SALTEX REVIEW
A Model T Ford was an eye-catching feature on Hirebase’s stand.
Unkind cuts?
Alan Guthrie spoke to grounds care hirers exhibiting at Saltex to find out what impact they think the forthcoming Treasury spending review might have.
The Treasury’s spending review, to be announced on 20 October, has required all departments, except the NHS and international aid, to find four-year cuts of 25-40%. Since much of the grounds care hire related activity relates to the maintenance of public open spaces and amenities, councils and contractors are keenly awaiting the announcement, so they know where they, and their suppliers, stand.
“Many councils have been telling us to come back to them after October to discuss their requirements,” said Andy Lathwell, Hire Manager with Browns Groundcare Hire, based in Leighton Buzzard. “They anticipate having to make savings of 25-30%. However, if they were to reduce, say, the frequency of grass cutting
Andy Lathwell believes councils might find it difficult to implement grounds care budget cuts.
Meeting immediate needs
“Our hire business has held up well this year, probably at the expense of our sister sales activity. Contractors, golf courses and schools are cautious about buying new kit, and are hiring machines to meet immediate needs. We continue to refresh our fleet as necessary. None of our compact tractors, for example, is more than three years old, and our sales business provides a ready market for used equipment. We are shortly introducing a dedicated website for our hire business (
www.georgebrownshire.co.uk) and people will be able to make enquiries and place orders on-line. So we are still making positive plans.”
A similar view is held by Simon Reynolds, Joint MD of Golf & Turf Equipment, the Wokingham-based dealership that also operates its Turfleet Hire activity from locations in Berkshire and Lincolnshire.
operations by too much, members of the public would be quick to complain. The quality of parks and open spaces probably arouses more debate than any other aspect of council operations, with the exception of refuse collection. So significant reductions might be hard to implement.
“Councils and contractors are already reining in their capital expenditure to some extent, and more golf courses are hiring rather than buying. Cuts in public spending will definitely come, leading to the prioritisation of services like education and refuse collection.
“However, grounds care activities like grass cutting still have to take place, only perhaps less frequently. We are helping by being as flexible as we can, such as enabling customers to hire mowing equipment for say, two weeks without penalty, instead of a longer period originally anticipated as a result of adverse weather conditions. We have also just taken on a franchise for Multicar vehicles, which can be fitted with many different body styles and attachments, and they are ideal municipal workhorses. We continue to introduce other new fleet items, such as Predator heavy-duty stump grinders, to get work done faster and more efficiently.”
Surges in demand
For the specialist hirer Acacia Groundcare Rental, based in West Sussex, business has been “buoyant”, according to MD Ritain Patel. “As one would expect with a largely weather-related hire activity, the main factors have been climatic rather than economic. The hard winter delayed many sports ground renovation projects, leading to sudden surges in demand. We are busier now than this time 12 months ago, and we are winning new customers chiefly through word of mouth and personal recommendations.
“Next year will give a truer picture of the economic situation’s impact. However, we maintain a hands-on approach and keep in very close contact with our customers, discussing their requirements and letting them know about the latest equipment available. Establishing good
business relationships is a key factor in longer term success.”
Other hirers at Saltex included Hirebase, the national hire
Turfleet Hire continues to expand its fleet.
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