News
March 2003
Science benefits from big funding boost
Universities and higher education institutions around the country are to share in a $1.6 billion cash injection from the government’s Science Research Investment Fund (SRIF), the largest ever investment in scientific research infrastructure. The 2004-06 allocation is intended to pay for the refurbishment of premises and upgrading or replacement of equipment to enhance research capability, and institutions must submit their proposals to the Higher Education Funding Council by May 30. More than 150 will benefit, boosting research in key areas such as the development of cancer drugs and new technologies such as nanotechnology.
The latest round of SRIF funding builds on the success of the 1999-2002 and 2002-04 allocations. Projects to benefit under the first round of SRIF included the Northern Cancer Research Institute at the University of Newcastle, in North East England; the Clinical Sciences Research Centre at the Aston Academy of Life Sciences, in the West Midlands; an MRI scanner shared by Brunel, Reading, Surrey and Royal Holloway in the South East; and the Institute of Pharmaceutical Innovation at the University of Bradford, in Yorkshire and Humber.
In the North East, in a separate initiative, five leading businessmen have been selected by Regional Development Agency (RDA) One NorthEast to head up five new centres of excellence set up in specific fields of cutting-edge research. The move is part of a $320 million initiative - dubbed Strategy for Success - aimed at boosting the region’s economy and making it a global player in entrepreneurship, scientific innovation and technology-driven business. The new Centre of Excellence Chief Executives will take ideas from the region’s universities and help turn them into commercial opportunities for local companies. They are: Herbert Kim, who takes charge of the Digital Technology and Media Centre of Excellence; Doug Everard (New and Renewable Energy); Dr Fred Wright (Life Sciences); Dr Gerson Machado (Nanotechnology, Micro and Photonic Systems); and Nigel Perry (Process Industries). Their work will be overseen by the Science and Industry Council for the North of England, a 15-strong panel made up of leading academics and businesspeople, which is responsible for promoting the region’s R&D capabilities.
In Scotland, RDA Scottish Enterprise is to invest $720 million over the next ten years to support a new network of Intermediate Technology institutes. A centre specialising in energy will be set up in Aberdeen, one for communications in Glasgow and a third, for the life sciences, in Dundee. The flagship initiative is intended to help translate academic research into business opportunities, and it is estimated that up to 75 new companies could be spun out in the first ten years of operation.
Dundee on Tayside, known as ‘the City of Discovery’, is already internationally recognised as a centre for the life sciences industry. Many companies have a presence in the city, including eight of the world’s top ten, and 2,000 people are employed in biotechnology and life sciences research. Dundee University spun out four companies last year, and has another 20 in the pipeline. One local firm, the biopharmaceutical company Cyclacel, was recently selected by the World Economic Forum as one of its 30 Technology Pioneers, a dynamic group leading change in a variety of technologies. The company conducts genomics-based research into new anti-cancer treatments, and recently also won a $1.9 million government research grant.
Dundee is also set to host a new international centre that will investigate the potential of computer games technologies in promoting e-learning. Play2Win is a programme launched jointly by the University of Abertay and BusinessLab, a research consultancy based in Aberdeen. It will explore how games technologies can be used to help organisations develop e-learning, training and motivational programmes for their staff, and it is hoped it will develop into a major international centre of excellence for ‘edutainment’ - possibly the first in the world. In recognition of Dundee’s vibrant business scene, meanwhile, Eastern Airways has launched a new air service that runs thrice-daily on weekdays to the major international hub of Manchester Airport in North West England. The 18-seater aircraft take 80 minutes to complete the journey.
Employment rates rise but manufacturing takes a hit
Employment levels in the UK have risen to record levels, after growing at their fastest rate for three years. The country’s employment rate of 74.6 per cent is one of the highest among industrialised nations, while its rate of employment is the lowest of the G7 group of countries. The numbers of people in work rose by 253,000 in 2002, to a total of 27.812 million. This was boosted by 150,000 people finding employment in the final quarter. Those claiming unemployment benefit fell by 3,500 to 928,500, and the number seeking work but unable to find it fell by 36,000 to 1.5 million. Earnings rose by 3.7 per cent over the year, comfortably within the level of 4.5 per cent that the Bank of England considers compatible with its inflation target.
A survey by the Office for National Statistics shows that in the first nine months of 2002 there was an increase of 93,000 in the workforce in the public administration, education and health sectors. Distribution, hotels and restaurants saw a net gain of 66,000 jobs and other services saw a rise of 31,000. Manufacturing, however, saw its workforce decline to 3.835 million by the end of September.
