Portfolio Performance and Resourc e Report – Final Update Report 2011/12 REGENERATION - OVERVIEW Portfolio Holder’s Comments This year, work on the Grand Central site has significantly progressed, with the appointment of Muse Developments Ltd as development partner and a £5m grant secured to upgrade the parking provision at Station.

We are attracting more people into the town centre and reported footfall is increasing. Gap Outlet, Primark, H&M, Big Yellow Storage and Infiniti have all opened this year in and around the town centre and the former Woolworths store is now occupied by Costa Coffee, River Island and Deichmann Shoes.

We are making good progress in creating new homes in the town centre, with a good start on site at Hopes Carr. There have also been two significant lettings of office space at Park Square to Jacobs and Christies.

Performance Indicators reflect the continued work within this Portfolio, remaining stable despite current economic challenges. Work continues to address unemployment and jobs continue to be created and safeguarded.

Cllr Kevin Hogg Regeneration Portfolio Holder Executive Summary Tackling youth unemployment has been a focus at local, regional and national level bringing with it an array of new initiatives. Work to develop the Commitment to Youth Employment has proved successful and will create up to 195 Pre-Apprenticeship employment opportunities for young unemployed Stockport residents. The Enhanced Next Step project in the Priority Areas exceeded its target of number of people to support by 28%.

This year, funding secured totals £8.859m and total funds supported is £17.9million, additional pipeline funding includes further Heritage Lottery Funding for the Future Skills project and for physical regeneration projects in the town centre. A total of 81 new business starts were supported; 1074 jobs were created and 619 jobs safeguarded.

Following the appointment of Muse Developments as development partner at Grand Central, this quarter has seen work progress on site with the demolition of the former Tenpin bowling site, Looking forward, a start on the office scheme with hotel is anticipated to commence early 2014.

A bid for Stockport to become a Portas Pilot was submitted and £100k secured from the High Street Innovation Fund to address the problem of empty shops.

The new National Planning Policy Framework (NPPF) came into force on 27 th March 2012, considered to provide greater flexibility to meet local development needs whilst giving significant support for a sustainable approach to planning and the built environment.

Planning permission was granted for the redevelopment of the Dialstone Centre, Blackstone Fields, Stockport College campus and the final units on S:Park.

Portfolio Performance and Resourc e Report – Final Update Report 2011/12 Revenue Budget Capital Programme

£000 £000 Cash Limit 2,482 2011/12 Allocation 477 Forecast Outturn 2,482 2012/13 Allocation 6,313 (Surplus)/Deficit 0 Capital Expenditure to date 477 2011/12

Earmarked Reserves 216

Capital Financing

Performance Indicator Summary (Annual trend: Actual/ Forecast 2011/12 against Actual 2010/11)

*See footnote to PI table on page 4 Portfolio Performance and Resourc e Report – Final Update Report 2011/12

1. REGENERATION – PERFORMANCE MONITORING

PI Status Annual Trends (Comparison Actual/Forecast 2011/12 outturn with 2010/11 outturn) 2011/12 outturn Value/Forecast is Improving significantly below target 2011/12 outturn Value/Forecast is below No Change target but within the Amber tolerance 2011/12 outturn Value/Forecast is on Getting Worse target or within Green tolerance (F) / (P) Forecast figure / Provisional figure

Portfolio Outcome 1: Increase employment opportunities especially for residents in priority areas Work Clubs and Learning & Employment Lounges are increasing, and the offer in Offerton is also broadening the geographical access to support. The Enhanced Next Step service in the Priority areas is now completed, and exceeded the target for the number of people to support by 71 (28%). The Employment & Skills Advisers (ESA’s) are now back to a team of two and operating in all the Neighbourhood Management areas. Additional officer support for engagement activity is also being provided until the end of June. The new Economic Wellbeing Action Plans for each of the Neighbourhood Management areas link to the Economic Development Action Plan.

Unemployment remains low compared to the national average but high in Stockport compared to recent years. The current figure for Job Seekers Allowance (JSA) is 6,450 claimants (3.6%), reflecting the current national economic situation. The unemployment rates in the Neighbourhood Management areas have seen rises in some areas in the last month, and falls in others.

The youth unemployment trend rate continues to rise in line with national trends, currently standing at 8.5% for 18-24 year olds. Tackling youth unemployment has been a focus at local, sub-regional and national level, with an array of new initiatives such as the Youth Contract being introduced, and the development of the Greater Manchester Commitment to Youth Employment. It will create up to 195 pre-apprenticeship employment opportunities for young unemployed Stockport residents. Wage subsidies, campaigns and improved pre-apprenticeship support have all been agreed by AGMA as being a key part of this.

