Seniorpupils from North Berwick High School have been named as runners up as part of a competition to find the most promising next generation of business investors.
The young women, aged 16-18, were recognised in the Growing Future Assets Competition, a contest to nurture future female investment experts and encourage them to consider a career in the industry.
But the winning teams faced tough competition to triumph in the finals, with entries up by a record-breaking 300% this year.
The girls from North Berwick High School were runners up in the senior 16 -18 age group category, winning £500 for the school and £100 of vouchers each.
The team from Lochaber High School in Fort William won the senior competition collecting £1000 for the school and £200 of vouchers of the students’ choice for each team member.
North Berwick High School team members Bethan, Marcia and Keira say: “We really enjoyed getting an insight into the world of investment and are inspired to continue to find out more.
“Working closely with our mentor Amanda was massively helpful, she supported us with the financial aspect of the competition and gave great presentation tips, which will give us a competitive edge in our future careers.
“The Growing Future Assets Competition has given us unparalleled knowledge which we otherwise wouldn’t have had, and we would encourage young people curious about business and finance careers to get involved in the future.”
In the 13-16 year category, the team from Larbert High School, Falkirk, came out top and runners up were girls from Bishopbriggs Academy, East Dunbartonshire.
Financial educators Future Asset believe that being female should never be a barrier to progressing in a chosen career and the contest introduces senior schoolgirls to potential careers in investment, demonstrating how working in the sector can change the world for the better and give young women valuable, transferable skills.
Business Education teacher for North Berwick High School, Hannah Fox says:“The competition offers more than a chance to gain an insight into the investment industry via task completion, it opens doors to valuable industry mentors and opportunities for work place visits.
“It is genuinely the most valuable educational competition I’ve worked on and would not hesitate to recommend it to educational peers.”
During the competition youngsters had to prove their ability to spot the next big investment prospect by researching, analysing and pitching a company, from a selection of 38 businesses, they considered a great long-term venture.
The North Berwick High School team alongside two other teams pitched renewable energy company Ørsted, the fourth picked Accsys Technologies which produces high-performance building material from renewable wood sources. All considered environmental sustainability of central importance.
Mairi Dudley, Head of UK Market Development at Ørsted, said: “We are honoured to have been chosen by so many of these high-achieving girls as their investment of choice. As the world’s most sustainable energy company, we hold social sustainability and inclusion at the highest value.
“Reducing barriers and widening participation in traditionally male-dominated industries is vital for us to keep achieving our goals and protecting the environment. It’s inspiring to see these values held in such high esteem by future generations.”
More than 80 groups, totalling almost 370 girls, took part from all over Scotland. They were mentored by more than 80 investment management professionals offering advice, inspiration and career insights, and supported by teachers.
Fund Manager for Artemis and judge for the Senior competition, Neil Goddin says: “What a fantastic finals day we had; the standard of presentations was extremely high and all the teams, both in the final and the wider competition, should be proud of the effort they put in.
“Watching the confidence and knowledge levels grow through the competition was great to see and I am sure we will see lots of young females joining the asset management in the coming years.”
More than 80 groups, totalling almost 370 girls, took part from all over Scotland. They were mentored by more than 80 investment management professionals offering advice, inspiration and career insights, and supported by teachers.
Chief Operating Officer for Martin Currie, Jennifer Mair says:“Martin Currie recognises the value of a diverse workforce and we partner with a number of organisations to grow diversity in the investment management industry.
“We support Future Asset with their aim of informing female talent about financial services and the range of possible career opportunities in the sector. We were delighted to act as mentors for and share insights with the team from North Berwick High School. We are very proud of their achievement in the recent Growing Future Assets Investment Competition.”
Helen Bradley, Future Asset programme manager, says: “The judges were hugely impressed by all the teams. The standard was fantastically high and all the presentations were worthy of industry professionals.
“The winning senior team, Lochaber High School, delivered passion and commitment that the panel felt was unrivalled.”
Entries are now open for VIBES – Scottish Environment Business Awards, and companies across Scotland of all sizes with a green ethos that have demonstrated significant business benefits from good environmental practice are being encouraged to enter.
The VIBES – Scottish Environment Business Awards are a partnership between the Scottish Environment Protection Agency (SEPA), The Scottish Government, Energy Saving Trust, Highland & Islands Enterprise, Scottish Enterprise, South of Scotland Enterprise, Scottish Water, Zero Waste Scotland and NatureScot.
This year’s award categories include: Leadership Scotland, Innovating Scotland, Product Scotland, Service Scotland, Hydro Nation Scotland, Circular Scotland, Moving Scotland, Adapting Scotland, Engaging Scotland, Partnership Scotland, Small Business Scotland.
Businesses in Scotland have already felt the impact of the risks associated with climate change, and food producers and whisky distillers were faced with water scarcity last summer furthering the drive for positive and radical environmental action.
Organisations are being encouraged to follow the example of firms such as Vegware and Paterson Arran Ltd. who have shown that environmental best practice can also bring economic benefits including financial savings, an engaged workforce, positive working culture and improved competitiveness as well as contributing towards a better economy and society as a whole.
Since its inception in 1999, the VIBES Scottish Business Awards, have recognised and rewarded businesses that have championed sustainability by identifying ways to tackle the impact on the planet by reducing consumption on its resources.
This has included everything from increasing recycling and facilitating active travel to reducing consumption of raw materials by adopting a more circular approach.
Bob Downes, chair of SEPA and head of the VIBES judging panel, said: “Scotland is a leader in climate change action and successful businesses recognise the economic benefit from driving environmental innovation and best practice.
“Every business in the country has a role to play in leading Scotland to Net Zero. The VIBES awards recognise those businesses that are developing sustainable solutions and helping to achieve net zero of all greenhouse gases by 2045.
“We are looking for entries from businesses who are taking the lead in the transition to a net zero emissions economy through innovation, partnerships, circular economy, adaptation and a commitment to making the environment a key factor in decision making.
“These creative and pioneering organisations will be those who champion best practice and create sustainable goods, products and services through leadership, innovation and ambition, making a positive environmental impact protecting our plant for future generations.”
