Contact - June-July 2014 by North East Chamber of Commerce

NECC: Making the North East a success

JUNE- JULY 2014

ON TRACK

The new academy for rail skills

GOING FOR GOLD

necc.co.uk - necontact.co.uk

✱

MEAN MACHINES Tees Valley robots drive innovation

innov-8 at the feet of champions

PROFILE

LIFE & SOLE Family footwear business proves a perfect fit for Charles Clinkard

PENSIONS YOUR QUESTIONS ANSWERED

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Welcome...

Welcome to another packed edition of Contact magazine, which this month reflects the fact that we are well and truly in the North East’s award season. Dinner suits have been dusted off and glamorous evening dresses unveiled as we step out to celebrate businesses blazing a trail in their sectors. It was a fantastic honour to speak at the final of the NECC-sponsored North East Business Awards at Sedgefield’s Hardwick Hall. Honours were handed out across 13 categories with a lot of worthy winners, and it’s always good to see a high percentage of NECC members represented among the winners and finalists. More than 600 members of the North East’s business community packed out the venue for dinner and an inspirational talk from adventurer Monty

NECC president David Laws reflects on the North East awards season

Halls. NECC looks forward to working with all the members who won awards with a view to forming a strong North East delegation to compete at the national British Chambers of Commerce Awards later this year, representing the region among the cream of business talent from across the UK. Given our region’s particular strength in exports, the North East Exporters Awards are also a key event on the regional business calendar. Durham’s Ramside Hall played host to another fantastic ceremony for the firms setting the pace across our region and opening up lucrative overseas markets. As a chamber of commerce our aim is to help, support and encourage our members to sell abroad. The potential that lies beyond our shores is enormous and I had the pleasure of visiting Germany to cement our on-going relationship with Bochum Chamber of Commerce in May, having hosted a delegation from Bochum last year. We believe that linking up with foreign chambers could be key to helping create soft landings for our members or simply provide market insight into areas of interest. The global chambers network is becoming better connected and I look forward to stretching our relationships further afield in the coming year.

EDITOR Jane Pikett jane@offstonepublishing.co.uk EDITORIAL TEAM Dean Bailey Liz Hands Owen McAteer Paul Robertson Contact is the magazine for NECC members. News and press releases should be sent to submissions@necc.co.uk ADVERTISING Contact our commercial team 01661 844 115 sales@offstonepublishing.co.uk PHOTOGRAPHY Kevin Gibson www.kgphotography.co.uk Nicky Rogerson www.nrphotography.co.uk Peter Skelton www.photo-psp.co.uk Ian Horrocks www.ianhorrocksphotography. zenfolio.com

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Carole Kitching

Andrew Whitwell

Charles Clinkard

“You only have to go along the north bank of the Tyne to see how many exciting things are happening. We need to get young people to get out and have a look, to feel some of that buzz and energy. These are exciting times.”

“Labman’s technology and knowledge is constantly evolving. But what remains at the core of our business is a passion for innovation that meets our customers’ requirements wherever they are in the world.”

“We’ve got good, loyal people and we’re consistent. We’re not about high fashion and we’re a little bit different, so we stand out. We get a lot of customers who say you can’t buy decent shoes elsewhere anymore.”

Newcastle College

Labman

Charles Clinkard

©Offstone Publishing 2014. All rights reserved. No part of this magazine may be reproduced without the written permission of the publisher. All information contained in this magazine is as far as we are aware, correct at the time of going to press. If you submit unsolicited material to us, you automatically grant Offstone Publishing a licence to publish your submission in whole or in part. Although every care is taken, Offstone Publishing is not liable for resulting loss or damage. Offstone Publishing endeavors to respect the intellectual property of owners of copyrighted material reproduced herein. If you identify yourself as the copyright holder of material we have wrongly attributed, please contact us. Offstone Publishing does not guarantee the insertion of any particular advertisement on a specified date or at all.

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ANNUAL DINNERS

2014 Join us for one of the key events in the North East business calendar - the Tees Valley and the Tyne & Northumberland Annual Dinners, celebrating North East business. Take your place at these prestigious events to network and entertain among some of the most influential names in North East business.

TEES VALLEY ANNUAL DINNER

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Contents

To keep up to date with all the latest NECC and member news download the NECC app by searching for NECC in the Apple app store and on Google Play

Plus 10 GARDENERS’ WORLD Brewin Dolphin garden wins Chelsea Flower Show medal

14 TREASURE HUNT Win fantastic prizes 24 HAVE A HEART Celebrities raise £200,000

for the Children’s Heart Unit

28 NECC POLICY A look at the North East’s role in innovation

40 SKILLS News on apprenticeship successes and awards

42 EXPORT The North East Export Awards, and Access Russia

54 HI! TECH Thinking Digital 2014

Features 06 60 SECONDS

With Baltic’s Godfrey Worsdale

30 SUCCESS

We journey into the futuristic world of robotic engineering at Labman

Charles Clinkard on selling shoes through a recession

63 FAB FIVE The road to Rio:

World Cup memories

66 LAST WORD With Middlesbrough College principal Zoe Lewis

32 THE SHOE FITS

Taking the family firm through a recession and into the 21st Century

36 ON TRACK

Newcastle College’s new rail academy

38 BEST FOOT FORWARD The trainers worn by Olympians and adventurer Bear Grylls

45 ACCESS TO FINANCE Exploring the world of private equity funding

56 OUT TO LUNCH

The sweet taste of design with RIBA’s Richard Waterhouse

56 30 66

Talking heads: Clockwise from above left Andrew Whitwell (Labman), Richard Waterhouse (RIBA), and Zoe Lewis (Middlesbrough College)

65 DOUBLE TAKE

It all adds up for Joe McLean and Gordon Goldie JUNE - JULY 2014 / CONTACT / www.necontact.co.uk / 5

60 SECONDS

The Art of Life Godfrey Worsdale, director of Baltic Centre for Contemporary Art Q Who did you look up to as a child? My mum and dad, and many of my teachers. Q How do you compare to your 21-year-old self? The younger me was full of enthusiastic potential, but lacked the vision to exploit it. I have a little more perspective, but a quarter of a century less time to make the most of it.

odfrey Worsdale has worked with many of the world’s most renowned and sometimes controversial artists. He began his curatorial career in the early 1990s at the British Museum before moving on to Southhampton City Art Gallery where he oversaw exhibitions featuring work from Jake and Dinos Chapman and Tracey Emin. Worsdale was appointed founding director of mima in Middlesbrough in 2002, co-curating the debut exhibition Draw, which presented drawings from the likes of Picasso, Jackson Pollock, Andy Warhol, Damien Hirst and Gavin Turk. Born in Doncaster, Worsdale is the fourth director to have taken the helm at Baltic, notably bringing the Turner Prize to the region.

Q How would you describe yourself now? A reasonable mix of ambition, enthusiasm and realism. I also think I’m a very lucky person, having directed some of the UK’s best galleries and known and worked with some of the greatest artists of our time. Q What’s the best job you’ve ever had, and why? In my early 20s I was a junior curator in the Department of Drawings at the British Museum and every lunchtime I was allowed to leaf through original drawings by Leonardo da Vinci, Michelangelo, Rembrandt, Van Gogh, Picasso and almost all of art history’s giants. That said, being director of Baltic takes some beating. Q What do you enjoy most about your job? The internationally important artists that Baltic is able to attract to the region, and the 500,000 visitors who come to see their work every year. I also enjoy the fact that everywhere I travel in the world, Baltic is

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recognised as an international centre of excellence. Q What would you be doing if you weren’t a gallery director? Either the diplomatic service or running an antiques shop. Q The best decision you’ve made, and why? Professionally, to come and work at Baltic, for the great building, great artists, great audiences and fantastic colleagues. Personally, to have kids, Lily and Theodore. Q If I were to tell you that you couldn’t fail, what would you do? I’d make art a central part of every child’s education for the entirety of their time in school. Q Who has inspired you in your life? My father, who is still my favourite artist, and still teaching me about art. Q What scares you most? The moment before the aeroplane touches down. No matter how many times I fly, a gentle landing never seems possible until it has happened. Q Who would play you in a film of your life? I’d like to think John Malkovich or Richard E Grant, but my wife Alia brings me back down to earth with Sean Bean, and only because we’re both from South Yorkshire.

❝ I would make

art a central part of every child’s life for the entirety of their time at school

❝

INBOX

inbox...

Have you got something to say about the magazine or about business in general? Then inbox may be the perfect home for you. Send your views, comment and gossip to inbox@necontact.co.uk

TOUCH OF CLASS

The sight of hens and stags staggering out of bars in Newcastle’s Bigg Market is a common one. But one North East company says it is attempting to bring a touch of class to the industry in the region with a rebrand. Last Night of Freedom says its revamp, officially unveiled at a “housewarming party” for 100 business guests, marks a change in attitude towards hen and stag nights. “We want to offer people the choice of something a little bit different and a lot more exciting for their last night of freedom,” says managing director Matt Mavir. “The rebrand is about us fully aligning our business activities with our mission statement and about us becoming the company we always wanted to be.”

STAR SPA

Well done to the Serenity Spa at Seaham Hall, which has been voted one of the best in the world. The spa was the only one in the region to be included in Top Santé’s 100 best spas list, placing it alongside world-famous venues like The Ashram in California. General manager Ross Grieve says he was delighted, but not entirely surprised the spa made the list.

SOFA, SO GOOD

Nice work by Sunderlandbased sofa specialist SCS which has joined forces with the Foundation of Light to help young and disabled people across the region. The firm has donated £10,000 to help fund the charity’s Tackle It and Making Moves initiatives, which aim to provide sports opportunities and address issues like racism and bullying.

GLASS ACT SOCIALLY DEVOTED TO YOU

Go North East is showing national companies how it’s done in social media after being named the only regional firm in the UK’s Top Ten of ‘socially devoted’ companies for the second time. In the first quarter of 2014 the bus giant is ranked number five for its social media interaction with customers and has a better response rate than all in the Top 10, including Virgin, ASOS, and Three. 8 / www.necontact.co.uk / CONTACT / JUNE - JULY 2014

Congratulations to Sunderland’s National Glass Centre artists Richard Slee and James Maskrey, who have both showed work created at the glass centre as part of COLLECT, an international art fair at Saatchi Gallery, London. Maskrey’s work celebrated the heroic age of Antarctic exploration with bottles and glasses which look frozen, containing whale teeth and bone and maps of the expedition route. Slee was inspired by the gallery floor, which reminded him of water. His piece was Boat with Oars.

Muckle LLP (@MuckleLLP): Huge congratulations to Bev Oliver and Sue Smith for 25 Years with the firm. Fabulous ladies and a fantastic cake! Watson Burton (@WatsonBurton): Ready to begin our talk with @S_ Weatherall #propertylitigation. Sintons Law (@SintonsLaw): Proud of everyone who took part in the @MacmillanNE night in last night #LetsBeatCancer! Newcastle University (@StudentsNCL): Check out these fantastic images by @ NewcastleSAPL’s Luis Hernan “mapping” wireless signals Newcastle United FC (@NUFC) Perfect day at SJP. @twinatlantic first up at 5:15. Tickets available at the stadium for £29.50. #KOLSJP #KingsOfLeon Hexham FC MiniSoccer (@ JnrDevelopment) Thank you to @MuckleLLP for their kind sponsorship of Hexham Rapid U8s this season. We didn’t quite win this trophy

IN MY VIEW

In my view NECC chief executive James Ramsbotham puts The Guardian in its place

tone and content. The piece was as interesting for its omissions as it was for the information it included. It gave me great pleasure to point out that the North East is the only region in the country with a long-standing positive balance of trade, along with the fact that our region enjoys such significant energy and water reserves that they are much sought-after to prop up shortfalls in the South East. I got on something of a roll and it was a cathartic experience listing the many things at which we excel, including our expertise at selling our wares overseas and the fact that on a per-capita basis our region performs above the national average in exports. The quality of our air, our beaches and the lack of congestion was another. Maybe that’s down to our “car parks full of mid-range vehicles”, as the article put it, which don’t cause the pollution levels London “enjoys”. Economic growth in the NELEP area has outstripped the rest of the country, London and the South East included, over the past few years and we have the biggest process industry cluster in the UK. During the crisis at Grangemouth, for example, the Government could rest assured that Teesside would be able to continue refining, exporting and processing oil so UK Plc didn’t grind to a halt. We boast world-leading research facilities such as the Centre for Process

Innovation and the National New and Renewable Energy Centre, and labour productivity in the North East is growing faster than anywhere else. GVA per head growth in our region is also ahead of the UK average, which is good when you consider we have a record number of people employed in the region at the moment. In fact, we’ve never had more people in work in the North East than we have right now. For someone in the North East on a medium income, wages weighed against the cost of living are among the highest in the country. Our R&D expenditure per business is better than many other areas, including London, which is good because we have wave after wave of highly qualified, motivated young people carrying new ideas into our businesses. Nowhere else in the country gets a better percentage of students achieving five A-C grades than the North East, and we’ve topped that table since 2008. Combined with our productivity and income advantages, the future in the North East is incredibly strong. I had started the exercise of writing to The Guardian feeling a sense of injustice, but I ended it feeling sorry for the rest of the UK. Yes, we have our challenges to overcome, but other regions must look at our successes with envy. We just need to become better at shouting about it.

here are few things that can unite the North East better than when someone insults us. Football allegiances and city rivalries are put to one side and even our newspapers join forces when somebody dares criticise our region. Such was the case last year when former energy secretary Lord Howell made his oft-misquoted statement which included the words “desolate” and “uninhabited” in the same sentence as the North East. It was also the case in The Guardian on May 10, with Andy Beckett’s article entitled The North East of England: Britain’s Detroit? Social media exploded, people were mobilised, petitions drawn up and counter articles published. I wrote to the newspaper to raise my concerns, as did the Labour leader for Newcastle City Council Coun Nick Forbes, outgoing NELEP chief executive Ed Twiddy and a host of others who were equally dismayed by the article’s

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NEWS

Breaking barriers NECC joined forces with North East manufacturers to break down barriers preventing growth in March. NECC and Your Homes Newcastle (YHN) held a Regional Manufacturers Meeting to address obstacles preventing procurement spend locally. YHN spends approximately £50m on construction-related activities in Newcastle. By interacting with local SMEs, YHN and NECC are working to keep more of the profits from investment in the region to benefit the local economy. NECC’s Unlocking the Barriers report last year estimated that the supply chain for the North East public sector has the potential to generate an extra £1.35bn and create 6,000 North East jobs. NECC policy adviser Rachel Travis says: “More must be done to ensure our indigenous businesses are not missing out on potentially lucrative public sector contracts, through a procurement system that is more responsive to the regional supply market is vital.”

Matthew Childs and Rupert Tyler

BLOOMIN’ MARVELLOUS

ECC President’s Club associate sponsor Brewin Dolphin picked up a Silver Gilt Medal at the RHS Chelsea Flower Show in May. Designed by Matthew Childs, the garden was his first entry at Chelsea, having won Best in Show at Hampton Court in 2013. Childs delivered a breathtaking design inspired by the company’s ethos: bespoke and innovative, but firmly rooted in tradition. Rupert Tyler, national director of Brewin Dolphin and a renowned gardener says: “We’re delighted with Matthew’s success. The pressure on his shoulders must have been immense. We love the design and the planting and are so pleased that all his great work has received the recognition it deserves. We would like to thank Matthew and his team for creating such a beautiful

space, but also for making it all look as if it has been there forever.” Childs says: “Life is a roller coaster. You have ups and downs, but there is always a new possibility around the corner and potential to nurture for the future. This is what I wanted to put into this garden and I am so excited that it has come off. I get to work with so many talented people all of whom share my passion for gardens. We are in it together; an intense, adrenaline fuelled experience with a beautiful garden at the end of it.” William Baker Baker, head of Brewin Dolphin Newcastle adds: “It is a great thrill that our Chelsea garden has won a silvergilt medal this year. I know how much our clients enjoy the show whether or not they actually attend. The week is a very special one for everyone interested in gardening.”

PREPARING FOR SUCCESS Four students from St Cuthbert’s Catholic High School in Newcastle were invited to mark the beginning of the preparatory ground works for a brand new science and engineering building to be constructed in the school grounds. The budding engineers were assisted by John Reece, trustee of The Reece Foundation, the main benefactor for the project. The building is scheduled for completion by mid-August and will be fully fitted out and open to students for the start of term in September. £700k towards the project has been donated by The Reece Foundation with the balance being met by the school. Students were allowed to put their personal stamp on the designs during the planning

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process with sixth form pupils working alongside the architects to develop ideas and suggestions that were incorporated into the final designs. The interior incorporates a 55-seater lecture theatre, ICT and CAD CAM areas as well as a huge adaptable central space.

News and views from NECC membership advisers Darlington I’ve been settling into my new patch and welcoming new members Darlington Credit Union, The Franchise Company, and Signs Express. Great to be part of the recent DL Business Expo which attracted hundreds of visitors, highlighting the great business environment in Darlington and the local area. Ann Boyd, tel 07739 162 408 ann.boyd@necc.co.uk Medium business Fantastic attendance at last month’s Linking Education and Business Event at King Edward VI School Morpeth. We also welcome Gus Robinson Developments Ltd to the NECC hot from its success as SME of the year at the Construction Excellence North East Awards and congratulate the company on also winning the Leadership and People Development Award. Andrew Heavisides tel 07912 478 961 andrew.heavisides@necc.co.uk Twitter @NECCAndrewh Teesside Well done to the Tees Valleybased winners at the North East Business Awards grand final Castlegate Shopping Centre and PJA Distribution. The latter recently gained national television exposure on BBC1’s The One Show in April. A warm welcome also to our new NECC members One World Travel, and Medisport. Tom Warnock tel 07714 845 617 tom.warnock@necc.co.uk Twitter @NECCTom

Newcastle Nice work from Go Digital Newcastle; a funded programme from Newcastle Council and ERDF delivered by BE Group providing fully funded coaching and master classes. Welcome to One Sign & Digital; a forward-thinking signs and graphics company in Gateshead which has joined NECC to grow its business network and which is now supporting our apprentice programme. Lynsey Fairless tel 07834 444 627 lynsey.fairless@necc.co.uk Twitter @NECCLynsey Durham New member County Durham & Darlington Fire & Rescue Service has set up a trading arm offering a range of safety courses. Because it has been set up as a Community Interest Company, surplus goes straight into benefiting communities. Visit www.ddfirecic.co.uk for more information. John Mansel tel 07736 799 727 john.mansel@necc.co.uk Twitter @NECCJohn Sunderland / South Tyneside Well done BMS Electrical for getting to the final of NE Business Awards, only narrowly missing out on the overall award. Congratulations to SAFC for escaping what seemed like certain relegation. I’m meeting some fantastic businesses in South Tyneside currently; if you’d like a chat, please contact me. Arthur Hodgson tel 07980 259 991 arthur.hodgson@necc.co.uk Twitter @NECCArthur

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ADVERTORIAL

DID AN INTEREST RATE SWAP AFFECT YOUR BUSINESS?

