Friday, October 31, 2014

News: Trust aims to give Wentworth Woodhouse a secure future

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Details have been revealed of the new charitable trust that aims to acquire Wentworth Woodhouse in Rotherham, the largest privately-owned house in Europe, for £7m.

By agreement with the Newbold family, owners of the Grade I listed mansion house, the Wentworth Woodhouse Preservation Trust (WWPT) has begun fundraising and has already raised pledges of £3.4m and prepared detailed plans for the future of the property, which has been described as a "marvel of English architecture, one of the largest and most impressive of all 18th-century country houses, the seat of a great political dynasty and the home of a Prime Minister."

Save Britain's Heritage has been working on the plans with leading country house experts and entrepreneurs that will see the preservation of the house and grounds on a long term basis and sustainable, sympathetic uses investigated for those parts of the property not open to the public. Further fundraising is also planned for the much-needed repairs.

The National Trust has agreed to help the trust by offering to take on responsibility for the public opening of the magnificent interiors, recently used during the filming of Mike Leigh's biopic of JMW Turner, as well as its gardens. A detailed business plan commissioned by the National Trust has shown projected income and expenditure for the WWPT over twenty years. Forecasts show the WWPT will come into a surplus in the sixth year of operation.

Detailed figures for the cost of repairs and associated building works have been prepared that show that a sum of £42m needs to be spent on the fabric of the house over the next twelve to fifteen years to meet the backlog of repairs and subsidence damage.

Plans were unveiled in 2011 to create a combination of publicly accessible restored museum to the central and grandest rooms, as well as a 70 suite luxury hotel and spa to the remainder. The lengthy multimillion pound legal battle between the owners and the Coal Authority should come to a head in 2016. The claim for damages, for at least £100m, is in respect of the damage caused by deep and open cast mining and is being disputed.

The WWPT is chaired by Julie Kenny, chair and chief executive of Rotherham-based Pyronix Limited. She said: "Wentworth Woodhouse is a property of great national importance and its descendants have played such an important role in the history of the United Kingdom and South Yorkshire.

"It is vitally important that Wentworth Woodhouse is saved for the future. The proposed scheme is a viable plan that is intended to be sustainable in the long term and will play an important part in the regeneration of Rotherham, South Yorkshire and the North, promoting regeneration, tourism and community use."

Marcus Binney, executive president of Save Britain's Heritage, added: "At SAVE we have been involved with looking for a solution for Wentworth Woodhouse for 30 years. Undoubtedly this is the most important historic building at risk in Britain today.

"Our plans will open the house both to National Trust members and the general public. The scheme will also bring back all the listed buildings into regular use, for events of many kinds, with holiday lets and apartments for rent and the stables sensitively converted for use by enterprising businesses on the successful model of estate buildings at Broughton Hall. All these uses are to a tried and tested formula which has worked at other major historic houses, and are intended as a major new attraction to the 1.7m people living in the Sheffield region, providing jobs and access to the extensive gardens as well as the mansion."

Plans for the sustainable future of Wentworth Woodhouse include using the north wing and former student refectory as a dining hall/events venue; creating offices for small businesses in the impressive stable block; and around 15 residential units or holiday lets are proposed in the south wing, the upper floors of the main mansion and the side courtyards of the stable court.

Those working on the plans include Kit Martin, well known for his country house rescues and transformations, Roger Tempest who has pioneered the use of estate buildings for office purposes at Broughton Hall in North Yorkshire, Martin Drury former director-general of the National Trust, and Merlin Waterson former regional director of the National Trust. Financial advice has come from Timothy Cooke, who is co-chairman of the commemorations of the 200th anniversary of Waterloo. SQW Consultants worked on the business plan with detailed input from architects Purcell and Ian Rex Proctor and Partners, construction consultants.

Pledges so far have come from the Monument Trust, Sir Siegmund Warburg's Voluntary Settlement, the J Paul Getty Jr Charitable Trust, and the Art Fund.

The trustees of the new WWPT are: The Duke of Devonshire, Lady Juliet Tadgell, Sir Philip Naylor-Leyland, Julie Kenny (Chair), Timothy Cooke, Martin Drury, and Merlin Waterson.

Wentworth Woodhouse website
Save Britain's heritage website

Images: Wentworth Woodhouse / Facebook / Save Britain's Heritage

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News: Council set to sell R-evolution unit

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Rotherham Council is close to signing off on a multimillion pound sale for one of the commercial units that it acquired on the Advanced Manufacturing Park (AMP).

In March, landowners and developers, Harworth Estates, signed a £4.3m forward-purchase agreement with Rotherham Council for Plots 3 and 4 of the R-evolution development on the Waverley site.

The deal unlocked a £2.7m loan from the Sheffield City Region Joint European Support for Sustainable Investment in City Areas (JESSICA) Fund, which was set up to support infrastructure and real estate investment opportunities across the region. It was used to pay for infrastructure works and the construction of new manufacturing units at R-evolution.

Rotherham Council is able to borrow money to fund the purchase as it can borrow capital at low levels of interest from the Public Works Loan Board. The council will purchase the development on practical completion. It anticipated that the whole project would be cost neutral or generate an overall surplus to the council on realisation of the asset.

With construction almost complete, the council's cabinet is set to approve the sale of Unit 3 next week. Details of the purchaser, or price, have yet to be revealed.

In 2012, Harworth Estates, the company created to realise the property assets of what was UK Coal, sold the fully-let, 87,500 sq ft Evolution development on the AMP for £7.2m.

The AMP is the UK's premier advanced manufacturing technology park and is located on the site of the former Orgreave coking works. R-evolution is a 117,000 sq ft speculative industrial development and the site's status for advanced manufacturing, combined with the financial incentives through the Enterprise Zone, the units have been in high demand.

Plot 1 (40,000 sq ft) was pre-sold to Maher, a supplier of high-performance alloys, and Plot 2 (25,000 sq. ft) to Nikken Kosakusho Europe, a supplier of precision engineering products.

The AMP is recognised internationally for its innovative research and advanced manufacturing processes, and has already attracted world leading high technology companies such as Rolls-Royce, The University of Sheffield Advanced Manufacturing Research Centre (AMRC) with Boeing, Dormer Tools and Xeros Ltd.

Harworth is expected to bring forward three further industrial units on five acres of the 68 acres that remain to be developed for employment use at Waverley, followed by a further 21 acres for "AMPlify" – a new phase of employment development to meet the strong demand for space at the development.

With offices on its own Waverley site, which is South Yorkshire's largest brownfield development, Harworth Estates has recently appointed Iain Griffin as development manager and Jenny Cutler as financial controller, the 11th and 12th recruits over the past year.

Waverley website

Images: Harworth Estates

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News: Billion pound construction tender published

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Tendering has begun for £2 billion worth of construction work in the region's public sector under the new YORbuild2 framework.

The YORbuild Construction Framework has been in place since December 2009 and is a collaborative approach to the procurement of construction projects in the region. It has successfully delivered building projects for local authorities, public sector bodies and third sector organisation in Yorkshire and Humberside.

The Framework provides for speedy, efficient and inexpensive procurement of construction contracts. It also supports local employment and economy objectives by providing employment and skills opportunities to local residents.

The YORbuild framework is due to expire at the end of November 2015 and a new framework has been in development to replace it. The YORbuild2 tender notice and Pre-Qualification Questionnaire (PQQ) documents are now available, split into four regional areas that together total a potential £2 billion of work.

Based on feedback from the previous procurement exercise, the new structure has divided the framework into pools based on value and lots that are split into specific projects such as new housing. Lower value bands have been set up to encourage involvement by SMEs and local contractors.

Rotherham Council has taken a regional lead in the frameworks and will be the lead authority for a new South Area contractors framework under YORbuild2 which is worth up to £350m in six lots.

With companies accepted on to the EU-compliant framework, it means that project managers can select contractors without going through individual, lengthy procurement exercises.

Weight is also given to contractors that can provide employment and skills opportunities. Rotherham Council estimates that through projects in the borough, over 900 apprentice weeks have been provided; 566 students have participated in site visits and 388 students have attended skills workshops. Most notably, 45 Rotherham people have progressed into employment through the YORbuild framework.

