Each week we’ll be visiting a handful of news stories that caught our interest over the past week. They relate to UK business as well as commercial property and finance.
This week we’ll be looking at the wonderful world of construction, a new property development, corporate gains tax and the use of technology in the commercial property sector…
The Construction Sector at Fastest Pace in 5 Months
“The Ulster Bank purchasing managers’ index registered a reading of 56.7 last month, compared with 54.5 in October. It measured activity across housing, commercial property and civil engineering.”
Mr Simon Barry, Chief Economist at Ulster Bank, claimed that industry growth has an unexpected boost in November. Although commercial property stood strong over the past few months, civil engineering was sadly classed as an area of concern.
The Economic and Social Research Institute forecasts that roughly 35,000 new units are needed every year to meet demand.
Find out more about this news story via The Times.
Sherwood Energy Village Create 38 New Jobs
There’s a new development in the East Midlands that is promising at least 38 new jobs as CRT Property Investments create the Sherwood Energy Village, coming in at around 32,000 square feet.
The scheme is aimed for industrial and business use and is situated opposite the already owned Eco Court. The new project will provide approximately 10 units (between 2k and 7.5k sq ft), with the potential for some combined space of up to 13k sq ft for those that have more significant space requirements.
Find out more about this news story via The Business Desk.
A Hidden Surprise For Overseas Investors…
If you’re an overseas investor looking to buy or sell commercial property in the UK, there’s a bit of a surprise for you in the latest UK Budget.
“From April 2019, foreign investors will have to pay capital gains tax (CGT) of around 9% on all profits from commercial property sales.”
It’s good news for Philip Hammond and the Treasury, as they’re set to raise approximately £500 million for the country by 2024 – but this is at the risk of potentially losing several important overseas investors.
Find out more about this news story via BuyAssociasion.
Commercial Property VS Disruptive Technology
The commercial property sector isn’t the most up to date when it comes to technology, but research from the Altus Group CRE Innovation Report shows that many executives in the sector do not believe in new disruptive tech.
Only 35% of the CRE executives asked felt that smart building technologies would have a beneficial impact. 28% felt artificial and machine intelligence would benefit the sector and only 18% believed in the power of augmented and virtual reality.
“CRE firms are facing the challenge of finding a balance between operational benefits delivered by existing technology and the potential disruptive impact to business models by what’s coming next.” – Robert Courteau, Chief Executive Officer, Altus Group.
Find out more about this news story via Insight.
How do you feel about the above news stories? Will the construction sector remain strong? Will we see more developments from CRT Property Investments? Will we see a reduction in overseas investors? Is the commercial property sector too old fashioned?
We’d love to hear your thoughts – so make sure to leave your comments below, or tweet us directly at @VAT_BRIDGE.
Image credit: Katarzyna Białasiewicz via 123RF