Tag: business

Search is on for Scotland’s next £1 Billion+ business

HUNTER FOUNDATION OPENS APPLICATIONS FOR SCALEUPSCOTLAND2.0 

The Hunter Foundation (‘THF’), in partnership with the Scottish National Investment Bank (‘The Bank’) has opened up applications for its second ScaleupScotland2.0 programme for highly ambitious, scaling businesses to join their next cohort.  

The programme sees 12 scaling businesses work collaboratively with fellow CEOs and leadership teams to supercharge growth over a one-year period beginning January 2024. During that year they attend quarterly overnight events for inspiration and action including masterclasses, focussed dinners and peer-to-peer learning. #

This year’s cohort have been supported and inspired by an incredible talent pool including: 

Professor Sir Chris Evans, Theo Paphitis, Kim Perdikou, Carolyn Jamieson, Ruth Chandler, Kristian Tapaninaho, Willie Watt, Lisa McPherson, Mike Reid, Yvette Hopkins, Bob Keiller, Mark Logan. Mark Beaumont and Calum Paterson,* 

The programme is hosted by Sir Tom Hunter at THF’s headquarters and leadership home at blairestate.co.uk. 

Developed after extensive analysis of the challenges facing businesses as they scale up, ScaleupScotland2.0 addresses the lack of strategic support available to high growth businesses and aims to grow the turnover of each business to over £100 million. 

Participant companies must be headquartered in Scotland with current revenues typically in excess of £20m, a record of strong year-on-year growth with the potential and matching ambition to achieve £100m+ revenues within the next 5 years. 

The programme is open to the CEO and Executive Leadership teams of up to 12 businesses. is cohort based and places a strong emphasis on peer-to-peer learning.  

On joining the programme, THF undertakes a deep dive into each business to identify and align the team on the specific challenges and opportunities facing the entrepreneurial leader, the collective executive team, and the individual functional leaders. 

One of the existing scaleup2.0 cohort, Richard Madden of WeConnect Energy noted: “The ScaleupScotland2.0 program has been a pivotal catalyst in our business growth journey, elevating our aspirations with an unparalleled network of trusted advisors and motivational speakers, forging invaluable links with fellow CEOs, and providing a gateway into the flourishing landscape of scalable Scottish businesses.” 

Fellow existing participant, Scott Smyth​, Founder & Group CEO of Soben added:  “StartupScotland2.0 has provided access to a new network of world leading entrepreneurs and business advisors that are already positively impacting the growth of my business. 

“In addition, I have got to work with and learn from an amazing cohort of other ambitious entrepreneurs each with a shared vision of scaling their business to £100m+” 

Sir Tom Hunter, founder of THF commented; “This programme is by and for entrepreneurs, a learning journey of unparalleled opportunity in my view that truly accelerates growth through knowledge and peer-to-peer support. 

 “The only way to move the economic dial in Scotland is to deliver far more scaling businesses and our portfolio of pre-scaler, scaleup core and scaleup2.0 joins the dots up to deliver some of that ambition so I’m delighted to host and sponsor 2.0.”  

Willie Watt chair of The Bank added: “The ScaleUpScotland2.0 programme aligns with The Bank’s missions.  We believe that a healthy scale-up support landscape is critical to enable growing businesses to thrive. 

“Ensuring that scaling businesses can access the support and guidance they need to sustain their growth brings productivity gains, high-value job creation and the power to transform our economy.”   

To apply CEOs should email scaleup@thehunterfoundation.co.uk

The programme is subsidised by THF and the Bank, with an additional fee for participants of £11K including all overnight accommodation and subsistence at Blair Castle and Estate. 

Applications close at midnight on 31st October 2023. 

New programme launches to help Scottish businesses cut costs and protect the planet

Environmentally conscious SMEs are being offered the chance to reduce their carbon footprint and lower energy bills thanks to a new partnership between Royal Bank of Scotland, the Edinburgh Climate Change Institute (ECCI) and the University of Edinburgh.

The free course allows businesses to identify the simple, cost-effective steps they can take to reduce emissions and save on outgoings while also helping the planet at the same time. 

