Business Networx Issue 29

BUSINESS NETWORX

GATESHEAD COLLEGE NAMED FINALIST IN NATIONAL CONSTRUCTION AWARDS

W W W. T E A M V A L L E Y P U B L I C A T I O N S . C O . U K I S S U E # 2 9 • O C TO B E R / N OV E M B E R 2 0 1 7

PETARD group profit increase team valley firm’s strong trading results

Tourism increase tle for Newcas Gateshead

T h e L e g a li t ies of Employing A p p r e n t i c es

In a ss o c i at i o n w i th :

T H E T E A M V A L L E Y T R A D I N G E S TAT E ’ S N U M B E R O N E B U S I N E S S F O C U S M A G A Z I N E

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Economy

ICE North East pens Northern Powerhouse infrastructure recommendations The Institution of Civil Engineers (ICE) North East has called for a clear strategy on the delivery of high-performing infrastructure that will unlock the North’s potential, following its publication of ICE’s Delivering a Northern Infrastructure Strategy.

The report, which was co-ordinated by ICE and delivered by an expert steering group comprised of engineers, businesses and local government organisations from across the North, also highlights the need to align this strategy alongside regional co-ordination and an ambitious investment programme.

The strategy was given to the metro mayors for each Northern area.

In the report, ICE recommends: 1. The creation of a Council of the North with representation of LEPs alongside metro mayors and leaders of local authorities to oversee the delivery of the Northern Powerhouse vision.

2. A northern infrastructure strategy to ensure the North’s balanced growth and improved productivity.

3. A northern spatial plan to guide and co-ordinate integrated infrastructure development.

4. The provision of coordinated lifelong learning and development to ensure the North has the future skills required by employers and to deliver its infrastructure investment programme.

“Transport for the North should champion the adoption of new technologies”

5. To kick-start the North’s economic resurgence, central Government should immediately increase the level of infrastructure investment and empower Transport for the North to determine transport investment priorities.

11. The North must acquire and maintain best in class digital infrastructure with complete geographic coverage to unlock economic growth and enhance the delivery of infrastructure services across the region.

6. So the North can, over time, fund growth from its own resources, central Government should devolve sufficient revenue raising and borrowing powers.

12. To address the North’s housing shortage local authorities should put in place standard approaches to assessing need and have access to flexible funding arrangements for new developments.

7. The North must adopt a more proactive and ambitious approach to encouraging private investment.

8. The North should fully develop its specialisations in renewables and new energy technologies to maintain its position as the country’s energy powerhouse.

9. Transport for the North must develop programmes that enhance network integration and connectivity, enable economic development and ensure that the region is ready for the arrival of HS2.

10. Transport for the North should champion the adoption of new technologies in both passenger and freight transport, including the digital railway, autonomous vehicles and mobility as a service.

Reaction ICE North East regional director Penny Marshall said: “This report and the recommendations included are aimed at helping the Northern Powerhouse become not just a national success story but a global leader in economic productivity and quality of life.

“High performing infrastructure is one of the most important elements in providing the foundations for economic prosperity.

“Using local knowledge and local expertise ICE’s report and recommendations offer ways to help deliver an infrastructure with the capacity to increase productivity in the region.”

Chair of the ICE Northern Powerhouse steering group, Richard Threlfall of KPMG said: “My vision for the Northern Powerhouse is a region that has the ambition, the confidence and the capability to wield both economic power and presence on the world stage.

“We need to take control of our own destiny, set up the institutions to coordinate a one-North approach and invest in best in class infrastructure and skills.

“The North was once the Powerhouse of the World. It can be again. But only if we believe in it and work together to make it happen.”

Source: bdaily.co.uk

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Entrepreneurship

‘Amazing achievement’ hailed as Transmit Start-Ups reaches double milestone Gateshead-based Transmit Start-Ups has hit a major milestone after delivering over £20,000,000 worth of start-up loans to 2,000 entrepreneurs across the UK. The company has completed four years as a major North East delivery partner for the government’s Start-Up Loans scheme and has expanded operations into Scotland, Northern Ireland and Wales in the last 18 months to cater for the growing demand on its services.

