The first hydro power generation unit of its kind for Northumbrian Water has been installed at a water treatment works.

Commissioning of the £1.3million hydro plant at Mosswood water treatment works near Consett, County Durham, is now underway after eight months of construction and technical challenges.

It is the latest green addition to the water company’s sustainable goal of renewable electricity generating excellence.

The new 185kw unit at the treatment works will create sufficient power to supply the equivalent of a large housing estate of some 300 homes. It will create enough power to meet a third of the electricity needed to run the entire treatment works and save £200,000 a year.

When added to government incentive scheme subsidies it means that the site’s power bill will be cost neutral.

The installation at the treatment works, which supplies some 700,000 customers in the Sunderland, South Tyneside and North Durham area, has been carried out by contractor JN Bentley.

Northumbrian Water already has the biggest hydro plant in England at Kielder Water and other electricity generating assets at Selset and Derwent reservoirs and at a treatment works in the Wear Valley and Darlington.

The water company is also at the forefront of the industry for creating power from sludge left after sewage treatment with the biggest advanced anaerobic digestion plant of its kind in the country operating at the mouth of the Tees and another under construction at the mouth of the Tyne.

These carbon reduction credentials won Northumbrian Water national recognition this week – officially designated as ‘Climate Change Week.’

It was awarded ‘Best initiative by a large business’ in the Climate Week Awards 2012 presented in London.

Climate Change Manager, David Chapman, said: “Northumbrian Water is committed to reduce carbon emissions by 35% by 2020 and utilising every opportunity at its reservoirs and treatment works to increase renewable energy generation.”

Northumbrian Water also had two internationally recognised indexes renewed this week.

It was confirmed as one of only 15 businesses in the country to gain Platinum Plus status in the Business in the Community Corporate Responsibility Index 2012.

It is also the only UK water utility to be designated as one of the Ethisphere World’s Most Ethical (WME) Companies 2012 – one of only seven solely UK-based companies to make the international list of 145 companies.

Empowered: The hydro development team (above, l to r) David Pattinson, team leader; David McDermott, project manager and Emma Jennings, works manager.

Time is running out for North East firms wanting to learn first-hand about the business opportunities available in India.

And they are being urged to take a leaf out of Electric Vehicle Systems from Washington if they want to break into the Indian marketplace.

EVS has been operating in India for over 25 years, but keen to ensure it was making the most of the opportunities the market had to offer, it contacted UKTI and used a range of services including the Overseas Market Introduction Service (OMIS).

The company, which employs six people at its Washington base, is a leading worldwide provider of electronic systems for all types of electric vehicles including electric scooters, the Southport pier tram (right), electric passenger transport vehicles, airport ground support equipment, electric trains, electric trams and forklift trucks.

UK Trade & Investment (UKTI) will be taking a delegation from the North East to India between 3 – 10 March 2012, to enable companies to find out more about the market and meet potential customers.

Companies have until Friday 4 November to book a place on the visit.

India is the second fastest growing economy in the world, after China. As its consumer class grows, the business opportunities which until a few years ago existed only in the traditional economic heartlands of Mumbai, Delhi and Bangalore have now extended to the emerging cities of Nagpur, Ahmedabad, Chandigarh, Pune and Jaipur to name but a few.

Gary Holmes, Managing Director at EVS, explained: “We knew that there could be a lot of potential for our operation in India but it was only when we physically went out there that it became apparent how vast this market is. We knew at that point we needed some support to help us make the decision where to site our office, and the market intelligence that the OMIS report provided was a great help.

“Our India office opened in 2009, in Kolkata, and since then has gone from strength to strength. We initially set it up as a sales office, but now it also houses an assembly facility and a service and repair department. And as the leisure industry in India grows, we’re confident that we’ll develop our presence in that sector too.

“We’re now looking at using our India base as a springboard to make the most of opportunities even further afield, such as in Singapore and other markets in the Far East,” he said.

