Expectations of profit growth among mid-market companies have sunk to a three-year low although overall confidence in the economy remains stable, according to a new survey. Grant Thornton UK’s business outlook tracker survey in October showed that 39 per cent of respondents expect their businesses’ profits to increase over the next six months, down from 69 per cent in February and the lowest level since December. Meanwhile, businesses’ confidence in their own funding position was down -3pp from July and -9pp compared to February. Ahead of the Autumn Budget, there has also been a slight increase in businesses’ pessimism about the UK economic outlook. Charlotte Anderson (right) partner and East of England practice leader, Grant Thornton UK, said: “The low levels of growth expectations are in line with what we’re seeing in the market. Whilst the economy has shown more resilience than many expected and we managed to avoid a recession, in recent months the government narrative has been increasingly pessimistic about the state of public finances and the spending gap, warming up businesses and the financial markets to the expected tax changes in the Budget. However, the downbeat tone has undoubtedly impacted business’ confidence around the economy and their own profits, which in turn hinders investment and growth.” She added: “As the government narrative changes post-Budget, focusing more on Invest 35 and the Industrial Strategy, which are designed to encourage investment and productivity, we expect to see business confidence rebound.”
Firms seek Budget assurances on capital allowances and apprenticeship levy changes
Companies in the region are seeking assurances that the Autumn Budget will confirm that full expensing capital allowances will continue and that the apprenticeship levy will be replaced. They are also calling for more certainty on taxes to stimulate growth in the region. Research from BDO shows that one-fifth of businesses in East Anglia want to know that full expensing capital allowances will remain for the life of this Parliament. Meanwhile, one in six regional companies have urged the Treasury to replace the apprenticeship levy with a simpler growth and skills levy. Regulatory changes to improve access to capital or simplify the listing process for the London Stock Exchange would also be beneficial for more than one in ten companies, according to BDO’s economic engine survey of 500 mid-sized businesses. Peter Harrup (photo, above), regional managing partner at BDO in East Anglia, said: “What many East Anglia businesses would most like to see at next week’s Budget is a clear business tax roadmap which provides predictability and stability to allow them to plan ahead with confidence.” The survey also showed that that more than a quarter of East Anglia businesses intend to extend their product or service lines over the next six to nine months and nearly a quarter plan to invest in new technologies, such as AI and automation.
Growing number of farms put up for sale but values hold
The number of farmland properties for sale is the highest since 2015 and there have been more larger farms and estates available. But the value of farmland in England remains close to record levels, despite an increase in the volume of land being marketed and speculation on tax changes in the Autumn Budget, according to Strutt & Parker. It says farmland supply over the period from the first to the third quarter of this year is 30 per cent higher than the five-year average and the second highest for ten years. Its farmland database shows that average price of arable land sold so far during 2024 is £11,000/acre, only slightly lower than the £11,200/acre recorded across 2023. “Prime farms in locations where there tend to be wealthy buyers continue to sell well and often over the guide price,” said Sam Holt, head of estates & farm agency at Strutt & Parker. “Smaller blocks of bare land can also command very high prices, often being bought by farmers with rollover money who are highly motivated when they see a neighbour has land for sale.” He added: “However, overall, the feeling among agents is that demand has eased since the frenzy of the post-Covid period of 2021/22. This means there is a second tier of farms, which can be extremely good quality but in less popular areas, which are taking longer to sell.”
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East of England outperforms as a finance hub against other regions
The East of England is outperforming other regions as a finance hub helped by its thriving clusters and proximity to investors, according to new figures. Cambridge & Peterborough outperformed all other combined authorities on the number of deals and their investment value last year with 88 deals worth £624 million, according the British Business Bank’s nations and regions tracker. Cambridge & Peterborough also showed the strongest resilience in equity activity compared to 2022, with only a five per cent decrease in deal volumes and a two per cent rise in investment value. Overall, deal numbers and equity values in the East fell by 21 per cent in 2023; significantly less than the UK average. But early data points to signs of recovery; in the first half of this year, they were six per cent higher than in the second half of 2023. The survey also pointed to a more promising outlook for the East of England’s small business core debt market. The first half of 2024 saw a seven per cent increase in the volume of approved loans and overdrafts from the top SME lenders in the region compared to the period last year. Steve Conibear, director, UK network – South & East of England said: “While we continue to face a challenging economic environment, it is encouraging to see the East of England continue to act as a financial hub for the UK. This year’s nations and regions tracker demonstrates a resilience in the region’s use of external finance, and one which will hopefully see an uplift this year and beyond.”
