NewzIntel.com

Category: Great Britain

  • MIL-OSI United Kingdom: Companies House publishes first strategic intelligence assessment

    Source: United Kingdom – Executive Government & Departments

    Analysis aims to help agency’s understanding of the key threats and guide approach to tackling them  

    Companies House has today published its first ever strategic intelligence assessment as the agency steps up its work to help tackle economic crime. 

    The strategic intelligence assessment gives an in-depth analysis of the key threats Companies House faces. It’ll guide future prioritisation, decision making, risk identification and mitigation.

    The assessment will be followed by a new control strategy, which will outline recommendations and action plans.  

    As part of the Economic Crime and Corporate Transparency Act, the company registrars for England and Wales, Scotland and Northern Ireland now have new and enhanced powers.  

    These include the power to proactively share data with other government departments and law enforcement agencies. 

    In her foreword to the assessment, Companies House chief executive Louise Smyth said: 

    “I am pleased to introduce our first ever strategic intelligence assessment. This marks one of the major steps forward for the changes underway at Companies House.  

    “The assessment forms part of our work to more closely align to the National Intelligence Model and will underpin the work of our new and expanding Intelligence team.  

    “I’d like to thank our strategic partners for their valued insights, which have been used to shape our assessment and are helping us to continue our integration into the wider economic crime ecosystem.”

    Updates to this page

    Published 24 October 2024

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Plaid Cymru demand fairness for Wales in Autumn Statement

    Source: Party of Wales

    Plaid Cymru call on the Labour Welsh Government to put pressure on the UK Labour Government to ensure five key asks are included in the Chancellor’s Autumn Statement.

    Today (Wednesday 23 October 2024) Plaid Cymru will call on the Labour Welsh Government to put pressure on the UK Labour Government to ensure five key asks are included in the Chancellor’s Autumn Statement.

    Plaid Cymru will call for:

    • HS2 to be re-classified as an England-only project, and for Wales to receive the £4 billion it is due from the project.
    • Fair funding for Wales – replacing the Barnett Formula with a needs-based formula that prioritises the needs of the people of Wales
    • Devolution of the Crown Estate to Wales, as has happened in Scotland.
    • An end to the two-child benefit cap which forces thousands of children into poverty in Wales.
    • Restoration of the Winter Fuel Payment.

    Plaid Cymru finance spokesperson, Heledd Fychan MS said:

    “For years in the run up to the UK General election, we were promised that things would be better once we had a UK Labour government. But this so-called ‘partnership in power’ hasn’t yet delivered for Wales.

    “Labour in the Senedd used to agree with Plaid Cymru on HS2 reclassification and the £4bn owed to us in consequential; on replacing Barnett; and on the devolution of the crown estate. But evidently, they are not able to persuade their London bosses on any of these matters.

    “In fact, on HS2, the Welsh Government claim to be making the case for HS2 cash, but only a few hundred million rather than the billions they were previously calling for.”

    She continued:

    “While Welsh pensioners are terrified that they won’t be able to heat their homes this winter; while a third of Welsh children are living in poverty; and while Wales is being robbed of billions of pounds in funding, Welsh Labour are happy enough staying quiet, putting party before country.

    “Our calls today represent the necessary steps towards securing fairness for Wales and the funding owed to us. Plaid Cymru is clear – Labour must now deliver on the promises made to the people of Wales!”

    MIL OSI United Kingdom –

  • MIL-OSI Economics: Change happens – and why central banks care

    Source: Bank for International Settlements

    It is a great pleasure for me to join you today. Many thanks to the staff at the Federal Reserve Bank of Philadelphia for the invitation. 1

    BIS Innovation Hub

    Today I want to talk about change and central banks. But before I begin, allow me to briefly introduce the BIS Innovation Hub. The Bank for International Settlements supports central banks in their pursuit of monetary and financial stability by fostering international cooperation. The Innovation Hub was created five years ago and can be described as a joint venture between the BIS and the central banks who host our seven centres. The Innovation Hub has almost 100 people working together across the world. Our mandate is to follow and explore new technology and, when suitable, develop public goods. And to do that we research technologies and challenges that matter to central banks by building proofs of concept or prototypes. In more than 30 projects to date, we have collaborated with central banks and other partners to demonstrate the art of the possible. Currently, tokenisation and artificial intelligence are important areas for us, where we have multiple projects under way. Another crucial area is ensuring the integrity and safety in the financial system by exploring possible improvements to services like payments. Again, we aim to demonstrate the art of the possible. Adopting some of the technologies or implementing the outcomes of our projects is not up to us. Ultimately, countries’ authorities decide what becomes reality in their jurisdictions.

    So why am I here? Well, when I was asked to join you here at the Philadelphia Fed, I immediately said yes. Maybe too fast, because the organisers kept asking me what I wanted to announce. I had to disappoint them. This is not a public service announcement. I am not trying to sell you anything. What I want to do in the next 10 minutes is explain why central banks care about change and innovation – and why that matters to us all.  

    Technology and change

    Let me start with innovation and change, for which I will look to Adam Smith. Who better? The Wealth of Nations was published about 250 years ago. And Adam Smith uses the example of moving goods by road or by ship. Canal companies were the big techs of the day. They could move things faster and cheaper, and only the most niche products chose the horse and cart. Yet 100 years later, the transport network and – by extension the industrial capacity of Britain – was totally unrecognisable.

    What changed? In that time, railways happened. Or more accurately, innovation changed how railways were used. There were railways when Adam Smith was writing. But they were small, private and horse-drawn. He did not even mention them as a contender to roads and ships. But 50 years of innovation in steam engines – to make them smaller, faster and more efficient – would make railways far superior to canals. Following some smaller private railways, the first public railway – from Liverpool to Manchester – opened in 1830. At that time, there were about 125 miles of railways in England. Over the next 40 years, this grew to 13,000 miles. Canals were dead in the water.

    Was the change smooth, clearly predictable and always rational and obvious? No. Was it just the technology advantages that catalysed the change? No. It was many things. Financial innovations meant that investments in railways were easier. Yet this also created a financial bubble. Early safety regulations reassured a sceptical public – but not before some terrible accidents. Competition drove further innovation but resulted in a grossly inefficient network. When agreement on a standardised width of railway gauge was eventually brokered, network effects could be enhanced. The standard adopted was George Stephenson’s 4 feet, 8 1⁄2 inches, which spread across England and internationally. I have been told the United States uses it too.

    But why am I telling you a story about something that happened in England hundreds of years ago? Well first, I enjoy history. But second, because it is a great example of how technologies change. Do you see any parallels with today? Railways did not just “win” overnight. They were initially less efficient than canals. Canal owners saw the threat and organised resistance. Yet railways improved faster than canals could – at least once steam engines became technologically and commercially viable. Investment played a significant role in this. So, at times, did safety regulations and politics. There were battles about which standards should be used. And importantly, change driven by technology and innovation is not an elegant dance. It is a race and a tussle and sometimes a mess.

    To really make the point, allow me one more historical example closer to home. The Federal Reserve Bank of New York recently published an article about when securities markets scrapped paper in the 1960s and ’70s. At that time, IBM and Honeywell were in a race to develop more powerful computers. And stockbrokers were racing one another to use them for competitive advantage. The winners of that race went on to dominate securities markets for decades because they bought out the failing houses that could not operate their computers as effectively. And the digital infrastructures they created, based on the paper processes before them, are the ones we use now. And they are the same infrastructures now experimenting with tokenisation and are maybe on the cusp of another change.

    Understanding change

    How do industries and society manage these huge changes? Almost all industries have regulations of various kinds to ensure safety, competition and transparency – standards with a large or small “s” that are adhered to. Yet finance has something that planes, trains and automobiles do not. Finance has central banks. And why do they care about innovation and change?

    First, for monetary analysis. For central banks to set interest rates to stabilise prices they have to understand the economy. The data collection and analysis of credit, demand, output, supply, costs, prices and labour markets all roll up to into determining monetary policy. And innovation can have a huge impact. AI is an obvious example. But digitalisation more broadly has had and will continue to have a fundamental impact on the global economy. For effective policymaking, central banks need to understand where things are heading. So they must follow and explore innovation and its implications. 

    Second, central banks care about innovation because of their oversight role. For prudential supervision of banks and market infrastructure, it is necessary to understand how technology is being used and the effect of any large changes. Financial stability analyses are increasingly concerned with how financial and operational risks interact. Technology is a significant variable in that analysis.

    Third, central banks do not just think; within their mandate, they act. To deliver on their monetary policy objectives, they decide where interest rates need to be. And then they act through their market operations to make that happen. Central banks want safe settlement and so they offer it – by operating payment systems to safely and reliably move substantial amounts of money every day. And they provide banknotes.

    It is because central banks act that they are really part of any change – not on the sidelines or just observing, but really involved. As part of the financial ecosystem, central banks offer settlement in central bank money, which is the safest settlement asset possible and a pillar of a stable and robust financial system. And this is what makes them so different from a regulator in any other space. To put it very simply, if central banks think technology is changing, they need to consider and adapt as well. And they need to change operations and systems that require the highest possible resilience from cyber threats and operational risk. That puts a very different slant on any decision and perhaps adds some caution. It might also add some practicality. And importantly for an economist, it gives central banks skin in the technology game – and the right incentives.

    Incentives matter. Trust in money is grounded on two things. The first is the central bank’s monetary policy framework and operational independence. The second is the competence to carry out its role. And that competence increasingly means the ability to use technology better. To do that we experiment. We collaborate. We get involved. But our role is not to win or to profit or to tell the private sector how to run their business. The private sector will always know what customers need and want better than the public sector. But it is also important to have the public sector involved, with public policy objectives such as stability, safety, interoperability and compliance.

    BIS and international cooperation

    To close I want to talk about how these themes of technology, change and incentives play out internationally. Central banks are different from one another. But I have spoken for almost 10 minutes about their interests and incentives as a homogeneous group. And if I can do that, they must be similar enough to cooperate.

    The BIS’s job is to help and guide central bank cooperation. Given what I have said, that should be easy. But collaboration is not always simple. Yet, with the right governance and communications, building knowledge by running projects together could reap great rewards for central banks.

    Our projects are “just” a first look at what is possible. Projects are not a commitment. Some of the questions like whether there is a need for central bank digital currency or digital identity can only be answered politically. The central bank is one of many advisers on a decision that should be made with other players in our societies. That is right and that is normal. Yet the fact remains, for good policymaking on any subject, you need understanding. And with technology, you need to experiment and collaborate to obtain that understanding. 

    So, I thank you again for the invitation and attention. I will close with a quote from Adam Smith: “I have never known much good done, by those who affected to trade for the public good.” Eerily, he foresaw a version of what US president Ronald Reagan famously highlighted as the nine most terrifying words: “I’m from the government and I’m here to help.” The BIS Innovation Hub has a mandate to explore technology and to develop public goods. But others ultimately decide what could be changed. Our job is to learn and advise them so that when change happens, it can happen for the better.

    Thank you for listening.  

    MIL OSI Economics –

  • MIL-OSI Global: Research shows our understanding of ‘posh’ words is all wrong

    Source: The Conversation – UK – By Natalie Braber, Professor, Linguistics, School of Arts and Humanities, Nottingham Trent University

    Language use complicates the already-complex nature of class identity. Diane Bondareff/Shutterstock

    If you live in the UK or are familiar with its wide range of accents and dialects, you can probably tell the difference between a posh or upper-class accent, (think the “King’s English”) and one more associated with the working class (such as Cockney).

    Besides accents, it is a popular view, reinforced in media and pop culture, that certain words are used specifically by people of certain classes. For example, in the book Watching the English, social anthropologist Kate Fox comments that the word “sofa” is used by upper-middle-class speakers or above.

    In the 1950s, Alan Ross, a professor of linguistics at the University of Birmingham, claimed to identify behaviour that distinguished England’s upper classes from the rest of society. These included, among other things, not playing tennis in braces and an aversion to high tea.

    He also identified features of pronunciation, grammar and use of specific words which he thought differed. This was not based on empirical research, but solely on his own perceptions (“armchair linguistics”). While Ross’s claims are often referenced in the media, there has not been much research to see if these views hold up today.

    Through two studies carried out with our colleagues George Bailey and Eddie O’Hara Brown, we tried to find out. We investigated the use of words that Ross and others have identified as indicators of class: the supposedly upper-class words loo, napkin and sofa, with their supposedly non-upper-class counterparts, toilet, serviette and settee.

    In the first study, we used spot-the-difference tasks to prompt 80 participants of different ages, genders and social classes to say these words. For example, “the sofa is a different colour in that picture” or “the toilet is green in the left picture and white in the right one”. This meant that participants were focused more on the task than the actual words, so we were able to examine their natural usage.



    Read more:
    When did class stop predicting who people vote for in Britain? Know Your Place podcast

    While the supposedly upper-class napkin and sofa were more common than serviette or settee, the supposedly non-upper-class toilet was more common than loo. For example, where napkin was used by 72 participants, only 18 used serviette (some speakers used multiple words). This challenges Ross’s claims that words distinguish the upper class from the rest of society. If most people use a word, that word cannot be a reliable indicator of upper classness.

    In terms of social variation, we found that the usage of these words varied, but not in a way associated with social class. For example, there were some interesting results relating to age. While, on the one hand, the reportedly upper-class loo is used more by older speakers, the supposedly non-upper-class serviette and settee are also more commonly used by older speakers.

    Perception of words and class

    We also wanted to examine the perception of these words, as in whether people think certain words are associated with social characteristics, such as education level, professionalism, formality and poshness, which are traits associated with class.

    So, in a second experiment, we asked 100 participants to evaluate several social media posts, asking them to judge the writers. Half of the participants read the “upper-class word” and half read the “non-upper-class” word within an otherwise identical phrase, adapted from genuine posts on social media.

    For example, one message was: “My flatmate went to a wedding and I brought takeaway, was almost done eating before I saw something that looks like a fried egg, put it in my mouth and it was a napkin/serviette. God why me!?”

    From this experiment, we found that the perception of these words is not uniform across social groups. For example, the higher socioeconomic group thought sofa to be more posh, while the lower socioeconomic group perceived settee as more posh.

    There were no perceptual differences between toilet/loo. And serviette was perceived as more posh than napkin, despite being identified by Ross and others as the non-upper-class form.

    Napkin or serviette?
    Shutterstock

    Both of our studies, as well as complementary analysis of the spoken British National Corpus (a 10 million word database of spoken English), show that there is little consistency in the way that each of the investigated variables are used and perceived.

    Of course, this is not to say that there are no class-based vocabulary markers in contemporary British English, or that the effects of such perceptions do not have an effect. As much other linguistic research shows, class-based accent and dialect discrimination are unfortunately still alive and well.

    While the view that some words are posher than others has endured, our findings show that the claims popularised by Ross in the 1950s are not reflected in the reality of England today.

    The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.

    – ref. Research shows our understanding of ‘posh’ words is all wrong – https://theconversation.com/research-shows-our-understanding-of-posh-words-is-all-wrong-240362

    MIL OSI – Global Reports –

  • MIL-OSI United Kingdom: Travelling Cabinet to visit South Ayrshire

    Source: Scottish Government

    Ayr to host public discussion with Cabinet.

    Residents of South Ayrshire will have the chance to put questions to First Minister John Swinney and his Cabinet on Monday 4 November when the 53rd Travelling Cabinet arrives in Ayr.

    The Cabinet will meet at Ayr Town Hall to discuss local issues and hear opinions from the community. Residents are invited to book their place for the meeting in advance.

    Ahead of the public discussion, the First Minister and Cabinet Secretaries will visit local businesses and community projects to highlight the Scottish Government’s four key priorities:

    • eradicating child poverty
    • building prosperity
    • protecting the planet
    • improving public services

    First Minister John Swinney said:

    “I am looking forward to visiting South Ayrshire and hearing directly from the community about the issues that matter most and how we can improve its future.

    “We will see first-hand the multitude of commendable projects that have made a positive impact on people’s lives in the area and match this Government’s key priorities.

    “I would encourage residents to get involved, ask questions, and share their insights. This is a moment for their voices to be heard.

    “Connecting with communities across the country enables us to make informed decisions as we strive to create a wealthier, fairer and greener Scotland.”

    Background

    Registration details for the public discussion can be found on Eventbrite (Ministers Touring Scotland – Ayr Tickets, Mon, Nov 4, 2024 at 2:30 PM | Eventbrite)

    52 Travelling Cabinets have been held since 2008.

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Visitors advised to plan ahead for Derry Halloween

    Source: Northern Ireland – City of Derry

    Visitors advised to plan ahead for Derry Halloween

    23 October 2024

    With just a week to go until Europe’s biggest Halloween Festival, Derry City and Strabane District Council has released the latest traffic and travel information to ensure visitors avoid any unnecessary delays or diversions.

    Over 100,000 visitors attend the annual festival, which runs from Monday October 28th – Thursday 31st, and a range of measures will be introduced to keep traffic flowing and disruption to a minimum for everyone. These include road closures, parking restrictions and some diversions, so it’s best to plan ahead to ensure easy access to all the events.

    These arrangements will also assist with the safe delivery of the event, and everyone is asked to follow the directions of stewards and police.

    People are advised to use public transport where possible, with additional services being operated by Translink on Halloween night, both to and from the city and local services.

    Motorists are advised to expect some delays and diversions in the City Centre during the four nights of the event. From Monday October 28th – Wednesday October 30th Road Closures will operate from 2pm until 10pm in the following areas to accommodate the Awakening the Walled City Trail. All times are approximate, but road closures and diversions will be kept to the minimum length necessary to ensure safety.

    Road Closures:

    Bank Place, Union Hall Street, Magazine Street, Magazine Street Upper, Butcher Street, Shipquay Street, Ferryquay Street, Bishop Street within, Palace Street, Pump Street, The Diamond, London Street, Artillery Street, Fountain Street. No City Centre on-Street parking with exception of Shipquay Street until 11am.

    Please note that public realm works are currently underway around the front of the Guildhall, pedestrians are asked to please follow the signage in this area.

    Car Park Closures 28th October – 1st November:

    • Bishop Street Car Park will close to general parking to accommodate motorhome parking 
    • Ebrington Car Park

    Monday October 28th, Tuesday 29th and Wednesday 30th

    • Society Street Car Park
    • Victoria Market Car Park (limited accessible only Car parking)

    Thursday October 31st

    • Queens Quay and Strand Road Car Park will be closed on the 31st October.
    • Strand Road Car Park will offer accessible parking only
    • Victoria Market Car Park – limited accessible parking only

    Car Parking availability

    Drivers are reminded that normal on street parking restrictions will be in place and people should avoid parking anywhere they may be blocking entrances to residences or businesses or where they may be obstructing emergency access.

    Parking is available at a number of locations throughout the City:

    Cityside carparks – Foyleside Shopping Centre Car Park East, Foyleside West and Quayside Shopping Centre, Foyle Road, Magee Campus (Lawrence Hill), Carlisle Road and William Street.

    Waterside carparks – Foyle Arena, Spencer Road, Oakgrove School, Duke Street and Former Waterside Health Centre Car Parks.

    From October 28-30 the Council Car Park on Strand Road will be open to the public.

    Fort George Car Park will be open to the public on October 31st only for event car parking.

    Victoria Market will be an accessible car park only from 28th – 31st October and will operate on a first come, first served basis. 

    Strand Road car park will be an accessible car park only on the 31st October also operating on a first come, first served basis.

    On Halloween night itself the annual Carnival Parade will leave the Council carpark at 7pm. The parade is followed by the Halloween Fireworks Finale over the River Foyle at 8.15pm. 

    Please note that in the interests of health and safety, the Peace Bridge will be closed from 7pm in advance of the display, reopening at 8.45pm.

    A quiet space will be available in the Guildhall each day from 12noon – 9pm (10pm 31st), and parents and carers can also pick up ID Me safety wrist bands at the Guildhall information point.

    For anyone with accessibility requirements, a full guide to available support is available here – https://derryhalloween.com/about/accessibility/

    Translink will run additional services to the city centre throughout the event. For information on Translink bus and rail services to and from the city go to https://www.translink.co.uk/

    Festival and Events Manager with Derry City and Strabane District Council, Jacqueline Whoriskey, said regular updates will be provided on social media. “With the numbers expected this year I would advise that visitors check out all the traffic and travel information so they can prepare ahead. Regular updates will be posted on the Derry Halloween and Council social media platforms throughout the festival.

    “I would recommend downloading our Whats On Derry Strabane app – this will give you the lowdown on all that’s going on and all the information you need to plan your journey.

    “I would also appeal to everyone to follow the guidance of our stewards and the PSNI – they are there to keep the event running smoothly and everyone safe. We are so looking forward to the event this year but we need everyone to play their part and help us deliver a safe and enjoyable celebration.”

    Derry Halloween is delivered by Derry City and Strabane District Council and funded by Tourism Northern Ireland and The Executive Office, with support from Ulster University and Air Coach.

    You can find all the details about traffic and travel and the full programme on derryhalloween.com

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: City Plan 2030 nearing adoption

    Source: Scotland – City of Edinburgh

    Our bold plan for sustainable development in the Capital has passed another milestone after the Planning Committee agreed it today (Wednesday, 23 October).

    This follows Scottish Ministers giving Council the go ahead to adopt the plan with minor changes. It will now be considered for final approval at Council on Thursday 7 November.  

    Cllr James Dalgleish Planning Convener said:

    “I’m delighted that Committee has agreed our bold and ambitious City Plan 2030.  It will allow us to guide sustainable development across Edinburgh after being considered by all councillors in a couple of weeks.

    “When approved, it will help us meet the very real challenges of climate change and population growth. The plan will help us use brownfield land where we can rather than using precious greenfield field sites and after declaring a housing emergency last year it is very important it proposes to increase the affordable housing requirement for new development to 35%.”

    Published: October 23rd 2024

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Chaos at the Executive Office Committee

    Source: Traditional Unionist Voice – Northern Ireland

    Statement by TUV North Antrim MLA Timothy Gaston:

    “The farce of today’s Executive Office Committee meeting will have left even the most ardent defender of the institutions uncomfortable.

    “Before the committee even met there were serious questions about how it could go ahead given that the chair had a meeting with Ms O’Neill without any other members of the committee present at which she discussed how the meeting would progress. Confidence was hardly improved either by the fact that some members of the committee agreed to submit their questions to the Executive Office in advance.

    “But even with all of that, the First Minister’s approach to the committee was to refuse to answer questions even when they self-evidently related to the duties of the Executive Office.

    “None of the questions surrounding Sinn Féin’s multiple scandals were addressed. In spite of what the First Minister and the chair of the committee may claim, all my questions were related to the Ministerial Code and Ms O’Neill’s fitness to hold office.

    “Frankly, the most telling upshot from today will be how many Unionists now sign the motion of no confidence which I submitted to the business office some weeks ago.

    “The only people who can bring this to a head is the DUP who can remove O’Neill from office by resigning the deputy First Minister. I trust they will do so. If they don’t want to sign my motion of no confidence they should table their own.”

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: McAuley highlights British Heart Foundation defibrillator opportunity for Ballymoney

    Source: Traditional Unionist Voice – Northern Ireland

    Statement by TUV Ballymoney Councillor Jonathan McAuley:
    “I was interested to note that the British Heart Foundation has put out a call to communities across Northern Ireland to apply for a free lifesaving defibrillator.
    “The BHF has over 320 defibrillator packages available to communities across the UK as part of our Community Defibrillator Funding Programme.
    “Areas with greatest need and who have limited access to defibrillators will be prioritised and one of the areas in Northern Ireland they are particularly keen to receive applications from Newhill in Ballymoney.

    “I would encourage local groups to avail of this opportunity. Applications can be made online here.”

    MIL OSI United Kingdom –

  • MIL-OSI Global: Schools need a new approach in identifying special educational needs

    Source: The Conversation – UK – By Penelope Hannant, Assistant Professor in Educational Inclusion, University of Birmingham

    Media_Photos/Shutterstock

    The assessment system for children and young people with additional needs in England is failing.

    More people than ever are on waiting lists for autism and specific learning difficulties. Some NHS trusts are closing waitlists for attention deficit hyperactivity disorder (ADHD). Services are overloaded and past breaking point.

    Based on my expertise in neurodiversity and educational inclusion, I believe a different approach is needed to identify and support those with additional needs in schools.

    In the current education system, when there are concerns about a child’s progress, behaviour or wellbeing, schools follow a multi-step process to assess the child’s strengths and needs.

    This process involves trying school-based approaches such as literacy, mathematics and nurture groups, before seeking help from external specialists if this does not lead to improvement. Specialists may include educational and clinical psychologists, occupational therapists, specialist teachers and community paediatricians, among others.

    The right support

    Making accurate and timely referrals to these specialists is a complex task. A crucial role is played by the school’s special educational needs coordinators (Sencos)– qualified teachers who are responsible for the strategic development and provision of assistance for children with special educational needs and disabilities across a school.

    A Senco’s decisions are pivotal in determining which specialists to involve and when. Mistakes at this stage can have significant emotional and financial consequences. Misdirected referrals can strain school budgets and leave the child’s needs unmet.