Geoff Young, one of UKTI’s International Trade Advisers, who will accompany the delegation, said: “The success of EVS in India shows that small firms can and do succeed in complex overseas markets. The UK has strong ties with India and as it is one of the world’s fastest expanding economies there are plenty of opportunities for North East companies in all sorts of sectors to do business there.

“Smaller companies are often reluctant to visit new export markets. This may be a fear of the unknown, a lack of knowledge of the business opportunities in the market and an uncertainty as to who are the buyers or sellers and who the competition in the market is,” he said.

For more information, or to find out about the wide range of support services available through UK Trade & Investment , call the North East International Trade Hotline on 0845 05 05 054 or email: enquiries@ukti.rito.co.uk. You can also follow on Twitter at twitter.com/UKTINorthEast.

North Tyneside elected Mayor Linda Arkley pledged council support for manufacturers after visiting visited one of the borough’s business success stories.

Mrs Arkley joined James Ramsbotham, Chief Executive of the North East Chamber of Commerce, on a visit to Chirton Engineering Limited, at its North Shields base on the West Chirton Industrial Estate.

They met owner Paul Stewart, who set up the company seven years ago with just five employees in a 500 square feet unit to focus on engineering projects in the sub-sea, oil and gas field.

Since then the company has grown year on year and is now based in a 11,000 sq ft unit, employing over 40 staff.

It now has a turnover of around ?2.6 million and is looking to diversify. The company is currently working with the automotive industry, alternative energy and renewable energy sector.

Mrs Arkley said:” I am so impressed with Paul and all that he has achieved on North Tyneside.

“This is the kind of business I want to encourage others to emulate. It has grown through tremendous hard work and is making a name nationally and internationally for its achievements. Importantly for North Tyneside it is providing employment for local people and is committed to stay in the borough.

“I am confident that we are heading in the right direction in terms of growing manufacturing in our borough and making it easier for employers to invest and grow in North Tyneside. The Enterprise Zone status will take us forward onto the next phase in the borough’s economic success.”

James Ramsbotham said: “Chirton Engineering is a genuine regional success story and a perfect example of what ingenuity and hard work can accomplish. It was also impressive to learn of the future ambitions of the company as it prepares to venture into growth industries such as alternative and renewable energy.”

Chirton Engineering Ltd is in an enviable position in the current economic climate with a company order book totalling nearly ?1m and high demand for them to carry out work around the globe.

Paul Stewart explained: “The company profits have been continually re- invested in personnel, machinery, I.T, and training. We sent our first job to Norway two weeks ago and the company has come back to us with further work.  We are exporting our first job to Germany next week with further work being requested.

“We are a sub contractor to a major European company where we have had zero defects in two years – this has propelled Chirton Engineering Ltd to being the company’s number 1 sub-contractor in Europe.”

North Tyneside success: Elected Mayor Linda Arkley, owner Paul Stewart and James Ramsbotham, Chief Executive of the North East Chamber of Commerce at Chirton Engineering.

Hub Two, Hartlepool’s newest business centre, has secured its green credentials with an impressive array of environmentally-friendly services incorporated into the multi-million pound development.

From more than 100 solar heating panels and intelligent lighting to a water system that re-uses collected rainwater and a charger for electric vehicles the building is not only kind to the environment but also benefits the health of the people who work there. 

Hub Two, the extension to UK Steel Enterprise’s Innovation Centre on the Queens Meadow Business Park, opened just a few months ago but is already operating at 60% capacity.  It provides 46 offices, most with balconies, a reception area, parking, 24 hour access, high security, meeting rooms, state-of-the-art telecom systems and even a gym and chill-out room.

It is believed Hub Two has more solar panels than any other building in Hartlepool and a highly economical Stormsaver system captures, stores and filters rainwater for use in the building. 

An intelligent lighting system not only saves electricity by automatically dimming and raising lights according to the natural light available  but also helps workers avoid the glare and side-effects from constant fluorescent strip lighting.  A charger for electric vehicles has been installed in the car park, recently used by a prototype of Tata Motors Indica Vista EV on its first visit to the region.  