Organisers are recommending that potential suppliers register on the YORtender website and a briefing event for the South Area is being held at Rotherham United's New York Stadium on November 13.

YORHub website

Images: George Hurst & Sons

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News: New wings at the AMRC

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Engineers at the University of Sheffield Advanced Manufacturing Research Centre (AMRC) with Boeing in Rotherham continue to showcase their capabilities in prototyping and design by further developing an Unmanned Aerial Vehicle (UAV).

Based on the Advanced Manufacturing Park (AMP) in Rotherham, the AMRC is a world leading model partnership between industry and academia that focuses on advanced machining and materials research for aerospace and other high-value manufacturing sectors. It employs around 200 highly qualified researchers and engineers from around the globe, who have worked on manufacturing challenges for likes of Airbus, Boeing and GKN Aerospace.

Small fixed-wing remote-controlled aircraft – often known as unmanned aerial vehicles (UAVs) – have a host of applications such as aerial surveys, photography and environmental monitoring. A team at the centre's Design & Prototyping Group set themselves the challenge of proving that a viable UAV could be made using relatively simple additive manufacturing technologies.

Making the glider involved developing new techniques that rapidly reduced the time, the amount of materials and the cost of manufacturing components using 3D printing technology. Creating the latest version of the UAV, which now includes electric-powered, ducted fan engines, has involved further advances in making functional parts using Rapid Manufacturing (RM) technology.
Members of the team recently returned from Salt Lake City, after being invited to deliver a presentation on the UAV project to an aerospace manufacturing conference organised by SAE, the global association for aerospace, automotive and commercial vehicle industries engineers and technical experts.

New manufacturing techniques were developed for producing carbon fibre components and making component jigs, fixtures and moulds, as well as parts of the UAV's airframe, by Fused Deposition Modelling (FDM).

They also improved pitch control by creating a moveable "Duck Tail" that uses concepts similar to those recently used in Formula One racing to harness the air leaving the UAV’s engines for aerodynamic effect.

Last, but not least, they designed a launch catapult, including parts made by RM technology, which can propel the UAV into the air with an acceleration up to three times that of gravity and a speed of just under 30 miles an hour.

Having developed a UAV, capable of cruising at around 45 miles an hour, the team’s next challenge will be to replace the electric ducted fans with miniature gas turbine engines and double the UAV’s wingspan to three metres.

The team is also looking at using novel ways of controlling flight to replace conventional methods and developing structural batteries – reducing weight by using parts of the UAV's structure to store the power it uses to fly.

Dr Garth Nicholson, senior design engineer at the AMRC (pictured, far right) said: "The project was a success on all levels, from team building, experience gained in structural and systems design and design for manufacture through to testing and validation of Computational Fluid Dynamics.

"The aircraft was developed using both an incremental design philosophy, as well as trialling experimental manufacturing techniques in carbon fibre production."

AMRC website

Images: AMRC

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Thursday, October 30, 2014

News: ISG finishes new Rotherham Tesco

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ISG, the international construction services company, has completed the external construction works for the new £40m Tesco Extra store in Rotherham town centre, two weeks ahead of schedule.

The development, on a five-acre site that had been home to a number of council buildings, will see Tesco open 66,000 sq ft of retail space on November 13.

South Yorkshire's largest property investment deal for the past two years saw developers TCN UK Ltd, bring forward the superstore, which also includes 540 parking spaces, and a petrol filling station.

Moving from the current Tesco store on Forge Island, the new store will create an additional 36,000 sq ft of floorspace which is split into 14,000 sq ft of convenience and 22,000 sq ft of comparison goods. The plans stated that the additional floorspace will allow a greater range of products such as clothing, books, CDs and household electrical goods to be sold from the new store.

ISG secured the £19m contract to build the new store in 2013 and the project also included £4m worth of public realm improvements and massive revisions to road and utilities infrastructure.

ISG's construction team recently handed over the store to its own retail team to commence the fit out works inside. A spokesperson for ISG, said: "By working collaboratively, we have provided a one-stop service for developer TCN and its customer Tesco. The fit out will be completed in November ahead of the new store opening."

The adjacent petrol filling station site was also handed over seven weeks early.

Across town, Rotherham Council is continuing arrangements for the strategic acquisition of the vacated Forge Island store, which could include a purchase and sale to a third party. The council has an option to buy the site for £1.5m and the short term plan is to operate the site as a car park.

The new Rotherham store is one of only two large format Extra stores that Tesco plans to open in the rest of this financial year. Controversial plans for a large store in Margate have been scrapped and other sites have been mothballed as it reassesses its strategy under new chief executive Dave Lewis.

Last week, Tesco revealed that first-half profits dropped by 92%, to £112m and the Serious Fraud Office has launched a formal criminal investigation into accounting practices at the UK's biggest retailer after it overstated profits by £263m.

Tesco website
ISG website

Images: ISG

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News: Developers open to new road at Parkgate

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Proposals are being discussed again for a new road at Parkgate in Rotherham that could help reduce congestion and bring derelict land back into use.

Modelling of the transport links on the Dearne corridor has indicated that significant benefits to bus journey time and reliability on the A633 between Rotherham town centre and Manvers via Parkgate could be achieved by constructing a new road between Aldwarke Lane and the rear access to Parkgate Shopping.

£1.4m worth of transport schemes are already underway as part of a long term project to improve overall journey time reliability and reduce delays between Rotherham town centre and Parkgate. This includes re-alignment of the kerbline on St Ann's roundabout and minor highway works to help bus drivers at the busy junction. A bus and cycle only lane on the south bound carriageway of the A633 Rotherham Road between Taylor's Lane and Stadium Way has been redesigned and work is due to commence shortly.

Now, consultants ARUP has been commissioned to draw up outline designs for a new road through the 14 hectare brownfield site adjacent to Parkgate Shopping.

A report to next week's Sheffield City Region Combined Authority Transport Committee states that "Stadium Developments, the owner of the land across which this road would cross, has indicated a willingness to allow the road to be constructed and RMBC has indicated an acceptance to adopt the completed highway provided it is constructed to the appropriate standards."

The site is currently subject to recycling and removal of secondary aggregates and in the final draft of the council's Local Plan, the land is considered to remain suitable for business and industrial use.

In 1987, Parkgate Retail World opened as part of the regeneration of large areas of reclaimed land formerly occupied by the Park Gate Iron and Steel Co. It is one of the largest retail parks in the UK, home to over 40 shops and attracting around seven million visitors a year. Despite a number of masterplans and detailed applications, the adjacent 14.3 hectare site remains undeveloped.

Rotherham Council has long promoted a new road at the rear of the Parkgate retail development. Planning permission was approved in 2004 for the construction of new road, including the construction of a bridge over the railway, from Beale Way to Stonerow Way.

Plans from Hull-based Stadium Developments for a "soccerdome" and associated food and drink outlets on the vacant site were set to be approved back in 2005 but a Section 106 was never agreed after planners made it clear that the developers should contribute £1.6m to the cost of a new access road.

The land was also considered as a possible location for Rotherham United's new stadium but was discounted in favour of the site of the former Guest and Chrimes foundry on the edge of Rotherham town centre.

Over the railway line at Aldwarke Wharf, land owner E.V Waddington Ltd has successfully brought forward a speculative development of units with the latest 41,000 sq ft set to be available in February 2015. The area is home to Kite Packaging, Philford Design Engineers, Envelopemaster, SP Containers and Candlelight Products.

Images: Gregory Projects / GVA

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News: Tata completes refinancing of debt

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Tata Steel has executed agreements for the refinancing of its bank debt through term loan and revolving credit facilities of €3.05 billion as it tackles the existing debt of Tata Steel Europe, the operations it bought in 2007 when it was know as Corus.

Indian-owned steelmaker, that operates sites in Rotherham and Sheffield, now has a new financing structure consists of a five year loan of €370m, a six year revolving credit facility for working capital purposes of £700m and a seven year loan of €1.8 billion, with more favourable terms and pricing relative to the earlier debt.

