news opinion
A significant number of companies are planning no growth whatsoever in 2019
They are not anticipating investing in either new equipment or new people in the current year.
According to research from Santander, almost a quarter of businesses are planning zero investment in the year ahead. Just one-third plan to invest in product development.
These findings are stark. They show that ongoing economic uncertainty is now starting to impact the decisions that businesses are making about hiring and re- equipping.
The proportion of businesses planning to invest in R&D today has halved compared with just six months ago.
Brexit is, of course, to blame. But the change in business sentiment goes deeper than that one issue. While UK businesses that trade internationally are rightly concerned about potential tariffs and supply chain links, it is UK companies that trade domestically where pessimism is most rife.
This suggests that the drift we are witnessing in politics, plus other negative indicators such as house price falls and high-street retail closures, are making businesses extremely cautious.
Of course, it is also true that for every downside there’s an upside. There is increasing evidence that small independent retailers are discovering there are opportunities for successful high-street ventures; and every reduction in property values is a plus for those trying to get on the housing ladder.
Nevertheless, political uncertainty is acting as a brake on the economy. The whole country desperately needs leadership and someone with vision to help take us forward. Don’t hold your breath.
David Murray Publisher
4
businessmag.co.uk
Tracking profit in the region Solent
Three companies from the Solent region made the latest Sunday Times BDO Profit Track 100 table, which ranks the UK’s fastest growing private companies according to three-year profits. This was one more than in 2018.
Romsey-based Highwood Group, the construction contractor and developer, led the way with a 34th placing
The company was founded in 2003 by Nigel Meek, Malcolm Mintram and Nigel Shannon, initially developing affordable housing projects with registered providers. In 2008, when the financial crisis hit, Highwood expanded into strategic land acquisition and care homes.
Managing director Guy Hayward was appointed in 2017 and profits increased to £5.8 million in 2018, partly thanks to its North Stoneham Park development which started selling properties last year. With a staff of some 40, the company saw profits rise an average of 78% a year.
Just four places below in 38th place was the Bourne Group, the Poole-based structural steelwork contractor which was founded in 1992 and now employs nearly 200 staff.
Steel construction, car park design and complex engineering projects are undertaken by the group for clients in the commercial, energy and transport sectors. It has designed and built car parks for Jaguar Land Rover and Sky TV, and supplied the steelwork for Heathrow’s central bus station.
Bourne also has a specialist division that uses 3D design software to prepare the installation of intricate equipment in British nuclear plants. Profits rose to £7m in 2017 under chief executive Stephen Govier, giving an annual average growth of 77%.
A third company from the region to make the league table in 51st place was DJS – named after the initials of its three founders – the Bournemouth-based specialist software developer.
Founded in 2012 by chief executive Dan Ware, finance director Julian Hek and operations director Simon Woodhams, it has developed two main products: short-term lender PiggyBank and Leadtree Global, which matches low credit score borrowers to more than 200 lenders.
With a staff of about 60, profits rose to £7.3m in 2018, giving an annual average growth of over 70%.
NEED MORE CLIENTS?
Call: 0118 934 4119 Visit:
www.achieveuk.com
ACHIEVE UK Achieve
eighth.indd 1
THE BUSINESS MAGAZINE – MAY/JUNE 2019 30/11/2015 10:32
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68
