Tag: Bank of Scotland

Garden centre stays in bloom through coronavirus crisis

A local garden centre and tearoom is brightening up lockdown for its customers by offering a delivery service during the Coronavirus crisis, thanks to CBILS support from Bank of Scotland.

New Hopetoun Gardens in Broxburn was forced to close its doors to the public and furlough 28 of its 36 staff following the government’s announcement of a UK-wide lockdown.

The centre features 18 individually themed gardens and offers the largest range of plants for sale in Scotland, a tearoom and an award-winning gift shop.

April and May are the business’ busiest months with at least 10,000 people visiting each month to buy gardening essentials including potted plants, shrubs and pots.

Due to the current crisis, restrictions placed on the general public to avoid non-essential travel and purchases means the business can no longer rely on its usual income from customer visits.

In order to continue paying suppliers, provide care for the plants and deliver orders to customers during this unprecedented time, the business approached Bank of Scotland for support.

Within two weeks, New Hopetoun Gardens received a £195,000 CBIL funding package to assist with operations and an additional £110,000 CBIL earmarked for the end of the year should the lockdown continue beyond May.

Morag Macrae, joint owner of Hopetoun Gardens, said: “This should be our busiest time of year, but people simply aren’t allowed to visit us. To overcome this challenge, we’re focusing on home deliveries and currently send 15 orders a day to customers across Edinburgh.

“When the lockdown was announced we went through a lot of scenario planning. The deliveries do bring in a small amount of income, but we knew we’d need further support to pay our suppliers. We have a long-standing relationship with Bank of Scotland and thanks to the funding, we’re able to keep seven members of staff on board to deliver the plants and take care of the stock we still have.

“The support also gives us the flexibility required to make it through the quieter winter months. I hope our deliveries will continue to provide a bit of solace for our customers and brighten up what is a difficult time for all.”

Stuart McNaughton, relationship manager at Bank of Scotland, said: “With the general public unable to leave their homes unless absolutely necessary, a lot of businesses that rely on customer footfall are experiencing large decreases in income.

“For some however, there are alternatives. New Hopetoun Gardens is a great example of a business that is adapting and working to safely deliver plants to their customers.

“At Bank of Scotland we’re committed to supporting businesses as they navigate these challenging times.”

March sees sharp fall in Scottish business confidence

Bank of Scotland’s Business Barometer for March 2020 shows:

  • Overall confidence for firms in Scotland fell 22 points in the past month to -7%
  • Firms’ confidence in their own business prospects was -4%, compared with 14% in February
  • Research undertaken between 2nd and 16th March shows a sharper fall in confidence nationally during second week of the survey at -3%, among the lowest figures seen since the financial crisis

Business confidence in Scotland fell 22 points during March to -7%, according to the latest Business Barometer from Bank of Scotland Commercial Banking.

The research, taken between the 2nd and 16th March, showed that companies in the region had lower confidence in their business prospects at -4%. When taken alongside their views of the economy overall, this gives an overall confidence of -7%.

Across the UK, overall business confidence fell by 17 percentage points to 6% in March, the lowest level since October 2019.

However, the report showed that nationally, for the second week of the survey, a much sharper fall in overall confidence was recorded at -3%. It matches the lowest dip seen by the barometer since December 2011 and is otherwise the lowest dip since March 2009 during the global financial crisis.

Responding specifically to the impact of the Coronavirus, 66% of Scotland businesses stated that they had already been affected or expected to be impacted, ahead of Boris Johnson’s initial call for the public to stay at home on March 16th. The data illustrates the impact that the outbreak was having on business confidence before many initiatives launched by the Government to help combat the virus were announced.

The Business Barometer questions 1,200 businesses monthly and provides early signals about UK economic trends both regionally and nationwide.

Fraser Sime, regional director for Scotland at Bank of Scotland, said: “It’s impossible to accurately predict how COVID-19 will impact the Scottish economy, so it’s not surprising to see the confidence of Scottish businesses taking a dip as the pandemic evolves.

“The First Minister has called for a partnership to get through this period where the public sector, trade unions, businesses and third sector organisations work together to support Scotland’s workforce. We’re also working by the side of businesses and the government to help firms adapt and adjust as we navigate through this unprecedented period.

“At Bank of Scotland, we’ve committed to lend up to £18bn to businesses this year and have set aside £2bn of arrangement fee free finance to help those directly impacted by COVID-19. From tourism and hospitality to manufacturing, this support is available now. And we will continue to guide and help businesses across all sectors through any interruptions they may face.”

Businesses in the North East had the highest confidence at 23%, ahead of the South West at 16%, and London at 12%.

Those in the South East were the least confident, with an overall confidence of -10%, 16 points below the national average.

Sector overview

In March, overall business confidence fell across all four sectors surveyed. Confidence in the retail sector saw the sharpest decline, falling 21 percentage points to 9%. The manufacturing sector also saw a big decline from 31% to 11%, services was down 18 points to 1%, while the construction sector fell by 15 points to 14%.

Paul Gordon, Managing Director for SME and Mid Corporates, Lloyds Bank Commercial Banking, said: “There is now little doubt that businesses across the board are feeling the impact of COVID-19. 

“Many businesses have already had to pause their work and others are trying to adapt to new ways of working.