Tata Steel UK Holdings Limited, a 100% indirect subsidiary of Tata Steel Limited, has contracted 18 global financial institutions for the facility including Bank of America Merrill Lynch, Standard Chartered, Deutsche Bank, HSBC, Rabobank and RBS.

Tata Steel Global Holdings Pte Ltd., another 100% indirect subsidiary of Tata Steel Limited, incorporated in Singapore, has also executed agreements for loan facilities of $1.5 billion comprising of a five year loan of $700 million and a seven year loan of $800 million. The group said that the proceeds of this loan will be used to repay term debts, term out working capital and fund investment needs of the Tata Steel Group outside India.

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The company funded its acquisition of Corus in significant part by debt, raised both in India and overseas, and as a result Tata had sizeable repayment and debt servicing obligations on an ongoing basis.

In 2013, Tata Steel announced a $1.6 billion writedown on its assets, mainly on the European operations that have suffered from a market slowdown and rising raw material prices since Corus joined the Tata Steel family in a $10 billion transaction. A write down reduces the book value of an asset if it is overstated compared to current market values.

In July, $1.5 billion was raised by the Mumbai group as it began to tackle its debt of $7 billion with new bonds listed on the Frankfurt Stock Exchange.

Koushik Chatterjee, group executive director (finance and corporate) at Tata Steel Limited, said: "The new loan facilities are being put in place well ahead of any material maturities of the existing debt structure of the Tata Steel Group.

"The financing structure has been designed with flexible terms and better pricing that will provide financial headroom to the international business especially in Tata Steel Europe in the coming years.

"Along with the recent bond issuance of $1.5 billion completed in July this year, this marks the completion of the restructuring and refinancing of the entire international debt portfolio and de-risking of the capital structure of the Tata Steel Group."

In September, Tata Steel announced it will be creating a new R&D centre at the University of Warwick, a move that is likely to signal the end for its Research & Development (R&D) site in Rotherham.

Earlier this month, Tata Steel Europe announced that the Klesch Group had begun detailed due diligence and negotiations for the potential purchase of its Long Products Europe business, which includes the facility at Scunthorpe.

Tata Steel website

Images: Tata Steel

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Wednesday, October 29, 2014

News: Marussia F1 off the grid

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The Marussia F1 Team, which shocked the motorsport world when it gained entry into the 2010 F1 season from its base at Dinnington in Rotherham, has called in the administrators.

Geoff Rowley and Geoff Carton-Kelly, partners of FRP Advisory LLP, have been appointed joint administrators to Manor Grand Prix Racing Limited, trading as the Marussia F1 Team, who have been unable to bring new investment to the team to secure its long term future.

Manor Grand Prix secured financial backing from LDC and became Virgin Racing when they announced a link up with Richard Branson in December 2009. Russian company, Marussia Motors acquired a significant shareholding in 2010 and the team became Marussia Virgin Racing. For the 2012 season, the team became Marussia F1 and operations moved from Rotherham to Banbury in Oxfordshire to be closer to McLaren, their technical partners for the 2012 season. Marussia Motors closed its doors in April this year.

Rotherham-born John Booth, a former butcher and single-seater champion, has remained as the team principal throughout. The team was established to compete in Formula 1 when the FIA, the sport's governing body, decided to address the current levels of spend and introduced cost-cutting measures. However, plans for a proposed budget cap set for 2015 don't look like being implemented.

Marussia also operates a driver development programme with a team in GP3, the series that follows the Formula 1 European calendar and the emphasis is on developing driver skills.

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Despite making progress, including picking up its first championship points in May after four seasons and six races, the team has been rocked by the death of former test driver, Maria de Villota, and the serious crash involving leading driver, Jules Bianchi, which left him critically ill in hospital.

Geoff Rowley, joint administrator, and partner at FRP Advisory, said: "Whilst the team has made significant progress during its relatively short period of operation, the highlight of which included securing two constructors championship points in the current F1 season, the position remains that operating a F1 team requires significant ongoing investment.

"With the existing shareholder unable to provide the required level of funding, the senior management team has worked tirelessly to bring new investment to the team to secure its long term future, but regrettably has been unable to do so within the time available. Therefore, they have been left with no alternative but to place the Company into administration.

"The Company will continue to operate while the joint administrators assess the longer term viability of the Company in its present form. No redundancies have been made following the Company's entering into administration and all staff have been paid in full to the end of October. The ongoing staff position will however be dependent on whether the Company can secure new investment in the limited time available.

"We remain highly focused on engaging with interested parties."

Given the current financial circumstances of the Group, which employs 200 staff, the F1 team has pulled out of the US Grand Prix in Austin this weekend. Earlier this month, the GP3 team withdrew from the race in Sochi, Russia for commercial reasons.

Booth's Manor Motorsport is one of the most respected names in national and international motor racing. His Dinnington operation achieved great success in Formula 3 and Formula Renault and played a major role in the development of several of today's greatest motor racing talents. Former Formula 1 champions Kimi Raikkonen and Lewis Hamilton both graduated from the John Booth school of excellence.

Marussia F1 website

Images: Marussia F1 / Facebook

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News: Transport Secretary waits on Sheffield's HS2 evidence

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The Secretary of State for Transport, Patrick McLoughlin, will wait for further evidence from representatives in the Sheffield city region (SCR) before making a final decision on the location of the proposed South Yorkshire HS2 station.


Plans including the proposed location of a station on the £50 billion north - south high speed rail line at Meadowhall were announced last year. There are different views across the Sheffield city region about which location offers the greatest balance of cost and benefit for the city region as a whole. Sheffield City Council believes that the current preferred station location chosen by Government is a mistake. Instead, a vision for an HS2 station at Victoria, closer to Sheffield city centre is being put forward.

Launching his latest report this week, Sir David Higgins, chairman of HS2 Ltd, reiterated his view that Sheffield Meadowhall is the right answer for the South Yorkshire hub but admitted that the final decision is "finely balanced."

In response, The Secretary of State for Transport, Patrick McLoughlin, submitted a written statement to Parliament welcoming the backing for the project and recommendations to look again at the route and some of the station locations. HS2 Ltd is set to do more work on the route and stations for Phase Two before a final decision is made by the government, expected in May 2015.

Specific to South Yorkshire, McLoughlin said: "Sir David remains convinced on current evidence that Sheffield Meadowhall is the right location for the South Yorkshire hub. I am waiting for further evidence from Sheffield before a final decision on this."

The newly established combined authority for the Sheffield city region set up a HS2 Programme Board, whose first job was to commission new reports from consultants Pell Frischmann on the two station locations - Meadowhall and Sheffield Victoria. Earlier studies showed that Meadowhall would support the creation of around 5,000 jobs in the station development regeneration areas around Meadowhall and the Lower Don Valley and could add between £0.5 billion and £0.9 billion each year to the economic output of South Yorkshire.

Studies commissioned by Sheffield Council showed that a city centre station create 9,500 jobs and has the potential to generate between £2 - £5 billion net additional economic value over 25 years.

Higgins recognised the regeneration benefits of a station at Victoria but understands that it has implications in terms of costs and time. Previous estimates of a through route and station close to Sheffield city centre added another £1 billion to the overall cost of HS2.

The report also showed that a direct route via a spur terminating at Sheffield Midland station was examined again recently but was rejected as it did not provide onwards connections and "did not provide the connections and journey times necessary to serve the wider Sheffield city region effectively, particularly Rotherham and Barnsley."

Work on the two station locations, including connectivity studies, business case analysis and station design, is planned to conclude in February 2015.

Support for having a station in the region is strong, despite differences in opinion on its location, but responses to the consultation from the region called for more to be done to boost connectivity to the station from around the whole city region. This included calls for boosting local rail links, more tram-trains, improving the M1 and fast links into the heart of Sheffield city centre.

Julie Hurley, interim director of Strategy at the South Yorkshire Passenger Transport Executive (SYPTE), said: "We warmly welcome Sir David's recognition of the support from the SCR for HS2 and the ongoing confidence in SCR's suitability for a HS2 station location. 

"However, careful consideration needs to be given to how to best derive benefits for the SCR as well as neighbouring regions on the HS2 route. It is only by making sure the HS2 network is well connected to the whole transport network that the benefits of the new line will be maximised."