    Despite this, current teacher training and Senco training does not adequately prepare teachers or Sencos for these complex and crucial analyses – and other responsibilities leave Sencos short of time.

    Introducing a more detailed assessment process within schools would help bridge the gap between education and specialist services. It would provide a comprehensive and holistic understanding of each child’s needs.

    I took this approach in my recent research based on tracking three cases from first referral to final conclusion. Rather than being referred directly to a specialist following the Senco’s observations, three children with different learning and development needs were referred instead to a developmental psychologist who made their own assessment of the child’s overall needs. This was unusual and occurred as part of my research.

    In each case, the developmental psychologist collected detailed background histories. They also conducted thorough observations and assessed cognition, achievement and behaviour using both standardised and “gold standard” diagnostic tools. The resulting reports offered a comprehensive overview of each child’s strengths and challenges, directing them to the most appropriate specialist.

    One assessment outcome confirmed the Senco’s initial concern of autism. One revealed additional co-occurring diagnoses of dyslexia and dyspraxia. The third identified ADHD, differing from the Senco’s initial judgment. Without the developmental psychologist’s input, some of these children’s needs would have been missed.

    Following the developmental psychologist’s thorough assessments and full profiles of each child, diagnoses were made immediately or within six months. Rapid targeted recommendations were provided in each case.

    Skilled practitioners in schools could help children get more appropriate support more quickly.
    Drazen Zigic/Shutterstock

    To address the inefficiencies of the current system, which leads to long waiting lists, I believe a skilled educational inclusion practitioner should become part of the school environment. This would be someone with expertise across various areas, and with strong connections to both educational and health services.

    This role would span a number of schools and does not necessarily require a developmental psychologist. Specialist teachers or Sencos could receive additional training in developmental psychology. By doing so, they could help promote greater understanding of neurodiversity in schools, where the foundations of relationships and learning begin.

    This educational inclusion practitioner would create a profile of the child’s strengths and difficulties. They would take on the role of diagnosing specific learning difficulties and identifying appropriate specialists for likely neurodivergence, and recommending interventions – thereby streamlining referrals and reducing guesswork.

    My research highlights the value of having a skilled practitioner in schools or trusts with expertise beyond that of what a Senco would bring. A skilled generalist who connects education, home and health services can foster better collaboration between health and education, and more thoroughly assess a child’s needs.

    The costs would be minimal compared with the significant benefits of avoiding late, missed or incorrect diagnoses in childhood. This, ultimately, would have a positive impact on children’s lives and futures.

    Penelope Hannant does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    – ref. Schools need a new approach in identifying special educational needs – https://theconversation.com/schools-need-a-new-approach-in-identifying-special-educational-needs-235909

    MIL OSI – Global Reports –

  • MIL-OSI Global: Drug-related deaths have risen by record numbers in England and Wales – latest data

    Source: The Conversation – UK – By Ian Hamilton, Honorary Fellow, Department of Health Sciences, University of York

    Cocaine is the second most-used drug in England. PeopleImages.com – Yuri A/ Shutterstock

    Deaths from drug use in England and Wales have risen by 11%, according to the latest annual data published by the Office for National Statistics (ONS). In 2023, there were 5,448 fatalities (93 deaths per million people) – the highest number of drug-related deaths since records began in 1993.

    Over half these deaths involved opiates, such as heroin and morphine. The highest rate of deaths from opiate misuse was among those aged between 40 and 49 years old.

    It’s unknown how many opiate deaths last year were due to synthetic opiates, such as nitazenes. Delays in when the data on synthetic opiate deaths was published meant it could not be included in this latest report. But while these drugs remain of serious concern, and related deaths may be being under-counted, heroin remains the opiate associated with most harm.

    Those born in the 1970s (referred to as “generation X”) are more likely to die from drug misuse than any other age group. It’s not entirely clear why drug deaths are higher in this age group, but it could be due to people beginning to develop a number of physical and mental health problems in their forties that make them more vulnerable to a fatal overdose. For example, breathing problems could make someone more vulnerable to an opiate overdose, as these drugs have a depressant effect on the respiratory system.

    Men of any age outnumber women two-to-one in deaths from drug misuse – a finding which has been true since records began. Men are more likely to use drugs than women, which may account for the difference in fatalities.

    There are also stark regional differences in drug-related deaths. For example, the north-east of England continues to have much higher rates of deaths from drug misuse, compared with other parts of the country.

    There were 174.3 drug-related deaths per million people in the north-east, compared with 58.1 drug-related deaths per million people in London. The rate of drug-poisoning deaths reported in the north-east were the highest they have been for the past 11 years. In the main, these deaths will have been due to an instant fatal overdose, while other deaths will have been cumulative.

    The stark regional differences in all drug-related deaths align with socioeconomic factors, such as poverty and deprivation. There’s a strong link between socioeconomic deprivation and problematic drug use.

    As the popularity of cocaine has increased over the past decade – it is now the second-most used drug in England after cannabis – so too have fatalities. Although it’s not possible to distinguish from the data whether these fatalities were from crack or powder cocaine, the ONS recorded the 12th consecutive rise in deaths due to cocaine, with such deaths rising almost 31% year-on-year. This is a large rise, even in the context of increasing drug-related deaths over the past 20 years.

    One possible explanation for this sharp increase could be that the purity of cocaine has been increasing without the cost going up. This makes cocaine not only more potent, but more affordable to more people than it was. Yet despite high levels of cocaine use throughout England, there have been no coordinated prevention and harm reduction campaigns. Treatments also remain underdeveloped compared with other drugs.

    Many of the drug deaths deaths published in the ONS’s report involved multiple substances, including alcohol. So we can’t be certain in many cases which drug was the cause of a death.

    And some of these deaths occurred in people who had other physical health problems – such as respiratory problems, heart issues and liver disease. These health problems are exacerbated by use of drugs such as heroin and cocaine. This again makes it hard to attribute some deaths entirely to drug use.

    What can be done?

    The UK government is funding research to explore whether artificial intelligence could help reduce drug overdoses. Some of the projects that have received funding involve using wearable devices that would alert emergency services if signs of an overdose are detected.

    Existing interventions could also be more widely adopted. Naloxone, a medication that can reverse the effects of opiates, should be made more widely available. While some emergency services carry Naloxone, there’s scope to broaden this so those most at risk have timely access to this life-saving medication.

    Making Naloxone more accessible could save lives.
    Elena Berd/ Shutterstock

    There’s also a pressing need to change how health services are provided to people struggling with drug misuse – and the kind of services they can access. For example, people that use heroin daily can find it difficult to keep appointments with health services. Tailoring when and where health support is provided could help engage this group of people.

    Stigma around drug use can also prevent people seeking help – or when they do, they can feel judged by others. But there are ways of providing these necessary services that would make it easier for people who are struggling to get the help they need without judgment.

    Improving the knowledge and skills of staff in specialist drug treatment services about physical health problems would be one positive step. Being able to directly intervene by assessing and treating cardiac and respiratory issues, for instance, would eliminate the need for drug users to attend multiple appointments in different locations. This would make them more likely to continue accessing services.

    The Labour government has made it clear that it will be difficult to ensure public services receive all the resources they need. Yet every year, we are seeing record levels of drug-related deaths across the UK.

    It’s clear that what is currently being done is not enough. More money needs to be invested in specialist drug treatment services, both to save lives and improve the quality of life for all those who face problems with drugs. This will provide economic savings in the long term, and reduce the suffering that too many families experience.

    Harry Sumnall receives funding from public grant awarding bodies for alcohol and other drugs research, and fees from (international) not-for-profit organisations and government departments for consultation work. He is an unpaid member of the Scientific Advisory Board of the Mind Foundation, the Scientific Advisory Board of the International Society of Substance Use Professionals, an unpaid advisor to the UK Drug Education Forum, and an unpaid co-opted member of the UK Government Advisory Council on the Misuse of Drugs (ACMD) Working Groups.

    Ian Hamilton does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    – ref. Drug-related deaths have risen by record numbers in England and Wales – latest data – https://theconversation.com/drug-related-deaths-have-risen-by-record-numbers-in-england-and-wales-latest-data-241180

    MIL OSI – Global Reports –

  • MIL-OSI United Kingdom: Green Party NI Leader Senator Mal O’Hara furious over homelessness figures in Northern Ireland

    Source: The Green Party in Northern Ireland

    Green Party NI Leader Senator Mal O’Hara furious over homelessness figures in Northern Ireland

    Recent figures released to the NI Assembly showing number of people with homeless status reaches 58,238, a 135.5% increase in 10 years.
    Senator O’Hara said “The executive parties have overseen a rise in homeless figures unrivalled by any comparable nation. It is an absolute disgrace that the executive can carry on as normal, while every day more people are facing housing stress, more people are sent to the back of housing list to wait decades for a home, more people are carted around the country just to keep a temporary roof over their heads.”
    Senator O’Hara continued “How much longer can this executive go on, ignoring the root causes of homelessness. Under investment in social housing, failure to properly regulate the private rented sector and allowing land hoarding to run rampant. This is exemplified by the executive only allocating enough funding for 500 social homes this financial year. At this pace it will take 60 years to clear the backlog of over 30,00 homeless households. The reflex from the executive parties is to blame Tory austerity or chronic under investment in Northern Ireland. They will not take responsibility for their 26 years of on and off government.”
    ENDS 
    Press enquiries – Mal O’Hara on 07540790663 

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Defence Secretary John Healey opening remarks from Trinity House agreement press conference 23 October 2024

    Source: United Kingdom – Executive Government & Departments

    Defence Secretary John Healey delivered opening remarks alongside German defence minister, Boris Pistorius, after signing the Trinity House Agreement

    Location:
    Trinity House, London
    Delivered on:
    (Transcript of the speech, exactly as it was delivered)

    This is a significant day for UK relations and for both our countries. Less than 100 days since I first visited Berlin in July to kick off these negotiations together, we have today signed a landmark defence agreement here at Trinity House in London. First, I want to thank our negotiating teams, they worked at pace, and they have helped us secure a deal which forges closer cooperation between our militaries and our industries, which contains immediate actions and longer term ambitions. Today’s agreement strengthens our security, it will grow our economies.

    And you know, when I was Shadow Defence Secretary before the general election, I had conversations with allies and partners and academics that said Britain needed to play a bigger part in NATO. They said European allies needed to take on more responsibility for European security and this, this is the driving force behind our NATO, first UK Defence strategy, behind our reset of UK relations with Europe. We share the same threats, war in Ukraine, conflict in the Middle East, growing Russian aggression. We share the same values, democracy, individual freedom, rule of law.

    And in a more dangerous world, allies are our strategic strength, and we must do more together. But I believe then, as I know Boris, you did too, that the UK-Germany defence relationship was underdeveloped. The UK and Germany are currently Europe’s top two defence spenders. We’re currently Europe’s top two supporters of Ukraine in military and economic aid. Yes, there’s 40 years of great cooperation on fast jets between UK and Germany. Yes, both countries have deployed and operated together in Kosovo, in Afghanistan, and to counter IS. But the collaboration has been ad hoc. It has not been systematic, and there is no fully-fledged defence cooperation agreement. And as I started work on this area, with some of you in this room, and I thank you for your contributions. As I started work sometime last year, there were only 28 German military personnel training in the UK. There were only six Brits doing the same in Germany, we only had one bilateral German-UK defence industrial programme. So there was huge potential, which we both wanted to seize. The potential and imperative to respond to increasing threats to strengthen our collective security through NATO, which is the cornerstone for the defence of both our nations.

    So today, we have signed this landmark Trinity House Agreement. It secures defence cooperation across all domains, land, sea, air, cyber, space. It will be put on a legal footing in the wider treaty between the UK and Germany. The agreement confirms new lighthouse defence projects between our militaries, and where better to announce these than Trinity house, which is home of England’s official Lighthouse Authority and has been so since 1794. In fact, actually, it goes back longer than that, to Henry the Eighth, when he took the first steps to maritime regulation from this building in 1514. And Admiral Ian Lower, thank you for your hospitality, thank you for hosting us, and thank you to your teams for helping us organise this event.

    But in this new agreement, our new cooperation is focused on the now, with our army’s training, exercising, innovating more together on NATO’s eastern flank, on German P8 planes operating out of Lossiemouth to help protect the North Atlantic and on new support for Ukraine through the capability coalitions, and also enabling German seeking helicopters to be equipped with modern missile systems. So cooperation focused on the now, and also cooperation focused on the weapons of the future: developing a new deep strike system together; pursuing new drones that could operate alongside our tanks; our planes and our warships; kick starting work together to protect vital undersea cables in the North Sea; advancing innovation between our armies to shape the future of NATO warfare; driven by AI and emerging technologies. And as well as this, this agreement paves the way for closer industrial cooperation.

    So today, Rheinmetall have announced plans to build a new gun barrel factory in Britain, supporting 400 jobs, bringing nearly half a billion pounds of benefit to the UK economy, and reestablishing a critical defence industry for the first time in 10 years, gun barrels built in Britain with British steel for our British armed forces and for our allies. And from artillery to AI, from the weapons of now to the weapons of the future, Helsing have also confirmed today a new investment of 350 million pounds into the UK for the development of AI systems. So this shows today’s agreement gives renewed confidence to investors in the UK defence industrial base. Finally, just to give this a bigger context, our new government was elected in July to deliver change. Before with the election, we promised a new defence agreement with Germany in six months, we’ve signed this landmark agreement in less than four months. This is what turning talk into action looks like. This is what resetting relations with Europe looks like. This is what growing our economy looks like, and this is what a NATO first defence strategy looks like. And today’s agreement also sends a signal to our adversaries. We will deter and we will defend against any aggression together.

    Boris, I look forward to working closely with you in putting this agreement into action. Today really is only the start of new, deeper relations between our two nations. And yes, politicians may come and go, but the Trinity house agreement will live on, and it will keep our countries and Europe safely in the years to come. Thank you.

    Updates to this page

    Published 23 October 2024

    MIL OSI United Kingdom –

  • MIL-Evening Report: If a Year 12 student gets an early offer for uni, does it mean they stop trying?

    Source: The Conversation (Au and NZ) – By Andrew J. Martin, Scientia Professor and Professor of Educational Psychology, UNSW Sydney

    Ground Picture/Shutterstock

    Early entry schemes for university – where students get an offer before their final exams – are increasingly popular.

    For example, more than 27,000 students applied to the Universities Admissions Centre (which mostly deals with New South Wales and Australian Capital Territory unis) for an early offer in 2024. This was a record number and an almost 19% increase on 2023.

    On the one hand, early offers are seen as a way to reduce pressure on Year 12 students. But they are also increasingly criticised, with concerns students may stop trying once they receive an offer.

    Our new research shows applying for an early offer does not make a significant difference to how hard a student tries leading up to their final exams or their final results.

    What are early offers?

    The main round of university offers is in December-January, after students have done their final exams in the previous October and November and have their final results or ATAR.

    With early entry offer schemes, universities assess students using criteria other than (or on top of) final results.

    Amid concerns about students reducing their efforts, in February this year, federal and state education ministers agreed there would be no university offers until September. Federal Education Minister Jason Clare is pushing for a new, national approach to early entry by 2027.

    Year 12 students around Australia sit their final exams in October and November.
    Monkey Business Images/ Shutterstock



    Read more:
    ‘I don’t believe I would have gotten into university’: how early entry schemes help Year 12 students experiencing disadvantage

    Our research

    Our new study investigated the role of early entry offers on Year 12 students’ academic and personal wellbeing.

    We looked at three types of students: students applying for and receiving an early offer, students applying for but not receiving an early offer, and students who did not apply for an early offer.

    We then looked at multiple forms of academic and personal wellbeing, including:

    • the ATAR

    • motivation at school (their interest, energy, and drive to learn) and enjoyment of school

    • how students dealt with academic challenges (also called “academic buoyancy”)

    • study burnout

    • overall life satisfaction, mental health and self-esteem.

    Who did we study?

    The study involved Year 12 students in 2022 from schools in New South Wales.

    The average age for participants was 17, most (68%) were female, the majority (69%) lived in an urban area, just under a quarter (23%) were from a non-English speaking background, and just over half were from government schools (52%).

    We tracked the ATARs of 1,512 students for whom we had early offer data.

    We also surveyed a subset of 525 students from this group. We surveyed them in term 2 of Year 12 and then followed up with a second survey in term 4, about 2 weeks before their final exams.

    The surveys included questions about their academic and personal wellbeing. Both surveys were done online.

    What we found

    In terms of early entry status, 16% did not apply for an early offer, 21% applied but were unsuccessful, and 63% received an early offer.

    Using statistical modelling to control for prior differences in achievement and motivation between the groups, as well as age, gender, school type and learning difficulties, we found an early offer did not appear to have an impact on a student’s ATAR.

    We also found no impact on their motivation, effort, burnout or mental health.

    In fact, the best predictors of students’ final results were their previous results and their efforts earlier in Year 12.

    As our research showed, the findings for these predictors were statistically significant, meaning we can have confidence the results were not due to chance.

    This mirrors other research that suggests you can predict a student’s ATAR from their Year 11 results.

    Students in our study did not stop trying if they had an early offer to uni.
    Jacob Lund/ Shutterstock

    One important difference

    We did find one statistically significant effect. Those receiving an early offer scored about 10% higher in academic buoyancy than the other two groups.

    This means these students reported they were better able to overcome academic challenges, such as difficult assessment tasks and competing deadlines, as they approached their final exams.

    We found this difference even after controlling for any prior group differences in academic buoyancy.

    But we note it was only a relatively small effect.

    Why was there so little difference?

    Some possible explanations about why early offers did not appear to make much difference include:

    • Year 12 is a busy year full of activities (from formals and other events, to plans for life after school). It could be early entry status is quickly absorbed in all the demands of the final year and becomes normalised

    • the joy or relief of an early offer is short-lived and students return to their emotional equilibrium or their typical “set point” in terms of outlook on life

    • the ATAR looms large in students’ lives, so they may still want to do as well as they can – regardless of whether they get an early offer or not.

    What does this mean?

    Our study suggests receiving an early offer for university does not make much of a difference to final outcomes.

    So this suggests students can apply for an early entry offer if they want to.

    But once the application is submitted, they need to return their focus to factors that are influential in final outcomes — such as their learning, motivation, and engagement through Year 12.

    Helen Tam, Kim Paino, Anthony Manny, Mitch Smith and Nicole Swanson from the Universities Admissions Centre helped with the research on which this article is based.

    Andrew J. Martin has received funding from the Australian Research Council, International Boys’ Schools Coalition, NSW Department of Education, and Commonwealth Department of Education.

    – ref. If a Year 12 student gets an early offer for uni, does it mean they stop trying? – https://theconversation.com/if-a-year-12-student-gets-an-early-offer-for-uni-does-it-mean-they-stop-trying-241787

    MIL OSI Analysis – EveningReport.nz –

  • MIL-Evening Report: Cultural burning isn’t just important to Indigenous culture – it’s essential to Australia’s disaster management

    Source: The Conversation (Au and NZ) – By Bhiamie Williamson, Research Fellow, Monash University

    Toa55/Shutterstock

    Last month, Australia’s newly appointed minister for emergency management, Senator Jenny McAllister, and Senator Tony Sheldon, special envoy for disaster recovery, took part in a cultural burn outside Lismore in New South Wales, as part of the National Gathering on Indigenous Disaster Resilience.

    It was significant to see members of the federal government listening to and taking direction from a cultural burn expert, Oliver Costello of Jagun Alliance, before undertaking a burn.

    Cultural burning is increasingly being used in disaster management. Pictured: Oliver Costello, Senator Jenny McAllister, Bhiamie Williamson and Senator Tony Sheldon at a cultural burn held during the National Gathering.
    Gabrielle Connole, CC BY-NC-ND

    It represented a hopeful sign that cultural burning might be increasingly used as a tool for disaster mitigation. After all, McAllister isn’t the minister for Indigenous affairs or the environment – her role is emergency management. At last month’s meeting, Indigenous peoples spoke of their desire and inherent right to be involved in disaster management.

    Cultural burning is, of course, vitally important to culture. But these gentle, regular burns were one of the main ways Indigenous groups managed land. They created mosaics of burned and unburned land, reducing the chance of megafires by burning fuel loads and creating safe havens in dangerous times.

    Networks of Indigenous groups have begun using fire to once again care for Country all around Australia. These are positive signs. But there is more to do to dismantle remaining barriers to mainstreaming cultural burning – and making it possible to use these ancient techniques to reduce, or avoid, disasters.

    An ancient practice rekindled

    The evidence of Indigenous land management using fire is significant and growing.

    This evidence has emerged through formal truth-telling processes such as Yoorrook, whose commissioners heard about the deliberate suppression of Indigenous land management in Victoria. It has come from ongoing academic research stitching settler accounts of the land and observations of how Indigenous groups used fire. In 1802, for instance, the settler John Murray recorded his amazement at how Boon Wurrung people set and controlled fire in Victoria’s Western Port Bay. The fire, which “must have covered an acre of ground”, was “dous’d […] at once”.

    In Mary Gilmore’s account of 19th-century colonial life in the New South Wales Riverina, she writes:

    As to fire, it was [Indigenous people] who taught our first settlers to get bushes and beat out a conflagration […] Indeed, it was a constant wonder, when I was little, how easily [Indigenous people] would check a fire before it grew too big for close handling or start a return fire when and where it was safest.

    These historical observations are complementary to the work of passing on knowledge of fire to the next generation. Taken together, they reveal a fundamental truth about Australia – it is a land of fire, and Indigenous people are the masters.

    The return of parcels of land to Indigenous groups in recent decades means we can restart these ancient fire regimes, through Indigenous rangers and other organisations.

    The return of ancient practices

    The management of land over deep time by Indigenous groups has meant people and the land effectively co-evolved.

    Since 1788, colonisation and Indigenous dispossession have radically altered many parts of Australia. Land was cleared for farms, cities, roads and infrastructure. Rivers were dammed for irrigation.

    Grasslands and yam fields were converted to livestock farms or cropping. Forested areas in some areas were cleared and in other areas thickly regrew, replacing the park-like mix of grassland and stands of trees produced by Indigenous land management. Thirsty crops such as cotton were planted, siphoning off huge volumes of water from lakes and rivers.

    John Glover’s 1838 painting shows open savannahs and grasslands in the Surrey Hills district of north-west Tasmania. In our time, this area has become temperate rainforest.
    Art Gallery of NSW

    Even the creation of national parks transformed landscapes, as Western practices of more passive management replaced active Indigenous management.

    The suppression of cultural burning brought yet more difficult change to Australia’s plants and animals. Australia now has one of the highest extinction rates of animals in the world. But cultural burning is being applied as a method to help protect vulnerable species, such as the Corroboree Frog.

    Over years, Indigenous groups have worked diligently and strategically to rekindle this ancient practice. But they have also reimagined it. It’s time to ask the question: what would it mean to bring back cultural burning at scale?

    No longer do Indigenous groups apply fire as a normal and everyday rhythm of life, stopping to light small fires as they walk. It’s now much more deliberate, requiring careful planning, creation of fire breaks and management of fire using trucks and heavy machinery.

    Even ignition is done differently. For a ceremony, firesticks will be used, with further lighting done using drip torches. In remote areas, fires are lit from helicopters, making it possible to cover vast areas.

    Combining these ancient and contemporary practices creates something fundamentally new. We require innovative discourses to better describe these developments.

    Indigenous Yika rangers burn using drip torches.
    Rohan Carboon/Indigenous Desert Alliance, CC BY

    New fire season, new hazards

    This fire season is likely to be a dangerous one. The seasonal bushfire outlook released by the Australasian Fire and Emergency Council projects the risk of early fires and a higher-than-usual bushfire risk over vast areas of Australia.

    Large parts of Australia are forecast to have a higher fire risk this spring.
    Australasian Fire and Emergency Council, CC BY-SA

    Recent rainy La Nina years triggered rapid vegetation growth in many areas, increasing the fuel load. Fire authorities are worried about what a forecast hot, dry, windy summer will mean.

    In recent years, Indigenous ranger groups have been undertaking cool burns as much as possible. In arid areas, there are fears of fast-moving grass fires due to the spread of introduced and highly flammable buffel grass.

    As danger from climate change intensifies, making volatile and combustible landscapes safer poses challenges both complex – and urgent.

    Indigenous groups around Australia have begun the work of rekindling cultural burns, but barriers still remain. Responsibility for fire management in state forests, national parks and on private land has long been split between government authorities and landholders. It’s time this disaster management work by Indigenous groups was recognised and magnified by governments.

    To mainstream cultural burning will mean finding ways of sharing the knowledge of when and how to burn, and resourcing Indigenous groups to undertake training and burns. Doing this will not only benefit the land and Indigenous groups, but all Australians.



    Read more:
    Before the colonists came, we burned small and burned often to avoid big fires. It’s time to relearn cultural burning

    Bhiamie Williamson leads the National Indigenous Disaster Resilience Program at Monash University. He is also a Director of the environmental charity Country Needs People.