Rachel Burns, TLW Solicitors

ince 2001, thousands of SMEs in the UK were mis-sold interest rate hedging products, a complex financial instrument intended to protect against rises in interest rates. In 2012 the FSA ordered the banks to undertake a large scale review of all IRHP sales post December 2001 to businesses that fit the eligibility criteria. At the beginning of the review out of the 30,000 businesses invited to participate only 125 had initially received an offer of compensation. Whether or not those offers are reasonable and fully compensate the business for their losses is not known. There are strict criteria for the type of business which is included in the review. Instructing a specialist firm such as TLW with the knowledge and expertise to negotiate with the banks on your behalf can help make sure businesses receive every penny they are entitled to. Instructing a specialist solicitor who can help fully calculate not only your direct losses from the mis-sale but also consequential business losses you may have suffered as a result of the IRHP. Handling IRHP claims Rachel Burns, specialist Lawyer at TLW advises; ‘If you have received an IRHP letter from the bank inviting you to participate in the review, we would advise that you respond and act swiftly. Many businesses will miss out if they delay in responding to the bank Rachel Burns added; ‘TLW can also help to recover greater losses resulting from the impact of the interest rate swap and we can help recover maximum compensation. We can also assist those firms who have not been included in the review and see if they have any entitlement to redress.’ There are strict time limits which can apply to claims so it is important to seek advice as soon as possible.

For more information on how to claim for a mis-sold IRHP and how we can help you please call 0800 169 5925 or email info@tlwsolicitors.co.uk 12 / www.necontact.co.uk / CONTACT / JUNE - JULY 2014

NEWS

Abbey’s new visitor centre takes shape Computer-generated imagery showing how Hexham Abbey’s new landmark visitor centre will look when it opens this summer has been revealed for the first time. The imagery depicts parts of a major exhibition at the centre, which will tell the story of the Abbey, its role in the development of Hexham, and the growth of Christianity in the North East since 674AD. It is the centrepiece of a major new complex created by the £3m restoration of the Abbey’s medieval former monastery buildings and Hexham’s former Magistrates’ Courts. The exhibition has been designed by interpretation specialist Easy Tiger in partnership with the Abbey team and will be produced by museum display experts at Workhaus, acclaimed for its recent installations at the British Museum and York Minster. The exhibition will include touchscreen interactive displays, engaging visitors and encouraging them to explore the Abbey and Hexham’s fascinating history, telling stories of people whose lives have been touched by the Abbey from its earliest days to the present. It will use new technology to bring to life some of the earliest parts of the Abbey, including its Saxon crypt, helping visitors to experience medieval pilgrims’ experiences via a touchscreen virtual tour and reconstruction. Funded by the Heritage Lottery Fund, various grant-making trusts and the community, the newly restored complex will also create community, education and function facilities, a new café and herb garden.

BRICKS AND MORTAR

Story Homes is hoping to get the green light for a new development it says will bring key economic benefits to Durham. The building firm wants to

erect 151 new homes off Newbiggin Lane in Lanchester, Co Durham. Up to 120 jobs will be created for sub-contractors and in the supply chain during the build work.

NECC PRESIDENT’S CLUB UPDATE With Eamonn Leavey, head of NECC President’s Club Charlie Bean, deputy governor of the Bank of England, was the keynote speaker at the ninth President’s Club lunch at Rockliffe Hall in March. His speech was reported globally and even moved the financial market. We are fast approaching 250 members in the NECC President’s Club, which evidences this important engagement level for the key North East business leaders. British Airways, Walkers (PepsiCo,) Newcastle Falcons and Enterprise Rent-A-Car are the newest members. Kevin Fitzpatrick, vice-president at Nissan, hosted a discussion on apprenticeships and the importance of investing in skills and members had the opportunity to have a factory tour. It was great to visit Utilitywise in South Shields and see the fantastic innovation that they bring to managing utilities costs for businesses, not only in the UK but also France and Germany. Alex Hynes, MD of Northern Rail gave a positive briefing to key stakeholders on their contract extension and future investment within their network. The North East senior business leaders’ lunch in July will have Chris Browne, MD of Thomson Airways, as speaker. Eamonn Leavey, tel 07714 845 624 eamonn.leavey@necc.co.uk

GLOBAL LEADER

NOTICE OF TENDER

Garry Quickfall, Debra Burston and Taek-woo Lee

Samwon Tech (Europe) Ltd on the Aycliffe Business Park in Newton Aycliffe has been awarded a prestigious supply award by JCB. Established in 2003, Samwon brings from its production facility in Changwon, South Korea hydraulic adaptors and fittings for hydraulic systems on equipment from 60 tonne

excavators to dumper trucks. The QCIDM award recognises achievement in control of quality, cost, innovation, delivery and management and with over 500 worldwide suppliers to choose from, it’s an outstanding achievement. Company president Taek-woo Lee came to the UK from South Korea to collect the award.

Notice of tender for the provision of NECC Energy Procurement, Management & Collective Purchasing Service: Through a preferred supplier agreement, NECC currently provides an energy procurement service for the benefit of all its members. Now open for tender, expressions of interest should be emailed to clare.mccabe@necc.co.uk before June 23. Once your expression of interest has been received a first stage tender document will be supplied detailing the tender process.

JUNE - JULY 2014 / CONTACT / www.necontact.co.uk / 13

NEWS From left to right: Charlie Nettle, head of marketing at NECC; Emma Gillespie, Activ Telecom; Nicola Reid, Catalyst Recruitment; Martin Robertson, Atlas Cloud; and Anna Ward, Catalyst Recruitment

Go figure! Your chance to win fantastic prizes with Contact

he age of the digital treasure hunt is upon us, and to celebrate its upcoming 200th anniversary, NECC is encouraging members to get involved in a very 21st Century craze. NECC, recruitment specialist Catalyst, and technology company Atlas Cloud have got together to bring NECC members the Great North East Digital Treasure Hunt. The competition, which is open to all members, will run for 12 months through the magazine and the fortnightly online Contact Bulletin. One prize will be up for grabs in each issue, beginning with a Nokia Lumia 625 smartphone donated by Newcastle-based business technology and communications company

Activ Telecom. Clues will be set on publication of each edition of Contact magazine and their answers will reveal the coordinates for locations across the region. The challenge is to reach these locations first. Typical clues might lead to a QR code in a secret location, a number hidden in a city centre telephone box, or a hidden page on a website. The final clue for each puzzle will be GPS co-ordinates pinpointing where the cache – a container holding a golden ticket – will be hidden. Anna Ward, senior IT recruitment consultant at Catalyst, says: “You can easily type in co-ordinates to a search engine like Google and access a map of a precise location and there are many free GPS apps. It’s simple and you can do it in your lunch hour, and there’s

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definitely no digging involved!” “It’s a great way to have fun while becoming more tech-savvy,” says Catalyst IT and technology recruitment consultant Nicola Reid. “For NECC, it adds to the 200th anniversary celebrations in 21st Century style. For Catalyst it marks our upcoming 10th birthday and our strengths in the technology sector. For Atlas Cloud it raises the profile of a successful cloud technology company.’’ Charlie Nettle, head of marketing at NECC, says: “As part of our 200th anniversary celebrations we are looking to work with members which are also celebrating big anniversaries in 2015. We were looking for ideas that were a little different and this initiative fit the bill. We’re looking forward to seeing how members get on with the challenge.”

How to take part: To register for the Great North East Digital Treasure Hunt visit: www.pluscatalyst.co.uk/ treasurehunt The first clue is: www.hello You will receive the second part of the clue when you register at www.pluscatalyst.co.uk/ treasurehunt After solving three clues you will discover the location of a golden ticket placed securely in a public place somewhere in the region. The first to claim the ticket will win the prize. Terms and conditions apply. Visit www.pluscatalyst. co.uk/treasurehunt for more information and to register The Prize: Nokia Lumia 625 Smartphone donated by Activ Telecom.

ADVERTORIAL

PARTNERS UPDATE With Jo Fryett, head of NECC Partners

2014 is turning out to be an interesting year for North East Chamber of Commerce Partners. Partners is made up of some of the region’s most influential business people and acts as a sounding board for NECC’s aims and ideas. It boasts a host of experienced industry captains who provide views and opinions that help shape the organisation’s policy agenda. Partners has been getting behind the NECC 50 Great Reasons campaign and celebrating the abundance of talent we have in the North East. Our partner Gateshead College has

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received nominations for four national awards, and Teesside University has received the Queen’s Anniversary Prize for its outstanding work in the field of enterprise and business recently, which is an amazing achievement. NECC co-hosted the digital switch-on with BT as part of the wider infrastructure programme and investment that has begun across the North East, and we now recognise the arrival of digital connectivity and faster broadband speed are an integral part of any area. I’m delighted that our headquarters at Aykley Heads in Durham will benefit. Jo Fryett, tel 07867 541 467, joanne.fryett@necc.co.uk Twitter @NECCJo

DURHAM PROPERTY DEVELOPER SECURES £20M REFINANCING

£20m refinancing of Durham-based 3R Land and Property has been completed with the support of North East dealmakers. 3R received the funding from Handelsbanken in Durham, who instructed law firm Sintons to oversee the transaction. The deal, which was brokered by corporate financier Mark Nixon, is one of the largest in the city’s real estate market for several years. Property business 3R - which has an extensive student accommodation portfolio in Durham, as well as an array of commercial property in Durham, Newcastle and Gateshead - is now looking at development opportunities for housing and commercial projects across the North East. Neil Hart and Peter Bartley of Bradley Hall provided commercial advice and instructed 3R on the management of its portfolio, with Baker Tilly and Knight Frank also advising on the deal. The Durham office of Handelsbanken, led by Bill Ridley, financed the deal. 3R turned to Handelsbanken after terminating its relationship with previous lender Northern Rock. left to right: A four-Partner team at Newcastle law firm Robert Fulton, Sintons handled all of the legal aspects. Mark 3R; Richard Dobbin, who head Sintons’ specialist banking and Urron, Baker finance team, assisted by Laura Peace, carried out Tilly; Peter all the secured lending work. Christopher Welch Bartley, Bradley Hall; Mark Nixon, provided commercial advice, and Alok Loomba handled the real estate aspects for 3R. MN Corporate Robert Fulton, director of 3R, said: “Since Finance; changing to a new lender, with whom we have a Christopher very positive and supportive relationship, we are Welch, Sintons; now able to consider plans for significant Neil Hart, developments throughout the North East. We are Bradley Hall; grateful for the support of everyone who has Alok Loomba, enabled this deal to become reality.” Sintons

Sintons LLP, Barrack Road, Newcastle, NE4 6DB tel: 0191 2267878, www.sintons.co.uk JUNE - JULY 2014 / CONTACT / www.necontact.co.uk / 15

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Karen Ripley, Bazaar Group

Most see Europe as positive

North East Business Awards 2014

J C Atkinson & Son Ltd Nixon Hire

Accolades handed to the best

undreds of leading members of the region’s business community enjoyed the North East’s biggest and most prestigious business competition, highlighting the successes of the region’s most outstanding firms over the last 12 months. The North East Business Awards, run by the Journal and the Evening Gazette with support from NECC, celebrates the achievements of the region’s top firms. Since September last year, businesses from Tyneside and Northumberland, Durham and Wearside, and Teesside, have entered their regional heats. The winners from each of these heats then competed for the overall title in their categories, with the final at Hardwick Hall Hotel, Sedgefield, Co Durham. NECC chief executive James Ramsbotham says: “It is always a point of immense pride that the majority of winners are NECC members. The work being carried out by these companies is helping our region close the economic gap with the rest of the UK and helping to boost optimism across the business community. I am looking forward to taking the winners forward to compete on the national stage at the British Chambers of Commerce Awards later this year.” A total of 613 guests attended the event and the

after-dinner speaker was former Royal Marineturned expedition leader Monty Halls, who provided an entertaining look at how teams function - or not - under stress. Not-for-Profit Organisation of the Year sponsored by Gentoo, Beamish, The Living Museum of the North; Best Creative Business Award sponsored by NRG, J C Atkinson & Son Ltd; Newcomer of the Year sponsored by Virgin Money, PJA Distribution Ltd; Heart of the Community Award sponsored by Derwentside Homes, Castlegate Shopping Centre; Internet & ICT Award sponsored by Press Ahead, The Bazaar Group; Apprenticeship Award sponsored by Accenture, Derwentside Homes; Small Business Award sponsored by University of Sunderland, The Bazaar Group; Low Carbon, Corporate Responsibility & Environment Award sponsored by Port of Sunderland, ARPower Ltd; Innovation Award sponsored by Newcastle University Business School, ZeroLight; Manufacturing Award sponsored by Business Durham, Nobia UK; Services Award sponsored by npower, J Warren ABP Ltd; Export Award sponsored by Santander, CorDEX Instruments Ltd; Company of the Year sponsored by Sunderland City Council, Nixon Hire

Businesses in the region remain uncertain over the future of the UK’s relationship with the EU, says an NECC survey. NECC asked members to react to how different EU membership scenarios could impact on prospects for their company. Renegotiation of Britain’s membership while remaining within the EU was the most positively viewed scenario. Just over half of the firms questioned said staying in the EU but transferring certain powers from Brussels to Westminster would have a positive impact. Almost 69% of regional firms thought an outright withdrawal from the EU would have a negative impact on business, while less than 7% said it would prompt positive change. More than half said withdrawal from the EU with renegotiated trade agreements would be harmful to business, with 20% saying the opposite. Remaining in the EU and integrating further with member states saw 19% of respondents replying that they didn’t know, with 34% thinking it would be negative and 28% positive. Half of firms thought that changing nothing would have no impact, with 13% considering it a positive move and 18% negative.

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Battery life Smith Electric Vehicles has reached an agreement with Hong Kong battery maker Sinopoly which should raise $40m for the firm. Sinopoly will provide $2m towards Smith’s secured debts, followed by $10m in preferred stock, subject to the completion of a battery supply contract. In the third part of the deal, Sinopoly will subscribe $30m of common stock in Smith if they reach listing on a US stock exchange. Cao Zhong, chairman and executive director of Sinopoly, describes the agreement as a “win-win” for the two companies.

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Law award Carr & Co Solicitors has continued its 30th anniversary celebrations by picking up the Law Society’s quality standard Lexcel at all three of its North East branches. The Lexcel practice management standard is awarded to solicitors who meet the highest standards of customer care and business management and is held by just 5% of firms nationally. Valerie Wormald, senior partner at Carr & Co says: “We are delighted that the continued hard work of our staff has been recognised once again. The Law Society Lexcel accreditation is the legal quality mark and demonstrates our continued commitment to maintaining excellent practice standards.” Carr & Co has offices in Blyth, Morpeth and Gosforth.

