

20418 161

7678

1414

84

5712 KCOM

Cble&WWwide

xd

+214

7014 xd

+14

18614

+1014

43914 Bco Santander 50078

+818

26234 Morrison W

39112 26312 Sainsbury

31014xd +738

43658

41114

+734

1812

-112

35614

Tesco

10034 1812 Thorntons

50478xd +1378

3312 578

718

+18

Food Producers

6958 2178 Lloyds Banking 27

+118

Index 5714.37 ▲ 69.19

49

1738 Ryl Scotland

1769 116912 Stan Chart

21

+45

Beverages Index 10597.43 ▲ 217.46

1150 940

AB Foods

1115xd

875

626

Carrs Mill

81712xd +2712

882

58812 Cranswick

41038 31834 Dairy Crest

750 xd

+8

340

+4

1395 1031 Barr (AG)

1250

3518 314

Premier Foods 6

47718 28978 Britvic

32814xd +658

72012 520

Tate Lyle

1428 1112 Diageo

1428

2189 1793 Unilever

235412 1979 SABMiller

233012

+37

+2112 +64

Chemicals Index 6805.44 ▲ 217.09

664

2081 1456 Croda

1837

+33

18738 10712 Elementis

13714

+18

2119 1523 Johnsn Mat

1922xd

+86

Construction & Materials Index 3569.82 ▲ 91.21 35714 21458 Balfour Beatty 28012 180