    – ref. Cultural burning isn’t just important to Indigenous culture – it’s essential to Australia’s disaster management – https://theconversation.com/cultural-burning-isnt-just-important-to-indigenous-culture-its-essential-to-australias-disaster-management-241269

    MIL OSI Analysis – EveningReport.nz –

  • MIL-Evening Report: Abortion is back in the headlines in Australia. The debates in the United States tell us why

    Source: The Conversation (Au and NZ) – By Prudence Flowers, Senior Lecturer in US History, College of Humanities, Arts, and Social Sciences, Flinders University

    The 2022 news that the US Supreme Court had overturned Roe v Wade and ended the constitutional right to abortion sent shockwaves around the world.

    For Australian opponents of abortion who had long looked to the US for leadership and inspiration, it prompted rejoicing.

    As a leader of Cherish Life Queensland put it, “if the USA can do it, with God’s help, so can we”.

    In late 2024, the abortion issue has suddenly erupted in Queensland and South Australia. A subset of local conservatives, energised by the fall of Roe v Wade and the example of Donald Trump, are embracing the divisive “culture war” tactics that dominate US politics.

    Abortion and Australian politics in 2024

    In the 2020 Queensland election, the Liberal National Party (LNP) has promised a “review” of the legislation that had decriminalised abortion two years prior. However, the party has spent most of the 2024 campaign studiously avoiding the issue.

    That is, until Robbie Katter MP, of Katter’s Australia Party, threw a spanner in the works.

    On October 8, Katter announced that if the LNP won, as was widely predicted, he would immediately introduce a private member’s bill to repeal the state abortion law.

    LNP leader David Crisafulli, who voted against decriminalisation, insists that changing the law is “not part of our plan”.

    However, last week Crisafulli was asked 132 times about abortion and the issue of conscience votes and refused to provide a clear answer.

    In the final leaders’ debate on Tuesday night, Crisafulli finally said there would be no change to abortion law and he was “pro-choice”.

    However, that is unlikely to be the end of the issue – opposition to abortion runs deep in the LNP.

    Party policy in 2018 was that abortion should remain a criminal offence. Despite being a conscience vote, the three LNP members who voted for decriminalisation were threatened with “punishment” afterwards.

    In 2024, several new anti–abortion candidates are running for the LNP. Former Liberal senator Amanda Stoker is a particularly high-profile one, having repeatedly addressed the Brisbane March for Life rally.

    The furore over the future of reproductive rights in Queensland occurred in parallel with controversy over anti-abortion legislation introduced by state Liberal MP Ben Hood in South Australia.

    His bill required anyone needing to end a pregnancy after 28 weeks to have labour induced and for the baby to be delivered alive, regardless of the health outcomes for the pregnant person or infant.

    Peak medical and legal bodies condemned the bill, which critics described as a “forced birth” measure. It was narrowly defeated in the upper house on October 16.

    Federally, Senator Jacinta Price has also called for abortion to be back on the “national agenda” and condemned abortion after the first 12 weeks of pregnancy. Her stance is out of step with abortion law in all Australian jurisdictions.



    Read more:
    Abortion is now legal across Australia – but it’s still hard to access. Doctors are both the problem and the solution

    Public and party opinion

    This sudden uptick in anti-abortion politics does not reflect Australian attitudes.

    A 2024 poll found 75% of Queenslanders agreed that decriminalising abortion had been the right action.

    This view was shared across partisan and geographical lines, held by 73% of LNP voters and 78% of regional Queenslanders.

    Historian Cassandra Byrnes demonstrates that these pro-choice attitudes have deep roots. A majority of the public opposed the police raids on abortion clinics that occurred under Nationals premier Sir Joh Bjelke-Petersen.

    A 2020 poll of South Australians found 80% supported decriminalisation. And 63% considered that later abortion should be available “when the woman and her healthcare team decide it is necessary”.

    The LNP’s hostility towards decriminalisation was also markedly different from the approach in other states.

    Notably, in both New South Wales and South Australia, prominent Liberals, including premiers, voted to decriminalise abortion.

    In South Australia, two senior Liberals, Minister for Human Services Michelle Lensink and Attorney-General Vickie Chapman, led the cross-party group that achieved law reform.

    Importing the culture wars

    When Australian states and territories debated decriminalisation, anti-abortion opponents relied heavily on tactics, pseudoscientific evidence and outright misinformation that first emerged in the United States.



    Read more:
    How the US right-to-life movement is influencing the abortion debate in Australia

    For example, in 2008, one Victorian group controversially distributed graphic photographs of aborted fetuses, and American diagrams and descriptions of later abortion procedures.

    Now, as Australian conservatives seek to reopen the debate over abortion, American influence underpins the rhetoric and framing.

    For decades, opponents of abortion in the United States focused on chipping away abortion rights and eroding access. They never accepted that abortion was health care.

    Since 1995, their central focus was also on the statistically rare abortions performed after 20 weeks gestation. This focus has been imported wholesale into Australia.

    The anti-abortion activism surrounding Hood’s bill reflects these approaches. Opponents of abortions waged a broad and stigmatising campaign against abortion after 22 weeks and six days, the legal point in South Australia after which two medical practitioners must approve an abortion.

    Hood’s bill is best interpreted as an anti-abortion “messaging” exercise rather than a genuine attempt to amend the law.

    For decades, this was the default tactic motivating Republicans when they introduced extreme, unenforceable bills. The purpose was not legislative change but to amplify their rhetoric and arguments and energise conservative voters.

    Opposition to abortion is also part of a broader rightward shift taking place among some state Liberal branches.

    In South Australia, conservatives launched a power grab after abortion was decriminalised in 2021. This included a significant recruitment drive among Pentecostals.

    A similar recruiting focus on conservative religious faith groups has also occurred in Victoria, triggered by LGBTQI+ victories.

    In South Australia, the party takeover is openly led by Senator Alex Antic. He made a name for himself through his hostility to COVID-19 vaccines and his opposition to trans and abortion rights.

    Antic praises Trump and seeks out connections with conservatives who are or have been close to him, including Steven Bannon and Donald Trump junior.

    Meanwhile, in Queensland, Crisafulli’s desperate efforts not to be pinned down on abortion offer a local version of themes in the 2024 presidential election.

    Because Republicans have experienced significant voter backlash over abortion, Trump has charted an uneasy course.

    Trump claims sole responsibility for the end of Roe v Wade while simultaneously denying any connection to the abortion bans now in place in many states.

    Like Crisafulli, Trump has been unclear about what his victory would mean for reproductive rights.

    Political commentator Mark Kenny concludes that an “ideological battle” is unfolding among Australian Liberals.

    As in the United States, unwavering hostility to abortion is proving central to these politicians as a way to signify their priorities to voters and define themselves against others in their party.

    Prudence Flowers has received funding from the South Australian Department of Human Services. She is a member of the South Australian Abortion Action Coalition.

    – ref. Abortion is back in the headlines in Australia. The debates in the United States tell us why – https://theconversation.com/abortion-is-back-in-the-headlines-in-australia-the-debates-in-the-united-states-tell-us-why-241778

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI: Western New England Bancorp, Inc. Reports Results for Three and Nine Months Ended September 30, 2024 and Declares Quarterly Cash Dividend

    Source: GlobeNewswire (MIL-OSI)

    WESTFIELD, Mass., Oct. 23, 2024 (GLOBE NEWSWIRE) — Western New England Bancorp, Inc. (the “Company” or “WNEB”) (NasdaqGS: WNEB), the holding company for Westfield Bank (the “Bank”), announced today the unaudited results of operations for the three and nine months ended September 30, 2024. For the three months ended September 30, 2024, the Company reported net income of $1.9 million, or $0.09 per diluted share, compared to net income of $4.5 million, or $0.21 per diluted share, for the three months ended September 30, 2023. On a linked quarter basis, net income was $1.9 million, or $0.09 per diluted share, as compared to net income of $3.5 million, or $0.17 per diluted share, for the three months ended June 30, 2024. For the nine months ended September 30, 2024, net income was $8.4 million, or $0.40 per diluted share, compared to net income of $12.6 million, or $0.58 per diluted share, for the nine months ended September 30, 2023.

    The Company also announced that the Board of Directors declared a quarterly cash dividend of $0.07 per share on the Company’s common stock. The dividend will be payable on or about November 21, 2024 to shareholders of record on November 7, 2024.

    James C. Hagan, President and Chief Executive Officer, commented, “We believe our Company continues to be well positioned with strong capital and access to various liquidity sources. Our financial performance has been largely impacted by the unprecedented interest rate cycle and higher funding costs in response to the sustained increase in interest rates over the last 18-24 months. While it remains unclear whether the recent decrease in interest rates represents an end to this trend, the balance sheet is positioned to benefit from this decrease and the challenge will begin to subside as our liabilities begin to reprice lower. As we continue to manage the balance sheet in this uncertain interest rate environment, we remain focused on expense management initiatives to mitigate top line pressures and improve efficiencies over the Company’s long-term. The Company also continues to focus on our core business to grow loans and deposits as well as retention of our customers. Total deposits increased $80.5 million, or 3.8%, and total loans increased $21.7 million, or 1.1%, from year-end. Our asset quality remains strong, with nonperforming loans to total loans of 0.24% at September 30, 2024.”

    Hagan concluded, “The Company is considered to be well-capitalized as defined by the regulators and we remain disciplined in our capital management strategies. During the nine months ended September 30, 2024, we repurchased 714,282 shares of the Company’s common stock at an average price per share of $7.61. We continue to believe that buying back shares represents a prudent use of the Company’s capital and we are pleased to be able to continue to return value to shareholders through share repurchases. Although the banking environment has been challenged, our capital management strategies have been critical to sustaining growth in book value per share, which increased $0.44, or 4.0%, while tangible book value per share increased $0.43, or 4.2%, to $10.73. The management team remains focused and well positioned to serve our community and to enhance shareholder value over the long term.”

    Key Highlights:

    Loans and Deposits

    At September 30, 2024, total loans were $2.0 billion and increased $21.7 million, or 1.1%, from December 31, 2023. The increase in total loans was due to an increase in commercial real estate loans of $3.0 million, or 0.3%, an increase in residential real estate loans, including home equity loans, of $26.4 million, or 3.7%, partially offset by a decrease in commercial and industrial loans of $7.0 million, or 3.2%.

    At September 30, 2024, total deposits were $2.2 billion and increased $80.5 million, or 3.8%, from December 31, 2023. Core deposits, which the Company defines as all deposits except time deposits, decreased $8.3 million, or 0.5%, from $1.5 billion, or 71.5% of total deposits, at December 31, 2023, to $1.5 billion, or 68.5% of total deposits at September 30, 2024. Time deposits increased $88.8 million, or 14.5%, from $611.4 million at December 31, 2023 to $700.2 million at September 30, 2024. Brokered time deposits, which are included in time deposits, totaled $1.7 million at September 30, 2024 and at December 31, 2023. The loan-to-deposit ratio decreased from 94.6% at December 31, 2023 to 92.1% at September 30, 2024.

    Liquidity

    The Company’s liquidity position remains strong with solid core deposit relationships, cash, unencumbered securities, a diversified deposit base and access to diversified borrowing sources. At September 30, 2024, the Company had $1.1 billion in immediately available liquidity, compared to $615.0 million in uninsured deposits, or 27.7% of total deposits, representing a coverage ratio of 183%. Uninsured deposits of the Bank’s customers are eligible for FDIC pass-through insurance if the customer opens an IntraFi Insured Cash Sweep (“ICS”) account or a reciprocal time deposit through the Certificate of Deposit Account Registry System (“CDARS”). IntraFi allows for up to $250.0 million per customer of pass-through FDIC insurance, which would more than cover each of the Bank’s deposit customers if such customer desired to have such pass-through insurance.

    Allowance for Loan Losses and Credit Quality

    At September 30, 2024, the allowance for credit losses was $20.0 million, or 0.97% of total loans and 409.5% of nonperforming loans, compared to $20.3 million, or 1.00% of total loans and 315.6% of nonperforming loans at December 31, 2023. At September 30, 2024, nonperforming loans totaled $4.9 million, or 0.24% of total loans, compared to $6.4 million, or 0.32% of total loans, at December 31, 2023. Total delinquent loans decreased $1.7 million, or 28.3%, from $6.0 million, or 0.30% of total loans, at December 31, 2023 to $4.3 million, or 0.21% of total loans, at September 30, 2024. At September 30, 2024 and December 31, 2023, the Company did not have any other real estate owned.

    Net Interest Margin

    The net interest margin was 2.40% for the three months ended September 30, 2024 compared to 2.42% for the three months ended June 30, 2024. The net interest margin, on a tax-equivalent basis, was 2.42% for the three months ended September 30, 2024, compared to 2.44% for the three months ended June 30, 2024.

    Stock Repurchase Program

    On June 10, 2024, the Company announced the completion of its previously authorized stock repurchase plan (the “2022 Plan”) pursuant to which the Company was authorized to repurchase up to 1.1 million shares, or approximately 5% of its outstanding common stock, as of the date the 2022 Plan was adopted. On May 22, 2024, the Board of Directors authorized a new stock repurchase plan (the “2024 Plan”) under which the Company may repurchase up to 1.0 million shares, or approximately 4.6%, of the Company’s then-outstanding shares of common stock.

    During the three months ended September 30, 2024, the Company repurchased 244,441 shares of common stock under the 2024 Plan, with an average price per share of $8.18. During the nine months ended September 30, 2024, the Company repurchased 714,282 shares of common stock with an average price per share of $7.61. As of September 30, 2024, there were 692,318 shares of common stock available for repurchase under the 2024 Plan.

    The repurchase of shares under the stock repurchase program is administered through an independent broker. The shares of common stock repurchased under the 2024 Plan have been and will continue to be purchased from time to time at prevailing market prices, through open market or privately negotiated transactions, or otherwise, depending upon market conditions. There is no guarantee as to the exact number, or value, of shares that will be repurchased by the Company, and the Company may discontinue repurchases at any time that the Company’s management (“Management”) determines additional repurchases are not warranted. The timing and amount of additional share repurchases under the 2024 Plan will depend on a number of factors, including the Company’s stock price performance, ongoing capital planning considerations, general market conditions, and applicable legal requirements.

    Book Value and Tangible Book Value

    The Company’s book value per share was $11.40 at September 30, 2024 compared to $10.96 at December 31, 2023, while tangible book value per share, a non-GAAP financial measure, increased $0.43, or 4.2%, from $10.30 at December 31, 2023 to $10.73 at September 30, 2024. See pages 19-21 for the related tangible book value calculation and a reconciliation of GAAP to non-GAAP financial measures.

    Net Income for the Three Months Ended September 30, 2024 Compared to the Three Months Ended June 30, 2024

    The Company reported net income of $1.9 million, or $0.09 per diluted share, for the three months ended September 30, 2024, compared to net income of $3.5 million, or $0.17 per diluted share, for the three months ended June 30, 2024. Net interest income increased $258,000, or 1.8%, the provision for credit losses increased $1.2 million, non-interest income decreased $693,000, or 18.1%, and non-interest expense increased $92,000, or 0.6%. Return on average assets and return on average equity were 0.29% and 3.19%, respectively, for the three months ended September 30, 2024, compared to 0.55% and 6.03%, respectively, for the three months ended June 30, 2024.

    Net Interest Income and Net Interest Margin

    On a sequential quarter basis, net interest income, our primary driver of revenues, increased $258,000, or 1.8%, to $14.7 million for the three months ended September 30, 2024, from $14.5 million for the three months ended June 30, 2024. The increase in net interest income was primarily due to an increase in interest income of $1.0 million, or 3.9%, partially offset by an increase in interest expense of $780,000, or 6.3%.

    The net interest margin was 2.40% for the three months ended September 30, 2024, compared to 2.42% for the three months ended June 30, 2024. The net interest margin, on a tax-equivalent basis, was 2.42% for the three months ended September 30, 2024, compared to 2.44% for the three months ended June 30, 2024. The decrease in the net interest margin was primarily due to an increase in the average cost of interest-bearing liabilities, which was partially offset by an increase in the average yield on interest-earning assets. During the three months ended September 30, 2024 and the three months ended June 30, 2024, the Company had a fair value hedge which contributed to an increase in the net interest margin of seven basis points. Excluding the interest income attributed to the fair value hedge, the net interest margin was 2.33% and 2.35%, for the three months ended September 30, 2024 and the three months ended June 30, 2024, respectively. The fair value hedge is scheduled to mature in October of 2024.

    The average yield on interest-earning assets, without the impact of tax-equivalent adjustments, was 4.54% for the three months ended September 30, 2024, compared to 4.49% for the three months ended June 30, 2024. The average loan yield, without the impact of tax-equivalent adjustments, was 4.90% for the three months ended September 30, 2024, compared to 4.85% for the three months ended June 30, 2024. During the three months ended September 30, 2024, average interest-earning assets increased $40.6 million, or 1.7% to $2.4 billion, primarily due to an increase in average loans of $21.5 million, or 1.1%, an increase in average short-term investments, consisting of cash and cash equivalents, $17.7 million, or 123.6%, and an increase in average other investments of $1.6 million, or 11.0%.

    The average cost of total funds, including non-interest bearing accounts and borrowings, increased eight basis points from 2.16% for the three months ended June 30, 2024 to 2.24% for the three months ended September 30, 2024. The average cost of core deposits, which the Company defines as all deposits except time deposits, increased six basis points to 0.93% for the three months ended September 30, 2024, from 0.87% for the three months ended June 30, 2024. The average cost of time deposits increased five basis points from 4.39% for the three months ended June 30, 2024 to 4.44% for the three months ended September 30, 2024. The average cost of borrowings, including subordinated debt, increased five basis points from 5.00% for the three months ended June 30, 2024 to 5.05% for the three months ended September 30, 2024. Average demand deposits, an interest-free source of funds, increased $10.4 million, or 1.9%, from $548.8 million, or 25.7% of total average deposits, for the three months ended June 30, 2024, to $559.2 million, or 25.7% of total average deposits, for the three months ended September 30, 2024.

    Provision for (Reversal of) Credit Losses

    During the three months ended September 30, 2024, the Company recorded a provision for credit losses of $941,000, compared to a reversal for credit losses of $294,000 during the three months ended June 30, 2024. The provision for credit losses includes a provision for credit losses on loans of $609,000 and a reserve on unfunded loan commitments of $332,000. The increase in the provision for credit losses on loans was due to changes in the economic environment and related adjustments to the quantitative components of the CECL methodology as well as growth in the loan portfolio. The provision for credit losses was determined by a number of factors: the continued strong credit performance of the Company’s loan portfolio, changes in the loan portfolio mix and Management’s consideration of existing economic conditions and the economic outlook from the Federal Reserve’s actions to control inflation. The increase in reserves on unfunded loan commitments was due to an increase in commercial real estate unfunded loan commitments of $33.5 million, or 20.7%, from $161.8 million at June 30, 2024 to $195.3 million at September 30, 2024. Management continues to monitor macroeconomic variables related to increasing interest rates, inflation and the concerns of an economic downturn, and believes it is appropriately reserved for the current economic environment.

    During the three months ended September 30, 2024, the Company recorded net charge-offs of $98,000, compared to net charge-offs of $10,000 for the three months ended June 30, 2024.

    Non-Interest Income

    On a sequential quarter basis, non-interest income decreased $693,000, or 18.1%, to $3.1 million for the three months ended September 30, 2024, from $3.8 million for the three months ended June 30, 2024. Service charges and fees on deposits were $2.3 million for the three months ended September 30, 2024 and the three months ended June 30, 2024. Income from bank-owned life insurance (“BOLI”) decreased $32,000, or 6.4%, from the three months ended June 30, 2024 to $470,000, for the three months ended September 30, 2024. During the three months ended September 30, 2024, the Company reported $74,000 in other income from loan-level swap fees on commercial loans and did not have comparable income during the three months ended June 30, 2024. During the three months ended September 30, 2024, the Company sold $20.1 million in fixed rate residential loans to the secondary market and reported income from mortgage banking activities of $246,000 and did not have comparable income during the three months ended June 30, 2024. During the three months ended September 30, 2024 and the three months ended June 30, 2024, the Company reported unrealized gains on marketable equity securities of $10,000 and $4,000, respectively. During the three months ended June 30, 2024, the Company reported a gain on non-marketable equity investments of $987,000 and did not have comparable gains or losses from non-marketable equity investments during the three months ended September 30, 2024.

    Non-Interest Expense

    For the three months ended September 30, 2024, non-interest expense increased $92,000, or 0.6%, to $14.4 million from $14.3 million for the three months ended June 30, 2024. Salaries and employee benefits increased $211,000, or 2.7%, to $8.1 million, software expenses increased $46,000, or 8.1%, data processing expense increased $23,000, or 2.7%, FDIC insurance expense increased $15,000, or 4.6%, and debit card and ATM processing fees increased $6,000, or 0.9%. During the same period, these increases were partially offset by a decrease in professional fees of $41,000, or 7.1%, a decrease in advertising expense of $68,000, or 20.1%, a decrease in occupancy expense of $1,000, or 0.1%, and a decrease in other non-interest expense of $99,000, or 7.0%.

    For the three months ended September 30, 2024, the efficiency ratio was 80.6%, compared to 78.2% for the three months ended June 30, 2024. For the three months ended September 30, 2024, the adjusted efficiency ratio, a non-GAAP financial measure, was 80.7% compared to 82.7% for the three months ended June 30, 2024. The increases in the efficiency ratio and the adjusted efficiency ratio were driven by lower revenues, defined as the sum of net interest income and non-interest income, during the three months ended September 30, 2024. See pages 19-21 for the related adjusted efficiency ratio calculation and a reconciliation of GAAP to non-GAAP financial measures.

    Income Tax Provision

    Income tax expense for the three months ended September 30, 2024 was $618,000, or an effective tax rate of 24.5%, compared to $771,000, or an effective tax rate of 18.0%, for the three months ended June 30, 2024. The increase in the effective tax rate for the three months ended September 30, 2024 was driven by the Company’s projections of pre-tax income for the year ending December 31, 2024.

    Net Income for the Three Months Ended September 30, 2024 Compared to the Three Months Ended September 30, 2023.

    The Company reported net income of $1.9 million, or $0.09 per diluted share, for the three months ended September 30, 2024, compared to net income of $4.5 million, or $0.21 per diluted share, for the three months ended September 30, 2023. Net interest income decreased $1.7 million, or 10.1%, provision for credit losses increased $587,000, non-interest income decreased $471,000, or 13.0%, and non-interest expense increased $288,000, or 2.0%, during the same period. Return on average assets and return on average equity were 0.29% and 3.19%, respectively, for the three months ended September 30, 2024, compared to 0.70% and 7.60%, respectively, for the three months ended September 30, 2023.

    Net Interest Income and Net Interest Margin

    Net interest income decreased $1.7 million, or 10.1%, to $14.7 million, for the three months ended September 30, 2024, from $16.4 million for the three months ended September 30, 2023. The decrease in net interest income was due to an increase in interest expense of $3.6 million, or 37.8%, partially offset by an increase in interest and dividend income of $1.9 million, or 7.5%. Interest expense on deposits increased $3.5 million, or 44.9%, and interest expense on borrowings increased $133,000, or 7.3%. The increase in interest expense was a result of competitive pricing on deposits due to the continued higher interest rate environment and the unfavorable shift in the deposit mix from low cost core deposits to high cost time deposits.

    The net interest margin was 2.40% for the three months ended September 30, 2024, compared to 2.70% for the three months ended September 30, 2023. The net interest margin, on a tax-equivalent basis, was 2.42% for the three months ended September 30, 2024, compared to 2.72% for the three months ended September 30, 2023. The decrease in the net interest margin was primarily due to an increase in the average cost of interest-bearing liabilities and the unfavorable shift in the deposit mix from low cost core deposits to high cost time deposits, which was partially offset by an increase in the average yield on interest-earning assets. During the three months ended September 30, 2024 and the three months ended September 30, 2023, the Company had a fair value hedge which contributed to an increase in the net interest margin of seven basis points. Excluding the interest income from the fair value hedge, the net interest margin was 2.33% and 2.64%, for the three months ended September 30, 2024 and three months ended September 30, 2023, respectively. The fair value hedge is scheduled to mature in October of 2024.

    The average yield on interest-earning assets, without the impact of tax-equivalent adjustments, was 4.54% for the three months ended September 30, 2024, compared to 4.28% for the three months ended September 30, 2023. The average loan yield, without the impact of tax-equivalent adjustments, was 4.90% for the three months ended September 30, 2024, compared to 4.64% for the three months ended September 30, 2023. During the three months ended September 30, 2024, average interest-earning assets increased $38.2 million, or 1.6% to $2.4 billion, primarily due to an increase in average loans of $31.3 million, or 1.6%, an increase in average short-term investments, consisting of cash and cash equivalents, of $9.7 million, or 43.4%, an increase in average other investments of $3.7 million, or 30.8%, partially offset by a decrease in average securities of $6.5 million, or 1.8%.

