Search Results for: economy

August 23, 2013

More than half of UK firms expecting to increase capital spending over next year

The latest good news for the UK economy comes from a poll conducted by Edison Investment Research of 200 medium sized companies which shows that over half (56 percent) claim they will increase capital expenditure over the next year. In the same poll in January, only a quarter made the same claim, reflecting the sharp upturn in optimism in UK businesses. In the latest EIR poll, 69 percent said they felt positive about the coming year. In the Eurozone things aren’t quite so rosy as confidence has dropped over the course of the year with 17 percent expecting growth, down from 26 percent six months ago.

August 23, 2013

Investor confidence in commercial property highest in five years

by Sara Bean • News, Property

The news this week that work is to begin on the former Lumiere site in Leeds is a clear indicator of how investor confidence in commercial property has reached its highest level since Q2 2008, according to Jones Lang LaSalle. Its latest UK Real Estate Investor Confidence Survey, which canvassed the views of nearly 100 principals and lenders in the UK commercial property investment sector, found investor confidence has jumped by 7 per cent in the second quarter of 2013 compared with Q1, a 63 per cent increase on Q2 last year. The report’s findings also showed even greater competition for assets amongst property investors is anticipated with 61 per cent of respondents expecting more buyers than sellers, up from 42 per cent last quarter. More →

August 19, 2013

CBI raises growth forecasts, but cautious on sustainable recovery

by Sara Bean • Knowledge, News, Property, Workplace

A pick-up in confidence across a broad range of sectors, including services and construction and a better than expected second quarter has led the CBI to raise its growth forecasts, with GDP growth of 1.2 per cent predicted in 2013, up from 1.0 per cent in the May forecast. In 2014, the business group expects the economy to gather pace, forecasting 2.3 per cent GDP growth, up from 2.0 per cent in May. However, unemployment rates look set to stick at around 7.8 per cent. John Cridland, CBI Director-General said: “The economy has started to gain momentum and confidence is picking up, but it’s still early days. We need to see a full-blown rebalancing of our economy, with stronger business investment and trade before we can call a sustainable recovery.” More →

August 12, 2013

Pressure to fill roles as employers struggle to persuade cautious workers to switch jobs

by Sara Bean • News, Workplace

More good news on the economy today with the Summer 2013 CIPD/Success Factors Labour Market Outlook (LMO) survey report showing that for the sixth quarter in a row, employers expect jobs growth. However, while this means more opportunities for job seekers the pressure is mounting for employers to attract the right talent. It seems that despite employment confidence being at its highest level since the 2008 recession, this isn’t shared by those already in work, who are showing a marked reluctance to change jobs, leading to a struggle for employers to find the right candidates. More →

August 7, 2013

UK construction and manufacturing buoyant but mixed picture in global property market

by Mark Eltringham • Knowledge, News, Products, Property

There are signs that the UK’s faltering economy is on the road to recovery. Construction activity in the UK jumped sharply in July to hit its highest level in over three years, according to the latest Markit/CIPS survey of purchasing managers. This may have been driven primarily by a surge in house building, but even the recently moribund commercial construction sector saw an increase in activity. However a new report from the Royal Institute of Chartered Surveyors has highlighted that while the UK may have reason to smile, the picture of global commercial property markets is very patchy.

July 24, 2013

RICS reports most positive construction sector activity for six years

by Sara Bean • News, Property

The UK construction sector finally seems to be turning a corner with new projects beginning to rise in almost every part of the country, according to the latest RICS construction market survey. During the second quarter of this year a net balance of 21 per cent more surveyors reported rises in workloads, the most positive reading in over six years. While consistently falling activity has meant that projects are still generally speaking thin on the ground, this upturn suggests that the worst could now be over for the sector. More →

July 23, 2013

Government report highlights failings in UK public sector procurement

by Mark Eltringham • Furniture, Knowledge, News, Public Sector

In the wake of a number of recent procurement failures including the G4S and Serco overcharging fiasco, the UK Government has published a highly critical report of the way it buys some £227 billion of goods and services annually. The report from the Public Administration Committee (PASC) says that in spite of steps to improve procurement which include using better data, aggregating demand across departments and renegotiating with major suppliers, the number of failures remains conspicuously high. The G4S and Serco contracts with the Ministry of Justice, under which payments were made regardless of the service being delivered, are the most high profile examples but the report indicates that problems are widespread.

