Sectors

Many business services firms fared better than they may have initially thought at the outset and during the pandemic, however, the post pandemic economic euphoria has rapidly ebbed away leading to an increasing sense of caution amongst businesses which will inevitably lead to falling levels of expenditure on business services and threaten the stability of firms in the sector. Our experts have significant experience guiding and supporting businesses through challenging times and have carried out numerous successful assignments in this sector.

While output within the UK’s mining and quarrying industry has been falling since the turn of the millennium, the proportion of energy generation stemming from renewable sources has witnessed a firmly upward trajectory over that timeframe. Both of these factors align with greater awareness of environmental issues amongst consumers, firms, and other key stakeholders. World events, however, may see watered down commitments to net-zero carbon with reduced investment in renewables and a new focus of achieving energy independence through nuclear and possibly even shale. Cork Gully’s mining team has built a solid reputation for managing high risk assignments and delivering successful outcomes.

More widespread adoption of technology and [artificial] intelligence looks set to fundamentally alter access to healthcare in the coming years, ranging from the use of virtual doctors to complex treatment processes. Such adoption presents considerable opportunity for health and digital businesses alike. Cork Gully’s specialist healthcare team have worked across the healthcare industry, encompassing businesses across the subfields of pharmaceuticals, life sciences, and bio-technology from complex wind down planning to formal appointments.

Having survived the pandemic, businesses are now having to contend with global disruption to their supply chains, ever increasing costs, tighter margins and spiralling inflation with the inevitable impact on global demand for their products. Such sustained pressure will leave many businesses in the sector fighting for their survival. Cork Gully has advised clients across the sector and in multiple jurisdictions providing expert advice to those businesses confronted with financially challenging market conditions working with clients to formulate restructuring and recovery strategies to ensure they are in the best possible position to address a rapidly changing environment.

Commercial real estate can be one of the most resilient sectors during periods of higher inflation, with investors viewing it as a hedge against inflation. However, if interest rates rise rapidly to elevated levels, that could impact demand for real estate from industrial, retail and other commercial investors. Much will depend on how ingrained inflation becomes. With increasing supply chain costs impacting construction budgets the fallout is evident. Cork Gully can help you manage your key stakeholders and if needed provide a strategic review of the options available.

The sector is set to take on even greater prominence post the Covid-19 pandemic, being a key driver of the economic recovery. The pandemic has accelerated pre-existing trends in terms of the role played by technology, from the perspective of both work and leisure. This provides a considerable opportunity for businesses in the sector.

Cork Gully has advised banks and financial institutions on winding down, in particular overseas banks. A specialist sector for the firm is advising credit unions, as in recent years there has been a significant growth in the number of those deciding to join lending cooperatives. The ethos behind credit unions in striving to help surrounding communities remains a fundamental principle and strength, however, economic instability can have a significant impact on loan repayments which can expose a credit union to financial and regulatory pressures. Our specialist team has dealt with some of the largest credit unions in the UK working closely with the regulatory authorities and the credit unions themselves to ensure that members are protected and their savings secured. We can advise on the credit union's capital requirements, solvency, single customer view file preparation and the prudential regulatory requirements amongst other services. Partners at the firm have acted as administrators for Coastal Credit Union, Enterprise The Business Credit Union, Dial-A-Cab Credit Union, Harp Credit Union, Hartlepool Credit Union, Plough & Share Credit Union, Staffordshire Credit Union, Whitmore Reans Credit Union and East London Credit Union.

The sector has been amongst the least disrupted by the pandemic, largely through their ease of transfer to remote working, there remains concern for the geographical regions and districts that have garnered a reputation as financial hubs. The rise of fintech, mounting compliance and regulation, disruptive technologies and changing consumer demands will be a feature of the sector with positive and negative consequences. Our team can help steer you through these challenges to ensure the future viability of your business.

The hospitality sector is at risk of long-term structural damage as a consequence of the Covid-19 pandemic and other external factors, both domestically and internationally which are beyond the sector’s control. This is perhaps most pertinent amongst businesses in city-centre locations, with the reduced footfall as a result of home working greatly impacting passing trade. With reduced visibility on future consumer demand comes increased risk and uncertainty, we have helped numerous clients mitigate these factors from simple profit enhancement and cost reduction techniques to in-depth contingency planning should matters deteriorate.

With the creative arts and entertainment industry facing a largely similar situation to that of hospitality, considerable risk of long-term damage from the coronavirus crisis lingers. Given that many venues are already facing severe financial difficulty the sector may suffer even further if consumers’ discretionary spending falls amidst wider economic uncertainty. Cork Gully has advised numerous clients on how to reshape their businesses amid difficult and challenging market conditions in this sector.

Online spending channels have taken on increased importance accelerating an already existing trend of greater reliance on e-commerce. Online spending levels will likely remain elevated, given greater adeptness amongst consumers and businesses alike. Meanwhile, the traditional bricks-and-mortar store looks set for much greater fragility, fuelled by weaker footfall levels and pressure from online retail. As the rising cost of living starts to impact on even the most resilient businesses Cork Gully can provide proactive and responsive advice to help address tough market conditions.

The transport sector is under considerable pressure in the wake of the pandemic, fuelled by a changing structure of consumer demand and the subsequent rapid increase in the cost of fuel. From the perspective of work-based travel, the shift towards telecommuting has manifested in a fall in commuter numbers, both domestically and internationally. The possibility of falling discretionary income poses a significant threat to revenues for businesses in the sector. Our experts are able to assist you to address these threats and quickly identify opportunities to enhance profitability and reduce costs.