Resort commits to science based targets initiative in drive to net zero
Wyboston Lakes Resort, west of Cambridge, has committed to the Science Based Targets initiative (SBTi), a major step in its ESG strategy to achieving net zero emissions across all areas of the business. Joining the SBTi strengthens the resort’s ability to reduce carbon emissions with science-based targets to ensure that sustainability goals are in line with the global effort to limit temperature rise to 1.5°C, in accordance with the Paris Agreement. As part of the resort’s pledge, it will set ambitious targets for carbon reduction, embed sustainability into the business operations and be transparent and accountable. Louisa Watson (right), marketing director & sustainability lead at Wyboston Lakes Resort, said: “Transparency is key in our approach to sustainability, and we aim to share our successes, challenges, and lessons learned…. At Wyboston Lakes, we recognise that sustainability is not just an option, but a necessity.”
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Law firm retains rankings in legal directory
Law firm Fisher Jones Greenwood has received continued recognition in the Chambers UK Guide 2025, the comprehensive legal directory. FJG has retained its department and lawyer rankings in several key practice areas. They include: corporate/mergers & acquisitions: SME/owner-managed businesses – East Anglia – band 1 (retained from 2024). Ranked lawyers in the sector include Ashton Carter (photo,right) -band 1 (ranked up and coming in 2024) and Tony Fisher – band 1 (retained from 2024). In family/matrimonial – East Anglia – the firm is ranked band 2 and ranked lawyers include Charlotte Knappett – band 4 (first ever ranking). In litigation – East Anglia, the firm’s Joe Sandercock is ranked as an ‘associate to watch’ (first ever ranking). FJG chief executive Paula Fowler said: “We are delighted with our rankings in the Chambers Guide for 2025. These are particularly pertinent given the last 12-18 months, during which we have navigated a significant period of change and growth, with several key staff changes following retirements and promotions within some of our busiest practice areas.”
Photo: Ashton Carter, partner and head of the corporate and commercial team.
New director appointed as Suffolk IT services provider looks to expand
IT services provider Ipswich Computers has promoted Craig Starling to the role of director at a key time for the company as it looks to expand. Founded 26 years ago by Tim Goulding, the company has grown to become one of the largest IT providers in the region. It rejects the common ticketing systems in favour of direct relationships between clients and IT engineers, who also serve as account managers and offer face-to-face support. Craig Starling said: “After six years at Ipswich Computers, I have gained an understanding of our values, and the importance of the work we do…. I am now ready to take on a greater role in helping the business grow, sharing our story with new clients, and working alongside Tim to further strengthen Ipswich Computers’ impact.”
Founder and managing director Tim Goulding said: “Craig’s promotion to director reflects both his contributions to our company and his potential to drive us forward with new energy.”
Photo: Tim Goulding (left) and Craig Starling.
New electrical industry training site to open in Ipswich
NICEIC, the certification and training body for the electrical industry, is opening a new training location in Ipswich, its 16th across the country. RT Training Solutions will offer the level 3 award in initial and periodic inspection and testing of electrical installations. Neil Vincent, NICEIC head of business development, said: “This expansion of our training network reflects NICEIC’s dedication to equipping and upskilling tradespeople across the UK. By bringing high-quality training closer to them, we’re removing geographical barriers and ensuring individuals in Ipswich have the convenient access needed to stay up to date with the latest regulations and requirements.”
Cambridge company shows students benefits of a career in manufacturing
Cambridge company Domino recently marked National Manufacturing Day by hosting a group of 18 students from a local college, to learn more about choosing the sector as a career. Domino opened the doors to its Bar Hill hq for the 16-18 year olds from Cambridge Maths School who are considering studying mechanical, electrical or software engineering after A’ level. The programme included a tour of the company’s manufacturing facility and a visit to the customer experience room to see how Domino technology is being used across a wide range of products and industries. There was also the chance to talk to recent graduates, some through the Domino Apprenticeship Scheme, and to see the warehouse. Joining the visitors was Dr Nik Johnson, Mayor of Cambridgeshire and Peterborough. Carl Haycock, European hardware operations director at Domino, said: “Helping to encourage students to consider a career in science, technology, engineering and maths is an important objective for us at Domino. We want to share the magic so that we can ensure we attract the next generation of engineers.”
Photo: Carl Haycock (third from right) and Dr Nik Johnson (fourth from right) with members of the Domino team and some of the students.
