Month: April 2024

The former site of Britishvolt, a failed battery startup in northeast England, has been acquired by US private equity firm Blackstone Group for £110 million.
Blackstone intends to transform the 95-hectare site near Cambois, Northumberland, into one of Europe’s largest data centres, capitalising on its connectivity to renewable energy sources.
Initially heralded in 2019 for its ambition to produce batteries for electric vehicles, Britishvolt garnered substantial government support and promised thousands of jobs. However, the company collapsed in early 2023, leaving its vision unfulfilled.
The acquisition by Blackstone marks a significant shift in the site’s trajectory. Formerly home to Blyth power station, the site will now host a state-of-the-art data centre facility, catering to the escalating demand for digital content and cloud internet services across households and businesses.
While the deal secures the future of a substantial brownfield site and leverages local renewable energy resources, it also signals the end of hopes for significant job creation in the region. The local council’s ambition to establish a gigafactory and generate thousands of jobs is no longer viable.
Britishvolt’s demise stemmed from financial challenges, despite securing substantial investments from prominent entities. The company’s focus on developing proprietary battery technology and its inability to secure necessary orders hindered its progress, leading to its eventual collapse.
Bob Maxwell of Begbies Traynor Group, the receivers overseeing the sale, expressed optimism about the site’s future under Blackstone’s ownership. He highlighted the potential for the site to catalyze a tech industry cluster in the northeast, fostering economic growth and employment opportunities in the region.
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Britishvolt Site Acquired by Blackstone for £110m, Set to House Data Centre

Despite previous commitments to transition to an all-electric marque by 2025, Jaguar has announced plans to prolong the production of internal combustion vehicles well into next year.
The decision comes amidst slow demand for zero-emission vehicles and the recognition that maintaining profitable conventional lines is essential for funding the electrification transition.
While Jaguar had initially positioned itself as the “Tesla of the West Midlands” with its ambitious electric-only pledge, the reality is different. Although five petrol and diesel models will be retired this year, the production of the popular £50,000 Jaguar F-Pace will continue into 2025.
This strategic shift mirrors recent moves by other British luxury carmakers. Bentley, previously committed to full electrification by 2030, will continue producing plug-in hybrids for a couple of years longer. Aston Martin has also postponed the launch of its electric cars by two years, with its executive chairman Lawrence Stroll acknowledging the ongoing relevance of hybrids until at least the mid-2030s.
The decision to extend the production of the F-Pace highlights its significance within Jaguar’s lineup, representing over a third of the brand’s annual sales. Despite the industry’s increasing focus on electric vehicles, sales of the F-Pace have seen a notable 22 per cent increase this year.
As part of Jaguar Land Rover, the company remains committed to launching three all-electric cars starting next year, although specific details are scarce. It’s anticipated that the initial vehicle will be a luxury four-door GT or grand tourer-style model, competing in the same segment as the Audi e-tron GT quattro and the upcoming BMW i4, with a price tag exceeding £100,000.
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Jaguar joins rivals by delaying full electric transition with continued production of F-Pace

Five years after HMRC appealed an IR35 case defeat carrying £243,324 in tax liability, judges have instructed this long-running saga to be reheard despite the work having taken place 14 years ago.
IR35 specialist, Qdos, said the situation “smacks of unfairness” and highlights the “nuances and complexities of the IR35 legislation”.
In 2019, IT contractor, Richard Alcock, successfully appealed HMRC’s view that he belonged inside IR35 when contracting via his limited company (RALC Consulting Ltd) for Accenture and the Department for Work and Pensions, between 2010 and 2015. The tax liability in question amounted to £243,324, before interest and possible penalties.
The case hinged on Mr Alcock being viewed as in business on his own account, in addition to Mutuality of Obligation (MoO) not being present and his clients not controlling the working relationship in a manner that reflected employment. However, HMRC appealed this verdict, largely on the grounds that the First Tier Tribunal did not consider the reality of how the services were provided by Alcock, in contrast to the contract itself.
Five years on, this appeal has been granted. As a result, the Upper Tier Tribunal hearing, held in December 2023, instructed for the case to be reheard – this is despite RALC Consulting Ltd having stopped trading.
Qdos CEO, Seb Maley, commented:“This smacks of unfairness. Five years on from having successfully won this case and fourteen years since the work was carried out, this contractor faces the prospect of being dragged through the tribunal system once more.
“Not for the first time, the nuances and complexities of the IR35 legislation run so deep that Judges can’t seem to interpret it. But as is the case far too often, it’s contractors who pay the price.
“This contractor in particular, whose business no longer trades, is expected to head back to court and prove his innocence again – all while having a tax bill of well over £200,000 hanging over him for the foreseeable future.”
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£243,000 IR35 case to be reheard 14 years after contract concluded