The 2,000th business to benefit is The Dukes gastro pub in Bedfordshire (right), opened by sister team Jo Carter and Sarah Smith. Formally an Indian restaurant and takeaway, Jo and Sarah restored the 260-year-old thatched building back to a village public house after it lay empty for two years following the closure of Shaanti Restaurant in 2014.

44 percent of Transmit Start-Ups loan recipients in the North East region have started their own businesses from full-time employment, while 15 per cent are starting their own business after being unemployed for a period of time.

Richard Myers, commercial director of Transmit Start-Ups, explained: “The Dukes and Jo and Sarah are the perfect example of the kind of entrepreneurs and business ideas we support.

“You don’t need to be an inventor or the next tech guru to call yourself an entrepreneur. We help those looking to start businesses across all industries.

“From app ideas to a local coffee shop, it’s about supporting entrepreneurs to get their ideas off the ground - not just through finance, but through support and mentoring to help entrepreneurs form a clear business plan that provides the foundations needed to give them the best chance of success.

“To have helped more than 2,000 entrepreneurs start their own businesses under the Start Up Loans programme is an amazing achievement.

“Since we expanded our Gatesheadbased team and opened our new offices in Scotland we’ve been receiving more applications than ever.”

Source: www.bdaily.co.uk

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“To have helped more than 2,000 entrepreneurs start their own businesses under the Start Up Loans programme is an amazing achievement.”

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Industrial

SES secures £3m Akzo Nobel work as part of new cryogenic facility in Gateshead SES Engineering Services (SES), the Wates owned engineering firm, has secured a multi-million pound contract to provide mechanical and electrical (M&E) installations at AkzoNobel’s new cryogenic facility in Gateshead.

The work will see SES work with the Dutch multinational on their new £10.7m cryogenic facility warehouse and protective coatings applications and testing laboratory as part of a contract worth £3m to the firm.

The engineering business will also work on the refurbishment of the existing Expert Capability Group (ECG) building to create new wet paint laboratories and office space for up to 90 people, working closely with construction, infrastructure and support services company, Robertson CE Ltd. Steve Joyce, SES’ Business Director North, said: “This is a significant project for the region and one which has major implications for the coatings industry, so we are delighted to have been appointed.

“Our approach when undertaking a project of this type has synergy with the client’s process-driven approach to manufacturing.

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“I believe this, coupled with our many years of working with major contractors such as Robertson CE will ensure we successfully deliver the sophisticated building services necessary to meet the needs of the client particularly in relation to the facility’s R&D function.”

Garry Hope, Regional Managing Director, Robertson CE Ltd, added: “We are delighted to be able to support Akzo Nobel in creating a new facility which will not only provide the company with a state-of-the-art facility for its present operations but also create extra capacity for future expansion.

“Working alongside SES, which is a leader in building services engineering gives me the greatest of confidence and I look forward to their arrival on site later this month.”

The state-of-the-art facility is due to be completed in mid-2018.

This is a significant project for the region and one which has major implications for the coatings industry

Sourced from www.bdaily.co.uk.

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News

Pretax profits surpass the half million pound mark for Team Valley’s Petards Petards Group, the developer of advanced security and surveillance systems, has reported pretax profits of £503k, a 6% increase on last year’s £475k total.

After releasing its interim results for the six months to 30 June 2017, the firm also revealed a total revenue rise of 8%, reaching the £8m milestone up on last year’s £7.4m.

The strong set of trading results stem from the group’s revenues generated from its eyeTrain products, which continued to grow and accounted for almost two thirds of Petards’ revenues.

The company’s eyeTrain technology provides products for on-board train video and sensing solutions, which are installed on thousands of rail vehicles around the globe Commenting on the current outlook, Raschid Abdullah, Chairman, said: “The results for the first half of the year and a strong order book that includes almost £8m of revenues scheduled for delivery in the second half of 2017 and nearly £11m for 2018 providing good support for the current year and a foundation for 2018.