This issue has been raised by the report with support from the Government now in place for improved links in the North that could include a £7 billion high speed rail line from Liverpool - Manchester - Leeds - Hull, dubbed HS3. A new body called Transport for the North (TfN), is to be created and a wider transport strategy for the north is to be developed.

Hurley added: "Improving connections between the East and West is vital. But investment in the TransNorth HS3 line must not be only Leeds and Manchester focused and serious consideration must be given to connecting Sheffield to Manchester and Leeds. Sir David's proposed Transport for the North powerhouse will only be realised if a connection to SCR is included within the plans. 

"Linking the SCR HS2 station to the TransNorth line will bring towns and cities closer together in order to boost skills, enable inter-city employment, encourage regional investment and provide security for the North."

HS2 Ltd website

Images: HS2 Ltd

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News: Yorkshire still on for record year

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Continued high levels of commercial property deals in Yorkshire mean that 2014 is set to be a record year for investment in the region.

Commercial property consultancy Lambert Smith Hampton (LSH) tracks the region's deals in its UK Investment Transactions report. The latest edition reveals that the 2014 year to date investment in Yorkshire at £1.01bn is already higher than full year figures since 2010.

Investment in the Yorkshire commercial property sector during the third quarter of 2014 reached £354.83m - a 91% increase on the previous quarter and 18% higher than in the corresponding period last year.

The report showed that investment in UK regions totalled £6.0bn in the past quarter, the highest level since 2006, and the first time that investment in the regional markets has outstripped inflows into London since the start of 2011.

The largest deal in Rotherham during the period saw Standard Life Investments Property Income Trust Limited (SLIPIT) acquire a Templeborough distribution warehouse, currently home to the Symphony Group, in a £14.6m deal. Rotherham college's Howard Building in the town centre was also sold prior to going to auction from a guide price of £250,000.

Abid Jaffry, director and regional head of capital markets at LSH, said: "We continue to see high levels of competition among investors for UK commercial property, and Yorkshire is set to enjoy an exceptional year in terms of returns and investment volumes boosted by the main sectors.

"Capital continues to flow back into the regions in a meaningful way as improving confidence and the price of assets in London prompts investors to look beyond the capital.

"In addition, the returns being offered in some of the secondary markets remain attractive to investors wishing to take advantage of the higher yields and positive occupier sentiment.

"However, yields are hardening and lower than average in many sectors which means the pace of capital value increases is likely to slow in the next 12 months. There is still scope for further growth but these will be mainly driven by rental growth rather than further inward yield shift."

LSH website

Images: Knight Frank

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Tuesday, October 28, 2014

News: Rea named amongst UK's top entrepreneurs

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Chris Rea OBE, the founder and current managing director of award-winning Rotherham manufacturer, AESSEAL has been named in a list of the Top 100 entrepreneurs in the UK by an influential business magazine.

Targeted at senior managers in business and the public sector, as well as entrepreneurs, Management Today is regarded as one of the most authoritative and innovative media brands covering the business and management area. This is the ninth time the publication has compiled a list recognising Britain's most successful entrepreneurs "in everything from cloud computing to metal bashing."

The rankings take into account the entrepreneur's own or their immediate family asset wealth, the percentage growth in turnover at their firms over the past five years and the percentage growth in the jobs they have created in the past five years.

Whilst Victoria Beckham tops the list, Chris Rea is ranked at number 59, with the compilers putting his wealth at £160m, the impressive growth in turnover over the last five years at 74% and a five year rise in employment of 38%.

Born in Northern Ireland in 1954, Rea graduated from Queens University Belfast in 1975 with an Honours Degree in Economics. He took on AESSEAL in 1979 when it had just eight staff. It is now the UK's last remaining, and the world's fourth largest, mechanical seal manufacturer, with 1,700 employees and operations in 77 locations in 37 countries.

With global headquarters at Templeborough, AESSEAL manufactures seals to stop leakage of harmful liquids and gases into the environment for a wide range of industries, including oil and gas, food, water, mining and pharmaceuticals. Under Rea's entrepreneurial leadership, the firm has grown sales and profits every year for over 30 years.

The group's 2013 sales were £147m, with exports accounting for more than 90% of the total. All of the product development, process development, information technology and more than 90% of manufacturing continues to be based in the UK.

Whilst Rea retains a majority interest and control at AES, international investor, 3i hold a minority stake, having first invested in 1996 then increasing its stake to 40% in 2007.

As AES continues to grow, investing in new facilities and taking on more staff, Rea's latest role has seen him appointed as the interim managing director of Surgical Innovations Group Plc (SI), the Leeds firm that specialises in the design and manufacture of creative solutions for use in minimally invasive surgery (MIS) and industrial markets.

AESSEAL website
Management Today website

Images: AESSEAL

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News: Inditherm success in chemotherapy care

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Innovative medical products from Rotherham company, Inditherm, are being adopted by a growing number of NHS hospitals to improve the quality of the care provided for chemotherapy patients.

Manvers-based Inditherm has developed products using low voltage carbon polymer technology to provide heat. Its systems are used for patients undergoing operations which carry risk of inadvertent hypothermia and in neonatal wards.

Around 150 of its SpeedHeatVE systems are now being used daily in over 20 chemotherapy units in the UK, where the localised warming helps to help raise veins to facilitate chemotherapy treatment and other intravenous therapies. This not only assists the healthcare professional by speeding the process, but also makes it a less unpleasant experience for the patient. The administration of chemotherapy drugs is often very painful and heat has been shown to reduce levels of pain significantly.

In many hospitals various warming methods have been used, ranging from placing the patient's arm in a bucket of warm water to the use of microwave heat packs. These methods are more than a little haphazard, none can provide a controlled temperature whilst all present a challenge for infection control.

Inditherm's patented technology provides a completely uniform conductive heating surface, which is extremely flexible and is powered at low voltage. In this application it is used in re-usable soft-feel heat pads connected to a simple control unit that provides precise temperature regulation that can be adjusted as appropriate for each patient and each phase of treatment. SpeedHeatVE is the only approved medical device for this purpose available worldwide and the polymer heat pads are also used to accelerate muscle injury treatment by enabling controlled heat to be applied directly to muscles, ligaments, tendons and joints.

Nick Bettles, chief executive at Inditherm, said: "It is good to see that the performance of our SpeedHeatVE product has been appreciated by the clinical users, and also to know that it can have such a benefit for patients.  We adapted our physiotherapy product for this application specifically to ensure that we could meet the infection control demands. We're pleased to know that we can offer a safe and effective alternative to the somewhat primitive warming methods some hospitals had previously been forced to adopt.

"We believe that as SpeedHeatVE is now becoming well established and more widely recognised many other chemotherapy units will start to adopt our very much more suitable, safe and convenient localised warming technology."

Inditherm website

Images: Inditherm

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News: Construction firms can build their business with DVC

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Businesses in the construction trade who are based in the Sheffield city region can enhance their skills at no cost with a range of business-focused courses delivered by Dearne Valley College (DVC) in Rotherham.

With its main campus in Manvers, Dearne Valley College specialises in vocational training and apprenticeships, meaning that courses focus on the skills required by industry with an emphasis on employability. It also has a dedicated Business Development Team that works with local firms to identify where the skills gaps are, advise on funding initiatives and ease the complexity of investing in staff.

The business courses, which were designed in collaboration with the Construction Industry Training Board (CITB) in response to growing employer needs, will equip construction professionals with the practical business skills they need to ensure the smooth running of their business, allowing them to diversify into new markets, secure more work and manage their growth effectively.

There are a range of qualifications covering wider business skills, such as Business Leadership, Marketing, Finance, Project Management and Human Resources, among others, which are tailored to suit businesses with on-site delivery and flexible start dates. However, Dearne Valley College are urging employers to act fast, with funding only available for this initiative until July 2015, provided by the European Social Fund and the Skills Funding Agency.

A spokesperson for the College said: "We are delighted to be able to offer this fully funded training to small-to-medium businesses across the borough. This opportunity is limited to July 2015, so if businesses would like to take advantage of this free initiative, which has been designed to suit what employers within the industry are asking for, they should act now and speak to our fantastic Business Development team."