    The average cost of total funds, including non-interest bearing accounts and borrowings, increased 60 basis points from 1.64% for the three months ended September 30, 2023 to 2.24% for the three months ended September 30, 2024. The average cost of core deposits, which the Company defines as all deposits except time deposits, increased 23 basis points to 0.93% for the three months ended September 30, 2024, from 0.70% for the three months ended September 30, 2023. The average cost of time deposits increased 98 basis points from 3.46% for the three months ended September 30, 2023 to 4.44% for the three months ended September 30, 2024. The average cost of borrowings, including subordinated debt, increased 24 basis points from 4.81% for the three months ended September 30, 2023 to 5.05% for the three months ended September 30, 2024. Average demand deposits, an interest-free source of funds, decreased $32.7 million, or 5.5%, from $591.9 million, or 27.5% of total average deposits, for the three months ended September 30, 2023, to $559.2 million, or 25.7% of total average deposits, for the three months ended September 30, 2024.

    Provision for Credit Losses

    During the three months ended September 30, 2024, the Company recorded a provision for credit losses of $941,000, compared to a provision for credit losses of $354,000, during the three months ended September 30, 2023. The increase was primarily due to an increase in the loan portfolio, specifically unfunded commercial real estate loan commitments, as well as changes in the economic environment and related adjustments to the quantitative components of the CECL methodology. The provision for credit losses was determined by a number of factors: the continued strong credit performance of the Company’s loan portfolio, changes in the loan portfolio mix and Management’s consideration of existing economic conditions and the economic outlook from the Federal Reserve’s actions to control inflation. Management continues to monitor macroeconomic variables related to increasing interest rates, inflation and the concerns of an economic downturn, and believes it is appropriately reserved for the current economic environment.

    The Company recorded net charge-offs of $98,000 for the three months ended September 30, 2024, as compared to net charge-offs of $78,000 for the three months ended September 30, 2023.

    Non-Interest Income

    Non-interest income decreased $471,000, or 13.0%, from $3.6 million for the three months ended September 30, 2023 to $3.1 million for the three months ended September 30, 2024. Service charges and fees on deposits increased $196,000, or 9.1%, and income from BOLI increased $16,000, or 3.5%, from the three months ended September 30, 2023 to the three months ended September 30, 2024. During the three months ended September 30, 2024, the Company reported $74,000 in other income from loan-level swap fees on commercial loans and did not have comparable income during the three months ended September 30, 2023. During the three months ended September 30, 2024, the Company reported income of $246,000 in mortgage banking activities due to the sale of fixed rate residential loans and did not have comparable income during the three months ended September 30, 2023. During the three months ended September 30, 2024, the Company reported $10,000 in unrealized gains of marketable equity securities and did not have comparable income during the three months ended September 30, 2023. During the three months ended September 30, 2023, the Company reported a gain on non-marketable equity investments of $238,000 and did not have comparable non-interest income during the three months ended September 30, 2024. During the three months ended September 30, 2023, non-interest income included a non-taxable gain of $778,000 on BOLI death benefits. The Company did not have comparable income during the three months ended September 30, 2024. During the three months ended September 30, 2023, the Company reported a loss on the sales of premises and equipment of $3,000 and did not have comparable expense during the three months ended September 30, 2024.

    Non-Interest Expense

    For the three months ended September 30, 2024, non-interest expense increased $288,000, or 2.0%, to $14.4 million from $14.1 million, for the three months ended September 30, 2023. Salaries and employee benefits increased $157,000, or 2.0%, to $8.1 million, debit card and ATM processing fees increased $87,000, or 15.5%, software expenses increased $83,000, or 15.7%, occupancy expense increased $58,000, or 5.0%, data processing expense increased $45,000, or 5.5%, other non-interest income increased $54,000, or 4.3%, and furniture and equipment related expenses increased $1,000, or 0.2%. These increases were partially offset by a decrease in professional fees of $103,000, or 16.0%, a decrease in advertising expense of $91,000, or 25.1%, and a decrease in FDIC insurance expense of $3,000, or 0.9%.

    For the three months ended September 30, 2024, the efficiency ratio was 80.6%, compared to 70.6% for the three months ended September 30, 2023. For the three months ended September 30, 2024, the adjusted efficiency ratio, a non-GAAP financial measure, was 80.7% compared to 74.4% for the three months ended September 30, 2023. The increases in the efficiency ratio and the non-GAAP adjusted efficiency ratio were driven by lower revenues during the three months ended September 30, 2024, compared to the three months ended September 30, 2023. See pages 19-21 for the related adjusted efficiency ratio calculation and a reconciliation of GAAP to non-GAAP financial measures.

    Income Tax Provision

    Income tax expense for the three months ended September 30, 2024 was $618,000, or an effective tax rate of 24.5%, compared to $1.0 million, or an effective tax rate of 18.7%, for the three months ended September 30, 2023. The effective tax rate for the three months ended September 30, 2023 included $778,000 in non-taxable BOLI death benefits.

    Net Income for the Nine Months Ended September 30, 2024 Compared to the Nine Months Ended September 30, 2023

    For the nine months ended September 30, 2024, the Company reported net income of $8.4 million, or $0.40 per diluted share, compared to $12.6 million, or $0.58 per diluted share, for the nine months ended September 30, 2023. Return on average assets and return on average equity were 0.44% and 4.74% for the nine months ended September 30, 2024, respectively, compared to 0.66% and 7.19% for the nine months ended September 30, 2023, respectively.

    Net Interest Income and Net Interest Margin

    During the nine months ended September 30, 2024, net interest income decreased $7.2 million, or 13.9%, to $44.5 million, compared to $51.7 million for the nine months ended September 30, 2023. The decrease in net interest income was due to an increase in interest expense of $14.1 million, or 62.3%, partially offset by an increase in interest and dividend income of $6.9 million, or 9.3%. The $14.1 million increase in interest expense was primarily due to an increase of $12.9 million, or 72.3%, in interest expense on deposits as a result of competitive pricing and an unfavorable shift in the deposit mix from low cost core deposits to high cost time deposits.

    The net interest margin for the nine months ended September 30, 2024 was 2.46%, compared to 2.88% during the nine months ended September 30, 2023. The net interest margin, on a tax-equivalent basis, was 2.48% for the nine months ended September 30, 2024, compared to 2.90% for the nine months ended September 30, 2023. The decrease in the net interest margin was primarily due to an increase in the average cost of interest-bearing liabilities and the unfavorable shift in the deposit mix from low cost core to high cost time deposits, which was partially offset by an increase in the average yield on interest-earning assets. During the nine months ended September 30, 2024 and the nine months ended September 30, 2023, the Company had a fair value hedge which contributed to an increase in the net interest margin of seven and three basis points, respectively. Excluding the interest income from the fair value hedge, the net interest margin was 2.39% and 2.85%, for the nine months ended September 30, 2024 and the nine months ended September 30, 2023, respectively. The fair value hedge is scheduled to mature in October of 2024.

    The average yield on interest-earning assets, without the impact of tax-equivalent adjustments, was 4.49% for the nine months ended September 30, 2024, compared to 4.14% for the nine months ended September 30, 2023. The average loan yield, without the impact of tax-equivalent adjustments, was 4.86% for the nine months ended September 30, 2024, compared to 4.49% for the nine months ended September 30, 2023. During the nine months ended September 30, 2024, average interest-earning assets increased $14.5 million, or 0.6%, to $2.4 billion, from the same period in 2023. The increase was primarily due to an increase in average loans of $23.4 million, or 1.2%, an increase in average short-term investments, consisting of cash and cash equivalents, of $5.7 million, or 44.2%, and an increase in other interest-earning assets of $1.7 million, or 13.7%, partially offset by a decrease in average securities of $16.3 million, or 4.4%.

    The average cost of total funds, including non-interest bearing accounts and borrowings, increased 80 basis points from 1.32% for the nine months ended September 30, 2023 to 2.12% for the nine months ended September 30, 2024. The average cost of core deposits, which the Company defines as all deposits except time deposits, increased 24 basis points to 0.86% for the nine months ended September 30, 2024, from 0.62% for the nine months ended September 30, 2023. The average cost of time deposits increased 160 basis points from 2.72% for the nine months ended September 30, 2023 to 4.32% for the nine months ended September 30, 2024. The average cost of borrowings, including subordinated debt, increased 15 basis points from 4.84% for the nine months ended September 30, 2023 to 4.99% for the nine months ended September 30, 2024. Average demand deposits, an interest-free source of funds, decreased $52.1 million, or 8.6%, from $607.3 million, or 28.0% of total average deposits, for the nine months ended September 30, 2023, to $555.3 million, or 25.8% of total average deposits, for the nine months ended September 30, 2024.

    Provision for Credit Losses

    During the nine months ended September 30, 2024, the Company recorded a provision for credit losses of $97,000, compared to a provision for credit losses of $386,000 during the nine months ended September 30, 2023. The decrease was primarily due to changes in the loan mix as well as economic environment and related adjustments to the quantitative components of the CECL methodology. The provision for credit losses was determined by a number of factors: the continued strong credit performance of the Company’s loan portfolio, changes in the loan portfolio mix and Management’s consideration of existing economic conditions and the economic outlook from the Federal Reserve’s actions to control inflation. Management continues to monitor macroeconomic variables related to increasing interest rates, inflation and the concerns of an economic downturn, and believes it is appropriately reserved for the current economic environment.

    During the nine months ended September 30, 2024, the Company recorded net charge-offs of $41,000 compared to net charge-offs of $1.9 million for the nine months ended September 30, 2023. The charge-offs during the nine months ended September 30, 2023 were related to one commercial relationship acquired in October 2016 from Chicopee Bancorp, Inc. The Company recorded a $1.9 million charge-off on the relationship, which represented the non-accretable credit mark that was required to be grossed-up to the loan’s amortized cost basis with a corresponding increase to the allowance for credit losses under the CECL implementation.

    Non-Interest Income

    For the nine months ended September 30, 2024, non-interest income increased $1.5 million, or 17.9%, from $8.2 million during the nine months ended September 30, 2023 to $9.6 million. Service charges and fees on deposits increased $328,000, or 5.0%, and income from BOLI increased $37,000, or 2.7%.

    During the nine months ended September 30, 2024, the Company reported a gain of $987,000 on non-marketable equity investments, compared to a gain of $590,000 during the nine months ended September 30, 2023. During the nine months ended September 30, 2024, the Company reported income of $246,000 from mortgage banking activities due to the sale of fixed rate residential real estate loans and did not have comparable income during the nine months ended September 30, 2023. During the nine months ended September 30, 2024, the Company reported $74,000 in other income from loan-level swap fees on commercial loans and did not have comparable income during the nine months ended September 30, 2023. During the nine months ended September 30, 2024, the Company reported $22,000 in unrealized gains of marketable equity securities and did not have comparable income during the nine months ended September 30, 2023. Gains and losses from the investment portfolio vary from quarter to quarter based on market conditions, as well as the related yield curve and valuation changes. During the nine months ended September 30, 2024, the Company reported a loss on the sales of premises and equipment of $6,000 compared to $3,000 during the nine months ended September 30, 2023. During the nine months ended September 30, 2023, the Company recorded a $1.1 million final termination expense related to the defined benefit pension plan (the “DB Plan”) termination. The Company did not have comparable income or expense during the nine months ended September 30, 2024. During the nine months ended September 30, 2023, non-interest income included a non-taxable gain of $778,000 on BOLI death benefits. The Company did not have comparable income during the nine months ended September 30, 2024.

    Non-Interest Expense

    For the nine months ended September 30, 2024, non-interest expense decreased $63,000, or 0.1%, to $43.5 million, compared to $43.6 million for the nine months ended September 30, 2023. The decrease in non-interest expense was primarily due to a decrease in professional fees of $513,000, or 23.3%, a decrease in salaries and employee benefits of $218,000, or 0.9%, a decrease in advertising expense of $159,000, or 14.2%, a decrease in other non-interest expense of $120,000, or 2.9%, and a decrease in furniture and equipment related expense of $10,000, or 0.7%. These decreases were partially offset by an increase in software related expenses of $309,000, or 19.7%, an increase in debit card and ATM processing fees of $264,000, or 16.7%, an increase in data processing of $208,000, or 8.8%, an increase in FDIC insurance expense of $88,000, or 9.0%, and an increase in occupancy expense of $88,000, or 2.4%.

    For the nine months ended September 30, 2024, the efficiency ratio was 80.3%, compared to 72.7% for the nine months ended September 30, 2023. For the nine months ended September 30, 2024, the adjusted efficiency ratio, a non-GAAP financial measure, was 81.8% compared to 73.0% for the nine months ended September 30, 2023. The increases in the efficiency ratio and the non-GAAP adjusted efficiency ratio were driven by lower revenues during the nine months ended September 30, 2024, compared to the nine months ended September 30, 2023. See pages 19-21 for the related adjusted efficiency ratio calculation and a reconciliation of GAAP to non-GAAP financial measures.

    Income Tax Provision

    Income tax expense for the nine months ended September 30, 2024 was $2.2 million, representing an effective tax rate of 20.9%, compared to $3.4 million, representing an effective tax rate of 21.3%, for nine months ended September 30, 2023.

    Balance Sheet

    At September 30, 2024, total assets were $2.6 billion, an increase of $75.9 million, or 3.0%, from December 31, 2023. The increase in total assets was primarily due to an increase in cash and cash equivalents of $44.0 million, or 152.4%, an increase in total loans of $21.7 million, or 1.1%, and an increase in investment securities of $8.7 million, or 2.4%.

    Investments

    At September 30, 2024, the investment securities portfolio totaled $369.4 million, or 14.0% of total assets, compared to $360.7 million, or 14.1%, of total assets, at December 31, 2023. At September 30, 2024, the Company’s available-for-sale (“AFS”) securities portfolio, recorded at fair market value, increased $18.8 million, or 13.7%, from $137.1 million at December 31, 2023 to $155.9 million. The held-to-maturity (“HTM”) securities portfolio, recorded at amortized cost, decreased $10.1 million, or 4.5%, from $223.4 million at December 31, 2023 to $213.3 million at September 30, 2024.

    At September 30, 2024, the Company reported unrealized losses on the AFS securities portfolio of $24.6 million, or 13.6% of the amortized cost basis of the AFS securities portfolio, compared to unrealized losses of $29.2 million, or 17.5% of the amortized cost basis of the AFS securities at December 31, 2023. At September 30, 2024, the Company reported unrealized losses on the HTM securities portfolio of $30.7 million, or 14.4%, of the amortized cost basis of the HTM securities portfolio, compared to $35.7 million, or 16.0% of the amortized cost basis of the HTM securities portfolio at December 31, 2023.

    The securities in which the Company may invest are limited by regulation. Federally chartered savings banks have authority to invest in various types of assets, including U.S. Treasury obligations, securities of various government-sponsored enterprises, mortgage-backed securities, certain certificates of deposit of insured financial institutions, repurchase agreements, overnight and short-term loans to other banks, corporate debt instruments and marketable equity securities. The securities, with the exception of $4.6 million in corporate bonds, are issued by the United States government or government-sponsored enterprises and are therefore either explicitly or implicitly guaranteed as to the timely payment of contractual principal and interest. These positions are deemed to have no credit impairment, therefore, the disclosed unrealized losses with the securities portfolio relate primarily to changes in prevailing interest rates. In all cases, price improvement in future periods will be realized as the issuances approach maturity.

    Management regularly reviews the portfolio for securities in an unrealized loss position. At September 30, 2024 and December 31, 2023, the Company did not record any credit impairment charges on its securities portfolio and attributed the unrealized losses primarily due to fluctuations in general interest rates or changes in expected prepayments and not due to credit quality. The primary objective of the Company’s investment portfolio is to provide liquidity and to secure municipal deposit accounts while preserving the safety of principal. The Company expects to strategically redeploy available cash flows from the securities portfolio to fund loan growth and deposit outflows.

    Total Loans

    Total loans increased $21.7 million, or 1.1%, from December 31, 2023, to $2.0 billion at September 30, 2024. The increase in total loans was due to an increase in commercial real estate loans of $3.0 million, or 0.3%, an increase in residential real estate loans, including home equity loans, of $26.4 million, or 3.7%, partially offset by a decrease in commercial and industrial loans of $7.0 million, or 3.2%. During the three months ended September 30, 2024, the Company sold $20.1 million in fixed rate residential loans to the secondary market with servicing retained.

    The following table presents the summary of the loan portfolio by the major classification of the loan at the periods indicated:

      September 30, 2024   December 31, 2023
      (Dollars in thousands)
       
    Commercial real estate loans:      
    Non-owner occupied $ 878,265     $ 881,643  
    Owner-occupied   204,524       198,108  
    Total commercial real estate loans   1,082,789       1,079,751  
           
    Residential real estate loans:      
    Residential   631,649       612,315  
    Home equity   116,923       109,839  
    Total residential real estate loans   748,572       722,154  
           
    Commercial and industrial loans   210,390       217,447  
           
    Consumer loans   4,631       5,472  
    Total gross loans   2,046,382       2,024,824  
    Unamortized premiums and net deferred loans fees and costs   2,620       2,493  
    Total loans $ 2,049,002     $ 2,027,317  
                   

    Credit Quality

    Management continues to closely monitor the loan portfolio for any signs of deterioration in borrowers’ financial condition and also in light of speculation that commercial real estate values may deteriorate as the market continues to adjust to higher vacancies and interest rates. We continue to proactively take steps to mitigate risk in our loan portfolio.

    Total delinquency was $4.3 million, or 0.21% of total loans, at September 30, 2024, compared to $6.0 million, or 0.30% of total loans at December 31, 2023. At September 30, 2024, nonperforming loans totaled $4.9 million, or 0.24% of total loans, compared to $6.4 million, or 0.32% of total loans, at December 31, 2023. Total nonperforming assets totaled $4.9 million, or 0.18% of total assets, at September 30, 2024, compared to $6.4 million, or 0.25% of total assets, at December 31, 2023. At September 30, 2024 and December 31, 2023, there were no loans 90 or more days past due and still accruing interest. At September 30, 2024 and December 31, 2023, the Company did not have any other real estate owned.

    At September 30, 2024, the allowance for credit losses as a percentage of total loans was 0.97% as compared to 1.00% at December 31, 2023. At September 30, 2024, the allowance for credit losses as a percentage of nonperforming loans was 409.5% as compared to 315.6% at December 31, 2023.

    Total classified loans, defined as special mention and substandard loans, increased $3.7 million, or 9.4%, from $39.5 million, or 1.9% of total loans, at December 31, 2023 to $43.2 million, or 2.1%, of total loans at September 30, 2024. We continue to maintain diversity among property types and within our geographic footprint. More details on the diversification of the loan portfolio are available in the supplementary earnings presentation.

    Deposits

    Total deposits increased $80.5 million, or 3.8%, from $2.1 billion at December 31, 2023 to $2.2 billion at September 30, 2024. Core deposits, which the Company defines as all deposits except time deposits, decreased $8.3 million, or 0.5%, from $1.5 billion, or 71.5% of total deposits, at December 31, 2023, to $1.5 billion, or 68.5% of total deposits, at September 30, 2024. Non-interest-bearing deposits decreased $10.9 million, or 1.9%, to $568.7 million, money market accounts increased $1.5 million, or 0.2%, to $635.8 million, savings accounts decreased $8.2 million, or 4.4%, to $179.2 million and interest-bearing checking accounts increased $9.3 million, or 7.1%, to $140.3 million. Time deposits increased $88.8 million, or 14.5%, from $611.4 million at December 31, 2023 to $700.2 million at September 30, 2024. Brokered time deposits, which are included in time deposits, totaled $1.7 million at September 30, 2024 and at December 31, 2023.

    The table below is a summary of our deposit balances for the periods noted:

      September 30, 2024   June 30, 2024   December 31, 2023
      (Dollars in thousands)
    Core Deposits:          
    Demand accounts $ 568,685     $ 553,329     $ 579,595  
    Interest-bearing accounts   140,332       149,100       131,031  
    Savings accounts   179,214       186,171       187,405  
    Money market accounts   635,824       611,501       634,361  
    Total Core Deposits $ 1,524,055     $ 1,500,101     $ 1,532,392  
                           
    Time Deposits:   700,151       671,708       611,352  
    Total Deposits: $ 2,224,206     $ 2,171,809     $ 2,143,744  
                           

    During the nine months ended September 30, 2024, the Company continued to experience an unfavorable shift in deposit mix from low cost core deposits to high cost time deposits as customers continue to migrate to higher deposit rates. The Company continues to focus on the maintenance, development, and expansion of its core deposit base to meet funding requirements and liquidity needs, with an emphasis on retaining a long-term customer relationship base by competing for and retaining deposits in our local market. At September 30, 2024, the Bank’s uninsured deposits represented 27.7% of total deposits, compared to 26.8% at December 31, 2023.

    FHLB and Subordinated Debt

    At September 30, 2024, total borrowings decreased $4.1 million, or 2.6%, from $156.5 million at December 31, 2023 to $152.4 million. Short-term borrowings decreased $11.7 million, or 72.7%, to $4.4 million, compared to $16.1 million at December 31, 2023. Long-term borrowings increased $7.6 million, or 6.3%, from $120.6 million at December 31, 2023 to $128.3 million at September 30, 2024. At September 30, 2024 and December 31, 2023, borrowings also consisted of $19.7 million in fixed-to-floating rate subordinated notes.

    The Company utilized the Bank Term Funding Program (“BTFP”), which was created in March 2023 to enhance banking system liquidity by allowing institutions to pledge certain securities at par value and borrow at a rate of ten basis points over the one-year overnight index swap rate. The BTFP was available to federally insured depository institutions in the U.S., with advances having a term of up to one year with no prepayment penalties. The BTFP ceased extending new advances in March 2024. At December 31, 2023, the Company’s outstanding balance under the BTFP was $90.0 million. There were no outstanding balance under the BTFP at September 30, 2024.

    As of September 30, 2024, the Company had $452.0 million of additional borrowing capacity at the Federal Home Loan Bank, $404.9 million of additional borrowing capacity under the Federal Reserve Bank Discount Window and $25.0 million of other unsecured lines of credit with correspondent banks.

    Capital

    At September 30, 2024, shareholders’ equity was $240.7 million, or 9.1% of total assets, compared to $237.4 million, or 9.3% of total assets, at December 31, 2023. The change was primarily attributable to a decrease in accumulated other comprehensive loss of $3.4 million, cash dividends paid of $4.5 million, repurchase of shares at a cost of $5.6 million, partially offset by net income of $8.4 million. At September 30, 2024, total shares outstanding were 21,113,408.

    The Company’s regulatory capital ratios continue to be strong and in excess of regulatory minimum requirements to be considered well-capitalized as defined by regulators and internal Company targets. Total Risk-Based Capital Ratio was 14.4% at September 30, 2024 and 14.7% at December 31, 2023.  The Bank’s Tier 1 Leverage Ratio to adjusted average assets was 9.61% at September 30, 2024 and 9.62% at December 31, 2023.

    Dividends

    Although the Company has historically paid quarterly dividends on its common stock and currently intends to continue to pay such dividends, the Company’s ability to pay such dividends depends on a number of factors, including restrictions under federal laws and regulations on the Company’s ability to pay dividends, and as a result, there can be no assurance that dividends will continue to be paid in the future.

    About Western New England Bancorp, Inc.

    Western New England Bancorp, Inc. is a Massachusetts-chartered stock holding company and the parent company of Westfield Bank, CSB Colts, Inc., Elm Street Securities Corporation, WFD Securities, Inc. and WB Real Estate Holdings, LLC. Western New England Bancorp, Inc. and its subsidiaries are headquartered in Westfield, Massachusetts and operate 25 banking offices throughout western Massachusetts and northern Connecticut. To learn more, visit our website at www.westfieldbank.com.

    Forward-Looking Statements

    This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the Company’s financial condition, liquidity, results of operations, future performance, and business. Forward-looking statements may be identified by the use of such words as “believe,” “expect,” “anticipate,” “should,” “planned,” “estimated,” and “potential.”  Examples of forward-looking statements include, but are not limited to, estimates with respect to our financial condition, results of operations and business that are subject to various factors which could cause actual results to differ materially from these estimates.  These factors include, but are not limited to:

    • unpredictable changes in general economic conditions, financial markets, fiscal, monetary and regulatory policies, including actual or potential stress in the banking industry;
    • the duration and scope of potential pandemics, including the emergence of new variants and the response thereto;
    • unstable political and economic conditions which could materially impact credit quality trends and the ability to generate loans and gather deposits;
    • inflation and governmental responses to inflation, including recent sustained increases and potential future increases in interest rates that reduce margins;
    • the effect on our operations of governmental legislation and regulation, including changes in accounting regulation or standards, the nature and timing of the adoption and effectiveness of new requirements under the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, Basel guidelines, capital requirements and other applicable laws and regulations;
    • significant changes in accounting, tax or regulatory practices or requirements;
    • new legal obligations or liabilities or unfavorable resolutions of litigation;
    • disruptive technologies in payment systems and other services traditionally provided by banks;
    • the highly competitive industry and market area in which we operate;
    • changes in business conditions and inflation;
    • operational risks or risk management failures by us or critical third parties, including without limitation with respect to data processing, information systems, cybersecurity, technological changes, vendor issues, business interruption, and fraud risks;
    • failure or circumvention of our internal controls or procedures;
    • changes in the securities markets which affect investment management revenues;
    • increases in Federal Deposit Insurance Corporation deposit insurance premiums and assessments;
    • the soundness of other financial services institutions which may adversely affect our credit risk;
    • certain of our intangible assets may become impaired in the future;
    • new lines of business or new products and services, which may subject us to additional risks;
    • changes in key management personnel which may adversely impact our operations;
    • severe weather, natural disasters, acts of war or terrorism and other external events which could significantly impact our business; and
    • other risk factors detailed from time to time in our SEC filings.

