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Business Argus

Tuesday, December 3, 2013

Commercially speaking

The big question...

By Jo Barnes
01633 777240 jba@gwent-wales.co.uk Twitter @SWABusiness
On Thursday this week the Chancellor George Osborne is delivering his Autumn Statement to the country . Business Argus has been asking local business people what they would like to see him aqnnouncing when he gets to his feet in the House of Commons. Nathan Bowles, chief executive of Smart Solutions There is a renewed confidence in the economic climate at the moment and we are experiencing this first hand with an increasing demand from clients recruiting flexible workers. Although we are only in the early stages of recovery, anything that helps to continue this trend will be very welcome. In particular, we would like to see the Chancellor focus on policies that will actively encourage inward investment, and reduce the amount of red tape around employment that will reduce costs and, in turn, stimulate growth. Peter James, managing director Cintec International, Newport I would suggest that the Autumn Statement should be one of job creation and assist SMEs to recruit with a reduction of National Insurance tax on business, and also lower the rates on corporation taxes. I would like the UK government to offer like many other countries, financial assistance to emerging countries using UK based companies to provide the assistance. At the moment UK government provides monies to emerging countries which is then paid to our exporting competitors to undertake work or services in that country . Peter OToole, chief executive officer, Retail Management Services, Langstone I just want the Chancellor to keep consumer confidence up. This year has

By David Jones, Surveyor, Hutchings & Thomas, Chartered Surveyors

ITS all systems go for Newports Friars Walk shopping centre after Newport City Council agreed to borrow the 90m needed fund the scheme. Already one other new occupier has been revealed as coming to Queensburys 390,000 sq ft shopping centre to add to the line up which already includes the likes of Next, Topshop, anchor store Debenhams, Cineworld, Nandos, Frankie & Bennys, Prezzo, Cosmo and Chiquitos. Traditional and social media channels has been alive with comment for and against the councils brave move which will secure the development of the scheme but wont necessarily guarantee full occupancy . Its my view that the council may well have pulled off a masterstroke with the arrangements to finance the deal which will help secure the level of retail excellence the city deserves. And lets not forget that Newport which, figures tell us, already has some 118,000 affluent households in the area, will be boosted by even more when the various residential schemes in an around the city, such as at Llanwern, are completed. Developers Queensberry are confident that the new scheme will put Newport back into the UKs top 100 retail destinations. There are said to be 22,000 office workers within one mile of the city centre with a further 3,500 new jobs expected to be created by the end of the decade. And then theres the Admiral effect to consider. The city councils funding move is unusual to be sure but was highly necessary . Its a positive step as the city centre is at rock bottom. One only has to stroll through the centre to see all the empty units and charity shops. The move has given the city centre and the perception of it from the outside the shot in the arm it needed. There are now positive signs that the commercial property sector is on the up in Newport. Only in the last quarter we have noticed a marked improvement in the number of enquiries now it is our job to convert these enquiries into firm business. The office market remains slow but there is a distinct warmth in demand for second retail freehold both locally and from outside the area. I believe that there is a recognition outside the city that prices cant fall any lower, which is acting as a trigger to investors to get on board before they begin to rise. Meanwhile Newport County surge ever onwards and upwards. I remain of the opinion that County will again gain promotion this term, and thats my prediction for 2014. Up the Port.

seen consumers across the UK start to return to their old buying habits and, to maintain this, the Chancellor must deliver good news in his Autumn Statement. Christmas is the most important trading time for all retailers, and this year will drive future increased sales if confidence is high. Lets not damage 2014 before it has even started. Cennydd Thomas, corporate finance manager, UHY Peacheys, Newport Over recent years it has become popular for the Chancellor to treat the Autumn Statement as a mini-budget. This year I would like to see the Chancellor were to go a bit further by announcing more focussed tax breaks for smaller companies; in particular the so-called micro businesses which after all are the future titans of our economy . This

could be achieved by way of an accelerated tax credit on capital expenditure along the lines of the R&D tax credit scheme. In addition, any increase in consumers disposable incomes (either by way of a continued freeze on fuel duty or some other measure) would also go a long way towards boosting consumer confidence heading into the busy Christmas period. Robert Twigg, commercial property partner, Everett Tomlin Lloyd & Pratt Solicitors, Newport and Pontypool The Governments help to buy scheme has given a boost to house builders. However, house builders account for only 15 per cent of the construction industry . For the other 85 per cent the outlook is not so good. Measures are needed to bring forward capital expenditure to deliver pro-

posed new schools, hospitals and infrastructure projects. This should help to instill confidence and encourage further growth in the wider economy . As far more immediate measures, it would be good to see some help for businesses by way of some form of business rates relief. Gerald Davies, executive chairman, The Kymin Group, Newport George Osborne should stick to his policy of getting the deficit down and encouraging business investment. I notice the Pound has strengthened recently, which is a mark of respect from our trading partners. Knocking the banks is an amusing sideshow, but counter-productive. The important thing is to encourage businesses to invest, not necessarily using borrowed money . There are not enough entrepreneurs prepared to

use their own resources to expand their businesses. Some incentive from the Chancellor to encourage owner investment would be a useful step forward. There are too many business managers without any skin in the game, to use an Americanism. James Norville, president, GD Environmental, Newport I would like to hear that the chancellor is considering reducing or abolishing the minimum wage. Im sure this would improve the current unemployment situation. Over the last few years, the UK has lost many jobs in manufacturing and recycling industries due to an increase in minimum wage. I strongly believe that a possible small reduction in minimum wage would improve the British economy . lGet the reaction to the Autumn Statement at www. southwalesargus.co.uk/

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