Simon Hamilton, Regional Manager for UK Steel Enterprise (left) said: “Economically, this was possibly not the easiest of times to make such a major investment in a new building but we wanted to meet the demand we were seeing for more office space.  

“We also wanted the building to be the very best – not only in terms of being ‘green’ but also to give tenants the best working environment from clean air and the kindest lighting to top quality furniture and fittings. We are delighted with the finished building and the 60% occupancy figure and we are confident that Hub Two will be another success story for UKSE and for Hartlepool.

“New and growing businesses involved in everything from haulage, recruitment and energy to construction, website design and health have already moved in. They are companies that are doing well in difficult times and we want to support them in every possible way.”

Businesses throughout South Durham are invited to enter or make nominations for an award in the following categories:

• Best business start-up
• Best home business
• Best retail business
• Best service business
• Best employee
• Engineering & manufacturing award Innovation award
• Outstanding contribution to the South Durham area

Application forms for awards can be obtained by emailing info@sdbn.org.uk.

The ceremony will double with a Christmas Dinner to be held at Spennymoor Town Hall on Friday,  December 9 commencing at 7pm. Tickets are £25 each or £200 for a table of ten. To register and book places log on to  www.sdbn.org.uk or e-mail info@sdbn.org.uk or telephone 07947 409838.

Work by six Teesside art students is to take pride of place on the walls of UK Steel Enterprise’s new £4.7m extension to its flagship business centre in Hartlepool.

They will hang in the new Hub Two extension to the Innovation Centre on Queens Meadow Business Park, where the first tenants are due to move in within the next few weeks.

The extension, financed by UK Steel Enterprise with support from One North East, Tees Valley Unlimited and Hartlepool Borough Council, provides 46 new prestigious offices.  It almost doubles the size of the Innovation Centre which opened in 2005 and more than a quarter of the offices have already been reserved by new and expanding businesses.

The six students whose work was chosen are Jess McCue from Billingham, James Mulligan and Zoe Plant from Stockton, Lucy Hargan from Northallerton, Karen Weaver from Newton Aycliffe  and Julia Ferguson from Hutton Rudby (not pictured)  who is now studying in Manchester.

“Our specifications for this extension included a very high quality of fittings and furniture,” explained Simon Hamilton, Regional Manager for UK Steel Enterprise.  “So, when it came to buying artwork for the reception, staircases, meeting rooms and other communal areas we decided we wanted original artworks and not just the usual selection of office prints.

“We knew there was a lot of talent in the area but were surprised by just how much!   In the end, the College made up a shortlist suitable for our ideas, the new building and all the relevant spaces and we chose the final thirteen.

“They include abstract works, very striking paintings in bold colours and some with an industrial influence but they will all look wonderful in Hub Two and bring a lot of pleasure to tenants and visitors. In addition, we are delighted to give talented local students from one of our steel areas some well-deserved recognition,” he added.

Sue Dewey, lecturer at Cleveland College of Art and Design, said:  “We really welcome this interest from UK Steel Enterprise. It is such a valuable opportunity for students and the college and a big compliment.  It encourages the students and gives them a very practical demonstration of one way in which their future careers could unfold. We would love to do more projects like this with local companies and organisations.

“This year’s Foundation Diploma course has been a very talented year and we have sold a record number of paintings at the final exhibition,” she added.

Details of the office space available in Hub Two and of UK Steel Enterprise’s full range of support for new and growing businesses in steel areas from 01429  239500 or www.uksteelenterprise.co.uk.

Art business:  The Cleveland College of Art and Design Foundation Diploma students (above) bring their work to be hung in UK Steel Enterprise’s Hub Two extension at the Innovation Centre, Hartlepool.  (From left back): Simon Hamilton, James Mulligan, Zoe Plant, Lucy Hargan and lecturer Sue Dewey.  (Front seated) Jess McCue and Karen Weaver.

