Business Networx Issue 30

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BUSINESS NETWORX

GATE 7 MD HONOURED WITH QUEEN’S AWARD MBE FOR SERVICES TO EXPORT

W W W. T E A M V A L L E Y P U B L I C A T I O N S . C O . U K ISSUE #30 • DECEMBER / JANUARY 2018

Gateshead Quays architect appointment

ADVANTEX TELECOM BOOST IT FIRM SECURES HIGH-PROFILE CERTIFICATION

In a ss o c i at i o n w i th :

T H E T E A M V A L L E Y T R A D I N G E S TAT E ’ S N U M B E R O N E B U S I N E S S F O C U S M A G A Z I N E


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To u r i s m

Trio of architects appointed to major £200m Gateshead Quays development The upcoming £200m regional arena, conference and exhibition centre at Gateshead Quays is pushing ahead with plans after announcing which businesses will be responsible for the site’s design. Three firms of architects are now in place to plan the 10-acre site on Gateshead Quays, which sits directly opposite the Gateshead Millennium Bridge and between Sage Gateshead and BALTIC Centre for Contemporary Art. World-renowned architecture firm HOK have been appointed to design the new 12,500 seat arena and international conference and exhibition centre. HOK has designed some of the most iconic buildings in the world, including the recently opened $1.3 billion Mercedes-Benz Stadium in Atlanta, and the Little Caesars Arena in Detroit USA. Whilst HOK are also designing the new arenas for FC Barcelona & Abu Dhabi’s new Arena & district on Yas Island. AHR Architects Ltd, a multi-award winning practice, has been selected to develop and design the overall masterplan of the site including hotels, bars and restaurants and car parking for the scheme. And Planit-ie, with particular experience in designing outside spaces, has been selected as landscape architects, drawing

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on expertise both in the UK and abroad for which the firm has won a number of industry awards. These appointments have been made by Ask Real Estate and PATRIZIA UK, Gateshead Council’s development partners for Gateshead Quays. Gateshead Council Leader, Martin Gannon, said: “The appointment of the design team is a critical and landmark decision for this project. “All three organisations have global reputations and that shows our commitment to bringing a world-class arena and conference and exhibition facilities to the North East. “Gateshead Quays is already one of UK’s most iconic riverside locations. We’ve always been clear that a high quality design for this site is paramount and we’re now ever more confident that the new buildings and landscape for this site will further enhance Gateshead Quays skyline and reputation.”

Leon Guyett, Development Director of Ask Real Estate added: “Some leading firms of architects expressed interest in designing this key site in the UK. We’re absolutely delighted to announce that these appointments are now in place and that we can further push forward with plans for Gateshead Quays.” Daniel Williams, Head of Development UK and Ireland, PATRIZIA UK said: “All three organisations were selected as they all have a fantastic reputation for designing major new centres. These new facilities will certainly confirm Gateshead Quays as one of Europe’s key cultural locations.” The 12,500 seat arena, and conference and exhibition facilities which will be operated by SMG Europe, will replace the existing Metro Radio Arena. The development is set to open in 2021. The design team will now commence work on a masterplan for Gateshead Quays and it is expected that a planning application will be made in late 2018.


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Columnist

Dealing with flexible wo r k i n g r e q u e s t s A flexible working request is a request from an employee to reduce working hours or change working pattern.

A

n employer may agree to informal requests, but if a formal request is submitted, the correct statutory procedures must be followed.

Eligibility Under the Flexible Working Regulations 2014, employees can make a formal request as long as they: • Have continuous employment of 26 weeks or more when making the request • Have not made a formal request in the previous 12 months

The Formal Application The application must give details on: • How the employee is eligible • The working pattern that the employee would like to work • The impact such changes will have on their work and colleagues’ work • How the employee thinks this impact can be accommodated • When the employee would like the arrangements to start

Holding a meeting to consider the formal application Arrange a meeting with the employee to review the request. There are no specific

time scales for the meeting to be held. The employee can be accompanied by another employee. The options: • Accept the application if it can be accommodated. The new arrangements will be a permanent change which should accepted in writing. • Explore alternative options or agree a trial with specific timescales. If the trial does not work the employee will revert to the original contract. • A formal request can only be rejected on one of the following grounds:

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planned structural changes

-

burden of additional costs

-

detrimental impact on quality

-

inability to recruit additional staff

- detrimental impact on performance -

inability to reorganise work among existing staff

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detrimental effect on ability to meet customer demand

- lack of work during the periods requested If the request is rejected, advise the employee in writing of the reason and of how to appeal. A decision is required to be made within 3 months of the date of the application.


