Business News Round Up (07/03/2022)
UK jobs market hits two-year high as economy recovers from pandemic
The UK jobs market hit a two-year high in February as the British economy emerged from the coronavirus pandemic and final restrictions were lifted. According to the latest edition of accountancy and tax consultancy network BDO’s business trends report, the employment index rose for a fourth consecutive month to 110.75, representing a monthly gain of 0.77 points. This was the first time the labour market had returned to pre-pandemic levels, the accountancy firm said, since February 2020 when it came in at 112.86. The index now sits above the 95 level which indicates growth. The easing of restrictions provided a large boost to business optimism in February. As businesses fully re-opened and resumed normal operations, they have also been looking to hire more staff to cope with increased demand. A shortage of workers due to Brexit and the pandemic has also made competition for employees fierce, the report said. Together, these factors have placed upward pressure on employment figures. BDO’s optimism index increased 0.9 points to 105.81 during the period, marking a second consecutive month of improvement following December’s Omicron-related dip.
South West tech could be worth nearly £20bn by 2026, report finds
The South West’s tech sector could be worth almost £20bn by 2026 and create more than 125,000 new jobs over the next few years, according to new research. The study, commissioned by trade body Tech South West, has taken an in-depth look at the region’s tech ecosystem, calculating the industry’s contribution to local economies from Gloucestershire to Cornwall. The report provided a breakdown of the number of “world class” tech firms, and innovation and research hubs operating in each part of their area, and their specialisms. The West of England was found to have the highest concentration of tech firms in the region. Around 4,900 businesses across Bristol, North Somerset and South Gloucestershire employ a workforce of more than 45,000 in a local sector worth £38.3bn. Devon, and in particular Exeter, was highlighted as an internationally recognised hub for climate research, through the work of organisations such as the Met Office and the Devon Climate Emergency Response Group, with Plymouth described as a “world leader” in marine and health tech.
https://www.business-live.co.uk/technology/south-west-tech-could-worth-23285262
UK falling behind EU rivals on tourist spending after duty changes
Britain is losing its position as the favoured destination for high spending international tourists to the EU after the government abolished tax-free shopping at the start of last year, according to a new study. Its findings reflect warnings from retailers and operators in the leisure and hospitality industries across the UK that the move would make the country less attractive to tourists. When the UK was still part of the EU, visitors from outside the bloc had been able to claim a VAT refund on most shopping receipts but the rule was scrapped after Brexit. Global Blue, the tax-free shopping refund agency, compared the behaviour of Gulf state tourists in the EU in 2019 with their shopping habits last year. It found that about a fifth of those shopping in the bloc in 2021 had previously only shopped in the UK two years earlier, where they spent an annual average of €24,000 each. Last year, their spending dropped to zero in the UK but reached €22,000 each in the EU. Close to a third of those shopping in the EU in 2021 had previously shopped in both continental Europe and the UK in 2019 but increased their average annual spending per person in the bloc by 40 per cent to €22,000 last year, the study found.
https://www.ft.com/content/446dfa43-a7f1-4885-91f4-49ffb21f34e5
£100m backs next stage of city’s biggest ‘green’ offices
HFD Property Group, the commercial property and investment company, has agreed a £100 refinancing package from HSBC to fund the next stage of its flagship development in Glasgow. The offices at 177 Bothwell Street are already expected to meet the highest ‘green’ credentials on energy performance and have attracted blue chip occupiers Virgin Money, BNP Paribas, AECOM, CBRE, and Transport Scotland. Smart technology will be used throughout the 313,000 sq ft building to reduce energy consumption and improve environmental performance, while its energy will be supplied by Blantyre Muir Wind Farm in South Lanarkshire, ensuring it is 100% renewable and from an identified local source. There are 318 cycle spaces, electric vehicle charging points, and touchless technology throughout the building in keeping with new hygiene demands.