Philip (left) and David Lewis of Collectables

Collectables stores back in business

Popular retailer returns to its roots for revival

ollectables, the leading North own right, with improved profitability over the previous year. The wholesale side of the East giftware and business was also strong. Our core kitchenware chain which businesses were never in any trouble so we went into administration last have been working for the last six months September, is back in to get our stores back trading. business and re-opening retail units. “We are especially pleased to have been The family-owned company has gone able to pick up the lease on the back to its roots with two outlets in the flagship store upstairs from Marks Metrocentre, including its flagship and Spencer in the Metrocentre, store in the Upper Green Mall “WE ARE which had been empty since upstairs from Marks and DELIGHTED TO we left it. Spencer. The move sees the BE BACK IN THE “We are delighted to be creation of approximately 40 back in the Metrocentre, jobs, roughly half of which will METROCENTRE” where the business started, go to staff who were among and we are recruiting for our 175 made redundant by stores now. We will re-employ staff administrators last year. where we can.” Despite growing a highly successful The newly re-opened stores will focus retail and wholesale business over 27 on the group’s traditional best-sellers in years, Collectables ran into trouble when kitchenware and home fragrance. the value of its property assets, which Collectables will now operate from four included the Collectables Retail Park on sites, including the flagship store in the Portrack Lane, Stockton, were hit by Metrocentre which re-opened in mid-April declining business property values. and a smaller kitchen and dining store MD David Lewis says: “We never which opened in the Lower Yellow Mall in missed a payment on the properties, but the Metrocentre in March. unfortunately the decline in property Two other stores have been trading at values meant we breached our loan-toDalton Park near Seaham and Linthorpe value covenant. Road in Middlesbrough since just before “In our opinion there was no need to put Christmas and the chain’s website and the retail divisions into administration as online shop will re-launch in summer 2014. they were healthy, good businesses in their

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CHANGES TO CALCULATION OF HOLIDAY PAY Holiday pay must not be limited to basic salary and should include commission work that is part of remuneration

Lee Betchley, solicitor and head of employment at Clarke Mairs LLP

he issue of holding pay was referred to the European Court of Justice from an employment tribunal asked to determine a case brought by an employee of British Gas. The employee, Mr Lock, is employed as a sales consultant. He receives a basic salary plus commission. The commission he receives is paid weeks or months after the sale is completed and comprises of circa 60% of his remuneration. Mr Lock took annual leave between December 9 2011 and January 3 2012 and was paid his basic salary together with the commission from previous sales which became payable during that period. In the coming months however, he suffered reduced income because he was not able to complete sales during his period of annual leave. He complained to the employment tribunal alleging breach of the Working Time Regulations 1998 (WTR 1998). The employment tribunal referred two questions to the ECJ, namely: 1. Does Article 7 of the Working Time Directive (WTD) require member states to ensure that a worker is paid in respect of periods of annual leave by reference to the commission payments he would have earned during that period, had he not taken leave? 2. If so, what principles should member states adopt when calculating the sum payable to the worker by reference to the commission that he might have earned? The ECJ answered question one in the affirmative. It stated: • Under Article 7, workers must receive their “normal remuneration” during annual leave • During the period of annual leave, Mr Lock was not able to generate any commission during his holiday. This led to a financial disadvantage, even though this took effect some weeks after his holiday period • A reduction in a worker’s remuneration that is liable to deter him from exercising his right to take annual leave is contrary to the objective pursued by the WTD. The fact that the reduction in remuneration might occur sometime after the holiday period is irrelevant

• Mr Lock’s commission payments are directly (and intrinsically) linked to the performance of the tasks he is required to carry out under his employment contract. It follows that commission should be taken into account in the calculation of his statutory holiday pay. The ECJ left the second question, regarding the methods of calculating the commission element of the holiday pay, to the relevant national court or tribunal on the basis of the rules and criteria set out by ECJ case law and in light of the objective pursued by the WTD. The tribunal should focus on the average commission earned over a reference period which is considered to be representative under national law. The case will now return to the employment tribunal, which will need to consider whether the WTR 1998, and the week’s pay provisions in the Employment Rights Act 1996, can be interpreted in line with the ECJ’s decision. If you require any further information regarding this issue and its potential implications, please contact Lee Betchley, tel 0191 245 4817 or email leb@clarkemairs.com

Lee Betchley is a barrister (non-practising), solicitor and head of employment at Clarke Mairs LLP tel 0191 2454817 email leb@clarkemairs.com

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Tees Valley summit The 2014 Tees Valley Business Summit hosted by Tees Valley Unlimited is on Wednesday July 9. Booking has opened for exhibition stands at the event, which will feature practical seminars, inspirational workshops, one-to-one advice meetings and networking opportunities. Stephen Catchpole, MD of TVU, the Local Enterprise Partnership for Tees Valley, says: “Tees Valley Business Summit has proved to be an efficient and effective way for businesses to raise their profile, generate new business leads and tap into expert knowledge on how to develop and grow their business. “The 2014 Tees Valley Business Summit will build on previous ones and will be even more informative, interactive and beneficial to businesses large and small.” The Summit, which is expected to attract up to 600 companies, will be held at Teesside University’s Olympia Building in Middlesbrough. PD Ports, Teesside University and UKTI have already confirmed they will be sponsoring this years Business Summit which is also being supported by Government Regional Growth Fund. Bookings are being taken for staffed exhibition stands. For more details visit www. teesvalleysummit.co.uk For further information, contact Jill Stewart tel 0191 426 6333, or email jill@teesvalley summit.co.uk

REGENERATION

Station revamp praise Downing Street has featured Ryder Architecture’s Newcastle Central Station revamp as one of its key UK projects after highlighting it among major construction schemes nationally as evidence of the Government’s job creation focus. The £8.6m project offers thousands of passengers a welcoming first impression to the city and is a key part of the wider regeneration in the surrounding area. The centrepiece of Ryder’s redesign is the pedestrianisation and glazing of the station’s portico to create a dramatic new public space. Recognition of the architectural heritage of the Grade I listed building is prominent throughout with the simplified layout opening sightlines to Castle Keep and showcasing the distinctive curvature of the historic arched roof. The £20m transformation of the station and surrounding area continues over the coming months thanks to the efforts of NE1, Network Rail, East Coast, and Newcastle City Council.

COUNTING ON GROWTH Accountancy firm Harlands is pressing ahead with expansion plans after recording a third year of double-digit revenue growth. The practice has achieved a sales growth of 10% in the last financial year and will reward staff with a company profit share scheme. Harlands has now opened an office in Newton Aycliffe and will be appointing four new members of staff in the next 12 months. The sales growth follows a management buyout which MD Glyn Davison (pictured) says was a major turning point for the business.

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IN GOOD HEALTH Mechanical engineering group Norstead, a division of The Metnor Group, has won a prestigious healthcare project in London. The Newcastle-based firm will carry out engineering work in the basement and roof space of The London Clinic in Harley Street, including the installation of mechanical and electrical infrastructure systems. Around 60 staff, including some sub-contractors, will work on the project.

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PROUD PARTNERS

NUTS AND BOLTS

Bolting equipment firm HTL has announced a move to larger premises. The company, established 20 years ago, will be based at a much larger facility in Nelson Park Industrial Estate, Cramlington. HTL managing director Stephen Jones describes the move as a major step forward in the company’s growth strategy.

“We started out in premises the size of a double garage with two employees and now have more than 50 staff across three UK facilities in Manchester, Aberdeen and Cramlington,” he says. “This is a great performance indicator of how our company has grown as a result of everyone’s hard work and commitment.”

Business Improvement District Company NE1 is to sponsor the Newcastle Pride festival this summer. The free event, which is now the second largest of its kind in the UK, is expected to attract more than 65,000 visitors to the city between July 18 and July 20, contributing in excess of £5m to the regional economy. NE1 will be sponsoring the festival’s main stage at Newcastle’s Town Moor, featuring high-profile performances by acts such as Sinitta, Shayne Ward and the Vengaboys. Sean Bullick, chief executive of NE1, says: “Since launching in 2009, NE1 has implemented a wide range of initiatives designed to raise the profile of Newcastle and attract additional visitors, including Alive after Five, Newcastle Restaurant Week and Newcastle Fashion Week.”

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NEWS North of England Excellence Awards The 2014 North of England Excellence Awards are open for nominations in a range of categories, including innovation, leadership, sustainability, international trade and customer service. This year’s awards will be presented by John Cridland, director general of CBI, at a gala dinner on Thursday November 13. The closing date for entries is Friday July 25. For more information, and to enter, visit www.northof englandexcellence.co.uk

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HONOUR

Dame Margaret’s outstanding award Dame Margaret Barbour, who has been the chair of Jarrow-based Barbour for more than 40 years, has been honoured with the Outstanding Achievement Award at the NatWest UK Fashion and Textile Awards 2014. She was presented with the award in the year the brand marks its 120th anniversary, in recognition of her work as chair to reinvent the brand from rural and naval work wear to a global fashion brand, as well as her long-standing contribution to the UK fashion industry. “We are thrilled and honoured to present Dame Margaret Barbour with the NatWest UKFT Outstanding Achievement Award at this year’s ceremony,” said John Miln, CEO of UKFT. “Under her guidance, Barbour has gone on to become one of the most significant and iconic British brands both here in the UK and around the world. Her contribution to the UK fashion and textile industry has been immeasurable and we look forward to celebrating this welldeserved win with her.” Dame Margaret added: “It’s a great honour to receive this Outstanding Achievement Award and to be recognised in this way. When I took over the company

in 1968 in the saddest of circumstances, I would never have dreamed that I would be accepting an award like this. “I think my late husband, John Barbour, would be proud of what I have achieved in turning Barbour into the global lifestyle clothing company it is today.” Dame Margaret has previously been honoured with a CBE for services to industry in 1991, and in 1995 she became president of the Royal Warrant Holders, as Barbour holds three Royal Warrants. In 2001, she also became a Dame Commander of the Order of the British Empire. The London label House of Holland won the UKFT Designer Award, while British designer Margaret Howell walked away with the UKFT Womenswear Brand Award for her contemporary collections. Christopher Raeburn became a UKFT award winner for the third time as he was awarded the UKFT Menswear Brand accolade. Jewellery brand Alex Monroe received the UKFT Accessories Award. The public were invited to vote for their favourite designer collaboration for the first time this year in the MyDaily UKFT Designer Collaboration Award; Isabel Marant picked up the prize for her collection with H&M.

SUN-SEEKING

Two new routes, to Agadir and Dubrovnik, will be introduced from Newcastle International Airport next summer. The move, by Thomson and First Choice, is part of a commitment to make sure customers can fly from their local airport. Karen Switzer, director of aviation planning for the two brands, says the introduction of new routes and extra capacity demonstrates the firms’ commitment to Newcastle Airport.

‘OARING’ SUCCESS The Butterwick Cup charity rowing race was hailed a success by the sponsor WR Planning Group thanks to the courage and generosity of the competing business teams which raised more than £4,700. Two teams from QA Weld Tech and GSE Systems raced along the River Tees in Stockton to raise more than £4,700 for the Butterwick Hospice. The race over 750 metres was watched by spectators at the annual Tees Regatta and saw the four man boat from QA Weld Tech narrowly reach the finish line first. Stockton-based employee benefit

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consultancy firm WR Planning Group organised and sponsored the Butterwick Cup with support from Tees Rowing Club.

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GLOBAL AWARD WINNER Newcastle-based North East Procurement (NEP) has been named Global Public Sector Procurement Organisation of the Year at the 2014 Procurement Leaders Awards. The company beat competition from around the world to win the prestigious award, which was presented at a ceremony the Hilton Park Lane Hotel, London. The awards recognise the best initiatives, individuals, and companies from across the world. Tracey Peggie,

employment initiatives manager at NEP, said: “NEP was created to bring efficiencies in procurement for our members, and support our communities with employability and regeneration initiatives. Winning is testament to our success over the past five years.”

You will need to be passionate about sales, have an eye for detail and strong communication skills. Your main responsibility will be to develop commercial sales revenues in the printed magazine and associated online platforms, such as www.necontact.co.uk and the Contact Bulletin, a fortnightly emailer. There is also the opportunity to be involved with Offstone’s other print and online brands. For further information and to apply visit www.offstonepublishing.co.uk/mediasales-executive

Unit One, Bearl Farm, Stocksfield, Northumberland, NE43 7AJ t: +44 (0) 1661 844 115 www.offstonepublishing.co.uk JUNE - JULY 2014 / CONTACT / www.necontact.co.uk / 23

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Paul Watts, Julie Price and David Price of The AMA Group

Bringing work home Following the launch of Reshore UK earlier this year, NECC, UK Trade & Investment (UKTI), and HSBC are hosting an event for businesses to find out more about how they can bring their production back to the UK. UKTI and the Manufacturing Advisory Service (MAS) launched Reshore UK in January this year as a one-stop-shop to help companies with the repatriation of their manufacturing services. Successful examples of reshoring include the repatriation of AMA Group in County Durham in May, marking a revival of the region’s clothing industry. Julie and David Price and Paul Watts, along with Steven Price and Steven Lawson, seized upon signs of revival of the industry to create the AMA Group Ltd and open a facility on Whitehouse Business Park in Peterlee. Watts says: “It’s very rewarding to see garment manufacturing begin at our new premises. The industry employed thousands of people in the North East and we firmly believe we could recreate that success.” The seminar is at HSBC, Team Valley on July 2. To register, email events@necc.co.uk

Celebrities raise £200,000 for CHUF

Close House charity day a big-name success

lose House owner Graham Wylie welcomed celebrities and sports people from across the UK to Close House in Northumberland for the annual Have a Heart charity golf day in aid of the Children’s Heart Unit at the Freeman Hospital in Newcastle. CHUF patrons Ant and Dec (pictured) joined the teams on the day, fresh from picking up two BAFTAs the previous evening for their hit television show Saturday Night Takeaway. Dec said: “The children’s heart unit is so important. We have visited it and seen for ourselves the brilliant, important work being done there. The doctors and all the staff do a great job keeping all the kids’ spirits up during difficult times.” Ant said: “It’s not just the people from the North East who use the unit; it’s people from across Europe. We have got to keep supporting the unit and keep it here. We are very proud of the work it does in the region.”

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More than 50 celebrities, including sports presenter Clare Balding, talk show host Jeremy Kyle, and former cricketer Brian Lara attended the golf day, which included the chance to win £1m for a hole-in-one and was followed by a fundraising dinner at the Marriot Hotel, Gosforth Park. Alan Shearer, who also attended, said: “This event gets bigger every year. There are 52 celebrities here today, which tells you how close people feel to the charity.” The golf day has become a landmark in the North East golf calendar since it was set up by Wylie, whose daughter Kiera underwent treatment at the unit after she was born with a rare heart defect in December 2009. He said: “Everyone has had a great time and they have enjoyed the day. It is something I want to do as my daughter’s life was saved by the unit.” The money raised at this year’s event will benefit CHUF and the building of a new parents’ accommodation block at the hospital.

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The right company A new social networking organisation for professional singles aged 35+ has launched in Newcastle prompted by the founder’s own experiences. The founder of Right Company, businesswoman Helen Humphrey, says: “I had been married for 14 years when my marriage broke up amicably in 2010. I was put off dating agencies because of the one-to-one nature of the encounters. I liked the idea of meeting in groups without an absolute agenda of finding a partner. It is easier to see what others are really like in a group situation. I decided to set up a club for professional single people over 35 and offer events on a regular basis where people could meet and get to know each other in a relaxed environment; things like dinner and drinks, days out in the country, wine tasting evenings, cookery and cocktail making days, dance workshops etc.” Members of Right Company are from all over the north of England and are single, widowed and divorced. Members are 35+ and join online for free.

GREGGS BACKS EX-OFFENDERS

reggs is a leading voice in a campaign to encourage employers to employ ex-offenders. The Employers Forum for Reducing Re-offending (EFFRR), led by a 17-strong panel of business leaders including Roisin Currie, people director at Greggs, recently hosted a seminar in Newcastle to outline the opportunities and support available. Presenters were in conversation with offenders and employers with positive experiences in recruiting people after prison at the event which was held by Pertemps People Development Group (PPDG) at Jury’s Inn. Naomi Robertson (not her real name)

told how her life changed in an instant on a journey to work when she knocked down and killed a pedestrian. She had not realised that she would still be over the limit. “It was devastating to know that driving to work that morning had caused someone to die,” she said. “I couldn’t think of anything but the family and the whole time I was in prison I didn’t know what I was going to do. “I was released and spent the next 15 months out of work so I decided to volunteer at a local hospice. Luckily for me, PPDG saw something in me and I was offered a role at the company, so I now get to help others who are in a similar position.” Greggs’ Roisin Currie says: “We need to do everything we can to help and support people back into work.”

BACK TO WORK Remploy, the provider of employment services for disabled people, has revealed it delivered 18,500 job outcomes for disabled and disadvantaged people last year, taking to more than 80,000 the number of people it has supported into work over the last five years. Latest figures show strong continued growth in the number of people supported into work, particularly those with more severe disabilities or health conditions Chief executive Beth Carruthers says: “This wonderful achievement of supporting 82,500 people in the last five years is a tribute to the

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extensive relationships we have with employers and recognition that employing disabled people delivers real social and economic value. This year we anticipate passing the fantastic milestone of supporting more than 100,000 people into work.”

ELECTRIC BIKE SCHEME SPARKS MAJOR INTEREST A congestion-busting scheme that lets people in Newcastle and Gateshead rent a free electric bicycle is proving a runaway hit

he free electric bicycle scheme in Newcastle and Gateshead initiative, part of the Go Smarter alternative transport campaign, aims to reduce traffic across Tyne and Wear by persuading people to leave the car at home. Father-of-four Andy Hunter of Cochrane Park, Heaton was one of the first to take the monthlong free trial – and liked the electric bike so much he bought one. “It’s brilliant,” Andy said. “I do have a normal bike, but I don’t like arriving all hot and sweaty at work. “The great thing about the electric bike is that you can turn the electric assistance up or down. Ten electric bikes are being provided for hire at The Hub cycling café and shop on Newcastle’s Quayside. Andy is a tutor at Newcastle City Learning, and filled in the Go Smarter survey at work. Go Smarter’s travel experts then prepared a personal travel plan for him and recommended an electric bike trial. The trial worked so well he bought a second-hand bike online. “I use the bike to go to work, or to the shops, and I have a trailer so I can take my daughter Izzy

If you think Go Smarter could help your business, contact us via our website at www.gosmarter.co.uk

to nursery – she loves it,” he added. Go Smarter is run by the Tyne and Wear Integrated Transport Authority, and provides advice and projects for schools, individuals and businesses as well as offers, including free public transport taster tickets. Go Smarter to Work delivery manager Peter Henson said: “We’re finding all sorts of people are trying out the electric bikes on our free taster months.” “As Andy’s experience shows, using an electric bike can not only help reduce traffic congestion and benefit the environment, but can also save you fuel and help you get fit.” The electric bicycle free trial month offer is available to employees in the Newcastle Gateshead employment area whose companies are taking part in Go Smarter. For more information, visit www.gosmarter.co.uk or email peter.henson@newcastle.gov.uk The Hub is holding an electric bike demo day on Sunday June 1 from 10.30am - 4.30pm, with a ﬂeet of bikes for people to try out along the quayside. For more details tel 0191 276 7250

(Left-Right) Peter Henson, Go Smarter to Work delivery manager; Andy Hunter with his daughter Izzy, and Claire Taylor, Go Smarter Business Advisor

NECC POLICY

Spotlight on North East Innovation NECC policy adviser Lucy Humphreys takes a look at the North East’s role in business innovation

he impact innovation has on the North East is palpable, making the region more competitive, giving higher returns on investment and increasing living standards. As the Government places innovation firmly at the forefront of its drive for business, it is vital that the region ensures Westminster fully recognises the excellent contribution the North East is making to the UK economy through its outstanding innovation projects. The Government also needs to recognise that the key to innovation success lies in taking a regional approach

to further accelerate growth, playing to existing strengths and expertise. NECC is launching a research project into North East Innovation to showcase the best and focus on its role in enhancing the region’s reputation as a great place to do business. The project is spearheaded by Teesside University in cooperation with four key partners, each focusing on a different element of innovation. BT is looking at technology, Bond Dickinson is looking at process, Gateshead College is focusing on product and Virgin Money is responsible for looking at service innovation.

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The results of detailed research, business interaction and the compilation of case studies will comprise a final report and supplementary document highlighting the best of North East innovation to tie in with NECC’s 50 Great Reasons campaign. Cliff Hardcastle, deputy vice chancellor Research and Enterprise at Teesside University, says: “Innovation is key to the future of UKPLC. The North East has led on innovation from the industrial revolution to the industries of tomorrow such as offshore, wind, sub-sea, digital and biologics. Innovation is to be found all around us and it is our responsibility to exploit that spirit of innovation.”