    Although we believe that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from the results discussed in these forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. We do not undertake any obligation to republish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except to the extent required by law.

    WESTERN NEW ENGLAND BANCORP, INC. AND SUBSIDIARIES
    Consolidated Statements of Net Income and Other Data
    (Dollars in thousands, except per share data)
    Unaudited)
     
      Three Months Ended Nine Months Ended
      September 30, June 30, March 31, December 31, September 30, September 30,
        2024     2024     2024     2023     2023     2024     2023  
    INTEREST AND DIVIDEND INCOME:              
    Loans $ 25,134   $ 24,340   $ 24,241   $ 23,939   $ 23,451   $ 73,715   $ 67,230  
    Securities   2,121     2,141     2,114     2,094     2,033     6,376     6,276  
    Other investments   189     148     136     140     166     473     418  
    Short-term investments   396     173     113     597     251     682     424  
    Total interest and dividend income   27,840     26,802     26,604     26,770     25,901     81,246     74,348  
                   
    INTEREST EXPENSE:              
    Deposits   11,165     10,335     9,293     8,773     7,704     30,793     17,876  
    Short-term borrowings   71     186     283     123     117     540     1,466  
    Long-term debt   1,622     1,557     1,428     1,444     1,444     4,607     2,513  
    Subordinated debt   254     254     254     254     253     762     760  
    Total interest expense   13,112     12,332     11,258     10,594     9,518     36,702     22,615  
                   
    Net interest and dividend income   14,728     14,470     15,346     16,176     16,383     44,544     51,733  
                   
    PROVISION FOR (REVERSAL OF) CREDIT LOSSES   941     (294 )   (550 )   486     354     97     386  
                   
    Net interest and dividend income after provision for (reversal of) credit losses   13,787     14,764     15,896     15,690     16,029     44,447     51,347  
                   
    NON-INTEREST INCOME:              
    Service charges and fees on deposits   2,341     2,341     2,219     2,283     2,145     6,901     6,573  
    Income from bank-owned life insurance   470     502     453     432     454     1,425     1,388  
    Unrealized gain (loss) on marketable equity securities   10     4     8     (1 )   –     22     –  
    Gain on sale of mortgages   246     –     –     –     –     246     –  
    Gain on non-marketable equity investments   –     987     –     –     238     987     590  
    Loss on disposal of premises and equipment   –     –     (6 )   –     (3 )   (6 )   (3 )
    Loss on defined benefit plan termination   –     –     –     –     –     –     (1,143 )
    Gain on bank-owned life insurance death benefit   –     –     –     –     778     –     778  
    Other income   74     –     –     –     –     74     –  
    Total non-interest income   3,141     3,834     2,674     2,714     3,612     9,649     8,183  
                   
    NON-INTEREST EXPENSE:              
    Salaries and employees benefits   8,112     7,901     8,244     7,739     7,955     24,257     24,475  
    Occupancy   1,217     1,218     1,363     1,198     1,159     3,798     3,710  
    Furniture and equipment   483     483     484     494     482     1,450     1,460  
    Data processing   869     846     862     788     824     2,577     2,369  
    Software   612     566     699     598     529     1,877     1,568  
    Debit/ATM card processing expense   649     643     552     559     562     1,844     1,580  
    Professional fees   540     581     569     674     643     1,690     2,203  
    FDIC insurance   338     323     410     338     341     1,071     983  
    Advertising   271     339     349     377     362     959     1,118  
    Other   1,315     1,414     1,250     2,020     1,261     3,979     4,099  
    Total non-interest expense   14,406     14,314     14,782     14,785     14,118     43,502     43,565  
                   
    INCOME BEFORE INCOME TAXES   2,522     4,284     3,788     3,619     5,523     10,594     15,965  
                   
    INCOME TAX PROVISION   618     771     827     1,108     1,033     2,216     3,408  
    NET INCOME $ 1,904   $ 3,513   $ 2,961   $ 2,511   $ 4,490   $ 8,378   $ 12,557  
                   
    Basic earnings per share $ 0.09   $ 0.17   $ 0.14   $ 0.12   $ 0.21   $ 0.40   $ 0.58  
    Weighted average shares outstanding   20,804,162     21,056,173     21,180,968     21,253,452     21,560,940     21,013,003     21,631,067  
    Diluted earnings per share $ 0.09   $ 0.17   $ 0.14   $ 0.12   $ 0.21   $ 0.40   $ 0.58  
    Weighted average diluted shares outstanding   20,933,833     21,163,762     21,271,323     21,400,664     21,680,113     21,122,208     21,681,251  
                   
    Other Data:              
    Return on average assets (1)   0.29 %   0.55 %   0.47 %   0.39 %   0.70 %   0.44 %   0.66 %
    Return on average equity (1)   3.19 %   6.03 %   5.04 %   4.31 %   7.60 %   4.74 %   7.19 %
    Efficiency ratio   80.62 %   78.20 %   82.03 %   78.27 %   70.61 %   80.27 %   72.71 %
    Adjusted efficiency ratio (2)   80.67 %   82.68 %   82.04 %   78.26 %   74.38 %   81.79 %   72.98 %
    Net interest margin   2.40 %   2.42 %   2.57 %   2.64 %   2.70 %   2.46 %   2.88 %
    Net interest margin, on a fully tax-equivalent basis   2.42 %   2.44 %   2.59 %   2.66 %   2.72 %   2.48 %   2.90 %
    (1) Annualized.          
    (2) The adjusted efficiency ratio (non-GAAP) represents the ratio of operating expenses divided by the sum of net interest and dividend income and non-interest income, excluding realized and unrealized gains and losses on securities, gain on non-marketable equity investments, loss on disposal of premises and equipment, loss on defined benefit plan termination and gain on bank-owned life insurance death benefit.
     
    WESTERN NEW ENGLAND BANCORP, INC. AND SUBSIDIARIES
    Consolidated Balance Sheets
    (Dollars in thousands)
    (Unaudited)
     
      September 30,   June 30,   March 31,   December 31,   September 30,
        2024       2024       2024       2023       2023  
    Cash and cash equivalents $ 72,802     $ 53,458     $ 22,613     $ 28,840     $ 62,267  
    Securities available-for-sale, at fair value   155,889       135,089       138,362       137,115       130,709  
    Securities held to maturity, at amortized cost   213,266       217,632       221,242       223,370       225,020  
    Marketable equity securities, at fair value   252       233       222       196       –  
    Federal Home Loan Bank of Boston and other restricted stock – at cost   7,143       7,143       3,105       3,707       3,063  
                       
    Loans   2,049,002       2,026,226       2,025,566       2,027,317       2,014,820  
    Allowance for credit losses   (19,955 )     (19,444 )     (19,884 )     (20,267 )     (19,978 )
    Net loans   2,029,047       2,006,782       2,005,682       2,007,050       1,994,842  
                       
    Bank-owned life insurance   76,570       76,100       75,598       75,145       74,713  
    Goodwill   12,487       12,487       12,487       12,487       12,487  
    Core deposit intangible   1,531       1,625       1,719       1,813       1,906  
    Other assets   71,492       75,521       76,206       74,848       79,998  
    TOTAL ASSETS $ 2,640,479     $ 2,586,070     $ 2,557,236     $ 2,564,571     $ 2,585,005  
                       
    Total deposits $ 2,224,206     $ 2,171,809     $ 2,143,747     $ 2,143,744     $ 2,176,303  
    Short-term borrowings   4,390       6,570       11,470       16,100       8,890  
    Long-term debt   128,277       128,277       120,646       120,646       121,178  
    Subordinated debt   19,741       19,731       19,722       19,712       19,702  
    Securities pending settlement   2,513       102       –       –       2,253  
    Other liabilities   20,697       23,104       25,855       26,960       25,765  
    TOTAL LIABILITIES   2,399,824       2,349,593       2,321,440       2,327,162       2,354,091  
                       
    TOTAL SHAREHOLDERS’ EQUITY   240,655       236,477       235,796       237,409       230,914  
    TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 2,640,479     $ 2,586,070     $ 2,557,236     $ 2,564,571     $ 2,585,005  
                       
    WESTERN NEW ENGLAND BANCORP, INC. AND SUBSIDIARIES
    Other Data
    (Dollars in thousands, except per share data)
    (Unaudited)
                                           
      Three Months Ended
      September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023    		   September 30,
    2023
    Shares outstanding at end of period   21,113,408       21,357,849       21,627,690       21,666,807       21,927,242  
                       
    Operating results:                  
    Net interest income $ 14,728     $ 14,470     $ 15,346     $ 16,176     $ 16,383  
    Provision for (reversal of) credit losses   941       (294 )     (550 )     486       354  
    Non-interest income   3,141       3,834       2,674       2,714       3,612  
    Non-interest expense   14,406       14,314       14,782       14,785       14,118  
    Income before income provision for income taxes   2,522       4,284       3,788       3,619       5,523  
    Income tax provision   618       771       827       1,108       1,033  
    Net income   1,904       3,513       2,961       2,511       4,490  
                       
    Performance Ratios:                  
    Net interest margin   2.40 %     2.42 %     2.57 %     2.64 %     2.70 %
    Net interest margin, on a fully tax-equivalent basis   2.42 %     2.44 %     2.59 %     2.66 %     2.72 %
    Interest rate spread   1.60 %     1.66 %     1.85 %     1.96 %     2.07 %
    Interest rate spread, on a fully tax-equivalent basis   1.62 %     1.67 %     1.86 %     1.98 %     2.09 %
    Return on average assets   0.29 %     0.55 %     0.47 %     0.39 %     0.70 %
    Return on average equity   3.19 %     6.03 %     5.04 %     4.31 %     7.60 %
    Efficiency ratio (GAAP)   80.62 %     78.20 %     82.03 %     78.27 %     70.61 %
    Adjusted efficiency ratio (non-GAAP) (1)   80.67 %     82.68 %     82.04 %     78.26 %     74.38 %
                       
    Per Common Share Data:                  
    Basic earnings per share $ 0.09     $ 0.17     $ 0.14     $ 0.12     $ 0.21  
    Earnings per diluted share   0.09       0.17       0.14       0.12       0.21  
    Cash dividend declared   0.07       0.07       0.07       0.07       0.07  
    Book value per share   11.40       11.07       10.90       10.96       10.53  
    Tangible book value per share (non-GAAP) (2)   10.73       10.41       10.25       10.30       9.87  
                       
    Asset Quality:                  
    30-89 day delinquent loans $ 3,059     $ 3,270     $ 3,000     $ 4,605     $ 4,097  
    90 days or more delinquent loans   1,253       2,280       1,716       1,394       1,527  
    Total delinquent loans   4,312       5,550       4,716       5,999       5,624  
    Total delinquent loans as a percentage of total loans   0.21 %     0.27 %     0.23 %     0.30 %     0.28 %
    Nonperforming loans $ 4,873     $ 5,845     $ 5,837     $ 6,421     $ 6,290  
    Nonperforming loans as a percentage of total loans   0.24 %     0.29 %     0.29 %     0.32 %     0.31 %
    Nonperforming assets as a percentage of total assets   0.18 %     0.23 %     0.23 %     0.25 %     0.24 %
    Allowance for credit losses as a percentage of nonperforming loans   409.50 %     332.66 %     340.65 %     315.64 %     317.62 %
    Allowance for credit losses as a percentage of total loans   0.97 %     0.96 %     0.98 %     1.00 %     0.99 %
    Net loan charge-offs (recoveries) $ 98     $ 10     $ (67 )   $ 136     $ 78  
    Net loan charge-offs (recoveries) as a percentage of average loans   0.00 %     0.00 %     0.00 %     0.01 %     0.00 %

    ____________________________
    (1) The adjusted efficiency ratio (non-GAAP) represents the ratio of operating expenses divided by the sum of net interest and dividend income and non-interest income, excluding realized and unrealized gains and losses on securities, gain on non-marketable equity investments, loss on disposal of premises and equipment, loss on defined benefit plan termination and gain on bank-owned life insurance death benefit.
    (2) Tangible book value per share (non-GAAP) represents the value of the Company’s tangible assets divided by its current outstanding shares.

    The following table sets forth the information relating to our average balances and net interest income for the three months ended September 30, 2024, June 30, 2024 and September 30, 2023 and reflects the average yield on interest-earning assets and average cost of interest-bearing liabilities for the periods indicated.

      Three Months Ended
      September 30, 2024   June 30, 2024   September 30, 2023
      Average       Average Yield/   Average       Average Yield/   Average       Average Yield/
      Balance   Interest   Cost(8)   Balance   Interest   Cost(8)   Balance   Interest   Cost(8)
      (Dollars in thousands)
    ASSETS:                                        
    Interest-earning assets                                        
    Loans(1)(2) $ 2,038,593   $ 25,253     4.93 %   $ 2,017,127   $ 24,454     4.88 %   $ 2,007,267   $ 23,568     4.66 %
    Securities(2)   354,696     2,121     2.38       354,850     2,141     2.43       361,216     2,033     2.23  
    Other investments   15,904     189     4.73       14,328     148     4.15       12,155     166     5.42  
    Short-term investments(3)   32,043     396     4.92       14,328     173     4.86       22,349     251     4.46  
    Total interest-earning assets   2,441,236     27,959     4.56       2,400,633     26,916     4.51       2,402,987     26,018     4.30  
    Total non-interest-earning assets   153,585               156,701               156,503          
    Total assets $ 2,594,821             $ 2,557,334             $ 2,559,490          
                                             
    LIABILITIES AND EQUITY:                                        
    Interest-bearing liabilities                                        
    Interest-bearing checking accounts $ 131,133     271     0.82     $ 131,449     253     0.77     $ 144,792     269     0.74  
    Savings accounts   179,844     38     0.08       185,690     51     0.11       195,020     41     0.08  
    Money market accounts   621,340     3,172     2.03       622,062     2,930     1.89       656,066     2,488     1.50  
    Time deposit accounts   688,797     7,684     4.44       650,054     7,101     4.39       563,135     4,906     3.46  
    Total interest-bearing deposits   1,621,114     11,165     2.74       1,589,255     10,335     2.62       1,559,013     7,704     1.96  
    Borrowings   153,317     1,947     5.05       160,484     1,997     5.00       149,507     1,814     4.81  
    Interest-bearing liabilities   1,774,431     13,112     2.94       1,749,739     12,332     2.83       1,708,520     9,518     2.21  
    Non-interest-bearing deposits   559,224               548,781               591,933          
    Other non-interest-bearing liabilities   23,466               24,453               24,504          
    Total non-interest-bearing liabilities   582,690               573,234               616,437          
    Total liabilities   2,357,121               2,322,973               2,324,957          
    Total equity   237,700               234,361               234,533          
    Total liabilities and equity $ 2,594,821             $ 2,557,334             $ 2,559,490          
    Less: Tax-equivalent adjustment(2)       (119 )               (114 )               (117 )      
    Net interest and dividend income     $ 14,728               $ 14,470               $ 16,383        
    Net interest rate spread(4)         1.60 %           1.66 %           2.07 %
    Net interest rate spread, on a tax-equivalent basis(5)         1.62 %           1.67 %           2.09 %
    Net interest margin(6)         2.40 %           2.42 %           2.70 %
    Net interest margin, on a tax-equivalent basis(7)         2.42 %           2.44 %           2.72 %
    Ratio of average interest-earning assets to average interest-bearing liabilities         137.58 %           137.20 %           140.65 %
                                             

    The following tables set forth the information relating to our average balances and net interest income for the nine months ended September 30, 2024 and 2023 and reflect the average yield on interest-earning assets and average cost of interest-bearing liabilities for the periods indicated.

      Nine Months Ended September 30,
      2024   2023
      Average
    Balance    		   Interest   Average Yield/
    Cost(8)    		   Average
    Balance    		   Interest   Average Yield/
    Cost(8)    		  
                                           
      (Dollars in thousands)
    ASSETS:                          
    Interest-earning assets                          
    Loans(1)(2) $ 2,025,858   $ 74,058     4.88 %   $ 2,002,485   $ 67,586     4.51 %
    Securities(2)   356,340     6,376     2.39       372,623     6,276     2.25  
    Other investments   14,248     473     4.43       12,528     418     4.46  
    Short-term investments(3)   18,634     682     4.89       12,922     424     4.39  
    Total interest-earning assets   2,415,080     81,589     4.51       2,400,558     74,704     4.16  
    Total non-interest-earning assets   154,894               154,525          
    Total assets $ 2,569,974             $ 2,555,083          
                               
    LIABILITIES AND EQUITY:                          
    Interest-bearing liabilities                          
    Interest-bearing checking accounts $ 132,708     759     0.76 %   $ 142,716     780     0.73 %
    Savings accounts   183,872     128     0.09       207,513     142     0.09  
    Money market accounts   623,216     8,689     1.86       711,173     6,813     1.28  
    Time deposit accounts   655,700     21,217     4.32       498,193     10,141     2.72  
    Total interest-bearing deposits   1,595,496     30,793     2.58       1,559,595     17,876     1.53  
    Short-term borrowings and long-term debt   158,183     5,909     4.99       130,796     4,739     4.84  
    Total interest-bearing liabilities   1,753,679     36,702     2.80       1,690,391     22,615     1.79  
    Non-interest-bearing deposits   555,253               607,338          
    Other non-interest-bearing liabilities   24,931               23,886          
    Total non-interest-bearing liabilities   580,184               631,224          
                               
    Total liabilities   2,333,863               2,321,615          
    Total equity   236,111               233,468          
    Total liabilities and equity $ 2,569,974             $ 2,555,083          
    Less: Tax-equivalent adjustment (2)       (343 )               (356 )      
    Net interest and dividend income     $ 44,544               $ 51,733        
    Net interest rate spread (4)         1.70 %           2.35 %
    Net interest rate spread, on a tax-equivalent basis (5)         1.71 %           2.37 %
    Net interest margin (6)         2.46 %           2.88 %
    Net interest margin, on a tax-equivalent basis (7)         2.48 %           2.90 %
    Ratio of average interest-earning assets to average interest-bearing liabilities       137.72 %           142.01 %

    (1) Loans, including nonaccrual loans, are net of deferred loan origination costs and unadvanced funds.
    (2) Loan and securities income are presented on a tax-equivalent basis using a tax rate of 21%. The tax-equivalent adjustment is deducted from tax-equivalent net interest and dividend income to agree to the amount reported on the consolidated statements of net income.
    (3) Short-term investments include federal funds sold.
    (4) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities.
    (5) Net interest rate spread, on a tax-equivalent basis, represents the difference between the tax-equivalent weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities.
    (6) Net interest margin represents net interest and dividend income as a percentage of average interest-earning assets.
    (7) Net interest margin, on a tax-equivalent basis, represents tax-equivalent net interest and dividend income as a percentage of average interest-earning assets.
    (8) Annualized.

    Reconciliation of Non-GAAP to GAAP Financial Measures

    The Company believes that certain non-GAAP financial measures provide information to investors that is useful in understanding its results of operations and financial condition.  Because not all companies use the same calculation, this presentation may not be comparable to other similarly titled measures calculated by other companies.  A reconciliation of these non-GAAP financial measures is provided below.

      For the quarter ended
      9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
      (Dollars in thousands)
                       
    Loan interest (no tax adjustment) $ 25,134     $ 24,340     $ 24,241     $ 23,939     $ 23,451  
    Tax-equivalent adjustment   119       114       110       113       117  
    Loan interest (tax-equivalent basis) $ 25,253     $ 24,454     $ 24,351     $ 24,052     $ 23,568  
                       
    Net interest income (no tax adjustment) $ 14,728     $ 14,470     $ 15,346     $ 16,176     $ 16,383  
    Tax equivalent adjustment   119       114       110       113       117  
    Net interest income (tax-equivalent basis) $ 14,847     $ 14,584     $ 15,456     $ 16,289     $ 16,500  
                       
    Average interest-earning assets $ 2,441,236     $ 2,400,633     $ 2,403,086     $ 2,427,112     $ 2,402,987  
    Net interest margin (no tax adjustment)   2.40 %     2.42 %     2.57 %     2.64 %     2.70 %
    Net interest margin, tax-equivalent   2.42 %     2.44 %     2.59 %     2.66 %     2.72 %
                       
    Book Value per Share (GAAP) $ 11.40     $ 11.07     $ 10.90     $ 10.96     $ 10.53  
    Non-GAAP adjustments:                  
    Goodwill   (0.59 )     (0.58 )     (0.58 )     (0.58 )     (0.57 )
    Core deposit intangible   (0.08 )     (0.08 )     (0.07 )     (0.08 )     (0.09 )
    Tangible Book Value per Share (non-GAAP) $ 10.73     $ 10.41     $ 10.25     $ 10.30     $ 9.87  
                       
      For the quarter ended
      9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
      (Dollars in thousands)
                       
    Efficiency Ratio:                  
    Non-interest Expense (GAAP) $ 14,406     $ 14,314     $ 14,782     $ 14,785     $ 14,118  
                       
    Net Interest Income (GAAP) $ 14,728     $ 14,470     $ 15,346     $ 16,176     $ 16,383  
                       
    Non-interest Income (GAAP) $ 3,141     $ 3,834     $ 2,674     $ 2,714     $ 3,612  
    Non-GAAP adjustments:                  
    Unrealized (gains) losses on marketable equity securities   (10 )     (4 )     (8 )     1       –  
    Gain on non-marketable equity investments   –       (987 )     –       –       (238 )
    Loss on disposal of premises and equipment   –       –       6       –       3  
    Gain on bank-owned life insurance death benefit   –       –       –       –       (778 )
    Non-interest Income for Adjusted Efficiency Ratio (non-GAAP) $ 3,131     $ 2,843     $ 2,672     $ 2,715     $ 2,599  
    Total Revenue for Adjusted Efficiency Ratio (non-GAAP) $ 17,859     $ 17,313     $ 18,018     $ 18,891     $ 18,982  
                       
    Efficiency Ratio (GAAP)   80.62 %     78.20 %     82.03 %     78.27 %     70.61 %
                       
    Adjusted Efficiency Ratio (Non-interest Expense (GAAP)/Total Revenue for Adjusted Efficiency Ratio (non-GAAP))   80.67 %     82.68 %     82.04 %     78.26 %     74.38 %
                       
      For the nine months ended
      9/30/2024   9/30/2023
      (Dollars in thousands)
           
    Loan income (no tax adjustment) $ 73,715     $ 67,230  
    Tax-equivalent adjustment   343       356  
    Loan income (tax-equivalent basis) $ 74,058     $ 67,586  
           
    Net interest income (no tax adjustment) $ 44,544     $ 51,733  
    Tax equivalent adjustment   343       356  
    Net interest income (tax-equivalent basis) $ 44,887     $ 52,089  
           
    Average interest-earning assets $ 2,415,080     $ 2,400,558  
    Net interest margin (no tax adjustment)   2.46 %     2.88 %  
    Net interest margin, tax-equivalent   2.48 %     2.90 %  
           
    Adjusted Efficiency Ratio:      
    Non-interest Expense (GAAP) $ 43,502     $ 43,565  
           
    Net Interest Income (GAAP) $ 44,544     $ 51,733  
           
    Non-interest Income (GAAP) $ 9,649     $ 8,183  
    Non-GAAP adjustments:      
    Unrealized gains on marketable equity securities   (22 )     –  
    Loss on disposal of premises and equipment, net   6       3  
    Gain on bank-owned life insurance   –       (778 )
    Gain on non-marketable equity investments   (987 )     (590 )
    Loss on defined benefit plan curtailment   –       1,143  
    Non-interest Income for Adjusted Efficiency Ratio (non-GAAP) $ 8,646     $ 7,961  
    Total Revenue for Adjusted Efficiency Ratio (non-GAAP) $ 53,190     $ 59,694  
           
    Efficiency Ratio (GAAP)   80.27 %     72.71 %
           
    Adjusted Efficiency Ratio (Non-interest Expense (GAAP)/Total Revenue for Adjusted Efficiency Ratio (non-GAAP))   81.79 %     72.98 %
                   

    For further information contact:
    James C. Hagan, President and CEO
    Guida R. Sajdak, Executive Vice President and CFO
    Meghan Hibner, First Vice President and Investor Relations Officer
    413-568-1911

    The MIL Network –

  • MIL-OSI: Brookline Bancorp Announces Third Quarter Results

    Source: GlobeNewswire (MIL-OSI)

    Net Income of $20.1 million, EPS of $0.23

    Quarterly Dividend of $0.135

    BOSTON, Oct. 23, 2024 (GLOBE NEWSWIRE) — Brookline Bancorp, Inc. (NASDAQ: BRKL) (the “Company”) today announced net income and operating earnings after tax (non-GAAP) of $20.1 million, or $0.23 per basic and diluted share, for the third quarter of 2024, compared to net income of $16.4 million, or $0.18 per basic and diluted share, and operating earnings after tax (non-GAAP) of $17.0 million, or $0.19 per basic and diluted share, for the second quarter of 2024, and net income and operating earnings after tax (non-GAAP) of $22.7 million, or $0.26 per basic and diluted share, for the third quarter of 2023.

