Latest news with #IndustrialStrategy
Business News Wales
12 hours ago
- Business
- Business News Wales
Hospitality Sector Ranked Lowest for Hourly Pay, New Data Reveals
Hospitality businesses offer the lowest hourly pay of any UK sector, new research suggests. Business finance experts at business bank accounts said that analysis of ONS data shows that tighter margins mean that hospitality firms are forced to offer staff hardly more than minimum wage. It comes as the UKHospitality chief executive Kate Nicholls has criticised the Uk Government's efforts to boost business growth through its recently announced Industrial Strategy, saying it failed to address the challenges facing the hospitality sector. Industries with the lowest hourly pay: The accommodation and food service activities sector makes up a significant part of the UK's economy, with the hospitality sector's annual economic contribution hitting £93 billion in 2023 and estimated to increase by another £29 billion by 2027. Despite this, this industry's workers have the lowest hourly pay rate. An average working week is around 26 hours long, and the average hourly pay is £12.39 – just 18 pence above the national living wage. Businesses within the industry have faced a lot of financial hardship in recent years, the researchers said, including the Covid pandemic and National Insurance increases. This has made improving workers' pay increasingly difficult while still making a profit, contributing to lower hourly rates in the sector. The sector also ranked in the top 10 for the amount of overtime worked, with employees clocking an average of 2.8 hours of overtime per week. Joe Phelan, business bank accounts expert, said: 'Attracting and retaining high-quality talent doesn't just come down to salary – it's also about meeting evolving expectations around working conditions. Today's employees are more willing to walk away from roles that don't offer a healthy work-life balance or prioritise wellbeing. That means businesses need to offer more than just pay; they must create environments with manageable hours, flexibility, and genuine support. 'When companies get this right, they typically see lower staff turnover, higher engagement, and more consistent productivity, all of which feed into more stable operations and healthier cash flow. And with greater financial predictability comes the ability to plan and grow with confidence.'
South Wales Argus
a day ago
- Business
- South Wales Argus
Committee warns Welsh universities in 'precarious position'
This statement comes after an evidence session with leaders of all nine Welsh universities, focusing on their finances and the challenges they face. Concerns raised include declining admissions from Welsh young people, decreasing international student numbers, and tuition fees that are failing to keep pace with inflation. The committee, chaired by Ruth Jones, MP for Newport West and Islwyn, stressed the need for "funding security and long-term policy stability." They are urging the UK Government to re-evaluate how universities are supported, in collaboration with the Welsh Government, to ensure a sustainable future for higher education institutions. The committee also noted the significant role universities play in the Industrial Strategy, which acknowledges their contributions to skills and innovation. Professor Wendy Larner from Cardiff University described the situation as "an existential moment for universities," adding that they "need to be different for the future." Professor Paul Boyle CBE from Swansea University highlighted the difficulty of achieving financial sustainability within the current system, saying it "does not lend itself to that sustainability." The committee emphasised the unsustainability of the current system and called for action from the UK Government and its Welsh Government partners as part of "promised major reforms for higher education." They believe addressing these issues is crucial for the economic and civic well-being of communities across Wales.
