Hot Seat: Reviving Ripon retailer Farmison

It was one of the most remarkable local business stories of the year.

Farmison & Co, which employed about 100 people in Ripon, went into administration on April 6, sparking a desperate battle for survival.

The loss of the firm, whose ‘eat better meat’ ethos had attracted clients including Harrods and Fortnum & Mason, would have been a major blow not only for those losing their jobs but also for Ripon as a whole.

But after two weeks of fraught negotiations, a consortium led by former Asda chief executive Andy Clarke and Chilli Marketing founder Gareth Whittle struck a deal with the administrator to bring Farmison back to life.

In a year that has seen the collapse of other prominent local businesses with the loss of hundreds of jobs, including Flaxby housebuilder Ilke Homes and Harrogate telemarketing firm Amvoc, Farmison survived.

Farmison&Co, which was based in Ripon.

Farmison’s Ripon headquarters.

But what has happened since to ensure it wasn’t a short-term stay of execution?

One of the consortium’s first acts was to hire Weeton-based Andy Adcock as chief executive.

Mr Adcock’s 30-year retail career includes stints at Sainsbury’s, Marks & Spencer and — alongside Mr Clarke — at Asda.

Farmison, he says, operated a sound business model but was operating beyond its means and the first priority was to bring down costs.

It now employs 60 staff, many of them rehires from its former life, which is just over half of its previous allocation. But after nine months, the focus is beginning to change from consolidation to growth.

Mr Adcock says:

“We have had to get leaner. We are now operating at the level we need and it’s all about growth.

“I wouldn’t have joined if I didn’t think the business had huge potential. It’s about tapping into that potential. The idea was always good but managing the cost base had become challenging.

“We are now doing it in a sensible manner and investing in growth rather than putting ourselves in a position where we put ourselves under pressure.”

Andy Adcock with some of the Farmison cuts.

Traditionally known as an online butchers, 92% of Farmison products are sold directly to customers online.

It relaunched its Cut by Farmison butchers shop at its Ripon headquarters on Bondgate Green this month and also announced plans to open more shops in a bit to diversify.

Mr Adcock says:

“We have this fabulous factory in Ripon, which is at the front end of a huge craft butchery operation. We’ve not been maximising the retail capability and the potential of this shop for local people.

“We also want to develop other channels to develop the offline business by supplying premium retailers like Harrods and Michelin-star chefs.”

Grantley Hall near Ripon is among the local hotels buying its premium meat.

Farmison has also announced a new deal with Harrods, an expansion of its home delivery service and an entry into the fish market through a partnership with online seafood business Fish for Thought.

Mr Adcock says the ambition is to increase annual turnover to £20 million.

This month’s relaunch of Cut by Farmison.

His friendly and informal style seems well suited to the business. When we arrived at Bondgate Green he was wearing a Christmas jumper and talked enthusiastically about mucking in over the festive period by packing boxes.

After three decades at national retailers, how is he finding the transition to a smaller company?

He says:

“It’s very different to a big corporate environment but that comes with a level of complexity and slowness of decision-making that we don’t need with a business like this.”


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But retail and meat run through his career like streaky bacon and he talks enthusiastically about Farmison’s approach, which involves selling British dry aged, free range meat reared from heritage breeds by artisan farmers in northern England. In his opinion, Galloway cattle, produce the best quality beef.

People don’t go to Farmisons for cheap meat. The company appeals to customers who are prepared to pay for premium cuts and are supportive of the company’s mission. He talks about exporting to expats in Singapore and Hong Kong who want quality heritage British breeds.

Mr Adcock says:

“I love meat, I love retail and Farmisons is such a nice business with so many people wanting to make it a success.”

He’s far from alone in his love of meat. Farmisons’ job is about getting enough of them to buy into its model.

But after its Easter resurrection, plenty of people in Ripon and beyond will be tucking into Farmisons meat over the festive period. And that’s a local miracle worth celebrating this Christmas.

 

Hot Seat: The man luring shoppers to Harrogate

Harrogate has one. So has Ripon. But Knaresborough hasn’t.

We are talking about business improvement districts, which are set up when businesses agree to work together to fund schemes that encourage more shoppers into town and city centres.

You might not know much about Harrogate BID but you have probably seen its work.

The recent Harrogate floral summer of celebration, which saw nine town centre floral installations ranging from a Buddha to giant cakes, was its handiwork.

So are the town’s Christmas lights, street entertainers and street ranger Chris Ashby, who buzzes around in an electric vehicle cleaning and weeding.

One of nine Harrogate floral summer of celebration displays by the BID.

In June, 76% of almost 500 Harrogate businesses eligible to vote did so in favour of supporting the BID for a second five-year term.

Such landslide support seemed inconceivable in the BID’s early days, when it was riddled with in-fighting. But the appointment of Matthew Chapman as chief executive in 2021 heralded a change of fortune.

Former semi-professional rugby league player Mr Chapman has navigated his way through the Harrogate business world with a deftness and charm not usually associated with cauliflower-eared rugby bruisers.

June’s vote, which means town centre businesses with a rateable value of at least £19,000 will continue to pay a levy to fund the BID’s work, was a testament to faith in the BID and his rigorous campaigning.

Was he surprised by the whopping majority?

“No. We had done a lot of homework. The groundwork started 14 months before the ballot. We were confident we could prove our worth and I spent a lot of time talking to businesses.”


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Even Mr Chapman’s sunny disposition was tested when North Yorkshire Council, whose Harrogate businesses include the Turkish baths, the tourist information office and the library, abstained from the vote.

The now-defunct Harrogate Borough Council’s block vote helped the BID win its first ballot five years ago. Was he disappointed its successor local authority didn’t offer the same support?

“It was a tough pill to swallow because we were the first BID in the UK to have a local authority abstain. But at least we can say it was a true business decision.”

(from left) BID staff members Bethany Allen, Chris Ashby and Matthew Chapman join chair Dan Siddle and vice-chair Andrea Thornborrow to celebrate the ballot result.