These statistics echoed findings by the British Chambers of Commerce, whose quarterly economic report predicted a poor year ahead for the manufacturing sector but a good one for services, at present the key driver of growth in the UK economy. Manufacturing sales improved in the fourth quarter of 2002, with domestic sales rising by 7 percentage points to a net 19 per cent - their highest level in three years - and exports by 5 per cent, to 11 per cent for the year. However, business confidence fell sharply, with the number of manufacturers expecting higher turnovers declining by 10 percentage points to a net 39 per cent. And, although employment growth rose from 5 per cent to 7 per cent in the final quarter, employment expectations for the first quarter of 2003 fell from 5 per cent growth to a 3 per cent shrinkage.
In a bid to boost British industry, the Bank of England cut its primary interest rate by a quarter of a percentage point, to 3.75 per cent, in a surprise move at the beginning of February. This was the first time the rate had changed in 15 months, and brought interest rates to their lowest levels since 1955. According to the Bank, "prospects for demand, both globally and domestically, [were] somewhat weaker than anticipated". The European Central Bank held its basic rate steady at 2.75 per cent.
Tighter rules call auditors to account
The government has announced tough new measures to guard against business malpractice, in the wake of scandals at Enron and WorldCom and other high-profile cases of corporate wrongdoing. Trade and industry secretary Patricia Hewitt unveiled new measures to improve the workings of company boardrooms, strengthen the accountancy and auditing professions, and introduce more effective regulation. In particular, a single regulator will be created with responsibility for setting and enforcing accountancy and auditing standards; an independent body, the Auditing Practices Board, will take over responsibility from professional accounting organisations for setting ethical standards on independence, objectivity and integrity; and a new independent audit inspection board will be set up to monitor the audits of listed companies, major charities and pension funds.
Other changes include the establishment of an Investigation and Discipline Board with the power to remove eligibility to audit from firms and individuals; greater transparency in auditing procedures; and a ban on partners or senior employees of audit firms taking jobs with companies they audit within two years of leaving.
In the employment sphere, meanwhile, the government has increased the limits on payments made to workers in employment rights cases, involving unfair dismissal and redundancy payments, in line with inflation.
City merger makes US firm a player in Europe
US-based international law firm Jones Day has made a significant push into the UK legal market with the acquisition of Gouldens, a law firm based in the City of London. The merger, which makes Jones Day the world’s sixth largest law firm by number of lawyers, is said to be the most important in the profession since Clifford Chance became the world’s biggest law firm in 2000. Jones Day, originating from Cleveland, Ohio, is a leader in the US corporate legal market but, despite having a small office in London, had been unable to make much headway there. The merger will give it 200 lawyers in London, with a focus on mergers and acquisitions in the UK and continental Europe. The business is expected to generate more than $200 million annually, with the combined firm predicting global revenues in excess of $1 billion this year, making it the leading US law firm internationally. The new London operation will be headed up by Russell Carmedy, joint managing partner at Gouldens.
Meanwhile, Thames Valley law firm Boyes Turner has got together with The Business Magazine to produce a 20-page guide for companies planning to set up a business in the Thames Valley area of South East England. Written in a plain, no-nonsense style, the guide - entitled Law & Your Business - covers all the legal aspects of setting up and running a business, including advice on finding premises, employing workers, chasing debts and paying taxes. It is particularly useful for overseas investors, containing information on types of company, UK taxation rules, work permits and visas. It also contains a list of useful websites. Boyes Turner has been working with businesses in the region for over 100 years; The Business Magazine, which is celebrating its 100th issue, is one of the leading sources of business information for companies in the Thames Valley area.
Government goes green with renewable energy
Bioenergy is a key part of the government’s renewable energy programme, and it has recently made grants of $6.7 million to 11 projects seeking to explore alternative sources of energy for industrial and domestic heating applications. The projects will explore the energy output potential of crops such as willow, poplar and elephant grass, as well as other sources of biomass such as forestry residues. Such crops give off carbon dioxide when burned, but as they have absorbed a similar amount of carbon dioxide prior to harvest, they are classed as carbon-neutral - unlike fossil fuels. Biomass power stations are already up and running - a straw-burning plant in Ely in Cambridgeshire, Eastern England, for example, provides enough electricity for 80,000 homes. Renewable energy sources of this type are particularly suited to rural communities, and the government is keen to develop them as part of its strategy on meeting climate control targets.