Yahoo
2 days ago
- Business
- Yahoo
UK retail sales fall for ninth straight month
Retail sales volumes in the UK dropped sharply in June, marking the ninth consecutive month of decline, according to the Confederation of British Industry's (CBI) monthly Distributive Trades Survey. The annual sales balance fell to –46%, down from –27% in May. Looking ahead, retailers expect a further drop in July to –49%, as caution among consumers persists. decline in retail trade extends across wholesale and motor sectorsIn June, retailers judged sales volumes to be 'poor' for the time of year, with a seasonal balance of –37%, worsening from –19% in May. The outlook for July remains subdued, with seasonal expectations at –38%. Wholesale activity also contracted, though at a slightly slower pace: annual volumes declined by –34%, improving from –48% in May. Wholesalers anticipate further reductions next month at –39%. Meanwhile, motor trade volumes fell by –37% in June, easing from –65% in May, with a projected decline of –34% in July. All segments taken together—retail, wholesale and motor trade—showed a total distribution sales balance of –39%, little changed from –43% the previous month, and forecast to remain weak at –42% in July. Amid the broader downturn, online retail remained one of the few bright spots. E‑commerce volumes in June rose by 6% year‑on‑year, although this was well down from May's 37% increase. Retailers forecast online sales to grow by approximately 8% in July. Retailers placed fewer orders with suppliers in June, with the strongest drop since December 2023 at –51%, up from –41% in May. Expectations for July remain similarly weak at –53%. Despite reduced demand, retailers are carrying excess inventory: stock volumes relative to expected demand reached +26%, compared with the long‑run average of +17%, and are expected to hold at +27% in July. CBI principal economist Martin Sartorius noted that consumer caution is dampening retail and wholesale activity, emphasising that 'underlying activity remains subdued in the distribution sector.' He added that the government's Industrial Strategy is timely, but cautioned that investment in skills and regulatory relief must extend beyond currently prioritised sectors to support both local and national prosperity. Official statistics from the Office for National Statistics (ONS) reinforce the picture: overall retail sales volumes, as measured by the Monthly Business Survey, fell by 2.7% in May—the widest monthly drop since December 2023. On an annual basis, they were 1.3% lower than a year earlier. Persistent inflation, cost‑of‑living pressures and reduced discretionary spending continue to weigh on household budgets. The CBI's survey, based on responses from around 150 companies, acts as a leading indicator of consumer demand. As consumers remain cautious and retailers carry higher stock levels, the distribution sector faces ongoing headwinds. Should these conditions persist, further policy interventions may be required to stimulate consumer confidence and support long‑term retail resilience. "UK retail sales fall for ninth straight month" was originally created and published by Retail Insight Network, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Scotsman
2 days ago
- Business
- Scotsman
Industrial strategy is turning point for Scotland's economy
Electricity costs for energy-intensive firms will be cut by up to 25% (Picture: Gareth Fuller/PA Wire) This week the Labour Government launched the ten-year Industrial Strategy, a new, whole-of-government approach to the economy which holds brilliant opportunities for Scotland. Sign up to our daily newsletter Sign up Thank you for signing up! Did you know with a Digital Subscription to Edinburgh News, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... Advanced manufacturing, clean energy, the creative industries, defence, digital and technologies, financial services, life sciences and professional and business services; Scotland excels at them all. But we can do more to help these industries thrive. That's exactly the aim of Labour's new industrial strategy, which will back Scotland's strengths and has ambitious plans for these eight high-growth sectors. As a ten-year plan, it's a turning point for Scotland's economy, marking a clear departure from the short-termism of previous governments north and south of the border. Advertisement Hide Ad Advertisement Hide Ad A key part of the strategy is the new British Industrial Competitiveness Scheme which, from 2027, will slash industrial electricity costs for energy-intensive firms by up to 25 per cent, benefitting hundreds of businesses in Scotland and up to 7000 across the whole UK. Tackling energy costs has been the single biggest ask of us from businesses; we've listened, and now we're taking action. The new strategy also means billions in innovation funding and business finance, new initiatives to improve skills, a new taskforce to attract talent from across the world, planning reforms, a landmark commitment to £725 billion on infrastructure over ten years, and improvements to digital infrastructure, including £41 million to improve the speed and availability of Wi-Fi on mainline trains. This will ensure the industries that make Scotland great can thrive, boosting our economy and creating well-paid jobs, putting more money in people's pockets and delivering on this government's Plan for Change. While the strategy will lift living standards in all parts of the country, Scotland in particular stands to derive unique advantages. Scottish clean energy industries will benefit from development funding of around £200m to advance the Acorn Carbon Capture and Storage project, capitalising on expertise in the oil and gas sector in the