Does anyone think that too much importance is placed on sport and, in particular, football nowadays?

There are wars, famine, horrendous natural disasters like the tsunami in Japan rolling round the world whilst hours are spent on the radio discussing Arsenal’s defensive strategy or Wayne Rooney’s metatarsal. I know people enjoy their sport, I do too. But what happens is that, when perspective gets so distorted over what is essentially a game, so the finances and taxes associated with that game begin to exist on a different planet. Consider these examples:

Gordon Taylor of the Professional Footballer’s Association (PFA) backed a grassroots scheme to “effect positive change within local communities in education, social inclusion and equality to the tune of £1.2m. The PFA also bought a painting in 1999 (Lowry’s Going to the Match). Cost £1.9m.

Top players are reported to be saving millions of pounds in tax via a loophole which allows them to separate their earning into “image rights” companies and take income which may be taxed as low as 2%. HM Revenue and Customs plans to stop footballers avoiding tax in this way but Graham Taylor of the PFA is ready to fight them saying “The Revenue think football is a soft touch and, because of the money, footballers will just lie down and do a settlement, pay up and move on. Life is not as easy as that.”

The average employee in the UK, even on lower rate tax, pays 31% in tax and National Insurance.

In February 2010 Sepp Blatter head of FIFA said: “Over the past 100 years colonialists have only gone to Africa to exploit it. FIFA is giving back to Africa.”
$140M was added to FIFA’s reserve fund aided by tax avoidance legislation imposed during the 2010 World Cup. South Africa had to guarantee “tax exemption encompassing, all revenues, profits, income, expenses and any and all kinds of payments.”

FIFA’s reserve fund stands at $1.2 Billion including $4.19b raised during the last world cup cycle. This is tax free under Swiss law (where they are based) as FIFA is a “non-profit body”

During the 2009/10 football season when Burnley were relegated from the Premier league their player wage bill amounted to 110% of their turnover. Not 110% of their profit. 110% of their entire income! Many Premier league clubs have similarly high player wages. No business outside of planet football could trade with that wages/turnover equation.

There is an argument that FIFA attracts tourism and trade to host countries. You might also take the view that why should footballers, or indeed anyone, pay any more in tax than they are legally obliged to (the avoidance schemes are not illegal).  Maybe it’s just me but when there is so much money involved the perspective becomes twisted, the dynamics change and mega greed steps in.

What do you think? Feel free to comment below.

Jeff Neil

http://www.moveonmoney.com

The announcement comes despite ongoing concerns about inflation in the UK. In February the consumer price index (CPI) measure of annual inflation rose to 4.4% – over double the Bank of England’s central target of 2.0%. With the price of Brent crude oil now in excess of $120 per barrel, and the price of petrol in the UK at record levels, inflation could rise still further.

The need for the Bank of England to counter inflation by raising interest rates is being confounded by continued weakness in the UK economy, however.

A wide range of retailers have issued profit warnings this week – a clear sign of the squeeze on household incomes starting to feed through into reduced discretionary spending.

The closely watched John Lewis retail sales data – seen as a bellwether for the rest of the retail sector – has been surprisingly poor of late; retail sales values (excluding VAT) for the past eight weeks were some 1.1% lower than the same eight weeks a year ago.

Tightening monetary policy too soon could lead to a further weakening in consumer spending as household incomes are squeezed by higher mortgage interest payments and an increased rate of borrowing.

Despite this, a rise of 25 basis points in May cannot be ruled out. The next Bank of England Inflation Report will be released next month, and historically rate movements are more likely to occur in months when an Inflation Report is issued.

Furthermore, there is a real risk of the Bank of England losing credibility in its commitment to keeping inflation within target. A modest rate rise next month may be necessary to alleviate these concerns and prevent inflation remaining elevated in the medium-term.

An expanding Teesside-based training company is aiming to increase the number of young women training for a career in telecommunications, one of the UK’s fastest growing industries.