The yes vote means the BID’s work, which also includes events such as fashion shows and dog shows, the Harrogate Gift Card, street art and targeted free parking, will continue.

But will Mr Chapman? His departure for a managerial role at North Yorkshire Council was announced last year before her performed a U-turn and stayed. He says:

“I’m very confident of staying for the next five years. What that process made me realise is I’m very passionate about BIDs and Harrogate is a great place to deliver one.”

Harrogate ‘vibrant — but needs big brands’

Mr Chapman previously worked for BIDs in Leeds and Huddersfield but says “coming to Harrogate was like going from the second division to the premier league” because of the town’s prestige. He says:

“I’ve learned that Harrogate is a very traditional place where people are really passionate about its history.”

Harrogate, he says, is vibrant and people have a lot of pride in it, adding shop vacancy rates are below average and footfall is above average for a town of its size.

But he says the town centre “could do with some big brands” and some parts, such as Cambridge Street, are “looking tired and could do with a makeover” although he adds Harrogate’s affluent reputation makes it harder to win bids for regeneration funding.

“Look at Montpellier — that says ‘Harrogate’. We would like all the town to say that.”

Which brings us to the £11.9 million Station Gateway scheme — is he for or against?

Cambridge Street

‘Tired’ looking Cambridge Street

Mr Chapman displays a nifty rugby player’s sidestep by asserting the BID’s neutrality. Some retailers oppose the loss of parking spaces and part-pedestrianisation on James Street, while some hospitality businesses think it would encourage cafe culture, he says.

Mr Chapman commutes in daily from York, where he was born, to the three-strong BID team’s Victoria Shopping Centre office.

Its term two income is set to fall from £540,000 a year to £485,000 a year, mainly because the council’s latest reassessment of rateable values took more businesses below the levy threshold.

But Mr Chapman is confident his team will continue to delight and keep members happy.

“I want to show a clear return on investment. I have got to be able to stand in front of businesses and show what we are doing in return for charging a levy.”

Hot Seat: Bringing Ripon firm Farmison back to life

Shortly before Christmas, Andy Clarke heard rumours all was not well at Ripon firm Farmison & Co.

Having spent a career in retail, including six years as chief executive of Asda, Mr Clarke was aware of the company’s mission to ‘eat better meat’ and innovative business model, which had attracted clients including Harrods and Fortnum & Mason.

He was approached about getting involved but was busy at the time. He adds:

“The phone went quiet for a while and then there was a bit more noise about the company being in a challenging position. When it went into administration, I decided to look in more detail.”

Farmison entered administration on April 6 — Maundy Thursday. The ensuing Easter drama ended, appropriately, with a resurrection when a consortium spearheaded by Mr Clarke acquired the business from the administrators just over two weeks later.

It prompted a collective sigh of relief in Ripon, where Farmison was one of the city’s largest and most feted employers, with almost 100 staff and numerous awards.

Farmison

Farmison will stay at Bondgate Green

Some former staff, who lost their jobs when administration happened, are being rehired and new ones are being sought as Farmison prepares to recommence trading within weeks.

What possessed Mr Clarke to get involved as executive chairman? He says:

“I’ve lived in Yorkshire most of my life and I’ve always been keen to support Yorkshire businesses. I’ve a strong affection for local and Yorkshire. I was chair of Leeds Bradford Airport for nearly five years.

“When I saw what I believed to be a great brand at risk of disappearing I felt I had to have a look to see if I could help. At that point I didn’t know what help was. It soon became clear I had to find a partner and invest in it.”

From then, events moved rapidly.

“It became a race to see who was going to rescue the business. In the final throw of the dice, we were given approval by the administrators who felt our bid to take forward the business and protect jobs was the strongest.”


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The four-strong consortium also includes Gareth Whittle, the founder and former managing director of Chilli Marketing. But not Farmison co-founder John Pallagi, who was heavily involved in the race to save the company until the last minute. Mr Clarke says:

“We discussed with John what role he might play. We are still talking to John – there could be a role for him in future. He developed a great brand and his vision to ‘eat better meat’ is what attracted me.”

Mr Clarke says the immediate challenges are to refocus, manage the cost base and stabilise the business to bring it back to growth. No drastic changes to its business model are planned. He says:

“It’s fundamentally a good business that ran out of petrol because the cost base was too high.

“We are primarily a B to C supplier. That’s the primary purpose of the business and I would suggest that will be retained.”

Mr Clarke, who lives in East Yorkshire, says he’s had “brilliant support” from suppliers even though Farmison’s administration left some being owed money. He says:

“It’s sad that these businesses have lost out because of the previous company and the previous management team. We will develop a stronger business together.”

He reaffirmed Farmison’s commitment to its Bondgate Green site in Ripon by saying the consortium has assured the landlord it intends to stay. He says:

“It’s a great site. We are at the heart of the community.”

‘Eat better meat’ is Farmison’s strapline

Mr Clarke, who is also chair of Menzies Distribution and holds other senior roles, will divide his time at Farmison with his other business ventures.

Chief operating officer Michelle Kennedy is in charge of day-to-day operations, supported by commercial director Andy Cavanna and finance manager Liam Duggan.

“I add value through my experience but when it comes down to it it’s about the capability of the team to work together and get this business back to where it’s meant to be.”

Even with his long experience in retail, however, he says the Farmison acquisition has been “quite a journey”.

“I’ve driven the Ripon Road on more occasions than ever before. It’s been great. I’ve loved it. It’s a very exciting business to be involved in and we hope we can make it successful again for Ripon.”

 

Hot Seat: leading a £274m Knaresborough green energy firm

When Peter Kavanagh gave up a career in finance to set up a wind energy company 13 years ago, some thought he had lost his marbles. He says:

“A lot of people said to me ‘you are wasting your time, wind turbines don’t generate money, you’re crazy’. I wanted to prove them wrong and it felt like the right thing to do for the next generation.”

Mr Kavanagh, 44, now runs Knaresborough firm Harmony Energy, which employs 33 staff and acts as the ultimate advisor to London-listed Harmony Energy Income Trust PLC, which is valued at £274 million.

