Business chief calls on PM to save north-east from Brexit damage

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A letter to Boris Johnson sent a fortnight ago by James Ramsbotham called on the prime minister to save the north-east from the “damage being done to our economy” by Brexit and urged him to give it his “most urgent and personal attention”. Two weeks later, it remains unanswered.

Ramsbotham is the chief executive of the North East England Chamber of Commerce and speaks for thousands of businesses caught by the red tape and extra costs of complying with EU rules. In a recent survey, 38% of members said sales to Europe had fallen since January.

“This is not teething problems,” he says. “Our ports face the EU and our region has the highest proportion of any exporting to the EU. It is vital that more barriers come down.”

Surveys by the chamber show that three-quarters of its members wanted to stay in the single market when asked about their personal views.

The same proportion reported they had been financially harmed by leaving the EU.

“Many business people in the north-east tell me the only way to improve the situation is to go back into the single market. We didn’t say that in the letter because the prime minister’s dogmatic attitude to the subject told us it would fall on deaf ears,” he says.

Instead, the group called for a relaxation of the rules to allow more HGV truck drivers to work in the UK and more generous funding of the SME Brexit Support Fund to help more companies train staff and buy equipment needed to complete new customs checks.

The letter ended by telling the prime minister: “Damaging the ability of businesses who create wealth for our nation will make this country so much poorer. To do so when we are striving to recover from the pandemic, with all of its resulting debt, will burden this nation for decades.”

Ramsbotham, a former Barclays Bank executive and the son of former army general David Ramsbotham, a cross-bench life peer, said he is “totally apolitical” and when not speaking to local businesses, spends much his time talking to the leaders of local councils – the majority of them Labour.

“It seems to me that this government has broken the traditional link between the Conservative party and business. The real issue is the complete lack of strategic planning. From our perspective, there has been none whatsoever. And Brexit was the same. There was no strategic plan to make Brexit a success,” he says.

Tariffs may have remained at zero under the trade deal made between the UK and EU, but Ramsbotham provided a long list of barriers that “ministers failed to sort out”, including how to apply new rules of origin that determine which goods qualify as tariff-free, difficulties obtaining export health certificates and additional checks on goods that create queues at ports.

His sense of loss from exiting the EU is supported by analysis from Sussex University’s UK Trade Policy Observatory. Last month, it said that between January and April this year, the trade and cooperation agreement negotiated to succeed customs union membership “reduced UK exports to the EU by 18.7% and imports from the EU by 25.8%, compared to the scenario in which the UK did not leave the EU”.

The north-east has one of the smallest private sectors relative to the size of the economy after decades of government support that has seen several Whitehall back-office departments decamp from London.Advertisement

Earlier this year, the chancellor, Rishi Sunak, announced the latest would be a “Treasury campus” in Darlington, which he said showed the government was serious about levelling up.

Ramsbotham, who this autumn will step down as the chamber’s chief executive after 15 years to become chair of Newcastle Building Society, is unimpressed. He says investments are leaching away from the region and holds up the rail manufacturer Hitachi’s plans for the region as an example.

“Hitachi bought a site in the north-east with a view to building trains for the whole of Europe. The place was big enough for three factories, but they have only built one and the rest of the land is vacant. If you want to see where the trains are going to be made for the EU, you’ll need to visit Hitachi’s new factory in Italy.”

Referring to the cabinet, he says: “If Brexit was such a success, you would think they would be shouting it from the rooftops, but they are not.”

James Ramsbotham to move on from North East England Chamber of Commerce to become the Chair of Newcastle Building Society

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After 15 years as Chief Executive, James Ramsbotham CBE will leave the Chamber later this year to join Newcastle Building Society following the Society’s announcement that current Chair, Phil Moorhouse is to stand down.

One of the North East’s highest profile business leaders, since his appointment in 2006, James has led the Chamber through the global banking crisis and credit crunch, Brexit, devolution, numerous changes to local and national government and most recently, the challenge of the Covid pandemic. Throughout this period, James has worked with the organisation’s team, board and council to ensure members have received the support they need to grow their businesses and prosper.

Under his leadership, the Chamber has constantly adapted with the times, most notably by providing additional support to members trading internationally against a backdrop of prolonged uncertainty.