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Export

MD of Team Valley manufacturer receives MBE for services to export

The managing director of a North East manufacturing business has received an MBE. Kate Wickham, of Gateshead-based Gate 7, was recognised with the accolade for her Services to Export and Outward Investment. Gate 7 manufactures specialist components for the automotive sector, including decals and vehicle livery for machinery used in construction and agriculture. Kate, 34, has run the business since 2005. Exports currently account for 60% of its revenues. Kate’s father Keith Wickham, chairman of Gate 7, said: “It takes a lot of guts to travel the world and Kate is a resolute and

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courageous traveller, making business trips alone to each corner of Europe as well as to India and America. This is why I am so proud that she has been awarded an MBE. “Exporting for a manufacturing business is not an easy option! The honour will without doubt help Kate with her vision for growth and expansion of the Gate 7 Group, through its manufacturing sites in the UK and America.” He added: “Gate 7 was honoured with a Queen’s Award for Export some years ago and since Kate has become MD, she has built on the strategy that led to that award.” Kate was honoured with the MBE at Buckingham Palace by Princess Anne, who engaged her in a detailed conversation about her role in industry. Kate commented: “This honour will help with our vision for the growth and expansion of the Gate 7 group, through our manufacturing sites in the UK and America.

“Despite the uncertainties of World economics, we have steered the company into a position of solid financial foundations and established a focus that should enable growth and prosperity to flourish from the blue chip client base that is served by the company.” John Doolan, an international trade advisor, praised Kate Wickham as “a driving force” behind Gate 7’s “export success”. He said: “The company has worked with DIT/UKTI for many years developing international markets.” Kate’s work, he explained, has resulted “in not only increased sales to existing clients, but also grown the business into new markets increasing its international customer base.” Sourced from www.bdaily.co.uk. Receive the Bdaily business news bulletin by registering at www.bdaily.co.uk/register


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News

Unnamed fund acquires ten North East assets from UK Land Estates for £42m North East commercial property and investment firm UK Land Estates has confirmed the sale of some of its smaller industrial estates to an unnamed asset management group for a total of £42m. The deal reportedly presents a winwin deal for both parties, with the new owners able to gain an industrial foothold in the region. In turn, UK Land Estates says the outcome allows it to continue its investment strategy in established flagship estates at Team Valley, Tyne Tunnel and Teesside. Knight Frank and Eversheds acted for UK Land Estates in the deal and all existing tenants across the ten sites are reportedly unaffected by the sale. Keith Taylor, MD at UK Land Estates, commented: “This is the right deal at the right time for us. “We have ambitious plans for our core estates, there are exciting announcements in the pipeline and we continue to receive promising inquiries from would-be clients.

Female entrepreneur expands beauty clinic business in Team Valley and London A North East entrepreneur has expanded her beauty clinic business with new sites in Gateshead and London. Luisa Scott relocated Newcastle Skin Clinic from Jesmond to a 1,500 sq ft space at Gym Etc. in Team Valley and another at the Metropolitan House office scheme in Swalwell. Growth over the last 12 months has enabled the company to create two jobs and broaden its offer with the launch of an in-house training centre and online shop. In addition to the Gateshead clinics, Luisa’s business has a satellite presence in the London that now operates from the

“Due to demand we made the decision to move to bigger premises in the North East”

Belgravia area. Once a month, Luisa and her team offer treatments to clients from around the capital and those flying in from overseas. She said: “Due to demand we made the decision to move to bigger premises in the North East and in tandem have expanded in London with our new Belgravia clinic. “With more space and new equipment in the clinics, we can welcome more clients and offer specialist treatments and procedures.” Luisa continued: “We have been present in London for the past seven years and are excited to see what the future holds for us. “It’s always been my dream to run my own clinic, and I never thought I’d be operating from two cities.”