PRODUCT INNOVATION

Jordan Valley Semiconductors Belmont Business Park, Durham Jordan Valley was shortlisted in this year’s North East Business Awards innovation category and is the leader in X-ray metrology for Silicon semiconductor industry (Si) production lines. Jordan Valley has developed pioneering X-ray products, which have a higher sensitivity and throughput than others. How is this an innovation? Optical inspection is standard for quality control in the Si industry to control yield of working product due to defects in the material. However, there is a large proportion of unexplained yield loss, where the defects causing the loss cannot be observed by existing optical defect tools. These so-called non-visual defects are problematic within the industry, causing losses which run to many millions of pounds per year. Jordan Valley’s products are innovative as they offer fully automated image creation, defect detection and classification, and can see defects which until now remained hidden.

PROCESS INNOVATION

CatalySystems Ltd The Wilton Centre, Redcar, Teesside CatalySystems Limited was a finalist at the North East Business Awards for the innovation category for its development and commercialisation of novel industrial wastewater treatment systems for water recycling and reuse; a development which poses major export potential. How is this an innovation? CatalySystems’ product is designed with the aim of reducing both the water and carbon footprint of industrial manufacturing processes. It allows for process waters to be recycled and reused, either on plant or for other purposes. In this way, it provides for scarce water supplies to be conserved for crucial human and agricultural consumption. In the trials undertaken to date, the water polishing plant and the process used has proved to offer superior performance over incumbent technologies and to use less energy, indicating that it offers the potential for further development.

TECHNOLOGY INNOVATION

Embryonyx Ltd Regent Centre, Gosforth, Newcastle Embryonyx Ltd devised Happylegs to address a gap in UK healthcare provision for a product to address the problem of poor circulation in the legs of disabled and chronically ill people. Happylegs is a seated walking machine endorsed by healthcare professionals and supported by a therapeutic report. How is this an innovation? Embryonyx Ltd identified a need for a product that doesn’t require the user to physically operate it. While there are foot rockers and mini-cycle machines on the market many people, for variety of reasons, can’t use them. Unlike other devices, Happylegs is not powered through electrical muscle stimulators ensuring that people with pacemakers or heart problems can use it without concern. By identifying an issue and by developing an innovative technology to address this, Happylegs has the potential to transform the lives of people who are elderly and/or disabled.

SERVICE INNOVATION

Clive Owen & Co LLP Darlington, Durham and York Research and Development tax breaks can help to support Innovation, but historically the North East is the worst region in the country at claiming them. The amounts recovered through R&D can be substantial and, in a leading example of service innovation, Clive Owen & Co LLP and Teesside University are providing a unique method of processing R&D tax credits. How is this an innovation? Applying for R&D tax credits can be daunting, but the partnership between Teesside University and Clive Owen & Co LLP can make the process smoother. Experts from the university provide an impartial assessment through a technical report on the nature of the research, advising what can legitimately be counted as R&D to assist a company with the validity of any claim it wishes to make. Experts from Clive Owen & Co LLP can then work out the value of this research and calculate how much the company is entitled to claim as an R&D tax credit.

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SUCCESS

Rise of the machine Bryn Littleton unveils the latest innovation in robotic engineering

f science fiction has taught us anything, it’s that, one day, robots will rule the world. And while the apocalyptic visions presented by The Terminator and The Matrix are a far cry from reality, one Tees Valley company is breaking new ground in robotic engineering in the real world. The picturesque village of Seamer, near Middlesbrough, may be an incongruous location for a business at the cutting edge of automation concept, design and manufacture, but Labman Automation is no ordinary company - a fact that is immediately evident from the design of its state-of-the-art timber-clad headquarters. The huge open-plan base of operations houses engineers and designers who sit alongside apprentices and senior management; there are no hierarchical divisions at Labman and constant communication between team members is enthusiastically encouraged. There’s a vast climbing wall, an outdoor go-kart track, and a fireman’s pole to allow employees to gain rapid access to the shop floor, complete with table tennis table. The people who work here are at the cutting edge of conceiving and creating futuristic machines for a host of

industries and sectors, as envisaged by the company’s founder, Prof George Carter, when he began in 1979. “We don’t have offices, we don’t have a hierarchy and openness is very much encouraged,” says MD Andrew Whitwell (pictured). “Our founder didn’t want barriers between departments. He’d worked at British Steel in that sort of atmosphere and he was determined to avoid it here.” Labman Automation was established to specialise in robots for teaching purposes. Originally operating from its founder’s home, the company later moved to the Cadcam Centre in Middlesbrough, serving universities and colleges which use teaching robots to aid students in learning about mechatronics, a multi-disciplinary field of engineering which includes mechanical, electrical, control and computer studies. “These small robots go through the motions of an operation,” says Whitwell, “helping students to learn the associated tasks in the same way that a software programmer would learn using a computer.” But by the mid-1980s, Labman was producing pharmaceutical robots for major customers such as

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We have a passion for innovation wherever it is needed across the world

frustrating experiences with Glaxo SmithKline and the engineers we’ve taken on educational robot side of the straight from university, but it’s business was sold to a been quite the opposite with specialist manufacturer. the apprentices. Whitwell joined the “They’re smart, eager and company in 1991 and created keen to soak up as much approved effective quality knowledge as they can. They control, promoting the systems get to sample each element of worldwide and opening the business at Labman and lucrative markets in the US, this helps them not only learn Australia and Europe. about the business, but also This was quickly followed settle on an area where they by a move to Stokesley and we feel their skills are Business Park and rapid most suited. expansion as worldwide orders “We engage with schools in began to flood in. Labman Stokesley, Egglescliffe, Yarm moved to its purpose-built and Middlesbrough. We meet premises in Seamer in 2011. the students and explain the Prof Carter remains a career opportunities that hands-on director alongside engineering offers and talk his role of visiting professor of about what we do. It’s design engineering at Durham great to see how enthused University and the company some of them are.” now employs around 40, Labman works with mainly mechanical, leading names electrical or software across many engineers. “THEY’RE SMART, “Labman’s EAGER AND KEEN TO industries in pharmaceutical, technology and SOAK UP AS MUCH bioscience and knowledge is KNOWLEDGE AS utilities sectors constantly THEY CAN” through to evolving,” says universities and Whitwell. “But what research centres. It remains at the core of our counts Akzo Nobel, Glaxo business is a passion for SmithKline and Unilever among innovation that meets our its clients and it has supplied customers’ requirements robots all over the globe, wherever they are in the world.” including within the Arctic Labman can build a robot Circle. “It’s in the Lapland area for anything - paint durability of Sweden, close to the famous testing, sub-zero biological ice hotel in Kiruna,” says material harvesting and Whitwell. “With temperatures storage, food contamination as low as -25C, super-thermal analysis systems, powder underwear is packed whenever feeding, liquid handling, vial we visit!” capping and de-capping Labman has ambitious you name it, they can automate plans to work in new industries the process. and with this will come the There is a culture of recruitment of more engineers. continuous improvement here With an order book stretching and the company’s focus on 18 months into the future, the future has helped it to Whitwell says: “We look at remain at the forefront of its requirements, share ideas and field. It is also committed to provide a summary of the apprenticeships, currently bespoke robot that will meet a employing five North East customer’s needs. We create a Chamber of Commerce detailed report, including 3D engineering apprentices. Solidworks diagrams, before Senior manager Jamie Marsay building the robot.” says: “We’ve had some

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PROFILE

If the shoe fits

It was inevitable that Charles Clinkard would one day end up running the family footwear business, and it’s proved a perfect fit, as Liz Hands discovers

s a boy, Charles Clinkard would help out in his grandparents’ shoe shop, breaking up boxes and putting customers’ purchases into bags for pocket money. “I was 12 when my grandmother Eveline told me she needed someone to run the business in the next generation,” says Clinkard. “She probably said that to all the grandchildren, but it ended up being me who took over.” Clinkard, now MD of the Stockton-based firm, says his shop experience gave him a “good grounding” before he went to college for his A-levels. “I got three Ds,” he adds. “My wife always says I don’t need to tell everyone that, but I enjoyed school. I was okay academically, but there wasn’t a degree I wanted to do, so I didn’t go to university. Instead, I went straight to London and joined Bally shoes as a trainee manager.” He went on to manage Bally’s flagship store on the corner of Oxford and Regent streets in London before his father Roger asked him to head back north and work for the family firm. “The first thing I had to do was shut the Stockton shop down,” says Clinkard. “We’d been in Stockton for a number of years by then, but it wasn’t working. The shop was too big, the rent was too high and we weren’t trading well there, and I’d never had to do anything like that before. “I’d come from London where, as long as you ran a fairly tight ship, it was easy to make money. The Americans were here, the pound was weak

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against the dollar and they were spending money big-style. It was a great time to be working in London, so coming up here and closing a shop down was a shock. “I learned a lot from that. We closed two stores last year and opened two. If they’re not making money, it’s an easy decision. We tend to go in on a maximum five-year lease, and if we can get a break clause we’ll take it. It de-risks it for us.” While Clinkard naturally plays safe, he has taken the firm through a period of expansion and is still opening new stores when opportunities arise. In 2008, he took over 12 stores from Stead and Simpson, just as the recession was biting. “It was an interesting time,” he says. “We’d been doing very well, then suddenly things started to fall off a cliff. We’d been approached to take on these shops, it was a good offer and the bank supported it, so we went for it. We’ve still got 10 and they’re trading well. It turned out to be a very good decision. Unless we expand and keep going forward, we will die. The shoe trade has gone through tricky times, with Barratts and a few others on the high street going by the wayside in the past few years.” Clinkard puts his firm’s longevity partly down to the principles first established 90 years ago when his grandparents Eveline and Charles founded the business. “Finding good service on the High Street these days is quite a challenge,” he says. “That’s something not to be underestimated. We’ve got good, loyal people and we’re consistent. “We’re not about high fashion and we’re a little

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PROFILE

While Fred Astaire and Ginger Rogers dazzled with their nifty footwear in the 1930s and 1940s, the Clinkard company did the same

1968

1930s 1950

1924

In 1950, the second Charles Clinkard store opened in Finkle Street in Stockton

Charles and Eveline Clinkard opened their first shoe shop in Middlesbrough

Roger founded wholesale business Intershoe in 1968, innovatively importing winter boots from Scandinavia

WHERE IT ALL BEGAN

1940s

The company continued to grow as Edmund Hillary and Sherpa Tensing Norgay took their famous steps to the top of Everest

1953

Just after World War Two Eveline introduced children’s shoes to stores

bit different, so we stand out. If you go back 20 years, the likes of New Look and the fast-fashion businesses like Primark weren’t here. Now, New Look is the biggest supplier of ladies shoes in the country. But we get a lot of customers coming to us because they say you can’t buy decent shoes elsewhere anymore.” Clinkard, who now oversees 33 stores across the country, says he learned a great deal about business from his father and from his “formidable” grandmother, who worked until she was in her eighties. “I also worked closely with my father for 16 years and in all that time, we had only two serious fallouts,” he says. “He had a great eye for product, he was a good retailer and he was a huge personality.

It didn’t matter whether it was the cleaner or the MD of a company, he got on with everyone.” It was that charisma which saw Roger Clinkard named Personality of the Year at the Footwear Industry Awards; an accolade which was also awarded to Clinkard last year. “Father was the first person ever to get it,” he says. “And no other next generation has had it before me. It’s very nice, particularly as it’s voted for by people who work in the trade.” Clinkard is also inspired by other figures in retail, including Next chief executive Baron Wolfson. “Next is the pinnacle in retailing at the moment. Wolfson is an incredibly astute guy, someone I hold in very high regard in business,” he says.

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1969 Boots remained in the news a year later - this time moon boots as Neil Armstrong took the first steps on the Moon

And just as Next protects its margins by only discounting at set times of the year, so too does Clinkard. “We stick to RRP except in the sale,” he says. “On branded product, we don’t make the same margins as a Next or an M&S, so we can’t afford to discount. Plus, the brands don’t like you to discount because it undermines what they’re doing.” Clinkard introduced the Clinkard website, which now accounts for 15% of sales, and new iStore screens in shops to allow customers to order sizes and styles not available in store. He says moving with the times while sticking to traditional values has resulted in steady growth, with a few blips along the way. “When I first joined, the business was probably at the

In 2004 the company launched its online store

Adam Faith opened the company’s flagship store in Newcastle’s new Eldon Square

The company celebrated its 50th anniversary and opened its fifth store in Leeds

2004

1991

1975

1986

In 1986 Intershoe secured the Gabor agency for selling the brand in the UK

1989

1974

After 90 years Clinkard eyes are fixed on the future

Eveline House, the company’s new office and warehouse premises at Preston Farm Business Park, opened in 1991

In 1998 Charles Clinkard was appointed Managing Director – the proudest moment of his life

2014

1998

The awards continued in 2014 with the company winning Best Footwear Multiple Retailer at the Footwear Today Awards for the second time

Roger Clinkard became president of the Independent Footwear Retailer’s Association, as students marched on Tiananmen Square

interest or the more favourable weather, lowest point it’s ever been in my career. the signs are very encouraging. We were Then, when my father passed away in 11% up in February, which only gets us 2005, it was difficult because he was a back to where we were in 2012, but good mentor for me,” says Clinkard, that was a really good year.” adding that last year was also No matter how much tricky. “The weather was awful positivity surrounds the last spring, so we were “TRYING TO GET Clinkard empire, however, down 1%. We put in new MY DAUGHTERS TO he has two tough potential software and tills, so BUY SHOES FROM customers yet to crack; his people weren’t focusing on US IS PROVING daughters Lottie, 13, and their day job. We also VERY DIFFICULT” Evie, 10. “It’s just not closed in the Trafford Centre possible to be all things to all where we’d been losing money people,” he says. “Trying to get because of rent increases. my daughters to buy shoes from us is “But there are ups and downs in proving very difficult. They want to go to business; you expect that. We’ve had a Schuh, Office or Topshop. We’ve tried fantastic start to 2014, and whether it’s before to make our children’s department down to our 90th anniversary creating

more teenage-focused, but it didn’t work because young people of that age don’t want to be shopping there.” His wife Alyson, however, is a great ambassador for the business, and she just happens to be the perfect sample size four. “She used to be a nurse and a pharmaceutical rep, but since we’ve had the children she does our paperwork and she’s got a size four foot so she accompanies me on buying trips and tries on all the shoes. I didn’t know that when we first got together,” he laughs. “That just happened to come with the package.” It’s the retail equivalent of a Cinderella story that just goes to show how much the shoe business is embedded into every aspect of Clinkard’s life.

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PROFILE

On track Liz Hands talks to Newcastle College boss Carole Kitching about the region’s new rail academy

t’s the stuff of dreams for Thomas the Tank Engine fans who haven’t quite grown up. Newcastle College is building a world-class facility to train the rail engineers of the future. The academy build is well under way near Heworth Metro Station in Gateshead and when it opens in September it will house working track and signalling along with overhead cabling to create a realistic training environment. Two years in the pipeline, the rail academy is being created in a bid to help the North East meet demand expected for skilled railway infrastructure engineers as those in the industry reach retirement age and the new high-speed rail network is rolled out. “We were aware from early discussions with the National Skills Academy for Rail Engineering (NSARE), that they were becoming increasingly concerned about the ageing workforce,” says Newcastle College principal Carole Kitching. “In the next 10 years, 25,000 skilled staff are due to

retire from the rail industry, and 1,000 of those from the North East in the next four years. Plans for the academy pre-dated all the excitement about HS2 and we were purely looking at developing a route into the industry in a whole range of skilled occupations.” The academy will complement, rather than compete with Hitachi, which wants to build a university technical college at its Newton Aycliffe site. Newcastle College’s academy will be concentrating on track and signalling to train and up-skill workers because of changes set to come into force in the industry which will see signalling taking place in the cab rather than externally. Three other key areas will be telecommunications, electrification and plant, and traction and rolling stock. “It’s not about the manufacture of carriages, which is very much what Hitachi is doing,” says Kitching. “It’s much more about the rail infrastructure itself, as opposed to the building of coaches and engines.” The college is using

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“We’d like to see a lot more women in industry particularly in engineering”

the same model for its rail offering as that of its aviation academy. “When you land at Newcastle Airport, on the left of the runway is the Newcastle College Aviation Academy,” says Kitching. “It’s right next to the runway, which is very exciting for the students working there, and that’s what we’re looking at for the rail academy. “We wanted to use a model where the training for young people is very close to the

industry itself, not just in the development of the curriculum, but physically close. At the airport, we do aeronautical engineering, but also the service side, so all the training for Jet2 and ground staff. We wanted to replicate those two aspects for the rail academy so, although we’re starting off with the engineering training, we’re shaping the service side alongside that.” Kitching says she was “pushing at an open door”

when talking to employers about opening the academy because of the desperate need for such a facility. But what is likely to be more challenging is encouraging a more diverse workforce into the rail infrastructure industry. “We’d like to see a lot more women entering the industry, particularly on the engineering side,” says Kitching. “Yes, there is welding and some oily bits but, actually, this is really high tech stuff. There’s still quite

an old-fashioned view of engineering which prevails unless you’ve actually been involved. People don’t realise you can be a first-class engineer and not get a drop of oil on your hands, ever. It takes time to shift that perception. “It’s not all about getting women in, but that’s particularly significant,” she adds,” because women are really underrepresented and that’s just not sustainable.”

Kitching is, however, not afraid of a challenge. Having spent 10 years teaching English in Greece, she went on to work in further education, turning around the fortunes of Yorkshire Coast College in what Ofsted inspectors described as “the most comprehensive and convincing turnaround in just 14 months”, before she came to Newcastle. Despite the announcement that the high-speed rail

network will only reach as far north as Leeds, Kitching expects many of her students to go on to work on the project. “I can see the obvious disadvantages for the North East in not having HS2,” she says. “But for the rail academy, HS2 will enhance the offer and the interest and we’ll be working hard to become one of the spokes of HS2 training.” Along with HS2, Kitching expects Network Rail to employ her graduates and also wants to work with the successful bidder for the East Coast Mainline franchise. The academy will offer higher-level skills training as part of what Kitching describes as a “renaissance in manufacturing” in the North East. “There’s always been an understanding among employers,” she says, “but there’s an increasing understanding among the population more generally and in schools about what modern manufacturing looks like and what the opportunities are. “One of our constant challenges in the North East is we have bigger gaps in higher levels skills than in some regions so we need not only to train people to those levels but to retain them in the area. But, the balance is swinging now. You only have to go along the north bank of the Tyne to see how many exciting things are happening. “It feels vibrant and we need to get young people to get out and have a look, to feel some of that buzz and energy. “Coming as an outsider to the area, I notice there’s a lot of talk about what we used to have, or what everyone else has got, as opposed to what we have got and what we can do. “But these are exciting times for the region.”