The company operates wind, solar and battery energy storage systems and has relationships with companies like Tesla.

It has schemes in New Zealand and France as well as the UK, where one of its projects involves developing a battery storage facility at Wormald Green, between Ripon and Harrogate, which will have the capacity to power 9,000 homes. Work on the site is due to start this year and the firm would like to also build a solar farm there.

Not only has Mr Kavanagh proved the doubters wrong, he has also given investors the chance to behave ethically while generating a return on their money.

But for all the talk of the climate crisis and soaring energy bills, the battle to establish renewable energy has been far from straightforward.

Mr Kavanagh cites connectivity to the grid as the main ‘blocker’. He says a lot of development projects fail simply because the grid is full and they can’t connect.

Grid connection, planning issues and land agreements are the three essential issues when choosing sites, he says. Harmony negotiates sites and employs four project managers plus experts in fields such as law, finance and asset management to oversee progress.

Harmony Energy Pillswood Battery Energy Storage System

Harmony Energy’s battery energy storage system at Pillswood, near Hull.

There’s also the slight matter of trying to wean the nation off fossil fuel companies, which continue to generate billions of pounds of profit and benefit from relationships built up with government over years.

Harmony has shifted its focus from wind to battery energy storage systems because of a change in the political climate since it was founded. Mr Kavanagh explains:

“Because of planning rules in England it’s almost impossible to build a wind farm in England now.

“In 2016 we were submitting planning for a completely unsubsidised development but pulled it because at the time David Cameron changed the rules on planning which pretty much made that sort of development impossible, which is frustrating because had we and others been able to develop at the time then going into this energy crisis England would have been in a much better position.”

He admits wind is “contentious” but says recent survey since the war in Ukraine started suggests more people support it, adding:

“If I was in government — obviously I’m slightly biased — I’d be saying ‘let’s build as much unsubsidised renewable energy as we can, look at land use, but look at it as a whole’. Even if we used up all the land for large scale solar requirements, for example, the stats published by national bodies say we would only use three per cent of the overall land mass.

“It makes sense because we desperately need energy bills to come down because businesses are going bust left, right and centre.”

Battery energy

Battery energy is the main focus now. So far, Mr Kavanagh has overseen the development of 500 megawatts of battery energy storage systems in the UK with the Harmony group. Harmony is Tesla’s biggest customer in Europe, having been ordering its batteries since 2016.

Harmony’s largest scheme is at Pillswood, which employs a Tesla two-hour megapack system that has the capacity to store up to 196 megawatt hours of electricity in a single cycle. This is enough electricity to power about 300,000 UK homes for two hours.

He says batteries are “the key to unlocking the potential of other renewable technologies, including solar” because they enable electricity to be stored until it is needed by the grid.

Because wind and sunshine aren’t predictable, they produce intermittent energy. Batteries can stabilise and balance this outflow of electricity and ensure it is used more effectively.


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Harmony uses lithium batteries, made of 93% recycled content, says Mr Kavanagh.

The company was floated on the London stock exchange in November 2021 with a market capitalisation of £210 million. Its value has since soared to £274 million.

Its latest set of accounts, for the year ending December 31, 2021 showed a £33m profit compared to a £1m loss in the previous year.

Mr Kavanagh acknowledges this financial transformation was largely due to the stock market listing but adds 2022 was “another good year for us” and talks about hiring more staff and exploring new markets in Germany, Italy and Poland.

‘Not all about the money’

It is easy to be cynical about combining ethics and profit but Mr Kavanagh insists he is “100% not all about money”. He says investors appreciate the chance to support renewables and it’s hard to dispute the fact the planet needs change to survive.

He says the company tries to behave ethically in other ways, for instance it did not furlough any staff during covid and refused business rate relief from Harrogate Borough Council during the pandemic.

“I said ‘you should not be handing free rates out willy-nilly. Morally I felt it was the right thing to do and I wish others had done the same because the bill from covid will cripple the economy.”

Harmony, which is based at Conyngham Hall and also had an office in London’s Bond Street, supports various local good causes, including Henshaws, Candlelighters and Yorkshire Wildlife Trust. It sponsors the Harrogate 10k race — an event keen runner Mr Kavanagh took part in last year. The firm also has a community fund supporting green schemes in areas where it operates.

Conyngham Hall

Harmony is based at Conyngham Hall in Knaresborough.

Mr Kavanagh, a father-of-two, also tries to live ethically. His home in Birstwith is “predominantly powered by solar”, he owns an electric vehicle and travels by train when possible.

He also follows a plant-based diet, although this is partly a legacy of being diagnosed with bowel cancer when he was 29.

That experience played a major role in his change of career direction after a decade in finance. He says:

“You can make a return but do it in the right way. That’s the ethos we are trying to get through on Harmony. We are trying to build infrastructure without any support from the UK taxpayers, that’s as green as it possibly can be so it’s not only environmentally sustainable but from a financial point of view.”

Mr Kavanagh is also a director of Jones Food Company, Europe’s largest high care hydroponics facility now majority owned by the Ocado Group, and is an early-stage investor in several green tech companies outside of Harmony.

Despite the challenges. he says the tide is turning and he is optimistic about the future of renewable energy.

“We are minnows compared to big boys like EDF but a key advantage is that we are nimble and can move quickly.

“That’s why our focus will always be primarily on energy storage because it’s such a huge need. Anywhere that has a lot of intermittent energy will require lots of storage.”

He says if you can build a solar farm in North Yorkshire without any taxpayers’ support you can build one anywhere in Europe and it was looking to work with “trusted partners” in new areas on the continent. He says:

“The UK will always be our core market but we see lots of potential in Europe.

“Being a small part of the solution is what drives us. If we can be 10% of the market in 10 years time I will be very happy.”

Hot Seat: the youthful councillor leading transport in North Yorkshire

Keane Duncan is only 28 but he has already packed a lot into his political career.

At 19 he was selected as a Conservative candidate for election on to Ryedale District Council. The following year he was elected and at 24 he became council leader.