Sourced from www.bdaily.co.uk. Receive the Bdaily business news bulletin by registering at www.bdaily.co.uk/register

“This sale will allow us to accelerate the series of refurbishments and speculative builds that we embarked on three years ago. We remain totally committed to the North East and to providing buildings for business in our region.”

The ten sold sites comprise of: South Nelson industrial estate, Cramlington; Boldon Business Park; West Quay Court, Sunderland; New York industrial estate, North Tyneside; Pennywell industrial estate, Sunderland; Harmire Enterprise Park, Barnard Castle; Viking industrial estate, Newcastle; Tanfield Lea North industrial estate, Stanley; Southwick industrial estate, Sunderland; Whitehouse Road industrial estate, Newcastle.

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Newcastle Skin Clinic founder Luisa Scott


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Te c h n o l o g y

Industry standard boosts Gateshead IT firm’s telecoms credentials Gateshead IT firm Advantex Network Solutions is set to grow its Internet Protocol (IP) telephone services, after securing a high-profile partnership certification from market leader Mitel. The company has achieved Mitel Silver Solutions Partner status in a move that recognises the firm’s expertise in supplying and supporting the Mitel MiVoice Office and MiVoice 250 range of telephone systems and applications. The certification cements Advantex’s relationship with the global enterprise communications leader and demonstrates its ability to deliver the highest levels of service, technical capability and sales in a competitive sector. The news comes as the Gateshead based firm looks to invest in its Voice-over-IP (VoIP) telephone activities, adding further to its 50-strong business development and technical team and supporting them with sales and technical training. Now, the firm is set to build on the Mitel partnership status, expanding further its existing business with the likes of GE Oil & Gas, Rockliffe Hall, Changing Lives, Kayer

Advantex’s Dave and Steve O’Connell (back row, l-r) with Mitel’s Glenn Thompson

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C&D and Middlesbrough FC as well as bringing on-board new customers. The move will also include ramping-up its resources and plans to support more than 10,000 hosted phone extensions by the end of 2017. Bill Carroll, director of channel programs at Mitel, said: “Our silver partners attain this status due to their proven technology expertise, combined with excellent customer service and success in offering our products. “Advantex has consistently met all of our criteria, and their customers are benefiting hugely from the enhanced expertise and experience this accreditation bestows.” Stephen O’Connell, sales director and coowner of Advantex, said: “We are delighted to be awarded Silver Partner status, gaining recognition for our expert capability across Mitel’s industry leading solutions.

“We strive to be at the forefront of network technologies to improve the business of our customers and Mitel is a trusted partner with industry leading solutions and knowledge that enables us to deliver just that.”

Advantex has consistently met all of our criteria, and their customers are benefiting hugely Sourced from www.bdaily.co.uk. Receive the Bdaily business news bulletin by registering at www.bdaily.co.uk/register


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North East unemployment at lowest rate for a decade

News

The latest Office for National Statistics (ONS) figures have shown an increase of 10,000 over the quarter and 25,000 over the year. For the period July to September, employment in the region has stood at 1,234,000 or 72.7% while North East unemployment stands at 71,000 or 5.5% - a fall of 6,000 over the quarter. North East Local Enterprise Partnership (LEP) Senior Economist Victoria Sutherland gave her reaction to the positive regional labour market statistics. She commented: “The data is encouraging. It shows the number of people in employment in the North East has increased by 10,000 on the quarter and 25,000 on the year. “There have also been declines in unemployment, with 6,000 fewer individuals unemployed than last quarter and 8,000 fewer unemployed than this time last year. “The improvements in the employment rate and the unemployment rate have been better in the North East than across England as a whole over the quarter and the year. “Interestingly, over the last year, most of the growth in employment has been among women, with 18,000 more women in work than a year ago. However, over the last quarter, the majority of the increase has been amongst men. “It remains an uncertain economic environment so it is good to see employment is growing and unemployment declining. Given concerns over other economic data recently, we welcome these positive trends for the North East.” Paul Carbert, policy adviser, North East England Chamber of Commerce, added: “The labour market statistics released last month continue the recent positive trend for the North East. “Employment levels and the employment rate are at record highs, and the number of part-time workers who cannot find a full-time job has fallen over the past year. Unemployment in the North East is now at the lowest rate for a decade. www.bdaily.co.uk