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PROFILE

On your marks Owen McAteer hits the trail with niche sports brand Innov-8

fter building up shareholders. I’m a very an outdoor competitive person who likes sports brand to do things differently and I endorsed by like to challenge the norm. gold medalInov-8 allows me to do that, winning Olympians and worn making products which I feel by adventurer Bear Grylls, it are best for the market and appears only fitting that approaching what we do in a Inov-8’s founder is different way from celebrating his own team’s competitor brands.” award-winning performance. After moving to the North The lightweight shoe firm East in 1992 from his native that started life in a Zimbabwe, where he Methodist church built up a chain of hall in rural Co sports shops, Edy “WE’VE BUILT Durham worked first as A BRILLIANT celebrated the head of the BRAND SOLD IN winning a footwear MORE THAN 60 Queen’s Award division for for International SunderlandCOUNTRIES” Trade in April. based outdoor The recognition clothing firm came almost 11 years Berghaus before after entrepreneur Wayne Edy becoming MD at Wearside saw a gap in the market for boot firm Brasher. specialist outdoor training He then decided to strike shoes for those who prefer out on his own, developing his to run and train on first shoe in a coach house in rugged terrain. the garden of his home in “I had always had a desire Stanhope, Co Durham, before to have my own brand that setting up in earnest in that would allow me to be as church hall in Wolsingham. competitive as I wanted and “I was based in Weardale push the boundaries,” he says. and at that time that was the “With some companies only place available where we you’re always working within could potentially run a the constraints of the business locally,” says Edy,

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Athlete Tom Addison

who was convinced he was on to a winning idea. “I come from an outdoor and sports background and you have to find a smaller niche to start a brand these days and grow out from that, so that’s what we did. “We’ve been very successful in achieving that and building an amazing brand with huge potential, sold in more than 60 countries and with a fantastic reputation.” The firm has enjoyed 10 years of consistent year-onyear sales growth, including a 40% rise in 2013 and in 2012 securing a £12m equity investment from Londonbased Isis Equity to drive the business forward. In recent years, Innov-8 has branched out from shoes to specialist sports clothing and accessories and 77% of its sales are now outside the UK. “It’s been an amazing ride and we’re so proud to receive a Queen’s Award,” says Edy. “June marks the start of our 11th year and I think that’s an amazing achievement for a small brand and all credit to the team.” That team includes 40 UK employees, 19 of them based

Innovator Wayne Edy Fell runner Victoria Wilkinson

Anna Tunnicliffe in training

Obstacle course racer Jon Albon Fell racer Ben Abdelnoor

at the firm’s head office in Crook, Co Durham, with a further 17 based at its sales and marketing hub in Staveley, Cumbria, and four field-based. In 2009 the firm opened an office in Boston, USA employing 24, and there are a further four staff employed within a sourcing team in China, where the shoes are manufactured. Edy says that from the outset he was committed to creating jobs for Co Durham youngsters, many of whom have gone on to senior roles within the firm. “I’m a big fan of providing jobs for youngsters in the Dale,” he says. “We have a successful track record of developing young talent who have gone on to become managers in the business. “We’ve also developed award-winning apprenticeship schemes and 60%-70% of those young people are still with us.” Part of that commitment to Weardale saw Inov-8 become the first firm to sign up to the Eastgate Renewable Energy Centre; an ambitious project to develop an eco-friendly business park which would have created 350 jobs on the site of the former Lafarge cement works. “Developing those opportunities in the Dale was very important to me,” says Edy. “Unfortunately, Eastgate didn’t happen because the funding was pulled and we are now based in the Crook area.” The company supports and sponsors an international team of elite athletes who compete in a variety of disciplines including mountain running, road running, triathlon and CrossFit. “We want to stay in specialised niches, but we need to grow to a certain level,” says Edy. “We were clear that our target end users are those committed athletes who train more than twice a week and

are very committed to their sport. “For many involved in off-road and trail running, or serious athletes in disciplines like Cross-Fit, we’re the brand of choice.” Among those to show their support for the brand are former US Olympic gold medal-winning sailor Anna Tunnicliffe, who is now one of the best functional fitness athletes in the world, leading fell racer Ben Abdelnoor, and Victoria Wilkinson, who has won the first two races in the 2014 English Fell Championship. “We sponsor athletes in the different disciplines we support and they are also involved in key stages of development,” adds Edy. A growth in non-elite athletes taking on more extreme sports such as triathlon and fell running has also opened up opportunities for the firm. “It’s definitely an exciting time,” says Edy. “People are more conscious of fitness and are doing more challenging sessions. “We’re in a good niche and an exciting market place, and as a technical brand it’s a good space to be in.” Given its outdoor credentials, Edy is also keen that the business is run on environmentally friendly and ethical lines. This extends to production in China, where its factory is a large local employer with no staff aged under 18. Above-average salaries are paid and it boasts good working conditions in a safe working environment Despite impressive growth, Edy has every intention that the business will remain based in its Co Durham home. “This region is our registered head office and that is where the business started. We have a great team of people and we want to keep adding to that.”

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SKILLS

APPRENTICESHIP CHALLENGE: AN UPDATE More than 800 new apprenticeships and training opportunities have been created in the North East as part of the 100 Days Apprenticeship Challenge. As the halfway mark approached in May, 506 employers had signed up, creating 660 new roles within business and supporting 178 existing staff members in new training opportunities. NECC and partners the National Apprenticeship Service launched the 100 Days Apprenticeship Challenge to highlight the importance of apprentices in the modern workplace, and encourage North East employers to take on more apprentices.

HANGING ON THE TELEPHONE BT is to create up to 80 new engineering jobs in the North East as part of a major recruitment drive across the UK. It is particularly keen to recruit in Durham, Darlington, Stockton and parts of Northumberland and the new intake of engineers will help to bring high-speed fibre broadband to communities all over the region. Joe Garner, chief executive of BT’s Openreach, says: “We want to attract the best in the country and we are also keen to recruit women.” BT also has longstanding relationships with UK Armed Forces and some of the new recruits will join through its Civilian Work Attachment scheme.

Apprentice Ben James

Ben’s career kick-start Training programme leads to apprenticeship NECC’s first successful Ben, from Eston, Traineeship candidate Middlesbrough, left school has completed his in 2013 unsure of his career programme, opening the options. He was among the way for him to move into an first to enrol on the NECC apprenticeship. scheme, which began Ben James, 17, last October. He says: “The has passed his Traineeship programme English Functional helped to build my Skill level one confidence and since enrolling put in place the “EARNING AS on the skills I needed I LEARN ON course and to enrol in an THEJOB gained an apprenticeship. IS FANTASTIC” insight into Securing the customer service. apprenticeship He has started has been great and a Fabrication and Welding earning as I learn on the job level 2 Apprenticeship is fantastic.” with NECC and is working NECC has been involved towards his NVQ level 2 in traineeships since they Diploma in Performing were introduced by the Engineering Operations Government in September while working for BMM 2014, providing essential Heaters at Riverside Park, work preparation training, Middlesbrough. skills in maths and English,

and the work experience needed to progress into an apprenticeship or a job. NECC regional professional skills manager Kelly Gaston says: “Traineeships unlock the potential of young people. Funded by the Government, NECC delivers traineeships in partnership with employers, providing valuable work experience placements and interviews as part of the programme.” Learners attend weekly day-release at NECC’s Middlesbrough Centre over a six-month period to gain essential employability skills. They also receive induction training in health and safety, data protection, and equality and diversity before they start their placement.

For more details about Traineeships, visit www.necc.co.uk/what-we-do/apprenticeships-training 40 / www.necontact.co.uk / CONTACT / JUNE - JULY 2014

APPRENTICES SECURE FULL-TIME EMPLOYMENT THANKS TO SCHEME

Dan Carr

Owen Pugh employees Claire Brown, Mark Brown and Geoff Turner

OWEN PUGH CEMENTS CAREERS

DIGITALCITY HELPS JOB HUNTERS Teesside University’s DigitalCity has delivered an innovative programme to help people with mental health issues to improve their employment prospects by creating a digital portfolio. Steve Thompson, social entrepreneur in residence at DigitalCity, worked with Redcar and Cleveland Mind to deliver the Hotspot for Jobs project to

help people with online job-hunting. Tom Plumb, 58, of Saltburn, who took part in the Hotspot for Jobs project, says: “It’s given me a better understanding of what employers are looking for. I’m also a support worker for people with mental health problems, so I can pass on some of the knowledge.”

Tom Plumb

Darren Smith

Sean Mitcheson

Three apprentices from County Durham have secured fulltime employment thanks to a local housing association’s employment scheme. Sean Mitcheson, Daniel Carr and Darren Smith have all gained full-time jobs after working as apprentices for Social Enterprise SHED, which is run by Derwentside Homes and employs residents who have been out of work for six months or more. In April 2013, Derwentside Homes teamed up with East Durham Partnership to set up a training scheme, which matched the SHED apprentices with prospective employers in the region.

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Image Credit: Doug Moody Photography

CVs to helping you stay positive about Construction firm Owen Pugh is providing finding work when times are tough. The opportunities for young people in introduction to Owen Pugh has been lifeNorth Tyneside through a partnership changing. I love the job I’ve got now, and with a local charity. the training is fantastic.” The Owen Pugh Group, which is Since 2010, Owen Pugh has headquartered in Dudley and has provided financial support operations across the North towards Phoenix Detached East, has taken on its fifth “THE Youth Project’s operating young employee through its INTRODUCTION costs, set up a food bank relationship with the Phoenix TO OWEN PUGH to support young people Detached Youth Project HAS BEEN LIFEaccessing the charity, and (PDYP) charity, which works CHANGING” sponsored activities for with teenagers and young young people. It has also adults in Meadowell, Percy Main, provided training, mentoring and East Howden, Royal Quays, employment opportunities for a number and Chirton. of young people. Geoff Turner from North Shields has Laura Gordon was appointed as an been appointed by the business as a administrator within the company’s full-time painter and decorator across training division last year and more the company’s five sites. He says: “The recently, Owen Pugh took on trainee help I’ve had from Phoenix has been lab technician David Henny. fantastic, they do everything from writing

EXPORT

CUP WINNER

Expanding Sunderlandbased design and consultant engineer Desco has won a contract to work on a Qatar World Cup venue. Desco is carrying out design work for one of the stadiums being built for the football tournament in 2022. This follows other sporting jobs for Desco in Qatar, including two Olympic-sized swimming pools and a new national football centre for the Qatar team. The company, based at Sunderland’s Doxford Park, began chasing work in the Middle East during the recession.

DUBAI EXPANSION Barnard Castle-based Zine digital media services has its first international franchisee in Dubai. Abu Backer has launched a Zine franchise for the Middle East and secured his first two clients in less than two days of launching his business. Zine MD Alan Bradley says: “This is the first step in our plans to develop Zine as a global brand. The opportunities for franchisees with Zine are superb. We are going from strength to strength and we offer all a business needs to succeed online.” Zine provides fully responsive websites and social media pages and clients include new start-up companies to multi-nationals.

Champions of export celebrated  Bill Armstrong, Hadar Lighting - part of the A-Belco Group and; Pat Dellow, HSBC

The champions of North East exports are unveiled at the North East Exporters’ Awards

HSBC says: “HSBC helped numerous North he big winner of the North East East companies to grow their international Exporters Awards at Ramside business in 2013 and we’re delighted to Hall, Durham, was explosionsupport the North East Exporters’ Awards proof electrical equipment to recognise the efforts of forward-thinking manufacturer A-Belco, which individuals and companies that boost the picked up the Overall Exporter of the Year region’s economy by taking their products Award as well as the SME Exporter all over the world.” of the Year. New Exporter Award Now in their 19th year, the sponsored by Fentimans awards are sponsored by NECC THE CorDEX Instruments Ltd and HSBC and six winners ONLY REGION Mid & Large Exporter of the were announced. WITH A POSITIVE Year sponsored by UKTI James Rambsotham, BALANCE OF Glanbia Performance Nutrition chief executive of NECC, says: TRADE SME Exporter of the Year “These businesses help to sponsored by Arthur J Gallagher ensure that the North East is the A-Belco Ltd only region in the country with a Export Team of the Year long-standing positive balance of trade and sponsored by NECC that our region performs above the national SOLO Thermal Imaging Ltd average in exports on a Supporting Export Award per-capita basis. sponsored by Evolution Business “NECC, through the global chamber and Tax Advisors LLP network, is committed to forging new trade links across the world and continues to work Evolution Forwarding Ltd Overall Exporter of the Year Award hard to provide opportunities for North East sponsored by HSBC businesses to export overseas.” A-Belco Ltd Pat Dellow, area commercial director at

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FROM RUSSIA WITH LOVE

RISKY BUSINESS

 Nynzi Maung

he ERDF-funded NECC Access Programme has been back to Russia to build links for North East business. The Programme was launched in autumn last year to help North East companies initiate a market presence in the three expanding markets of Brazil, India and Russia. On a recent market visit to Russia - which boasts the second largest market of oil and gas in the world - Access Programme leader Nynzi Maung met with UK business support agencies including the UK Embassy Moscow commercial team, the Consul General in St Petersburg and the Russo British Chamber of Commerce. The country’s burgeoning oil and gas sector was a recurring topic of conversation throughout. She says: “Russia’s oil and gas sector value reached $23-25bn in 2012 with experts predicting further growth in the next 10–15 years. It’s the second largest oil-producing country with up to 14% of the world’s proven oil reserves. “It’s estimated that Russia will need to invest approximately $1tr to develop the

new oil and gas fields, which will include the creation of the appropriate infrastructure by 2030. “Russia is currently importing more than a third of its oil and gas equipment. This, coupled with the increasing demand for technologies and expertise in extracting hard to recover and offshore reserves, presents a vast array of opportunities for companies looking to penetrate the sector.” The Access Programme project is part-financed by the European Regional Development Fund Programme 2007-2013. For further information contact Nynzi Maung, tel 08450 768 391, email nynzi.maung@necc.co.uk

MAKING YOUR MARK IN RUSSIA: 1. Take the market seriously and visit. You can’t do it from a swivel chair in the North East. 2. Prepare marketing literature and website material specific to the Russian market and get it translated into Russian. 3. Get all technical guides and specifications translated into Russian. 4. Be prepared to negotiate on price – other European competitors do. 5. Consider market presence via a subsidiary, a representative office or a reliable distributor. 6. CEO-to-CEO level contact is vital. The most senior person should travel.

Thomas Miller Claims Management (TMCM) of Prestwick Park, Northumberland, is celebrating winning a Queen’s Award for International Trade. TMCM provides unique global risk management, problem solving, claims adjusting and operational support services to its clients in the marine, transport and general commercial business sectors. The claims team includes mariners, solicitors, medics, and insurance professionals able to call on decades of experience worldwide. The company began trading in 2007 and has grown overseas sales earnings 153% over the last three years.

QUESTION TYNE

Prime Minister David Cameron popped into the Port of Tyne for a bird’s eye view of the Port from the top of a 70m high container shipping crane. The new gantry crane, costing £6m, was installed at the end of 2013 and has enabled the Port to accommodate larger container ships, attract new business and improve operational efficiency. Cameron tweeted: “Incredible success story at bustling Port of Tyne, turnover has soared 50% to £63m since 2009, with a long term economic plan.”

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EXTRA FINANCE AVAILABLE FOR SMEs Extra cash ensures JEREMIE can continue investing in North East businesses

Jeremy Middleton, North East Local Enterprise Partnership board member

xtra finance has been made available to ensure that small and medium-sized businesses (SMEs) can continue to apply for funding through the North East’s Finance For Business scheme. An additional £17.5m was awarded to the North East by the Regional Growth Fund and the European Regional Development Fund to top up the current Finance to Business scheme – the JEREMIE fund – so it can continue operating for an extra year. Originally due to close at the end of this year, the region’s SMEs would have been left without this important source of money to apply for investment or loans until the planned £160m JEREMIE 2 is launched. The fund is expected to start investing at the beginning of 2016. New funding will plug the gap and allow the original JEREMIE fund to run until the end of 2015. Michael Karim, the North East LEP’s European investment policy officer, said the RGF and ERDF funds helped to ensure there are sufficient funds until the end of 2015. North East best in class Michael added: “We have been successful in the number of jobs we’ve been able to create and demand has been high. The current North East JEREMIE is the best in class of these funds around the country. “Importantly, we are ahead of our target for job creation, currently 1,500, up from the target of 1,100. It has been successful and ahead of schedule which is great news for business in the North East LEP area.” The existing JEREMIE fund has also supported 620 businesses and protected 2,100 jobs to date. It has successfully reached both sectors and geographical parts of the region that have previously not accessed this type of financial support. Over the last 10 years, the North East’s Access to Finance initiatives, including JEREMIE, have ‘played a key role in supporting the economic growth of the North East and its SME base’, according to a report by EKOS.