CableCom Training Ltd recently invested £2.2m in a purpose-built training and conference centre in Stockton and the new premises are the venue for the free full and part time courses in telecommunications.

A series of CableCom adverts including one aimed specifically at young women “Just cos you’re a girl doesn’t mean you can’t go into telecoms” has led to a sharp increase in the number of enquiries from females.

“We are working hard to encourage women and minority groups to recognise the potential in telecommunications  as they are under-represented in the sector,” said Managing Director Tony Horridge.  “It is one of the fastest growing sectors in the UK and we have a database of employers who are actively looking for qualified engineers and recognise the high standard of our training.

“We are also holding hands-on taster sessions in telecoms for 14 to 16 year olds in local schools. Our young people will play a pivotal role in the region’s future success and it is vital they have the skills that they, employers and the region need,” he added.

Currently, 28 unemployed people from the age of 16 upwards are on the 15 week course that leads to a nationally recognised Level 2 BTEC Diploma and there is a waiting list of 31 people in the 19+ age group.

Up to 70 learners are using the new Training Centre in any one week studying for a range of qualifications, including the new Qualifications & Credit Framework,  not only in telecoms but also in electronic security, transportation, ports and shipping, business support and management, health and safety,  taxi and coach driving and waste management.

CableCom delivers training for Virgin Media and the Map Group UK and advises on the benefits of apprenticeships.

The current CableCom core team of 15 and bank of up to 30 skilled trainers and assessors is expected to grow steadily through 2011.  The range of innovative training programmes is seeing the company win contracts in competition with some of the UK’s largest training providers and it delivers courses within companies right across the UK including London, Liverpool, Leeds and Manchester.

The new Centre on Stockton’s Preston Farm Industrial Estate has modern learning suites, training rooms, the very latest equipment including clever-touch interactive screens and ‘cloud’ sound, interview and meeting rooms.  The facilities are also used by local organisations holding seminars and conferences for up to 110 delegates including video conferences.

“We work in partnership with local companies, Jobs Centres, employer and apprenticeship working groups, schools and charities to ensure that the training we provide meets everyone’s needs and that it is a real route into employment,” said Tony Horridge.

CableCom Training is on 01642 804 000 and at www.cablecomtraining.com

Above: Tony Horridge, Managing Director of CableCom Training outside the company’s new £2.2m Training & Conference Centre in Stockton.

As everyone knows the 31st January is New Year for accountants when our thoughts turn to lighter things like holidays, springtime and of course, next year’s tax rates.

From 6th April 2011 the personal allowance (the amount you can earn before paying tax) increases from £6,475 to £7,475 in line with the Lib Dem’s desire to work towards a tax free allowance of £10,000. No surprise there then. Here’s the difference though. Instead of increasing the higher rate tax threshold it is going to be reduced from £37,400 to £35,000. This means that taxpayers earning over £42,475 (the higher rate threshold plus the personal allowance) will be sucked into higher rate tax payments.

If you were earning £43,875 in the 10/11 year you would have been just outside the higher rate band. If you are still on the same salary in the 11/12 year you will now pay an extra £280 in income tax.

Then there’s National Insurance. The main rate is increasing from 11% to 12% in April so if you are on salary at the higher rate you will effectively have a tax rate of 52% on part of your earnings.

For those in self employment you will of course benefit from the increased personal allowance and the lower limit for class 4 National Insurance (the tax you probably didn’t know you were paying!) increases to £7,225 however the class 4 rate goes up from 8% to 9%!

Many lower income households will benefit from the changes with the burden falling on higher earners. Whether you think this is fair will depend on your political views but undoubtedly there is not much “giveth” and lot of “taketh” for many people.

Given that the child tax credit system is changing and tax relief on childcare vouchers is to be reduced, the Institute of Fiscal Studies have calculated that the average household will be £200 a year (or £3.85 a week) worse off after these changes.

So that’s not too bad then. Wonder if they included VAT, fuel and alcohol though?

Jeff Neil
http://moveonmoney.com