North East and guaranteeing the future of this vital pillar of Scotland's economy. Meanwhile, Scotland's universities, which are driving innovation across quantum, clean energy and life sciences, will get to take full advantage of the recently announced £750m investment in the UK's largest supercomputer at the University of Edinburgh, which sets a marker for our ambition for further growth in digital and technologies. Scotland's advanced manufacturing also stands to benefit. The sector, which employs 195,000 people across Scotland, will receive investment of £4.3bn, including up to £2.8bn in research and development funding over the next five years, supporting this vital part of Scotland's industrial past and guaranteeing a bright future for it. It's an increasingly tumultuous time for the world economy, and this new strategy delivers the long-term certainty, stability and direction Scottish businesses need to invest, innovate and create good jobs that put more money in people's pockets. This is the way to deliver improved living standards right across the country. Scotland has a proud industrial heritage, and with this new strategy we can extend that long into the future. I launched the Industrial Strategy in Scotland this week at the old Cockenzie power station site in East Lothian. The potential there is huge. The challenge is now to grasp all these wonderful opportunities and deliver thousands of new jobs in Scotland. Ian Murray is MP for Edinburgh South and Secretary of State for Scotland
Daily Mirror
2 days ago
- Business
- Daily Mirror
Labour's new vow to British businesses amid flood of cheap foreign competition
The Government is sending out the message that it will stand out for UK companies in the face of unfair tactics by rivals, including possible quotas on cheap Chinese steel Labour has vowed to "protect" UK firms from cheap and unfair foreign competition. In a marked change of tone from previous governments, it will champion a back British message in its new Trade Strategy. Others see the plan as a bid to further remove trade barriers with the EU, potentially angering Brexit-backing voters. Business and Trade Secretary Jonathan Reynolds will say: 'We will not sit by idly while cheap imports threaten to undercut UK industry.' Trade Minister Douglas Alexander called it 'pragmatic patriotism'. He added: 'In this changed and challenging world, we will promote what we can and protect what we must to advance the UK's national interest.' Sources insist the pivot is not akin to US President Donald Trump 's protectionist policies. But it is a recognition that UK companies have been at a disadvantage compared to those in many other countries, with the aim of levelling the playing field. Examples could include quotas to prevent the 'dumping' of cheap state-subsidised Chinese steel given a global over-supply and fears for UK producers. Labour has also pledged to cut energy costs for UK manufacturers through its Industrial Strategy, unveiled earlier this week. Shevaun Haviland, director general of the British Chambers of Commerce, says the government can do its part through its huge spending power. She will tell the BCC's annual conference on Thursday, at which Mr Reynolds is due to speak: 'Government must use the power of its purse. It must buy British. We need government to keep its promise to boost British businesses through its infrastructure strategy, and to apply these rules to all areas of government procurement. Ministers say 'trade defences' will be toughened up with new tools and safeguards to 'better protect vital industries from global threats'. As well as trying to combat unfair imports, they will also vow to unlock £5billion worth of opportunities for UK exporters through a new fund. It comes against what the government will say is a backdrop of turbulent economic times, 'resurgent protectionism' elsewhere and unfair trading practices creating 'significant challenges for businesses and industries across the whole of the UK'. Mr Reynolds said: 'The UK is an open trading nation but we must reconcile this with a new geopolitical reality and work in our own national interest . Our Trade Strategy will sharpen our trade defence so we can ensure British businesses are protected from harm, while also relentlessly pursuing every opportunity to sell to more markets under better terms than before.' Prime Minister Keir Starmer, said: 'What works for business, works for Britain. It means more jobs, more opportunities, and more money in people's pockets.' TUC General Secretary Paul Nowak said: 'This is an important step forward to a trade agenda with workers' rights and good jobs at its heart - and it represents a marked departure from the Conservative approach of treating trade deals as mere PR exercises. t's right that the government is focusing on removing barriers to trade with our largest trading partner - the EU - on which thousands of quality jobs depend, and it's vital that the government continues to show ambition in its trading reset with the bloc.' Naomi Smith, Chief Executive of Best for Britain, which campaigns for closer trade ties with the EU, said: This plan correctly identifies the importance of restoring frictionless access to reliable EU markets for British farmers, but the gamechanger will be doing the same for all British industries, which independent analysis shows is the best way to significantly boost the UK economy and bring down prices for British consumers.' Alongside the Trade Strategy, the government also published a six-week consultation for views from across the steel supply chain to ensure continued protection for UK steel producers, jobs, and supply chains beyond the expiry of current World Trade Organisation safeguards in June next year.