“That growth in product development and projects has been financed from its own resources without recourse to shareholders or debt demonstrates the strength of the Group.

“Against this backdrop and on-going customer discussions for new projects, the Board continues to be confident about the Group’s future prospects.” www.bdaily.co.uk

The Legalities of Employing Apprentices Contractual arrangements Apprentices should be engaged on an Apprenticeship Agreement, which complies with the Apprenticeships, Skills, Children and Learning Act 2009.

An apprentice engaged via an Apprenticeship Agreement is known as a ‘statutory’ apprentice.

Employers often make the mistake of using an ordinary contract of employment and stating the job title as Apprentice. This creates a ‘common law’ apprentice and gives many enhanced rights.

Terminating apprenticeships early A ‘statutory’ apprentice can generally be dismissed in the same manner as an ordinary employee, However, a ‘common law’ apprentice has far greater protection.

‘Common law’ apprenticeships cannot be terminated early except for in cases of extreme misconduct which makes it impossible to carry on teaching the apprentice.

The natural end of the Apprenticeship If there are no vacancies then the apprentice needs to be advised that the apprenticeship is coming to an end.

A leaving date must be within a month of the end of the apprenticeship.

If there is a vacancy, then the apprentice can be offered the role on an ordinary contract of employment.

If your apprentice has been ‘common law’, then the new contract of employment offered must recognise continuous service, and no probation period is applicable.

If your apprentice has been a ‘statutory’ apprentice, then the new contract of employment starts from a new date, and the previous service under an Apprenticeship Agreement is not included as continuous service. A probation period can also be applied.

Conclusion The Apprenticeship Agreement is recommended for employers. Training and apprenticeship providers do not advise on this area and do not provide this documentation, so please contact us to ensure your business is protected and operating correctly.

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Employment reaches another record high

Nationwide

Official employment figures recently released show that there are now a record number of people in work, the highest level since records began in 1971.

The figures, released by the Office of National Statistics, also show that unemployment is at 4.3%, the lowest since 1975. Employment rate at record high of 75.3%.

The increase is due to people of all ages finding work, with employment levels of those over 50 in work reaching a record high, youth unemployment falling by over 40% since 2010 and the proportion of young people who are unemployed and not in full time education dropping below 5% for the first time.

These record figures have been driven by increases in full-time and permanent work. In the last year there has been a shift from part-time to fulltime employment, 20,000 fewer people relying on zero hour contracts and fulltime and permanent employment are both at a record high.

Minister for Employment, Damian Hinds said: “The strength of the economy is helping people of all ages find work, from someone starting their first job after leaving education, to those who might be starting a new career later in life.

“Britain’s employment success is largely about a growth in full-time and permanent work, as employers invest in Britain and offer quality job opportunities that put more money into people’s pockets.

“But there is more to do, and we will continue to build on our achievements through our employment programmes and the work of Jobcentre Plus.

The Great British Broadband Boost Up to £645m to become available to help take superfast speeds to hardest to reach places in the UK The success of the Government’s superfast broadband rollout programme means that a total of up to £645m is to be made available over the coming years to help take superfast broadband to the most remote and hard to reach places in the UK, it was announced recently by Minister for Digital Matt Hancock.

Together with other planned delivery, it is estimated that this could see more than 900,000 extra UK homes and businesses gain access to superfast speeds after the end of this year, taking superfast coverage to 98 per cent of the nation over the next few years.

Minister for Digital Matt Hancock said: We have now brought superfast broadband to almost 94 per cent of UK homes and businesses, and we are reaching thousands more every week. We are on track to reach 95 per cent by the end of the year, but we know there’s still more to do.

The employment rate is at a record high of 75.3% with a record 32.14 million people in work.

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The money that is now being returned to the programme for reinvestment will help us reach that final 5 per cent, and is all part of our commitment to make sure that 100 per cent of the UK can get affordable, fast and reliable broadband by 2020.

The Government subsidised rollout has now reached more than 4.5 million premises around the UK, and new figures show more

than 2 million homes and businesses have now signed up for superfast connections in areas where the Government has invested in broadband.

