Business News Round Up (29/09/2023)
Data shows UK economy bigger than before Covid
Britain’s economic recovery from the COVID-19 pandemic has been stronger than previously thought, with faster growth than Germany or France, according to revisions to official data released on Friday. The Office for National Statistics said that in the second quarter of 2023 the economy was 1.8% larger than in the final quarter of 2019, the last full quarter before the start of the COVID-19 pandemic. The figures also show some differences in which sectors of the economy are performing well, with science firms growing faster than first thought. The revisions are due to better data around taxes and costs, which the ONS said “can take a while to collect”. Chancellor Jeremy Hunt said: “We know that the British economy recovered faster from the pandemic than anyone previously thought, and data out today once again proves the doubters wrong. We were among the fastest countries in the G7 to recover from the pandemic and since 2020 we have grown faster than France and Germany. The best way to continue this growth is to stick to our plan to halve inflation this year, with the IMF forecasting that we will grow more than Germany, France, and Italy in the longer term.”
https://dailybusinessgroup.co.uk/2023/09/data-shows-uk-economy-bigger-than-before-covid/
Edinburgh has shortest Grade A office supply of UK regional markets
Edinburgh continues to have the lowest availability of Grade A office space – at one-and-a-half years – compared to average annual leasing over the past five years. While it has increased slightly since last year, the UNESCO World Heritage Site status of Edinburgh’s Old and New Towns continues to constrain supply. The latest market analysis from CoStar found that more than three quarters of the space under construction in Edinburgh is pre-leased, leaving 85,000 square feet available at 99 Dundas Street in the new town. Existing buildings with the largest amounts of space available include Saltire Court on Castle Terrace and newly vacant 6 St Andrew Square, following the departure of abrdn. Meanwhile, there is no speculative space under construction in Glasgow, although it has the largest years’ supply of existing stock. The largest amounts of available space can be found in older four-star stock, such as Aurora on Bothwell Street and 123 Vincent Street, whereas there is only 30,000 square feet available in both Cadworks and 2 Atlantic Square, which each delivered around 100,000 square feet in 2021. Other cities are seeing a similar trend, where recent completions and the most sustainable stock – with the highest BREEAM and NABERS ratings – are the most sought after. Overall, the availability of Grade A space across the ‘big six’ regional office markets amounted to three years at the end of September, when compared to recent demand.
https://www.insider.co.uk/news/edinburgh-shortest-grade-office-supply-31058886
Business confidence dips in September
Business confidence fell to 36% in September, a five point dip from the 18-month high (41%) recorded in August, as companies saw a decline in both economic optimism and trading prospects for the year ahead. While confidence has fallen it remains higher than the first three months of 2023 (20%). Firms’ trading prospects were down this month with 52% (down five points) of businesses anticipating stronger activity in the next 12 months, compared with 11% (unchanged) expecting weaker outcomes. This resulted in the net balance falling five points to 41% versus 46% in August. Optimism about the wider economy also reduced, with 51% (down four points) of firms reporting greater optimism, while 21% (up two points) were less upbeat. The net balance therefore fell six points to 30%, although this is still the third highest level during 2023. Overall, confidence levels remain well above the 22-year average of the Barometer of 28%, reflecting an upward trend in confidence during 2023, as monthly rises have generally been larger than any subsequent fall in following months.
New study reveals just 6% of jobs posted online in Scotland cite health and wellbeing benefits – lower than average
A new study auditing more than 5,500 jobs posted online in July 2023 has revealed that despite UK workers taking more sick days than ever before, employment packages fall short when it comes to incentives that support good health and wellbeing at work. It revealed that just 6% of Scotland’s roles posted online featured healthcare and wellbeing perks – lower than the study average of 12%. Undertaken by pathology testing platform Plasma by Medichecks, the research encompassed roles within the education, finance, government and public sector, healthcare, hospitality and HR and recruitment industries. It found that only 12% of the positions listed health-related perks such as private healthcare, wellbeing perks or life insurance as part of the employment package. Even fewer roles advertised healthy lifestyle options and wellbeing rewards like access to the government’s Bike2Work scheme (10%), use of free gym classes or discounted gym memberships, shopping, and cinema vouchers (5%) and a birthday day off (2%). Workers in the finance sector are more likely to have bosses who prioritise employee health, with 41% of roles featuring healthcare and wellbeing perks, while government and public sector positions ranked bottom, with just 7% of jobs listing such incentives.