Prize-winning SMEs to take the stage at Scotland’s national innovation summit
The Summit announces new keynote speaker, Mari-Anne Chiromo, Entrepreneur and Business Growth & Effectiveness Specialist
Three of Scotland’s most innovative SMEs have secured a global audience spot at the CAN DO Innovation Summit after entering a competition to appear on the events #SMEstage.
The successful candidates; FC Laboratories Ltd, Cheemia ReSET and Danu Robotics Ltd, will join a host of world-class speakers, addressing an audience of over 800 investors, academics, entrepreneurs and innovators at the third-annual event held virtually on 23rd February 2022.
The competition, open to all small and medium sized Scottish businesses, required applicants to submit a short video demonstrating how their business drives innovation that is creating solutions to society’s biggest challenges.
The three winners were chosen from a wide variety of high-quality submissions and will now claim their prize spot on the Summit’s SME stage and will also benefit from two days of support from an Innovation Specialist at Scottish Enterprise worth £2K to help take their idea to the next level.
This year’s virtual CAN DO Innovation Summit will connect start-ups and SMEs with leading innovators, entrepreneurs, and academics from across the globe to explore new opportunities that marry purpose and profitability. It will feature a speaker line-up of over 40 multi-sector SMEs and a range of innovation support agencies across 12 industry-led panel sessions.
Keynotes, panel discussions and live Q&A sessions will run throughout the day covering practical insights on how people power, combined with the right tech, as well as sustainable and inclusive business practices can accelerate and enable a smoother digital transformation journey for businesses.
Mari-Anne Chiromo, Entrepreneur and Business Growth & Effectiveness Specialist at Apple is the latest name to join the selection of world class keynotes speaking at the event.
Further speaker highlights on the day include:
Kate Forbes MSP, Scottish Government
Wade Davis, Feminist, Former NFL Player and Educator on gender, race, and orientation equality (consulted with Netflix, Google and Viacom)
Gayemarie Brown, Forbes Top 25 Futurist, plus many more.
Delegates from a range of sectors – from fintech and health to manufacturing and the creative industries – have already signed up to this year’s event looking to expand their networks, learn about progressive workplace cultures and business models, and make connections for innovative project collaborations.
Dr Laura Bell of the CAN DO Innovation Summit, said:“Recent social and economic changes have created unprecedented challenges for SMEs and we would encourage them to attend the CAN DO Innovation Summit to be part of our vision of making Scotland a world-leading entrepreneurial nation.
“This virtual focal point for business will help SMEs adopt new technologies, build progressive working cultures and access the right support for innovation-led recovery and growth. We have a wide selection of world-leading speakers lined up for the event, as well as interactive sessions which can benefit SMEs across all sectors.
“I’d like to thank our panel of judges for selecting three excellent winners to take their well-earned place in the spotlight at the summit on the #SMEstage. We look forward to welcoming many more SMEs on 23 February.”
The #SMEstage competition winners were selected by an independent panel of judges made up of Evelyn McDonald, CEO at Scottish EDGE, Enoch Adeyemi, CEO at Black Professionals Scotland and Colin Meager, Innovation Team Lead, Scottish Enterprise.
FC Laboratories Ltd, Cheemia ReSET and Danu Robotics Ltd will appear at the Summit at 4pm to showcase how they are building innovation into their daily practices.
Colin Meager said: “It’s inspiring to see that, despite the economic and societal challenges we are facing, there are a wealth of entrepreneurs and businesses in Scotland using digital transformation to develop new business models and more innovative products and services.
“Winning the competition will give these businesses access to useful connections and support as well as linking them into invaluable practical support from Scottish Enterprise.”
Early Bird rates are available for a limited time. If you’re keen to attend the Summit but the cost would prevent you from attending, visit the CAN DO Innovation website for info on how to get access.
For more information on the event and to register, please visit:
Midlothian-based gift and stationery producer Southfield Stationers has merged with Edinburgh digital printer Digital Typeline Publications (DTP).
The newly, merged business will call upon the well-respected market presence of both brands to trade as DTP Southfield and will offer an extensive range of print services to an already wide array of markets.
DTP Southfield will bring together two skilled teams creating an experienced workforce of twenty. DTP Southfield will be moving from the current two locations to the twenty-thousand square feet, old paper mill building at Inveresk Mills in Musselburgh, East Lothian.
The assistance of East Lothian Council in bringing the business to the area will help facilitate future employment opportunities and other benefits to the local economy.
Alun Joseph, MD of DTP said: “I am excited we have merged with a company we have known and trusted for many years. The Southfield name is well respected in the market and I look forward to taking it forward.
“We will be growing our new facility and product range over the coming months and years while continuing to look after our existing customers with the level of service and all the products they know us for today.”
Family-owned DTP which has over thirty five years’ experience in print, was formed as a high street photo processing lab in 1983 and turned to digital print in 1994. A market leader in digital print service, DTP produces high-quality digital print with the ability to enhance print items with metallic, white and neon pink print as well as bespoke foiling, digital die-cutting and short run creative packaging.
Southfield has been providing a wide range of paper and stationery products for over forty years. For the last twenty its offering of gift items has expanded, making Southfield one of the premier suppliers to gift and craft shops around the UK.
Several customers of both companies have already expressed interest in the new products and possibilities from DTP Southfield. Notably, those in the hospitality sector, gift shops, and artists are keen to benefit from the products now available to them from the company they already know and trust.
Derek Muller, who is standing down as MD of Southfield Stationers, said: “As everyone became tired of seeing the same mass-produced products on display in every high street across the UK, we created a range of high-quality, bespoke giftware for UK retailers.
“We have always provided retailers with products that will stand out from the crowd, and all made in the UK.
“We also work with a lot of artists directly, working closely with them and their original artwork to create beautiful, hand-made gift ranges.
“I am proud of what we have built over the last forty five years and believe that the Southfield name and loyal customers will be looked after and continue to grow in the hands of Alun who will now lead the merged business.”