A clause in the Government’s contracts requires suppliers to recycle funding when people take up superfast connections installed as part of the programme.

Research published last month shows this take up has been higher than expected and as a result, the major supplier, BT, has set aside £465 million to extend coverage over the full lifetime of the contracts - up from £292m in December last year - in nations and regions around the UK. Combined with project efficiencies of £180m resulting from successful management and delivery of the programme, there will be up to £645 million available for local authorities to re-invest and take superfast speeds to those homes and businesses not already covered by existing plans. Of this, over £200m has already been committed to projects to extend superfast broadband.

Superfast connections of 24Mbps is ideal for many small businesses, allowing bosses to run websites and buy and sell online.

This latest announcement comes hot on the heels of recent Government action to improve broadband speeds in the most remote places in the UK.

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Education

Gateshead College Named Finalist In National Construction Talent Awards

A North East college has been recognised for its role in a pioneering initiative designed to boost the construction industry skills base.

Gateshead College, which launched PlanBEE (Built Environment Education) last year with Ryder Architecture, has been selected as a finalist in the Apprenticeship Scheme of the Year category of the 2017 Construction Investing in Talent Awards.

Run by trade publication Construction News, the awards reward individuals and teams who work hard to attract and retain the best talent in the industry.

The college will now go head to head with five other organisations in the grand final, which takes place at the Grosvenor House Hotel in London on November 15.

Competition judges were particularly impressed by the college’s role in PlanBEE, a powerful alliance of architects, designers, contractors and engineering specialists. Gateshead College and Ryder teamed up with this network of companies to develop a unique, flexible degreelevel apprenticeship designed to attract and retain the brightest new talent in the region, plug skills gaps, and create a more flexible workforce capable of working across various construction disciplines.

The first group of students enrolled onto the programme in September 2016 and all have been retained. A second cohort started this month.

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Rather than follow a traditional training model where students complete their qualifications while working in one company, PlanBEE follows an apprenticeship model and enables trainees to work across several companies so that they gain a more rounded understanding of the built environment industry.

The scheme has also been shortlisted in the Skills Initiative of the Year category in this year’s Building Awards, entered by Ryder Architecture.

Chris Toon, deputy principal of Gateshead College, said: “We are delighted to reach the final of a national competition in recognition of our work on PlanBEE, which is tailored for and led by the specific needs of industry. We work closely with the sector to ensure that the training we offer provides companies with vital skills that enable them to become more productive and competitive, both now and in the long run.”

Helen Whitfield, communications director at Ryder Architecture, said: “This is a pioneering training initiative which gives people the chance to learn new skills across different disciplines. It is a direct response to the industry’s requirement for greater convergence in the skills

traditionally sat within the disciplines of architecture, urban planning, engineering, surveying and landscaping.”

A key aim of PlanBEE is to help people from a diverse range of backgrounds forge a long-term career in construction – also one of the principal criteria for the Apprenticeship Scheme of the Year Award.

Tom Fitzpatrick, editor of Construction News, said: “Our shortlisted companies are overcoming Brexit uncertainty by striving to attract and retain the best talent in the UK construction industry. “Each company is going further than ever before to make construction an inclusive industry and pushing the boundaries on their outreach initiatives, recruitment and as the best places to work. “Our expert judges from the worlds of construction, retail, government and transport will now have the difficult task of choosing this year’s winners.and trusted solutions, which add real value and ROI.”

Sourced from www.bdaily.co.uk.

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To u r i s m

Latest figures show continued tourist increases for NewcastleGateshead

Tourists visiting NewcastleGateshead last year injected £1.46bn into the local economy, an increase of 3% from 2015, according to the latest figures.

2016 saw a 3% increase in visitor numbers to NewcastleGateshead culminating in a total of 17.38 million, as tourism continues to be the North East’s fourth largest sector.

Sarah Stewart, chief executive at destination management and marketing organisation, NewcastleGateshead Initiative, commented on the impressive figures.

Sarah said: “It is great news that the number of visitors has continued to increase, as the breadth and variety of what NewcastleGateshead has to offer also grows.

