Port invests after slump in turnover
5 things we learned yesterday
1 The Port of Tyne saw turnover slump in 2016 as massive falls in its traditional cargo business sparked investment in new ways of attracting revenue.
The port saw conventional and bulk cargo halve in 2016, leading to a 22% drop in turnover, from £58.8m to £45.9m.
A number of global factors – particularly the shift away from coal-fire power stations, which meant no coal was imported to the port in 2016 – affected the port’s financial results.
The port’s reaction has seen it invest £14.6m to develop its infrastructure, with the bulk of that – £8.8m – being spent on facilities to handle wood pellets for use on the Lynemouth Power Station in Northumberland. 2 North East challenger bank Atom has secured £30m of new funding as it moves to the next stage of its growth.
The Durham bank has agreed the Tier 2 capital from the British Business Bank (BBB) to add to its capital base and allow it to draw on additional capital in a flexible manner as it grows.
The capital will allow Atom to increase its lending to business clients, with the BBB wanting to increase competition in the business lending market. 3 Car manufacturers such as Nissan need the government to guarantee access to European markets if they are to avoid a “cliff edge” that will hit jobs in the UK, an industry body has said.
The Society of Motor Manufacturers and Traders (SMMT) said it does not believe the government can reach a full trade arrangement with the EU before the Article 50 negotiations are scheduled to end in March 2019.
Without interim arrangements offering full access to the European market, SMMT said, the automotive industry would be left to trade under World Trade Organisation rules – “the worst foreseeable outcome for the sector, its employees and the British economy”.
Nissan has said on a number of occasions in the last year that it will review the Wearside plant’s competitiveness once the UK’s relationship with the EU is settled.
4 Cramlington tech firm Avid Technology Limited has invested more than £1m into expanding its capabilities as it looks to diversify into robotics and new power generation industries.
The company, which designs and makes systems for the electric and hybrid vehicle industry, has ploughed funds into manufacturing facilities and test equipment as it prepares to ramp-up production of automotive electronics and powertrain technology.
The new additions also give the company the capability to diversify into the robotics and power generation industries. 5 Hospitality company Cairn Group is investing £400,000 into a transformation of Spy Bar in Jesmond, Newcastle.
The North East firm’s refurbishment of the Osborne Road bar and eatery is extending space in the lounge area and refreshing its decor, which now has bare brick walls, dark wood tables with metal chairs, leather booth seating and exaggerated light fittings.
A favourite with students and football fans, the bar’s TV screens have been replaced by a collection of 60in plasma screens.