    “Our Company experienced improved performance in the third quarter,” commented Paul Perrault, Chairman and CEO, who continued, “As we move into the final months of 2024, we are confident our experienced bankers’ ability to continue to deliver exceptional service to our customers will be better reflected in our profitability as interest rates normalize.”

    BALANCE SHEET

    Total assets at September 30, 2024 were $11.7 billion, representing an increase of $41.4 million from $11.6 billion at June 30, 2024, and an increase of $496.2 million from September 30, 2023. At September 30, 2024, total loans and leases were $9.8 billion, representing an increase of $34.1 million from June 30, 2024, and an increase of $374.5 million from September 30, 2023.

    Total investment securities at September 30, 2024 decreased $1.0 million to $855.4 million from $856.4 million at June 30, 2024, and decreased $25.0 million from $880.4 million at September 30, 2023. Total cash and cash equivalents at September 30, 2024 increased $64.8 million to $407.9 million from $343.1 million at June 30, 2024, and increased $246.9 million from $161.0 million at September 30, 2023. As of September 30, 2024, total investment securities and total cash and cash equivalents represented 10.8 percent of total assets, compared to 10.3 percent and 9.3 percent as of June 30, 2024 and September 30, 2023, respectively.

    Total deposits at September 30, 2024 decreased $4.8 million to $8.7 billion from June 30, 2024. Despite the decrease during the quarter, customer deposits increased $103.2 million, offset by a $107.9 million decrease in brokered deposits. Total deposits increased $166.3 million from $8.6 billion at September 30, 2023, primarily driven by growth in customer deposits. The increase in customer deposits quarter to date included a $43.5 million increase in demand checking accounts.

    Total borrowed funds at September 30, 2024 increased $68.1 million to $1.5 billion from June 30, 2024, and increased $362.5 million from $1.1 billion at September 30, 2023.

    The ratio of stockholders’ equity to total assets was 10.54 percent at September 30, 2024, compared to 10.30 percent at June 30, 2024, and 10.36 percent at September 30, 2023. The ratio of tangible stockholders’ equity to tangible assets (non-GAAP) was 8.50 percent at September 30, 2024, as compared to 8.23 percent at June 30, 2024, and 8.16 percent at September 30, 2023. Tangible book value per common share (non-GAAP) increased $0.36 from $10.53 at June 30, 2024 to $10.89 at September 30, 2024, and increased $0.87 from $10.02 at September 30, 2023.

    NET INTEREST INCOME

    Net interest income increased $3.0 million to $83.0 million during the third quarter of 2024 from $80.0 million for the quarter ended June 30, 2024. The net interest margin increased 7 basis points to 3.07 percent for the three months ended September 30, 2024 from 3.00 percent for the three months ended June 30, 2024, primarily driven by higher yields on loans and leases partially offset by higher funding costs.

    NON-INTEREST INCOME

    Total non-interest income for the quarter ended September 30, 2024 decreased $0.1 million to $6.3 million from $6.4 million for the quarter ended June 30, 2024.

    PROVISION FOR CREDIT LOSSES

    The Company recorded a provision for credit losses of $4.8 million for the quarter ended September 30, 2024, compared to $5.6 million for the quarter ended June 30, 2024. The decrease in provision was largely driven by improving economic forecasts partially offset by an increase in specific reserves on nonperforming credits.

    Total net charge-offs for the third quarter of 2024 were $3.8 million, compared to $8.4 million in the second quarter of 2024. The $3.8 million in net charge-offs was driven by $2.6 million in equipment financing, largely within specialty vehicle. The ratio of net loan and lease charge-offs to average loans and leases on an annualized basis decreased to 16 basis points for the third quarter of 2024 from 35 basis points for the second quarter of 2024.

    The allowance for loan and lease losses represented 1.31 percent of total loans and leases at September 30, 2024, compared to 1.25 percent at June 30, 2024, and 1.27 percent at September 30, 2023.

    ASSET QUALITY

    The ratio of nonperforming loans and leases to total loans and leases was 0.73 percent at September 30, 2024, an increase from 0.62 percent at June 30, 2024. Total nonaccrual loans and leases increased $10.5 million to $71.2 million at September 30, 2024 from $60.7 million at June 30, 2024. The increase was driven by one equipment financing relationship of $9.3 million which has been reserved at 55 percent. The ratio of nonperforming assets to total assets was 0.62 percent at September 30, 2024, an increase from 0.54 percent at June 30, 2024. Total nonperforming assets increased $10.1 million to $72.8 million at September 30, 2024 from $62.7 million at June 30, 2024.

    NON-INTEREST EXPENSE

    Non-interest expense for the quarter ended September 30, 2024 decreased $1.2 million to $57.9 million from $59.2 million for the quarter ended June 30, 2024. Excluding the one time restructuring charge taken in the second quarter of $0.8 million, non-interest expense decreased $0.4 million primarily due to a reduction in advertising and marketing expense.

    PROVISION FOR INCOME TAXES

    The effective tax rate was 24.7 percent and 24.6 percent for the three and nine months ended September 30, 2024 compared to 24.4 percent for the three months ended June 30, 2024 and 21.4 percent and 20.3 percent for the three and nine months ended September 30, 2023.

    RETURNS ON AVERAGE ASSETS AND AVERAGE EQUITY

    The annualized return on average assets increased to 0.70 percent during the third quarter 2024 from 0.57 percent for the second quarter of 2024.

    The annualized return on average stockholders’ equity increased to 6.63 percent during the third quarter of 2024 from 5.49 percent for the second quarter of 2024. The annualized return on average tangible stockholders’ equity increased to 8.44 percent for the third quarter of 2024 from 7.04 percent for the second quarter of 2024.

    DIVIDEND DECLARED

    The Company’s Board of Directors approved a dividend of $0.135 per share for the quarter ended September 30, 2024. The dividend will be paid on November 29, 2024 to stockholders of record on November 15, 2024.

    CONFERENCE CALL

    The Company will conduct a conference call/webcast at 1:30 PM Eastern Time on Thursday, October 24, 2024 to discuss the results for the quarter, business highlights and outlook. A copy of the Earnings Presentation is available on the Company’s website, www.brooklinebancorp.com. To listen to the call and view the Company’s Earnings Presentation, please join the call via https://events.q4inc.com/attendee/314623001. To listen to the call without access to the slides, interested parties may dial 833-470-1428 (United States) or 404-975-4839 (internationally) and ask for the Brookline Bancorp, Inc. conference call (Access Code 414186). A recorded playback of the call will be available for one week following the call on the Company’s website under “Investor Relations” or by dialing 866-813-9403 (United States) or 929-458-6194 (internationally) and entering the passcode: 898921.

    ABOUT BROOKLINE BANCORP, INC.

    Brookline Bancorp, Inc., a bank holding company with $11.7 billion in assets and branch locations in Massachusetts, Rhode Island, and the Lower Hudson Valley of New York State, is headquartered in Boston, Massachusetts and operates as the holding company for Brookline Bank, Bank Rhode Island, and PCSB Bank (the “banks”). The Company provides commercial and retail banking services, cash management and investment services to customers throughout Central New England and the Lower Hudson Valley of New York State. More information about Brookline Bancorp, Inc. and its banks can be found at the following websites: www.brooklinebank.com, www.bankri.com and www.pcsb.com.

    FORWARD-LOOKING STATEMENTS

    Certain statements contained in this press release that are not historical facts may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We may also make forward-looking statements in other documents we file with the Securities and Exchange Commission (“SEC”), in our annual reports to shareholders, in press releases and other written materials, and in oral statements made by our officers, directors or employees. You can identify forward looking statements by the use of the words “believe,” “expect,” “anticipate,” “intend,” “estimate,” “assume,” “outlook,” “will,” “should,” and other expressions that predict or indicate future events and trends and which do not relate to historical matters, including statements regarding the Company’s business, credit quality, financial condition, liquidity and results of operations. Forward-looking statements may differ, possibly materially, from what is included in this press release due to factors and future developments that are uncertain and beyond the scope of the Company’s control. These include, but are not limited to, changes in interest rates; general economic conditions (including inflation and concerns about liquidity) on a national basis or in the local markets in which the Company operates; turbulence in the capital and debt markets; competitive pressures from other financial institutions; changes in consumer behavior due to changing political, business and economic conditions, or legislative or regulatory initiatives; changes in the value of securities and other assets in the Company’s investment portfolio; increases in loan and lease default and charge-off rates; the adequacy of allowances for loan and lease losses; decreases in deposit levels that necessitate increases in borrowing to fund loans and investments; operational risks including, but not limited to, cybersecurity incidents, fraud, natural disasters, and future pandemics; changes in regulation; the possibility that future credit losses may be higher than currently expected due to changes in economic assumptions and adverse economic developments; the risk that goodwill and intangibles recorded in the Company’s financial statements will become impaired; and changes in assumptions used in making such forward-looking statements. Forward-looking statements involve risks and uncertainties which are difficult to predict. The Company’s actual results could differ materially from those projected in the forward-looking statements as a result of, among others, the risks outlined in the Company’s Annual Report on Form 10-K, as updated by its Quarterly Reports on Form 10-Q and other filings submitted to the SEC. The Company does not undertake any obligation to update any forward-looking statement to reflect circumstances or events that occur after the date the forward-looking statements are made.

    BASIS OF PRESENTATION

    The Company’s consolidated financial statements have been prepared in conformity with generally accepted accounting principles (“GAAP”) as set forth by the Financial Accounting Standards Board in its Accounting Standards Codification and through the rules and interpretive releases of the SEC under the authority of federal securities laws. Certain amounts previously reported have been reclassified to conform to the current period’s presentation.

    NON-GAAP FINANCIAL MEASURES

    The Company uses certain non-GAAP financial measures, such as operating earnings after tax, operating earnings per common share, operating return on average assets, operating return on average tangible assets, operating return on average stockholders’ equity, operating return on average tangible stockholders’ equity, tangible book value per common share, tangible stockholders’ equity to tangible assets, return on average tangible assets (annualized) and return on average tangible stockholders’ equity (annualized). These non-GAAP financial measures provide information for investors to effectively analyze financial trends of ongoing business activities, and to enhance comparability with peers across the financial services sector. A detailed reconciliation table of the Company’s GAAP to the non-GAAP measures is attached.

    INVESTOR RELATIONS:

    Contact: Carl M. Carlson
      Brookline Bancorp, Inc.
      Co-President and Chief Financial and Strategy Officer
      (617) 425-5331
      carl.carlson@brkl.com
    BROOKLINE BANCORP, INC. AND SUBSIDIARIES
    Selected Financial Highlights (Unaudited)
     
      At and for the Three Months Ended  
      September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023    		   September 30,
    2023    		  
      (Dollars In Thousands Except per Share Data)  
    Earnings Data:                    
    Net interest income $ 83,008   $ 80,001   $ 81,588   $ 83,555   $ 84,070  
    Provision for credit losses on loans 4,832   5,607   7,423   3,851   2,947  
    Provision (credit) for credit losses on investments (172)   (39)   (44)   (76)   84  
    Non-interest income 6,348   6,396   6,284   8,027   5,508  
    Non-interest expense 57,948   59,184   61,014   59,244   57,679  
    Income before provision for income taxes 26,748   21,645   19,479   28,563   28,868  
    Net income 20,142   16,372   14,665   22,888   22,701  
                         
    Performance Ratios:                    
    Net interest margin (1) 3.07 % 3.00 % 3.06 % 3.15 % 3.18 %
    Interest-rate spread (1) 2.26 % 2.14 % 2.21 % 2.39 % 2.45 %
    Return on average assets (annualized) 0.70 % 0.57 % 0.51 % 0.81 % 0.81 %
    Return on average tangible assets (annualized) (non-GAAP) 0.72 % 0.59 % 0.53 % 0.83 % 0.83 %
    Return on average stockholders’ equity (annualized) 6.63 % 5.49 % 4.88 % 7.82 % 7.78 %
    Return on average tangible stockholders’ equity (annualized) (non-GAAP) 8.44 % 7.04 % 6.26 % 10.12 % 10.09 %
    Efficiency ratio (2) 64.85 % 68.50 % 69.44 % 64.69 % 64.39 %
                         
    Per Common Share Data:                    
    Net income — Basic $ 0.23   $ 0.18   $ 0.16   $ 0.26   $ 0.26  
    Net income — Diluted 0.23   0.18   0.16   0.26   0.26  
    Cash dividends declared 0.135   0.135   0.135   0.135   0.135  
    Book value per share (end of period) 13.81   13.48   13.43   13.48   13.03  
    Tangible book value per share (end of period) (non-GAAP) 10.89   10.53   10.47   10.50   10.02  
    Stock price (end of period) 10.09   8.35   9.96   10.91   9.11  
                         
    Balance Sheet:                    
    Total assets $ 11,676,721   $ 11,635,292   $ 11,542,731   $ 11,382,256   $ 11,180,555  
    Total loans and leases 9,755,236   9,721,137   9,655,086   9,641,589   9,380,782  
    Total deposits 8,732,271   8,737,036   8,718,653   8,548,125   8,566,013  
    Total stockholders’ equity 1,230,362   1,198,480   1,194,231   1,198,644   1,157,871  
                         
    Asset Quality:                    
    Nonperforming assets $ 72,821   $ 62,683   $ 42,489   $ 45,324   $ 51,540  
    Nonperforming assets as a percentage of total assets 0.62 % 0.54 % 0.37 % 0.40 % 0.46 %
    Allowance for loan and lease losses $ 127,316   $ 121,750   $ 120,124   $ 117,522   $ 119,081  
    Allowance for loan and lease losses as a percentage of total loans and leases 1.31 % 1.25 % 1.24 % 1.22 % 1.27 %
    Net loan and lease charge-offs $ 3,808   $ 8,387   $ 8,781   $ 7,141   $ 10,974  
    Net loan and lease charge-offs as a percentage of average loans and leases (annualized) 0.16 % 0.35 % 0.36 % 0.30 % 0.47 %
                         
    Capital Ratios:                    
    Stockholders’ equity to total assets 10.54 % 10.30 % 10.35 % 10.53 % 10.36 %
    Tangible stockholders’ equity to tangible assets (non-GAAP) 8.50 % 8.23 % 8.25 % 8.39 % 8.16 %
                         
    (1) Calculated on a fully tax-equivalent basis.
    (2) Calculated as non-interest expense as a percentage of net interest income plus non-interest income.
    BROOKLINE BANCORP, INC. AND SUBSIDIARIES
    Consolidated Balance Sheets (Unaudited)    		  
                         
      September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023    		   September 30,
    2023    		  
    ASSETS (In Thousands Except Share Data)  
    Cash and due from banks $ 82,168   $ 60,067   $ 45,708   $ 34,514   $ 33,506  
    Short-term investments 325,721   283,017   256,178   98,513   127,495  
    Total cash and cash equivalents 407,889   343,084   301,886   133,027   161,001  
    Investment securities available-for-sale 855,391   856,439   865,798   916,601   880,412  
    Total investment securities 855,391   856,439   865,798   916,601   880,412  
    Allowance for investment security losses (186 ) (359 ) (398 ) (441 ) (517 )
    Net investment securities 855,205   856,080   865,400   916,160   879,895  
    Loans and leases held-for-sale —   —   6,717   —   —  
    Loans and leases:                    
    Commercial real estate loans 5,779,290   5,782,111   5,755,239   5,764,529   5,669,768  
    Commercial loans and leases 2,453,038   2,443,530   2,416,904   2,399,668   2,241,375  
    Consumer loans 1,522,908   1,495,496   1,482,943   1,477,392   1,469,639  
    Total loans and leases 9,755,236   9,721,137   9,655,086   9,641,589   9,380,782  
    Allowance for loan and lease losses (127,316 ) (121,750 ) (120,124 ) (117,522 ) (119,081 )
    Net loans and leases 9,627,920   9,599,387   9,534,962   9,524,067   9,261,701  
    Restricted equity securities 82,675   78,963   74,709   77,595   65,460  
    Premises and equipment, net of accumulated depreciation 86,925   88,378   89,707   89,853   90,476  
    Right-of-use asset operating leases 41,934   35,691   33,133   30,863   31,619  
    Deferred tax asset 50,827   60,032   60,484   56,952   74,491  
    Goodwill 241,222   241,222   241,222   241,222   241,222  
    Identified intangible assets, net of accumulated amortization 19,162   20,830   22,499   24,207   26,172  
    Other real estate owned and repossessed assets 1,579   1,974   1,817   1,694   299  
    Other assets 261,383   309,651   310,195   286,616   348,219  
    Total assets $ 11,676,721   $ 11,635,292   $ 11,542,731   $ 11,382,256   $ 11,180,555  
    LIABILITIES AND STOCKHOLDERS’ EQUITY                    
    Deposits:                    
    Demand checking accounts $ 1,681,858   $ 1,638,378   $ 1,629,371   $ 1,678,406   $ 1,745,137  
    NOW accounts 637,374   647,370   654,748   661,863   647,476  
    Savings accounts 1,736,989   1,735,857   1,727,893   1,669,018   1,625,804  
    Money market accounts 2,041,185   2,073,557   2,065,569   2,082,810   2,161,359  
    Certificate of deposit accounts 1,819,353   1,718,414   1,670,147   1,574,855   1,491,844  
    Brokered deposit accounts 815,512   923,460   970,925   881,173   894,393  
    Total deposits 8,732,271   8,737,036   8,718,653   8,548,125   8,566,013  
    Borrowed funds:                    
    Advances from the FHLB 1,345,003   1,265,079   1,150,153   1,223,226   899,304  
    Subordinated debentures and notes 84,293   84,258   84,223   84,188   84,152  
    Other borrowed funds 68,251   80,125   127,505   69,256   151,612  
    Total borrowed funds 1,497,547   1,429,462   1,361,881   1,376,670   1,135,068  
    Operating lease liabilities 43,266   37,102   34,235   31,998   32,807  
    Mortgagors’ escrow accounts 14,456   17,117   16,245   17,239   12,578  
    Reserve for unfunded credits 6,859   11,400   15,807   19,767   21,497  
    Accrued expenses and other liabilities 151,960   204,695   201,679   189,813   254,721  
    Total liabilities 10,446,359   10,436,812   10,348,500   10,183,612   10,022,684  
    Stockholders’ equity:                    
    Common stock, $0.01 par value; 200,000,000 shares authorized; 96,998,075 shares issued, 96,998,075 shares issued, 96,998,075 shares issued, 96,998,075 shares issued, and 96,998,075 shares issued, respectively 970   970   970   970   970  
    Additional paid-in capital 901,562   904,775   903,726   902,659   901,376  
    Retained earnings 453,555   445,560   441,285   438,722   427,937  
    Accumulated other comprehensive income (38,081 ) (61,693 ) (60,841 ) (52,798 ) (81,541 )
    Treasury stock, at cost;                    
    7,015,843, 7,373,009, 7,354,399, 7,354,399 and 7,350,981 shares, respectively (87,644 ) (91,132 ) (90,909 ) (90,909 ) (90,871 )
    Total stockholders’ equity 1,230,362   1,198,480   1,194,231   1,198,644   1,157,871  
    Total liabilities and stockholders’ equity $ 11,676,721   $ 11,635,292   $ 11,542,731   $ 11,382,256   $ 11,180,555  
    BROOKLINE BANCORP, INC. AND SUBSIDIARIES
    Consolidated Statements of Income (Unaudited)
      Three Months Ended
      September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023    		   September 30,
    2023
      (In Thousands Except Share Data)
    Interest and dividend income:                  
    Loans and leases $ 149,643   $ 145,585   $ 145,265   $ 142,948   $ 136,561
    Debt securities 6,473   6,480   6,878   6,945   6,799
    Restricted equity securities 1,458   1,376   1,492   1,333   1,310
    Short-term investments 1,986   1,914   1,824   1,093   2,390
    Total interest and dividend income 159,560   155,355   155,459   152,319   147,060
    Interest expense:                  
    Deposits 59,796   59,721   56,884   54,034   49,116
    Borrowed funds 16,756   15,633   16,987   14,730   13,874
    Total interest expense 76,552   75,354   73,871   68,764   62,990
    Net interest income 83,008   80,001   81,588   83,555   84,070
    Provision for credit losses on loans 4,832   5,607   7,423   3,851   2,947
    Provision (credit) for credit losses on investments (172 ) (39 ) (44 ) (76 ) 84
    Net interest income after provision for credit losses 78,348   74,433   74,209   79,780   81,039
    Non-interest income:                  
    Deposit fees 2,353   3,001   2,897   3,064   3,024
    Loan fees 464   702   789   515   639
    Loan level derivative income, net —   106   437   778   376
    Gain on sales of loans and leases held-for-sale 415   130   —   410   225
    Other 3,116   2,457   2,161   3,260   1,244
    Total non-interest income 6,348   6,396   6,284   8,027   5,508
    Non-interest expense:                  
    Compensation and employee benefits 35,130   34,762   36,629   35,401   33,491
    Occupancy 5,343   5,551   5,769   5,127   4,983
    Equipment and data processing 6,831   6,732   7,031   7,245   6,766
    Professional services 2,143   1,745   1,900   1,442   2,368
    FDIC insurance 2,118   2,025   1,884   1,839   2,152
    Advertising and marketing 859   1,504   1,574   758   1,174
    Amortization of identified intangible assets 1,668   1,669   1,708   1,965   1,955
    Merger and restructuring expense —   823   —   —   —
    Other 3,856   4,373   4,519   5,467   4,790
    Total non-interest expense 57,948   59,184   61,014   59,244   57,679
    Income before provision for income taxes 26,748   21,645   19,479   28,563   28,868
    Provision for income taxes 6,606   5,273   4,814   5,675   6,167
    Net income $ 20,142   $ 16,372   $ 14,665   $ 22,888   $ 22,701
    Earnings per common share:                  
    Basic $ 0.23   $ 0.18   $ 0.16   $ 0.26   $ 0.26
    Diluted $ 0.23   $ 0.18   $ 0.16   $ 0.26   $ 0.26
    Weighted average common shares outstanding during the period:                  
    Basic 89,033,463   88,904,692   88,894,577   88,867,159   88,795,270
    Diluted 89,319,611   89,222,315   89,181,508   89,035,505   88,971,210
    Dividends paid per common share $ 0.135   $ 0.135   $ 0.135   $ 0.135   $ 0.135
    BROOKLINE BANCORP, INC. AND SUBSIDIARIES
    Consolidated Statements of Income (Unaudited)
     
      Nine Months Ended September 30,
      2024   2023
      (In Thousands Except Share Data)
    Interest and dividend income:      
    Loans and leases $            440,493   $            390,791
    Debt securities 19,831   22,703
    Restricted equity securities 4,326   4,238
    Short-term investments 5,724   7,236
    Total interest and dividend income 470,374   424,968
    Interest expense:      
    Deposits 176,401   121,631
    Borrowed funds 49,376   47,181
    Total interest expense 225,777   168,812
    Net interest income 244,597   256,156
    Provision for credit losses on loans 17,862   34,017
    Provision (credit) for credit losses on investments (255 ) 415
    Net interest income after provision for credit losses 226,990   221,724
    Non-interest income:      
    Deposit Fees 8,251   8,547
    Loan Fees 1,955   1,521
    Loan level derivative income, net 543   3,112
    Gain on investment securities, net —   1,704
    Gain on sales of loans and leases held-for-sale 545   2,171
    Other 7,734   6,852
    Total non-interest income 19,028   23,907
    Non-interest expense:      
    Compensation and employee benefits 106,521   103,494
    Occupancy 16,663   15,076
    Equipment and data processing 20,594   19,759
    Professional services 5,788   5,784
    FDIC insurance 6,027   6,005
    Advertising and marketing 3,937   3,966
    Amortization of identified intangible assets 5,045   5,875
    Merger and restructuring expense 823   7,411
    Other 12,748   12,910
    Total non-interest expense 178,146   180,280
    Income before provision for income taxes 67,872   65,351
    Provision for income taxes 16,693   13,240
    Net income $              51,179   $              52,111
    Earnings per common share:      
    Basic $                  0.58   $                  0.59
    Diluted $                  0.57   $                  0.59
    Weighted average common shares outstanding during the period:      
    Basic 88,944,569   88,016,190
    Diluted 89,241,470   88,253,361
    Dividends paid per common share $                0.405   $                0.405
    BROOKLINE BANCORP, INC. AND SUBSIDIARIES
    Asset Quality Analysis (Unaudited)
    		  
      At and for the Three Months Ended  
      September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023    		   September 30,
    2023    		  
      (Dollars in Thousands)  
    NONPERFORMING ASSETS:                    
    Loans and leases accounted for on a nonaccrual basis:                    
    Commercial real estate mortgage $                       11,595   $             11,659   $             18,394   $                      19,608   $                       23,263  
    Multi-family mortgage 1,751   —   —   —   1,318  
    Construction —   —   —   —   2,316  
    Total commercial real estate loans 13,346   11,659   18,394   19,608   26,897  
                         