Barclays has emerged as the most complained-about bank for small business account closures.
Out of the 413 complaints lodged with the Financial Ombudsman Service between April 2022 and September 2023 regarding small business banking, Barclays accounted for nearly half, with 205 complaints.
Following Barclays, HSBC recorded 67 complaints, Lloyds with 57, NatWest with 53, and Santander with 31. This compilation by the ombudsman sheds light on the top five banks receiving complaints about business account closures.
Jean-Martin Louw from legal firm Collyer Bristow emphasized the significant repercussions of unexpected account closures for small businesses. Such closures can disrupt financial operations, hampering payment of invoices and staff salaries, and impeding access to necessary funds.
The Financial Ombudsman Service offers recourse to businesses with an annual turnover of less than £6.5 million facing difficulties with financial services firms. Of the 85 complaints made against Barclays between April 2023 and September 2023, 26 per cent were upheld, compared to 9 per cent of the 76 resolved cases in 2022-23.
Consumer rights expert Martyn James stressed the importance of close monitoring of banks to ensure fair treatment of customers, particularly in instances of account closures without explanation.
The closure of customer accounts has attracted heightened scrutiny, exemplified by Nigel Farage’s account closure with Coutts last June. Martin McTague from the Federation of Small Businesses highlighted the devastating impact of such closures on small businesses, underscoring the power disparity between small firms and large banks.
While banks are not legally obligated to provide reasons for account closures, they must issue a two-month notice. The government is exploring measures to strengthen regulations, including mandating a 90-day notice period before closure and requiring explanations except in exceptional circumstances.
Barclays attributed most closures to the need for updated customer information to combat financial crime and comply with regulatory requirements. The bank reiterated efforts to minimize account closures and urged customers to maintain updated information. HSBC, Lloyds Bank, and Santander stated that account closures align with legal and regulatory obligations, while NatWest was unavailable for comment.
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Barclays Leads Complaints List for Small Business Account Closures

Jeremy Hunt has condemned Thames Water’s plea for increased household bills in the face of potential insolvency as “utterly outrageous.”
Amidst growing concerns over the utility company’s financial woes, the Chancellor emphasized shareholders’ responsibility to rectify the situation rather than burdening consumers.
Addressing constituents at a public meeting in his South West Surrey constituency, Hunt expressed strong opposition to the notion of households bearing the brunt of poor management and financial missteps by Thames Water shareholders. He asserted, “It would be utterly outrageous and totally unfair if we were made to pick up the tab.”
Hunt addressing constituents at a public meeting in his South West Surrey constituency
Hunt’s remarks come amidst mounting pressure on the Government to intervene as Thames Water’s parent company, Kemble, missed an interest payment on a £400 million loan. With the utility giant serving 16 million households across the UK, concerns over potential insolvency have escalated.
David Black, CEO of Ofwat, assured on Friday that customers would not be held accountable for Thames Water’s management failures, although he did not rule out the possibility of increased bills.
Speaking on the sidelines, Hunt reiterated his stance, emphasizing that constituents should not be obligated to bail out shareholders for their poor decisions. He stressed the importance of Thames Water taking responsibility and resolving the crisis internally.
Chris Weston, Thames Water’s CEO, echoed a commitment to salvaging the business amid ongoing discussions with Ofwat regarding the company’s financial outlook.
The water company’s challenges are multifaceted, with soaring interest payments, credit rating downgrades, and hefty fines from the Environment Agency for environmental violations. Thames Water’s liquidity, while substantial at £2.4 billion, faces depletion due to mounting debt finance costs and impending fines.
The recent water outage in the Godalming and Guildford areas following Storm Ciarán prompted further scrutiny, with constituents expressing frustration over the lack of access to water and inadequate compensation for affected parties.