At 22, he became the youngest ever North Yorkshire county councillor and after being re-elected in May last year he was appointed executive member for highways and transportation — the most high profile role on the executive besides the leader. Criticism — often fierce — is part of the brief.

He says:

“The role I have got right now has been the biggest political challenge I’ve had. We cover an area five times the size of Greater London.

“Everybody has got an opinion on transport and everybody wants to express it. It is difficult to switch off because I feel very heavily the weight of responsibility that I’ve got.

“But it’s my home area. North Yorkshire is where I’m born and bred and an area that I want to do everything I can to improve.”

The role includes oversight of major schemes including the £11.2 million Harrogate Station Gateway, the £70 million realignment of the A59 at Kex Gill, introducing a Harrogate park and ride and the headache-inducing Otley Road cycle route.

Keane Duncan

He became the youngest ever North Yorkshire county councillor at the age of 22.

Cllr Duncan, who was born in Malton in Ryedale, has also got six other districts besides Harrogate to worry about, not to mention countywide problems such as potholes and trying to prevent a mass cull of bus services at the end of March.

Councillors aren’t paid but they do receive allowances. Cllr Duncan currently receives a basic allowance of £10,316 per year plus £15,939 for his executive portfolio. These sums are set to rise to £15,500 and £19,554 respectively when North Yorkshire County Council is replaced by North Yorkshire Council on April 1.

When he isn’t on council duty he works as deputy news editor of the Daily Star, writing recently about everything from a monster python attacking a child to the death of former Soviet Union president Mikhail Gorbachev — who left power before Cllr Duncan was born.

He says:

“I work full-time in my journalism role and I would say I work full-time plus in my executive role so there is a lot of pressure. It does take a lot of time but I’m committed to my council duties.”

‘I believe in Conservative principles’

Cllr Duncan, a keen gym-goer, was the most eye-catching appointment to leader Carl Les’ 10-person executive, which is effectively his Cabinet, not least because he was 45 years younger than his predecessor Don Mackenzie.

During our interview, Cllr Duncan gave updates on the Otley Road cycle route and the gateway but we also wanted to know what has driven him since his teens to pursue politics so vigorously and what kind of Conservative he is. Even his degree is in politics. He says:

“Fundamentally I believe in Conservative principles — that is people taking responsibility, low taxes, everything you would expect from a Conservative.

“I do think I look at things slightly differently to some of my colleagues. That is maybe a result of being from a younger generation but I have always been prepared to make my own mind up on things. That isn’t always easy but I have done this for eight years through university and all my working life so far.

“I enjoy being a councillor and serving the public and for people who aren’t involved in local politics that’s difficult to explain and articulate. But it’s something I can’t imagine not having in my life.”

Cllr Keane Duncan, executive councillor for access at North Yorkshire County Council.

Pictured in Harrogate

Here’s what he had to say on the key local transport issues.

Kex Gill start ‘imminent’

Realigning the landslip-hit A59 at Kex Gill is “the most ambitious highways capital project that the county council has ever embarked on”, says Cllr Duncan.

Work has been delayed many times but the scheme is due to start any day. He said it was a deceptively complex project:

“On a map it looks very simple but we know there are all the engineering challenges this scheme presents. But we are committed to delivering this scheme.”

‘More comprehensive’ active travel schemes

The council’s commitment to active travel has been questioned by Harrogate District Cycle Action after Cllr Duncan indicated the second phase of the Otley Road cycle route won’t proceed.

Other cycling schemes on Beech Grove and Victoria Avenue in Harrogate have failed to progress, along with another scheme for Harrogate Road in Knaresborough.

It seems they may now be shelved too as wider, more ambitious plans are drawn up after the council submits a bid to the fourth round of funding by Active Travel England, which funded the schemes.

He said:

“We are progressing on those schemes but there’s the prospect of further funding in active travel round four and there might be a case for using funding we have already secured and funding we might secure in that round to deliver much more comprehensive active travel schemes in the future. So we are really just waiting to see the outcomes of that.

“We are looking to improve those corridors but there might be more comprehensive things we can do in those locations but they would require further funding so we are working closely with Active Travel England, discussing our plans and proposals, and they are saying ‘don’t deliver a scheme just because you have funding for that element of a scheme, take a step back and look at the bigger picture and if you need further funding to deliver a more comprehensive scheme then we want to work with you to provide that’.”


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Keane Duncan

Speaking at County Hall in Northallerton

Park and ride location uncertain

The council previously said it had identified two possible sites for a park and ride in Pannal on land near Pannal Golf Club and the Buttersyke Bar roundabout south of the village.

These were identified as they connect to the 36 bus service which runs between Harrogate, Ripon and Leeds on the A61.

But it seems this too is under review. Asked about the Pannal options, Cllr Duncan said:

“As far as I’m concerned that is one of many sites that have been explored so I wouldn’t want to rule anything in or out at this stage but certainly work is ongoing at this stage in the hope that we can get a positive outcome from it.

“I’m open minded about that and want to wait and see the outcomes of the analysis we are doing. I have not yet had confirmation as to when this is expected to conclude.”

Buses face ‘cliff edge’

Although funding for the 24 service between Pateley Bridge and Harrogate was secured for another year this week, Cllr Duncan says 79 services in North Yorkshire are at risk of reduced frequency of service or ceasing altogether.

D-Day is fast approaching. He says:

“Passenger numbers are 80% of where they were before the covid pandemic on average.

“Operating costs and staffing costs have increased significantly and that has created this perfect storm. The scale of that challenge will far exceed the £1.6m of subsidy we set aside every year which has been the case since 2016.

“The cliff edge moment is going to be March when the central government funding comes to an end. But when the people of North Yorkshire are for whatever reason not using buses, it wouldn’t be right to then ask the public to pay more to subsidise services they are not using. That is not sustainable.

“The only real way forward is passengers. Passengers are the key to this problem and we need people to use buses.”

Hot Seat: Why 2023 will be economically ‘huge’ in the Harrogate district

Next year will see the start of seismic political changes in North Yorkshire.