Costain

1305 1012 CRH

340

37178

43658 27938 Intl Power

Drax Gp

34414

+7

1423 1159 SSE

1303

+12

General Financial

3578 3015 Reckitt Benck

3279

+99

13758 10312 Redrow

11634

1922 1183 Schroders

6

18

38

400

29934 Rexam

1429 86912 Smiths Gp

94812

281

952

944

53812 Charter

42212 280

43414 Domino Ptg

535

+23

12778 Laird

155

+34

27712xd +1412

1010

60012

Oxford Inst

990

+40

375

241

Volex

25812

-114

Equity Inv Instruments Index 5475.31 ▲ 104.34

2514 16 31114

227

2334 938

Brown (N) Gp

23758xd

+434

1018

+38

440

26912 Halfords

30912xd +2012

235

7212 Home Retail

9414 xd +1034 30312

High

96 618

EdinUSTrkrTst

64712

+412

558

538

+612

Low

Price

AEA Technology

28712

23112 Albany Inv Tst

1251

74012 AMEC

92 35714 3712

2712

Anglesey Mining

21458 Balfour Beatty 2414 Beale

616

51212 Compass Gp

132212

1063 Dee Valley

474

301 easyJet

94

Var 5Day

High

+2

1030

+1

BBA Aviation

1257 13758

1300 xd 39858

+534 +1234

easyJet

12134 2634 Enterprise Inns 2914 40614 30134 FirstGroup

Antofagasta

1305

+90

35214 218

Big Yellow Gp

255 xd +934

62912 444

Brit Land

46778

+538

2954 2282 Daejan Hldgs

2790

+15

445

31278 Gt Portland

331 xd

+88

885

612

Land Secs

642 xd +612

1940 941

Lonmin

1029

+49

33114 195

SEGRO

21112

7555 4425 Randgold Res 6910

+325

Software & Comp Servs

3325

+200

Index 744.26 ▲ 19.77

3034

+214

271212 Rio Tinto

5514 2812 UK Coal

-1

+67

Mobile Telecoms Index 4174.97 ▲ 44.92

Vodafone Gp

+1514

+8

+3

+114

344

Bid

Terms

Price

5338 22112

108

Kewill

7534 xd

-114

Logica

6812

+634

29978

+534

302

23134 Sage

285

132

15514 114

FIDELITY INVESTMENT SERVS

Amer Spec Sits

+1012

American

-

1768.00

0.32

Japan

-

213.40

0.54

Jpan Spec Sits

-

130.40

0.10

203.40

4.28

Spec Sits

-

1710.00

0.01

Sth East Asia

-

632.50

0.01

GARTMORE FUND MANAGERS

Euro Sel Opps

-

786.49

1.22

Pratical Inv

-

162.70

-

+8

Index-Linked Acc

-577.37

607.76

-

1180

+23

International Acc

-917.65

965.94

-

Intl Cons Airlns 15114

+334

Pacific Acc

-231.47

243.66

-

Ladbrokes

+434

Property Bonds

-2050.44 2135.87

-

13434

21558 Mitchells&Btlrs 23818

9212 xd

+34

1754 787

+28

204378

+2414 +258

Oil & Gas Producers

+234

Index 8787.54 ▲ 146.98

+312

777

509

Prudential

645

+612

31618

22912

Resolution

25938

Standard Life

880

14312 9958 RSA Insurance 10734

+1118

24434 172

Admiral Grp

204378 164218 Marsh McL

20512

+8 -34

Media

156412 1144 BG

142812

509

471

36314 BP

+52 +1012

46934 25734 Cairn Energy

26814

+3

535

36538

+238

2477 189012 Ryl D Shell B

2477

+23

1493 94512 Tullow Oil

1416

+14

310

Premier Oil

Oil Equipment & Services Index 22761.95 ▲ 533.67

Index 4069.50 ▲ 61.43 1251 74012 AMEC 61812 BSkyB

742

+912

933 xd +2512

Personal Goods

41234xd +1278

Index 19852.67 ▲ 889.32

9312 5158 ITV

7038

+214

1234 983

1234

+24

1600 1030 Burberry Gp

52312

+412

404

Pearson

59012 46114 Reed Elsevier

570 JD Sports Fashion JJB Sports

up 17.55

108 NWF 31 Park Gp 977 Rathbone 10312 Redrow

14312

9958

34

1812 Speedy Hire

RSA Insurance

30834 PZ Cussons

Var 5Day

High

62312 xd

-12

+8

4634

512

+18

+3 8

Price

- 18

AEA Tech

18

+14

Balanced

127

+14

British

25478 Restaurant Gp 293

-478

Stagecoach

26912

-214

20434 1014 Thomas Cook 1512

+34

27178 13634 TUI Travel

16912

+334

1887 1409 Whitbread

1598xd

+34

Centrica

29718

Dee Valley

1300xd

64912 530

National Grid

63112xd +612

2063

+46

AIM

23014

+414

Index 703.27 ▲ 10.09

568

40234 Berendsen

45078

+1534

884

67612 Bunzl

883 xd

4958 1512 API Gp

41

78612 61112 Capita

64912

+21

934

178

Armour Gp

4

936

896 xd +412

158

118

Crimson Tide

118

214

118

667

De La Rue

20938xd +2114

880

665

880 xd +412

291

21978 G4S

27012

-114

452

305

355 xd

-10

Experian

Hyder Cons

34114 23134 Interserve

320

550

Menzies J

52512

-412

34634 19134 Northgate

19658

+414

30834 14412 Prem Farnell

19112

+1112

10478 5814 Rentokil

6534

+3

11112 7712 Smiths News

81

-1

34

425

1812 Speedy Hire Travis & P

1127 715

35938

+938

2261 1404 Wolseley

Price

4358

4914

5514 -34

-112

1106

+46

+85

11634

+338

+314

10734

+258

+338

2014

+ 14

+1

2

2189

637

2812 UK Coal

78

Ultima

1793 Unilever

54312 Utd Utils

3034

Var 5Day

+18

+134

+358

+2

+214

+214

1

2189

61112 xd

-34

Dawson Intl

138

1114 658

Eckoh

1018

54

514

JJB Sports

36

2512 Johnson Serv

12

738

Metalrax

-14

814

+18

17112 55

75

Redhall Gp

+18

3134

415

+26

+512

+61

+14

250.60 5.67

127.10

+14

Scapa Gp

52

+3812

137

99

Swallowfield

11812

+14

712

565

Young A

66212

UK Equity Inc A

772.00

- 54.16 -

Capital

-286.60

3.73

298.10 1.20

European

-

663.60

0.70

Inc & Gwth

-

181.80

3.40

International

-

384.40

0.40

North Amer Acc

-

470.00

0.10

-

184.32

0.62

In order to give a greater range of Unit Trust information, covering a larger number of trusts, the list of funds changes each day as follows: UNIT TRUST MANAGERS DAYS PUBLISHED A to Com ................................................... Tuesday F to Inv....................................................Wednesday JP to Pru...................................................Thursday Roy to T .........................................................Friday

