Chamber: Ministers must act to inspire growth

More needs to be done to help the UK economy to grow after new figures show that it continues to ‘flatline’.

The latest GDP figures from the Office of National statistics report zero growth in February and are in line with forecasts that the UK economy will shrink by 0.3 per cent this year.

Northamptonshire Chamber of Commerce has called on ministers to act to tackle the high energy prices, recruitment challenges and inflation - issues that are holding business back. Its parent body the British Chambers of Commerce also expects GDP to contract in 2023, a view echoed by the IMF forecast in its latest World Economic Outlook.

Sean Rose, inset, head of policy at Northamptonshire Chamber, said: “The latest figures come as no surprise and reflect the national picture that economic growth is going to remain stagnant. There are some fundamental drags on growth that are impacting businesses across all sectors, such as high energy prices, inflation and a recruitment crisis, to name but a few.”

The BCC says the business environment must improve quickly to ensure confidence does not fall back to the levels of 2022. The Budget in March delivered several positive measures but did not go far enough to accelerate growth. In particular, ministers must address issues of energy prices and the labour market.

Mr Rose said: “It is vitally important that these issues are tackled to allow companies across Northamptonshire to flourish. On top of that, we would like to see much more emphasis, support and encouragement for overseas trade as this is a massive driver for domestic, economic growth.”

He urged local businesses looking for support for their growth plans to seek advice from the Chamber.

The BCC has also called on the government to make global trade a priority. Exporters have seen major admininstrative costs as a result of the Trade and Cooperation Agreement with the EU. “The focus must now be on ensuring the new customs and paperwork arrangements work smoothly for businesses both side of the Irish Sea,” said head of research David Bharier.

Optimism among SMEs is growing but is yet to translate into improved busines conditions, he added. “It is now clear we are stuck in a prolonged period of almost no growth.”

Excited Saints march into high performance training centre

Welcome to the new High Performance Centre now being used to enhance the standard on the field and in and recruitment at Northampton Saints.

Club chairman John White and chief executive Mark Darbon were joined by captain Lewis Ludlam, director of rugby Phil Dowson and senior executives from project manager GSSllp, construction firm Warwick Burt and pHp Architects at the official opening of the club’s new training ground. The new centre adds to the facilities already at the club’s cinch Stadium in Franklin’s Gardens and will help to bring major sporting events to Northampton.

GSSllp partner Paul Vega said: “This was a great local project to be involved in. It will be a great addition to the club and will provide an indoor year-round training facility which will allow the club to train effectively on site in all weather conditions.”

Mr White said: “We know we must continue to invest in our facilities to underpin our ambition to be successful on the pitch and attract the best players in the world. We are delighted to see this project finally come to life after a huge amount of planning and effort over a long time from many different stakeholders - there is a lot of excitement around the club to begin using the facility.” The High Performance Centre will also help the club’s community engagement work, he added. Mr White also paid tribute to the work of GSS, pHp Architects, Warwick Burt and the Saints’ operations and grounds staff. “This is an extremely exciting development for everyone at the club and we cannot wait to welcome our supporters through the doors.” GSSllp were appointed as project managers and quantity surveyors on the scheme.

Business leaders in Northamptonshire are facing challenges to recruit the right level of talent and say that the problem is holding back economic growth.

The latest figures from the ONS showed that the unemployment rate has risen to 3.8 per cent at a time when the UK economy has more than one million job vacancies. The statistics are supported by data gathered in Northamptonshire Chamber of Commerce’s latest Quarterly Economic Survey. Chamber chief executive Louise Wall said businesses are rightly concerned. “We have never known a time like it where we have businesses saying that they have orders and they have the demand but they cannot get the people to fill these posts to meet that demand. This is causing a huge drag on growth both locally and nationally.

“The Chambers of Commerce has been making the case on this matter for months and know that if our economy is going to get back to growth, we must address the skills challenges here in the UK. Our Chamber is leading the Local Skills Improvement Plan, with the sole aim of putting business at the heart of the skills agenda.

“It is absolutely fundamental that we solve this problem for the long term but, equally, there is a short-term crisis that needs to be fixed.”