58% of firms expect their prices to increase in the next three months, the highest on record. 66% of businesses cited inflation as a concern, also a record high
1 in 4 (27%) firms were worried about rising interest rates, as concerns over rate hikes among manufacturers reach record high
Just under half of firms (45%) reported increased domestic sales in Q4, compared to 47% in Q3
The BCC’s Quarterly Economic Survey (QES) – the UK’s largest independent survey of business sentiment and a leading indicator of UK GDP growth – has shown the recovery stalled in the fourth quarter, with firms facing unprecedented inflationary pressures.
The survey of almost 5,500 firms showed that some indicators also revealed a continued stagnation in the proportion of firms reporting improved cashflow and increased investment. Inflation is the top issue for firms, while a rise in the interest rate was also a cause for concern for many.
Business activity
45% of respondents overall reported increased domestic sales in Q4, down from 47% in Q3. 16% reported a decrease, unchanged from Q3.
In the services sector, the balance of firms reporting increased domestic sales dropped to +26% in Q4, from +31% in Q3.
In the manufacturing sector, the balance of firms reporting increased domestic sales was +22% in Q4, down from +28 in Q3.
Prior to the surge in Omicron infections, hotels and catering had been most likely to report increased domestic sales (55%). This represented the beginning of a potential recovery as the sector was also the most likely to report decreased sales throughout the rest of the pandemic.
94% reported decreased sales and cash flow at the start of the pandemic in Q2 2020. Worryingly, a similar decline is now possible in the face of the Omicron variant and the implementation of Plan B which led to new restrictions for some.
Unprecedented Inflationary Pressures
58% of firms expect their prices to increase in the next three months, the highest on record. Only 1% expected a decrease.
The percentage expecting an increase rises dramatically to 77% for production and manufacturing firms, 74% for retailers and wholesalers, 72% for construction firms, and 69% for transport and distribution firms. These are the highest on record.
When asked whether firms were facing pressures to raise prices from the following factors, 94% of manufacturers cited raw materials, 49% cited other overheads, 30% cited pay settlements, and 13% cited finance costs.
When asked what was more of a concern to their business than three months ago, 66% of firms overall cited inflation (compared to 52% in Q3 and 25% in Q4 2020), the highest on record. For production and manufacturing firms, this rises to 75%.
Concerns over higher interest rates rise sharply
The percentage citing interest rates as a concern rose in the quarter. 1 in 4 firms (27%) reported interest rates as a concern, up from 19% in Q3.
The percentage mentioning interest rates as worry among manufacturers stood at 28% in Q4, the highest seen since the metric was first collected in Q4 2009 and up from 21% in Q3.
The percentage citing interest rates a concern among service sector firms stood at 29% in Q4, the highest seen since Q3 2014 and up from 22% in Q3.
Little recovery to Cash Flow
For firms overall, 31% reported an increase to cash flow, while 46% reported no change and 23% reported a decrease.
Given these figures were reported before the full impact of Omicron and the introduction of Plan B, this metric is a cause for concern, as some firms are still struggling to recover from large scale losses incurred since the start of the pandemic.
Most firms still not investing
Investment in plant, machinery, or equipment also continued to flatline in Q4, with 29% overall reporting an increase, while 60% reported no change, and 11% a decline. This was largely unchanged from Q3 and Q2.
Suren Thiru, Head of Economics at the British Chambers of Commerce (BCC), said:“Our latest survey suggests that UK’s economic recovery slowed in the final quarter of 2021 as mounting headwinds increasingly limited the key indicators of activity.
“The persistent weakness in cash flow is troubling because it leaves businesses more exposed to the economic impact of Omicron, rising inflation and potential further restrictions.
“The record rise in price pressures suggests that a substantial inflationary surge is likely in the coming months. Rising raw material costs, higher energy prices and the reversal of the VAT reduction for hospitality are likely to push inflation above 6% by April.
“The notable uptick in concerns over higher interest rates underscores the need for the Bank of England to proceed with caution on further rate rises to avoid undermining confidence and an already fragile recovery.
“The UK economy is starting 2022 facing some key challenges. The renewed reluctance among consumers to spend and staff shortages triggered by Omicron and Plan B may mean that the UK economy contracts in the near term, particularly if more restrictions are needed.
“Rising inflation is likely to limit the UK’s growth prospects this year by eroding consumers’ spending power and squeezing firms’ profit margins and their ability to invest.”
Responding to the findings, Director General of the British Chambers of Commerce, Shevaun Haviland, said: “Our latest survey paints a challenging picture for the UK economy as we start 2022.
“Many businesses were facing a struggle to improve their cashflow and raise investment even before the Omicron variant surged and Plan B was imposed.
“Supply chain disruption is continuing to persist, inflation is soaring, and rising energy costs are presenting firms with a huge headache.
“With companies now having to grapple with the impact of Omicron and further changes to the rules on imports and exports of goods to the EU, there are significant hurdles for businesses in the months ahead.
“The Government has listened to our previous calls for support, and it must do all it can to steady the ship and steer the economy through these uncertain times. If the current restrictions persist or are tightened further then a more comprehensive support package that matches the scale of any new measures, will need to be put in place.
“The focus must be on creating the best possible environment for businesses to grow and thrive. By supporting firms, they can begin to generate wealth, create jobs and support communities.
“That is by far the best way to sustainably deliver the tax revenue the government needs to support public services and the wider economy.”
As one of the few husband and wife teams working in the specialist surveying sector of business sales and valuation with DM Hall, Margaret and Jonathan Mitchell see eye-to eye about their ambitions for their revitalised department.
But there is scope for difference of opinion on some matters. Asked if they take work home to the kitchen table, Jonathan emphatically replied: “Yes!” At the same moment, and equally emphatically, Margaret said: “No!”
The fact that they then both burst out laughing perhaps reflects the comfortable nature of a relationship which is introducing a new dynamism into the Scotland-wide firm’s business sales and valuation department.
Since the Edinburgh-based team took on responsibility at the beginning of the year for the division, which advises clients at national and local level on valuation, sales, and acquisitions, it has boosted both completed and pipeline sales.
