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Issue:- 15 December  2011

FIRA report shows the economic and environmental impact of biomass

(Left to right Paul Von der Heyde – The Chair of the British Furniture, Dr Asli Tamer Vestlund - FIRA Deputy

ON Monday, 12 December 2011, the Furniture Industry Research Association (FIRA) and the British Furniture Confederation (BFC) held a meeting at the House of Lords to launch a report commissioned by FIRA that focuses on the Renewables Obligation Woody Biomass Subsidy and the detrimental affect it is having on British manufacturing.

The launch event enabled FIRA and the BFC to share the report with parliament, and appropriate Ministers and MPs were invited. This report is the outcome of a number of Biomass Summits held at FIRA earlier this year. These events brought together key industry leaders to discuss how government subsidies encouraging power companies to burn wood, are distorting the market for new timber, thereby forcing up prices for the manufacturing of furniture products. The woody biomass report will be now be used to lobby the Government on behalf of the furniture industry.

This document outlines a series of recommendations on how the Government can ensure that manufacturers are allowed to continue business without facing the difficulty of coping with rising prices from the woody biomass subsidy distortion.

The report also explains how the biomass subsidy is having a negative economic impact within the UK furniture industry. Following the introduction of biomass subsidies, wood prices have risen by 55.1 per cent over the past 5 years, having a significant impact on furniture production margins.

With increased costs for furniture production, an increase in jobs losses is also likely. Many manufacturers are based in rural areas where unemployment is already high and there are limited employment opportunities. As a result, if the UK wood panel industry was to disappear, 4,400 jobs would be lost.

With increased costs for furniture production, it follows that furniture product prices for the consumer will also increase. This is especially poignant as the subsidy paid for burning renewable fuel is paid by consumers through their electricity bill. This means consumers are paying for a renewable energy form which distorts the market perversely against them as both a consumer and also to British manufacturing.

Over its life time, burning woody biomass also emits significantly greater CO2 than wood panel manufacturing s. The report suggests that the biomass subsidy should not encourage the burning of virgin wood, which could be used productively through its lifecycle, before being burnt for fuel. It encourages that furniture at the end of its lifecycle is burnt for fuel, rather than placed in landfill. Furthermore, the report discusses how biomass stations relying on wood imports from abroad are a threat to the world’s forests and may even increase climate-change emissions.  Stephen McPartland MP spoke at the parliamentary launch event, in his capacity as Chair of the All Party Parliamentary Furniture Industry Group. The Chair of the British Furniture Confederation, Paul Von der Heyde also spoke.  For more information on FIRA’s Biomass Report visit:- fira.co.uk.

Last Chance to have your say and help to Sefton TIC and it's events!

IT is shocking to think, but in 2012 we might not have the British Musical Firework Championships, Southport International Jazz Festival, Southport Air Show and the Southport Food & Drink Festival, to name just a few events! Also Sefton Council is proposing the cessation of Sefton Tourism Services in the new year. You can help by the fight to save these events and a service that is one of the very few to bring in cash to not only Southport, but Sefton as a whole! The events like the Southport Air Show have a major impact on the area, bringing in jobs and also cash to not only Southport, but even the likes of Bootle. It is of paramount importance that the public show their support for them, as with out them many Tourism industry based events. We need as many people as possible to give around 2 minutes to fill in a few simple questions on the proposal. To fill in your views on please click on this link now. Sefton Council will rely on them to make their decision in February 2012, so get your info online as soon as possible! Also why not join the Facebook campaign to save the events by using this link and read our report we did in November, click here now.

Mary Portas sets out her vision for the future of our high streets

MARY Portas has published her review of the future of our high streets, setting out her vision to breathe economic and community life back into our high streets. The Review makes ambitious recommendations on what can be done; by government, local authorities and business; to help high streets deliver something new.

The focus is on putting the heart back into the centre of our high streets, re-imagined as exciting social hubs for shopping, learning socialising and having fun.

In May, with town centre vacancy rates doubling in the space of 2 years, the Prime Minister and Deputy Prime Minister asked Mary to look into how we can create more prosperous and diverse high streets.

The Review sets out Mary’s recommendations to free up the high street from constraint, to level the playing field, to mobilise landlords and communities, and to address the ongoing management of our town centres.

The recommendations aim to:-

Get town centres running like businesses - by strengthening the management of high streets through new ‘Town Teams’, developing the Business Improvement District model and encouraging new markets.

Get the basics right to allow businesses to flourish; by looking at how the business rate system could better support small businesses and independent retailers, encouraging affordable town centre car parking and looking at further opportunities to remove red tape on the high street.

Level the playing field; by ensuring a strong town centre first approach in planning and encouraging large retailers to show their support for high streets.

Define landlords’ roles and responsibilities; by looking at disincentives for landlords leaving properties vacant and empowering local authorities to step in when landlords are negligent.

Give communities a greater say; by greater inclusion of the high street in neighbourhood planning and encouraging innovative community uses of empty high street spaces.

Mary also recommends that her suggestions are tried out in a number of high street pilots.

Mary Portas said:- "I don’t want to live in a Britain that doesn’t care about community. And I believe that our high streets are a really important part of pulling people together in a way that a supermarket or shopping mall, however convenient, however entertaining and however slick, just never can. Our high streets can be lively, dynamic, exciting and social places that give a sense of belonging and trust to a community. Something which, as the recent riots clearly demonstrated, has been eroded and in some instances eradicated. I fundamentally believe that once we invest in and create social capital in the heart of our communities, the economic capital will follow. Those who see high streets purely in commercial terms need a reality check, because, without the engagement and collaboration of local people many high streets will die and retailers, landlords and local authorities alike will see their investment wasted. This review sets out what I think has led to the decline of our high streets, my vision of the future and the key things I believe we need to put in place to deliver that vision. I hope that my recommendations can be a catalyst for change but high streets must be ready to experiment, try new things, take risks and become destinations again. Local authorities, landlords, retailers and the public need to work together to really animate the spaces they occupy; re-imagined as destinations for retail, socialising, culture, health, wellbeing, creativity and learning."

Prime Minister David Cameron said:- "The High Street should be at the very heart of every community, bringing people together, providing essential services and creating jobs and investment; so it is vital that we do all that we can to ensure they thrive. I am delighted that Mary Portas has produced such a clear vision on how we can create vibrant and diverse town centres and breathe life back into our high streets. The Government will now review Mary’s recommendations and we will publish our response next spring."

The report is published alongside new Government commissioned research, ‘Understanding High Street Performance’, which shows that: although some high streets continue to thrive, a third are degenerating or failing; by 2014 less than 40% of retail spending will be on the high street; and that over the last decade out of town retail floor space has risen by 30% while in town has shrunk by 14%. The Government will respond to the recommendations in the spring. 

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