Search Results for: economic

September 28, 2016

UK commercial property market ‘back to normal’ after Brexit vote ⁰

by Mark Eltringham • Cities, News, Property

The UK’s commercial property market remains robust in the wake of the vote to leave the European Union, although a weaker economic outlook may see some prices dip over the next two years, ratings agency Moody’s claims in a new report. The news comes as commercial property fund Standard Life announced that it has reopened trading, which was suspended in the immediate aftermath of the Brexit vote. Moody’s said that the June 23 vote still has the potential to create significant uncertainty in the longer term, but that the fundamentals underpinning the UK commercial property market remain sound. Much will depend on the country’s broader economic prospects, Moody’s claims. If unemployment remains low and jobs growth continues, these two factors will do much to maintain demand for both domestic and commercial property although London’s market may be affected even if the national economy is robust, as firms may choose to relocate anyway.

September 27, 2016

Nearly all UK cities lagging behind European average for productivity ⁰

by Mark Eltringham • Cities, News, Property, Public Sector, Technology

The UK’s major cities are lagging behind their European competitors in terms of skills, innovation and productivity, claims a new report from the Centre for Cities think tank. In Competing with the Continent, the authors argue that the onus is on the UK to come up to speed with the 330 cities covered in the report, especially if they want to compete in the new post Brexit European landscape. However, the report notes that the UK has a number of existing, structural advantages over other countries. UK cities generate around a fifth of Europe’s total economic output and contribute more to the national economy than cities in other countries. Major British cities contribute 60 percent of national GDP, compared to just 36 percent in Germany and 32 percent in Italy. The report shows that UK cities lag behind on a range of indicators including skills, innovation and productivity and a number have an industrial mix that has more in common with cities in Eastern Europe than those in the West.

September 27, 2016

Businesses failing to look at workplace effectiveness in the right way ⁰

by Tim Oldman • Comment, Facilities management, Property, Workplace design

This month, the director-general of the Confederation of British Industry (CBI), Carolyn Fairbairn, suggested that productivity growth across all parts of the UK economy should be the number one priority for business and government. And the CBI isn’t alone in emphasising the importance of honing in on and tackling the ongoing productivity problem. According to the Organisation for Economic Co-operation and Development’s (OECD) economic forecast summary, published earlier this summer, productivity has been exceptionally weak since 2007 and doesn’t show much sign of abating nearly ten years later. Labour productivity per employee has failed to markedly rise since the global downturn and the UK is still miles behind the G7 average – that’s according to the Office for National Statistics (ONS) quarterly figures and CBI data. So, to echo Fairbairn, reviving British productivity is essential to sustain growth and living standards.

September 27, 2016

CEOs remain confident post Brexit but may consider relocating offices out of UK ⁰

by Mark Eltringham • News, Property

Despite largely voting to remain in the EU, the Brexit vote hasn’t dampened the short or long term confidence of UK CEOs. It has however raised a question mark over the UK’s ability to do business and, as a result, many are putting together contingencies including the possible relocating offices or operations, according to KPMG’s first ‘100 UK CEOs’ survey. The survey of CEOs from companies with revenues ranged between £100 million and £1bn found that, both in the short term (the next year) and the medium term (the next three years), the majority are confident about the future growth of the country, the global economy and their own businesses. However, over half believe the UK’s ability to do effective business will be hindered after leaving the EU. The majority of CEOs felt that a division in society between ‘big business’ and the general public contributed to the EU referendum result, including over a third who believed this ‘to a great extent’.

September 26, 2016

HSBC moves 300 staff into coworking space in Hong Kong ⁰

by Mark Eltringham • Coworking, Flexible working, News, Property

The idea that coworking is primarily for the self-employed, tech startups and other small firms who can’t afford permanent offices in the world’s expensive cities has been challenged with the news HSBC has moved 300 staff into a coworking space in Hong Kong, according to a report in the South China Morning Post. The bank has rented the workstations in WeWork’s space in Causeway Bay, one of the world’s most expensive districts for offices and shops. The bank has taken out a large scale corporate membership with WeWork for the 300 members of its digital and transformation team. According to the report, a spokesman from CBRE claimed that the move is less about saving money than it is with providing short term flexibility in a time of economic uncertainty. However you view that, the bank is saving as much as HK$2.45 million a month with the move (£240,000 or $320,000). The annual cost savings are estimated at HK$23,640 per person.

September 14, 2016

New alliance aims to help eradicate maternity discrimination at work ⁰

by Sara Bean • Flexible working, Legal news, News, Wellbeing, Workplace

A new alliance between leading businesses and the Equality and Human Rights Commission is being launched today to combat the level of pregnancy and maternity discrimination that affects around 390,000 pregnant women and new mothers each year. A coalition of businesses in the initiative ‘Working Forward – supporting pregnancy and maternity rights’, aims to inspire other organisations to follow their example by working to eradicate discrimination from their businesses and show employers how to attract, develop and retain women at work. The launch follows the EHRC’s recent landmark research, carried out in conjunction with the former Department from Business, Innovation and Skills which highlighted that while the majority of employers say they are firm supporters of female staff during and after pregnancy and find it easy to comply with the law, three in four (77 percent) mothers say they have had a negative or possibly discriminatory experience at work.