    Commercial 15,734   16,636   3,096   3,886   5,406  
    Equipment financing 37,223   27,128   13,668   14,984   13,974  
    Total commercial loans and leases 52,957   43,764   16,764   18,870   19,380  
                         
    Residential mortgage 3,862   4,495   4,563   4,292   4,249  
    Home equity 1,076   790   950   860   713  
    Other consumer 1   1   1   —   2  
    Total consumer loans 4,939   5,286   5,514   5,152   4,964  
                         
    Total nonaccrual loans and leases 71,242   60,709   40,672   43,630   51,241  
                         
    Other real estate owned 780   780   780   780   —  
    Other repossessed assets 799   1,194   1,037   914   299  
    Total nonperforming assets $                       72,821   $             62,683   $             42,489   $                      45,324   $                       51,540  
                         
    Loans and leases past due greater than 90 days and still accruing $                       16,091   $               4,994   $                  363   $                           228   $                         1,175  
                         
    Nonperforming loans and leases as a percentage of total loans and leases 0.73 % 0.62 % 0.42 % 0.45 % 0.55 %
    Nonperforming assets as a percentage of total assets 0.62 % 0.54 % 0.37 % 0.40 % 0.46 %
                         
    PROVISION AND ALLOWANCE FOR LOAN AND LEASE LOSSES:                    
    Allowance for loan and lease losses at beginning of period $                     121,750   $           120,124   $           117,522   $                    119,081   $                     125,817  
    Charge-offs (4,183 ) (8,823 ) (5,390 ) (7,722 ) (10,978 )
    Recoveries 375   436   309   581   4  
    Net charge-offs (3,808 ) (8,387 ) (5,081 ) (7,141 ) (10,974 )
    Provision for loan and lease losses excluding unfunded commitments * 9,374   10,013   7,683   5,582   4,238  
    Allowance for loan and lease losses at end of period $                     127,316   $           121,750   $           120,124   $                    117,522   $                     119,081  
                         
    Allowance for loan and lease losses as a percentage of total loans and leases 1.31 % 1.25 % 1.24 % 1.22 % 1.27 %
                         
    NET CHARGE-OFFS:                    
    Commercial real estate loans $ —   $               3,819   $                  606   $                        1,087   $                               (3 )
    Commercial loans and leases ** 3,797   4,571   8,179   6,061   10,958  
    Consumer loans 11   (3 ) (4 ) (7 ) 19  
    Total net charge-offs $                         3,808   $               8,387   $               8,781   $                        7,141   $                       10,974  
                         
    Net loan and lease charge-offs as a percentage of average loans and leases (annualized) 0.16 % 0.35 % 0.36 % 0.30 % 0.47 %
                         
    *Provision for loan and lease losses does not include (credit) provision of $(4.5 million), $(4.4 million), $(0.3 million), $(1.7 million), and $(1.3) million for credit losses on unfunded commitments during the three months ended September 30, 2024, June 30, 2024, March 31, 2024, December 31, 2023, and September 30, 2023, respectively.
    ** The balance at March 31, 2024 includes a $3.7 million charge-off on a letter of credit which impacted the provision.
    BROOKLINE BANCORP, INC. AND SUBSIDIARIES
    Average Yields / Costs (Unaudited)
      Three Months Ended
      September 30, 2024   June 30, 2024   September 30, 2023  
      Average
    Balance    		 Interest
    (1)    		 Average
    Yield/
    Cost    		   Average
    Balance    		 Interest
    (1)    		 Average
    Yield/
    Cost    		   Average
    Balance    		 Interest
    (1)    		 Average
    Yield/
    Cost    		  
      (Dollars in Thousands)
    Assets:                        
    Interest-earning assets:                        
    Investments:                        
    Debt securities (2) $      853,924 $     6,516 3.05 % $      846,469 $     6,510 3.08 % $      887,612 $     6,840 3.08 %
    Restricted equity securities (2) 75,225 1,459 7.76 % 71,696 1,375 7.67 % 67,824 1,310 7.73 %
    Short-term investments 145,838 1,986 5.44 % 143,800 1,914 5.33 % 172,483 2,390 5.54 %
    Total investments 1,074,987 9,961 3.71 % 1,061,965 9,799 3.69 % 1,127,919 10,540 3.74 %
    Loans and Leases:                        
    Commercial real estate loans (3) 5,772,456 83,412 5.65 % 5,754,901 81,565 5.61 % 5,667,373 78,750 5.44 %
    Commercial loans (3) 1,079,084 18,440 6.69 % 1,069,154 17,672 6.54 % 939,492 15,295 6.38 %
    Equipment financing (3) 1,353,649 26,884 7.94 % 1,374,217 26,255 7.64 % 1,280,033 23,331 7.29 %
    Consumer loans (3) 1,505,095 21,123 5.60 % 1,488,587 20,291 5.46 % 1,471,985 19,237 5.21 %
    Total loans and leases 9,710,284 149,859 6.17 % 9,686,859 145,783 6.02 % 9,358,883 136,613 5.84 %
    Total interest-earning assets 10,785,271 159,820 5.93 % 10,748,824 155,582 5.79 % 10,486,802 147,153 5.61 %
    Non-interest-earning assets 666,067       704,570       693,833      
    Total assets $ 11,451,338       $ 11,453,394       $ 11,180,635      
                             
    Liabilities and Stockholders’ Equity:                        
    Interest-bearing liabilities:                        
    Deposits:                        
    NOW accounts $      639,561 1,115 0.69 % $      659,351 1,111 0.68 % $      681,929 1,159 0.67 %
    Savings accounts 1,738,756 12,098 2.77 % 1,731,388 11,874 2.76 % 1,557,911 8,859 2.26 %
    Money market accounts 2,038,048 15,466 3.02 % 2,026,780 15,520 3.08 % 2,177,528 15,785 2.88 %
    Certificates of deposit 1,768,026 20,054 4.51 % 1,699,510 18,717 4.43 % 1,444,269 12,128 3.33 %
    Brokered deposit accounts 841,067 11,063 5.23 % 958,146 12,499 5.25 % 882,351 11,185 5.03 %
    Total interest-bearing deposits 7,025,458 59,796 3.39 % 7,075,175 59,721 3.39 % 6,743,988 49,116 2.89 %
    Borrowings                        
    Advances from the FHLB 1,139,049 14,366 4.94 % 1,049,609 12,894 4.86 % 954,989 11,706 4.80 %
    Subordinated debentures and notes 84,276 1,378 6.54 % 84,241 1,375 6.53 % 84,134 1,378 6.55 %
    Other borrowed funds 53,102 1,012 7.58 % 103,753 1,364 5.29 % 117,531 790 2.67 %
    Total borrowings 1,276,427 16,756 5.14 % 1,237,603 15,633 5.00 % 1,156,654 13,874 4.69 %
    Total interest-bearing liabilities 8,301,885 76,552 3.67 % 8,312,778 75,354 3.65 % 7,900,642 62,990 3.16 %
    Non-interest-bearing liabilities:                        
    Demand checking accounts 1,669,092       1,646,869       1,794,225      
    Other non-interest-bearing liabilities 264,324       300,362       318,041      
    Total liabilities 10,235,301       10,260,009       10,012,908      
    Stockholders’ equity 1,216,037       1,193,385       1,167,727      
    Total liabilities and equity $ 11,451,338       $ 11,453,394       $ 11,180,635      
    Net interest income (tax-equivalent basis) /Interest-rate spread (4)   83,268 2.26 %   80,228 2.14 %   84,163 2.45 %
    Less adjustment of tax-exempt income   260       227       93    
    Net interest income   $   83,008       $   80,001       $   84,070    
    Net interest margin (5)     3.07 %     3.00 %     3.18 %
                             
    (1) Tax-exempt income on debt securities, equity securities and revenue bonds included in commercial real estate loans is included on a tax-equivalent basis.
    (2) Average balances include unrealized gains (losses) on investment securities. Dividend payments may not be consistent and average yield on equity securities may vary from month to month.
    (3) Loans on nonaccrual status are included in the average balances.
    (4) Interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities.
    (5) Net interest margin represents net interest income (tax-equivalent basis) divided by average interest-earning assets on an actual/actual basis.
    BROOKLINE BANCORP, INC. AND SUBSIDIARIES
    Average Yields / Costs (Unaudited)
      Nine Months Ended
      September 30, 2024   September 30, 2023  
      Average
    Balance    		 Interest
    (1)    		 Average
    Yield/
    Cost    		   Average
    Balance    		 Interest
    (1)    		 Average
    Yield/
    Cost    		  
      (Dollars in Thousands)
    Assets:                
    Interest-earning assets:                
    Investments:                
    Debt securities (2) $                   864,501 $   19,953 3.08 % $      971,855 $   22,905 3.14 %
    Restricted equity securities (2) 74,422 4,327 7.75 % 74,000 4,238 7.64 %
    Short-term investments 140,156 5,724 5.44 % 183,295 7,236 5.26 %
    Total investments 1,079,079 30,004 3.71 % 1,229,150 34,379 3.73 %
    Loans and Leases:                
    Commercial real estate loans (3) 5,763,065 246,026 5.61 % 5,629,600 225,999 5.29 %
    Commercial loans (3) 1,058,312 53,619 6.66 % 915,420 42,814 6.17 %
    Equipment financing (3) 1,367,380 80,034 7.80 % 1,253,512 66,901 7.12 %
    Consumer loans (3) 1,492,213 61,392 5.49 % 1,469,025 55,210 5.01 %
    Total loans and leases 9,680,970 441,071 6.07 % 9,267,557 390,924 5.62 %
    Total interest-earning assets 10,760,049 471,075 5.84 % 10,496,707 425,303 5.40 %
    Non-interest-earning assets 678,235       698,273      
    Total assets $              11,438,284       $ 11,194,980      
                     
    Liabilities and Stockholders’ Equity:                
    Interest-bearing liabilities:                
    Deposits:                
    NOW accounts $                   656,879 3,487 0.71 % $      741,951 3,129 0.56 %
    Savings accounts 1,721,518 35,324 2.74 % 1,365,541 17,290 1.69 %
    Money market accounts 2,047,011 46,940 3.06 % 2,227,404 41,914 2.52 %
    Certificates of deposit 1,697,477 55,443 4.36 % 1,394,338 29,605 2.84 %
    Brokered deposit accounts 898,455 35,207 5.23 % 798,800 29,693 4.97 %
    Total interest-bearing deposits 7,021,340 176,401 3.36 % 6,528,034 121,631 2.49 %
    Borrowings                
    Advances from the FHLB 1,117,809 41,893 4.92 % 1,135,845 40,524 4.70 %
    Subordinated debentures and notes 84,241 4,130 6.54 % 84,098 4,095 6.49 %
    Other borrowed funds 83,195 3,353 5.38 % 120,825 2,562 2.83 %
    Total borrowings 1,285,245 49,376 5.05 % 1,340,768 47,181 4.64 %
    Total interest-bearing liabilities 8,306,585 225,777 3.63 % 7,868,802 168,812 2.87 %
    Non-interest-bearing liabilities:                
    Demand checking accounts 1,646,932       1,857,429      
    Other non-interest-bearing liabilities 280,947       301,543      
    Total liabilities 10,234,464       10,027,774      
    Stockholders’ equity 1,203,820       1,167,206      
    Total liabilities and equity $              11,438,284       $ 11,194,980      
    Net interest income (tax-equivalent basis) /Interest-rate spread (4)   245,298 2.21 %   256,491 2.53 %
    Less adjustment of tax-exempt income   701       335    
    Net interest income   $ 244,597       $ 256,156    
    Net interest margin (5)     3.05 %     3.27 %
                     
    (1) Tax-exempt income on debt securities, equity securities and revenue bonds included in commercial real estate loans is included on a tax-equivalent basis.
    (2) Average balances include unrealized gains (losses) on investment securities. Dividend payments may not be consistent and average yield on equity securities may vary from month to month.
    (3) Loans on nonaccrual status are included in the average balances.
    (4) Interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities.
    (5) Net interest margin represents net interest income (tax-equivalent basis) divided by average interest-earning assets on an actual/actual basis.
    BROOKLINE BANCORP, INC. AND SUBSIDIARIES
    Non-GAAP Financial Information (Unaudited)
                  At and for the Nine Months Ended 
     September 30,
    		  
                  2024   2023  
    Reconciliation Table – Non-GAAP Financial Information           (Dollars in Thousands Except Share Data)  
                       
    Reported Pretax Income           $                      67,872   $                       65,351  
    Less:                    
    Security gains           —   1,704  
    Add:                    
    Day 1 PCSB CECL provision           —   16,744  
    Merger and restructuring expense           823   7,411  
    Operating Pretax Income             $                      68,695   $                       87,802  
    Effective tax rate             24.6 % 20.3 %
    Provision for income taxes             16,895   17,789  
    Operating earnings after tax           $                      51,800   $                       70,013  
                         
    Operating earnings per common share:                    
    Basic             $                          0.58   $                           0.80  
    Diluted             $                          0.58   $                           0.79  
                         
    Weighted average common shares outstanding during the period:                  
    Basic             88,944,569   88,016,190  
    Diluted             89,241,470   88,253,361  
                         
    Return on average assets *           0.60 % 0.62 %
    Less:                    
    Security gains (after-tax) *           — %  0.02 %
    Add:                    
    Day 1 PCSB CECL provision (after-tax) *           — % 0.16 %
    Merger and restructuring expense (after-tax) *           0.01 % 0.07 %
    Operating return on average assets *           0.61 % 0.83 %
                         
    Return on average tangible assets *           0.61 % 0.64 %
    Less:                    
    Security gains (after-tax) *           — %  0.02 %
    Add:                    
    Day 1 PCSB CECL provision (after-tax) *           — %  0.16 %
    Merger and restructuring expense (after-tax) *           0.01 % 0.07 %
    Operating return on average tangible assets *           0.62 % 0.85 %
                         
                         
    Return on average stockholders’ equity *           5.67 % 5.95 %
    Less:                    
    Security gains (after-tax) *           — %  0.16 %
    Add:                    
    Day 1 PCSB CECL provision (after-tax) *           — % 1.53 %
    Merger and restructuring expense (after-tax) *           0.07 % 0.68 %
    Operating return on average stockholders’ equity *           5.74 % 8.00 %
                         
                         
    Return on average tangible stockholders’ equity *           7.25 % 7.76 %
    Less:                    
    Security gains (after-tax) *           — %  0.20 %
    Add:                    
    Day 1 PCSB CECL provision (after-tax) *           — % 1.99 %
    Merger and restructuring expense (after-tax) *           0.09 % 0.88 %
    Operating return on average tangible stockholders’ equity *           7.34 % 10.43 %
                         
    * Ratios at and for the nine months ended are annualized.
    There was no non-operating activity for the three months ended September 30, 2024 and September 30,2023, respectively.
       
      At and for the Three Months Ended
      September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023    		   September 30,
    2023    		  
      (Dollars in Thousands)
                                   
    Net income, as reported $                       20,142   $                 16,372   $                 14,665   $                      22,888   $                       22,701  
                         
    Average total assets $                11,451,338   $          11,453,394   $          11,417,185   $               11,271,941   $                11,180,635  
    Less: Average goodwill and average identified intangible assets, net 261,188   262,859   264,536   266,225   268,199  
    Average tangible assets $                11,190,150   $          11,190,535   $          11,152,649   $               11,005,716   $                10,912,436  
                         
    Return on average tangible assets (annualized) 0.72 % 0.59 % 0.53 % 0.83 % 0.83 %
                         
    Average total stockholders’ equity $                  1,216,037   $            1,193,385   $            1,201,904   $                 1,170,776   $                  1,167,727  
    Less: Average goodwill and average identified intangible assets, net 261,188   262,859   264,536   266,225   268,199  
    Average tangible stockholders’ equity $                     954,849   $               930,526   $               937,368   $                    904,551   $                     899,528  
                         
    Return on average tangible stockholders’ equity (annualized) 8.44 % 7.04 % 6.26 % 10.12 % 10.09 %
                         
    Total stockholders’ equity $                  1,230,362   $            1,198,480   $            1,194,231   $                 1,198,644   $                  1,157,871  
    Less:                    
    Goodwill 241,222   241,222   241,222   241,222   241,222  
    Identified intangible assets, net 19,162   20,830   22,499   24,207   26,172  
    Tangible stockholders’ equity $                     969,978   $               936,428   $               930,510   $                    933,215   $                     890,477  
                         
    Total assets $                11,676,721   $          11,635,292   $          11,542,731   $               11,382,256   $                11,180,555  
    Less:                    
    Goodwill 241,222   241,222   241,222   241,222   241,222  
    Identified intangible assets, net 19,162   20,830   22,499   24,207   26,172  
    Tangible assets $                11,416,337   $          11,373,240   $          11,279,010   $               11,116,827   $                10,913,161  
                         
    Tangible stockholders’ equity to tangible assets 8.50 % 8.23 % 8.25 % 8.39 % 8.16 %
                         
    Tangible stockholders’ equity $                     969,978   $               936,428   $               930,510   $                    933,215   $                     890,477  
                         
    Number of common shares issued 96,998,075   96,998,075   96,998,075   96,998,075   96,998,075  
    Less:                    
    Treasury shares 7,015,843   7,373,009   7,354,399   7,354,399   7,350,981  
    Unvested restricted shares 883,789   713,443   749,099   749,099   780,859  
    Number of common shares outstanding 89,098,443   88,911,623   88,894,577   88,894,577   88,866,235  
                         
    Tangible book value per common share $                         10.89   $                   10.53   $                   10.47   $                        10.50   $                         10.02  
                                   

    PDF available: http://ml.globenewswire.com/Resource/Download/6045e36a-2e9d-4b3a-b6a1-f895169b0f2d

    The MIL Network –

  • MIL-OSI United Kingdom: Visitor levy will be big boost for Edinburgh

    Source: Scottish Greens

    24 Jan 2025 Culture

    A visitor levy will raise vital funds for services.

    More in Culture

    The Scottish Greens have welcomed Edinburgh City Council’s vote to support a 5% visitor levy on hotels and overnight accommodation. It is similar to schemes already in place in popular tourist destinations across the world including Paris, Barcelona and New York.

    The power to apply a levy was secured by Scottish Green MSPs during previous budget negotiations. Edinburgh’s Green Councillors have led calls for such a levy since 2011, and presented proposals for an 8% rate.

    Edinburgh Green Cllr Alys Mumford said:

    “The idea of a visitor levy was first raised by Edinburgh’s Greens councillors more than a decade ago, and today the Council has approved an ambitious plan with green values at its heart – raising investment for public services and affordable housing.

    “While we’re disappointed that the Labour administration didn’t take the opportunity to set a more ambitious rate for the levy, as well as caving in to the demands of corporate lobbyists around the implementation timeline, it shouldn’t detract from the major step forward it represents.

    “Green Councillors across Scotland are working to implement visitor levies for their areas, and the decision Edinburgh has made will set the model for that. We look forward to visitor levies being standard practice around the country, as they are in many European countries.”

    Scottish Green MSP Lorna Slater welcomed the news, saying:

    “This will be a big boost for Edinburgh.

    “We’re incredibly fortunate that so many people want to visit our city. Tourism brings a lot of money into local economies, but our councils see very little benefit from it.

    “I’m delighted that Scottish Green Cllrs have led the call for the levy and that Green MSPs were able to deliver the powers to apply it.

    “It is a simple step that will ensure that tourists are able to contribute to the services that they are using, while providing vital funding for our local authorities.”

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Edinburgh declares Scotland’s first visitor levy

    Source: Scotland – City of Edinburgh

    Councillors have formally agreed to introduce Edinburgh’s Visitor Levy scheme.

    Hailed as a ‘historic moment for Edinburgh’, the decision was taken during a special meeting of the Council held online today (Friday 24 January) .

    From 24 July 2026, a 5% fee will be applied to the cost of overnight accommodation in Edinburgh, capped at five nights in a row. Businesses will need to apply the levy to any advance bookings made as of 1 October 2025 for stays on or after 24 July 2026.

    The levy is projected to raise up to £50 million a year once established, for the city to invest in protecting, supporting and enhancing Edinburgh’s worldwide appeal as a place to live and visit.

    The final proposals for the scheme have been updated to provide accommodation providers and booking agencies with extra time to prepare systems for advance bookings ahead of next summer’s launch.

    Responding to today’s decision, Council Leader Jane Meagher said:

    What an historic moment for Edinburgh. Introducing this ground-breaking visitor levy means realising a once in a lifetime opportunity to invest tens of millions of pounds towards enhancing and sustaining the things that make our city such a great place to visit – and live in – all year round.

    The scheme has been many years in the making and I’m grateful to Council officers, businesses and residents who have helped shape it, every step of the way. Its introduction is declared today with a huge amount of backing, not least from local residents.

    At all stages we’ve listened to and taken account of the views of industry and other stakeholders. It’s in this spirit that we’ve also extended the amount of time hoteliers and small businesses will have to prepare for the changes that are coming in.

    It’s vital that we continue to work closely as we get ready to launch this scheme and deliver the many benefits it is going to bring. We’ve always said this is a city fund and spending decisions need to be taken with a whole city mindset, and we’ll soon be establishing a Visitor Levy Forum with an independent Chair. We’ll also be reporting next steps to executive Council committees.”

    Neil Ellis, Chair of the Edinburgh Hotels Association, said:

    Edinburgh Hotels Association welcomes the introduction of the visitor levy for its intended use of improving the experience of all visitors – local, national or international – through additional spending. This is a fantastic opportunity to further enhance Edinburgh’s reputation on the World stage as a must visit destination.”

    Donald Emslie, a representative of Edinburgh’s tourism industry, said:

    This new income stream presents a unique opportunity to generate significant funds for the city’s long-term development. The levy’s potential to generate transformative funds for the benefit of all who live, work, and visit Edinburgh is well recognised and I’m pleased to see a decision made to declare a scheme which will not only support spending on city operations and infrastructure, but sustain Edinburgh’s cultural offering and destination and visitor management.”

    The agreed Visitor Levy for Edinburgh scheme:

    Scheme Objectives

    The overarching aim of the Scheme is to sustain Edinburgh’s status as one of the world’s greatest cultural and heritage cities and to ensure that the impacts of a successful visitor economy are managed effectively and in support of the priorities as set out in the Council’s Business Plan (or equivalent).

    The objectives of the Scheme are therefore to Sustain, Support and Develop:

    1. Public services, programmes and infrastructure that provide an enjoyable and safe visitor and resident experience.
    2. Edinburgh’s culture, heritage and events provision to ensure it remains world-leading and competitively attractive to visitors as well as residents.
    3. The city’s visitor economy, by fostering innovation in response to environmental and societal challenges, enhancing Edinburgh’s global reputation while promoting responsible and sustainable tourism.

    Scheme area, start date and duration

    The Scheme covers the entirety of the City of Edinburgh Council boundaries and will apply to overnight stays from 24 July 2026, booked and paid for (in part or full) on or after 1 October 2025. It will apply indefinitely, or until the Council decides to end or amend it, and at all times of the year.

    The levy rate

    The levy rate will be 5%, payable for a maximum of five consecutive nights and will apply at the same level, year-round, across the entire City of Edinburgh Council boundary area.

    Accommodation liable for the levy

    The levy will apply to all overnight accommodation, including those with an annual turnover below the applicable VAT threshold, based within the City of Edinburgh Council boundary.

    This includes:

    • Hotels;
    • Hostels;
    • Guest houses;
    • Bed and breakfast accommodation;
    • Self-catering accommodation, including short-term lets;
    • All paid accommodation on caravan sites and campsites, including temporary tent and campervan pitches;
    • Accommodation in a vehicle, or on board a vessel, which is permanently or predominantly situated in one place; and
    • Any other place at which a room or area is offered by the occupier for residential purposes otherwise than as a visitor’s only or usual place of residence.

    Certain accommodation providers may apply to the Council for a discretionary site exemption if they meet both of the following criteria:

    • The property is occupied by a charity or trustee of a charity; and
    • Overnight stays must be wholly or mainly for charitable purposes.

    This discretionary exemption is aligned with the cases where charities may receive mandatory relief from paying Non-Domestic Rates and may be cross-checked with that register.

    Accommodation providers who do not charge for overnight accommodation, or who cater fully for individuals who are exempted from paying the levy are not liable for the levy.

    Individuals exempted or excluded from paying the levy

    The Visitor Levy is payable by anyone staying in accommodation which is not their only or usual place of residence (temporary or otherwise). Individuals who do not have an only or usual place of residence are therefore not required to pay the levy. This includes people who are homeless, refugees and asylum seekers and people whose homes are unfit or unsafe for habitation. In addition, individuals defined in s. 14 (1) of the Act are exempt from paying the levy.

    Individuals who are exempt or excluded will need to pay the levy to the accommodation provider and request reimbursement from the Council, unless their accommodation has been arranged and paid for directly via the Council. Reimbursement can be applied for online, submitting relevant evidence (as detailed below and on the Council’s website) and bank details (to enable payment via BACS). Alternative provision can be made for those who do not have internet access.