Dearne Valley College website

Images: DVC

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Monday, October 27, 2014

News: Higgins confirms view on Meadowhall as HS2 station location

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Sir David Higgins, chairman of HS2 Ltd, has reiterated his view that Sheffield Meadowhall is the right answer for the South Yorkshire hub on the proposed HS2 line but admits the final decision is "finely balanced."

Plans including the proposed location of a HS2 station at Meadowhall were announced last year. The location was backed by Rotherham Council, Barnsley & Rotherham Chamber and the South Yorkshire Integrated Transport Authority (SYITA) - the precursor to a Sheffield city region combined authority.

In response to the government's consultation, Sheffield City Council said that it is strongly opposed to the proposed route and believes that the current preferred station location chosen by Government is a mistake. Instead, a vision for an HS2 station at Victoria, closer to Sheffield city centre is being put forward (picture, below).

The Sheffield City Region (SCR) Local Enterprise Partnership (LEP) has declined to commit to backing a specific site for a South Yorkshire station and instead has reiterated its stance that the location should be based on achieving the greatest economic benefit. The newly established combined authority set up a HS2 Programme Board, whose first job was to commission new reports from consultants Pell Frischmann on the two station locations.

Launching his latest update report on the £50 billion rail network in Leeds, Sir David said: "The decision on the South Yorkshire station location is finely balanced. HS2 is strongly supported in the city region and Sheffield Council is arguing for a station closer to the city centre. I can see the regeneration benefits of Victoria but it has implications in terms of costs and time. I believe that Meadowhall stands to benefit the region as a whole."

In the report Higgins goes on to say: "The debate over the final location of the HS2 station in Sheffield is essentially one between the differing economic impacts and costs of a city centre versus a hub location. There are different views across Sheffield city region about which location offers the greatest balance of cost and benefit for the city region as a whole. All sides however have been amongst the most vocal supporters of the HS2 project and in the vanguard of recognising the benefits it can deliver.

"Supporters of a city centre location see the opportunity to regenerate the area North East of the city centre by locating the station at Sheffield Victoria, an old station shut since 1970. In doing so, they seek to enhance Sheffield city centre's role as a job creator for the wider city region and to enhance city to city connectivity, particularly as part of a "Northern Powerhouse" of connected cities playing a stronger role in UK economic growth.

"Barnsley, Doncaster and Rotherham strongly argue for the hub to be based at the existing station, Sheffield Meadowhall, in the east of the city. Supporters of this proposal state that a Victoria station option would be more expensive because of the difficulties of building an alternative line into and out of the city; add six minutes to the journey time to Leeds and further north so disadvantaging the North East compared to the North West; and, in particular, it would increase journey times to their towns.

"I am aware that Sheffield is carrying out further work aimed at addressing these points, but, until this work is complete, there is insufficient evidence to recommend altering the current proposal at this stage, so I remain of the view that Sheffield Meadowhall is the right answer for the South Yorkshire hub. My hope is that, as has happened elsewhere, a consensus is reached on the way forward to which Ministers can respond."
Work on the two station locations, including connectivity studies, business case analysis and station design, is planned to conclude in February 2015. It is anticipated that the Secretary of State will make a final decision on route and station location in May 2015 following the recent public consultation review and advice from HS2 Ltd.

The report also highlights the importance of improving the connections between the north's great cities and a potential new high speed rail connection east-west from Manchester to Leeds, dubbed HS3.

In the report Higgins said: "The triangle of Manchester-Leeds-Sheffield is central to the Northern powerhouse economy, and the lack of high performance road and rail links between Manchester and Sheffield should be a matter of national concern, as identified by the One North report. The environmental challenge facing any proposal to enhance transport links on that corridor is daunting. But we should, as a nation, be prepared to undertake a sober, considered and ambitious conversation about how to release untapped economic prosperity in the North, to strengthen prosperity while protecting its valued environment."

James Newman, Chairman of the Sheffield City Region Local Enterprise Partnership, said: "The LEP board fully backs Government plans for HS2 and we strongly agree with this latest report’s emphasis on the significance of Phase 2 of the project which is critically important to future business growth in the North. We fully support the inclusion of a Sheffield City Region station as part of the Eastern leg of the network, as this forms a key part of our Strategic Economic Plan.

"This latest report from Sir David will further boost confidence in the project among businesses and potential new investors in the Sheffield City Region, although we are disappointed that the final route alignment will not be announced until after the General Election."

HS2 Ltd website

Images: HS2 Ltd / Sheffield City Council

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News: Government backing for HS3 with HS2 set for Meadowhall

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The Government has given its backing to develop HS3 - a high speed rail link connecting the north's great cities which could significantly reduce journey times across the region - with the Sheffield city region needing to press its case for its inclusion.

The backing by the Prime Minister and Chancellor in the run up to the next election comes on the day when HS2 Ltd, the Government's company responsible for developing and promoting the UK's new high speed rail network, is expected to confirm that a South Yorkshire station is included in its vision for HS2 - the £50 billion high speed North to South link - with that station set to be built at Meadowhall.

In June, Chancellor of the Exchequer, George Osborne MP, indicated the Government's support to improving transport infrastructure across the North of England to bring together cities and enable them to compete on a global scale. The headline grabber was the mention of a new high speed rail connection east-west from Manchester to Leeds, dubbed HS3. It would be based on the existing rail route, but speeded up with new tunnels and infrastructure. The issue of better connections between the cities of the North was highlighted by David Higgins, chairman of HS2 Ltd, in his update report on the project.

In today's report, Sir David again identifies the vital importance of improving east west connectivity across the north and considers the central role a high speed rail link could play. He concludes that with a high speed link the journey time between Leeds and Manchester could be cut from around 55 to between 26 and 34 minutes.

James Newman, chairman of the Sheffield City Region Local Enterprise Partnership (LEP), said earlier in the year that he was disappointed that east-west linkages including the Sheffield City Region did not form part of these headline proposals and that the LEP would explore the issue of reducing journey times from Manchester to Sheffield on the southern transpennine route.

In July, One North a strategic proposition for transport in the North, highlighted the need to improve transport links and included proposals for a new 125 mph transpennine rail route by 2030, connected to the HS2 lines and the existing rail network, tunnelled as needed, linking five city regions together with Manchester Airport and the ports. A new freight route across the Pennines was also put forward.

The target is to reduce the rail journey times between Sheffield and Manchester to 30 minutes.

Higgins also previously recommended that co-operation on transport issues should be formalised in the north and in response the Chancellor has announced the creation of a new body called Transport for the North made up of the main northern city regions. This body will work together with other authorities and stakeholders and allow the north to speak with one voice on the big decisions to benefit the region as a whole.

The government, working with Transport for the North, will now produce a comprehensive transport strategy for the region. This will include options, costs and a delivery timetable for a HS3 east west rail connection. An interim report will be produced next March.

Prime Minister David Cameron said: "Improving connectivity and reducing journey times between our great northern cities is a crucial part of our long term economic plan for the north to boost businesses and create more jobs and security for hardworking people. That's why we are backing HS3."

Sheffield Council expects that today's latest progress report from HS2 Ltd will again place the proposed South Yorkshire station at Meadowhall rather than its preferred location closer to Sheffield city centre at Victoria.

Councillor Julie Dore, leader of Sheffield Council, said: "Given the overwhelming evidence and basic common sense supporting stations being located in city centres and not out of town, it is astonishing that in Sheffield we are still facing the prospect of a station located at Meadowhall. When we're talking about a 21st Century economy which is defined by job growth concentrated in city centres, a parkway station located four miles outside of the centre of Sheffield isn't going to cut it."

HS2 Ltd website

Images: SYPTE / ARUP

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News: MTL expands cutting division

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To keep up with high demand, Rotherham-based project manufacturing specialist, MTL Group, has expanded its cutting division to operate on a fully functional 24/7 basis.

MTL Group is one of Europe's fastest growing project manufacturing specialists in the metal sector and is a global exporter of secondary steelwork. It works with a global blue-chip customer base in the defence, construction equipment, rail and off-shore wind energy sectors.