Successful applicants will take part in three 2-hour workshops that begin by helping SMEs to understand their own energy and carbon usage data and how they can build their own tailored ‘Carbon Reduction Plan’.  

The free workshops also explain how taking positive environmental action can result in lower energy usage and therefore lower bills. Organisations can become more cost efficient by making positive changes such as changing boiler settings, installing smart lighting systems, swapping to sustainable suppliers and upgrading insulation. 

The scheme is currently accepting applications from all sectors, having already supported over 60 participants from industries such as manufacturing, charity and education.  

Applications for the next cohort close on 3rd October, with a later session set to launch at the start of November also welcoming candidates.  

Code Hostels completed the course earlier this year and has used the learnings from the programme to make sustainable improvements across the business, including buying more produce from local suppliers and switching to eco-friendly cleaning products. 

Talking of his experience, Jamie Greig, Operations and Design Consultant at Code Hostels, said: “The programme was a game changer for us. As a business, when you start looking at reducing emissions it can seem like an incredibly daunting process, and net zero targets can seem a long way off.  

“We found it really valuable to chat to the other groups on the cohort, and we quickly realised we weren’t alone in the challenges we were facing. 

“Sustainability in the hospitality industry is a personal passion of mine and we know that many other SMEs across the hospitality sector are experiencing the same challenges as we had at Code. I now run my own separate business, Our Property Bear, using energy monitors to help hotels and hostels monitor and reduce their energy consumption.” 

Judith Cruickshank, Chair, One Bank Scotland said: “Royal Bank of Scotland is delighted to work with the University of Edinburgh’s Edinburgh Climate Change Institute to deliver a programme which can make a real difference to SMEs across all sectors. 

“It offers the insight, learnings and access to experts to help businesses see the opportunities it can offer them – and see the potential tackling climate change could make.”  

Prof Dave Raey, Executive Director of ECCI, University of Edinburgh said: “The Climate Springboard programme is inspiring. The great engagement and responses from participating businesses is a testament to the fantastic work of the team here at Edinburgh Climate Change Institute and our partners at the Royal Bank of Scotland.  

“In simultaneously helping to cut energy costs and carbon emissions for such a wide array of businesses, they are delivering exactly the kinds of cost-effective climate action so desperately needed in every sector.” 

The scheme is currently accepting applications from all sectors, having already supported over 60 participants from industries such as manufacturing, charity and education.  

Applications for the next cohort close on 3rd October, with a later session set to launch at the start of November also welcoming candidates.  

SMEs looking to learn more about their emissions and how they can start reducing them are invited to register their interest here. More information about the programme is available here.  

Scotland’s games studios and workforce continue to experience steady growth

The number of games development studios operating in Scotland and the size of the workforce they employ grew by 10.2 per cent and 4 per cent, respectively, between December 2021 and April 2023, according to new figures released today by TIGA, the trade association representing the UK video games industry.

Annually, Scottish games development companies are estimated to invest £161 million in salaries and overheads, contribute £133 million in direct and indirect tax revenues to HM Treasury, and make a direct and indirect contribution of £357 million to the UK’s Gross Domestic Product (GDP).

The number of discrete, active, verified Scottish games development companies increased from 147 to 162, compared to an 11.9 per cent increase for the UK industry in its entirety over the same period.

Scotland has 2,338 permanent and full-time equivalent creative staff working on games development. This is up from 2,269 development staff in December 2021.

Scotland is now the fifth largest games cluster in the UK in terms of headcount (after London, the South East, the North West and the West Midlands).

The findings come from TIGA’s definitive report on the state of the UK video games industry Making Games in the UK 2023 (TIGA, 2023) which is based on an extensive survey of UK games businesses, with analysis by Games Investor Consulting.

Additionally, TIGA’s research shows that in the period from December 2021 to April 2023:

  • Scotland is home to 7.7 per cent of the UK’s total games companies and 9.8 per cent of its developer headcount.
  • Scotland’s games development sector supports an additional 4,275 indirect jobs (up from 4,148 in December 2021).

Dr Richard Wilson OBE, TIGA CEO, said: “Scotland is one of the world’s most important games development clusters. It’s home to world leading and successful studios, including Rockstar, as well as over 2,300 creative staff in 162 studios. It has a number of excellent universities, whose courses includes TIGA Accredited degrees from Abertay University and the University of the West of Scotland.