The speed at which they have reinvigorated the department – Margaret moved over to the department in March this year and Jonathan returned to DM Hall after several years in the wider UK – has parallels in their own relationship.
They met while working at DM Hall in Fife and, in a classic whirlwind romance, became engaged to be married within 10 days.
“Although our working life might come up as a subject of conversation at home,” said Jonathan, “it is not all-consuming and, certainly in the office and in our dealings with clients, we maintain a strictly professional demeanour.
“But obviously, we know each other well, and that makes it so much easier to work together as a cohesive team, with shared ambitions and aims, for the benefit of our clients.”
Although Scotland is still very much in the recovery phase from Covid, the business sales market is vibrant and continues to display healthy signs of activity and volume, said Margaret.
“Most market sectors, particularly including licensed and leisure, were impacted by the on-off shutdowns over the past year and a half and, now that restrictions have been lifted, there is a surge in turnover since people are just desperate to get out and spend.
“With this sudden profitability, many businesses are refilling their financial coffers and paying back loans, but many business owners are also reflecting on where they want to go in life and concluding that it is a very good time to sell.”
Retirement is a significant driver in DM Hall sales, which tend to specialise in individual businesses, and the department has developed a niche in understanding the emotional bonds which owners build up over decades of business life.
“Part of where we fit is to listen and to understand their concerns. That is a key component of our brand. We provide professional, strategic advice, whether it is selling, buying or valuing, but we also have a comprehensive and detailed local knowledge and an unrivalled network of contacts throughout the country.
“We are not a call centre, with one-size-fits-all responses, and neither are we jacks of all trades. We understand the local market, the integral importance of profit and loss and the professional and personal imperatives of our clients.”
While at the moment in the marketplace willing sellers in search of willing buyers are in the ascendancy, the Mitchells argue that businesses which used the hiatus of the pandemic to refurbish, put training schemes in place, take the opportunity to trim costs and generally put the wheels in motion to reposition their offering will continue to thrive and will see greatest demand if presented to the market.
Meanwhile, despite kitchen table differences of opinion, the Mitchells agree about one thing: that the business sales and valuation department of DM Hall has a bright and sustainable future!
Jonathan Mitchell is an Associate RICS Valuer and Margaret Mitchell MRICS is a Chartered Surveyor in the Edinburgh Commercial office of DM Hall Chartered Surveyors.
For further information, contact DM Hall Chartered Surveyors, 17 Corstorphine Road, Edinburgh EH12 6DD. T: 0131 477 6000. E: edinburgh@dmhall.co.uk.
A PRINT and design firm based in Leith has rewarded its employees with the keys to the business following their hard work during the global pandemic.
Launched from the living room of couple Bob and Joelle Kirkpatrick in the middle of the 2008 financial crash; Wee Blue Coo Ltd has established itself as a successful business, dispatching thousands of products globally each week and selling its products on multiple online marketplaces.
Bob and Joelle were both made redundant from their jobs in 2006 before setting up their business, creating posters from public domain images to retail on eBay. Fast forward 15 years, they now have a strong team of 30 members of staff – some of which have been employed for more than 10 years – and have an annual revenue of more than £2 million.
Having previously gifted a 10% shareholding to long term employee Allan Gray for his hard work and dedication, the three shareholders agreed that the move to employee ownership was in line with the company’s values by safeguarding the future of the business for the benefit of its employees.
The entrepreneurs began exploring the succession model in 2019 before enlisting the help of David Morrison of EQ Accountants. The owners began the process of transitioning to an Employee Ownership Trust at the start of 2021 with the move being facilitated by expert Carole Leslie from Ownership Associates as well as the teams at EQ Accountants and Anderson Strathearn.
Bob Kirkpatrick said: “There are perhaps more well-known ways to make an exit from a business, however, this was the only real option to ensure we safeguarded the futures of those who have contributed to our company’s success.
“The Employee Ownership Trust seems like a perfect and logical way to structure any business.”
Joelle Kirkpatrick added: “Being a people led business has always been the very essence of who we are, which is why becoming an Employee-Owned business was the only option that was seriously considered.
“Running our business this way has ensured we have a motivated and dedicated team who feel valued. That has always been more important to us than the bottom line. Relaying this news to our team has, without a doubt, been the highlight of my career so far.”
Bob and Joelle have always sought to take care of their staff with perks such as flexible working and providing private healthcare to all employees with more than one years’ service.
Naturally the couple felt this was the next step for their business. The team were shocked and delighted at the news and are very excited at being given the opportunity to shape the future of Wee Blue Coo Ltd.
Graeme Slater, Warehouse Manager, said: “Now that we are an employee-owned company it means that we all have a say in the direction the company takes in the future.
“This is a great opportunity to help us to grow as a company and offers us the chance to enjoy a more secure and prosperous future.”
David Morrison, Partner at EQ Accountants, said: “Having advised Bob, Joelle and the team for many years, it is great to see them safeguard the future of their business by handing control to their dedicated workforce.
“This is great example of using an EOT as a solution to succession, whilst ensuring that employees are rewarded for their hard work. We look forward to continuing to support Wee Blue Coo as they thrive as an employee-owned business.”
The Employee Ownership Trust was introduced in the 2014 Finance Act to encourage business owners to consider a sale to employees as a feasible succession solution.
Founder of Ownership Associates, Carole Leslie, who has worked on the transitions of more than 80 private businesses to the succession model, said: “We are continuing to see increased interest from a variety of different businesses across contrasting sectors in making the move to employee ownership.
“It is inspiring to see two entrepreneurs succeed in their business throughout the difficulties of redundancy and a global financial crash. It is testament to their hard work that they have reached this momentous milestone.
“Bob and Joelle have always looked to put their staff first, and this transition is another chapter for the couple and the business. I would like to congratulate Wee Blue Coo Ltd, and wish them all the best in their future endeavours.”
Ownership Associates works exclusively within the employee-owned sector, supporting companies on their move to employee ownership and working with established employee owned businesses enabling them to maximise the ownership advantage.