Jane Austin, local councillor for the most affected ward Bramley and Wonersh, told Mr Weston: “We have water anxiety where we live.”

Hunt’s condemnation underscores the urgency for Thames Water to address its financial predicament responsibly, sparing consumers from bearing the burden of its failures.
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Hunt Slams Thames Water’s Bid for Higher Bills Amid Failures

As interest rates soar, homeowners facing the end of their mortgage deals are seeking relief through extended loan terms.
The trade association UK Finance reports that 24 per cent of remortgages, approximately 5,400 loans, were structured with terms of 30 years or more in December, a significant increase from 11 per cent in December 2021.
The surge in demand for longer mortgage terms comes as millions of homeowners grapple with the aftermath of interest rate hikes. Since the Bank of England base rate surged from 0.1 per cent in 2021 to 5.25 per cent today, borrowers who once enjoyed rates of 2.5 per cent or lower are now facing substantially higher payments. According to financial data firm Moneyfacts, the average two-year fixed-rate deal now stands at 5.81 per cent, with the average five-year fix at 5.39 per cent.
With approximately half of mortgaged homeowners witnessing the end of their deals amidst the base rate fluctuations, the financial strain is palpable. Santander customers, for instance, are grappling with an average monthly increase of £220 post-remortgaging, as highlighted by its chief executive Mike Regnier during recent parliamentary discussions.
Illustrating the impact of rate hikes, consider a scenario where a homeowner took out a £200,000 25-year mortgage at a rate of 2.5 per cent two years ago. Despite reducing the loan balance to £188,187 over two years, the rise in rates translates to increased monthly payments. For instance, with a rate of 5.81 per cent, monthly repayments over the remaining 23-year term would soar to £1,238.
In response, homeowners are turning to extending their mortgage terms as a means of mitigating the blow of higher rates. Extending the term to 30 years would lower monthly payments to £1,106, while a 35-year term would see them reduced to £1,049. Mortgage broker Katy Eatenton notes that term extension has become a primary strategy for borrowers navigating the current rate environment.
However, while extending the term provides short-term relief, it comes at a long-term cost. Comparing a 23-year term to a 35-year term, total repayments skyrocket from £342,601 to £441,764, despite the interest rate increase.
Despite these challenges, the proportion of loans in arrears only saw a slight uptick to 1.1 per cent at the end of last year, according to the Bank of England, signaling a resilient market amidst the economic turbulence.
Read more:
Squeezed Homeowners Opt for Longer Mortgage Terms

Over the past two decades I have been lucky enough to work with dozens of business and political leaders.
The best leaders are those that are able to make professional decisions quickly based on the information available to them.
But this does not mean they are immune to procrastination. They are just using tools to manage it.
Most of us if we walk into an ice-cream parlour struggle to choose a flavour.
We have eaten ice cream hundreds of times and know all the flavours. But we still stands there at the counter examining the pistachio, chocolate, cookies and cream and salted caramel in the hope that divine inspiration will come to us.
And that is a simple decision.
Presented with hard decisions, such as where to invest or whether to enter a new market, can be crippling.
Kicking hard decisions into the long grass is the easy option. But it is rarely the right one.
We are told from a young age to not rush to decisions but our gut instinct is usually right.
In Malcolm Gladwell’s best-selling book Blink: The Power of Thinking Without Thinking he makes a powerful argument for going with your gut.
He showed that geologists at the Getty Museum in California spent 14 months investigating whether a statue was a fake. Within seconds three different art historians could tell that it was. Their years of looking at masterpieces had given them a gut advantage that experts couldn’t match.
As a leader in your own field you have years of experience. Do not underestimate how valuable that is.
While you might want to gather all the information to make the right decision. At a sub-conscious level, within two seconds your mind has gone through thousands of data-points and previous experiences.
More than 90% of the time you will be right in your decision first time. The decisions that are wrong are wastage. Don’t waste time regretting them.
Even if you really sweat a decision, waiting until you have every bit of evidence you possibly can get will fractionally reduce your bad decision making. Even if you really sweat a decision you may only reduce your wrong decisions fractionally.
The extra time it will have taken will have closed other doors to you.
Shall we enter these awards for this great work we did? Oh dear the deadline to enter has passed. Decision made: no.
Shall we enter this new market? Oh dear now our competitor is dominating that sector so we can’t get a foothold. Decision made. It’s a no.
Shall we invest in training for this valuable staff member? Oh dear they have been poached by a rival. So that’s a no as well.
In your mind procrastination is putting off a decision. But as a leader a lot of the time it is not just putting off a decision. It is allowing time to make the decision for you and that answer is almost always no.
So here are seven ways to stop procrastinating and regain the most important tool for you as a leader – decision making:
Split your week: Assign yourself days of the week for the jobs you need to do.
(My week is split into Monday and Tuesday clients and new business, Wednesday content creation, Thursday management, Friday finance)
Wedge difficult jobs: If you have a job you really don’t want to do but keep putting it off, schedule it in BEFORE something you do want to do and force yourself to do it then.
Deadline decisions: If you need to gather more information to make a decision, set a clear time frame for when you will get that information.
Do not go back on decisions: Unless circumstances change move on.
Delegate decision making. You have a team; use them.
Minimise distractions. Turn off all notifications on your phone and laptop. Tell your staff that you only look at emails at certain parts of the day and do it.
Two minute rule: Anything you can do in two minutes do it immediately.
Note: To write this article I used techniques 1,2 and 6.
Read more:
How to stop procrastinating and start leading