FUNDS High

Low Funds

Price

Var

+112

£761132 Cons 4% ...............£10078

+658

£50 Cons 212% ..............£6512

£6712 Conversions

+234

£9578

£69 Cnv 312%................... £92

Treasury

£50916 Tr 212% ....................£6634

Currency

Tourist

Buy

Sell

£7012

Australia

dollars

1.43

1.506

1.511

£113532

Canada

dollars

1.50

1.579

1.581

£10478 £1002532 Tr 5% 12............. £1002532

Denmark

krone

8.47

8.908

8.918

European Union

euro

1.14

1.198

1.199

yen

0.12

56.58 3.83

400.30

Country

Japan

4.37

HENDERSON HORIZON FUND

£10178

2014

2146

-

2.70

Consols

834

3234

-250.60

Sing ASEAN

2658

52212 41212 Portmeirion P

6214

Gilt & Fixed Monthly Inc

246.20 2.79

70.49

INVESCO FUND MANAGERS

512

5712 3134 Man Brnze

-

1.21

HILL SAMUEL UNIT TST MGRS

£ ABROAD

▲ 1.51%

3378 Telme Gp

-1

29478 18214 Electrocmps

+58

3412 Sportech

54312 Utd Utils

97.57

-246.20

Gilt & FI

Sterling Bd Unit Tst +734

132212 1063

2063 1389 Aggreko

1243xd

Low

12

-

European Smllr Cos A -

23014 9938 Ashtead Gp

-34

117 47

4914

618

HSBC INVESTMENT FUNDS (UK)