Governments, farmers and businesses commit to urgent action to protect our land and make our agriculture and food systems more sustainable for the future
Forty-five governments, led by the UK, will pledge urgent action and investment to protect nature and shift to more sustainable ways of farming at the COP26 Nature and Land-Use Day happening today (Saturday 6 November).
Approximately one-quarter of the world’s greenhouse gas emissions come from agriculture, forestry and other land-use – creating an urgent need to reform the way we grow and consume food in order to tackle climate change.
Urgent action on land use is needed as demand for food increases. We are currently losing forests, damaging soils and rapidly destroying other ecosystems that play a critical role in absorbing carbon and cooling the planet. Farmers’ livelihoods are also under increasing pressure as climate change impacts on productivity. To help farmers adapt and to make our food system more resilient for the future, more sustainable practices are essential.
Countries from across the world will set out their commitment to transform agriculture and food systems through policy reforms, research and innovation in order to reduce emissions and protect nature, whilst securing food and jobs.
This includes leveraging over US$4 billion of new public sector investment into agricultural innovation, including the development of climate resilient crops and regenerative solutions to improve soil health, helping make these techniques and resources affordable and accessible to hundreds of millions of farmers.
This commitment includes a pledge to support internationally agreed “Action Agendas” which set out steps that governments, farmers and others can take through policy reform and innovation to deliver the changes necessary for sustainable food systems.
Sixteen countries will launch a “Policy Action Agenda” and more than 160 stakeholders will join a “Global Agenda for Innovation in Agriculture” to lead the way on the global transition towards climate resilient agriculture and food systems to more sustainable ways of farming.
As part of the Prime Minister’s commitment to spend at least £3 billon of International Climate Finance on nature and biodiversity, the UK will launch a new £500 million package to help protect five million hectares of rainforests from deforestation, an area equivalent to over 3.5 million football pitches.
The funding will create thousands of green jobs, including in sustainable agriculture and forestry, throughout rainforest regions and generate £1 billion of green private sector investment to tackle climate change around the world.
Speaking ahead of Nature and Land-Use day, Environment Secretary George Eustice said: “To keep 1.5 degrees alive, we need action from every part of society, including an urgent transformation in the way we manage ecosystems and grow, produce and consume food on a global scale.
“We need to put people, nature and climate at the core of our food systems. The UK government is leading the way through our new agricultural system in England, which will incentivise farmers to farm more sustainably, create space for nature on their land and reduce carbon emissions.
“There needs to be a fair and just transition that protects the livelihoods and food security of millions of people worldwide – with farmers, indigenous people and local communities playing a central role in these plans.”
UK will also outline a range of new funding commitments from the £3 billion fund for nature, including:
Nearly £25 million out of the £150 million from BEIS’ Mobilising Finance for Forests (MFF) programme will be invested to develop sustainable supply chains in tropical countries
An investment of over £38 million into a new global research initiative through the world’s leading agricultural research organisation, the CGIAR (formerly the Consultative Group for International Agricultural Research), to address the climate crisis and protect nature while advancing gender equality, poverty reduction, and food and nutrition security
The UK will contribute up to £40 million of international climate finance to establish the Global Centre on Biodiversity for Climate. The Global Centre will address critical research gaps in how the conservation and sustainable use of biodiversity can deliver climate solutions and improve livelihoods in developing countries
The UK will also launch a £65 million Just Rural Transition support programme to help developing countries move towards more sustainable methods of agriculture and food production. This will include support to ensure that farmers are included in policy-making processes, including through consultations, trials and pilot programmes for new technologies and approaches.
The UK will announce its support for the US/UAE-led Agriculture Innovation Mission for Climate (AIM4C) which will mobilise over £4 billion of new global public sector investment in agricultural innovation, research and development over the next five years with contributions from over 30 countries for public and private sector as well as knowledge partners.
These new partnerships will help accelerate adoption of more climate resilient and sustainable agriculture practices to deliver healthy diets, improve the trade in agricultural goods, contributing to a healthier planet and a more prosperous future.
The production of commodities such as beef, soy, palm oil and cocoa is a major driver of deforestation. Twenty-eight governments, including the UK, representing 75% of global trade in key commodities that can threaten forests – such as palm oil, cocoa and soya – have come together through the Forest, Agriculture and Commodity Trade (FACT) Roadmap which was created at COP26 to deliver sustainable trade and reduce pressure on forests, including support for smallholder farmers and improving the transparency of supply chains.
As holders of this year’s G7 and COP26 Presidency, Nature and Land-Use day will build on the Government’s promise to lead both the UK and the nations of the world to build back greener, secure a global net zero and keep 1.5 degrees within reach.
In a landmark step, almost 100 high-profile UK companies will agree to work towards halting and reversing the decline of nature by 2030 and commit to getting ‘Nature Positive’. This includes OVO Energy announcing its commitment in planting one million trees in the UK within the next year and Severn Trent pledging to restore over 2,000 acres of peatland across England and Wales by 2025.
Burberry has also unveiled a new biodiversity strategy, which includes the assurance that all its key material will be 100% traceable by 2025, for instance, through sourcing more sustainable cotton, leather and wool, as well as recycled polyester and nylon.
Commitments also include a pledge by Co-op, M&S, Sainsbury’s, Tesco and Waitrose to cut their environmental impact across climate, deforestation and nature in a ‘Retailers Commitment for Nature’ with WWF.
UK Clean Growth, Energy and Climate Change Minister Greg Hands said: “If we are to keep the 1.5 degrees target in reach, we need to work with other nations to halt global deforestation, investing in the sustainable trading of commodities that will help communities thrive, while protecting our planet for generations to come.
“Backed by a £500m package of support, today’s historic UK commitment at COP26 will help protect millions of hectares of land, boosting rural communities and forest-friendly businesses, while creating thousands of green jobs across the world’s rainforest regions.
WWF Chief Executive Tanya Steele said: “The climate and nature crisis are two sides of the same coin and we can’t turn things around unless we transform our food system, which is destroying forests and habitats in some of our most fragile landscapes.