Most of us aspire to be remembered fondly and reverently, having left a positive mark on the world, or the business you have been at the helm of.
‘Great is the art of beginning, but greater is the art of ending.’ (Henry Wadsworth Longfellow)
As useful as it would be, none of us have a crystal ball to tell us exactly how the future is going to pan out, or how soon the end of our careers may come. As a business leader, proactively starting conversations about your succession and legacy early will put your organisation in a much stronger position to deal with what may lie ahead and enable a smooth leadership transition when the time comes…be it in five, 10 or 20 years’ time.
Yet, in our experience at Grey Lemon, founders across many sectors ignore such thoughts until the clock starts ticking and the inevitable is staring them in the face. That is unless something unfortunate happens and they no longer have a say in the matter.
The reality is that if you’re not talking about leadership transition at least three years in advance (at the very minimum), you’re setting yourself up for an exit that is troublesome at best, and disastrous at worst. Any level of ambiguity or doubt when passing the baton can perturb shareholders, disrupt teams and hurt your bottom line.
So, where to begin? Let’s consider a few key points:
When is the right time?
‘I’ve got a few good years in me yet!’ Sound familiar?
Procrastination in relinquishing control is more common in business than you may think. With so much time, energy and money invested, it can be tough to even contemplate it happening, let alone start preparing for it.
Legacy planning and leadership changes can be sensitive and confusing topics to tackle, so it is worth consulting an expert in the field to guide you through your options.
Start as you mean to go on
As in most areas of business, clarity and collaboration is crucial. By including your senior leadership team in the process as early as possible, you can develop a plan that everyone buys into both structurally and culturally.
Succession planning requires a 360° approach. You must examine the impact of your departure from all angles and consider the perspectives of everyone involved. After all, an exit is as much about them as it is about you.
Who will steer the ship?
A change of ownership can drastically shift the way a business operates. Choosing the right successor is therefore critical. Understanding the nuances of the figurehead role and the unique value of what they offer is key. If there isn’t an awareness of how the person exiting is perceived both internally and externally, it can create a huge void which can be difficult to fill.
Time is critical in order to grow and position the right people. Taking a long-term view enables firms to avoid any last-minute power struggles or politics as it gives stakeholders the space to agree on who best fits the bill.
Unfortunately, change can sometimes happen much earlier than expected. With no succession plan in place, uncertainty will undoubtedly follow both internally and externally. Who is leading the business? What will it look like going forward? Will the name above the door change? How will it affect the standard of service/product?
Family ties
Of course, some matters of succession should be more straightforward than others…but that is not always the case. Often the trickiest situations to manage are those involving family where nepotism and rivalry can quickly unravel a successful business.
Encouraging alignment on company purpose and shared ambition is the best place to start should discord arise. If things get tricky, consider bringing in an independent facilitator as a first step to aligning disparate perspectives and reaching agreement on how to move forward. If that doesn’t work, mediation is also a highly effective way to reach a resolution that everyone can get onboard with.
Financial affairs
Financial considerations are a natural priority for any exiting leader and, indeed, all parties within the ownership structure. Whether shares need to be reallocated or opportunities given for people to ‘buy-in’, all exit options must be carefully considered for both the departing founder, and the health of the business.
It is always best to consult with a specialist legal and/or financial advisor to ensure that everyone concerned has defined their individual and collective objectives and understands the choices available. The earlier a mutual decision can be reached the better, to maximise the value of the business while the owner is still in place.
(Re)defining your purpose
A new era of leadership can offer the chance to reassess the business and its place in the market. For any shift in direction to succeed, it is vital that the company’s purpose or vision for the future is clearly defined and agreed by the new leaders, an external fresh perspective can support this process to its best conclusion.
A revised purpose should build on the organisation’s history and legacy while establishing a new roadmap that the entire workforce can engage with and support.
Agreeing specific, measurable and timely objectives along with role clarity will enable senior employees to feel confident and empowered to drive the organisation forward.
Managing perceptions
Let’s not forget about your employees.
Clear internal communications will help mitigate any concerns or uncertainty among your team, especially if the person leaving is the original founder. Ensure your employees are afforded the time to engage with and buy into the future vision and build trust in the new leadership. Your employees must feel part of the journey.
Well-timed and appropriate external messaging is also critical. A risk assessment completed well in advance can help gauge the impact on the business from an outside perspective. This includes how clients, customers, stakeholders, shareholders and the wider market will react, identifying any potential damage to the perception of the business and its future success.
What’s next for you?
As the business owner, it’s crucial that you’re prepared for the next phase of life. Without an obvious path in mind, it can be all the harder to step away from your ‘baby’. You may wish to still be involved in some capacity or perhaps you’re leaving to set up on your own or in a different field altogether. Whether business life continues or you’re retiring to enjoy the fruits of your labour, therein lies another message that needs to be carefully aligned to communicate next steps in a positive light for all parties, both internally and externally.
To sum up
The key to success? Allow yourself the time to craft a worthy ending so you can walk away feeling proud of all you’ve achieved, and excited for all that’s yet to come.
Read more:
Succession & legacy planning: Can it ever be too soon?   