“The number of people in employment in the North East has increased by 10,000 on the quarter”

Largest rise in National Minimum Wage rates for young people in a decade Workers aged under 25 will see the largest increase in a decade in their statutory minimum wage in April 2018, the Low Pay Commission explains. The Low Pay Commission (LPC), the body that recommends the rates of the National Minimum Wages (NMW), including the National Living Wage (NLW), has launched its detailed annual assessment of the labour market and explains the rationale for its recommendations. The Government has accepted all of the LPC’s recommendations, including for the largest increases in a decade for the rates that apply to 18-20 and 21-24 year olds. On 1 April next year (2018) these rates will increase by 4.7 per cent and 5.4 per cent respectively. These are greater percentage increases than both that of the National Living Wage, which will increase by 4.4 per cent, and forecast average earnings growth of between 2.5 and 3 per cent. The new rates will boost the earnings of between 260,000 and 360,000 young workers directly, and many more young workers will benefit. This is for two reasons: firstly, these increases lead to ‘spillover’ effects further up the pay distribution; secondly, even though they are not entitled to it, some young workers benefit

from increases in the National Living Wage. It’s estimated that up to 45 per cent of 18-24 year old workers - or 1.3 million young people - could receive a higher pay increase than they would have done in the absence of the NLW. The LPC also made commitments to restore any lost ‘relativities’ once economic conditions improved. The LPC judged that there was sufficiently strong evidence to justify being more ambitious for the youth rates: Employment in the UK continues to grow more strongly than forecast and is at record levels. • Unemployment has fallen to its lowest rate since 1975. • There have been ongoing improvements in the employment and unemployment rates of 18-24 year olds, despite two increases in their NMW rates in quick succession in the last year. • Wage growth for those aged 18-24 has been higher than for those aged 25 and over for the last three years. As a result, the bite, which is the NMW as a percentage of median earnings and a key measure of pressure, has fallen for workers of these ages. • Both employers and unions raised the importance of fairness and employee relations between age groups in the workforce.


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Gateshead council has called upon residents, businesses, partners and employees to get involved in plans to help make Gateshead a place where everyone can thrive.

‘A radical rethink is needed’ says Gateshead Council leader in plea to town With the council now spending £400 less per person than it did 2010, it has released a statement explaining how the volume of spending cuts mean it can no longer act as it has formerly. Calling for a new way of working, it is now asking its inhabitants and businesses to come together in shaping the town’s future direction. Leader of Gateshead Council, Martin Gannon explained: “Gateshead’s a fantastic place with amazing people, there’s a strong sense of community and local pride. There’s real passion here and a lot to be proud of. “We’ve always been fiercely ambitious for the people of Gateshead and we remain committed to that despite the likely removal of our core grant funding from government by 2020.”

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“Every day we hear that some people in Gateshead are not coping or are in need. We have too many people out of work, living in poverty and living shorter lives. It’s just not right, this unfairness can’t continue.” Councillor Gannon added: “A radical rethink is needed about the way we work as a council, the way we spend the money, the way we work with partner organisations, businesses and how we engage with local people in our communities. Big change is needed and fast.” “There will always be people who need our help, but there are also people who with a little bit of support could improve their own lives and be able to play a bigger part in their own communities. This in the long term would reduce the amount of help the Council would need to give them.”

“We’ve put forward five pledges setting out what our priorities for Gateshead should be for the next 5 - 10 years. We want to know are those priorities shared by the people of Gateshead?” “We want everyone to be involved in the discussions we’re having, if you’re a resident, club organiser, local community group, church or business we need to know what matters most to you and what you can do to help make Gateshead a place where everyone thrives. Together we can continue Gateshead’s transformation and this is a real opportunity to have your say.” To find out more about the pledges being made by the Council and how to get involved go online at www.gateshead. gov.uk/ipledge or talk to your local councillor.


