Firms buoyed by rising demand and potential for new technology
Businesses in the East of England are starting 2026 with high levels of optimism buoyed by rising demand and investment in new technology, according to KPMG’s annual private enterprise barometer. The survey found that 86 per cent of private businesses in the region are confident about their growth prospects, in line with the national average. Increased demand for products and services is the main driver of confidence in the East cited by 52pc of respondents. Technology adoption remains central to growth strategies, with 43pc planning to introduce new technology and many focusing on digital transformation, and prioritising AI. Nearly two-thirds of businesses plan to expand their service offerings whilst slightly more reported an increased appetite for internationalisation, particularly to Eastern Europe. Alternative funding and M&A activity are also supporting growth ambitions, with 38pc open to private equity investment and a third actively pursuing acquisitions. Joe Faulkner, East Anglia office senior partner at KPMG UK, said: “What is really evident is the resilience of private businesses across the East of England. Even against a challenging global and domestic backdrop, firms are feeling positive about their growth prospects and are taking a proactive approach to the future. The focus on technology, data and diversification shows a region that isn’t standing still but actively investing to stay competitive and seize new opportunities.”
Land prices fall but farming businesses remain ‘largely resilient’
Prime arable land values dropped by an average of 4.4 per cent across the East of England last year, although large variations persist. Savills’ farmland survey shows that the value of prime arable land in the East fell to an average of £9,481 an acre down from £9,914 in the previous year. Meanwhile, the amount of farmland marketed in the region was down by 16 pc to just over 17,000 acres. Essex topped the region, with 4,982 acres publicly marketed, followed by Cambs (4,493 acres) and Beds (2,882 acres). This was followed by Suffolk (2,290 acres), Norfolk (1,515 acres) and Herts (1,216 acres). Jamie Elbourn of Savills’ rural agency in Essex, said: “…farming businesses in the East of England remain largely resilient. Despite the well documented changes to inheritance tax and other challenges squeezing profits, we’ve not seen a surge of farmland come to the market.” He added: “Where there’s been more farmland for sale it’s mostly been due to one or two larger sales, or here in Essex we have continued to see a regular stream of smaller scale farming units coming to the market.”
Oliver Carr of Savills in Cambs, added: “We expect values to remain broadly firm through the next two years before entering a phase of steady growth as policy clarity improves and profitability prospects stabilise.”
Infastructure upgrades underway at Ipswich industrial and logistics scheme
Final infrastructure upgrades to improve transport links are underway at Hillwood’s five-unit ‘Access @ Eastern Gateway’ industrial and logistics development in Ipswich. The works in Sproughton Road run until June and include the construction of a new roundabout, along with cycle and pedestrian routes. The multi-unit, speculative scheme (photo) provides over 14,900 sq m of high-spec new build space. It is part of Ipswich Borough Council’s wider ‘Eastern Gateway’ business park development. Trebor Developments and Hillwood acquired eight acres of land from the council in mid-2023, and units have been developed on the site for Amazon, La Doria and newly-opened MKM Building Supplies. Cllr. Neil MacDonald, leader of Ipswich BC, said: “We are immensely proud of all the hard work that has gone into developing the Eastern Gateway hub, from 130 acres of land being acquired in December 2014 to the final construction phase ending in 2026. The hundreds of new jobs already created – and hundreds more to follow – is a massive boost for the local economy.” Ipswich’s Penn Commercial is acting for Hillwood as local letting agent, alongside national partner, Lambert Smith Hampton and Savills. Unit 5, comprising 4,090 sq m was let last autumn to national distributor, Cargo Move, one unit is under offer and a final one is available.
Separately, work is underway on Roman Business Park, a new 15-unit light industrial scheme being developed in Earith, north of Cambridge by Barnack Estates. Completion is due before this autumn. Agents BTG Eddisons says market interest is encouraging with two of the 15 units under offer prior to work starting.
Cambridge private rental homes sold for £70 million in ‘landmark deal’
Bellway Latimer has agreed a £70.5 million deal with Aberdeen Group for the sale of 139 single-family private rental properties homes at Springstead Village in Cambridge. The houses and apartments will be built over the next two-and-a-half years, with the first handovers to due this summer. Springstead Village is a development of 1,200 homes on a 138-acre site previously owned by Cambridge Airport in Cherry Hinton. Aberdeen Group will manage the homes for Border to Coast Pensions Partnership. Joe McDonnell, chief investment officer, Border to Coast Pensions Partnership, said: “This is a landmark deal for our partnership. The UK faces a significant shortfall in affordable, quality homes to rent and our first investment in single-family housing at Springstead Village will help meet this demand, aligning social and economic value with long-term returns for partner funds in a UK growth sector.”
Law firm targets sports, media and entertainment market
Law firm Howes Percival has added Isabel Solarte to its growing private client team in Cambridge as it aims to target the sports, media and entertainment market. She previously worked and trained at a media and entertainment firm in London, advising high-net-worth individuals and families on a range of private wealth matters. Partner Stephen Patch, who heads the firm’s Cambridge private client practice, said: “As well as responding to an increase in demand for estate and succession planning advice, Isabel will provide us with a new area of expertise with her media and entertainment background and when combined with my own expertise in the professional sports arena will provide us with a key differentiator in not only the fiercely competitive Cambridge private client market but also beyond.”
Photo (l-r) Isabel Solarte, Tom Lawrence (head of private client) and Stephen Patch.
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