Clearview National March 2017 - Issue 184 | Page 100

BUSINESSNEWS

Optimism Rising

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UK MANUFACTURERS are more optimistic about their business situation and exporting prospects , while reporting strong growth in domestic orders over the previous quarter , according to the latest quarterly CBI Industrial Trends Survey .
The survey of 461 manufacturers reveals that the volume of domestic orders rose at the fastest pace since July 2014 in the three months to January , while export orders continued to grow , but below expectations . Headcount edged higher having dipped for the first time in more than six years in the last quarter .
Demand is expected to grow strongly over the next three months , driven by both domestic and export orders , while production is also expected to advance briskly – expectations for output growth are also the highest since July 2014 .
Concerns persist over access to skilled labour , however , with almost a quarter of respondents – the highest since July 1989 – observing that skilled labour availability could limit output over the next few months .
Sterling ’ s depreciation continues to impact prices as unit costs rose at their highest pace in over five years , amid expectations that this will intensify over the next quarter . But on the flip side , manufacturers continue to see the competitive benefits arising from sterling ’ s weakness , reporting a further strong rise in competitiveness within the EU and putting the rise in competitiveness in non-EU markets at a survey high .
The pick-up in output has meanwhile eaten into spare capacity , pushing the proportion of firms citing capacity expansion as an investment driver to a survey high . Firms are planning to increase investment in product & process innovation and training & retraining over the year ahead at the fastest pace in two years , while investment plans for building and plant & machinery have moved back above their long-run averages .
Rain Newton-Smith , CBI Chief Economist , said : “ UK manufacturers are firing on all cylinders right now with domestic orders up and optimism rising at the fastest pace in two years .
“ The weaker Pound is driving export optimism for the year ahead , but is having a detrimental impact on costs for firms and ultimately for consumers .
“ The new Industrial Strategy can support our manufacturing base by offering a shared longterm vision for the key sectors and regions of the economy and evidence-based plans for government and business collaboration .”

Golden opportunity to go Purple

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UK BUSINESS HAS A GOLDEN opportunity to access the £ 212bn annual disability market through the Government ’ s Disability Confident scheme , according to disability equality champion Mike Adams OBE .
The Chief Executive of not-for-profit organisation Purple says the Government ’ s re-launch of its Disability Confident scheme is providing businesses with the opportunity to relook at disability differently and help them access the disability market , or ‘ Purple Pound ’, which is worth £ 212bn a year to the UK .
The Disability Confident scheme aims to support the government ’ s overall strategy to reduce the disability employment gap . It has been running since 2013 and was re-launched by the minister for disabled people Penny Mordaunt MP last November .
However , ahead of the re-launch Purple carried out research revealing almost a third of businesses ( 29 per cent ) are uncertain about how to become involved in the scheme while a further 30 per cent have not yet heard of it .
Chief Executive of Purple , Mike Adams , said : “ It ’ s unacceptable that in 2016 , being disabled makes you twice as likely to live in poverty . Just 49 per cent of the UK ’ s 11.5m disabled people are currently in work , compared to 82 per cent of non-disabled people . This has a real impact on the quality of life of disabled people , as well as on the British economy , which is providing financial support
rather than receiving incoming funds through taxable earnings .
“ Business is finally starting to realise the benefits of having a diverse workforce with the ‘ Purple Pound ’ in the UK worth £ 212bn a year . The re-launch of Disability Confident is a golden opportunity for business to become Purple and access this lucrative market through inclusive employment strategies .”
Purple ’ s research previously found almost half of UK businesses ( 45 per cent ) are apprehensive about hiring someone with a disability because of fears they won ’ t be able to do the job .
It is now working with business to combat these misconceptions and develop inclusive employment strategies .
Purple also simultaneously works with disabled people offering employment support , as well as a specialist recruitment portal matching skilled disabled workers with employers . The organisation aims to help more than 20,000 disabled people to find permanent jobs over the next decade .
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