Amid escalating cybercrime threats British-based cybersecurity firm Darktrace have reported a robust quarter with revenues surging by over a 25 per cent, driven by heightened demand from concerned companies.
In the three months ending March, Darktrace witnessed a significant 26.5 per cent increase in revenue, soaring to $176.1 million compared to $139.2 million in the same period last year. This surge has led the company to revise its revenue growth forecast for the year to 25.5 per cent, marking the third upward adjustment this year alone.
Darktrace’s share price responded positively to the buoyant results, gaining 6.3 per cent to close at 462p. Founded in 2013 with backing from technology magnate Mike Lynch, the Cambridge-based firm utilises artificial intelligence and machine learning to identify cyberthreats within business computer systems.
Cathy Graham, Darktrace’s CFO, highlighted the evolving tactics of cybercriminals, who exploit generative AI and automation to enhance the speed and sophistication of their attacks. Despite these challenges, Darktrace remains optimistic about the future, anticipating a surge in revenues from new clients as economic conditions stabilize.
With an 11.9 per cent annual growth in customer numbers, Darktrace added 170 new clients in the last quarter and nearly 1000 over the past year. The company also revised its core profit margin forecast for 2024 upwards, demonstrating confidence in its ability to deliver sustainable growth.
Analysts at Jefferies view Darktrace favourably, citing its strong position in the cybersecurity industry and potential for rapid growth. However, not all cybersecurity firms share the same optimistic outlook, as spending fatigue becomes a concern for some players in the market.
Darktrace’s journey has not been without challenges, facing scrutiny from short-sellers and controversies surrounding its ties to Lynch, who is currently embroiled in legal proceedings in the United States. However, Darktrace recently severed formal ties with Lynch, marking a significant milestone in its journey towards independence and enhancing investor confidence.
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Darktrace on a high amid escalating cybersecurity concerns