+414

Punch Taverns 1014

15334 10912 Rank Gp

27834

-

49514xd

361

34534

591.40

Intercontl Htls

8458 Marston’s

27238 200

-

Greene King

112

335

Yield

GUARDIAN

Utilities

6312 4014 Emblaze

14714 59

410

Offer

Price Gross

+6

Index 4714.23 ▲ 78.06

36414 18078 Invensys 64

518

7912 918

+118

+2618

31178

530

+2

1586

2497

1015

10614

410 Nichols

+5 +2312

1934

41818

47778 27514 Aviva

579

+2

1834 Vernalis

Glencore Intl

12334 8934 Lgl & Gen

2658

27

50

Kazakhmys

Index 3914.74 ▲ 82.35

2512 Johnson Serv

616

148412 112712 GlaxoSmthKln 148412xd +13

53118 348

+1814

18034

36

5512

+75

1671 730

Index 2214.82 ▲ 31.80

54

+19

301

+534

61112xd +512

-

28012 +1534

+5

39858

637

+112

14912

616

+53

-

+1 4

51212 Compass Gp

2085

+1

-34

3050

-18

Industrial Transportation

248

2934

616

2218 1375 Weir Gp

12

933 xd +2512 +3012

+50

+24

Low

514

2176

1520xd

DAILY POST REGIONAL INDEX 1178.76

6434 Adv Medical 18

43334 WH Smith

3153 1742 Carnival

1600 1368 Severn

59412 34338 D Mail Tst

66034 546

Index 4307.82 ▲ 65.64

474

Cancel Fund

MoneyBuilder Dividnd -

Travel & Leisure

Index 4366.91 ▲ 88.48

850

+4

+9

Index 1354.30 ▲ 27.40

-3

+155

2444

+55

+6

2954

2444 1784 Imperial Tob

1928

16314 2741xd

+2312

2063 1649 Spirax Srco

317 xd

2810 1868 Next

3079

+14

Candover Inv

2986 1936 Signet Jwlrs

3079 228212 Br Am Tob

728

67912 421

+458

Index 35530.72 ▲ 230.39

73712 58412 Pennon Gp

-34

+812

Tobacco

Support Services

+1018

482

+312

Nonlife Insurance

250

19412 DunedinIncGth 21312

+58

12138

-14

Kingfisher

228

4412

10534 Spirent Cms

+5

28718 217

49214 41478 Edin Invst

10234 4378 Psion 160

26

119 xd

12714 Mothercare

+18

27712

Br Assets

598

+12

1434

4212 2334 Renold

14012 109

40214 30134 M & S

90012

18034xd +178

-12

+17

3437 213812 Anglo Amer

41978

MS Intl

3194 254312 AstraZeneca

Index 1958.11

18234 155

62312xd

+114

604

BATM

1435 955

Real Estate

71912 38914 Inmarsat

JD Sports

475

+612

90

Molins

1030 570

12258

+5

682

116

35018xd +714

15734 11912 Dunedin Sml

9712

WPP

+43

68

Fenner

39234 31014 Alliance

+4

9212 UTV

803

-12

5978 xd +114

42538 26858 Inchcape

150

Life Insurance

1912

Dixons Retail

+2058

1119 63612 IMI

24034 156

Ashley L

7434 5114 Debenhams

498

Utd Business

+378

Index 1531.36 ▲ 23.94

705

416

40412

+3312

General Retailers

207

Morgn Cru

+1234

20618xd +818

Index 2750.50 ▲ 111.47

35718 224

36512

26614 16438 Smith DS

725

4712 39734 22558 Bodycote

31212 169 +27

Index 10207.29 ▲ 126.27

+338

4314 2834 Taylor Wimpey 3738

Index 7314.71 ▲ 208.21

536

+34

1594xd

+518

72412 39534 Cooksn Gp

4834

2150 1296 Fresnillo

352

Index 2776.38 ▲ 100.08

Pharma & Biotechnology

3712 Trinity Mirror

1993 +11512

Industrial Engineering

+40

To assist in the analysis of the market two figures are given for each sector. Firstly an index (set at 100 on January 1 1992) to give a comparison in the performance of various market sectors.

Secondly an indication of the percentage change in the price of all the securities within a sector since the previous close.

263112 1667 BHP Billiton

+15

1354

Cosalt

-712

63412

General Industrials

Electronic & Electrical

-38

Index 4562.00 ▲ 111.65 18734xd +634

45958 ARM Hldgs

2712 13

Those securities which have increased in value since the previous close are shown in bold type.

Index 20700.94 ▲ 1122.46

+3

Rathbone

F

-138

STV Group

Mining

115

Close Bros

T

s............ dealing suspended xd.............price ex-dividend xs ........ price ex-scrip issue xr ........ price ex-rights issue xc ..... ex-capital distribution xa................................ ex-all £......price value in £ sterling

8218

84612 578

18334 11034 McBride

+46

+512

+12

705 xd

1106

55012

626

9212

1257 977

Index 8274.76 ▲ 77.12 58112

Smith Nph

6712 Barratt Dev

+25

Electricity

521

77612 54012 Bellway

1076 75612 London Stk Ex 81212xd +1712

+34

742

119

1305

9114

93

Index 5165.94 ▲ 264.97

+112

+45

Index 3535.97 ▲ 8.59

Index 6388.23 ▲ 143.45

94212

1405

Health Care Equip & Serv

81

+26

+2458

651

1598 1190 Go-Ahead Gp 1381 168

71

88812 590

W

Jan 3, 2012

2189

1124 86912 Provident

40

BP Jul 3, 2011

6212 Aga Rngmstr

16678 3i

T

FTSE-Rebased

Household Goods

+538

7634 38

12412 8314 Marshalls

+18

47958

M

420

138

41312 Mondi

Dec 19 - Dec 23

Share price (pence)

72012xd +16

19014

1458 1097 Kier Group Low Bonar

+1534

Dec 12 - Dec 16

Forestry & Paper

57012 31158 ICAP 265

Dec 5 - Dec 9

455

+8

2923.63 ▲ 2.30%

UNIT TRUSTS

Index 757.23 ▲ 16.26

KEY 20-Day Moving Average

5330

350

5486.05 ▲ 0.12%

FT ALL-SHARE up 65.75

5425

385

+78

1454

FTSE-100

SPOTLIGHT

+134

5699.91 ▲ 2.29%

20 DAY MOVING AVERAGE up 6.56

490

328

73078 46312 HSBC Ireland

+14

Index 4783.74 ▲ 82.69 328

FT-SE 100 INDEX up 127.63

5710 5615

Tech Hardware & Equip

Closing Indices

5520

19918xd +814

1812

Keep track of all the major share moves of the day with our live FTSE ticker at www.ldpbusiness.co.uk