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Food

Share of £50,000 pot to be won by small food & drink business innovators Small food and drink companies have the chance to win a share of £50,000 funding in the first competition aimed at pushing the boundaries in food business innovation. Small food and drink companies have the chance to win a share of £50,000 funding in the first competition aimed at pushing the boundaries in food business innovation to kick-start the next generation of food production. The voucher scheme has been launched by Defra, through its Food Innovation Network (FIN), which connects food and drink producers with world-class facilities such as testkitchens, laboratories and the expertise to help them create new and innovative products and production methods.

The competition, run on behalf of Defra by the Knowledge Transfer Network (KTN), will support projects of three to six months. Applicants will need to submit an initial two-minute video pitch and a short description setting out their innovative business opportunity. All ideas will need to demonstrate the need for research and development, innovation in the proposed solution, path to commercial application(s), nature of market opportunity and value for money.

Global demand for food is projected to grow 60% by 2050 - the Government is committed to making sure Britain, with its scientific know-how and flair for innovation and quality, is in a superb position to take advantage of this. Micro, small and medium sized food and drink businesses will be able to compete for one of 10 £5,000 FIN vouchers - with matched funding from industry - by pitching their innovative projects to a ‘dragons den’ panel of industry and technical experts. The winners will be those who demonstrate their ideas are novel, achievable and support business growth. The money will allow food producers to invest in a wide range of innovative projects, such as reducing the use of water in growing vegetables, and creating new business opportunities. Food Minister George Eustice said: Our thriving food and drink industry needs to be innovative in order to be resilient and globally competitive. Some of our most innovative food businesses are smaller companies and each has unique challenges, from prolonging the shelf life of their products to developing new sources of protein. This new fund is aimed at helping support small businesses with a bright idea to develop their concepts in partnership with researchers or academic institutions.

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To enter the competition visit: foodinnovationnetwork.co.uk

New competition will help kick-start the next generation of food production


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E d u c aTt oi o un rism

Government must put greater emphasis on technical skills, says Gateshead College Principal Judith Doyle, principal and CEO at Gateshead College, has called on the Government to put greater focus on technical, vocational education to ensure North East businesses get access to the talent they need to function and grow.

Judith Doyle, CEO Gateshead College

industries places huge demands on the 16-19 educational landscape. Judith Doyle commented: “Not only must education providers be fleet of foot in responding to the changing demands for skills but they must be able to help re-train and re-skill the people who need new skills later in life.” “The government has talked about the importance of employer-leadership in building the curriculum. That is exactly what colleges like ours have been doing for many years to ensure young people leave with the skills to gain employment.”

The Principal is concerned that a continued devaluation of technical training is being perpetuated and encouraged by both the current funding levels for FE (further education) and the methodology used, Moreover, College management believe the current funding system is one of a series of factors leading to a mismatch, creating a workforce that is not necessarily qualified for a fast-changing jobs market. Rapid changes in technology combined with the emergence of new, innovative

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Colleges such as Gateshead, she says, play a critical role in preparing students to enter employment at every level supporting the economic needs of the region. Funding to support adult education and skills training is also critical to this, but funding for this has been subject to severe cuts in the past five years. “For adults, there is a disparity between the funding of 19-24 year olds and over 24 year olds; the methodology is transfixed with qualifications, which are often out of date and do not match the requirements of local business and industry.

Primary and secondary school funding per pupil has doubled between 1998 and 2016, while FE funding has been cut by 50pc over the same period. Funding per pupil at school is on average £6,300 compared to around £5,600 per FE student. In addition, bespoke training for niche business needs are costlier to organise and deliver. Judith Doyle says: “Funding is not the sole issue. We need to re-think how careers advice is delivered to pupils. The impact of the recently introduced Careers Advice Bill remains to be seen but significant change is needed to ensure all young people have access to high quality and impartial careers advice. “The current funding system supports and actively encourages schools to retain young people and unfortunately the provision of sixth form studies is not necessarily planned with jobs in mind. “A more seamless approach between schools, including primary and secondary, and FE is needed to enable all young people to recognise and play to their strengths and be well prepared for a rewarding future career.” www.bdaily.co.uk


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