Business News Round Up (22/08/2022)
New group launched to support Scottish tourism and hospitality sectors
A new industry leadership group is being set up to support the tourism and hospitality sectors in Scotland. The Scottish Government said the group aims to support Scotland’s ambition to be a “world leader in 21st century tourism” and will also help to deliver the national tourism strategy, Scotland Outlook 2030. Members from a range of sectors and communities will be invited to join the industry leadership group (ILG) on a voluntary basis. It is expected to convene at least four times a year, with the first meeting taking place in early November. Tourism Minister Ivan McKee said: “The establishment of this new Tourism and Hospitality Industry Leadership Group will ensure we can collaborate on solutions to meet the challenges and opportunities that lie ahead for the sector. I look forward to discussing in detail with members how we can work together to deliver Scotland Outlook 2030 and more widely the National Strategy for Economic Transformation. Over the course of the last couple of years, the Scottish Tourism Emergency Response Group (Sterg) has played a crucial role to support the tourism and hospitality sector in the immediate recovery from the pandemic. As we continue to recover from the effects and grow our economy again, there are different challenges impacting the sector, including Brexit and the cost emergency. I am grateful to the members of Sterg, the work of the group proved invaluable – I look forward to working as closely with the new ILG, as the Scottish Government remains fully committed to becoming a world leader in 21st century tourism.”
https://www.insider.co.uk/news/new-group-launched-support-scottish-27799058
Post-summer glow for Manchester’s office market
Manchester’s office market will build on a strong first half of the year on its return from the summer holidays. The latest Mid-Year Review of UK Cities by global advisory group Knight Frank is predicting an equally strong second half period for the sector, with approximately 265,000 sq ft of space already under offer to 14 different occupiers. The review looks at occupier and investment activity across 10 UK cities. Manchester’s office sector saw 124 occupier deals completed in the first half of the year, racking up almost half a million sq ft of space – the highest total for three years and on a par with the first half of 2019. While the public sector – led by the Government Property Agency taking 130,000 sq ft at 9a First Street – accounted for the highest percentage (30%) it was the professional services firms which were most active accounting for 32 deals. Knight Frank’s head of office in Manchester, David Porter, said: “Interest in the UK cities has held firm, especially for new and good quality space, in particular, those offering a range of ESG-led amenities and majoring in sustainability. Development continues to deliver high quality space into many markets with net carbon zero at the forefront of this, widening the appeal of the UK cities to potential suitors.”
Almost half of firms in Scotland expect staff to be in office more
While 68% of employers in Scotland are offering hybrid working, just under half (44%) expect staff to be required to work more regularly in the office over the next 12 months. The latest survey from recruitment firm Hays also found that nearly a quarter of workers (22%) think their employer will ask them to attend the office more frequently over the next 12 months. More than 8,000 professionals and employers across the UK – including 500 from Scotland – were polled in June, with 41% currently working full time from the office, even though the majority (67%) would prefer to work either hybrid or remotely. Of those companies which do offer hybrid working, a quarter of employers provide complete flexibility when it comes to employees choosing the days that they’re in the workplace and 22% said staff can work remotely from anywhere, including abroad, when working in a hybrid model. Hays Scotland director Keith Mason said: “The difficulty in finding talent hasn’t gone away and whilst hybrid working isn’t ‘one size fits all’, employers need to recognise that offering flexibility will continue to be important when attracting staff. We’re seeing that most of our younger generation coming through the ranks now want to be in an office rather than working from home – they still like the option of hybrid working to take advantage of flexibility, however, they prefer an office setting more than experienced staff do.”
https://www.insider.co.uk/news/almost-half-firms-scotland-expect-27798969
More than £21bn of COVID-19 funding support allocated
Small businesses received more than £21bn through the government’s Covid-19 Local Authority Business Support Grants scheme, according to new data. Micro, small, and medium sized companies across different business sectors benefited from a total of £21.3bn in funding under the scheme, which was created to support businesses during and to recover from the impact of the global pandemic. The new data – which includes a sector breakdown for the first time – shows than more than one-third of all available funding (£8.2bn) was allocated to the accommodation and food services sector, a part of the economy hit hardest by the pandemic. Businesses operating in wholesale, retail, arts and entertainment, recreation, and other services industries were also among the different business sectors to receive substantial help under the scheme. The grant scheme was created by the UK government and administered by local authorities, with all regions in England found to have allocated most of their total available funds. Support was also provided through initiatives including the government’s Recovery Loan Scheme (RLS), which has backed almost 19,000 companies with average support of £202,000 each, as well as the increase in Employment Allowance, reduced fuel duty, and the introduction of business rates relief for high street businesses
https://www.insidermedia.com/news/national/more-than-21bn-of-covid-19-funding-support-allocated