On April 1, seven district councils, including Harrogate Borough Council, will be abolished, along with North Yorkshire County Council. and be replaced by a new unitary authority called North Yorkshire Council.

These changes will pave the way for something potentially even more significant in 2024, when North Yorkshire is likely to elect a mayor and become the 11th place in England to get a combined authority.

Words like ‘combined authority’, ‘devolution’ and ‘mayor’ don’t slip down as easily as mulled wine at Christmas and the temptation is to ignore them.

But James Farrar, chief operating officer of York and North Yorkshire Local Enterprise Partnership, thinks the political changes will bring economic benefits — especially to those who grasp the significance of what’s going on. Mr Farrar says:

“This is huge. There will be significant investment on an ongoing basis right across North Yorkshire.”

Mr Farrar, who is from Huby and went to primary school in North Rigton and secondary school in Harrogate, heads one of 38 local enterprise partnerships.

LEPs sit between local and national government to stimulate economic growth. York and North Yorkshire LEP, which employs 40 staff, is mainly funded by £375,000 from the Department for Levelling Up, Housing and Communities and £250,000 from the Department for Business, Energy and Industrial Strategy.

It invests in capital infrastructure that provides conditions for growth, such as the upgrade of junction 47 on the A1(M) at Flaxby. It also invests in skills and business support.

Right now, devolution is by far the biggest game in town.

James Farrar

James Farrar

Mr Farrar, who has worked in economic regeneration for two decades, pinpoints two major benefits — long-term funding and a closer dialogue with national government. He says:

“Currently organisations are constantly bidding for funding from government for one, three or five years. When you are constantly bidding it’s very hard to take long-term strategic decisions. Thirty-year funding gives certainty. Having been stuck in a cycle of short-term bidding, it will make a massive difference.

“Also, areas with mayors have a constant dialogue with government. It will put us round that top table. There will be an ongoing, permanent relationship between North Yorkshire and Whitehall.”

Mr Farrar describes the proposed 30-year, £540 million devolution deal, which is expected to be ratified in the new year, as “a really, really good deal compared to what other areas got at the beginning”.

It will mean an £18 million a year mayoral investment fund, plus there will be separate funding for specific areas such as transport. He says it will “enhance rather than erode” the powers of North Yorkshire Council and City of York Council, which will continue to handle areas such as highways and planning.


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The creation of a mayoral combined authority has led to fears too much power will be concentrated in too few hands.

The authority will be chaired by the mayor and have two members each from North Yorkshire Council and City of York Council plus the chair of the LEP.

Mr Farrar says the fact the mayor will need re-electing to maintain office will act as a democratic check on his or her power.

‘Be on the front foot’

Mr Farrar, whose brother still farms in Huby, acknowledges people will only value devolution “when they see real change” but he insists it’s coming.

He also thinks businesses and councils need to be ready.

“My message to any area is it’s important to be clear about your priorities. Think about what investment they need to make sure town centres are vibrant, what will make businesses want to relocate there and what are the barriers to that.

“My experience is that places with a plan attract investment. If you wait for the money you will be waiting a long time. Be on the front foot.

“We have some amazing towns in North Yorkshire but they are going through a lot of problems and change. Their USP is the quality of places and if they get this right they will see significant progress.”

Mr Farrar also predicts a “big change in agriculture because of environmental changes and leaving the EU”, which will have a particularly significant impact on rural North Yorkshire and further reshape the county’s economy.

But he insists the outcome of all the changes will be worth it, with more prosperous towns and a more politically tuned in county. He also reiterates a point he made in a speech to Knaresborough Chamber of Trade and Commerce last month — that there are  successful businesses in York looking to relocate and alert nearby towns in the Harrogate district could benefit.

The LEP is based in York and Mr Farrar says:

“York is constrained by its geographical size. We have businesses wanting to grow and we don’t want them to move outside the area. Whether it’s Knaresborough or Boroughbridge in the Harrogate district or somewhere else like Selby and Easingwold, there are opportunities to be part of that growth.”

Hot Seat: Leading Bettys in turbulent times

The board room at the top of Bettys on Harrogate’s Parliament Street provides panoramic views of the town centre.

Spectacular as they are, it’s impossible not to look down now without a sense of trepidation.

Recession, cost of living crisis, inflation, recruitment problems and energy bills are rarely out the news and you wonder how many of the shops and businesses will still be around in a few months time.

Simon Eyles, a member of the collaborative chief executive at Bettys since June 2016, says it feels like the most challenging time in his career.

“It is a tough time for the High Street and I do worry where things are going. Every retailer needs to be on top of their game in the next six months time.”

Even Bettys? The queue for the flagship tearoom in Harrogate still snakes around the corner but Harrogate’s best-known brand is not immune to the turbulence.

Its latest accounts, published in July, warned of ‘significant trading challenges’ ahead and revealed that although turnover grew by 8.8% in the year to October 31, 2021, operating profit fell by £1.6m to £15.5m.

Mr Eyles says recent accounts are difficult to read because there have been so many one-off costs due to things like covid but accepts these are tough times.


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He quotes ex-boxer Mike Tyson’s famous line that ‘everyone has a plan until they get punched in the mouth’, adding: “It feels like we have been punched in the mouth a lot recently.” But he remains upbeat.

“I’m an optimistic person because if you were a worrier you would get yourself into a pickle right now.

“There’s an insight we have that says ‘there’s nowhere quite like Bettys’. That’s something I want every single customer to feel when they leave.

“We need to ensure our menus keep changing by doing things like making sure we have the best service, more vegetarian options. We don’t need to reinvent ourselves or have a revolution — it’s about how we carefully and skilfully change.”

Northern roots

Born in Stockton-on Tees and now living near Boroughbridge, Mr Eyles has spent his entire student and working life in the north.

He did business studies at Sheffield Hallam University and subsequently held senior marketing and commercial roles with household brands in the food and retail industry, including Asda, McCain and Lurpak.

A Middlesbrough FC fan and former county tennis player who now plays for Boroughbridge Tennis Club, he joined the Bettys & Taylors Group as marketing director for Taylors of Harrogate in 2011.