While all sectors have displayed a real dip in confidence, it is important that businesses take the support that is available to them to help them through this unprecedented and uncertain time. We remain committed to supporting our customers in the weeks and months ahead in any way we can.”

Hann-Ju Ho, Senior Economist, Lloyds Bank Commercial Banking, said: “The results in March demonstrate the impact of the shutdown of large swathes of the economy to combat the pandemic even in advance of the Government’s stringent measures announced in recent days.

“Sentiment has returned to historic low levels after improving in recent months. We will continue to monitor what businesses are telling us, and hope that they can take steps to minimise the impact of current economic downturn.”

Rock bottom: Business confidence takes a battering

Bank of Scotland’s Business Barometer for July 2019 shows:

  • Overall confidence for firms in Scotland fell 17 points in the past month to zero per cent
  • Firms’ confidence in their own business prospects was six per cent, compared with 32 per cent in June

Continue reading Rock bottom: Business confidence takes a battering

Brexit, what Brexit?: Scottish business confidence continues to grow, says Bank of Scotland

Bank of Scotland’s Business Barometer for February 2019 shows:

  • Overall confidence for firms in Scotland rose four points in the past month to five per cent
  • Firms’ confidence in their own business prospects was 17 per cent, compared with three per cent in January

Continue reading Brexit, what Brexit?: Scottish business confidence continues to grow, says Bank of Scotland

Scottish business confidence on the rise?

Bank of Scotland’s Business Barometer for November 2018 shows: 

  • Overall confidence for firms in Scotland rose seven points in the past month to 11 per cent
  • Firms’ confidence in their own business prospects was 22 per cent, compared with 18 per cent a month ago
  • But businesses were evenly split on the economy overall, with as many describing themselves as pessimistic as were optimistic

Business confidence in Scotland rose seven points during November to 11 per cent, according to the latest Business Barometer from Bank of Scotland. Continue reading Scottish business confidence on the rise?

Business confidence remains steady in August

Bank of Scotland’s Business Barometer for August 2018 shows:

  • Overall confidence for firms in Scotland remained steady at 17 per cent for second month in a row
  • Economic optimism stood at nine per cent, seven points above last month
  • Firms’ confidence in their own business prospects was 25 per cent, compared with 31 per cent in July

Business confidence in Scotland remained steady at 17 per cent during August, according to the latest Business Barometer from Bank of Scotland.

Companies reported lower confidence in their own business prospects, which fell six points to 25 per cent, but saw a seven point increase in economic optimism to nine per cent.

Companies’ hiring intentions showed a net balance of six per cent of businesses in Scotland expect to hire more staff during the next year. However, this is down seven points on last month.

Across Scotland, a net balance of 19 per cent of businesses said they felt that the UK’s exit from the European Union was having a negative impact on their expectations for business activity, up one point on a month ago.

Across the UK, overall confidence fell seven points to 23 per cent as firms’ optimism about the economy dropped eight points to 17 per cent. Firms’ confidence in their own business prospects dropped five points to 29 per cent.

The Business Barometer questions 1,200 businesses monthly and provides early signals about UK economic trends both regionally and nationwide.

Fraser Sime, regional director for Scotland at Bank of Scotland, said: “To see overall confidence holding firm demonstrates the continued resilience of Scottish businesses during uncertain times.

“In an evolving economic and political environment, firms should continue to seek trusted advice and optimise working capital. This will ensure they are well positioned to deal with potential challenges and capitalise on opportunities in order to maximise their full growth potential and play a part in helping Scotland prosper.”

UK regional picture 

Businesses in London and the West Midlands showed the most confidence, both at 37 per cent, ahead of the North West (35 per cent).

Those in the South East were the least confident, with an overall confidence of just eight per cent, 15 points below the national average. 

Sectors

From a sector perspective, firms in the manufacturing sector remained most confident at 38 per cent, but confidence of construction businesses fell sharply by ‑12 points to 36 per cent, closely followed by consumer services (‑6 points to 22 per cent) and other services (‑6 points to 18 per cent).

Hann-Ju Ho, Senior Economist, Lloyds Bank Commercial Banking commented: 
“Business confidence was resilient in the first half of the year, but has eased back recently. This reflects changes in perceptions of Brexit risks, which underscores the importance of current EU-UK negotiations.”

HALF OF SCOTS NO LONGER BELIEVE THEY WILL BUY THEIR OWN HOME

  • Just under a third remain confident they can buy their own property
  • One in three will use the Help to Buy scheme to get onto the property ladder
  • One in four parents are happy to help their children buy their own home

The latest How Scotland Lives research from Bank of Scotland shows a snapshot of how Scots are feeling about the idea of getting on the property ladder. Just under half (48%) feel that they will never buy their own home, with less than a third (29%) feeling confident about their future purchasing prospects. Continue reading HALF OF SCOTS NO LONGER BELIEVE THEY WILL BUY THEIR OWN HOME

Scottish business confidence fell in May

Bank of Scotland’s Business Barometer for May 2018 shows: 

  • Scottish firms’ confidence in their own business prospects sits at 26 per cent
  • Economic optimism stood at three per cent, 15 points below last month 

Overall businesses confidence in Scotland fell during May, according to the latest Business Barometer from Bank of Scotland Commercial Banking. Continue reading Scottish business confidence fell in May