A gloomy 2008 for UK business
22nd May 2008
High levels of emigration and economic instability will put more financial pressure on UK businesses says relocations firm, Bishop’s Move.
UK businesses must be prepared to spend more money than ever on recruitment this year, according to research by relocations firm, Bishop’s Move. Recent figures from the Office for National Statistics reveals that 600 people a day are moving overseas. With over 70 per cent of these coming from the UK workforce, British business footed a bill of over £1 billion last year just to counter the effects of an outbound talent flow.
A growing housing market coupled with economic instability is resulting in Bishop’s Move continuing to see a rise in numbers of overseas enquiries. Last winter was its busiest period to date as more and more UK residents sought sunnier and safer climes. However, this trend has continued into 2008, having a forceful impact on the financial ambitions of smaller businesses throughout the UK.
According to research , it costs a business an average of £7,000 each time a member of staff leaves. Bishop’s Move relocated over 3,500 residents abroad in 2007 and it estimates that its business customers alone footed a bill of over £24million just in re-staffing its workforce. However, this number is likely to rise in 2008. The cost of phasing out the outgoing staff member, interviewing and hiring new staff, redesigning the office layout to accommodate them, ordering new stationary, and induction training all adds up.
With an unpredictable property market and a steady number of enquiries in January, 2008 could be a costly year for UK businesses and its economy.
In the second quarter of last year, overseas enquiries for Bishop’s Move were up an incredible 24 per cent over those in the first quarter and, bucking traditional trends, December bookings were up 64 per cent over the rest of the year. This meant that by the end of 2007, Bishop’s Move had travelled over 20 million miles for its customers.
The favourite location for UK residents remains Australia, where the lure of an agreeable climate, lack of a language barrier and relaxed immigration laws has driven over 40% of its relocations Down Under. France and Spain come a close second and third respectively, with ‘emerging’ destinations such as the Balkans and southern Mediterranean gradually growing in popularity.
Bishop’s Move specialises in business and corporate relocations for individuals and for whole companies. Its business relocation services include corporate and employee relocation, office to office moves, storage and distribution services, porterage hire, crate hire and professional move management and churn services. All its business relocation services can be tailored into bespoke removals solutions to suit a company's individual business relocation requirements.
Nigel Bishop, Managing Director of Bishop’s Move comments: “We received more overseas enquiries last year than ever before. What with more and more talk of our unpredictable housing market, it is only inevitable that people are panicking and looking for a more stable life abroad.
“However, it can often be forgotten how this affects businesses. Assuming these people are employed, business leaders are having to spend thousands of pounds to keep up with this outbound flow. The lasting affect could potentially be crippling and I advice those in such positions to be extra vigilant.
“Whatever the size a business move we may be undertaking, our business relocation advisors are professionally trained to advise on the best course of action and are on hand to discuss all the details.”