“The commitment from leading UK supermarkets to halve the food retail sector’s environmental impact by 2030 will help millions of families make their weekly shop greener and help reverse the loss of nature.”
Justin Adams, Executive Director, Tropical Forest Alliance, World Economic Forum said: “The FACT Dialogue process has created new momentum – from 28 countries – to work on issues of trade, forests and finance in an integrated way.
“Bringing these governments together – from the global south and north – to tackle the issue of commodity production and deforestation head on is a very significant development. Continued dialogue after COP26 will be critical to progress.”
The full package of commitments and action includes:
Agricultural reform and innovation:
A Global Action Agenda on Innovation in Agriculture – launched today – to transform food systems under climate change. It was launched with support from more than 150 allies from governments, researchers, farmers and businesses. It will drive action to close the innovation gap that limits our efforts to adapt to and mitigate climate change, while accelerating efforts towards greater food security around the world.
The Policy Action Agenda – launched today – sets out pathways and actions that countries can take to repurpose public policies and support to food and agriculture, to deliver these outcomes and enable a just rural transition. It also sets out actions and opportunities for other stakeholders (international organisations, food producers, financial entities, researchers, civil society and others) to channel their expertise, knowledge and resources in support of this agenda.
A new global initiative launched to reach 100 million farmers at the centre of food systems transformation with net zero and nature positive innovations by 2030 via a multistakeholder platform convened by World Economic Forum (WEF) involving farmers’ organisations, civil society, businesses and other partners.
New UK funding to the CGIAR (formerly the Consultative Group for International Agricultural Research) the world’s leading agricultural science and innovation organisation, which will create and scale new crops and technologies yielding climate, nature, health, gender and economic impact (£38.5m over two years). Funding will support the development and deployment of:
Crop varieties that are climate-resilient (more resistant to heat, drought and flooding) and more nutritious (with elevated levels of essential micronutrients);
agricultural practices that are more productive, sustainable and climate-resilient;
new livestock varieties, diagnostics and management practices, which reduce the risks faced by pastoralists and livestock keepers;
Foresight and trade off tools for risk management of, and resilience to, major threats emerging from the food system, including anti-microbial resistance and emerging zoonotic diseases;
evidence on better policies to help poor farmers use new technology to access markets, reduce risks and increase incomes.
A new UK Government initiative to transform climate-resilient food systems through research and innovation. The Gilbert Initiative will coordinate investments in evidence generation, technology development and delivery to support a food system that by 2030 feeds nine billion people with nutritious, safe foods; uses environmental resources sustainably; enhances resilience and adaptation to climate change; and generates inclusive growth and jobs.
Ocean Action:
At COP26, more than 10 new countries signed up to the 30by30 target, including Bahrain, Jamaica, St Lucia, Sri Lanka, Saudi Arabia, India, Qatar, Samoa, Tonga, Gambia and Georgia.
The UK announced a £6m investment into the World Bank’s PROBLUE, as part of its Blue Planet Fund – supporting the development of the blue economy to act as a key driver of growth in small island developing states (SIDS) and coastal least developed countries. The programme works across a broad range of activities, from sustainable tourism to developing aquaculture markets; from fostering the transition to circular economies to investment into NbS as a powerful vehicle for delivering disaster risk reduction and improved water resource management.
The UK also announced it that it will be contributing to a UN-led programme to support the government of Fiji in issuing its first sovereign blue bond. The blue bond will help to create a supportive environment for sustainable ocean finance in Fiji, supporting projects that improve ocean health and support the livelihoods of coastal communities.
The UK has also announced an additional £1m contribution to the Global Fund for Coral Reefs (GFCR), in addition to the £5m we announced earlier this year. GFCR is dedicated to the conservation and restoration of coral reef ecosystems and the communities that depend on them. The UK’s contribution will go into helping developing countries within the Caribbean, India Ocean, Pacific and Southeast Asia prevent the extinction of vital coral reefs by exploring techniques such as sewage treatment and the management of marine protected areas.
The Ocean Risk and Resilience Action Alliance, a multi-sector collaboration designed to drive investment into coastal natural capital by pioneering ground-breaking finance products that incentivise blended finance and private investment, hosted a roundtable yesterday that saw commitments towards the partnership’s target to secure over at least $20m USD from largely private finance.
The UK announced its intention to work together to help establish a new cross-Administration UK Blue Carbon Evidence Partnership to progress the evidence base on these habitats. Through this partnership, UK Administrations will work together to address key research questions related to blue carbon policy, including working to fill the evidence gaps that currently hinder inclusion of saltmarsh and seagrass habitats into the UK Greenhouse Gas Emissions Inventory.
The UK also announced that the Environment Agency have published pioneering toolkits to support the restoration and protection of blue carbon habitats to combat climate change. The three handbooks will focus on saltmarsh, seagrass and intertidal sediments and will be instrumental in informing the restoration of blue carbon habitats in the UK and beyond.
Sustainable production and consumption:
The Forest Agriculture Commodity Trade (FACT) Dialogue, co-chaired by the UK and Indonesia, was launched in February 2021 and brings together 28 of the largest consumer and producer governments of beef, soy, cocoa and palm oil. They have collaborated to ensure that these goods can be traded in a way which strengthens economic development, food security and improves livelihoods – while avoiding deforestation that causes climate change and biodiversity loss.
The FACT roadmap identifies actions on four critical and related areas of work which are central to achieving the FACT Dialogue’s overall objectives: trade and market development, smallholder support, traceability and transparency, and research, development and innovation. This roadmap actions puts countries on a path to ending deforestation whilst promoting sustainable trade and development.
The £500m UK funding package drawn from the £3bn International Climate Finance committed for nature and biodiversity will fund a second phase of the Investment in Forests & Sustainable Land Use (IFSLU) programme and will support the delivery of the FACT Roadmap.
Private Sector Action:
The CEOs of Co-Op, M&S, Sainsbury’s, Tesco and Waitrose have joined forces to sign WWF’s ‘Retailers Commitment for Nature’ in which they commit to cutting their environmental impact across climate, deforestation and nature and leading the way for the whole food retail sector to halve its overall impact on the natural world by 2030. The supermarkets have committed to take action across seven areas – climate change, deforestation, sustainable agriculture, sustainable diets, marine, waste and packaging.