JEREMIE 2 The region’s SMEs will be able to continue accessing money from the original JEREMIE fund right up to the launch of JEREMIE 2. The North East LEP and Tees Valley Unlimited, its counterpart in the south of the region, are collaborating on the new £160m JEREMIE 2 fund, which will make investments over a five-year period. Using the experience of JEREMIE, it is predicted that the new fund will be able to help around 900 SMEs to create 4,500 jobs and leverage more than £100m of private finance. JEREMIE 2 aims to use legacy funding from investment funds which operated in the region from 1999-2010, and to attract European Investment Bank matched capital and ERDF investments. A new set of funds will be designed which may include similar themes to those in JEREMIE. Jeremy Middleton, chair of the North East LEP investment panel said: “JEREMIE has been a major success story for the region and shows the real difference access to finance makes for SMEs in terms of job creation and growth. “We are delighted that the North East will now not be left with a funding shortfall before JEREMIE 2 is up and running.” Contact North East Access to Finance for more information on Jeremie funding: Tel 0191 481 3126 or email info@nea2f.co.uk North East LEP 0191 222 3180 info@nelep.co.uk www.nelep.co.uk @northeastlep To sign up for North East LEP updates please visit www.surveymonkey.com/s/northeastlep

FINANCE

A question of money Dean Bailey considers the option of private equity funding

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FINANCE

North East Finance chief executive Andrew Mitchell

ccess to finance can make the difference between boom and bust for most businesses. Thank goodness then, in these post-banking crisis days, for private equity. When Northern Rock’s demise in 2007 was followed by the collapse of Lehman Brothers the following year, the days of cheap finance and highly leveraged companies came to a spectacular and abrupt end. Gradually, as the recession eased, companies looked to invest again but found they were still struggling to get affordable finance from the mainstream banks. Step forward private equity to bridge the funding gap. In the last few years equity and debt finance has provided the springboard for the expansion of many companies across the North East. Take the £125m Finance for Business North East (FFBNE) programme; the most successful of its type in the UK. Since its launch in 2010, it has boosted the fortunes of the local economy and given company owners the financial firepower to grow their business. The figures make for impressive reading; also known as the

JEREMIE programme, the scheme has provided £97m debt and equity funding to more than 600 SMEs across the North East, creating or safeguarding around 3,500 jobs in the process. In addition, it has secured £115m of private sector cash to support deals from venture capital firms, business angels and other investors, taking the overall investment figure over the £200m mark. Andrew Mitchell, chief executive of North East Finance, says: “This funding scheme was designed to boost the growth of local companies and the North East economy. “As economic conditions have eased and confidence has returned to the market, more companies have applied for FFBNE funds to fast-track their investment plans. “Private equity and debt finance have played a major role in kick-starting economic growth again after a damaging recession. The fact that FFBNE has reached this magnificent £200m milestone is testament to that. “Money is still available from the fund and could provide the ideal boost for businesses that require additional investment.” More than half of investments have

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been made in Tyne and Wear companies but in recent months fund managers have received a steady influx of applications from firms in Teesside, Co Durham and Northumberland. There are seven funds within FFBNE, each with their own dedicated fund manager. Backed by cash from the European Regional Development Fund (ERDF) and the European Investment Bank (EIB), the scheme is on track to support 850 businesses and create or safeguard 5,000 jobs by the end of next year. It has benefited a host of firms from micro businesses and start-ups to fastgrowth medium-sized enterprises. Investments have been made in companies across a wide range of sectors, including bio-technology, manufacturing, engineering and renewable energy. Andrew Mitchell says: “The seven funds within FFBNE cater for businesses of all sizes, from fledgling start-ups to highgrowth, medium-sized firms. They have helped businesses in a wide range of sectors including technology, manufacturing and renewable energy and have provided a solution to many companies seeking to obtain alternative forms of finance.”

ADVERTORIAL

The JEREMIE programme The £125m Finance for Business North East (FFBNE) programme is the most successful of its type in the UK. Also known as the JEREMIE programme, the scheme has:

THE SKY IS THE LIMIT WITH GROWTHACCELERATOR

Provided £97m in debt and equity funding

Benefited more than 600 SMEs across the North East

Created or safeguarded around 3,500 jobs in the process

Secured £115m of private sector cash to support deals from venture capital firms, business angels, and other investors

Reached an overall investment figure of more than £200m

Jon Dudgeon, Blu Sky Director

firm of North Shields-based accountants have been successfully working alongside the GrowthAccelerator business support service. As well as getting first hand experience by becoming a GrowthAccelerator client last year, Blu Sky Chartered Accountants, have then gone on to support their own clients by introducing them to GrowthAccelerator and helping them to secure growth funding for their own businesses. Blu Sky director, Jon Dudgeon, has worked alongside approved GrowthAccelerator coach, Neil Guilder to help businesses implement strategic financial plans to reduce funding gaps. Joan Louw, Access to Finance, growth manager with GrowthAccelerator, said: “It is a collaborative service that ensures there is synergy between GrowthAccelerator coaches and clients.” After having received the benefits of the GrowthAccelerator service as a growing business itself, Blu Sky immediately saw the value in encouraging their own eligible clients to join. “Neil and Joan have a great understanding of the funding that is available locally and nationally,” said director, Jon. “That expertise combined with our knowledge and passion for our clients businesses has delivered some real success stories.” Targeted at high growth businesses, GrowthAccelerator is led by some of the country’s most successful growth specialists and works to provide businesses with a support framework to help build a successful growth strategy and identify the steps needed to achieve the next growth phase. For businesses to be eligible for GrowthAccelerator they should be registered in the UK and based in England, have fewer than 250 employees and a turnover of less than £40m. The service then offers support in one of three areas: accessing finance, business development or innovation.

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FINANCE

£36m boost for business Northstar Ventures manages two funds on behalf of the Finance for Business North East programme - the £25m Accelerator Fund and the £15m Proof of Concept Fund - both of which invest in early-stage North East SMEs and between them have invested £36m into 169 companies since 2010. Northstar Ventures has investments across a wide range of sectors, including digital, Software as a Service (SaaS), healthcare and biotechnology.

CASE STUDY: ORCHID SOFTWARE

Funding: l-r Malcolm Archer (Hadrian Electrical), Rebecca Roberts (Northstar Ventures), Doug Martin (Hadrian Electrical)

CASE STUDY: HADRIAN ELECTRICAL

Gateshead-based intranet software provider Orchid Software’s Orchidnet intranet software is a fully featured suite of intranet applications used daily by more than 100,000 people across 100+ companies. Funding allowed its owners to expand the business.

Hexham-based Hadrian Electrical Engineering specialises in the supply and installation of renewable energy systems and provides electrical and refrigeration support to businesses and farmers. It shows great potential and has an experienced management team.

The funds are backed by the European Regional Development Fund and the European Investment Bank Northstar Ventures, tel 0191 229 2770, www.northstarventures.co.uk

Building Successful High Growth Businesses Over £80m under Management in the North East • Finance for Business North East Proof of Concept Fund • Finance for Business North East Accelerator Fund To access these funds or find out more, please call 0191 229 2770 or visit www.northstarventures.co.uk Northstar Ventures Limited is authorised and regulated by the Financial Conduct Authority.

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CONFIDENCE RETURNING TO SMEs HSBC’s North East commercial banking team have seen a significant increase in activity as businesses position themselves for growth

Geoff Westmorland, Deputy Area Commercial Director

rom their Gateshead headquarters HSBC’s North East commercial banking team of over 50 have never been busier. The team went into 2014 with a target to utilise a minimum of £100m from a fund created specifically to lend to SME’s looking to access finance for growth. “We are well on the way,” says area commercial director, Pat Dellow. “More than half of the SME fund has been utilised, the pipeline of applications is very healthy and we are still actively looking for good quality investment opportunities.” As well as an increase in the volume of funding applications there has been a marked increase in the quality and diversity of those applications. “What we’ve seen over the last couple of years is a willingness among SME’s to engage at a very early stage with our advisors and with other professionals to ensure they have a sound business plan that gives lenders confidence.” says deputy area commercial director, Geoff Westmorland. “Businesses have taken better advice at the planning stage,” adds Geoff. “Which means they are meeting with greater success when trying to access finance for their plans. It also means SMEs are able to access a broader range of finance options, not all of which are led by the bank. Increasingly we are working with fund managers such as FW Capital and asset management companies to provide a ‘suite solution’ that meets the needs of the business seeking funding.” The increase in demand has come from across the board but has been particularly strong from the engineering, manufacturing, food and chemical processing sectors, which Pat and Geoff see as a sure sign of a strengthening, growing economy. With the assistance of HSBC and other professional advisors, 24% of the last Regional Growth Fund assisted asset purchase scheme funding was won by North East businesses and a new RGF fund has just launched which HSBC will be publicising through its network. HSBC also continue to support the UK Export

Finance scheme, ensuring North East businesses have the funding and advice needed to grow into new markets overseas. On June 4 HSBC hosted more than 60 businesses at its ‘fast lane for growth’ event, and will provide more businesses with funding advice at its Access to Finance workshops in Q3 of this year. “The demand is there,” says Geoff “and we are working hard through our events and through our professional partners to get information on funding to as many businesses as possible. We are fully behind the Lets Grow campaign and work with business support organisations such as UKTI and NECC to back businesses wherever we can.”

Members of the HSBC Commercial Banking team, including Pat Dellow, Area Commercial Director, front centre

If you are interested in attending the Access to Finance seminar on 20th August 2014 - 6pm, at HSBC, Maingate, Team Valley Trading Estate, NE11 0BE please contact sandra.m.blain@hsbc.com to book your place. Maingate, Kingsway North, Team Valley Trading Estate, Gateshead, NE11 0BE tel 0845 607 6007

FINANCE

Investment for growth FW Capital manages two funds on behalf of Finance for Business North East. They are the North East Growth Plus Fund, investing between £350,000 and £1.25m in a single round in established, revenue-earning businesses in the North East of England, and the Tees Valley Catalyst Fund - a £10m fund which is managed for Tees Valley Unlimited, the Local Enterprise Partnership for Tees Valley. The fund provides short-term debt investments from £100,000-£2m.

CASE STUDY: IT’S ALL GOOD Gateshead-based It’s All Good (IAG), is a snack manufacturer specialising in tortilla chips. In 2013 FW Capital backed its management team with a £500,000 mezzanine investment to help the company develop its brand and product line as well as modernise its

production facilities. The investment allowed IAG to expand, and led to the company winning major UK retail contracts, including supplying M&S and launching a premium tortilla chip brand, Manomasa, which hit more than 350 high-end retailers in just nine months. The increase in business has helped to create more than 45 jobs in the company.

FW Capital, tel 0191 269 6969 (Newcastle) or 01642 343 494 (Billingham), www.fwcapital.co.uk

Finance North East For Business Growth Plus Fund

The team to finance growth

If you are looking for an investment partner who will help you achieve your growth aspirations speak to one of our investment experts on 0191 269 6969 or 01642 343 494 EUROPEAN UNION Investing in your Future

European Regional Development Fund 2007-13

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Supporting the region’s future NEL Fund Managers has managed 11 funds since it was estalished in 1989, most recently the £23m Finance for Business North East Growth Fund which aims to support businesses in a range of sectors and create new jobs across the North East. The size of investments ranges from £50,000£750,000 and the fund aims to facilitate the creation of more than 1,700 new jobs in the region, as well as safeguard a further 1,500 jobs by the end of 2014.

CASE STUDY: DECIDE. DECIDE. is a pan-European creative consultancy specialising in shopper marketing and packaging design. It worked with NEL Fund Managers to secure a £350,000 investment to implement new tools and methodologies for its client campaigns.

CASE STUDY: THE ORIGINAL SOFA CO. The Original Sofa Co. specialises in Chesterfield furniture and has one of the UK’s largest Chesterfield collections. It worked with NEL Fund Managers to secure a £100,000 investment for business development, including taking on more staff.

NEL Fund Managers, tel 0845 111 1850, www.nel.co.uk

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PENSION

Auto-enrolment pensions: What do I need to know? Catherine McNulty of the employment team at Sintons answers some frequently asked questions on pensions

aving started with the largest companies back in October 2012, the autoenrolment staging dates for SMEs have arrived. Between February and May 1 2014 businesses with 101-250 employees have had to sign up, and from May 1 businesses with between 51-100 employees will have started to come under the legislation. The process of autoenrolment can be complicated. I have therefore answered a few of the most common queries employers have when the time comes to sign up. What is auto-enrolment?| New duties require employers to automatically enrol eligible jobholders into their own qualifying pension scheme or the National Employment Savings Trust (NEST), a government saving scheme. They also require employers to make contributions, which will gradually increase, from 1% to 3% by 2018. When will we be affected? Businesses with more than 100 employees should now be complying with the legislation. Businesses with 51-100 employees may alse be

affected, with dates ranging from May 1-April 1 2015. The smallest businesses, those with fewer than 50 employees, will have to comply between April 1 2015 and April 1 2017. The legislation will come into effect for new businesses at the end of the overall timetable, up to February 1 2018. What are my obligations? From the date employers come under the legislation - their staging date - they will have to: Automatically enrol eligible jobholders Within six weeks of an eligible jobholder’s automatic enrolment date, an employer must: Provide information in writing to their pension scheme about the eligible jobholder; Provide certain information in writing to the eligible jobholder; Make arrangements for the eligible jobholder to become an active member of an automatic enrolment scheme. OR: Use a postponement period Employers can operate a postponement or waiting period of up to three months before eligible jobholders must be automatically enrolled. This can be done from their staging date, the day new staff members start or the

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date a staff member first becomes eligible for automatic enrolment. If employers choose to do this they must give formal notice to staff that they are doing so, within six weeks of the start of the period. Records and registration with the Pensions Regulator Employers are also required to keep certain records of the process and to register with the Pensions Regulator, now within five months of their staging date. What happens if we fail to comply? Breaching the new duties could result in compliance notices and penalties that vary according to a business’ size. Large employers that don’t comply could be liable for escalating penalties of upto £10,000 a day. How are existing work based schemes affected? Will auto-enrolment run alongside or replace them? Once employers become subject to the new rules they can continue to use their existing pension scheme or group personal pension scheme for auto-enrolment as long as these qualify under the Pensions Act 2008. If an employer wants to use a

defined benefit (DB) scheme this must satisfy a statutory quality test and count as an automatic enrolment scheme. The position for the main types of UK DB schemes is: DB schemes contracted out of state second pension These will automatically satisfy the statutory quality test as long as their eligibility rules do not restrict admission with effect from eligible jobholders’ automatic enrolment dates. Contracted-in final salary schemes These are very likely to count as qualifying schemes, assuming the accrual rate is at least 1/120 of final pensionable salary for each year of service. There must be no restrictions on membership admission. Contracted-in career average revalued earnings scheme These will have to meet the minimum revaluation requirements and there must be no restrictions on membership admission. If employers are using a defined contribution (DC) scheme for automatic enrolment, or to pay contributions to a personal pension scheme, whether or not the scheme qualifies will depend on the level of contributions payable by the

employer and jobholders. If an employerâ&#x20AC;&#x2122;s existing scheme does not meet the relevant quality test, amendments may be able to be made to secure compliance, eg. amending contribution rates. If changes are required, employers will need to ensure they comply with the statutory requirements to consult with affected scheme members where the duty applies. Alternatively, employers may decide to restrict any existing DB or DC scheme to current active members and autoenrol new joiners in a different scheme that qualifies as an automatic enrolment scheme, or use an entirely new automatic enrolment scheme for both existing and new eligible jobholders.

Catherine McNulty of Sintons is an employment specialist tel 0191 226 3801, email catherine.mcnulty@sintons.co.uk

EMPLOYEES: Do I have to sign up? Jobholders who have been automatically enrolled have

the right to opt out of the pension scheme. This must be their own decision and they must obtain an opt-out notice from the pension scheme to complete and give to their employer. How do I opt in? Certain jobholders and workers who are not eligible for autoenrolment can opt into, or join pension schemes. Employers must write to these staff and inform them of their rights. If I opt out, can I re-enrol? Eligible jobholders can opt back in at any time by writing to their employer. Employers have to accept employees back into their workplace scheme once in any 12 months. Otherwise, every three years employers must auto-enrol jobholders who were initially auto-enrolled but opted out. Staff must be told theyâ&#x20AC;&#x2122;ve been re-enrolled and given the chance to opt out again.

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HI! TECH

Thinking Digital 2014 This year’s topics included online privacy, the hidden costs of ‘free’ software and the age of machine intelligence

Herb Kim

his year’s Thinking Digital conference looked at a number of important topics for the tech and digital industries, from the realisation of artificial intelligence within a generation to the changing attitudes to online privacy. The events founder Herb Kim says: “This year’s conference was another incredible

experience. It’s impossible for me to pick one highlight, but Aral Balkan’s talk, Free is a Lie, when he argued that the many wonderful free services out there such as gmail actually have insidious hidden costs, was one that stood out for me. Blaise Aguera y Arcas’ talk on the age of machine intelligence was also fantastic, exploring the idea that machince intelligence is upon us, and that

it is going to have profound implications on wealth inequality and will help to power the rise of women as the future leaders and managers of the world.” Local business also played a big part in this year’s conference. Biotech start-up QuantumDX outlined its plans on changing the future of medicine and disease containment. Start-ups Reframed.TV and Zipcube,

which have come out of the Newcastle-based Ignite programme, also took part, competing in the final of the third Thinking Digital Start-up Competition. Herb Kim adds: “Even after seven years, the North East continues to embrace and support the Thinking Digital Conference. We remain dedicated to keeping it in the North East.”

Take a chill pill

Hold the front page

On your bike

Is it a bird? Is it a plane?

Mindfulness and meditation are all the rage, and you can look forward to a speaker wearing lilac droning on about how a few minutes contemplating your navel while humming will turn you into the next Richard Branson at the next business conference you attend. Get ahead of the curve with this free meditation website, complete with soothing music and light designed to aid meditation. It sent me to sleep faster than the European elections. chillouts.com

If I share a link on Facebook, Twitter or LinkedIn it’s usually come from Reddit. Self-billed as ‘the front page of the internet’, the site is packed with fresh user-generated content edited entirely by the community that views the site. Anyone can post anything, but the voting system means only the stuff we approve of bubbles to the top of the various channels. This keeps the content fresh, interesting, entertaining and surprising. reddit.com

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The Tour de France warm-up known as the Grand Depart visits Yorkshire July 5-6. The Tour has a worldwide following and bringing it to the UK is a huge coup for Welcome to Yorkshire. It would be very rude not to go and take a look, passing our doorstep as it does. The race loops up through North Yorkshire from Leeds to Harrogate on July 5 and from York to Sheffield the next day. The event website tells you all you need to know. letour.yorkshire.com

No, it’s the International Space Station! Thanks to this website, I amazed my 10-year-old daughter by pointing out the station as it passed over our house. NASA’s Spot the Station service gives you a list of upcoming sighting opportunities and will let you sign up to receive notices of opportunities in your email inbox or mobile phone. The space station looks like a fast-moving plane; just higher, faster and more space-age. spotthestation.nasa.gov

APPOINTMENTS

in association with

STRENGTH IN NUMBERS

Chartered accountant Ryecroft Glenton has strengthened its corporate finance team with the appointment of Barry Gill. Gill joins the firm from Tait Walker Corporate Finance to take up a newly created role as corporate finance senior.