Meanwhile, a new type of licence designed to increase oil and gas activity in the North Sea has been announced by energy minister Brian Wilson. The ‘promote’ licence is being launched, alongside the traditional production licence, as part of the 21st offshore licensing round. It offers a reduction of 90 per cent on the normal rental fee for the first two years of exploration and development, and is intended to encourage smaller companies to prospect for oil and gas. It gives the holder time to assess an area’s potential, before promoting it to investors to finance drilling and further work. If no substantive work - usually involving the drilling of a well - is carried out within two years, the licence will lapse.
US oil corporation Apache, based in Houston, Texas, is to open an operating office in Aberdeen in Scotland, following its acquisition of North Sea oil concessions from BP. Subject to clearance from the Department of Trade and Industry, Apache will become the official operator of the Forties field, with a 96 per cent working interest. The company already has exploration and production ventures in the US, Canada, Egypt, Western Australia, China, Poland and Argentina.
Falling demand sees cuts in office rent levels
Property specialist DTZ Research sees slowing GDP growth and job losses in the financial services sector as indicators that demand for office space in central London will continue to weaken and prime rents will continue to fall. Some 20,000 jobs disappeared in the City of London in 2002, from a workforce of 300,000, and GDP growth was lower than expected at 1.5 per cent. This had a significant impact on the office market, with availability rising 4 per cent in the final quarter of 2002, to reach 21.9 million sq ft. Availability represented 10.8 per cent of stock, compared with 7.6 per cent at the end of 2001. Less new stock came onto the market in 2002 - 22 million sq ft compared with 28 million sq ft in 2001 - and take-up also fell, totalling 13 million sq ft in 2002, compared with 16.6 million sq ft the previous year.
Office space under construction totalled 15.6 million sq ft at the end of 2002, according to DTZ. Some 15 million sq ft will be completed in 2003-04, of which two-thirds is located in the City and 6.4 million sq ft is speculative. Headline rents both in the City and the West End continued to fall in the final quarter of 2002, and now stand at around $84 per sq ft and $100 per sq ft respectively. DTZ reports landlords offering more incentives to potential tenants, who in turn are demanding increasingly flexible leases.
Figures from leading agent Knight Frank meanwhile indicate that take-up in the London office market fell by 45 per cent from the first quarter of 2002 to the final quarter, from 2.8 million sq ft to 1.7 million sq ft. Demand fell by 32.4 per cent over the same period, while available space rose by 38.5 per cent to 21.3 million sq ft. Knight Frank said a "worst-case scenario" could see unlet office space in London reaching 25 million sq ft, the largest total since 1991, with vacancy rates rising to 13.9 per cent in the City and 12.4 per cent in the West End. However, it believes it more likely that availability will peak at 23 million sq ft this year, before a gradual upturn in the economy sees demand start to rise again in 2004-05.
Outside London, availability in the major regional office markets rose by 11 per cent over the second and third quarters of 2002 to reach 10.2 million sq ft, according to a separate report from DTZ. There were marked differences from centre to centre, however: in Bristol, Edinburgh and Glasgow, for example, availability rose by about 20 per cent, while in Belfast and Birmingham it fell slightly. Almost 75 per cent of the space on the market was second-hand, and in most markets there was very little speculative construction. Birmingham, Bristol and Nottingham saw demand rise over the period but, overall, take-up fell by 15 per cent, from 3.9 million sq ft to 3.3 million sq ft. Again, DTZ reports pressure on prime rents, with asking prices falling in most of the major centres.
New development plans on the drawing board
Gloom for landlords, of course, translates into better deals for tenants. There is also the promise of attractive new premises, covering all sectors of business activity, coming onto the market. In London, for example, planning consent has been granted for the third phase of development at Paddington Basin, in the west central area. The $480 million scheme, designed by architect Richard Rogers, will contain 1.1 million sq ft of space in total, including 650,000 sq ft of offices, built in six linked blocks, and 281 flats. The centrepiece is the 28-storey Grand Union office building. Developer Chelsfield has already prelet 450,000 sq ft of Paddington Basin’s first phase to mobile phone operator Orange and retailer Marks & Spencer.
A redundant quarry site at Radlett in Hertfordshire could become a major new railfreight centre for the South East. Developer ProLogis is negotiating with French building materials company Lafarge for the purchase of the 200-acre site, and is planning to build 3 million sq ft of distribution space there, subject to planning consent. The scheme, near St Albans, could become one of four strategic railfreight sites for the region, replacing plans by another developer for a major rail distribution hub near Heathrow Airport. The London International Freight Exchange scheme was rejected by planning authorities last August, as it impinged on greenbelt land.