“This increase played an important part in the opening of over 40 new venues in NewcastleGateshead in 2016 including Live Works, Grey’s Quarter and the new Premier Inn set within the beautiful Art Deco Co-op

building, alongside the hosting of major events such as Magic Weekend.

“These events and experiences alongside our ever-evolving food, drink and nightlife offering, which continues to deliver attractive new venues, combine to provide a desirable year-round offer for visitors to NewcastleGateshead.

“We can see evidence of this with over 5 million people coming through Newcastle Airport and The Port of Tyne in 2016, along with the number of hotel rooms sold increasing 5% alongside the growth in a new accommodation offer from Airbnb.”

Estimated using the Scarborough Tourism Economic Activity Model (STEAM), the figures show a significant increase in the value and volume of day visitors with 15.44 million injecting

£994 million into the economy, all of which represents a 3% increase on 2015.

The number of overnight stays in 2016 totalled 4.72 million nights, contributing £475m to the local economy.

The tourism industry in NewcastleGateshead continues to be a significant employer with 14,622 people directly employed in 2016, when considering indirect employment in the supply chain this figure rises to 18,580, a 2% increase from 2015.

Early figures for 2017 see a continuation of the upward trend with the number of rooms sold up by 4% and 977,000 people have already visited paid attractions (+2%).

New venue openings in NewcastleGateshead so far this year include; Colonel Porter’s and YOLO

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Townhouse, Vietnamese café VietCafe and the quayside restaurant Dobson and Parnell.

Major events coming up in NewcastleGateshead that will attract even more visitors to the area include; Juice Festival, a festival for families and under-25s taking place during October half term and Freedom City 2017, a cultural programme commemorating the 50th anniversary of Martin Luther King’s receiving an honorary degree from Newcastle University.

In 2018 NewcastleGateshead will also host the Great Exhibition of the North, the biggest event in England next year with an estimated audience of 3 million people.

Sarah added: “While visitor numbers were impressive last year, 2017 has already seen figures increase and we have several events coming up that will continue to attract even more visitors to NewcastleGateshead.

“The Great Exhibition of the North in particular promises to be an incredible event for the region and one that everybody can get behind and support.”

Source: bdaily.co.uk

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Entertainment

Gateshead gears up for Panto Spectacular Custom-built venue planned for Gateshead International Stadium Newcastle Panto Company has announced a new venue for 2017, a custom-built indoor theatre at Gateshead International Stadium.

In a new partnership with Gateshead Council, the popular panto company will be delivering its unique brand of Geordie pantomime from a brand new home within Gateshead International Stadium, where they are creating their very own Indoor Stadium Theatre.

NPC’s roots trace back 22 years to 1995, when the late and much loved comedian, musician and actor Brendan Healy, alongside fellow comedians and musical performing duo Maxie & Mitch, created a theatre company to bring traditional panto at affordable prices to audiences in the North East, establishing itself as the resident pantomime company at The Tyne Theatre & Opera House.

“Since the initial announcement, we have been inundated with bookings from families and groups who make a regular trip to see our pantomime every year, many telling us how we form an integral part of their annual Christmas tradition.

And that of course includes our ‘world famous’ signature rendition of ‘The Twelve Days of Christmas’.

“With a new modern venue and facilities, served by excellent transport links and its own Metro station, together with our extensive fan base, we’re already set for a bumper Christmas with some shows already sold out!”

Gateshead Council’s Cabinet Member for Culture, Sport and Leisure, Councillor John McElroy added: “Gateshead International Stadium has a reputation for bringing interesting and different events to the borough and having a panto here for the very first time is a great addition to that.

“I’m sure people in Gateshead will be delighted at the prospect of having panto right on their door step, and with such easy public transport access available, I’m sure we’ll also draw crowds from further afield to ensure this panto season is a sure fire hit!”

Sleeping Beauty at Gateshead International Stadium Indoor Stadium Theatre, Gateshead International Stadium, 8 - 30 December 2017

This residency ended in 2016, and loyal fans of the panto have been waiting with baited breath to find out where their new venue would be for Christmas 2017.