FTSE 100 INDEX

Food & Drug Retailers

+812

Index 3449.73 ▲ 114.90

785

BT Gp

+978

5114 3114 Cble&WComm 3812 xd

Banks

33312 13878 Barclays

45978

LondonStockMarketatClose

113.84

119.980

119.990

£104132 Tr 9% 12.............. £104132

£118132 £113316 Tr 8% 13.............. £113316

-116

£11278

£109532 Tr 5% 14.............. £112732

-332 -58

16 .........£34078

-12

£1411932 £1322132 Tr 834% 17 ........... £141332

-1132

£1531332 £1332732 Tr 8% 21................£15212

-58

New Zealand

dollars

1.84

1.979

1.984

£1062932 £991316 Tr 734% 12-15...... £100532

Norway

krone

8.84

9.243

9.244

£34234

Poland

zlotys

4.68

5.343

5.351

Sweden

krona

10.21

10.668

10.678

Switzerland

francs

1.39

1.459

1.460

Turkey

new lira

2.75

2.925

2.934

United States

dollars

1.49

1.565

1.566

£312532

Tr

212%

IL

War

£991532

£601532 War Ln 312%.......... £96916

+6916

Last night, the pound was worth: $1.57 (up 0.02)................ 1.20 euros (unchanged) ................120.04 yen (up 0.62) ................Its trade weighted index was 81.30 (up 0.40) Metals in $ per troy ounce: Gold 1598.00 (up 30.40) .......................Silver 28.78 (up 0.92) .......................Platinum 1406.00 (up 3.00) ...................... UK base lending rate 0.5%

15

Wednesday, January 4, 2012

LDP business .co.uk London market INVESTORS started 2012 with a burst of optimism yesterday, as upbeat manufacturing data from all corners of the world triggered a rally on London’s top shares index.

The FTSE 100 Index closed at its highest level in two months as it surged more than 2%, or 127.8 points, to 5699.9 after strong manufacturing data from the US, China, India and Australia, as well as better-than-expected UK factory figures, pleased traders.

The positive start to the year follows a turbulent 2011, when the FTSE 100 Index slumped below the 4800 barrier in August and early October, before closing 5.5% down on its starting point in January.

Manufacturing output declined in the UK in December, but by less than expected by City analysts, as stronger new export orders helped make up for the weakness of domestic demand.

However, the overall sector still saw its worst performance over the final three months of 2011 since the second quarter of 2009. In the US, the Institute for Supply Management, a trade group of purchasing managers, said manufacturing grew in December at the fastest pace in six months, fuelling hopes of a fightback in the world’s largest economy.

The pound was up against the US dollar at 1.56. Sterling was down against the euro at 1.19.

The biggest Footsie risers were Kazakhmys, up 88p at 1015p, Antofagasta, ahead 90p at 1305p, Essar Energy, up 11.6p at 183p and Glencore, ahead 26.2p, at 418.2p.

The biggest Footsie fallers were Shire, down 18p at 2225p, G4S, off 1.3p at 270.5p, Standard Life, down 0.8p at 205.5p and Kingfisher, off 0.7p, at 250p.

IN ASSOCIATION WITH

LIVERPOOL’S INVESTMENT SPECIALISTS

market comment

Aeurozone downgrade couldoffer aboostto Germany

A MASS ratings downgrade of eurozone countries, expected early this year, is likely to increase selling pressure on French and Italian government debt, but could paradoxically consolidate Germany’s safe-haven status.

Standard & Poor’s has warned it could soon downgrade the triple-A ratings of Germany, Austria, the Netherlands, Finland, Belgium and Luxembourg by one notch, and the ratings of “If (investors) are only mandated to other eurozone countries, including invest in euros, then they’ve got top-rated France, but excluding Greece nowhere to go. If they’re allowed to and Cyprus, by two notches. invest in euros and US dollars, well, If they materialise, and analysts say the amount of triple-A paper would they are largely priced in, the downstill be zero,” said Lyn grades would reinforce fears Graham-Taylor, rate strategist the currency union could colat Rabobank. lapse under the weight of “The UK is quite a small member states’ debt. market and Kiwi, Aussie (the This could inflict severe New Zealand and Australian damage on even the bloc’s findollars) are also quite small, ancial powerhouse and perso you wouldn’t expect a huge ceived least risky country – reallocation simply because Email us with Germany. there isn’t a large triple-A your views at Its sovereign rating would market left out there.” letters@ fall below those of Australia, dailypost.co.uk, In fact, Mr Graham-Taylor Canada or Sweden. But those or write to us added, German debt could PO Box 48, Old countries’ debt markets are outperform, as it would benHall Street, much smaller than Germany’s efit from outflows from elseLiverpool and will remain overlooked by where in the eurozone if L69 3EB investors seeking the safest France or other states bonds available. suffered deeper rating cuts.