In the South West, a local consortium has put forward plans for a $400 million business and leisure estate at Amesbury in Wiltshire, three miles from the ancient monument of Stonehenge. The Amesbury Property Company wants to transform a 160-acre site next to the A303 highway into a 1.7 million sq ft development called Solstice Park. The scheme will consist of several self-contained zones, including an area of 60 acres reserved for major headquarters buildings; 20 acres of land containing 180,000 sq ft of smaller office buildings; a 20-acre industrial estate; and an 11-acre zone for leisure developments. Detailed planning applications have been submitted for 80,000 sq ft of offices, 370,000 sq ft of warehouse and distribution space, and a 120-bed hotel.
In Northampton, in the East Midlands, planning consent has been granted for phase two of The Lakes, an office park development close to the town centre and with good motorway links. The scheme will accommodate offices ranging in size from 10,000 sq ft up to 250,000 sq ft and will allow the construction of bespoke buildings, either on a freehold or leasehold basis. Design-and-build packages are also available. The first phase of The Lakes has been successfully marketed, with developments including a 115,000 sq ft headquarters building for brewer Scottish & Newcastle.
Everyone’s coming to London
Despite the global economic downturn, London remains a top destination for businesses from a wide variety of sectors, as a plethora of new company announcements demonstrates. A number of US information technology companies, for instance, have recently opened new offices in the UK capital. They include Frictionless Commerce, of Cambridge, Massachusetts, which provides purchasing software for large organisations and counts British Airways among its customers; marketing resource management (MRM) software specialist Veridiem, of Maynard, Massachusetts, which supplies sales analysis products to the automotive and packaged good industries; and Townsend Analytical of Chicago, a supplier of real-time electronic trading software for financial institutions. Joining them are security information management specialist netForensics Inc, based in Edison, New Jersey; and Gustin Partners, a Boston-based executive search firm for the technology and financial services industries.
Nissan Motor Company of Japan has opened a futuristic design headquarters, Nissan Design Europe, in Paddington, West London. The ultra-modern facility, housed in a converted railway maintenance building, will be home to 50 designers, modellers and support staff. It will spearhead Nissan’s development plans for Europe and will also undertake design projects for other global markets. "We wanted to give our designers a creative environment in which to work, and we feel that the location we have chosen is perfect," said Shiro Nakamura, president of Nissan Design Europe and senior vice-president of Nissan Motor Company. "We considered many cities and chose London for its vibrancy and multiculturalism, as well as its strengths in all media, including fashion, art, architecture and car design."
Japanese shipping company Nippon Yusen Kaisha (NYK Line) has set up a logistics company in London that will provide an integrated logistics service, including ocean transport, warehousing and distribution. NYK Logistics (Europe) will also offer a full range of supply chain management and value-added services.
Other companies have established a presence in the capital through acquisition. The Eaton Corporation of Cleveland, Ohio, for example, has bought the electrical division of London-based Delta for $215 million. The division employs 3,400 people, has 13 manufacturing facilities and owns major brands such as MEM, Holec, Bill, Elek and Tabula. Santam of South Africa has acquired niche insurer Westminster Motor Insurance Association for around $37 million. Westminster, based in central London and specialising in insurance for taxis and private motor rental companies, will continue to operate under its own name.
Swedish telecoms company Tele2 AB, meanwhile, has acquired London-based Alpha Telecom for $92 million. Alpha is a leading pay-as-you-go telecoms service provider, with 60,000 distribution outlets in the UK. Tele2 offers fixed and mobile telephony, data networks and internet services to nearly 17 million people in 21 European countries.
New lease of life for the North West
London is not the only region attracting new investment from overseas. In the North West, Geneva-based JT International (JTI) has opened a European business service centre in Manchester, the region’s business capital. The centre, representing an investment of $1.6 million and likely to create 100 new jobs, will provide support for the group’s financial systems, taking responsibility for invoice processing and corporate accounting. JTI is a subsidiary of Japan Tobacco, one of the world’s largest cigarette manufacturers.