Commenting on his decision to step down from the Chamber, James said: “I am very proud and immensely fortunate to have worked with a phenomenal team of people, both staff and members, at the Chamber.  We have achieved a great deal for businesses and other employers across the region and for everyone who works for them.

“The Chamber is in good shape to face the future and to support its members as it has done for over two centuries.  I have enjoyed every moment and have been privileged to work with so many incredible companies and other enterprises, helping them to maximise opportunities around the world and to thrive in the most impressive way.

“Perhaps my fondest memories are of 2015 and our year-long celebration to mark the Chamber’s 200th Anniversary, culminating in a spectacular dinner at Durham Cathedral.

“It’s been a difficult decision to step back from the Chamber but, after 15 years as Chief Executive, I believe the time is right.  I wish the team, our members and my successor every success in the future and they should all know they can always rely on my support.”

James’ appointment at Newcastle Building Society sees him return to a financial services sector he knows well having previously worked at Barclays for 14 years and having served 11 years on the board of Darlington Building Society, five as Chair.

President of the Chamber, Lesley Moody, has paid tribute to James’ leadership of the organisation: “James has firmly established the North East England Chamber of Commerce as a dynamic and highly respected influence throughout the region as well as on the national and international stage.  He remains a great champion of our business community and I know all our members will want to join me in extending our thanks and sincere best wishes for the future.

“I’m delighted to have been appointed Chair of the Newcastle Building Society.  The Society has secured its position as the largest and most influential financial services organisation in the North East, with an expanded branch network and 1,200 dedicated staff.  I very much look forward to joining the Board of the Society as it continues its progress in the years ahead” said James.

Andrew Haigh, CEO of Newcastle Building Society, said, ‘After a thorough recruitment search, we are delighted to have nominated James Ramsbotham as our next Chair and we very much look forward to him joining the Board in the months ahead.  We are extremely grateful to our current Chair, Phil Moorhouse, for his outstanding service and leadership over the last ten years. Phil’s time as Chair has included some very challenging periods, not least in the last 12 months, but despite these, the Society has continued to flourish and make a significant contribution for our members and our region.

John Marshall, Chair of the Chamber, will lead the process to recruit James’ successor.  He said: “James will be the hardest of acts to follow but, thanks to him and the team he has led with such distinction – supported by the diligent and talented Board, we are well placed to attract candidates ideal for the role.  The process will begin immediately in order to ensure a smooth transition.”

The appointment of The Chamber’s new Chief Executive Officer is being handled on a retained basis by James Carss, Head of Executive Search and Selection at NRG. Anyone who wishes to apply should forward a copy of their CV together with covering letter outlining their suitability for the position by Friday 23 July to [email protected] or via NRG’s website, by clicking here.

Chamber calls on Government to tackle regional health problems to aid economic recovery

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The North East England Chamber of Commerce has urged Government to put improved regional health at the heart of the recovery to level up the country, 

Writing to the Health Secretary, the Chamber highlighted how better health had the potential to increase economic productivity and reduce long term unemployment in the region. 

James Ramsbotham, Chamber chief executive said: “We acknowledge there are deep structural issues within the North East which will not be easily solved. In our work, we are encouraging businesses to play their role in improving our regional health by looking at wellbeing strategies as part of new approaches to flexible working and agreeing hours with employees as part of a good work-life balance.  

“Health is key to improving quality of life and productivity in our region. The pandemic has highlighted how poverty, housing and employment outcomes are all related to health. We need to see a focus on improving health as part of the Government’s ‘build back better’ strategy.” 

In the letter, the Chamber highlighted how Ill health and economic inactivity are key problems for the North East. As of Q1 2020, the North East economic inactivity rate was 22.9%, 3.3% above of the national average. 28.4% of those are economically inactive due to long term sickness, compared to a national average of 24.6%.  

It stated Government also needs to work with local authorities to develop, pilot and scale-up interventions to improve public health which are proven to be effective in the region.  

The Chamber also urges more focus on waiting times for mental health support.  If people are unable to access NHS treatment this can lead to increased time off work. Businesses in the North East need to be able to ensure that they can refer their employees to the right support.  

