Preston's £700m Tithebarn Project has been delayed once again after both Blackpool council and Blackburn with Darwen council objected to the development, claiming it would take trade from their own high streets.
In addition to this, the global economic downturn has left one of the key developers, Lend Lease, short of cash, leaving some local business heads wondering whether the regeneration project will go ahead at all.
However, Preston and Lancashire need the Tithebarn Project to go ahead to compete with the successful developments in other North West cities such as Liverpool and Manchester.
Since gaining city status in 2002, Preston has seen little development in the city centre, where as Manchester has witnessed huge regeneration since the mid 1990s and Liverpool in the last two years in its successful bid to become the European Capital of Culture.
It was revealed last week that employment in Preston had not suffered, despite the national decrease, but the city has seen a rise in temporary jobs available for labourers, joiners and plumbers.
With Preston being fantastically located fairly centrally in Lancashire and having good transport links, the Tithebarn Project would be a great chance for Lancashire to step into the 21st Century.
The University of Central Lancashire has over 32,000 students, boosting Preston's local economy throughout the year, and the development of a modern shopping centre and improved public transport would help attract future students to the city.
This is a golden opportunity for Lancashire's main city to develop and put itself on the map. If the plan falls through, I can't help thinking Preston could be another Lancashire location left behind by its glitzy North West rivals.
Sources:
LEP:
http://www.lep.co.uk/businessnews/Tithebarn-plan-faces-further-delay.4586779.jp
http://www.lep.co.uk/businessnews/Preston-employment-market-not-hit.4602601.jp
UCLan Website
Monday, 20 October 2008
Tuesday, 14 October 2008
It's been a while
Indeed it has. But Britain may well have the scalp of another global triumph, as Gordon Brown pioneered a new European solution to the credit crunch.
Not since the end of the Second World War has Britain made perhaps such a defining decision that could potentially stabilise the worlds financial future for years to come.
With the US dithering over its own problems, a strong lead from elsewhere was needed, with Gordon Brown the surprise man to take on that task.
The announcement of the decision to recapitalise eurozone banks, made in Paris, has been strongly backed by all 15 leaders of eurozone countries, including French president Nicolas Sarkozy and the German Chancellor Angela Merkel.
The importance of the Europe-wide decision to recapitalise banks has seemingly been met with approval with investors too, as global markets have soared as confidence appears to be returning.
In Britain, the FTSE was up by 8%, and in both France and Germany markets increased by more than 11%.
Meanwhile in the US, the Dow Jones recorded its highest point and percentage rise since 1933, rising by 936 points or 11% after news that the US Treasury Secretary Henry Paulson was preparing to implement a similar idea to the tune of $250 billion, in an effort to shore up the nine largest US banks.
What does this mean for the North West? Well, this and the £37 billion injection of taxpayers money to nationalise the British banking industry should mean lending will rise again and credit be obtainable.
The issues at home for Gordon Brown now is to stabilise the rate of inflation, which today stands at a nine year high of 5.2%, as well as attempt to solve the problem of Britain's rapidly deflating housing market.
A global recession may now be inevitable, but a global depression not so.
Sources:
LEP - http://www.lep.co.uk/businessnews/Inflation-hits-nineyear-high.4587684.jp
BBC News - Peston's Picks
The Times - 12th, 13th & 14th October
Not since the end of the Second World War has Britain made perhaps such a defining decision that could potentially stabilise the worlds financial future for years to come.
With the US dithering over its own problems, a strong lead from elsewhere was needed, with Gordon Brown the surprise man to take on that task.
The announcement of the decision to recapitalise eurozone banks, made in Paris, has been strongly backed by all 15 leaders of eurozone countries, including French president Nicolas Sarkozy and the German Chancellor Angela Merkel.
The importance of the Europe-wide decision to recapitalise banks has seemingly been met with approval with investors too, as global markets have soared as confidence appears to be returning.
In Britain, the FTSE was up by 8%, and in both France and Germany markets increased by more than 11%.
Meanwhile in the US, the Dow Jones recorded its highest point and percentage rise since 1933, rising by 936 points or 11% after news that the US Treasury Secretary Henry Paulson was preparing to implement a similar idea to the tune of $250 billion, in an effort to shore up the nine largest US banks.
What does this mean for the North West? Well, this and the £37 billion injection of taxpayers money to nationalise the British banking industry should mean lending will rise again and credit be obtainable.
The issues at home for Gordon Brown now is to stabilise the rate of inflation, which today stands at a nine year high of 5.2%, as well as attempt to solve the problem of Britain's rapidly deflating housing market.
A global recession may now be inevitable, but a global depression not so.
Sources:
LEP - http://www.lep.co.uk/businessnews/Inflation-hits-nineyear-high.4587684.jp
BBC News - Peston's Picks
The Times - 12th, 13th & 14th October
Monday, 6 October 2008
Interest Rates - Cut or Stay Put?
Lancashire business leaders have issued a cry to the Bank of England to cut interest rates this week ahead of the bank's meeting on Wednesday.
Across the North West, business heads have been hoping for a cut, due to be announced on Thursday, to boost investors confidence and attempt to steer Britain clear of a possible recession.
The urge to cut interest rates has been further increased today with the FTSE 100 recording its biggest ever points loss since it was launched in 1984, dropping 391.1 points, resulting in £93.4 billion of shares wiped off the index.