Capacity has been increased due to an influx of orders, including its third significant contract for armoured hulls with a leading manufacturer of armoured vehicles. In 2011 MTL was awarded its largest ever export to supply 97 boat landing systems to a leading European foundations manufacturer, for a German offshore wind farm.

Since moving to a new facility at Brinsworth in Rotherham in 2011, where it employs over 350 staff, MTL almost doubled its export sales to £7.3m. Supplying international blue-chip customers such as Bombardier, Rheinmetall and BAE Systems, MTL uses state of the art equipment at the 300,000 sq ft modern manufacturing facility and boasts thirteen cutting machines, including laser, waterjet, flame cutting and high definition plasma. It operates the world's largest bevel laser which is 20m long.

Karl Stewart, sales director at MTL Group, said: "This increase in capacity means that we can now offer our customers an even faster turnaround for all standard cutting jobs, from the time of the order placed to the material being cut. Our delivery performance is in excess of 98%.

"To achieve optimum efficiency for our customers, these machines are all located within our 300,000 sq ft manufacturing facility in Rotherham. Increasing capacity in our cutting bay gives us in excess of 2,000 hours per week.

"The overall goal is to increase efficiency for our customers. This is being achieved by increasing capacity on our cutting machines, and consistently striving to provide a fast turnaround without sacrificing quality."

In addition to its cutting service, the firm also has a machining, rolling and press braking capability of up to 7.3m. This helps MTl to maintain a wide and varied customer base by offering a full turnkey process which also includes bending, machining and welded assemblies. The company also carries an extensive range of material in stock, from mild steel to quenched and tempered steels, and high strength strip mill plate.

MTL estimates that it has invested £6m in world class equipment and remains at the forefront of technological advancements, regularly updating machinery and processes.

MTL Group website

Images: MTL Group

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News: Export experts at Rotherham event

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Rotherham businesses are being given the chance to find out more about the opportunities to win new overseas business at an interactive workshop next month. .

Organised by Rotherham Investment & Development Office (RiDO) in conjunction with UK Trade & Investment (UKTI), the event is free for Rotherham-based companies and will take place at RiDO's Fusion @ Magna business centre at Templeborough on November 13. The theme will be "winning new overseas business through market research and customer service."

The event is part of RiDO's ERDF-funded Growth and Prosperity in Rotherham – Soft Landing Zone project which offers support to Rotherham companies with accessing international markets and helping foreign inward investors who choose to locate to its business centres. UKTI is the Government's trade body that works with UK based businesses to ensure their success in international markets through exports.

The workshop will be led by Simon Bedford, an expert advisor from UK Trade & Investment, who will provide information on how Rotherham businesses can identify and explore opportunities in international markets, with the aim of achieving international growth. He will look at where, when and how to access new markets, the importance of being customer-focused and he will also reveal some interesting global findings on customer service.

Nathan Woodcock, business development co-ordinator at RiDO will also speak about what advice and support is available in Rotherham to help businesses to increase their export sales. This includes free access to market research that RiDO’s experienced team can carry out for Rotherham companies to assist them in identifying and exploring new overseas markets.

Nathan said: "This is a great opportunity for local businesses who are thinking of exporting, or who have already started to trade internationally, to learn from experts at UKTI and network with other businesses who are doing so. Any Rotherham business that is looking for help with international market research through RiDO's Soft Landing Zone should register now as this opportunity will be coming to an end in the next few months."

Rotherham businesses can also benefit from RiDO's free Export Communication Review (ECR). This is designed to help local businesses to develop trading relations with both English and non-English speaking export markets by reviewing a company's literature, branding and website.

RiDO website

Images: RiDO

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Friday, October 24, 2014

News: MGB becomes part of OnePlastics after Straight deal

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Rotherham-based manufacturer, MGB Plastics has become part of the OnePlastics Group, a newly launched brand targeting an ambitious growth plan over the next few years.

MGB Plastics is the UK's leading manufacturer of wheeled bins and kitchen caddies and its 5,000 sq m Barbot Hall facility has been expanded a number of times and now has the manufacturing capacity of 1.5 million wheeled bins per annum.

A deal was recently concluded that saw Dublin-based One51plc, the owner of MGB, acquire Yorkshire firm Straight plc for £10.7m. The parent company has now brought together seven businesses under a new brand called OnePlastics Group and says the new group has been created with a vision to be the leading provider of plastics products to a variety of sectors. This is set to be driven by investment within the portfolio of businesses and the launch of new products.

Conor Sugrue, commercial director of OnePlastics Group, said: "The launch of OnePlastics Group is a unique and innovative step and we have very ambitious plans for this new brand.

"The plastics division within One51plc group and businesses such as MGB Plastics have been enjoying strong growth in recent years. The creation of the OnePlastics Group brand as a separate entity will give us a strong platform to realise our vision of becoming a leading manufacturer of plastics products in each of the sectors in which we operate.

"Bringing all the businesses together with all their different capabilities makes sense from a strategic level and also gives our customers access to a very strong offering in terms of price, service and innovation.

"As part of our growth policy we will continue to invest in the businesses within OnePlastics Group. This will allow us to maintain the highest quality standards, employ talented staff and continue leading the market with new products."

OnePlastics Group will now boast a combined turnover of around £118m and will employ 450 people servicing a range of blue chip multinationals. It will design and manufacture a range of products across a number of key markets and sectors and will also offer full contract manufacturing and related services.

Turnover at Straight was £26.1m last year. Turnover on a like-for-like basis for One51's plastics division was £81.5m in 2013.

Ireland's One51 is an unlisted publicly quoted investment company with a long term approach and operates a portfolio of businesses in specialised sectors including environmental services, renewable energy and injection moulding plastics. It recently reported pre tax profits before exceptional items of £2.84m for the first half of this year, has reduced its debts and secured additional banking facilities.

OnePlastics website

Images: OnePlastics

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News: Panel Systems invests in Rotherham facility

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Panel Systems, a leading manufacturer of decorative and composite panels, is celebrating opening a dedicated CNC machining and cutting services factory at Waleswood in Rotherham, after securing a grant of £90,000 via the Regional Growth Fund (RGF).

Panel Systems Ltd, which operates from Parkwood Industrial Estate in Sheffield and at Waleswood Industrial Estate in Rotherham, is in its 40th year and specialises in the production of high quality panels for a wide range of industries, from caravan production, construction, craft through to children's playgrounds.

The company has made a total investment of £150,000 in plant and equipment at Waleswood, forming a dedicated new CNC Machining & Cutting services division. The investment includes the latest 3-axis and 5-axis machines which offer precision cutting, routing and machining for a full range of board materials.

The company has also established two other dedicated divisions – Architectural & Composite Panels based at Parkwood Industrial Estate and Foam Fabrication & Distribution also based at Waleswood Industrial Estate.

Establishing the three dedicated divisions has also led to the creation of ten new roles across its business in the last three months.

Chris Ibbotson, managing director of Panel Systems, said: "This is a very exciting time for our business. With three clear dedicated divisions, we have ambitious plans for the future, based on our expertise and use of the latest technology.

"We are delighted to have been awarded Regional Growth Fund (RGF) funding from the LEP's "Unlocking Business Investment" programme which has enabled us to invest in our new factory and it is fantastic to be able to create new jobs here in Sheffield in our 40th year."

The Sheffield City Region Local Enterprise Partnership secured £32m from the Government to run the "Unlocking Business Investment" programme and provide grants of between £25,000 and £2m to support companies using their own funding to make direct business investments that ultimately lead to creating sustainable, private sector jobs. Business investments include capital projects which involve investment in equipment, machinery and tools; alterations to land and/or premises to meet the needs of the business. Grants can also be used to support new research and development.

The programme was fully committed in August but further funding is expected to come forward through the £325m Growth Deal that was signed off by the Deputy Prime Minister, Nick Clegg, yesterday.

Panel Systems website
Sheffield City Region website

Images: Panel Systems

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News: Sheffield still hopes HS2 will head to Victoria

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Sheffield Council is still holding out hope that a proposed South Yorkshire station on the £50 billion high speed rail project will be moved closer to Sheffield city centre, despite reports in the national media that HS2 Ltd is unlikely to change its mind.