TAXING TASK

Lee Watson has been appointed senior tax manager with accountant and business adviser Clive Owen & Co LLP. Watson, of Ingleby Barwick, Teesside, brings experience from large practices in the North East. He will be based at Clive Owen’s Darlington office and gained a first class degree in maths from Northumbria University before becoming a Chartered Tax Adviser.

HOMEWARD BOUND

Commercial law firm Muckle LLP has extended the expertise within its Dispute Resolution Group with the appointment of a new partner. George Festing brings experience in resolving Intellectual Property (IP) disputes for national and international clients. His experience has been gained helping to protect clients on a wide range of contractual disputes involving copyright and trademark infringement, design and brand identity. Originally from Hexham and studying at Durham University before heading to London where he developed his career for 11 years, Festing has come home.

DOGGONE GOOD

A business named after its owner’s two dogs has taken on extra staff thanks to a new investment scheme delivered by Tees Valley Unlimited. Harvey and Hugo marketing and public relations MD Charlotte Nichols has taken on Sarah Thompson and Erin Walden.

LEAGUE OF HIS OWN

A marketing manager is swapping budgets and briefs for fine food and football boots after joining the Premier League. David Jackson formerly marketing and communications manager for Dickinson Dees, is now marketing manager for Sunderland AFC and 1879 Events Management.

Durham Cathedral has appointed a new catering manager following investment in a £120,000 refurbishment of its Undercroft Restaurant. Richard DosSantos makes the move from Sage Gateshead to manage the Cathedral’s catering functions, run in partnership with contract caterer Elior.

MAGNIFICENT SEVEN

Broker, NC Insurance has added seven members to its team and expanded into Scotland. The firm has appointed Nick Fletcher and Ryan Greenwell as broking assistants, Lea Hillary, Craig Donnelly and Danny Herron as account handlers, and Suzanne Smith as account executive, to its Gateshead team. The firm has also appointed James Watt as branch director in Scotland.

BUILDING THE FUTURE

A local site manager has been recruited to kick-start the development of 126 new homes in Stainsby, Middlesbrough. Housing developer Story Homes has recruited Graham Bell to head-up the build for the new Kingsbrook Wood development on the western fringe of the city. Bell, 41, lives locally in Billingham and previously worked for Taylor Wimpey at Skelton, as well as McInerney Homes and J Hughes Construction. He brings more than 25 years of experience in the construction industry to his new role.

OPPORTUNITY KNOCKS

TALENTED TRIO

Press Ahead has made three key appointments to bolster its 12-strong team. The Sunderland-based firm, led by MD Kieron Goldsborough, has appointed Sally Pearson as head of public relations, Richard Hanley as senior designer, and Emma Jago as marketing and advertising co-ordinator.

WE MUST INVEST IN EMERGING TALENT On a national scale it’s great to see unemployment continue to fall as the economic recovery continues apace. However, in stark contrast to this the message for the North East is seemingly less rosy with unemployment actually increasing over the past quarter, particularly in that vital 16-25 age bracket. Here at GEM we work with clients across a broad range of sectors and it is clear to us that confidence is returning in the region, with the requests for both temporary and permanent staff increasing, but there is a collective responsibility for local business to continue to invest in emerging talent and play their part in a localised recovery, too. Ian Miller 0perations director GEM Partnership in association with

JUNE-JULY 2014 / CONTACT / www.necontact.co.uk / 55

OUT TO LUNCH

Proof of the pudding Richard Waterhouse, CEO of the commercial arm of RIBA (the Royal Institute of British Architects), talks puddings, proposals and planning over lunch with Liz Hands

ichard Waterhouse reads the menu back to front, choosing a dessert first and working his way forward to the starters. So, with treacle tart already a definite, it’s back to choices of salmon or duck, asparagus or ham hock, on the threecourse lunchtime menu. The CEO of RIBA Enterprises, which is the commercial arm of RIBA, takes the same approach to building design. You have to start at the end, thinking about how a finished space will be used, before you begin the design process, he says. RIBA Enterprises is in the process of moving its HQ from London to the Old Post Office on Newcastle’s St Nicholas Street. Already, the bulk of RIBA Enterprises’ staff work in Newcastle, and the site, which will undergo a £5m revamp, will also provide a hub

where architects can showcase their work. His discovery that the North East workforce is comprised predominantly of ‘people people’ has also in part led to the decision to make the region home for the business and for Waterhouse personally, who lives in Hexham, flitting to London a couple of times every week. “We’ve still got 40 people in London and most of the people I need to talk to are in London, so the travelling, not just to London but internationally, is not going to reduce, but the positives of being here far outweigh the negatives,” says Waterhouse, a Yorkshireman who classes himself an honorary Geordie. “The population and skillset are very stable here. We can look at the statistics and see staff turnover in London versus staff turnover in the North East and it gives us much greater stability.”

He also finds young people in the North East are more realistic regarding career progression. “TV programmes put expectations in people’s minds that they can become the boss of a FTSE 100 company in months, just by shouting and being aggressive,” he says. “But the reality is cooperation and coordination, shared objectives and working together to achieve them rather than making yourself look good. I love The Apprentice, but it’s a show, not reality. “Dragon’s Den is more like real life, how to put a business plan together, come up with great ideas, show that they work and get funding. But it’s still tough. If your idea doesn’t stack up, it doesn’t get anywhere.” RIBA Enterprises is positioned to make the most of their ideas as the recession loosens its grip. “We have a board, shareholders and a

chairman who have allowed us throughout what’s been, for construction, the worst recession in living memory, to invest in new products so we emerge ready for growth when many of our competitors are not,” he says. The canapés send conversation on a tangent as we tuck into tiny Craster kipper fishcakes. “You forget just how lovely the Northumberland coast is,” says Waterhouse. “I

proposed to my wife at Dunstanburgh Castle. We were supposed to be going to have a picnic, but my wife, not knowing what was going on, invited friends. I went down on one knee and suddenly there was this dawning realisation.” It leads to talk about how lucky we are in the North East, that Waterhouse can live in Hexham, drop his wife Paula off at Newcastle Dental Hospital, where she is a specialist children’s dentist, take his children to school and be at work in Newcastle within 45 minutes. “I get to live in the countryside and work in the city centre,” he says. “There are aren’t many cities where you

can do that.” Waterhouse first arrived in Newcastle as an architecture student, completing both his degrees in the city. He went on, 19 years ago, to work at RIBA and has just completed 10 years as chief executive of RIBA Enterprises. He is now at the forefront of promoting the Building Information Modelling (BIM) tools he became familiar with early in his career. The tools replace paper designs with computergenerated models and the use of BIM will become essential for those wanting to bid for Government projects from 2016. “There are lots of BIM businesses in the North East,”

says Waterhouse, “four projects in Central Square alone, KyKloud in North Shields, Ryder and BIM academy in Cooper studios, Space Group and BIM store. There are so many there was an article in the building press recently entitled It’s BIM up North.” BIM expertise will undoubtedly be called upon when RIBA Enterprises awards the contract for the refit of the Old Post Office to a North East firm. “Our decision to choose from North East firms only has caused a bit of controversy nationally,” says Waterhouse, “We’ve got brilliant architects in the North East and I want to show that the provinces have

excellence as well. In the same way we have shop local or encourage local artists, why can’t we do the same with architecture?” As RIBA Enterprises diversifies and moves into new markets, Waterhouse is confident of being able to offer graduate opportunities. “We’ve got five great universities so there’s a pool of good students and we have to attract them to stay in the North East,” he says. The table quietens but for appreciative murmurs as dessert arrive. Waterhouse’s menu planning has paid off. The proof of the pudding at The Old Post Office is yet to come.

JUNE - JULY 2014 / CONTACT / www.necontact.co.uk / 57

New members This page brings you information about the companies that have recently joined NECC - the region’s largest business membership organisation. Along with contact details, there are announcements from new members keen to publicise their products, services and activities to other NECC members. While listings are free to all new members, editorial announcements are part of a broader package designed to promote a new member’s business to reach the readership of Contact magazine. For further details contact the Contact advertising team, tel 01661 844 115, email sales@offstonepublishing.co.uk

Thank You

For your recent membership renewals. Particular thanks to members supporting NECC for over 15 years 35+ YEARS K Home International Ltd PSI Global Ltd Van Der Velde (Services & Support) Ltd Arco Ltd

37 37 36 35

30-34 YEARS Casper Shipping Ltd Northern Machine Tools (Eng) Ltd

34 33

25-29 YEARS Bulkhaul Limited International Pipeline Products Ltd Dodds Brown Commercial Aycliffe Engineering Ltd A H L Industrial Pipework Specialist Ltd Feller (UK) Limited South Tyneside Council

28 28 27 26 25 25 25

20-24 YEARS David Fox Transport 24 Equine Products (UK) Ltd 24 Sir Robert McAlpine Limited 24 Swaisland Harris Associates 24 Tyne Gangway (Structures) Ltd 24 Bradley O’Mahoney Public Relations 23 Cormeton Fire Protection Ltd 23 Spire Washington Hospital 23 Stockton Riverside College 23 UHY Torgersens Ltd 23 W O Silmon Ltd 23 Berendsen 22 Cherry Parts Ltd 22 Dunwoodie Architects Limited 22 Gott Technical Services 22 Hepple Engineering Services Ltd 22 International Syalons (Newcastle) Ltd 22 Robert Kirkland (Blyth) Ltd 22 Shuttleworth Picknett & Associates LLP 22 Techwax Ltd 22 Todd Milburn Partnership Limited 22 Elring Klinger (Great Britain) Limited 21 Grainger plc 21 Safetech 20 SIB Office Supplies Ltd 20 Travel Bureau 20 15-19 YEARS

The contact details of all the companies which joined NECC recently are now available at www.necontact.co.uk under the ‘New Members’ link

AUK (rpe) Ltd Trading as Airservices (UK) 19 Christopher Brummitt Architect 19 Cramlington Precision Forge Ltd 19

Cummins Ltd 19 Gilpin & Harding Ltd 19 Interglobal Forwarding 19 Leven Bridge Limited 19 Minchella & Co 19 Parkland Engineering Ltd 19 Playprint Limited 19 RTR HANDELSGESELLSCHAFT 19 Universal AV Solutions Ltd 19 Adecco UK Ltd 18 BES Consulting Engineers Ltd 18 Cavotec UK Limited 18 Clive Owen & Co LLP 18 Consett Steel Services and Taylorsteel (NE) Ltd 18 Doncasters Paralloy Ltd 18 DWF 18 England & Lyle Limited 18 Fife Engineering Co Ltd 18 J W Colpitts & Co Ltd 18 Jotron (UK) Ltd 18 Perfect Image Ltd 18 Ribchesters Chartered Accountants 18 Scotia Instrumentation Ltd 18 Trans-Store Security Compounds 18 Barker & Stonehouse Ltd 17 Blaydon UK Ltd 17 Fleet Services North East 17 Grahams Engineers (Seamer) Ltd 17 J N Straughan & Co Chartered Accountants 17 MMC Group 17 Rhenus Logistics Limited 17 Shepherd Offshore Ltd 17 Starscape Star Ceilings Ltd 17 Tynetec Division of Legrand Electric Ltd 17 Typhoon International Limited 17 United Carlton Office Systems Ltd 17 Able Construction (Northern) Limited 16 Acquisitions International 16 Cane & Pine Design 16 Claremont Controls Ltd 16 D W Marshall & Co Ltd 16 Hanro Ltd 16 Scott Bros Ltd 16 Stockton on Tees Borough Council 16 Chester-Le-Track Ltd 15 Christie Proud Thompson 15 Elanders Ltd 15 North of England Civic Trust 15 R M Myers & Co Ltd 15 Sanderson Young 15 Siemens Transmission & Distribution Ltd 15 Visitech International Ltd 15 Wilsonart Ltd 15

The above includes members that have supported NECC for over 15 years and renewed their membership during March and April 2014. We would like to thank all of our members for their continued support.

PROMOTIONAL FEATURE: LUNCH NO.19 AT CLOSE HOUSE

DABBAWAL

HOTEL DU VIN

MARCO PIERRE WHITE STEAKHOUSE BAR & GRILL

No.19 is a place where comforting home-cooked food is served in a contemporary environment. Whether you are grabbing a quick bite after a round of golf, enjoying dinner in No.19 or a light lunch on the terrace, you can relax in stunning surroundings in the heart of the Northumberland countryside while tasting the best of Northumberland’s local produce. No.19 also offers a restaurant and function room able to cater for parties upto 140.

Dabbawal, street food pioneer of the North East, brings the amazing tastes of the street to its two restaurants in Newcastle, featuring unique tapasstyle plates for sharing and classic dishes with a twist. Larger parties can hire the whole restaurant on a Sunday for Indian cocktails, canapés, a feast of dinner and dancing. Smaller groups of up to 20 can also take over Dabbawal’s private room and the Dabbawal team delights in coming to you to cater for parties large and small.

Bistro du Vin is at the heart of the hotel in Newcastle’s vibrant Ouseburn district. Experience an elegant and informal setting for lunch and dinner. At Bistro du Vin Newcastle, dishes rely heavily on fresh, seasonal, locally sourced and, wherever possible, organic produce. It’s about enjoying moderately priced à la carte dining in a down-to-earth, warm and relaxing setting.

The Steakhouse Bar and Grill Express lunch is £18 and includes two-courses and a glass of wine (quote NECC). If you haven’t got much time out of the office try the Marco in Minutes express lunch two courses and a glass of wine - and you should be back at your desk within the hour. If a leisurely lunch is more your thing, that’s always available, too.

LOCATION: Close House, Heddon on the Wall, Newcastle, NE15 0HT Tel: 01661 852 255 www.closehouse.com

LOCATION: 69-75 High Bridge, Newcastle, NE1 6BX Brentwood Mews, Jesmond, NE2 3DG Tel: 0191 2325133 www.dabbawal.com

LOCATION: Hotel du Vin, Newcastle City Road Newcastle, NE1 2BE Tel: 0191 2292200 www.hotelduvin.com

LOCATION: Marco Pierre White Steakhouse Bar & Grill, 2-8 Fenkle Street, Newcastle NE1 5XN Tel: 0191 300 9222 www.mpwsteakhousenewcastle.co.uk

NATIONAL GLASS CENTRE BRASSERIE

PEACE & LOAF

RENDEZ VOUS AT THE COUNTY HOTEL

SACHINS

Eating at the Brasserie is as much about the atmosphere and stunning surroundings as it is about the food. Having undergone a stylish transformation, from the décor down to the tableware, the Brasserie stands out as one of the most attractive restaurants in the North East. Echoing the philosophy of National Glass Centre, the menu showcases heritage and innovation, delivered with creativity and passion. Open daily: 10am–5pm

The latest addition to the North East’s fine dining scene, Peace & Loaf boasts a chic and stylish venue alongside an entirely original and unique dining experience. Indulge in the meticulously crafted three course business lunch for just £19.95, showcasing the skills of the dedicated team and highlighting fresh, locally-sourced produce. The menu is inspired by traditional British cuisine and will excite even the most discerning of palates.

Located directly opposite Newcastle Central Station and in the heart of the city, the County Hotel is the perfect location for a light midday snack, drinks after work with friends or a relaxing lunch or dinner. The Rendez Vous Restaurant, lounge and bar are open daily. The County Hotel also has 11 meeting and event rooms from 1:1 interviews to a conference for 220 delegates.

Celebrating almost 30 years in Newcastle, the award-winning restaurant Sachins on Forth Banks has been delighting diners with its signature, meticulously crafted menu since opening its doors. Using only the freshest, locally sourced ingredients, chef and proprietor Bob Arora offers the discerning diner a unique opportunity to sample the very finest punjabi food in a fresh and exciting environment.

LOCATION: National Glass Centre Brasserei, Liberty Way, Sunderland, SR6 0GL Tel: 0191 515 5555 www.nationalglasscentre.com

LOCATION: Peace & Loaf 217 Jesmond Road, Jesmond NE2 1LA Tel: 0191 281 5222 www.peaceandloaf.co.uk

LOCATION: The County Hotel by Thistle, Neville Street, Newcastle upon Tyne, NE1 5DF Tel: 0191 2322471 www.thistle.com/newcastle

LOCATION: Sachins, Forth Banks, Newcastle upon Tyne, NE1 3SG Tel: 0191 261 90 35 www.sachins.co.uk

EVENTS

The NECC Summer Exchange Sunderland Marriott, 11am-2pm, Thursday June 19

NECC Golf Day

May 7, George Washington Golf and Country Club

FREE

This is the NECC’s flagship networking event encouraging an exchange of experiences, ideas and offers. Members are invited in a round table setting to share successes, challenges and ideas with ample opportunity to mix and mingle before and after the event. Delegates also have the opportunity to network around a mini-expo. If you are interested in taking an exhibition stand, at a cost of £30, email events@necc.co.uk Space is limited. Sponsored by  George Washington GC

Sunderland’s only four-star hotel, the Sunderland Marriott is a full-service hotel offering modern, high quality accommodation for business and leisure travellers. This luxurious hotel is located on the seafront at Seaburn, just two miles from the city centre. The hotel also features a cocktail bar, fine dining restaurant, private parking and leisure facilities. The hotels dedicated events team can assist you in planning and delivering a successful event. Banqueting and conference facilities consist of six meeting rooms with a capacity of 300 (theatre-style).