“It has one of the best funding environments supported by Scottish Enterprise and Dundee’s UK Games Fund. Dundee is also a centre of excellence for collaboration between academia and industry, in particular the outstanding R&D work carried out by InGAME, which is led by Abertay University, in partnership with the University of Dundee and the University of St Andrews.”

Professor Gregor White, Dean of the School of Design and Informatics at Abertay University added: “The continued growth of the games sector in Scotland, and across the UK more widely, once again demonstrates how integral this fast-moving and ever-evolving industry has become to the digital economy, but also the need for continued R&D and innovation support at both Scottish and UK Government level, in order to keep pace with overseas competitors.

“The success of InGAME, which has catalysed an estimated £84.7m GVA for the UK economy, is an excellent example of what can be achieved through a shared games cluster ecosystem designed to bring industry and academia together.”

Ecosytem Fund: Kickstarting new community businesses

Community groups can bid for grants to develop entrepreneurial ideas

A fund to help inspire more entrepreneurs to start or scale up their businesses has been relaunched.

The Ecosystem Fund is being widened this year to include initiatives encouraging young people to consider entrepreneurship from an early age. Applications providing access to support services for under-represented groups including women or those from disadvantaged areas will also be considered.

Community groups, non-profit making organisations, industry bodies, colleges and universities are amongst organisations invited to bid for funding to help boost entrepreneurial activity across Scotland. Grants of up to £50,000 will be available.

Projects could include:

  • showcasing Scotland’s start-ups globally to attract talent, investment and strategic partners
  • networking events allowing founders, investors and partners to share expertise and foster connections
  • training, mentorship and identifying growth opportunities by providing funding for staff, equipment, meeting places or programmes for start ups
  • encouraging entrepreneurs who support fair work and environmental good practice to make a positive impact on communities
  • the promotion of learning and teaching in entrepreneurship
  • tackling barriers or discrimination preventing women and other social groups from accessing support

Wellbeing Economy Secretary Neil Gray said: “This expanded funding will build on Scotland’s international reputation as one of the best places in the UK to do business and help make an impact across the business community.

“Despite representing less than 1% of businesses, start-ups generate more than half the value of all small and medium-sized businesses. The fund will spark innovation while fulfilling our potential to nurture many more inventive new start-up companies and driving sustainable growth.

“We need to instil enthusiasm for business and entrepreneurship at all levels from an early age, which is why I encourage collaborative proposals from a wide range of sectors to enable connections and exchange of ideas. In so doing, we can help those who establish businesses to improve lives – such as advancing renewable energy technologies or creating apps that help tackle food waste.

“The Ecosystem Fund is an important step, but we must make further progress expanding entrepreneurial access and opportunity – ensuring that everyone, no matter their background, has the chance to fulfil their potential.

“Together we can remove barriers and open up access and opportunity to budding entrepreneurs across Scotland. By uniting the business community around this goal, we can create a wellbeing economy which is fair, green and growing.”

Chief Entrepreneur Mark Logan recommended measures to support new businesses in his August 2020 Scottish Technology Ecosystem Review.

Mr Logan said: “Just as it takes a village to raise a child, it takes a vibrant entrepreneurial ecosystem to raise a start-up.

“The Ecosystem Fund recognises and supports the vital enabling work of our ecosystem-building organisations. It will accelerate Scotland’s journey towards being an internationally recognised Start-up Nation.” 

www.scottish-enterprise.com/ecosystem-fund

Scottish entrepreneurs invited to apply for free business accelerator

Royal Bank of Scotland is inviting ambitious entrepreneurs and business owners to apply for a place on its Entrepreneur Accelerator Hub. 

The bank is currently accepting applications to its fully funded support programme for Scottish businesses looking to scale and succeed. 

Successful applicants will benefit from full use of the Hub’s modern coworking spaces in the city centres of Glasgow and Edinburgh, as well as access to a calendar of networking events and one-to-one coaching.   

Since its launch, the programme has empowered over 1,000 businesses in Scotland and also includes a Digital Accelerator which offers a virtual programme of support to entrepreneurs based across the country.  