European Aeronautic Defence and Space Co (EADS), a global aerospace and defence company based in the Netherlands, has consolidated its ownership of Astrium, based in Poynton in Cheshire, by acquiring a remaining 25 per cent stake held by BAE Systems. EADS already owned 75 per cent of Astrium, which specialises in satellite technology for civil and military telecommunications, Earth observation, and science and navigation programmes. On a more down-to-earth note, McCormick (UK), a subsidiary of McCormick & Company of Maryland, has acquired Uniqsauces, based in Littleborough, Greater Manchester, for around $19 million. Uniqsauces produces condiments such as table sauces, salad dressings and marinades for retail grocery and food service customers, including fast-food restaurants. McCormick is a leading international supplier of spices, seasonings and flavourings to the food industry.
Both Manchester and Blackburn are to get major new office developments. At Salford Quays in Manchester, plans for the redevelopment of Dock 9 include 1 million sq ft of offices, 400 flats, 300 hotel rooms and 60,000 sq ft of leisure and retail space, all on a 25-acre site. Salford Quays is a popular regeneration area located on the Manchester Ship Canal, and contains large amounts of new office space, as well as attractions such as the Lowry Centre and the Imperial War Museum, North. Work could begin at Dock 9 early in 2004 on a speculative office building of 60,000-100,000 sq ft. In Blackburn meanwhile a major new office development is planned for Greenbank Business Park. Capricorn Park will be aimed at locally-based IT businesses and small and medium enterprises (SMEs).
On Merseyside, Knowsley Business Park is to be expanded with the reclamation of land at Overbrook Lane, on the south side of Knowsley Industrial Park. It is hoped that 290 new jobs will be created as a result of the initiative. Another reclamation of derelict land will continue the regeneration of Birkenhead town centre, with three new office buildings planned for the centrally located Europa Boulevard. And in Liverpool, US computer giant Unisys is to create 1,000 new jobs in a collaboration with insurer Royal and Sun Alliance. Unisys has won the contract to provide outsourcing facilities for R&SA’s life insurance business, and has chosen to base the operation in Liverpool city centre.
Midlands RDA invests at the local level
In the West Midlands, RDA Advantage West Midlands is the driving force behind a number of new initiatives aimed at boosting different sectors of the region’s economy. Casting and metal-related companies, for example, are to benefit from a new $4.6 million training scheme. On-TRAC (On-site Training of Adults for Competitiveness) is being run in partnership with Sandwell College and Castings Technology International, and is aimed at boosting skills in the pattern-making, moulding, foundry, forging, forming and fabricating trades. The three-year project will offer Apprentice- and Technician-level training to adult workers at their places of work, and will aim to recruit 16- to 25-year-old trainees to the industry.
A further $5.3 million is to be invested in the development of Keele University Science and Business Park. The funding will provide two new buildings for innovative medical technology companies, and will support the cluster of medical-related companies that is emerging at the site. In a very different sector, Advantage West Midlands is backing the North Staffordshire Design Initiative, a plan aimed at making North Staffordshire a centre for creativity and applied design, as a way of stimulating regeneration in the region. International brand specialist Wolff Olins has been appointed as adviser to the project.
And a diverse range of projects across Staffordshire are set to benefit from a further $10.9 million of funding announced by the RDA. In a wide-ranging initiative, Advantage West Midlands is seeking to assist 340 local businesses and to attract a further 135 to the area, with the aim of providing jobs and learning opportunities for local people. Projects to benefit include the Innovation Direct project at The Hothouse in Longdon, Stoke on Trent, a workspace/incubation centre for high-tech SMEs; the creation of a Business Innovation Centre at Staffordshire Technology Park; and the Ceramic Industry University on the Shop Floor, an internet-based learning network for the ceramics industry.
Valleys welcome trio of international investors
Three international companies are expanding their operations in the South Wales Valleys, between them creating 140 new jobs. Swedish-owned ASA Creditsafe is expanding its financial services operation at Caerphilly Business Park, established just over a year ago. The company, which provides business and consumer credit ratings to small firms via the internet, is to spend $400,000 on an expansion that will add 30 staff to its existing workforce of 90.
Australian-owned Hills Industries, which makes rotary clothes dryers at Pontygwindy, also in Caerphilly, is to invest $3.5 million to increase its production capacity, after a joint venture with German company Freudenberg opened up new markets for its goods. The move will safeguard 113 existing jobs and create a further 78. Meanwhile in Blackwood, Moulded Paper International, which is part of a US group, plans to establish a new venture to produce packaging from moulded pulp. The company’s $960,000 investment will create 32 new jobs in the area.
