Business News Round Up (08/02/2024)
Fraser of Allander Institute forecasts modest growth for Scotland in 2024
The Scottish economy is poised for a turnaround in 2024 after experiencing limited growth in 2023, as reported by the Fraser of Allander Institute at the University of Strathclyde.In the quarterly Deloitte-sponsored Economic Commentary, which includes an assessment of all the latest key data on the UK and Scottish economies, the Strathclyde researchers have set out their new forecasts. The economists are forecasting growth of 0.6% in 2024, 1.1% in 2025 and 1.2% in 2026. Whilst these forecasts are slightly weaker than previous forecasts, it still points to improving conditions in the economy over the course of this year. The current data for 2023 is not yet complete, with Scottish GDP data available up to November 2023. The Institute expects that growth for the year as a whole is likely to end up at 0.2% – that is, there has been very little growth in the economy over 2023.
Bruntwood SciTech gears up for ID Manchester start with £480m funding boost
The initial phase of development for the £1.7bn innovation district is one of several schemes to benefit from a new loan facility from Barclays, HSBC, Lloyds Bank, NatWest, and Santander. Bruntwood SciTech has secured a £350m term loan from the banks, as well as a £80m revolving credit facility and a £50m development facility. ID Manchester, a joint project from Bruntwood SciTech and the University of Manchester, is one of the most anticipated projects on the list to get a financial boost from the deal. The strategic regeneration framework for the 4m sqft district was published last summer. ID Manchester was designated as a Greater Manchester investment zone earlier this year. In addition to enabling the start of ID Manchester, the combined £480m will go towards refurbishing and improving Alderley Park in Cheshire, completing No3 Circle Square in Manchester, and the redevelopment of the Greenheys site at Manchester Science Park.
Study identifies risk of redundancy in Scotland
New data reveals the regions most likely to experience redundancy in Great Britain in 2024. Workers in Scotland are sixth most at risk of being made redundant in 2024. There were 15,957 potential redundancies in the region based on the number of HR1 forms submitted between January and October 2023, averaging 291 per 100,000 people. March 2023 had the most redundancy notifications at 3,795, 137.82% above the regional average in Scotland. The study, conducted by personal financial experts Wealth of Geeks, examined the number of potential redundancies from HR1 forms, also known as Redundancy Notification forms, according to data from the Office for National Statistics between January and October 2023. The total number of possible redundancies was then considered per 100,000 people to determine the U.K. regions with heightened vulnerability to redundancies.
UK must step up reskilling efforts for net zero push
Four million workers in the UK will need retraining by 2030 to support the nation’s transition to a low-carbon economy, according to a new research from Bain & Company. This will also see roughly one million roles created by the net zero transition in the same period – with energy and home heating creating 500,000 jobs alone. By Bain & Company’s reckoning, it took the UK 60 years to reduce its coal usage 90%; and that shift to gas as a primary fuel in Britain came with massive social and economic impacts on the nation’s economy, politics, and communities – especially in the North, Midlands, and South Wales. This time, more is on the line, and there is even less time to do it. The shift is also about more than just the energy sector, which represents only about 25% of the UK’s total CO2 emissions.
https://www.consultancy.uk/news/36524/uk-must-step-up-reskilling-efforts-for-net-zero-push