Improving levels of wellbeing and health within the UK needs to be a key part of our recovery and the ‘build back better’ strategy. They are an important way of measuring progress on the levelling up agenda.  Health overlaps with a range of areas, including access to quality housing, poverty, education, quality of work and jobs in the North East.  Improvement will go a long way in reducing the productivity gap in the UK.  

Download a copy of the letter here.

Whose first job was working as a cleaner in a brewery?

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Who in the Chamber leadership team’s first paid job was working as a cleaner in a brewery? 

James Ramsbotham, chief executive: “My first paid job was as the cleaner in a brewery.  I was very popular with my friends because part of my reward was a free case of 24 bottles of beer each week.  I had to return the empties the following week so always required assistance at the weekend to ‘empty’ them.   

“It taught me how important everyone is to a business, including the cleaner – something which I hope I have never forgotten.” 

Chamber awards shortlist announced

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North East England Chamber of Commerce has announced the shortlists for its annual Business Awards. 

The members on the shortlists are drawn from around the region, in categories for North, South and Central areas, with members of all sizes, going on to compete for top honours at the final on 9 September. There will also be the opportunity for some winners to go on to the British Chamber of Commerce national final in the Autumn as well. 

One of the principal categories of the North East awards is North East Champion for 2021 and the three companies who have been selected to go on to the final are Great North Air Ambulance, Learning Curve Group and Newcastle Building Society. 

The shortlist for entrepreneur of the year is the Everflow Group, Kerckhoffs and Carney Consulting and for the best green business the contenders are WSP, Believe Housing and Battlesteads Hotel. 

Bernicia Housing Association is the associate sponsor for the awards and group CEO John Johnston said: “We are really proud to be the sponsor of the Chamber Awards.  They are a fantastic opportunity to shine a spotlight on the tremendous resolve members have demonstrated to overcome the challenges of the past year, to support their staff, clients and local communities.  We are really looking forward to sharing their stories at the Grand Final.” 

Best small businesses on the shortlist are Emax Systems, Equality Solutions and Nirvana Europe with the medium company category shortlist being Endeavour Partnership, South Causey Inn and Robson Laidler Accountants. 

The President’s Club and larger business category has similar success stories on it with Believe Housing, Go North East and Northern Gas & Power competing for the top prize. 

Leading exporters Gestamp, Dunelm Optical and Pearson are the shortlisted businesses in that category and the diversification category shortlist is Tall Tale Mysteries, WL Distillery and Recovery4Life. 

The Chamber is championing diversity and inclusion with its Race, Ethnicity and Discrimination Commission and shortlisted for the Diversity and Inclusion award are WSP, Signpost and Cundall. 

James Ramsbotham, Chamber chief executive said: “We are delighted to be able to celebrate all of the great achievements of many of the businesses in our region with our awards.  Getting through the past year has been such a testament to our members pivoting their services to support the NHS, switching business models to serve their clients virtually and in many other ways as well.  A huge thank you to all our members for playing their part in our whole region getting through the past year and the best of luck to the shortlisted organisations.” 

Chamber Chief Executive calls for clarity on rules and guidance

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James Ramsbotham, chief executive, North East England Chamber of Commerce said:

“Businesses and people in North Tyneside need urgent clarity on rules and guidance for their area. It is completely unacceptable to have such poor communications about something so important for people’s health and livelihoods. Government needs to set out what the rules are at present and provide support for businesses if official guidance significantly reduces their demand.”

Chamber comment on April roadmap update

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​James Ramsbotham, chief executive, North East England Chamber of Commerce said:

“We broadly welcome the Prime Minister’s announcements today. The intention to look at travel restrictions and when they can be lifted is good news but they must be done in a way to build confidence.

“The covid vaccine passport idea for venues is similarly a useful idea although not a complete panacea as some people are unable to have the vaccine and we can’t penalise them because of that fact. We also have to mindful of people who may need support because they are frightened of going back into the world at large.

“Opportunities for twice weekly testing are beneficial up to a point but will never be a substitute for the effectiveness of mask wearing and distancing.

“We need to ensure restrictions are relaxed in a considered and reassuring manner to build confidence and not risk damaging reversals, especially at short notice. Hospitality businesses in particular must be allowed to open and then be supported to stay open.”