Plans including the proposed location of a HS2 station at Meadowhall were announced last year. The location was backed by Rotherham Council, Barnsley & Rotherham Chamber and the South Yorkshire Integrated Transport Authority (SYITA) - the precursor to a Sheffield city region combined authority.

In response to the government's consultation, Sheffield City Council said that it is strongly opposed to the proposed route and believes that the current preferred station location chosen by Government is a mistake. Instead, a vision for an HS2 station at Victoria, closer to Sheffield city centre (pictured) is being put forward.

The Sheffield City Region (SCR) Local Enterprise Partnership (LEP) has declined to commit to backing a specific site for a South Yorkshire station and instead reiterated its stance that the location should be based on achieving the greatest economic benefit.

The newly established combined authority set up a HS2 Programme Board, whose first job was to commission new reports from consultants Pell Frischmann on the two station locations and ensure that the region is ready to work on related infrastructure and funding bids when the final route is announced.

With the chairman of HS2 Ltd, Sir David Higgins, due to launch his next report on Monday, Councillor Julie Dore, leader of Sheffield City Council, outlined the need for the Government to focus on taking the actions needed to make sure cities like Sheffield benefit from the project.

"Under current plans Sheffield's HS2 station is only estimated to create 3,500 jobs compared to 29,700 in Manchester and 13,200 in Leeds. The key difference is that Sheffield will have a parkway station four miles outside the city centre in contrast to the other cities that have a station in the heart of their economic centres.

"This will put Sheffield City Region at a permanent competitive disadvantage compared to the neighbouring city regions and undermine Sheffield's role in a new Northern powerhouse economy.

"A city centre station would give extra jobs to all of the Sheffield City Region at a time when it is aiming to create 70,000 net new jobs."

A report in the Financial Times this week said that "Sir David Higgins is expected to rule out big changes to the UK's proposed north-south high-speed rail line as he battles to keep the project within a £50bn budget."

The costs of a through route and locating the station at Victoria have previously been estimated at an extra £1bn.

HS2 website

Images: Sheffield City Council

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Thursday, October 23, 2014

News: Construction at Bassingthorpe could start in 2016

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Work could start on the 2,400 proposed houses on former greenbelt land known as Bassingthorpe Farm in Rotherham as early as 2016, planning reports show.

As part of the Local Plan core strategy that was recently adopted by the council, the 215 hectare area close to Rotherham town centre has been removed from the greenbelt and designated as a Strategic Allocation and the main location for new housing, employment and retail growth. 2,400 dwellings could be joined by 11 hectares for employment use.

As part of the consultation on the sites and policies document - which sets out the detailed sites and development management policies to deliver growth over the next 15 years, the issue of Bassingthorpe and the building on the greenbelt land is set to be a hot topic.

Rotherham Council has been leading on the proposals for a number of years, and is working collaboratively with major landowner, Fitzwilliam (Wentworth) Estates, on how to bring forward the project to create "sustainable communities on the edge of Rotherham Urban Area within a green infrastructure that enables connectivity and integration of new development with existing communities." It is also set to provide strong and convenient connections to services and be of "a high quality design that responds sensitively and positively to the historic and natural landscape, the built form and topography."

With Bassingthorpe "promoted" from a "broad location for growth" to a "strategic allocation" in the core strategy, the site can come forward before other sites in the borough.

Work will now be underway on a masterplan for the development that will be finalised before an outline planning application is submitted for the site. Planners have assumed a period of 33 months from the site being removed from the greenbelt to the start of construction. One single overarching master developer could be appointed to build out the site in a phased manner.

The partners are unlikely to wait until the sites and polices document has been through the public consultation and formal adoption to begin on more detailed plans given that the government's planning inspector was satisfied that the detailed evidence supporting the future development of Bassingthorpe Farm was sufficient that the site could be formalised as a strategic allocation. Experts at Signet Planning have been working on evidence, analysis and illustrative concept masterplans.


The council had hoped to give priority to bringing forward brownfield land for development before any greenfield sites but the Government's inspector would not allow it as it did not conform to national planning guidelines. The Rotherham strategy admits: "While the release of previously developed or brownfield sites is to be encouraged, the number of remaining suitable brownfield sites is limited and the number of houses that can be accommodated on them fall far short of those needed to deliver the required housing.

"Current economic conditions and constraints on many of the remaining previously developed sites means that development is not economically viable, at least in the short term. The early release of greenfield sites is therefore inevitable, even though there may be some brownfield sites remaining."

With the potential for around 100 new houses to be built each year, the Bassingthorpe development will go a long way to address the current housing shortfall in the borough. There are other potential benefits to the council of large scale housebuilding on the site. Around 57 hectares (26%) of the site is under Rotherham Council's ownership with potential income to be generated from plot sales, the new homes bonus, section 106 agreements, the proposed Community Infrastructure Levy and future council tax from 2,400 new houses.

However, one major hurdle to overcome is the viability of the whole development, with consultants, DTZ, estimating that the infrastructure needed to bring forward houses, associated retail and employment uses would cost over £50m. This includes £10m for strategic infrastructure, £5m for drainage, £4m for improving the road infrastructure, £8m for education including a new primary school, £2m for a new doctor's surgery and £1.6m for a new fire station. The costs to develop the whole project have been estimated at £365m.

The state of the housing market combined with current obligations through the planning process would make the scheme unviable and proposals such as reducing the amounts of any levies are being considered. A mechanism could also be introduced to ensure deferment or phasing of financial contributions to help reduce initial upfront costs.

Potential funding sources are also being sought that would make the development more viable such as the use of council borrowing, funding via the Homes & Communities Agency or the Sheffield City Region's Infrastructure Fund.

Images: RMBC / Signet Planning

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News: Funding comes forward for Rotherham retail development

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A forward funding agreement has been secured with Bramall Properties Ltd that will enable construction to begin on a new retail development at Parkgate in Rotherham.

The land owner, Rotherham recycling experts, Ron Hull, teamed up with Leeds-based developers, Gregory Projects to bring forward a potential retail development on the site of a former car showroom at Great Eastern Way.

The development has outline approval for a 16,000 sq ft discount food store together with 30,000 sq ft of additional retail and leisure facilities along with 200 car parking spaces. The first phase sees Aldi taking the largest unit at 16,544 sq ft and Iceland taking the adjacent 7,000 sq ft unit. The third unit, of 15,000 sq ft is under offer to Home Bargains. The next phase can cater for requirements of between 1,000 sq ft and 10,000 sq ft.

Forward funding has been secured from Bramall Properties Ltd, the North Yorkshire firm which has carried out a substantial number of commercial and residential developments over the last few years and which holds a variety of office and commercial property investments and provides funding for other property developments.

The deal means that construction can now begin next month and Sheffield-based experts, J F Finnegan has been appointed as the main contractor. The development is due to be completed by July 2015.

Richard Tovey, director at Gregory Projects, said: “The property has been vacant for some time and we are pleased to bring it back into use.

"The strength of the location has attracted an excellent tenant line-up enabling funding to be secured at an early stage in the project.

"We look forward to working with the appointed builder and professional team to deliver the scheme for Rotherham and in particular, the Parkgate and Rawmarsh communities."

The Leeds office of GVA has advised Gregory Projects on the pre-lettings, Walker Morris acted for Gregory Projects in the site purchase, funding and lettings. Shulmans advised Bramall Properties Ltd.

At the current Foundry Retail Park over the road, Scandinavian home furnishing retailer, JYSK has taken over a 6,000 sq ft unit and opens today.

Gregory Projects website

Images: Gregory Projects / GVA

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News: Nuclear AMRC extend Fit 4 Nuclear

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The Nuclear AMRC has joined forces with the Manufacturing Advisory Service (MAS) to help more than 300 small manufacturers prepare to seize the multi-million pound opportunities of the UK's growing nuclear sector.


Based on the Advanced Manufacturing Park (AMP) in Rotherham, the £25m Nuclear AMRC is a joint initiative between the University of Sheffield, The University of Manchester, and a consortium of industry partners. It provides a focal point for the bulk of the UK civil nuclear manufacturing industry supply chain, ensuring that manufacturers in the UK have the capability and capacity required to compete for nuclear new build in the UK and globally, from skills training to research and development.