Karen Robinson, founder of oat milk brand, Three Robins, has been a member of the Accelerator Hub since 2021. The busy mum of three started the business after noticing a gap in the market for a high-quality, healthy alternative to traditional dairy products when her son developed a lactose intolerance.  

The product range was officially launched to the market in May 2022 and has proven an immediate hit with children and adults alike, particularly appealing to families looking for a milk-alternative that doesn’t compromise on nutritional value.  

Talking of her experience on the Hub, Karen said: “Prior to starting Three Robins, my background was in international development, and I spent over 20 years working in women’s rights. This involved a lot of travelling to war impacted areas and after a while, it just wasn’t working with family life.  

“The idea for Three Robins came about when my son, Christopher, developed a lactose intolerance. We’d be buying several different milk products to suit everyone’s needs and tastes and I remember thinking, it shouldn’t be this complicated to find a product that suits everyone – so I decided to make one. 

“Since launching the business, we’ve grown from strength to strength and the support we’ve received from the Edinburgh Accelerator Hub has been invaluable. Having access to a group of like-minded business owners gives you a sounding board to bounce ideas off, and the one-to-one mentoring has given me insight I wouldn’t have otherwise had having not come from a business background. 

“We were recently awarded funding from Scottish Edge to fuel our next chapter of the business and were also able to exhibit our products alongside the Bank at this year’s Royal Highland Show. This allowed us to introduce our range to an entirely new audience and I’m excited to keep working alongside Royal Bank of Scotland as we continue to grow.” 

Mandy Bailey, Regional Eco-System Manager at Royal Bank of Scotland added: “We are champions of Scotland’s entrepreneurial talent and want to give all business owners the tools they need to scale and succeed.  

“Entrepreneur Accelerator is currently accepting applications for its next cohort, and we’re excited to welcome the best and brightest businesses into our Edinburgh and Glasgow Hubs as well as our virtual community.” 

The Royal Bank Accelerator programme supports and empowers entrepreneurs across Scotland to scale their businesses to the next level, offering one-to-one coaching, a calendar of thought leadership and events, access to a network of like-minded peers, and full-time use of a modern coworking space.  

Based out of the bank’s state-of-the-art city centre offices in Edinburgh’s St Andrew Square and Glasgow’s Queen Street, the programme is currently accepting applicants for its next intake.

Ambitious business owners are invited to apply here before applications close on 18th August.  

Tata Group to invest over £4 bn in UK gigafactory creating thousands of jobs

  • Tata Group announces new multibillion-pound electric car battery factory to be built in the UK – one of the largest ever investments in the UK automotive sector.
  • Investment will create up to 4,000 new direct jobs, and thousands more in the wider supply chain – driving forward the Prime Minister’s priority to grow the economy.
  • New gigafactory set to provide almost half of the battery production needed by 2030 – turbocharging UK’s switch to zero emissions vehicles.

The UK has been chosen as the home of Tata Group’s first ‘gigafactory’ outside India, in a move set to create thousands of jobs and bring a huge boost to the UK’s automotive sector.

Tata Group confirmed the UK had secured one of the largest ever investments in the UK auto industry today (19 July). The gigafactory will secure UK-produced batteries for another Tata Sons investment, Jaguar Land Rover, as well as other manufacturers in the UK and Europe.

The new gigafactory, at 40GWh, will be one of the largest in Europe. It will create up to 4,000 highly skilled jobs, as well as thousands of further jobs in the wider supply chain for battery materials and critical raw minerals, helping grow the economy and take forward the UK’s commitment to net zero.

Prime Minister Rishi Sunak said: “Tata Group’s multi-billion-pound investment in a new battery factory in the UK is testament to the strength of our car manufacturing industry and its skilled workers.

“With the global transition to zero emission vehicles well underway, this will help grow our economy by driving forward our lead in battery technology whilst creating as many as 4,000 jobs, and thousands more in the supply chain.

“We can be incredibly proud that Britain has been chosen as home to Tata Group’s first gigafactory outside India, securing our place as one of the most attractive places to build electric vehicles.”

Mr N Chandrasekaran, Chairman, Tata Sons, said: “The Tata Group is deeply committed to a sustainable future across our business.