In 2016 he transferred to his current role at Bettys, which employs about 1,450 staff at its Starbeck bakery and five tearooms. He says:

“This place grabs you. It has deeper connections, deeper history. It can be a weight to carry knowing how precious and valuable it is.”

Simon Eyles, Bettys

Outside Bettys’ flagship tearoom in Harrogate.

Five chief executives

My Eyles is one of five chief executives under Bettys’ unusual collaborative structure. He says:

“I find it a supportive model as the five of us have different perspectives and areas of expertise, meaning that we can make better, rounded balanced decisions.

“We can move at pace when we need to but sometimes it’s better to discuss, listen to each other’s views, in order to make a more informed decision.

“We certainly are not a ‘command and control’ business, as we have all worked in organisations that have this power dynamic and believe that this is a more rounded, considered approach to leadership.”

The leadership isn’t planning any fundamental changes. Bettys will continue to operate five tearooms: Harrogate town centre, RHS Harlow Carr, York, Ilkley and Northallerton. Mr Eyles says:

“We are Yorkshire through and through. There are no plans to open in London or anywhere.”

Harrogate town centre and York are the busiest and attract more tourists for afternoon tea. Harlow Carr, he says, does well on the retail side from people popping in as part of a trip to the RHS gardens whereas Northallerton and Ilkley have loyal local followings seeking tea and cake.

There’s also Bettys’ bakery in Starbeck, which is significantly affected by rising energy costs. My Eyles says:

“We have to work really hard as to how we can absorb those costs.

“You can’t just keep putting prices up, you have to find the right balance and the queues are sign we have got that equation right.”

Christmas build-up begins

September marks the start of Bettys’ build up to Christmas, which is its busiest time of year.

The window displays and products are planned and the Christmas catalogue will soon be published.

Bettys Christmas

Last year’s Christmas window display in Harrogate.

Last year the company reported its highest ever sales figures for a Christmas period. Online sales have doubled since the pandemic.

The premium market Bettys serves is to some extent insulated from the recession but equally many people are more cutting back on treats.

Recruitment remains a major headache, especially for kitchen staff. Brexit, he says, is having a delayed effect and making recruitment harder. It’s also prompted the company to stop trading in Europe:

“We ship a lot to the United States and Australia but the complexities that are involved with shipping to Europe means that we are not doing it because it’s not worth it for us. I don’t think Brexit has done us any favours.”

Bettys was founded in 1919 by Frederick Belmont, of Switzerland, whose family still owns the company. Mr Eyles, who has a 14-year-old daughter and two labradors, says the family is not involved in day-to-day business but are regularly updated and make strategic decisions.

“Bettys will be thriving for years to come. We will have evolved but at the heart of it we will always be a magical experience.

His advice for companies struggling to survive?

“If you freeze and wait for things to settle down, that is a big risk. You need to be proactive.”

 

 

Hot Seat: The Harrogate man leading the way in luxury care

When Graeme Lee was in his mid-20s, he organised a holiday for 24 people in two chalets in France. Tragically, two of them died on the trip.

Devastated, he took a year off from his job as a senior manager at Marks & Spencer. His sabbatical drifted into a second year until it ended abruptly when his mother fell ill and he rushed home to be with her. Within four weeks she was dead.

Thirty years on, Mr Lee is one of Harrogate’s most successful businessmen. His company Springfield Healthcare has six care homes, a £30m turnover and 1,500 staff, including domiciliary care. It wasn’t university or education that forged him, but those early losses.

He says:

“They were two of the most traumatic things that have ever happened to me.

“I can’t tell you how responsible I felt for what happened on the holiday. One of the girls wasn’t going to go and I lent her the money.

“Those two years away transformed me. I learned a lot about the meaning of life.”

It has been some journey. Mr Lee grew up in a small care home his mum and dad owned in Garforth, West Yorkshire, regularly moving bedrooms to accommodate residents and watching TV with them at night.

He then struck out on his own at M&S until his mother’s death proved a turning point. He says:

“Shortly before she died, Mum asked if I would look after Dad and the business and my two sisters. I’ve tried to do that ever since.”

Care homes are light years away from what they were when Mr Lee was young. He says:

“Care homes in the 1970s had bad reputations. Your grandma would say ‘don’t ever put me into a care home’. That’s driven me over the years. I want to change how older people perceive care homes.”

Harcourt Gardens

Harcourt Gardens in Harrogate

Today Springfield Healthcare, which has six homes providing 500 beds, is at the forefront of luxury care. Think cinema days, rooftop terraces and gin bars.

Harcourt Gardens, which opened close to Harrogate town centre in December, is registered for 115 residents. Its facilities include a cinema room, gym, hairdressing salon and spa, and landscaped gardens. He adds:

“The most important thing for me is that it’s in the heart of the community. Older people want to live in their community.”

Naturally it isn’t cheap — prices in Harrogate start at £1,250 a week. Mr Lee says his company creates an option for people able to afford the choice and provides value for money.

Harcourt Gardens, which employs 50 staff, took more than seven years to go from vision to completion. Covid and a flooded basement added to the delays.

How does he top that? Another site in Harrogate could raise the bar even higher.

‘Holy grail of care’

Graeme Lee at Grove House

Outside Grove House

Three years ago, Mr Lee bought Grove House, a grade two listed building off Skipton Road that was once the home of Victorian inventor, philanthropist and mayor Samson Fox.

Grove House belonged at the time to the Royal Antediluvian Order of Buffaloes, a fraternal movement. A flag showing the initials GLE hung outside, indicating it was the organisation’s grand lodge of England.

So when Mr Lee, whose car number plate bears the initials GLE after his name, turned up to check out the site, there was a sense of fate. That there is a plaque about Samson Fox near his Harrogate home added to this.

He bought the site for £3 million and now plans to transform it into “the holy grail of care”.

He wants to convert Grove House to accommodate 23 independent living apartments and build a 70-bed care home and eight houses providing supported living for over-65s on land alongside it.