MAS has been a huge success since its launch in 2002. It now plays a vital role in helping UK manufacturers to share knowledge, improve productivity and achieve success in an increasing competitive global economy.

Fit 4 Nuclear helps companies measure their current operations against the standards required to supply the UK's new generation of nuclear power stations, and take the necessary steps to enter the UK's rapidly developing £60 billion civil nuclear new build sector and £1.5 billion a year decommissioning programme.

Backed by top tier partners including Areva and EDF Energy, the initiative offers a business improvement journey that will identify strategy, implement new processes, secure necessary accreditations and provide supplier matching opportunities.

Steven Barr, head of MAS, said: "There is great potential for advanced manufacturing SMEs to build business in the civil nuclear sector. Following approval for Hinkley Point, we can expect these opportunities to increase in new build, as well as in decommissioning and existing station maintenance.

"We recognise they need help to understand the nature of the opportunities that are opening up and to prepare for them.

"The first new nuclear plant is likely to come online in the 2020s, but orders for the bulk of plant and services are expected to start developing from next year. Now is the time for small manufacturers to act."

To date, around 150 companies have completed the online Fit for Nuclear assessment, with the majority receiving ongoing support and development from the Nuclear AMRC team. Local companies benefiting from the scheme include Newburgh at Templeborough and Maher, who are set to move on to the AMP.

New funding from the government's Regional Growth Fund, through the civil nuclear Sharing in Growth programme, has opened the initiative to another 300 SMEs. MAS will help the Nuclear AMRC engage the wider manufacturing supply chain, including control and instrumentation, electrical and other sub-contractors.

Martin Ride, an experienced purchasing manager with Rolls-Royce, now working as supply chain consultant at the Nuclear AMRC, said: "At little or no cost to the participating company, F4N can deliver real business value regardless of your current nuclear sector knowledge or experience.

"This is one of the easiest and most straightforward sector-based programmes to access, participate in, and get incredible value from, and which can lead to increased opportunities."

Nuclear AMRC website

Images: Nuclear AMRC

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Wednesday, October 22, 2014

News: Positive year for Xeros

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Rotherham-based, Xeros has published its first full year accounts since raising £30m by floating on the stock exchange and is already looking ahead to accelerated growth in 2015.

Based on the Advanced Manufacturing Park (AMP), Xeros is a Leeds University spin-out that has developed a patented system using a unique method of special polymer beads rather than the usual large amounts of fresh water to clean clothes.

The system comprises a special washing machine designed to release the beads into the drum for cleaning, and which then removes them from clothes once the cleaning is complete. In commercial laundries, the technology has been proven to reduce water by up to 80%, energy by 50% and detergent by 50%.

Posting its financial results for the year to July 31, Xeros' income increased to £315,000, up from £65,000 for the previous year, largely driven by progress in the US. Pre-tax losses were up from £3.4m to £6.6m as the firm accelerates costs on R&D programmes alongside the working capital and start-up costs.

Admitted to the AIM stock exchange in March, Xeros is targeting commercial laundries and hotel industry for their in-house laundry operations. Unsurprising given that the global laundry industry is worth $100 billion per annum. In the US, where the scarcity of water is a key issue in many states, early adopters of the ground-breaking system include hotels representing four of the five largest hotel groups in the world.

The number of installed and committed machines in the US stood at 37 at the end of July with seven in Europe. Xeros believes that the combined total will exceed 80 by the end of the calendar year. The report added that the roll-out had been slower than anticipated due to the time it takes larger operators to approve new practices but believes the "flagship" installations will lead to validations and endorsement that will act as a foundation for a wider rollout in the commercial industry.

Other highlights in the year include US utilities companies recognising the potential of the Xeros system and offering financial incentives and rebates to install the technology and reduce consumption. €700,000 was also secured in the form of a CIP Eco-innovation grant to support early take up by European commercial laundries of the Xeros system.

The company continues to innovate with the Rotherham-based R&D department continuing to explore "further multi-dimensional benefits through bead innovation and wash methods that go beyond this basic superior cleaning/savings promise." Learning lessons from the US, prototypes have been developed for 15kg and 8kg machines that will be added to the commercial laundry portfolio.

The company is also developing a prototype for the domestic laundry market, working on more machine prototypes for accelerated testing. The aim is to partner with a major machine manufacturer who will produce and distribute Xeros bead-consuming washing machines.

Research in the US saw the bead cleaning concept compared to a leading brand conventional washing machine, with the results declared "outstanding". Xeros intends to select its launch partners and move to in-home machine testing in 2015.

The company is also looking at applications beyond laundry and is targeting the processing of leather in the $65 billion global leather industry. Tannery trials could begin in 2015. Most recently, Xeros sold its first machine to the US military who will evaluate Xeros technology for a number of classified applications.

John Samuel, Chairman of Xeros Technology Group, said: "I am delighted with the progress we have made as we announce our first full year results as a listed company, following our successful admission to AIM in March 2014.

"The company continues to make great progress, with particular traction in the US, a priority market for Xeros, where our technology provides a solution to a very real crisis in energy and water consumption, delivering superior results and efficiencies to conventional washing.

"In 2015, we will be focused on extending our installed base in the US with existing and new customers, geographic expansion in Commercial Laundry, product development and continued innovation in bead cleaning."

Xeros website

Images: Xeros

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News: Hydrogen car heading to Rotherham

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One of the first Hyundai ix35 fuel cell vehicles to arrive in the UK is on its way to Rotherham as part of a showcase project for the world's first series-production hydrogen-fuelled car.

ITM Power, the Sheffield-based energy storage and clean fuel company, has taken delivery of one of only six UK-bound ix35s, as they are building innovative hydrogen refuelling stations across the country.

The vehicle refueller for the Hyudai will be located on the Advanced Manufacturing Park (AMP) in Rotherham where the hydrogen station will form a Hydrogen Mini Grid (HMG) facility consisting of a 225kW wind turbine and an ITM Power electrolyser and 220kg of hydrogen storage, enough to refuel 40 fuel cell vehicles. This approach allows the hydrogen to be produced on site, from just electricity and water, resulting in the Hyundai ix35 vehicle running on the cleanest hydrogen fuel available.

To support the desire for the Waverley site to be at the forefront of ultra-low carbon vehicle technologies, Rotherham Council is leading on a £100,000 project to secure one of the hydrogen fuel cell electric vehicles (HFC-EV) manufactured by Hyundai. The vehicle will be made available to a range of organisations across South Yorkshire over a period of four years to demonstrate the applicability of the technology across as wide a variety of applications as possible. During this period it is hoped that the market price of HFC-EVs will decrease as production volumes increase and hydrogen fuel becomes more widely available.

Hyundai's ix35 Fuel Cell emits only water from its exhaust and is fitted with a 100 kW (136 ps) electric motor, allowing it to reach a maximum speed of 99mph with a 0-to-62mph time of 12.5 seconds. A pair of hydrogen tanks, located between the vehicle's rear wheels, gives it a range of 369 miles, meaning that a round trip to London would require just one refuelling.

Graham Cooley, CEO, ITM Power PLC, said: "We are delighted to be one of the first to run a fuel cell vehicle on the roads in the UK. This move helps to highlight that the motor manufactures are serious about rolling these vehicles out, which in turn signals the growing demand for hydrogen refuelling stations."

Tom Finnegan-Smith, transportation and highways design manager for Rotherham Borough Council, added: "Being one of the first regions within the UK to have a fuel cell vehicle is very exciting. The Council is an enthusiastic supporter of hydrogen as a clean fuel solution for South Yorkshire and we will utilise the opportunity to showcase the vehicle and the refuelling station to neighbouring districts."

Tony Whitehorn, president and CEO of Hyundai Motor UK, added: "Making the first UK customer deliveries of hydrogen-powered cars is a huge landmark for the industry. Hyundai is the first company in the world to start series-production of a fuel cell vehicle and is committed to rolling-out this technology in line with government plans to grow the refuelling infrastructure."

ITM Power website

Images: Hyundai

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