A more liquid market is considered The downgrades would almost cersafer as investors can close an undertainly lead to a rating cut for the europerforming trading position more easzone’s EFSF bail-out fund, which ily and limit their losses. would hamper hopes it could become a At around 2 trillion euros, Gercredible institution, along with the many’s gross debt is about 14 times European Central Bank, to help Italy that of Sweden in nominal terms. and Spain.

A German rating cut would rattle The duo, as well as France, which is another pillar of the investment world heavily exposed to them, could then be after US debt was downgraded. seen as more vulnerable.

What do you think?

Germany’s Parliament building, The Reichstag, Berlin – the country may not suffer too much, even in the event of a eurozone downgrade “We possibly could see a bigger impact on peripheral spreads, given that the market may question the viability of the EFSF mechanism,” said Michael Leister, rate strategist at DZ Bank.

Investors are already bracing themselves for a world of lower-rated governments.

French 10-year bonds yield 140 basis points more than German Bunds, compared with 40 bps six months ago, and part of the widening was fuelled by expectations France will lose its

triple-A status. Despite the downgrades being widely anticipated, analysts say the spread widening trend in France and elsewhere has further to go in the absence of a solution to the debt crisis.

“Already, quite a few investors in our client base have reduced exposure to a country like France. We already have a cautious stance on France . . . It would not have an impact on our positioning,” said Kommer von Trigt, a bond fund manager with Robeco Group, which manages about 140bn euros.

For all the latest local and national business news online, log on to www.ldpbusiness.co.uk

business diary Friday, January 6 A SEVEN-MODULE online ECDL beginners course in computer skills starts at Liverpool Chamber of Commerce, explaining key concepts in IT, organising files and folders, word processing, spreadsheet and data-

base applications, producing and delivering a professional presentation and using the internet and email.

The course fee is £150, but Chamber members receive a 10% discount.

Call the Chamber for further details on 0151 227 1234.

Thursday, January 12 SEFTON Chamber of Commerce is staging its latest monthly networking event, supported by Kinetics Personal Training, from 12 noon to 2pm. The venue is still to be confirmed – contact 01704 531710 for more.

Friday, January 13 A “60 REALLY Useful Minutes” session on improving the value of

your business is being staged at Liverpool Chamber of Commerce, hosted by Brian McCann, from Vanguard Corporate Finance, who believes the value of a business depends very much on who the valuation is being prepared for and will highlight some practical tips.

The 9-10am seminar is free to members and

£10 to non-members.

Book online at www.liverpoolchamber.org.uk Saturday, January 14 BUDDING women entrepreneurs can get their New Year’s resolutions off to a flying start at a workshop in Liverpool in January.

Reflect & Renew: Time For You takes place on January 14, at Liverpool Hope University, with trained coaches

from Appreciation Works, a social enterprise set up by Liverpool business specialists Suzanne Quinney and Helen Bush.

The workshop will study participants’ strengths and how they can fulfil their business and lifestyle aspirations.

Ms Quinney said: “Take some time out and give yourself a

chance to reflect, renew, relax and re-vision for the New Year.

Our workshop will use a mixture of coaching techniques.”

Cost is £97. For more information, contact Suzanne Quinney on 0151 427 1146 or 07940 726067.

To book a place (limited to 16), email suzanne@appreciatingpeople.co.uk

16

Wednesday, January 4, 2012

LDP business .co.uk trading gossip ■

NOVELTY political parties have a proud history in this country – as one of Trading Gossip’s spies, who was once handed a £1m note by Screaming Lord Sutch himself – can confirm.