Schoolchildren from nearby Grove Road Community Primary School will be invited to participate in activities alongside residents and use the gardens for study and play. The site will also host an annual garden party for the community.

Grove House

The vision for Grove House.

He says:

“I want to bring Grove House back to life and make it part of the community.

“All of my 28 years in care have led me to this. We are giving back to the community and school. It’s not just about making money; it’s about doing the right things.”

‘Strong regional provider’

Mr Lee, who will be an energetic 57 next month, is eyeing other projects.

He’s bought the former Summer Cross pub in Otley and hopes to get planning permission to convert it into a care home. He’s also looking at a site in Wetherby. But his empire is unlikely to swell much more.

“I don’t want to be the biggest, I want to be the best. I want to be a good, strong regional provider.”

Times, however, are tough. Brexit, he says, has “not had a significant impact” besides the fact that he now employs fewer European staff, but he describes the impact of the cost of living crisis and rising energy bills as “massive”.

“I’ve never known it as challenging in my 28 years. We have increased pay rates by 11% for domcare and fuel allowance by 33% and it hasn’t even touched the sides.”

By contrast, he says some local authorities have only increased the rates they pay private providers by 3%, which he describes as “absolutely unacceptable”.


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The company is also focusing on staff wellbeing and provides a hardship fund for those in need.

The rise in agency staff is another big change in the care sector, which he attributes largely to evolving work patterns.

“Ten years ago, I didn’t have any agency staff. Now people want to work for four to six weeks and then have a month off.”

Care homes are a major part of the Harrogate district economy but most people, says Mr Lee, make the mistake of not thinking about them until there’s a family crisis. Then they are suddenly forced to make rushed decisions. He says:

“There are so many good care homes on your doorstep here in Harrogate. Go and start looking.”

Mr Lee has two grow-up children from his previous relationship. Son Hugo runs a recruitment company and daughter Rafaela is at university. He now lives with partner Heidi and her three boys.

Away from work, he “plays golf, badly” off a 13 handicap, and is a member of Alwoodley golf club in Leeds. He also enjoys mini-breaks.

He’s come a long way but the 1990s are never far from his mind.

He is close friends with the parents of one of the girls who died and he’s still driven by the promise he made to his mum to look after the business and to keep raising the bar on care homes.

“I’m totally committed to providing the holy grail of care. I want it to feel like a hotel when people walk in.”

Hot Seat: A bold new approach at Black Sheep

Masham is the small town in the Harrogate district with a big reputation for beauty and beer.

Set in sumptuous Wensleydale, it is home to two major breweries — Theakston and Black Sheep.

The breweries, which boost the town’s economy and provide jobs, have been around so long it’s hard to imagine Masham without them. But the future at Black Sheep looked far from rosy a few years ago.

The company, which was founded by Paul Theakston in 1991 when he became the black sheep of the family by setting up a rival to the brewery created by his family in 1827, was running at a loss.

The chairman asked Charlene Lyons, who had set up her own consultancy at the age of 29 in 2007, if she would consider becoming chief executive.

Ms Lyons knew what she was getting into: her consultancy had been brought in to help Black Sheep in 2016 and she had joined the board in 2018. She says:

“It was a business that had not had much external objectivity. It had been making a loss for four or five years.”

Charlene Lyons Black Sheep

Charlene Lyons

For Newcastle-born Ms Lyons, it was an appealing new challenge.

The daughter of a market trader, she grew up fiercely determined to be a successful businesswoman. She cut her teeth as a fashion buyer for Marks & Spencer in London and her career was flying but her dad’s sudden death when she was just 23 had a profound effect.

Gradually her mindset changed and by the time the top job at Black Sheep became available the prospect of working in the Dales appealed more than corporate city life.

Ms Lyons, who sleeps for just three or four hours a night, now enjoys the scenic commute to work from Leeds at 5.45am. She says:

“It’s the most beautiful drive to an incredible part of the world, for a business that is deep rooted in the most amazing heritage and culture.”

Future planning

There was plenty to occupy her mind on those early morning drives when she started the job. Weeks after becoming chief executive, covid struck.

Black Sheep was quick to respond, staging regular coronavirus planning meetings from January 2020, when much of the world was laughing it off.

As the situation worsened, the company instigated a raft of measures, such as improving its online shop, securing third party packaging to reduce its reliance on one supplier and alerting supermarkets to the availability of its products. Online sales increased from about £100,000 to £800,000 during the first covid year.

Black Sheep also offered a ‘brew to you’ delivery service, which involved delivering beer to the end of people’s drives and provided a local food delivery service in Masham. A future strategy team was set up to plan for life after covid. Ms Lyons said:

“So many businesses didn’t have the bandwidth to think about the future during covid.”

Ms Lyons’ bold and forward thinking approach helped the company recover at a time when covid had a devastating impact on the hospitality trade. Besides furlough, Black Sheep received no business rate freeze or grants despite the catastrophic impact of pub closures.


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The latest annual accounts, for the financial year ending March 31, 2021, revealed the company made a profit of £1m but an operating loss of £1.1m due to exceptional items, such as redundancy payments.

Considering the circumstances, this was an impressive set of results. The accounts also reveal how much covid changed the business model. They state: “Our off trade business grew its turnover from £6,864,988 to £9,547,261, our on trade turnover was decimated, reducing from £9,838,810 to £2,245,457.”

The current strategy focuses on providing a direct route to market, rather than relying on third parties, and ‘owning Yorkshire’, which means getting its products in every pub, bar and other retail outlet selling beer in the county.

Black Sheep Brewery Masham

The brewery in Masham.

Black Sheep exports to 12 countries but overseas trade is a very small part of its business.

Its fresh approach to marketing is epitomised in its recent drink cask beer campaign, featuring comedian Maisie Adam, which aims to break down what Ms Lyons calls the “ridiculous stereotype” that only men aged over 55 drink cask beer.

Ms Lyons is rather tired of another cliché: that being a female chief executive in the world of beer is frowned upon.