Maxie Peters, the company’s writer and director who is once again starring as the dame in this year’s production, Sleeping Beauty, is thrilled that NPC has secured such a prestigious local venue. The new indoor theatre will accommodate 800 people per show.

Maxie said: “The cast and crew of NPC have been absolutely humbled by the magnitude of support we’ve received since news regarding this year’s panto was announced across our social media platforms. The whole panto team is delighted to have secured such a fantastic new venue, and we’re very much looking forward to working with Gateshead Council in this new and exciting venture.

“We’re also pleased to announce partnerships with Metro Radio, and intu Metrocentre whose ongoing support will help NPC to reach wider audiences, going forward. Now that we have found a new home we’ve already scheduled next year’s pantomime, which will be the heartwarming tale of Cinderella.

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(Left to right) Dottie Stottie (Bob Stott) Prince Berb of Bedlington (James Hedley) Queen Bumble (Christina Dawson) Princess Aurora (Emily Swan) Lottie Stottie (Maxie Peters).

Tickets www.ticketsource.co.uk/newcastlepanto Adults £22 Concessions £20.

Groups discounted packages available Youth groups £12 (1 free ticket with every 10 purchased) Schools £10 per ticket with free transport included Box Office: 0191 718 5440 Email: bookings@newcastlepanto.co.uk Facebook: www.facebook.com/NewcastlePantoLtd Twitter: https://twitter.com/newcastlepanto

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Engineering

North East hailed as ‘world-leader in offshore and subsea technology’ A new audit of the offshore renewable energy industry in the North of England and Scotland has revealed the strong contribution the areas contribute to the UK’s position as a global leader in innovation in offshore renewable energy.

The report highlights the area’s world-class research in the field of offshore renewable energy, the strong supply chain, and the many innovation programmes and strong collaborations between industry and academia.

The Offshore Renewable Energy Science and Innovation Audit (SIA) was one of eight audits commissioned

by Government to set out the UK’s strengths in key areas.

Enterprise Partnerships and Durham, Liverpool and Hull Universities.

The North East Local Enterprise Partnership (LEP) was among those involved in the project. The subsea and offshore sector has been identified as one of four key areas of opportunity in its Strategic Economic Plan.

Andrew Hodgson, North East LEP chair, said: “The SIA was a fantastic collaboration between the organisations that came together to produce this important report.

The audits help regions to map their research and innovation strengths and identify areas of potential global competitive advantage.

“The North East is a world-leader in offshore and subsea technology. The region is one of six nationally designated Centres for Offshore Renewables Engineering.

This SIA focused on the international competitiveness of the research and innovation activities in Northern England and Scotland in offshore renewable energy, the future needs in innovation and the skilled workforce in the sector.

“We’re delighted to have been a part of the audit, which has highlighted the globally-significant contribution the North and Scotland make to the UK through our strong offshore sector.”

The audit looked at the offshore renewable energy sector at major ports in the North East, Tees Valley, Humber and Liverpool local enterprise partnership areas and Scotland.

Business Minister Lord Prior commented: “The Science and Innovation Audits we are publishing highlight the innovative strengths in regions across the UK and the significant growth and investment opportunities they present.

Led by Newcastle University, the project saw collaboration between Scottish Enterprise, the Offshore Renewable Energy (ORE) Catapult, four Local

“Together with our record investment of an additional £4.7 billion for research and development to 2020/21, we are working closely with regional businesses and

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partners to ensure the ambitions set out in these reports are delivered to maintain our status as a science powerhouse.”

Professor Nick Wright, PVC Innovation and Business, Newcastle University, added: “The SIA on offshore energy has confirmed that the North of England and Scotland together constitute a world-class cluster of activities in this crucial field.

“It was a great pleasure to see the wonderful progress being made across the board from offshore wind to wave and tidal energies and also see the future potential for this region.

“The report highlights some major opportunities for the cluster in terms of new technologies and we look forward to working with the Government to drive those forward.”

Source: bdaily.co.uk

“The region is one of six nationally designated Centres for Offshore Renewables Engineering.

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