Britain was not alone however, markets across the world were down. The Dow Jones fell below the 10,000 point mark for the first time in four years, while in Europe the Dax and the Cac 40 recorded heavy losses too.
Across the Atlantic, the $700 billion bailout package seems to have had a limited impact so far, with investors clearly keen to keep their hands in their pockets.
In Europe, it appears to be every man for themselves with the Republic of Ireland, Germany and Iceland first, followed by Denmark, Sweden and Spain all willing to put their own deposits before Europe's, scuppering President Sarkozy's proposal of a pan-European solution to the problem.
Chancellor Alistair Darling has moved to ease some worries about savings in Britain by raising the amount of guaranteed bank deposits from £35,000 to £50,000 and announced the Bank of England is to pump another £40 billion into the British banking system.
There's a fine line with cutting interest rates at such a crucial time. Do you cut rates to ease the shackles on the public to encourage spending and squeeze the banks funding further? Or do you keep the banks rate of funding the same in the hope that consumer spending will pick up on the back measures taken in Europe and the US?
There's no doubt on Wednesday Mervyn King and his men have a huge decision to deliver. Get it wrong and make no mistake, recession in Britain will probably be just around the corner.
Sources:
http://news.bbc.co.uk/1/hi/business/7655288.stm
http://www.lep.co.uk/businessnews/Slash-rates-now-plead-bosses.4557961.jp
Across the North West, business heads have been hoping for a cut, due to be announced on Thursday, to boost investors confidence and attempt to steer Britain clear of a possible recession.
The urge to cut interest rates has been further increased today with the FTSE 100 recording its biggest ever points loss since it was launched in 1984, dropping 391.1 points, resulting in £93.4 billion of shares wiped off the index.
Britain was not alone however, markets across the world were down. The Dow Jones fell below the 10,000 point mark for the first time in four years, while in Europe the Dax and the Cac 40 recorded heavy losses too.
Across the Atlantic, the $700 billion bailout package seems to have had a limited impact so far, with investors clearly keen to keep their hands in their pockets.
In Europe, it appears to be every man for themselves with the Republic of Ireland, Germany and Iceland first, followed by Denmark, Sweden and Spain all willing to put their own deposits before Europe's, scuppering President Sarkozy's proposal of a pan-European solution to the problem.
Chancellor Alistair Darling has moved to ease some worries about savings in Britain by raising the amount of guaranteed bank deposits from £35,000 to £50,000 and announced the Bank of England is to pump another £40 billion into the British banking system.
There's a fine line with cutting interest rates at such a crucial time. Do you cut rates to ease the shackles on the public to encourage spending and squeeze the banks funding further? Or do you keep the banks rate of funding the same in the hope that consumer spending will pick up on the back measures taken in Europe and the US?
There's no doubt on Wednesday Mervyn King and his men have a huge decision to deliver. Get it wrong and make no mistake, recession in Britain will probably be just around the corner.
Sources:
http://news.bbc.co.uk/1/hi/business/7655288.stm
http://www.lep.co.uk/businessnews/Slash-rates-now-plead-bosses.4557961.jp
Wednesday, 1 October 2008
Business Blog Intro
Business. It affects us all, doesn't it? Well yes, especially in these testing economic times, not just here in Britain, but across the world. Just take a step outside to buy a (quality) newspaper and see what the headline is. Or, if you haven't the time, visit the BBC website. I guarantee one of the main stories will be on something like falling house prices, job cuts or the banking crisis sweeping the globe.
You've no doubt read in newspapers or seen on television the impact of the global economic slowdown resulting in the bankruptcy of Lehman Bros, the nationalisation of both Northern Rock and Bradford & Bingley and the constant yo-yoing of the markets from the Hang Seng to the Dax.
But how is this affecting you in the North West? If you've been like the Stig in recent months in thinking the "Credit Crunch" is a form of breakfast cereal then I'm afraid you're sadly mistaken. The money trees that have provided banks with money to lend to British people during the last 14 or so years of economic growth have rapidly lost their leaves early this autumn, leaving the banking industry in turmoil and the public finding credit and mortgages hard to get, through no fault of their own.
This turmoil has left even the experts wondering, what's next? The answer is who knows what the financial storm will bring next, but the forecast doesn't look too bright. I'm no Sir Alan Sugar, nor in fact am I an apprentice, but I hope you find my business blog an interesting read over the coming weeks.
You've no doubt read in newspapers or seen on television the impact of the global economic slowdown resulting in the bankruptcy of Lehman Bros, the nationalisation of both Northern Rock and Bradford & Bingley and the constant yo-yoing of the markets from the Hang Seng to the Dax.
But how is this affecting you in the North West? If you've been like the Stig in recent months in thinking the "Credit Crunch" is a form of breakfast cereal then I'm afraid you're sadly mistaken. The money trees that have provided banks with money to lend to British people during the last 14 or so years of economic growth have rapidly lost their leaves early this autumn, leaving the banking industry in turmoil and the public finding credit and mortgages hard to get, through no fault of their own.
This turmoil has left even the experts wondering, what's next? The answer is who knows what the financial storm will bring next, but the forecast doesn't look too bright. I'm no Sir Alan Sugar, nor in fact am I an apprentice, but I hope you find my business blog an interesting read over the coming weeks.
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