“Today, I am delighted to announce the Tata Group will be setting up one of Europe’s largest battery cell manufacturing facilities in the UK. Our multi-billion-pound investment will bring state-of-the-art technology to the country, helping to power the automotive sector’s transition to electric mobility, anchored by our own business, JLR (Jaguar LandRover).

“With this strategic investment, the Tata Group further strengthens its commitment to the UK, alongside our many companies operating here across technology, consumer, hospitality, steel, chemicals, and automotive.

“I also want to thank His Majesty’s Government, which has worked so closely with us to enable this investment.”

The investment of over £4 billion represents a historic moment for the UK’s growing electric vehicles industry.

The new gigafactory will supply JLR’s future battery electric models including the Range Rover, Defender, Discovery and Jaguar brands, with the potential to also supply other car manufacturers. Production at the new gigafactory is due to start in 2026.

This investment will be crucial to boosting the UK’s battery manufacturing capacity needed to support the electric vehicle industry in the long term. With an initial output of 40GWh it will also provide almost half of the battery production that the Faraday Institution estimates the UK will need by 2030.

Business and Trade Secretary Kemi Badenoch said: “Today’s multibillion-pound investment demonstrates that this Government has got the right plan when it comes to the automotive sector.

“We are backing the UK car industry to help grow our economy as we transition to electric vehicles, and this latest investment will secure thousands of highly-skilled jobs across the country.

“Tata’s decision is a major vote of confidence in UK automotive. The Government is committed to making the UK one of the best places in the world for automotive investment, as evidenced by the Automotive Transformation Fund, the British Industry Supercharger, and the strong programme of support for research and development.”

Chancellor of the Exchequer Jeremy Hunt said: “This is a huge vote of confidence in the UK and one that will drive growth in our economy, creating thousands of jobs and powering our transition to electric cars.

“Tata Group’s gigafactory builds on the strength of our manufacturing industry and shows we’re on the right track, backing the sectors that will underpin our future prosperity for decades to come.”

Energy Security Secretary Grant Shapps said: “Today’s announcement from Tata is excellent news. We have been working tirelessly with the company, and across government, to make the case for why the UK is the best place for them to invest.

“This new gigafactory puts us firmly in the fast lane to becoming the capital of Europe’s electric car market, and makes crystal clear how they see the UK as the place to be for their future growth.

“With thousands of jobs on site and in the supply chain, this new factory will be the cornerstone of our automotive industry, backing manufacturers to develop and expand, and customers to make the switch from petrol and diesel.”

From kitchen table to top table …

LS Productions – a global production company that started life on a kitchen table by a former air stewardess – is officially recognised as one of the UK’s fastest growing private companies

  • Set up in Edinburgh by Marie Owen – with 3 kids under the age of 5 – the company has gone from strength to strength being named on two prestigious lists of fastest growing UK private companies
  • LS Productions was Grammy-nominated for its work on its second Harry Styles music video (‘Adore You’) and works with high profile celebrities including Zendaya, Ed Sheeran and Cristiano Ronaldo
  • With ambition to become a £40 million turnover business in the next two years, the company provides production services to clients for commercials, fashion, sport, music videos and film and TV projects working across the globe.

LS Productions – whose headquarters are in Leith – is celebrating appearances on The Sunday Times 100 and FEBE Growth 100 lists – which recognise the UK’s fastest growing private companies.

Both lists celebrate British business at its best – highlighting founders that are driving their companies to deliver significant sales, revenue and profit, against a backdrop of unprecedented economic challenges.

With their headquarters in Edinburgh, LS Productions are the UK’s largest production service company with additional offices in London and Manchester.

LS’s recent growth is down in part to the expansion of their services into the international film & TV sectors, taking on global TV and film production service projects over the last 18 months, with recent projects including  Ghosted (Skydance / Apple TV),episodes of the Bachelor (NZK Productions / Warner Bros Entertainment / ABC) and a Kind of Spark (CBBC / BYUtv America).

As part of this growth they have also added a warm water production and location facility in Malta to further bolster their international offering.

In conjunction with this expansion, the LS growth can also be directly attributed to a commitment to invest in and recruit talent in the LS’s core production specialisms, including commercials, fashion, music and sport.

