The Big Conversation: setting the North East on course for recovery

Steve HarriS, regional Director, SMe banking at lloyDS bank

As businesses look to recover from the impact of the coronavirus pandemic, we asked the question: what does the North East need for its recovery?

At Lloyds Bank we knew we didn’t have all the answers. So we decided to ask businesses about the challenges they’re facing as they deal with the economic effects of Covid-19. We wanted to convene a series of expert conversations, bringing together businesses and industrialists to agree how best to address recovery in the region.

It was heartening to see North East businesses were relatively positive when we brought them together as part of a series of virtual events called The Big Conversation, to consider critical areas of support needed to help rebuild the local economy. Forty two per cent said they had become more innovative through the current adversity, while a quarter felt they are now more resilient than six months ago.

Food storage specialist Biofresh Group exemplifies a business embodying this trend for innovation in the face of hardship. Managing director Jonathan Caisley described how his Northumberland-based business had successfully pivoted after experiencing surging demand for its sanitisation system, which was previously a niche product representing just ten per cent of turnover. Similarly, Matt Beeton, chief executive at the Port of Tyne, said his organisation had accelerated plans to diversify, digitalise and win new business after its cruise and ferry ceased and automotive revenues slowed during lockdown.

What really gives me confidence for the future is not just North East firms’ resilience and entrepreneurial outlook; it’s their willingness to collaborate and help each other through testing times. Sarah Glendinning, CBI North East director, emphasised this when she spoke of the importance of peer-to-peer support in creating a strong local business ecosystem.

She said: “The wider community has come together and acted swiftly to mitigate the impact of this crisis. This collaboration between different sectors has been brilliant, all with the aim of making sure the North East builds back better, bolder and greener than before.”

We’ve already supported many North East firms through our own £2bn Covid fund and Government loan schemes, but we know recovery goes beyond financial help.

With this event we began a journey to understand the specific challenges identified by our business community, from working to become more sustainable, investing in digitisation or exporting for the first time. We look forward to working with that community, and all those who are prepared to stand with us in support of business in the

North East.