September 14, 2016

Study shows how a green city in the desert still has much to teach the world ⁰

by Mark Eltringham • Cities, Environment, Facilities management, Knowledge

A much publicised but occasionally troubled green city in the United Arab Emirates without light switches or water taps has much to teach people around the world about saving energy and precious resources, claims a new study from researchers at Birmingham University. With its low-rise and energy efficient buildings, smart metering, excellent public transport and extensive use of renewable energy, the 2,000 citizens of Masdar City in Abu Dhabi, are living in a place which is a ‘green’ example to city planners around the globe, claims the report. There are no light switches or water taps in Masdar City. Movement sensors control lighting and water in order to cut electricity and water consumption by 51 percent and 55 percent respectively. Masdar is a mixed use development that is the world’s first city designed to be ‘zero carbon’ and ‘zero waste’. Masdar City is a large-scale mixed use development which lies 17 kilometres south-east of the city of Abu Dhabi.

September 13, 2016

How climate change may be affecting us in more ways than we suppose ⁰

by Mark Eltringham • Company news, Facilities management, Knowledge, News, Wellbeing

Just how affected we all are by what is going on in our surroundings is confirmed by a new academic studies which links the environment to to our moods, physical wellbeing and performance. Although we are increasingly aware of the impact the working environment has on our productivity and wellbeing, the new study from researchers at Pacific Northwest National Laboratory’s Joint Global Change Research Institute suggests we are more influenced by the global environment and climate than we might suppose. The meta-analysis of over 200 papers published in Science magazine concludes that while climate change concerns are largely focussed on its long term and worldwide effects, we should also pay attention to the effects over the short term and at local level because of the impact on individuals, businesses, society and the national economy. As well as slowing the global economy by 0.25 percent each year, it also has a profound additional effect at local levels.

September 12, 2016

CoreNet Global 2016 summit to convene in Amsterdam this week ⁰

by Sara Bean • Company news, Events, Facilities management, Property, Wellbeing, Workplace, Workplace design

The Bigger Picture: Geopolitics, Economics and the Environment is the theme of this year’s CoreNet Global 2016 Summit – EMEA, (14-16 September). It will include sessions focusing on issues as diverse as Brexit, terrorism, disruptive technologies in real estate, the impact of geopolitics and economics on occupiers, sustainable buildings, the war for talent, and how the latest findings from neuroscience are contributing to workplace design. The summit, which is being held in Amsterdam, will host more than 500 registered delegates from 25 countries. Confirmed keynote speakers during the three day event include Mujtaba Rahman of the Eurasia Group, who will explore the current political and economic state of the EMEA region, and writer, businessman and futurologist Mark Stevenson, who will address the importance of agility and disruption. This year’s programme will also include a guided site tour of the Overhoeks mixed use development project. Registration details are available from the website.

September 9, 2016

Fall in demand for office space across the United Arab Emirates ⁰

by Sara Bean • Facilities management, News, Property

Redundancies in the oil and gas, finance and banking sectors have stifled demand for office space across the United Arab Emirates (UAE). Cluttons’ 2016 UAE Property Market Report expects declines of close to 5 percent in Abu Dhabi and Dubai, with Sharjah predicted to see declines of closer to 10 percent by the end of the year. With challenging economic conditions expected to persist in Abu Dhabi in the short term, the prospect of seeing a surge in take up activity remains low. Consolidation activity remains a dominant feature of the market, while some firms are taking a ‘wait and see’ approach to relocating from more secondary space, deterred by the capital expenditure associated with a move. In Dubai landlords’ are getting used to quieter conditions due to the emphasis occupiers are placing on budgets; while after six months of stability in Sharjah’s office rental market, rents are starting to falter, with two of the city’s three major office markets registering declines.

September 7, 2016

Working from home just as unproductive and frustrating as working in an office ⁰

by Mark Eltringham • Flexible working, Knowledge, News, Wellbeing, Workplace design

It’s always good to see academic research supporting ideas that would appear pretty obvious but go against a widely accepted narrative. So we should all welcome the results of a new study from researchers at the London School of Economics and Political Science, which found that the perceived benefits of working from home disappear over time for both employees and organisations when homeworking is a full-time arrangement. The report concludes that while previous studies have demonstrated how home workers are more productive than office-based workers, the LSE study of more than 500 employees shows that on a long term basis, there are no differences between home and office workers. The reason, according to Dr Esther Canonico from LSE’s Department of Management, the lead author of the report, is that employees no longer see home working as a discretionary benefit or a privilege when it becomes the norm in an organisation.

August 24, 2016

Futurist says UK gender pay gap will close much earlier than predicted ⁰

by Sara Bean • Flexible working, News, Wellbeing, Workplace

Following the latest report that shows that the gender pay gap is still wide open comes claims that in the UK, the gap will close within the next 30 years. That’s the view anyway of futurist, trend forecaster and journalist, James Wallman. While the World Economic Forum believes that the world-wide gender pay gap won’t close by 2133, Wallman paints a more positive picture, forecasting the UK pay gap will actually close much sooner — by 2045. His reasoning is that it’s far harder to hide wage disparity in an age of data digitisation, meaning companies are compelled to be transparent. There is manifest political will behind pay parity, with new legislation meaning that by 2018 all companies with more than 250 employees will have to publish their gender pay gap data. And he argues there are numerous economic imperatives to get women working; if the same proportion of women worked in Britain as in Sweden, it would add £170bn to the UK economy and boost GDP by 9 percent.