Around the regions
RDA One NorthEast and partners including Durham County Council have invested $4 million to improve broadband access to businesses and homes in County Durham and the Weardale area of North East England. At the heart of the project is DurhamNet, a $3.4 million initiative that will provide a broadband backbone for the county. Free access will be offered to community groups, and satellite links will be used to cover the most remote and rural corners of the county. A new website to promote Weardale and its businesses - www.wear-valley.co.uk - has been set up, with funding from the Market Towns ICT Initiative.
Sandvine Incorporated, of Ontario, Canada, has opened its headquarters for the Europe, Africa and Middle East (EMEA) region and established a UK subsidiary at Basingstoke in Hampshire, South East England. The new subsidiary, Sandvine Ltd, will handle European sales, supplying broadband providers with the company’s peer-to-peer (P2P) policy management and network-based subscription service products.
Deltron Emcon Ltd, part of the pan-European Deltron Electronics Group, has invested $1.6 million in a purpose-built production facility at Sawcliffe Industrial Park in Scunthorpe, Yorkshire and Humber. Associated British Ports meanwhile has invested a similar sum in a new specialist forest products terminal at the nearby port of Immingham. The 97,000 sq ft complex, which will provide storage facilities for high-value pulp and paper traffic, begins operation this month.
French company Montupet, which produces aluminium cylinder heads and wheels for motor manufacturers such as Ford, Peugeot and Renault at its factory in Northern Ireland, is to invest an additional $4.3 million in machinery to take advantage of training initiatives offered by the local development agency, Invest NI. The agency’s Business Improvement Services team will be working closely with the company on a Company Development Programme (CDP), which will offer comprehensive training for all its 1,050 staff. The scheme covers employees at all levels, and includes the development of both technical and management skills.
The East Midlands Development Agency (emda) has set up a new website to act as a forum for the region’s food and drinks industries. The site, at www.foodcampus.com, offers information on industry news and events, a panel of experts to answer queries and other online services. It also provides a meeting point for individuals, businesses, professional organisations and educational establishments. The food and drinks industries employ around 17 per cent of the workforce in the East Midlands.
The South West Regional Development Agency is contributing $640,000 towards a new project designed to foster leadership skills in local businesses. The project, Leadership South West, will be based at the University of Exeter’s Centre for Leadership Studies, the only centre in Europe dedicated to the study and development of leadership. The project will help business owners and managers to understand the links between leadership and business success, and will include a range of courses for managers, opportunities for coaching and mentoring, and business-driven research into leadership issues.
Meanwhile, SM Group (Europe) Ltd is set to become the first occupant at Plymouth International Business Park, one of the South West’s flagship development sites. The Plymouth-based company, which specialises in high-tech marine navigation and communications equipment, has bought a 10,600 sq ft unit at the park, which it will occupy in April. The government-backed development agency Priority Sites is developing 53,000 sq ft of high-tech clean manufacturing and office space at the park, which was formerly the site of an army barracks.
US retailer Wal-Mart has announced a $574 million expansion plan for its UK subsidiary ASDA Wal-Mart, which is based in Leeds, in Yorkshire and Humber. Over the course of 2003, the company will open 10 new stores, upgrade two to ‘supercentre’ status, extend five others and add mezzanine floors to a further three. The programme will create 3,900 new jobs.
GE Consumer Finance, the consumer credit services business of General Electric Company of Fairfield, Connecticut, is to acquire the First National business of London-based banking group Abbey National for around $1.4 billion. First National provides consumer finance through intermediaries such as independent financial advisers, brokers, high street retailers, and suppliers of home improvements and holiday ownership properties. "The acquisition… fits well with our existing businesses and enhances our presence in the UK intermediary-sourced secured and unsecured lending sectors," said Charles Alexander, president of GE Capital Europe.
English Partnerships, the national regeneration agency, has been given an enhanced role under a plan announced by Deputy Prime Minister John Prescott. The plan, Sustainable Communities: Building for the Future, strengthens links between English Partnerships and RDAs, the Housing Corporation, local authorities and the private sector, and puts regional economic growth at the heart of its brief. In particular, it will focus its efforts on growth areas in southern England designated by the government for accelerated development. These are: Thames Gateway, Milton Keynes/South Midlands, Ashford, and London-Stansted-Cambridge.
Estimated traffic levels in the UK rose by 2 per cent from 2001 to 2002, according to statistics from the Department for Transport. The rise partly reflected the negative impact of the foot and mouth outbreak in 2001, but the underlying rate of growth is estimated at between 1 and 2 per cent per year. The levels of both goods and passenger vehicle traffic grew by 2 per cent over the year, as did the volume of motorway traffic.