“It’s not been an issue at all. The perception is more in the eye of the beholder. People always ask ‘what’s it like to be a CEO in a make dominated brewery?’ But in my experience everybody is taken at face value. It doesn’t occupy even a tiny bit of my thinking.”

Outside work she enjoys travel, food and wine. Being the mother of three sporty children, she also spends a lot of time driving them around.

Masham may seem a long way from corporate life but managing a team of 146 staff in such difficult time is no easy task, particularly when you throw in challenges like the cost of living crisis and rampant inflation.

But Ms Lyons looks back on the last two-and-a-half years at the helm with satisfaction.

“We’ve done an exceptional job. Many businesses have just folded.

“Hospitality has been one of the most affected sectors and we had no government support except furlough.

“You have two choices with challenges: slump your shoulders and let things overtake you or rally the troops and do something about it.”

 

 

 

 

 

 

Hot Seat: Harrogate Spring Water’s new boss faces old dilemma

Few local chief executives face a trickier task in the months ahead than the one confronting the new man in charge of Harrogate Spring Water.

Richard Hall has to convince a sceptical public and councillors that they should support plans to fell trees in the Pinewoods so the company can expand its factory and produce more plastic bottles.

Trees, plastic and a climate crisis are a volatile mix, as shown last year when more than 400 people objected to a larger expansion scheme put forward by the company that was ultimately rejected.

The campaign attracted national media coverage and a high profile champion in TV presenter Julia Bradbury.

Mr Hall hopes the outcome will be different this time and is keen to strike a conciliatory tone as the company prepares to consult on its revised plans before submitting a planning application.

He says:

“Expansion plans can often be challenged by local communities and that’s something that is not unusual per se, but we could have handled it better and we could have consulted better with the local community so there’s definitely a lesson to learn for us.

“We’ve got an opportunity to be much more open. There is an opportunity for people to come and talk to us, look at the plan and give us feedback.”

Richard Hall, Harrogate Spring Water

Richard Hall, at the company’s Harrogate factory.

Mr Hall is also keen to frame the debate in a wider context than trees versus plastic.

“It’s not really a question of how water is packaged — it’s a question of how food and other beverages are packaged. So if we are asked what are we doing to reduce the impact of packaging, I’d be very happy to respond to that because we are doing significant things.”

He mentions several environmental initiatives Harrogate Spring Water supports and says the main issue is recycling rates. Harrogate Spring Water’s bottles are made using 50% recycled plastic and glass and Mr Hall says this would increase if more recycled products were available.


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Water, he says, is “the healthiest beverage” and the company’s national reputation should be a source of local pride, not to mention the fact that expansion would create 30 jobs.

Packaging, he adds, is a separate debate. But he knows the argument will be tough.

“I accept there will be some discussion around it. It’s a hot topic. People are passionate about the climate. I just hope we get a balanced debate.”

New era

Mr Hall’s appointment marks a new era at Harrogate Spring Water, which can produce 36,000 bottles of 500 millilitre water per hour at its factory.

The company was bought two years ago by French multinational Danone but former managing director James Cain, who had been in charge for 15 years, continued to lead the business until Mr Hall arrived. Mr Cain is now a minority shareholder.

The takeover and expansion plans haven’t been the only issues to contend with lately.

Covid hit hard. According to Harrogate Spring Water’s latest annual accounts, gross profit for the year ending March 31, 2020, was £8.3m but crashed to £1.9m for the nine months to December 31, 2020 due to the closure of many places that sell bottled water, such as convenience stores, hotels, airports and train stations.

Mr Hall says business is now “recovering to pre-covid levels”.

Brexit, he says, impacted the company “a little bit” but nowhere near as much as covid. Inflation is a major concern now.

Richard Hall, Harrogate Spring Water

The company has stopped exporting water to Russia since the Ukraine war started but overseas sales account for only a fraction of business.

Last year the business withdrew its sponsorship of Yorkshire County Cricket Club amid the club’s racism row and has not renewed it, but it continues to be the official water of Royal Ascot.

Despite its national reputation, Mr Hall describes Harrogate Spring Water, which employs 78 staff, as a “small, local brand” compared with international brands like Volvic, and he doesn’t see that changing.

“We will look at expansion plans in the UK and Ireland. There’s lots of space to grow.”

Harrogate, he says, should be proud of its spa heritage.

“There are not many towns in the UK that can talk about their spa heritage. Harrogate is the top one. The water you find here is delicious.”

Danone all his life

Mr Hall, a keen runner, joined Danone in Tokyo a month after finishing university in Japan. He has remained with the company since. He is fluent in Japanese, where he lived for 25 years and has a Japanese wife.

As vice-president of Danone’s UK and Ireland business, his remit extends far beyond Harrogate Spring Water’s factory on Harlow Moor Road (pictured below).

Harrogate Spring Water

Mr Hall lives in Oxford and expects to visit Harrogate twice a month.

His credentials are impeccable, having worked on other Danone water brands Evian and Volvic, as well as Yakult.

Being part of Danone, he says, brings “access to expertise and knowledge” but he constantly stresses the importance of the company retaining the local feel nurtured by the Cains. A new strategic plan is being created.

“The Cain family did a great job in building the brand. I want to look after it and grow it further. We are talking about a premium brand; we are not talking about a mass market brand.”

But how much the company grows will depend largely on whether its planning application to expand by two acres in the Pinewoods is successful.

It plans to revive a 2017 application that was granted outline permission, which means the principle of development is already established but the final details are not.

Harrogate Spring Water protest

A banner protest this month.

Having outline permission will make the process easier but little is likely to be straightforward in such emotional terrain. Last year, protestor Sarah Gibbs stood outside the council offices dressed as a tree, and she has been back putting up banners around the town, saying there can be no mitigation for the loss of woodland.

Mr Hall reiterates he welcomes debate and that the company will listen. Would he talk to Julia Bradbury? He looks at his PR adviser who says he can’t see why not.

There is likely to be plenty of talking and listening before councillors decide whether the plant can be extended. Mr Hall will have to call on all his skill, expertise and years of experience if the company is to secure the outcome it wants.