Mimi Webb, Aviemore, Scotland, 5th April 2023

The diversification of these business streams was a deliberate move to weather the storm faced by the production industry in a post Covid landscape.

Across this period LS has worked on a succession of high profile service production projects ranging from Ed Sheeran’s latest album Subtract (Freenjoy / Directed by Mia Barnes), Harry Styles ‘Adore You (Freenjoy / Directed by Dave Meyers), Valentino’s Pink Dreams starring Zendaya (Marcell Rev / Michael Bailey Gates) and ‘You’re Up’ featuring Cristiano Ronaldo for Nike (Wieden & Kennedy/ Directed by Megaforce).

Not only this but Covid also provided cause for reflection about where the business saw itself creatively in the long term and how they could look to continue to stay true to their values of being ‘creative at heart’ which drove further diversification with the arrival of an original content arm in the form of LS Films.

Thanks to this successful business strategy, LS has seen a two year growth of 273% and boasts sales of £20 million.

Speaking about the recognition, CEO and Founder Marie Owen – who has lived in Edinburgh her whole life, said: “I’m beyond thrilled to see LS Productions name appear on such prestigious lists, in fact I can’t quite believe it!

“If you could have told me that we’d be appearing on lists like these when I started the business back in 2006 from my kitchen table I’d probably have laughed and said ‘are you joking’! I

“t’s such a fantastic achievement and so rewarding to see all the incredible hard work and dedication that myself and the team have put in to get recognised.

“Both in terms of growing a world-class global production company, but also a business that people genuinely love working for that is firmly rooted in the values of kindness, hard work and learning.”

Marie continued: “”Post Covid we had to completely re-evaluate where we wanted to go – not just professionally but personally. So we went, quite literally back to our roots – which meant investing heavily in specialised expertise to develop focused business streams; Fashion, Sport, Commercial, Music Videos, Film & TV Service and an original content division called LS Films.

“This robust diversification gives LS a solid foundation in an industry that is notorious for huge highs and steep lows because we’re not overly dependent on one particular stream and it also allows us to explore our creative passion with LS Films.”

The full 100 rankings can be viewed:

www.febe.com

https://www.thetimes.co.uk/sunday-times-100-fast-growth

Our survival depends on people choosing local, say Edinburgh businesses

Survey by Scotland Loves Local highlights critical need for Edinburgh residents to get behind people and enterprises in the city

Nine-in-ten businesses in Edinburgh and the Lothians say the support of local people is critical to their survival as they battle continued unprecedented challenges.

The statistic has been revealed by the Scotland Loves Local campaign as it issues a rallying cry for people to choose local this summer and support enterprises – and protect jobs – in their community, unlocking millions of pounds worth of spending.

Research was carried out by Scotland’s Towns Partnership (STP), the organisation which spearheads Scotland Loves Local, among its members and stakeholders, which include the country’s Business Improvement Districts (BIDs) – with the findings reinforcing the importance of grassroots action in fuelling a fairer, stronger, more sustainable national economy.

It found: 

  • 93% of businesses in Edinburgh and the Lothians said the support of the local community was important, of which 85% said it was “extremely important”.
  • 93% also said it was important that people “love local” and get behind businesses in their communities this summer.
  • And the circular impact of businesses boosting their local economy was reinforced by the survey responses, with nine-in-ten (93%) who took part saying they buy from and sell to other local enterprises across the region.

Born as the nation emerged from the first Covid-19 lockdown in summer 2020, Scotland Loves Local has evolved into a campaign for longer-term good – encouraging people to make the places they live better by supporting the people and businesses around them.

That synergy between business and community was demonstrated in STP’s survey findings, with nearly three-quarters (73%) of survey respondents involved in wider community initiatives across Edinburgh city and the Lothians – such as skills development, volunteering and charity fundraising. 

Businesses and communities mutually supporting one another is a philosophy close to the heart of Fin Clarkson, Food Services Manager at Space, a community Hub in Broomhouse, that operates a community café on site and Outta Space Pizza across the city.

Fin Clarkson said: “It’s hard out there at the moment – both for local businesses and the communities they serve.