Chancellor to set out plans for UK to be the world’s first net zero aligned financial centre, calling for other countries to follow suit
Over $130 trillion – 40% of the world’s financial assets – will now be aligned with the climate goals in the Paris Agreement, thanks to climate commitments from financial services firms
New UK climate finance projects funded from the UK’s international climate finance commitment will help developing countries to fund green growth and adapt to the changing climate
The Chancellor will set out the UK’s plans to become the world’s first net zero aligned financial centre and welcome “historic” climate commitments from private companies covering $130 trillion of financial assets as he hosts Finance Day at COP26 today (3 November 2021).
These commitments will help to create a huge pool of cash that could fund our net zero transition, including the move away from coal, the shift to electric cars, and the planting of more trees.
Convening the largest ever meeting of finance leaders on climate change, Rishi Sunak will set out the UK’s “responsibility to lead the way” and unveil a fresh push to decarbonise our world-leading financial centre.
Under the proposals, there will be new requirements for UK financial institutions and listed companies to publish net zero transition plans that detail how they will adapt and decarbonise as the UK moves towards to a net zero economy by 2050.
To guard against greenwashing, a science-based ‘gold standard’ for transition plans will be drawn up by a new Transition Plan Taskforce, composed of industry and academic leaders, regulators, and civil society groups.
In his opening keynote at Finance Day, Mr Sunak will hail the progress made to “rewire the entire global financial system for net zero” under the UK’s leadership of COP and reveal that over $130 trillion – around 40% of the world’s financial assets – is now being aligned with the climate goals in the Paris Agreement, including limiting global warming to 1.5C.
These commitments come from over 450 firms from all parts of the financial industry, based in 45 countries across six continents, and have been delivered through the Glasgow Financial Alliance for Net Zero (GFANZ), which was launched by the UK to harness the power of the financial sector in the transition to net zero.
The UK has also worked as chair of the G7, and in partnership with other G20 countries, to ensure all economic and financial decisions take the risks of climate change into account. The UK has convened over 30 advanced and developing countries from across 6 continents and representing over 70% of global GDP to back the creation of a new global climate reporting standards by the IFRS Foundation to give investors the information they need to fund net zero.
Celebrating this progress, the Chancellor will urge financial firms to “mobilise private finance quickly and at scale” and call on governments to enact bold climate policies to take advantage of these enormous financial resources.
Reiterating the importance the UK COP Presidency has placed on getting finance to the most vulnerable countries, Mr Sunak will also highlight that the $100 billion climate finance target will be met by 2023 and urge developed countries to boost their support to developing countries – including by helping them tap into the trillions of dollars committed to net zero by the private sector.
The UK will seek to address barriers to finance faced by developing countries with a series of new green initiatives funded from its international climate finance (ICF) commitment, including £100 million to respond to recommendations from the UK co-chaired Taskforce on Access to Climate Finance to make it faster and easier for developing countries to access finance for their climate plans.
In total, the UK will spend £576 million on a package of initiatives to mobilise finance into emerging markets and developing economies, including £66 million to expand the UK’s MOBILIST programme, which helps to develop new investment products which can be listed on public markets and attract different types of investors.
And in a further advance towards the $100 billion goal, the Chancellor will announce the launch of an innovative new financing mechanism – the Climate Investment Funds’ Capital Markets Mechanism (CCMM) – that will boost investment into clean energy like solar and wind power in developing countries.
The UK is already the biggest donor to the multilateral Climate Investment Funds, having contributed £2.5 billion, and will now give the returns from its investments (known as reflows) to CCMM. This new fund will use reflows to help it issue green bonds worth billions of pounds in the City of London – the world’s leading green finance centre – and could leverage an extra $30-70 billion from other sources for specific clean energy projects.
Janine Hirt, Chief Executive Officer, Innovate Finance said:“As the voice of UK FinTech, we passionately support the development of the UK as the first net zero aligned financial centre.
“Net Zero transition will be driven by finance and capital markets and it will be enabled by technology and data. As a leading global centre for financial services and for financial technology and innovation, the UK can and should lead the way in rewiring the entire global financial system for net zero.”
Dr Ben Caldecott, Director, UK Centre for Greening Finance and Investment (CGFI) Chief said:“This is huge. The world’s largest international financial centre will become the world’s first net zero-aligned financial centre.
“This is underpinned by world-leading regulation and the economy-wide adoption of net zero transition plans. This will spur demand for green finance and accelerate decarbonisation, not just in the UK but wherever UK firms do business.
“This will make a real difference and means the UK financial services sector will play an even larger role in providing the capital and financial services required to deliver net zero globally.”
“The UK Centre for Greening Finance and Investment is excited to act as the secretariat, together with E3G, for the new Transition Plan Taskforce to develop a ‘gold standard’ for transition plans and associated cutting edge metrics.
“We are the UK’s national centre established to accelerate the adoption and use of climate and environmental data and analytics by financial institutions internationally.”
Julie Page, Chief Executive Officer, AON said:“We welcome and support the Chancellor’s plans for the UK to be the world’s first net zero aligned financial centre.
“All industries have an important role in helping to achieve this goal and through Aon’s own 2030 net-zero commitment, we will contribute to this historical commitment and help lead the way towards a net zero economy.”
Dr Rhian-Mari Thomas OBE, Chief Executive, Green Finance Institute said:“Today marks the day that green finance has reached a point of critical momentum. The amount of capital committed to the transition to net zero has reached unprecedented levels.
“The task before us now is to come together in radical collaboration to unlock investment opportunities at speed and scale so we can channel this wall of capital into real economy outcomes that not only positions the UK as the world’s first net zero financial centre but also delivers a just and resilient net-zero global economy”
Kay Swinburne, Vice Chair of Financial Services, KPMG UK said:“This announcement will provide the financial services industry with a valuable set of unified metrics to measure progress towards decarbonisation and it is brave to put a gold standard in place for all companies raising funding.
