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APRIL 2015 PRO INSTALLER
PRO BUSINESS
www.proinstaller.co.uk
£1.5 million fund towards
small firms productivity
Construction companies could be
among the firms to benefit from a new
£1.5 million fund set up to help small
businesses boost productivity.
The scheme is to help
Britain compete with
other nations by improving leadership and
entrepreneurial skills in
smaller organisations.
It is all part of the UK Futures Programme which is
run by the UK Commission
for Employment and Skills
(UKCES).
Training needs
Julie Kenny, founder of
Pyronix Ltd, a leading small
business in the security
sector, and Commissioner
at the UK Commission for
Employment and Skills
(UKCES), said: “Small
businesses are the backbone of our economy, but
current figures indicate that
only a third of small firms
provide any management
training, compared to nearly
three-quarters of larger
firms.”
According to the latest
government figures, the
UK has the lowest levels
of productivity of all the
G7 nations except Japan,
with output rates here 20%
behind the average for other
advanced economies.
And economic observers say this is bringing
down UK competitiveness,
earnings and the ability to
generate higher growth.
So-called “anchor institutions” will be able to bid
for a share of the UKCES
money if they are based in
areas where productivity is
flagging and can prove they
have innovative ideas about
how to lift productivity.
Anchor institutions are
classed as organisations
with a strong local presence
that make a key contribution to the local economy
and include universities,
banks and local enterprise
networks.
Ms Kenny said: “This
competitive fund has been
designed to work with anchor institutions; those who
can reach a wide number of
small firms in their region
and deliver insightful programmes.
Focus on small firms
“We are looking for innovative ideas that can be
tested and trialed with small
businesses, to develop these
essential skills that will help
them to prosper and increase productivity in their
local community.”
It is hoped the anchor
institutions will then be able
to support firms by running
leadership and entrepreneurship projects that will
last for a minimum of 12
months from this August.
‘We are looking for
innovative ideas’
Apprentices to
receive 20% pay rise
Apprentices are to get their largest-ever pay rise of 20% from
October, the Government has
announced.
Surpassing recommendations from
the Low Pay Commission, the Coalition has said that apprentices will earn
£3.30 an hour, an increase of 57p.
And the national minimum wage is
also due to jump by 20p to £6.70 an
hour, it has been revealed, in a move
that is expected to benefit some 1.4
million workers.
Deputy Prime Minister Nick Clegg
said: “Whether you’re on low pay or
starting your dream career through
an apprenticeship, you will get more
support to help you go further and
faster.”
While the 3% increase in the national minimum wage is in line with
recommendations from the Low Pay
Commission, the rise in apprentice pay
is significantly higher than had been
expected.
Previously, the commission, an independent body that advises the Gov-
‘today’s increase will
make apprenticeships
even more attractive
to young people’
ernment on the minimum wage, had
suggested apprentices should receive
a pay increase of just 7p. But the Government has rejected this in favour of
the more generous rise of 57p.
Apprentices aged 16 to 18 and
those over 19 in their first year will
be able to take advantage of the new
rate, with all others receiving the national minimum wage for their age.
Commenting on the announcement, CITB’s Director of Policy Steve
Radley, said: “This increase sends a
clear signal that apprenticeships are a
valued career path for young people
in the UK.
“With UK apprentices already paid
more than their European counterparts, today’s increase will make
apprenticeships even more attractive
to young people.
“We must now match this by ensuring that we also lead our competitors
on the quality of our training, backed
up with better quality information on
the apprenticeships available.’’
Further steps taken to look at the future of pay for apprentices include the
launch of a consultation with businesses on the issue.
A digital apprenticeship voucher is
also due to be introduced, which will
make it easier for employers to access
funding by using an online database.
Source: www.citb.co.uk
Screwfix Door
Opens As B&Q
Stores Close
Kingfisher plc, the owner of DIY chains B&Q
and Screwfix, has announced it will closing
around 60 of its B&Q
stores in the UK and
Ireland over the next
two years. However, the
company plans to open
60 new Screwfix outlets this year.
Kingfisher released a statement that said, “Kingfisher
has said for some time that
B&Q UK & Ireland can adequately meet local customer
needs from fewer stores
and that some of the stores
should be smaller.”
Kingfisher has also announced a 15.2% fall in
pre-tax profit to £644m for
2014.
Véronique Laury, Chief
Executive Officer, said:
“Home improvement is
a great market with huge
potential and Kingfisher
has a strong position within
it with further scope to
grow in a sustainable way.
However, it is clear to me
that we need to organise
ourselves very differently to
unlock our potential. This
will involve taking what is
essentially a locally managed set of businesses and
creating instead a single,
unified company where
customer needs come first.
The first step in developing
this new organisation is the
creation of a new, international leadership team with
more focused cross-company roles.
“We have a lot to do and
we are announcing today a
set of first ‘sharp’ decisions
which are already underway
including the closure of
around 15% surplus B&Q
space (c.60 stores) and our
few loss making stores in
Europe, the development of
unified garden and bathroom businesses and the
start of a Big Box revitalisation programme across
Europe.”
The store closures will result in a £350m one-off cost
and mark Veronique Laury’s
first major move as chief
executive of the firm since
she took over from Sir Ian
Cheshire last September.
The company, which currently has 360 B&Q stores,
has confirmed the locations
of six store closures so far:
Southampton, Dundee,
Baums Lane in Mansfield,
Station Road in Stechford
in Birmingham, Hyde in
Greater Manchester, and
Barnsley.
However, the impact on
jobs will be minimal as the
closures are planned at the
same time as Screwfix store
openings, which will create
900 new jobs; the company
plans to redeploy staff to
other parts of the business.