“At Space, we are working hard to support local people through regular community meals, cooking classes and food education as well as an employability pathway from our Training Academy courses to paid employment within our social enterprises. Coming up we have our Kids Go Free no-questions-asked free school holiday meal provision which is a key part of our community focus.

“Keeping money in the local community is really important, and local businesses and social enterprises play a massive part in this. Our growing working lunch event catering and Outta Space Pizza create fantastic produce in Broomhouse that has the dual benefit of raising the profile of social enterprise and enabling us to reinvest the money into our services in Edinburgh’s south west. 

“We couldn’t deliver these services without the support of the community around us and, in these challenging times, that support is more important than ever before. By loving local this summer, people can discover all the amazing experiences that we have on our doorstep – while supporting local enterprises that keep millions of pounds-worth of spending in local communities.

“That support will allow us to make Edinburgh an even better place to live, work and visit.

STP Chair Professor Leigh Sparks, the leading retail academic who’s also the University of Stirling’s deputy principal, said: “Towns, villages and local places across Scotland – and the businesses that operate at their heart – are the economic and social glue of the country and our communities.

“The cost of living and the cost of doing business, though, continue to challenge both consumers and businesses.

“Local support is the common thread that helps everyone weather this and build sustainable places and communities. By choosing local – and getting behind the businesses in our communities – we will ensure the survival of shops and services. Local consumer spending generates local business spending and protects the jobs of family, friends and neighbours.

“By loving local, we will also ensure that our high streets and town centres build a fairer, more sustainable Scotland – creating even better places to live, work and visit.”

Kimberley Guthrie, STP’s Interim Chief Officer, added: “We need to begin a permanent behaviour change in thinking local first this summer, whether for shopping, days out or simply local businesses trading with each other. Choosing local is not only good for our economy and environment, but the communities these fantastic local businesses serve too.”

People across the region are also being urged to spend using the Scotland Loves Local Gift Card, ensuring the money they spend stays local for longer by directly supporting shops, attractions and jobs in the area. Businesses and charities are also being encouraged to use them as rewards.

Scottish business confidence fell in May

Bank of Scotland’s Business Barometer for May 2023 shows: 

  • Business confidence in Scotland fell nine points during May to 22% 
  • Companies in Scotland reported lower confidence in their own business prospects month-on-month, down two points at 30% 
  • Overall UK business confidence remains strong at 28%, down five points on last month

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

Companies in Scotland reported lower confidence in their own business prospects month-on-month, down two points at 30%.  When taken alongside their optimism in the economy, down 20 points to 14%, this gives a headline confidence reading of 22%. 

Scottish businesses identified their top target areas for growth in the next six months as evolving their offer (45%), investing in their team (35%) and entering new markets (29%). 
 
The Business Barometer, which surveys 1,200 businesses monthly, provides early signals about UK economic trends both regionally and nationwide. 
 
A net balance of 29% of businesses in the region expect to increase staff levels over the next year, down three points on last month. 

Overall UK business confidence dropped five points to 28% in May. Despite the dip, every UK nation and region report a positive confidence reading. 

As the country celebrated the Coronation, London reported the highest levels of business confidence at 43% (down four points on last month), followed by the North East at 35% (down six points month-on-month). The West Midlands, South East and South West, also reported high readings in May, all at 30%.  

Firms remain optimistic about their own trading prospects, with a net balance of 34% expecting business activity to increase over the next 12 months, down just five points on last month.  

Chris Lawrie, area director for Scotland at Bank of Scotland Commercial Banking, said: “Despite a slight drop, business confidence figures remain positive and it’s great to see so many firms planning to invest in their teams.  

“On the ground we’re hearing that more and more companies are setting their sights on new goals in the coming twelve months.  Whether going after new markets, or making new hires to help during busier periods, it’s important that businesses ensure their working capital is in rude health.

“Having a keen eye on forecasting and finances can help firms to move swiftly when new opportunities arise. We’ll remain by the side of Scottish businesses to support them and help them to capitalise on growth opportunities this summer.”  

Confidence among manufacturers increased to a one-year high of 40% (up from 29%), while retail registered a more modest two point rise to 26%, and construction remained robust at 34% despite its monthly nine point decline.