July 22, 2013

Green shoots detected for UK regional office rental markets

by Sara Bean • Facilities management, News, Property

There is evidence of improving fortunes for the UK’s regional office markets, latest figures suggest. CBRE has revealed national rental value grew by 1.7 per cent over the second quarter of this year with offices across all UK regions performing well, and none recording a drop in rents. The highest rate of rental growth over the last twelve months, as we reported earlier this month remains that of Central London at 5 per cent (and 1.7 per cent for the last quarter), but a number of the regions outside London and the South East have started to record rental growth for prime offices, whereas until recently the general trend has been down.

July 19, 2013

FMs must overcome engagement barriers to sustainability implementation

by Sara Bean • Environment, Facilities management, News

There is overwhelming support for sustainability to be embedded into business operations, but still some challenges in its successful delivery, according to the 7th annual Sustainability in Facilities Management survey from the British Institute of Facilities Management (BIFM). Of the top five barriers to implementation success, three related to engagement; engagement overall, amongst senior management and middle management. The report also found that many FMs are not targeting the areas of highest priority relating to behaviours or processes which have the highest impact, but tend to focus on technologies. More →

July 16, 2013

Corporate Real Estate executives predict strong global economic outlook

by Sara Bean • Facilities management, News, Property

The global economic outlook is strong for the second half of 2013, while the prospects for corporate growth and expansion are also increasing, according to the views of corporate executives surveyed in June for the new CoreNet Global Confidence Index. Nearly two-thirds (62.5%) rated their outlook on the global economy for the coming six months as optimistic to very optimistic, compared to a year ago. Most (72.4%) reported the likelihood that flexible, open workplace strategies will increase, while space per work setting and/or work settings per supported worker will be reduced.

July 15, 2013

Fall in sickness absence rates, but mental ill health still major cause

by Sara Bean • News, Public Sector, Workplace

Mental health conditions are the single most widespread cause of long-term absence, with more than half (54 per cent) of employers citing non-work related stress, anxiety and depression as a cause of long-term absence. On a more positive note, according to the latest CBI/Pfizer Absence and Workplace Health Survey out today, overall absence from work in the UK has dropped to a new record low. The thirty-year survey found the average absence rate was 5.3 days in 2012, down from 6.5 days in 2010 – saving business £3 billion. However, the report, Fit for Purpose, found overall absences still cost the economy £14 billion a year, according to the ONS. Almost £1.8 billion was lost from an estimated one-in-eight sick days taken for non-genuine reasons, with one in five employers believing employees take “sickies” as an occasional perk. While absence rates in both the public and private sector were down to 6.9 (from 8.1) and 4.9 (from 5.9) days respectively, the report argues more than £1.2 billion a year could be saved if public sector absence levels were brought in line with the private sector average – on top of the £700 million saved from the fall since 2010.

July 12, 2013

The challenge in Silicon Alley is providing the right quantity and quality of office space

by Charles Marks • Comment, Facilities management, Property, Workplace design

News emerges from BNP Paribas that the most dynamic occupiers in Western European property markets belong to the technology, media and telecoms (TMT) sector and that the most important market in the region is London. This comes as no surprise given the plans of Google to move to its new home in King’s Cross and the focus on developments in Tech City. But the same hothousing of TMT businesses is also evident in the area Prime Minister David Cameron has referred to as Silicon Alley, a cluster of businesses running alongside the M4 originally clustered between Reading and Swindon but now extending as far as Bristol. Companies that have found a home in the area include the likes of Cisco, Microsoft, Oracle, Ericsson, Vodafone, O2, Citrix, Dell, Huawei, Lexmark, LG, Novell, Nvidia, Panasonic, SAP and Symantec not to mention the countless other smaller businesses, consultants and freelancers that share this hothouse.