    Evidence which will be required to be submitted includes:

    • The name of person exempted/excluded;
    • If exclusion applies, verification of such status from relevant official body (this can include the Council’s Homelessness service, Social services, relevant third sector provider, Police Scotland etc);
    • If exemption applies, a copy (scan/photo) of the relevant benefit award letter or similar document;
    • Booking confirmation/accommodation invoice – the name of the person exempted/excluded should be included on this document; and
    • Proof of payment for overnight accommodation.

    The Council will assess the evidence received and pay the reimbursement via bank transfer within 5 working days if the applicant is found to be eligible.

    Collecting and enforcing the levy

    Accommodation providers within the local authority area will be liable for the levy. They will be required to submit quarterly reports, detailing the total accommodation charges and the total levy collected to a national online visitor levy portal. The levy will be payable at the same time as submitting returns.

    Accommodation providers are required to keep accurate records of all transactions that are subject to the levy. The Council will conduct inspections, as required, to ensure compliance with the scheme and remittance requirements.

    Accommodation providers who fail to comply may be subject to penalties.

    Appeals relating to decisions made by the Council on the operation and/or enforcement of the scheme can be registered following the Visitor Levy appeal process detailed on the Council’s website. The Council will aim to review and process such appeals within 28 calendar days.

    Use of net proceeds

    The Act stipulates that the net proceeds of a visitor levy must be spent on facilitating the achievement of the scheme’s objectives and on “developing, supporting and sustaining facilities and services which are substantially for or used by persons visiting [overnight] for leisure or business purposes (or both)”.

    After administration costs, which includes the establishing and maintenance of a contingency fund, a fixed amount will be assigned to:

    • Housing and tourism mitigation (£5m p.a.);
    • Participatory budgeting (£2m over 3 years) with appropriate audit checks in place to ensure that these funds are spent on facilitating the achievement of the scheme’s objectives; and
    • Reimbursement of 2% of remitted funds to Accommodation Providers, to off-set the administrative cost incurred from operating in accordance with the Scheme and collecting visitor data

    The remaining funds will then be split into the following investment streams:

    • City Operations and Infrastructure (55%);
    • Culture, Heritage and Events (35%); and
    • Destination and Visitor Management (10%).

    The Council will make decisions on the use of funds after consultation with the Visitor Levy Forum (see details below), with these decisions delegated to the relevant executive Committees.

    Reviewing and changing the scheme

    The Council will review the scheme every three years to assess whether it is successfully achieving its objectives and to measure the impact of the scheme on businesses, visitors and communities. The review will be published along with a report detailing how the income has been spent and the benefits which the VL-funded projects have brought.

    If the Council wishes to make changes to the scheme following the review, it will publicly consult on the change and publish a report detailing the decision and its justification. Significant changes to the scheme will require an 18-month implementation period.

    Significant changes to the scheme include:

    • Increasing the scheme area;
    • Increasing the percentage rate; and/or
    • Removing any exemptions

    Visitor Levy Forum

    A Visitor Levy Forum will be established to discuss and advise on the VL scheme, including the review of the scheme and any modifications to the scheme. The Forum will also be consulted on how the VL funds will be spent.

    The Forum will be made up of an equal number of representatives from the community and from businesses in the city’s visitor economy and at least 40% of the representatives must be women. Council officers responsible for the investment streams and officers from the Council’s Programme Management Office will be in attendance at Forum meetings and may make recommendations to the Forum but will not be members of the Forum itself.

    The Council will report publicly and to the Scottish Government on

    • the amount we collect
    • how we use the net proceeds, (the amount collected minus costs or expenses of operating the scheme)
    • how we demonstrate that we are delivering the objectives of the Scheme.

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Storm Eowyn Update Evening Friday January 24

    Source: Scotland – City of Dundee

    Dundee City Council is providing an update on waste services as Storm Eowyn passes through the city following a day of disruption.

    Re-arranged collections will be put in place after services were stood down on Friday.

    These are:

    · Grey bin (general waste) collections that were scheduled for Friday January 24 will now be collected on Monday January 27.

    · Any bulky uplifts that were scheduled for Friday January 24 will now be uplifted on Monday January 27.

    · Blue bin (paper/cardboard) collections that were scheduled for Friday January 24 will now take place on Wednesday January 29

    Burgundy bin (metals, plastics, cartons) and food waste collections will be uplifted at the next scheduled pick-up day.

    Commercial waste (including recycling) collections will also be uplifted at the next scheduled date.

    Baldovie & Riverside Household Waste Recycling centres will re-open on Saturday January 25 subject to site inspections.

    Yellow weather warnings for snow, ice and wind remain in place for the city on Saturday and further disruption is possible.

    The council will provide updates on arrangements for the reopening of Council buildings in due course. For the latest information on all our services, please visit our Storm Éowyn page.

    Updates will also be posted on our social media channels, including Facebook and X

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Avian Influenza Prevention Zone declared for whole of England

    Source: United Kingdom – Executive Government & Departments 2

    Mandatory enhanced biosecurity will now be required and the housing order extended to cover York, North Yorkshire and Shropshire.

    The UK Chief Veterinary Officer has ordered a new  Avian Influenza Prevention Zone AIPZ to cover the whole of England from noon on Saturday 25 January following the escalating number of cases of avian influenza and continued heightened risk levels in wild birds.

    The move will require keepers to conduct enhanced biosecurity to mitigate the risk of further outbreaks of the disease.

    A Housing Order has also been extended in the north of England to now cover York and North Yorkshire, and a new Housing Order has been ordered for Shropshire following an outbreak in the county. This will come into force at 00:01 on Monday 27th January.

    A housing order remains in in force across East Riding of Yorkshire, City of Kingston Upon Hull, Lincolnshire, Norfolk, Suffolk. Areas with Housing Orders require the strictest levels of biosecurity as set out by the AIPZ.

    Mandatory housing also applies in any 3km Protection Zone surrounding an infected premises.

    The current risk to human health remains very low and as standard, properly cooked poultry and poultry products, including eggs, are safe to eat. UKHSA remains vigilant for any evidence of changing levels of risk and are keeping this under constant review.

    UK Chief Veterinary Officer, Christine Middlemiss said: > > Given the continued increase in the number of bird flu cases across England, we are taking further action to try and prevent the further spread of disease. > > I urge bird keepers to check which requirements apply to them, to continue to exercise robust biosecurity measures, remain alert for any signs of disease and report suspected disease immediately to the Animal and Plant Health Agency.

    The AIPZ measures apply to all bird keepers whether they have pet birds, commercial flocks or just a few birds in a backyard flock and are essential to protecting flocks from avian influenza.

    Bird keepers are advised to consult the Interactive Map on gov.uk to check if they are impacted and should then read the AIPZ declaration relevant to their area – either the regional AIPZ with housing measures which sets out the requirements in East Riding of Yorkshire, City of Kingston Upon Hull, Lincolnshire, Norfolk, Suffolk, Shropshire, York and North Yorkshire, or the regional AIPZ without housing measures for all other areas of England.

    Further information on the latest situation and guidance to help bird keepers comply with the new rules is available via gov.uk/birdflu, but includes measures such as cleansing and disinfect clothing, footwear, equipment and vehicles before and after contact with poultry and captive birds– if practical, use disposable protective clothing.

    Keepers are encouraged to take action to prevent bird flu and stop it spreading. Be vigilant for signs of disease and report it to keep your birds safe.

    Check if you’re in a bird flu disease zone on the map and check the [declarations] (https://www.gov.uk/animal-disease-cases-england) for details of the restrictions and gov.uk/birdflu for further advice and information.

    The AIPZs will be in place until further notice and will be kept under regular review as part of the government’s work to monitor and manage the risks of avian influenza.

    Updates to this page

    Published 24 January 2025

    MIL OSI United Kingdom –

  • MIL-OSI USA: ICE ERO Boston arrests Haitian gang member with numerous convictions

    Source: US Immigration and Customs Enforcement

    BOSTON – U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations Boston apprehended an illegally present 25-year-old Haitian national who has 17 criminal convictions in Massachusetts. ICE officers from ERO Boston arrested Wisteguens Jean Quely Charles, a member of a violent Haitian street gang, in Boston Jan. 22. Charles’ convictions include multiple drug, weapons, and assault and battery crimes.

    “Mr. Charles illegally entered the United States and has consistently broken our laws causing significant harm to the residents of Massachusetts,” said acting Field Office Director Patricia H. Hyde. “ERO Boston will not tolerate the repeated victimization of our New England neighborhoods. We will continue our mission to apprehend such illegal alien offenders and remove them from our communities.”

    Charles entered the U.S. lawfully July 13, 2013 in Miami, Florida; however, he violated the terms of his lawful admission.

    Charles has been arrested, charged, and convicted for 17 crimes between Aug. 16, 2022, and Aug. 14, 2024, including both possession of and possession to distribute controlled substances, distribution of controlled substances, trespassing, carrying dangerous weapon to wit brass knuckles, possession of a firearm without a permit and possession of ammunition without a permit, assault and battery with a dangerous weapon, assault and battery, and resisting arrest.

    ICE ERO encountered Charles April 15, 2023, following one of these arrests. ERO Boston issued an immigration detainer against Charles with the Norfolk House of Correction in Massachusetts. However, the correctional facility released Charles Oct. 20, 2023, without honoring the immigration detainer.

    Officers with ICE ERO Boston arrested Charles Jan. 22, in Boston and issued him a Notice to Appear before a DOJ immigration judge, and he remains in ICE custody.

    As one of ICE’s three operational directorates, ERO is the principal federal law enforcement authority in charge of domestic immigration enforcement. ERO’s mission is to protect the homeland through the arrest and removal of those who undermine the safety of U.S. communities and the integrity of U.S. immigration laws, and its primary areas of focus are interior enforcement operations, management of the agency’s detained and non-detained populations, and repatriation of noncitizens who have received final orders of removal. ERO’s workforce consists of more than 7,700 law enforcement and non-law enforcement support personnel across 25 domestic field offices and 208 locations nationwide, 30 overseas postings, and multiple temporary duty travel assignments along the border.

    Members of the public with information regarding child sex offenders can report crimes or suspicious activity by dialing the ICE Tip Line at 866-DHS-2-ICE (866-347-2423) or completing the online tip form.

    Learn more about ERO Boston’s mission to increase public safety in our New England communities on X, formerly known as Twitter, at @EROBoston.

    MIL OSI USA News –

  • MIL-OSI United Kingdom: North West trunk road network ready for Storm Eowyn

    Source: Scotland – Highland Council

    The Met Office has issued a red weather warning for wind affecting most of central and southern Scotland from 10am until 5pm today, Friday 24 January. This means very dangerous conditions and significant disruption, particularly in coastal areas.

    Police Scotland are advising the public not to travel in, or to, the areas affected by the red warning during the period of the weather.

    Transport Scotland’s operating company BEAR Scotland is mobilised and ready to deal with whatever Storm Éowyn brings to North West Scotland’s trunk roads, where safe to do so.

    All road works that were scheduled today have been postponed and new programme dates will be shared in due course.

    Ian Stewart, BEAR Scotland’s North West representative, said: “Conditions are expected to be hazardous across the network and Police Scotland have issued a warning not to travel to the areas affected by the red weather warning. We urge the public to pay close attention to weather warnings and comply with police advice to avoid travel during the storm.

    “Our teams will be fully mobilised to respond to and deal with any issues that arise on the trunk road network, such as fallen trees, flooding or bridge closures.”

    A video explaining how BEAR Scotland monitors and prepares for storms can be viewed here: https://youtu.be/ffmNM1HxX2Y

    Live traffic information is available from Traffic Scotland at http://www.traffic.gov.scot or on X at @trafficscotland.

    24 Jan 2025

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: An open letter to the Minister for Public Finance

    Source: Scotland – City of Edinburgh

    The Council Leader has formally written to the Scottish Government to declare Edinburgh’s intention to launch a Visitor Levy.

    Writing today (24 January) following the Council’s decision to introduce a Visitor Levy scheme, Council Leader Jane Meagher addresses the Minister for Public Finance, Ivan McKee.

    The letter states:

    Dear Minister for Public Finance,

    I am writing to formally declare Edinburgh’s intention to introduce a Visitor Levy scheme.

    A full public consultation period was carried out from 23 September 2024 – 15 December 2024, with the results published in a report with the final recommended scheme.

    During a Council meeting today, the details of our Scheme were agreed and will see a levy in place from 24 July 2026, applying to all bookings made on and after 1 October 2025. The full final scheme is available on our website.

    The overarching aim of the scheme and the reason for us to agree to proceed with it is to sustain Edinburgh’s status as one of the world’s greatest cultural and heritage cities and to ensure that the impacts of a successful visitor economy are managed effectively and in support of the priorities as set out in the Council’s Business Plan.

    I would like to thank you and the work of the Visitor Levy (Scotland) Bill team. In advancing the legislation, the Scottish Government is giving Councils greater financial responsibility and strengthening local democracy.

    I am immensely proud that Edinburgh becomes the first city in Scotland to declare a levy. We were named Europe’s leading sustainable destination 2023 by the World Travel Awards and Edinburgh continues to be a world class destination with around 4 million visitors a year and a growing economy.

    The visitor levy will help boost the tourism industry with funds re-invested back into local facilities and services that will support the sustainable growth of the visitor economy. This new source of funding is urgently needed to sustain local services and spaces used by visitors and locals alike.

    I look forward to continued working between the City of Edinburgh Council and the Scottish Government as we enter the implementation period.

    Yours sincerely

    Jane Meagher

    Leader of the City of Edinburgh Council

    Published: January 24th 2025

    MIL OSI United Kingdom –

  • MIL-OSI Russia: January 25 is the day of the legal end of the war between the USSR and Germany

    Translation. Region: Russian Federation –

    Source: State University of Management – Official website of the State –

    On June 22, 1941, Nazi German troops treacherously invaded the territory of the Soviet Union, marking the beginning of the bloodiest war in history.

    The Second World War in Europe ended on May 9, 1945, when Germany signed the act of surrender. But legally, the Soviet Union stopped considering Germany an enemy only on January 25, 1955. On that day, the Decree of the Presidium of the Supreme Soviet of the USSR “On the termination of the state of war between the Soviet Union and Germany” was issued.

    Why did it take 10 years between the end of the fighting and this decree? The document itself explains that at the Potsdam Conference in 1945, the victorious countries decided that Germany should become a united, peaceful and democratic country. It was also decided that a peace treaty should be signed with Germany.

    But 10 years passed and Germany was still divided and there was no peace treaty. The Soviet government believed that this was wrong and that the German people should not be in an unequal position compared to other nations.

    The decree stated that the USA, England and France were doing everything to ensure that West Germany rearmed and joined military alliances. This prevented an agreement to unite Germany on peaceful terms and sign a peace treaty.

    Despite this, the Soviet leadership decided to put an end to these difficult relations and declare peace with Germany.

    “Having in mind the strengthening and development of friendly relations between the Soviet Union and the German Democratic Republic, based on the recognition of the principles of sovereignty and equality, taking into account the opinion of the Government of the German Democratic Republic and taking into account the interests of the population of both East and West Germany.

    The Presidium of the Supreme Soviet of the USSR by this Decree declares:

    The state of war between the Soviet Union and Germany is terminated and peaceful relations are established between them. All legal restrictions arising in connection with the war with respect to German citizens who were considered citizens of an enemy state are no longer in force. The declaration of the termination of the state of war with Germany does not change its international obligations and does not affect the rights and obligations of the Soviet Union arising from existing international agreements of the four powers concerning Germany as a whole.”

    The document was signed by the Chairman and Secretary of the Presidium of the Supreme Soviet of the USSR K. Voroshilov and N. Pegov.

    Did you know about this fact? Share in the comments on our official pages.

    Subscribe to the TG channel “Our GUU” Date of publication: 01/25/2025

    Please note: This information is raw content directly from the source of the information. It is exactly what the source states and does not reflect the position of MIL-OSI or its clients.

    MIL OSI Russia News –

  • MIL-OSI United Kingdom: Council Service Update January 24

    Source: Northern Ireland – City of Derry

    Council Service Update January 24

    24 January 2025

    Council continues to work with local agencies in the ongoing emergency response to Storm Éowyn which has resulted in significant damage to roads and property throughout the City and District.

    This is compounded by the potential risk of snow and ice forecast for this evening which will make efforts to assess and repair damages even more challenging tomorrow.

    We hope to resume normal Council services as soon as it is safe to do so, but the health and safety of both staff and the general public is our first priority.

    We will begin the process of assessing any impacts on Council sites early tomorrow, but please note that further delays to services are expected.

     Bin collections

    Refuse crew will be out on the ground from 8am tomorrow to collect as many bins as possible that were scheduled for collection today, but we will only be able to do so if it is safe.  Please leave bins in a sheltered place later this evening or early tomorrow morning if you can. Any missed bins will be collected as soon as possible.

     

    Cemeteries and outdoor sites

    Efforts are being made to reopen Council cemeteries, parks, and recycling centres tomorrow morning following assessment.

    Burials will be prioritized, with a number scheduled to take place tomorrow. The cemeteries will open to the wider public as soon as they have been inspected and are safe. 

    Leisure Centres and other venues

    Leisure Centres, the Guildhall and other cultural and community venues will open tomorrow as usual following inspections.

    Grass and 3G pitches will also open subject to pitch inspections for any storm damage.

    We will continue to provide regular updates on our social media platforms and appreciate your patience and cooperation as we work towards restoring full services. Please follow the guidance of the PSNI and stay home and stay safe while warnings are in place.

     

    Emergency Information

    • Stay up to date with the weather forecast for your area and follow advice from emergency services and local authorities.

    • Further updates – Click on – UK weather warnings – Met Office

    Emergency Contact numbers:

    Emergency services 999 or 112

    Flooding Incident Line – 0300 2000 100

    NI Electricity Networks – 03457 643 643

    NI Gas Emergency Service – 0800 002 001

    NI Water – 03457 440 088

    Housing Executive – 03448 920 901

    Report a blocked road – 0300 200 7891

    For further advice see:

    • https://www.nidirect.gov.uk/camp…/be-ready-for-emergencies

    • http://www.metoffice.gov.uk/guide/weather/warnings

    • https://www.metoffice.gov.uk/…/env…/community-resilience

    • https://www.infrastructure-ni.gov.uk/…/dfi-rivers-water…

    • https://twitter.com/nidirect

    • Report a road drainage fault (https://www.nidirect.gov.uk/…/report-road-drainage-fault);

    NB – register on the Met Office website or download the Met Office app to receive weather warnings; http://www.metoffice.gov.uk/…/mobile…/weather-app

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Statement on the approval of the accounts at the Audit and Governance Committee on Wednesday 22 January

    Source: St Albans City and District

    Publication date:

    Councillor Paul de Kort, Leader of St Albans City and District Council, said:

    I am pleased that the Council’s Statements of Accounts for three previous financial years have been approved by the Audit Committee.

    This brings to an end what has been a frustrating period for us and dozens of other local authorities across the country.

    We have complied with all laws and regulations governing our financial activities and there is nothing untoward in the accounts, which have been open to public inspection.

    Unfortunately, the delays in auditing the accounts – which were out of our control – have led to some unfair criticism and speculation that can now be put to rest.

    We will move forward, look to the future and concentrate on finalising our accounts for the last financial year, 2023/24, with the way clear for them to be audited in a timely fashion.

    Jonathan Flowers, the independent Chair of the Council’s Audit and Governance Committee, said: 

    As the Council’s external auditor BDO’s report explains, delays to the auditing of local authority accounts have been a national problem due to factors which councils have been powerless to prevent.

    These range from significant staff shortages among BDO and other auditors, who have had difficulty in recruiting and retaining staff, to the adverse impact upon their work of the Covid-19 pandemic.

    The Government recognised councils were experiencing lengthy delays through no fault of their own and introduced legislation last year which allowed them to clear the backlog and start afresh.

    Auditors are now required to issue a disclaimed opinion on accounts which the backlog pressures mean they have been unable to check.

    More than 300 disclaimed opinions have been made by auditors for local authority accounts across the country. It offers no opinion rather than an approval or a non-approval and attaches no blame. 

    It is a mechanism the Government is using to reset the local audit assurance process and allow for a fresh start.

    This means that the Audit and Governance Committee have had to look to other sources of assurance in relation to our accounts such as the work of our internal audit service.

    We look forward to putting the backlog behind us, though it will be some time before any of the affected councils can get fully approved accounts because of the overhang from this issue.

    Cllr de Kort added: 

    A disclaimed opinion is what BDO have made for our accounts for the financial years, 2021/22 and 2022/23.

    For the financial year 2020/21, they have issued a modified opinion. The audit commenced for that financial year but was not completed.

    Some issues were identified during the audit but were not resolved within the time constraints. 

    These are of a technical nature, such as the method used to value land and buildings, and we don’t necessarily accept the points BDO have raised. It is a matter of judgement, and we will simply agree to disagree. 

    The important thing is that we can now put these frustrating delays behind us and with the Committee having approved the accounts, we can move on to complete our accounts for 2023/24 with the help of our new auditors, KPMG.

    Notes:

    BDO’s Audit Completion Report – Extract from the Executive Summary:

    Circumstances that affect the form and content of the auditor’s report

    There has been a deterioration in the timeliness of local audit in recent years leading to a persistent and significant backlog of audit opinions. 

    Across England, the backlog of outstanding audit opinions stood at 771 at 31 December 2023 and is estimated to increase to around 1,000 later this year. 

    In February 2024, the Department for Levelling Up, Housing and Communities published ‘Local audit delays: Joint statement on update to proposals to clear the backlog and embed timely audit’. 

    This joint statement confirmed that: “The issues facing local audit are widely recognised as multi-faceted and complex with no single cause or solution”. 

    The factors contributing to the delay in issuing an audit opinion on the financial statements of St Albans City & District Council for the year ended 31 March 2021 include, but are not limited to:

    § increased regulator expectations on auditors

    § difficulties in attracting, developing and retaining staff to perform local audit work 

    § the impact of the Covid-19 pandemic 

    Over the last year, organisations involved in the regulation and oversight of local body financial reporting and audit have been working collectively to agree a proposed solution to clear the outstanding historical audit opinions and ensure that delays do not return.

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Emotions and the law under the spotlight in new research project Understanding where emotions have received legal attention and the reasons behind it is the focus of a new research project involving the School of Law.

    Source: University of Aberdeen

    Photo credit: Katrin BolovstovaUnderstanding where emotions have received legal attention and the reasons behind it is the focus of a new research project involving the School of Law.
    ‘A History of Hurt Feelings and the Law’ will explore when, why and in what contexts people have sought legal redress for injured feelings from the 1750s through to the modern day.
    The four-year study will focus on Scotland, a small jurisdiction with a long and rich history of compensating for hurt feelings. It will combine approaches from law, history of emotions, medical history and legal history, charting how injured feelings have been identified, defined and addressed by courts.
    Dr Alice Krzanich, along with lead investigator Professor Chloë Kennedy at the University of Edinburgh and Professor Katie Barclay from Macquarie University, Australia, will work on the project following a £372,000 funding grant from the Leverhulme Trust.
    The project will explore how socially and culturally-informed ideas of selfhood, wellbeing, dignity and respect have shaped legal processes and examine how class, race and gender have affected litigation and legal decision making.
    “I am hugely excited to be undertaking this project”, says Dr Krzanich. “In law, we often focus on pecuniary remedies and the financial cost of illegal or offensive behaviour. This project though is a chance to consider how the law responds – both now and historically – to more intangible harm in the form of grief, stress, heartbreak, fright or anger. It will thus make an important contribution to the rich and ever evolving field of law and emotions.”
    The project will start in May this year and the team will include a Post-doctoral Research Fellow.

    MIL OSI United Kingdom –

  • MIL-OSI United Kingdom: Police update on Storm Éoywn

    Source: Northern Ireland City of Armagh

    The Police Service of Northern Ireland urge the public not to travel and stay indoors during Storm Éoywn.

    Assistant Chief Constable Davy Beck said: “We are now in the red weather warning phase of Storm Éoywn, which will last until 2pm this afternoon. This means there is a significant risk to life and the public should not travel during this time and stay at home.

    “There is currently severe disruption to the road network and overnight we received 70 reports of trees down and other debris on the roads. We expect this number to increase over the course of the day.

    “This is being treated as a major incident and we will continue to work with our partner agencies to assist with this operation, both throughout and after Éowyn passes. I have met with the Strategic Coordination Group and continue to keep the First Minister and deputy First Minister updated.

    “We have additional officers stood up today and will be ready to respond to calls where required. Members of the public should only contact 999 in an emergency.

    “We anticipate serious disruption across our road network, public transport,  health services and other public services. I continue to urge people be prepared and ensure you have emergency lighting such as torches easily accessible in the event of power cuts. Have ready access to additional blankets or sources of warmth in the event your heating supply is disrupted.

    “Our message is clear; do not travel, remain indoors and stay safe.”

    Details of road closures are available on the Traffic Watch NI website: https://orlo.uk/ySHmg

    MIL OSI United Kingdom –