Services confidence, however, fell back to 26% from 36%, almost erasing last month’s rise. Overall, confidence across the broad sectors remains above levels at the start of the year. 

Paul Gordon, Managing Director for Relationship Management, Lloyds Bank Business & Commercial Banking, said: “Although we’ve seen a slight slowdown in hiring activity this month, there is still an overall upward trend in hiring intentions this year, with improvements in labour availability as well.

“While businesses may be feeling less optimistic, it’s still encouraging to see confidence is still in line with the Barometer’s long-term average, consistent with positive growth. 

“Wage pressures continue to be at higher levels than before the pandemic, which management teams will be closely monitoring. And with inflationary pressures persisting, businesses need to remain agile to the changing economic environment, while keeping a tight watch on costs and the structure of their finances.” 

Hann-Ju Ho, Senior Economist Lloyds Bank Commercial Banking, said:  “As the economic environment remains challenging, compounded by stubborn inflation and higher wage pressures, business confidence has dipped slightly this month as firms feel cautious about the wider economy and their own trading prospects. 

“However, while firms’ trading prospects and economic optimism both eased back, they still remain in positive territory as the UK has avoided an outright contraction in GDP – indicating a certain amount of underlying resilience in the economy.” 

Edinburgh brewery on track for £5m global turnover following support from Business Gateway

An Edinburgh-based independent craft brewery, which began as a home-brewing project in its co-founder’s spare bedroom, is now shipping internationally after receiving support and signposting to funding from Business Gateway.  

Vault City was launched to modernise traditional brewing styles with its own take on fruited sours beers. 

The beers, which are more aligned to cocktails and fruit ciders than IPAs or pale ales, are loaded with real fruit ingredients to develop flavours ranging from Raspberry Rocky Road and Strawberry Sundae to Cloudy Lemonade and Blackcurrant Choc Chip Waffle. 

On a mission to convert non-beer and traditional beer drinkers, the brewery introduces new flavours every two weeks.  

Co-founder Steven Smith-Hay, who describes himself as an “obsessed homebrewer”, had experimented with different sour and fruit beers while working in IT, and, with encouragement from his friends and family, took the plunge to set up Vault City in 2018.  

Having never run a business before, he approached Business Gateway in search of expert guidance to develop the skills necessary for turning his vision for modern craft beer into a reality.  

Steven’s local business adviser helped him to establish a business plan and identify routes for growth, as well as providing practical advice on how to manage cashflow.  

Through Business Gateway, Steven learned about the requirements needed to set up an alcohol business online and received specialist support to develop a website, which established Vault City’s digital presence, increasing brand awareness and generating sales as a result.  

Business Gateway was also instrumental in signposting Vault City to £100,000 of grant funding from Scottish Enterprise, which went towards the purchase of a decanter centrifuge.

This new piece of equipment helped the business increase its yield and decrease its waste by 30%, in turn reducing its environmental impact. Within five years of launching, Vault City has landed deals with the country’s biggest retailers, including Tesco, Morrison’s, Sainsbury’s and Waitrose.  

More recently, following advice from Business Gateway the business, which has grown to a team of almost 30, now exports to over 20 countries globally, including Singapore, Sweden and Thailand. Vault City is continuing to focus on exporting in 2023, with plans to break into the Chinese market.  

Steven Smith-Hay, Co-founder, Vault City Brewing, said: “I spotted an opportunity to carve a niche in the craft beer industry, but I needed guidance to make it happen.

“Having one-to-one support from Business Gateway has been excellent. My adviser was a safe pair of hands throughout the process and really helped me to unpack all the obstacles that come with starting your own business. 

“I’m really proud to say that four in every five sour beers sold in the UK comes from Vault City and can’t speak highly enough about the ongoing support I’ve received from Business Gateway since launching.” 

Lindsey Sibbald, Business Gateway adviser, said: “Over the years, we have been able to support Vault City with a range of Business Gateway’s services.

“It has been fantastic to watch the business’ stratospheric growth since launching, which is testament to Steven and the team’s dedication. I look forward to watching them continue to grow and to find out what flavour is next on the cards.” 

To find out how Business Gateway can help your business, visit:

 https://bgateway.com.