Archive for June, 2009

NEW VISION MAN FACES TOUGH TIME AHEAD

Friday, June 26th, 2009

The recently re-vamped Preston Vision Board has appointed Eliot Lewis-Ward as its new Chief Executive.

The biggest immediate challenge he faces is that of the cynicism that is now widespread across the local business community about the ability (or rather lack of it) of the powers that be to deliver the major plans that he has now been charged with delivering.

In particular, there is a growing sense among business leaders that the £700 million city centre regeneration scheme will not happen. Preston City Council Leader Ken Hudson inadvertently added to the pessimism surrounding the Tithebarn project when he admitted last week that the authority was unable to put a date on when the scheme would start. This after almost a decade of planning!

Fortunately, Lewis-Ward has experience of dealing with cynics, having worked in Liverpool for a number of years. There too, promises were made, and often broken, over a period of many years.

With the catalyst that was the European Capital of Culture year, the city finally delivered a good number of developments that have transformed the place.

Let us hope that the appointment of a new Vision Chief and the forthcoming Preston Guild, can give this city a similar push in the right direction.

BUDGET COMMENT

Friday, June 12th, 2009

“The doubling of the Capital Allowance to 40 per cent will enable businesses to make capital investments, which is a very positive step, and the investment into a ‘communications revolution’ to expand broadband and wireless internet into communities across the UK is particularly welcome. There are still areas of the North West that don’t have this access.

“I would criticize the 50 per cent tax levy on people earning over £150,000 a year. I think that potentially stifles innovation and goes against the promises New Labour made when it first came to power. Tony Blair said we will not become the party of envy again.

“If we face facts, anybody with a good accountant will not pay the 50 per cent rate anyway. The whole idea is putting a stop to entrepreneurialism.

“The announcements on education and training are to be welcomed. The £500 million to kick-start building projects and new homes, although welcome, is not as effective for the property industry as abolishing the empty property tax would have been.

“Overall, business will be underwhelmed with the budget, and have little confidence in the Chancellor’s projections and future growth forecasts, given his recent track record.”

THAT WAS THE WEEK THAT WAS…

Friday, June 12th, 2009

The second annual Lancashire Business Week has proved a great success for Downtown Preston. We have attracted almost three hundred people to the various seminars and networking events that we hosted; organised presentations from some of the leading professionals and decision makers from across the region; and had a bloody good time doing it!

It is always good to catch up with the Chief Executive of Manchester City Council Sir Howard Bernstein. His contribution to our business lunch on Wednesday was first class, and he gave an excellent description of how he and his colleagues have transformed Manchester into a world class city – and indeed city-region.

There are many lessons to be learnt from our Mancunian neighbours, but surely the main one is their ability to come together in a spirit of co-operation on the big strategic developments across Greater Manchester. If only Lancashire could work across boundaries as effectively. Sir Howard’s three ingredients for success? Leadership, partnership and vision.

Moore & Smalley partner David Gill had kicked off the week by unveiling the results of our annual Business Survey. Among the highlights was the belief among the county’s business community that we will be out of recession within the next two years. All the results can be viewed at www.lancashirebusinesssurvey.co.uk

Business Link Managing Director Peter Watson and his colleague Gaynor Dykes offered a comprehensive guide to the business support available through their organisation, whilst the Chief Executive of Enterprise Ventures, Jonathan Diggines, reminded us of how companies can grow through equity finance during his extremely entertaining session on Thursday.

Highlight of the week for me though was the debate about the future of football and the beautiful games not so beautiful financial state. Professor Tom Cannon of Liverpool University, and Begbies Traynor Partner Dave Acland made a robust case for greater regulation of the football industry, and predicted that a Premiership club would go bust within the next eighteen months. No club was actually named, but their analysis led many to the conclusion that Newcastle United and West Ham face very challenging times.

TORIES FAIL TO MAKE REAL BREAKTHROUGH

Friday, June 12th, 2009

David Cameron was in jubilant mood when he visited his Tory troops in Preston last week, who were celebrating taking control of Lancashire County Council for the first time in almost thirty years.

However, BNP success, on the local and European stage, alongside Labour’s week of turmoil, somewhat masked The Conservative Party’s relatively poor electoral performance.

Given the Governments current crisis, and where we are in the parliamentary cycle, Team Cameron will be concerned that they were unable to poll more than 28 per cent of the national vote.

At this stage of the game, they need to be pulling in 40 per cent to guarantee an election win in 2010.

Of course Tory support was affected by the MP’s expenses scandal. But, so too was Labour’s.

Certainly, the poor Conservative showing did not go unnoticed by backbench Labour MP’s who, on the Monday after the election results had been revealed, were pledging their loyalty to Gordon Brown with renewed hope that they may, after all, have a fighting chance of holding onto their seats if a General Election can be delayed until next spring.

And the Conservatives took another hit this week, when Shadow Health Minister Andrew Lansley let slip that they planned public spending cuts of ten per cent, once again fuelling the argument that the more the Tories talk policy, the less attractive a proposition they become.
The election results, and the ministerial meltdown that surrounded the party, ought to have meant that Labour was being read its last rites by now. However, a week is a long time in politics, and the past seven days have not been great for David Cameron.

Brown, and Labour, live to fight another day.

COME ON YOU WHITES!

Friday, June 12th, 2009

About eighteen months ago, one of DPIB’s corporate sponsors, Moore & Smalley, ran a poll asking ‘Would Premiership football for PNE make any difference to business in Preston?’

The answer came back a big fat NO, with 80% or so of businesses that responded to their question saying that it would make no difference at all.

I could not disagree with them more.

Aside from the increased number of visitors the city would attract when PNE were hosting a home fixture, bringing spin offs for local bars, restaurants and hotels – not to mention a much needed boost to visitor numbers for the excellent national football museum – such is the media coverage of Premiership football nowadays all around the globe, that the Preston brand would get a marketing boom that would be worth millions.

The more recognition Preston gets, the more local business can trade on the name.

Across the North West there are firms who maximise the opportunity of having a Premier League football club on their doorstep. Not just in Manchester and Liverpool, but in Bolton and Blackburn too.

So, not only for football reasons, but for business too, we should all be hoping and praying that PNE can sneak into the Play Off’s this weekend.

Good luck to Alan Irvine and his team.