NECC Member Showcase 2014 Rainton Meadows Arena, Houghton le Spring, 9.30am-4pm, Thursday September 11 NECC is delighted to announce the first ever NECC Member Expo will take place in September. The event, open to NECC members, will be located at Rainton Meadows Arena with easy access to both the A1 and A19 for our members across the region. The Expo aims to bring together a diverse attendance, representative of our diverse membership. The event will include structured networking events, seminars and the opportunity to meet and network with hundreds of other businesses from across the North East. We’re proud to continue to support our members with this exciting addition to our events programme. Full information and booking will be available soon at www.necc.co.uk/events 60 / www.necontact.co.uk / CONTACT / JUNE - JULY 2014

 Robins & Day Newcastle Peugeot

 Carlton Office Systems

 Round Table Solutions

 Winning team: H&H Land & Property

Durham & Wearside Dinner March 27, Stadium of Light

 John Craggs, Peter Walls, Kevin Ball, David Laws and Jeff Brown

NECC Exchange

April 4, sponsored by Thistle Newcastle, The County

 Rachel and Stephen Miller, Smile Through Sport

 Paul Bennett and James Stainforth

 Tracy Chandler (Emirates) & Atif Balif (Naughtons Solicitors)

NECC Golf Day Summer 2014 Matfen Hall Golf Club, 11am–7pm, Wednesday June 25 £100+VAT(team of four) This informal golf day is designed to bring you and other businesses from across the region together to share ideas and develop contacts and business opportunities in a relaxed and informal atmosphere. The event will commence from 11am, with a shotgun start at 1pm. Hot sandwiches and refreshments on arrival, 18 holes of golf and a private dinner with prize giving are all included in the price. There is also the option to sponsor a hole. Due to the popularity of golf days, early booking is strongly recommended. Sponsored by

 James Ramsbotham

 The Q&A

 Angela Upex and Coreena Ford (ncjmedia)

 Tm Finlay, Kevin Ball, Brian Dakers and Jim Montgomery

 John Mowbray - NECC immediate past president

 Harry Collinson, Jane Peverely and Julian Carter  Carlton Office Systems Team

Matfen Hall is set in 300 acres of stunning mature parkland and is rated as one of the finest resorts in the region. The championship golf course is an enjoyable test for players of all abilities and incorporates challenging features from the dry stone “Ha-Ha” to the fast flowing River Pont. Other on site facilities include a purpose built clubhouse, ‘Keepers Lodge’ making it an excellent 19th hole, a well stocked pro shop with some of the latest equipment on the market, 10-bay covered driving range, designated short game and putting green as well as the very popular short par three course. The Par three course is maintained to the same exacting standards as the championship course and is ideal for beginners but also a challenge for the experienced player who wants to sharpen up their short game.

Would you like to sponsor this event? Contact ashley.carney@necc.co.uk JUNE - JULY 2014 / CONTACT / www.necontact.co.uk / 61

EVENTS

NETWORKING JUN

The NECC networking events programme prompts members to engage and share ideas and experiences. With events throughout the region, the programme ranges from large-scale round table networking to smaller presentation‑focused events and localised informal networking.

To book, tel 0300 303 6322 email events@necc.co.uk www.necc.co.uk/events

24 JUL

02 JUL

HR Knowledge Induction & Integration

9.15am-11.30am NECC Durham

Reshoring: Opportunities for North East

8.00am-11.00am HSBC Offices, Team Valley

To buy or not to buy: Psychology of consumer behaviour 10.30am-12.30pm - E-volve, Houghton-le-Spring

HR Knowledge Flexible Working

9.15am-11.30am NECC Durham

10 JUN

12 JUN

NECC AGM & NECC200 Launch

10.30am-2.00pm Ramside Hall Hotel, Durham

Women Entrepreneur Awards Launch

11.00am-1.00pm The Greenhouse, Stanley

NECC Golf Day

11.00am-7.00pm Matfen Hall, Northumberland

SEPT

NECC Tees Valley Annual Dinner 2014

25 NOV

6.30pm-midnight Thistle Middlesbrough

NECC Tyne & Northumberland Annual Dinner 2014 6.30pm-midnight Newcastle Civic Centre

NECC Summer Exchange

FREE

JUN

NECC Local

FREE

NECC GOLF DAY

FREE

JUL

NECC Local

FREE

JUL

Central and West End Business Connector

24 JUN

25 02

JUL

FREE

AUG

FREE FREE FREE

FLAGSHIP JUN

JUN

BUSINESS SEMINARS JUN

Stand Up and Be Counted

11am-2pm Sunderland Marriott

3pm-5.30pm Cinnamon Club, Trimdon Village

11am-7pm Matfen Hall, Northumberland

3pm-5pm Devonport Hotel, Darlington

9.30am-12.30pm The Beacon, Newcastle

Tees Valley Business Summit 8.30am–4pm Teesside University Olympia Building

Tri-Chamber Exchange 11am-2pm - Slaley Hall, Northumberland

FREE

FREE FREE FREE

Newcastle Gateshead Committee

FREE

JUN

Hartlepool Committee

FREE

JUN

North Tyneside Committee

JUN

16 25

JUL

4pm-6pm - Brewin Dolphin

4pm-5.30pm Hartlepool Power Station

8am-09.30am Seaton Burn College

Northumberland Committee

4pm-6pm Northumbrian Water (Horsley)

FREE FREE

FREE

JUL

Darlington Committee

£65

JUL

Team 4

Sunderland Committee

FREE

£65*

JUL

South Tyneside Committee

FREE

Durham Committee

FREE

£90

NECC has various opportunities for event sponsorship in 2014. For more information about the benefits of supporting or sponsoring one of our many events, contact Ashley Carney, events executive, email ashley.carney@necc.co.uk

COMMITTEES

27 FREE

2.30pm-4.30pm Holiday Inn Darlington North

17 JUL

8.15am-10am Town Hall, Darlington

4.30pm=6pm Farringdon Community Academy

8am-09.30am, Venue TBC

8.30am-10am - Esh, Durham

*Member Price + VAT *International Events discount available for NECC Global Members

62 / www.necontact.co.uk / CONTACT / JUNE - JULY 2014

FREE

INTERNATIONAL TRADE SHORT COURSES JUN

Customs Compliance, Processes & Documents

JUL

Letters of Credit and Methods of Payment

JUL

Export Processes, Compliance & Documents

19 01 17

(All international courses are scheduled to be at Aykley Heads, Durham but subject to change dependent on numbers)

email: Jacqui.tulip@necc.co.uk call 0845 076 8324

COMING SOON SEP

NECC Member Showcase 2014

9am-4pm, Rainton Meadows Arena PRICE: TBC

FAB 5

Fab 5 World Cup moments

As we look forward to the World Cup in Brazil this summer, we ask, what’s your fondest World Cup memory?

Gavin Richardson

John Devine

Kathryn Taylor

Kirsty Ramsey

Michael Errington

Paul Gascoigne’s tears during the World Cup semi-final against Germany in 1990. Gazza had been booked, the yellow card ruling him out of a potential World Cup final appearance. Has there ever been a more compelling example of a footballing genius openly showing their emotion? Gazza’s ‘Tears of a Clown’ cemented his place in the nation’s hearts. Hopefully, his England contemporaries can match his passion in Brazil - even if they can’t match him for talent.

England vs West Germany in the semifinal of the 1990 World Cup in Italy. I was 14, the England squad was blessed with three of the most gifted players to wear the shirt, all hailing from the North East, Peter Beardsley, Chris Waddle and Paul Gascoigne, and the national team was managed by the peerless Sir Bobby Robson. Gazza played the game like the best kid in the playground, so no wonder they made a film about it! And I still have a no.19 shirt.

My most memorable World Cup is 1990. It clashed with a school trip to France, but that didn’t stop our World Cup excitement. We discovered on the long bus trip to Dover that my Sony Walkman had a radio, so I was proudly given the job of keeping the bus updated with live commentary during the quarter final against Cameroon. I remember watching the semi on a small TV in a dormitory in Normandy and the war of words with the German kids next door when we lost!

While I’m not a football fanatic, I’m always keen to put my support behind England. 2010 was perhaps the most memorable World Cup for me. I recall one really hot day, which timed miraculously with one of the big England games. I was relatively fresh out of university and in my first full-time job, so making the most of the weekends was a must. A group of friends got together to mark the occasion with a barbecue and some beers; what summer is all about really.

For me it would be the 1986 Mexico World Cup finals and the moment Gary Lineker became a household name. After the first game of the group round England were facing an ignominious exit. But, when England played Poland Lineker helped them progress with a hat-trick - despite playing with a broken arm. Then Diego Maradona stole the show. Firstly with the infamous ‘hand of God’ goal, and then for a moment of individual brilliance.

Managing director Opus Building Services

Partner Muckle LLP

Managing partner Gordon Brown Law Firm

Marketing manager Tait Walker accountants

Sales director Aspire

JUNE - JULY 2014 / CONTACT / www.necontact.co.uk / 63

MEMBER 2 MEMBER

Member2Member

Make more of your NECC membership with these great member offers and many more on the NECC website

www.necc.co.uk/member2member receive a 10% discount on application build.

SPECIALIST EXPRESS CAR AND LIGHT

LICENSED AND CATERING SERVICES, HIRE OF CONFERENCING AND TRAINING FACILITIES, AND ENTERTAINMENT VENUES NORTHUMBRIA STUDENTS UNION

Offer Code: DDRJJ NSU has an amazing delegate package running through June and July. For just £19.00+VAT per head you get: room hire, furniture, AV, laptop hire, free Wi-Fi, two coffee breaks and a buffet lunch. This offer is available for 5-400 delegates.

WEBDESIGN AND MARKETING FOR SMES, FIXED PRICE BROCHURE AND ONLINE SHOP WEBSITES, SEARCH ENGINE OPTIMISATION PACKAGES, AND MOBILE PLATFORM WEB DESIGN ACTIV WEB DESIGN

Offer Code: AWDAPPS Activ Apps Design, Middlesbrough is a specialist in bespoke mobile application development. NECC members

VAN MOT/SERVICE AND VALETING IN’N’OUT CENTRES LTD

£25 MOT or £50 service This special offer is for either, a £50 service (on any make or model of car), or a £25 MOT (including re-test) and is exclusive to NECC member companies and their employees.

LEADERSHIP DEVELOPMENT AND MENTORING TIMCAIN LEADERSHIP

Offer Code: TCLNECC001 TimCain Leadership is offering a special introductory price on its Leadership Development sessions to NECC members. The sessions last two-three hours and can be delivered to groups of up to 12 at your own workplace. NECC members can get an introductory session for £150 (normally £270).

TOTAL SERVICE PROVIDER FOR DESIGN, ELECTRONIC PUBLISHING, PRINT, PRINT FINISHING, FULFILMENT AND DISTRIBUTION ELANDERS LTD

Offer Code: ELNECC

Elanders Ltd has hundreds of beautiful templates for cards, invitations, thank you notes, save the dates, births, Christenings, parties and much more; and is offering NECC member employees 35% off all products.

PORTABLE APPLIANCE TESTING (PAT) DRA SOLUTIONS LTD T/A DRA PAT LTD

MANAGEMENT HARBOUR HOUSE ASSOCIATES LTD

Offer Code: NECC01 Harbour House Associates Ltd is offering a 20% discount on the preparation, implementation and/or auditing of ISO9001, ISO14001 or OHSAS18001 management systems for NECC members. Business can receive 40% funding, up to £1,400, towards the cost of a project.

Save 80% on PAT Testing Large office-based businesses can save 80% on average by carrying out a risk assessment to determine their PAT needs. A low-risk environment won’t need annual testing and DRA can show you where you can save.

DATA DRIVEN DIGITAL MARKETING ONLINE INTELLIGENCE

IT SOLUTIONS, WEB DESIGN AND IT SERVICES

Online intelligence is offering a preferential discount for online marketing to NECC members, as they look to work with local business and help them excel online.

EASTQUAYIT LTD

Offer Code: NECC1 eastQuayIT is offering free advice and special discounts for the new Go Digital Newcastle Connection Voucher and high speed broadband solution. The voucher allows businesses inside Newcastle city limits to apply for a voucher (up to £3,000) to cover the cost of installation of a high-speed fibre broadband connection.

INDEPENDENT CONSULTANCY SERVICES IN ENVIRONMENTAL, HEALTH AND SAFETY, AND QUALITY

PEOPLE DEVELOPMENT FOR ANY BUSINESS, IN ANY INDUSTRY OF ANY SIZE

SIXTH SENSE LEARNING

Offer Code: SSL004/14 Sixth Sense Learning is offering a 25% discount to NECC members on its advertised Open Course offerings, including in-house courses. The first three customers to book these opportunities are bound to improve their HR harvest.

Entry into the Member2Member section is not an endorsement by NECC 64 / www.necontact.co.uk / CONTACT / JUNE - JULY 2014

DOUBLE TAKE

Money matters Dean Bailey speaks to two leading chartered accountants who specialise in insolvency

PARTNER TAIT WALKER CHARTERED ACCOUNTANTSI

PARTNER GRANT THORNTON UK LLPI

Gordon Goldie Joe McLean How long have you been in the job? I’ve been a chartered accountant since November 1981 and I’ve been undertaking insolvency assignments since April 1983. What do you love about your job? I enjoy the great variety of differing sectors and individuals that one may have to deal with. What are the most challenging aspects of your job? Never knowing when - or even if - the phone will ring again with a new assignment, and also helping to save companies that are in financial distress, and being involved in saving as many jobs as possible. Highlight of your career so far? Joining Tait Walker as the first ever direct entry partner. Who do you admire most? My father who was one of the first-ever IT sales professionals and worked his way up from the west end of Glasgow until his eventual retirement in Ponteland. What would you do if you weren’t in your current job? I’d like to help to educate youngsters in financial matters in order that they never would find themselves in financial difficulty. How will you spend your time when you retire? That’s a great question, as it’s not so far off now! I’d like to see more parts of the world that my wife Rio and I haven’t already visited, and also increase the number of my volunteer and non-exec positions. I feel that it is important to give something back to society where one has had a great career. I will also look to tick more boxes than I have managed so far on my bucket list.

How long have you been in the job? I joined the firm in my native Glasgow in September 1979 and now split my time between Leeds and Newcastle primarily. What do you love about your job? Working closely with colleagues, I derive great satisfaction when, after difficult discussions with company directors, there is a meeting of minds. It is immensely pleasing when we announce to a workforce, whose employer has been in administration, that all employment has been secured. What are the most challenging aspects of your job? Dealing with intransigent individuals who have found it challenging to move with the market. Often they see that the solution to the company’s difficulties is to borrow more funds. This is usually flawed thinking, and we seek to persuade them to address the root causes of the commercial difficulties. Highlight of your career so far? I am proud of the market positioning enjoyed currently by Grant Thornton - the result of the efforts of talented individuals. Who do you admire most? Pope Francis. He is practising, as well as preaching, humility, and asking everyone to respect the dignity of every human being. What would you be doing if you weren’t in your current job? My ambition as a teenager was to win Olympic 1,500 metres Gold at the 1980 Moscow Olympics, the 5,000 metres Gold at Los Angeles, and the marathon at Seoul. When it became clear this was not going to happen, I entered the accountancy profession. How will you spend your time when you retire? Travelling with my wife and family, attending as many major sporting events as possible along the way.

JUNE - JULY 2014 / CONTACT / www.necontact.co.uk / 65

GUEST COLUMNIST

Last Word This month: Middlesbrough College principal and chief executive Zoe Lewis

he future of education and training is changing and Middlesbrough College is investing heavily to ensure that employers get what they have been crying out for. In 2012, the Government signalled a determination to reframe education and training and a renewed commitment to apprenticeships following a review chaired by entrepreneur Doug Richard, which proposed fundamental changes in the nature and scope of apprenticeship training. At the heart of these reforms is a determination to ensure that employers have the opportunity to identify and articulate their requirements and reshape apprenticeship training so that it is directly aligned to their business needs. As part of this programme of reform, the Government has supported a number ‘Employer Ownership of Skills pilots’ whereby employers were awarded government funds directly to redraw and commission apprenticeship training as they saw fit. Colleges of further education have been supporting these initiatives throughout the UK and Middlesbrough College is no exception – for example, in the last 12 months, we have been working extensively with the National Skills Academy for Process Industries to support the development and delivery of the ‘Sembcorp Skills Development Programme’, a new approach to preapprenticeship and apprenticeship training designed by the process industry for the process industry. In addition, the Government has established a number of ‘Trailblazer’ initiatives led by industry to redefine apprenticeship training standards across a range of sectors including, but

not limited to, aerospace, automotive, digital industries, energy and utilities, financial services, food and drink manufacturing, life sciences and industrial sciences. Again, colleges of further education have been working with partnerships across the UK to support the development of these new proposals, which will define the nature and scope of apprenticeship training for years to come. Ensuring that education and training is directly aligned to employer requirements is critical to the region’s economic competitiveness - especially with skill shortages forecast to impact key sectors of the regional economy, notably engineering. At Middlesbrough College, we have invested heavily in recent years in the development of dedicated, specialist teams whose sole purpose is to engage with and understand employers’ requirements as we are determined to ensure that the people we educate and train are not only skilled with the requisite level of technical competencies but are also ‘work ready’. Middlesbrough College

66 / www.necontact.co.uk / CONTACT / JUNE - JULY 2014

is now investing £20m plus in new STEM facilities (science, technology, engineering and maths), which include a new, state of the art STEM Centre. The design of this new training facility which is being developed and modelled on real working environments, is being overseen by an Industry Advisory Board that includes some of the region’s leading employers from the process, logistics and manufacturing industries who include in their number: The Bignall Group, Caterpillar UK, Cleveland Potash, Foster Wheeler, Fujifilm Diosynth Biotechnologies, Huntsman, Johnson Matthey, K Home International, Lotte Chemical, PD Ports, Sembcorp and Tees Components. Middlesbrough College’s investment and work with industry reflects our determination to provide what employers are looking for and I would like to extend an open invitation to businesses to contact us if they think they could help steer this development and ensure that it meets their requirements.

I DON’T SEE BORDERS I SEE OPPORTUNITIES. AS A CHAMBER MEMBER I’M WELL CONNECTED. IF IT’S NEW CUSTOMERS YOU’RE AFTER OR THE RIGHT ADVICE TO KEEP YOUR BUSINESS GROWING, BELONGING TO YOUR LOCAL ACCREDITED CHAMBER OF COMMERCE MEANS YOU ARE ALWAYS WELL CONNECTED. VISIT WWW.NECC.CO.UK TO SEE HOW WE CAN SUPPORT YOUR BUSINESS. #JOINYOURCHAMBER

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