And now another political party that is sure to win backing from business has joined the fray.

The Anti-PowerPoint Party says its main goal is to stop innocent bystanders being terrified by vicious, overlong on-screen presentations.

And, to prove its point, it has released a survey claiming British businesspeople “zone out” of meetings after just 17 minutes. More than half of the 1,000 polled admit to regularly daydreaming in the boardroom while more than one in ten had fallen asleep during a dull presentation.

Party founder Matthias Poehm – who, entirely

IN ASSOCIATION WITH

the back page

LIVERPOOL’S INVESTMENT SPECIALISTS

Furniture boss sees his name in lights

working day

Breck Stockton is director of Stocktons Liverpool.

He is mainly based at the company’s new Liverpool showroom, in Home Quarter, Liverpool One. This was his working day 7am: I get up, having been working round the clock the last few days handling lots of corporate and private client business purchasing furniture from our new Liverpool showroom. I’ll admit to being hooked on my iPhone for business and social media, and spend probably too much time first thing answering messages, although many are orders coming in from the previous night, after store retail hours have finished.

coincidentally, has a book out – said the average businessman spends six hours and 38 minutes in meetings each week. Mr Poehm, who wants us to use flipcharts instead of projectors, said: “Every minute wasted through bad and boring meetings is money lost.”

Taking the boredom out of Britain? That’s one political pledge with which the late Lord Sutch, above, would surely agree.

■

DO YOU agree that New Year celebrations are overrated?

If so, then you’ll cheer those 100 or so partypoopers who spent the last hour of 2011 filling out a tax return at their computer.

HM Revenue and Customs said nearly 12,000 people in total took time out of their New Year’s Eve celebrations to fill out their returns across the day. Another 1,100 returns were submitted on Christmas Day. We’d raise a glass to those zealous taxpayers who are so keen to get their returns in well before the January 31 deadline. But then, given the efforts they’ve made to avoid celebrating, that’s probably the last thing they want.

8am: I need to get to the showroom by 8.30am, as our signage in Liverpool goes up today. There’s something symbolic about your name in lights on a building, in spite of all the hard work that goes in prior. It’s almost the key part of the operation. I’m meeting the new team on site as part of the final preparation for our first weekend in the city.

8.30am: The team is looking fresh, considering how much furniture has been handled in contributing to the design of the space. It’s a stressful job, too, because we’re talking about innovative and exclusive items that need lots of care in moving. Some of the world’s leading brands, like Natuzzi and Duresta, are all here.

10am: We’re open for only our second day and a few of the team have spent some extra time making themselves even more glamorous for the cameras – we’ve got a photographer coming in for some media exposure this morning, following another trade magazine award that we won recently.

11am: I’m meeting an architect’s practice seeking out “furniture with personality” for a large project they’re working on for private clients in Wirral and Southport. They seem very taken with our Timothy Oulton collection.

12.30pm: I always have lunch on the go, and now’s the time. I am very hands-on within the business and wouldn’t want it any other way.

12.45pm: I’ve got meetings for the next few hours with some London and Manchester-based suppliers. It’s not

Breck Stockton has just opened Stocktons Liverpool, in Hanover Street Picture: JAMES MALONEY/ jm141211stocktons-2

surprising that so many are looking to Liverpool, with the city’s retail offer so high in the UK shopping stakes. It is obviously good news for us and a key factor in our decision to open here.

us for many years, travelling to our Great Ancoats Street, Manchester, site from Sefton Park. I know they are delighted we are here. They’ve told us enough times to open here!

3.30pm: I’m meeting some directors from the Home Quarter and Liverpool One for a briefing on the good progress we’ve made.

5pm: I’m leaving for the day but will be on the phone most of the way home to plan tomorrow.

4pm: I’m looking after two customers from Liverpool that have been loyal to

6.30pm: Catching some admin time after a comforting dinner, because it’s the only time of day when there are no

deliveries or a team to organise and there’s some tranquillity in my office at home, even though there isn’t in my head. There’s lots going on.

9.15pm: I’ll be catching the last throes of the football tonight, and, seeing as we’ve just landed in Liverpool, it might be better to keep my allegiances to myself for now. Whatever your team, we all know it’s a great escape from business and it helps me get my head down for another big day tomorrow.