“We’re pleased to see the UK lead by example by not only establishing the GFANZ initiative, but also expanding private sector commitments and supporting a science based approach to reporting standards.”
James Alexander, Chief Executive, UK Sustainable Investment and Finance Association (UKSIF) said:“We warmly welcome the Chancellor’s ambition to make the UK the world’s first net-zero aligned financial services centre.
“As the first major economy to legislate to cut emissions to net zero by 2050, this is a natural step in the UK’s climate leadership journey and recognises the central role of the sustainable finance sector in addressing the climate crisis.
“UKSIF and our members look forward to actively engaging in these next steps, particularly helping to build a shared definition of a good quality transition plan and more broadly a net-zero finance sector.
“Government and regulators should work closely with the financial services industry to identify the policies and actions required to progress our sector towards this world-leading ambition.”
Investing to tackle climate change
The crucial role of private investment in efforts to achieve net zero will be set out by First Minister Nicola Sturgeon later today (Wednesday) as part of Finance Day at COP26.
The First Minister will join the Mayor of London Sadiq Khan at the opening session of a Green Investment Showcase to detail how private investors can help drive the green industries of the future.
The First Minister will emphasise Scotland’s role as a world leader in sustainable industries and highlight the associated investment opportunities that exist, including through Scotland’s Green Investment Portfolio – now valued at £2 billion and which is expected to reach £3 billion in 2022.
The Showcase, hosted by Scottish Enterprise, will be attended by international and UK-based institutional investors, along with climate and clean tech companies seeking investment.
The First Minister said: “COP26 provides what is possibly our best chance to advance the societal and economic change that is demanded by the climate emergency, delivering lasting action towards net zero and a climate-resilient future.
“By grasping the opportunities provided by green industries and supply chains, we can create the good green jobs of the future and secure a just transition away from fossil fuels.
“The role of private capital is fundamental to achieving this and governments must do what they can to channel investment into areas supporting transformational change.
“Through our Green Investment Portfolio, which is already valued at £2 billion, the Scottish Government highlights a range of exciting, commercially assessed investment propositions to investors and showcases businesses in Scotland as world leaders in innovative green industries of the future.”
Mayor of London Sadiq Khan, said: “COP26 is a landmark moment in the fight against climate change. We need to take bold action now or we will face catastrophic consequences in the years to come.
“Climate action and economic growth must go hand in hand – in London I’m investing in green technology which generates good quality jobs, for Londoners and across the UK. Turning the tide on climate change will require record investment and coordinated action from everyone – cities, businesses, governments and communities.
“That’s why I am committed to working with the Scottish Government in pioneering green investment and I’m proud to announce that I will be committing over £30 million in additional funding in London which will help encourage up to £150 million of private investment in low carbon projects and create jobs that will help achieve our 2030 net zero target.”
With online shopping becoming more and more popular, e-commerce and online business start ups are growing at a rapid rate. In fact, according to the Business Data Group, the UK’s e-commerce start-up sector is booming at levels not seen before.
Its research showed that in the week before the UK’s COVID-19 lockdown was announced, more than 500 e-commerce start-ups were formed. Five weeks later, that figure had risen exponentially to almost 1,300 e-commerce start-ups per week – around 800 more than the same week in 2019.
If you own an e-commerce business, or you’re thinking about starting one, then there are special rules and regulations for operating. Here, Zoe Gibbons (above), partner and e-commerce specialist at Perrys Chartered Accountants, explains what you need to know about selling online:
Do online sellers have to pay tax?
Setting up as an online business is a great way to keep overheads to a minimum and benefit from flexible working arrangements. However, like any other business, an e-commerce business will be subject to paying taxes.
If you are self-employed, including as an online seller, then you’ll need to complete an annual self-assessment tax return to disclose any income and expenditure and submit it online to HM Revenue & Customs (HMRC).
However, there are some exceptions. For example, if you are selling items online and it is not part of a business activity, such as selling second-hand possessions on eBay, then you won’t need to pay tax. However, if you plan to do it regularly, this could count as a business even if you already have a job.
As of 2016, the Finance Act gave HMRC the authority to investigate selling sites of individuals who do not appear to be declaring income. This is assessed based on the following criteria:
Intention to make a profit as opposed to selling for fun or to raise emergency funds
Repetition of similar transactions over a short period of time
Borrowing money to fund transactions
Inability to prove items sold were pre-loved or used before being listed
Items sold at a fixed price in a similar way to other retailers
Limited time between purchase and selling of items
Modification of items in order to sell them for profit
How much can you sell online before paying tax?
If you’re hoping to make a small amount of money from selling online, then the good news is HMRC currently allows for £1,000 to be earned in sales before any tax is payable.
However, even if you’re selling online on platforms such as eBay, Depop and Gumtree, and you’re not a registered business, once you pass the £1,000 earnings threshold you may be liable for tax as a self-employed individual.
What taxes do online businesses need to pay?
Depending on how your business is set up, the following taxes may apply:
Income Tax
Corporation Tax
National Insurance
VAT
Employers’ PAYE
Business rates
It is recommended that you seek the advice of a professional accountant for any e-commerce business tax related matters.
Is there an online sales tax?
In March 2020, HMRC introduced the Digital Services Tax – a 2% tax on the revenues of search engines, social media services and online marketplaces, which derive value from UK users. The majority of businesses affected by this tax are large multi-national enterprises, such as Amazon, Facebook and Google.
However, the UK Treasury is also investigating the options for introducing an online sales tax in response to the recent shift in shopping patterns and online consumer behaviour. Currently, it is considering a 2% online sales tax on e-commerce sellers and marketplaces.
This could mean that e-commerce businesses will need to pay 2% of tax on their online sales to UK customers.
Do you pay taxes when selling online to other countries?
If you sell goods online to customers who are overseas, then other considerations will apply. For example, your goods may require accompanying documentation and could be subject to customs duty and sales tax on arrival at their destination.
If you are in any doubt, then you should seek the assistance of a qualified accountant who has experience dealing with e-commerce businesses.