Key initiatives are progressing, such as further development of Local Labour Agreements guidance through the planning policy process (consultation now completed), as well as the development of specific proposals for local labour clauses within the Offerton regeneration Section.106.

In February, the Environment and Economy Scrutiny received a further report on activities to tackle unemployment. Proposals to develop work experience opportunities within the Council for young unemployed residents are being taken forward with Human Resources and Job Centre Plus (JCP).

NI 151 - Latest confirmed output is 73.4% for Q1 11/12 which represents a decrease from the previous quarter (74.7%). Data for Q4 11/12 will be available October 2012.

NI 153 - Latest confirmed output is for Q2 11/12 and is 35.1%. This represents an increase from the previous quarter (35%). Data for Q4 11/12 will be available August 2012. At August 2011, there were 4,415 out of work benefit claimants from a working age population of 12,324 in the 12

Page 3 Portfolio Performance and Resourc e Report – Final Update Report 2011/12 lower super output areas. This represents an increase of 95 out of work claimants since May 2011. Since Aug 2011, the number of JSA claimants has driven increases in this indicator, rising by 7.3% across the borough making it likely this figure will continue to increase.

Next year the delivery of the GM Commitment to Youth Employment will be key to ensuring our young people in most need benefit from apprenticeship opportunities. Working in partnership with the Place Board and AESE Partnership to co-ordinate partners’ service delivery in the Neighbourhood Management areas will also be a key priority, for example maximising the take- up of training opportunities by unemployed residents, through local engagement and awareness days. Implementing and using the Local Employment & Training Supplementary Planning Document will also be a priority. A jobs fair is planned for September.

Q4 2010/11 2011/12 2011/12 PI Code PI Short Name Aim to... Annual Value Value Value Target Status Trend NI 151 Story-Telling Overall Employment rate Aim to 73.4% ST 74.7% N/A measure – no target (working-age) Maximise (F) REG01 set Percentage of working age NI 153 Story-Telling people claiming out of work Aim to 37.5% ST 37.1% N/A measure – no target benefits in the worst Minimise (F) REG02 set performing neighbourhoods *Current 2011-12 figures are forecast only, marginal variation (1.3% and 0.4%); shown here as no change

Portfolio Outcome 2: Develop skills to enable Stockport’s residents and employers to be economically competitive

Employers are still recruiting, ensuring local people can compete for vacancies by developing their skills, knowledge and labour market information is crucial. Stockport currently has a ratio of 0.28 vacancies per JSA claimant, which is above the national average, although a small decrease in the ratio from the previous quarter.

634 people have now been engaged by the Employment and Skills Advisors (ESA), with 86 helped in to employment, 48 in to training, 29 in to volunteering and 12 in to further education (REG05). A report has been taken to the Place Board setting out the current range of mainstream and locally funded support for employment and skills, and includes recommendations going forward for the level of Council support e.g. ESAs, and the level of support needed from partners to facilitate work clubs.

A template to collect data on Level 2 and Level 3 qualifications has been devised and circulated to providers in Stockport. This will provide details for Stockport as a whole and by the four neighbourhood management areas. This data will inform strategies for increasing the qualifications held by residents to enable them to compete for jobs more effectively. The current returns show that for the 2010/11 academic year, 384 people studied Level 2 qualifications (87% success rate), 1,353 studied Level 3 qualifications (94% success rate), 105 people were on Level 2 apprenticeships and 39 on Level 3 apprenticeships; more data from larger providers is still to come.

In February, a workshop to link Work Programme & European Social Fund (ESF) for Complex Families providers to local service providers was held. This was well received by all providers and local services attending, and included the development of a local directory of 'support services'. We will continue to liaise with Work Programme providers to support them to work with local services to meet client needs.

Page 4 Portfolio Performance and Resourc e Report – Final Update Report 2011/12

2012/13 will see a significant push to support employment and skills issues, particularly among young people. The ESA’s should be able to increase engagement activity as other partners have been approached to take on roles to facilitate Work Clubs. This should also lead to increased referral numbers to the ESF for Complex Families provision and the new National Careers Service, which will have a community drop-in at the central library.

A web-based database to ensure that employers, young people, teachers and parents have the knowledge and information they need to help develop career and skills development choices, as well as being able to get involved in initiatives, is being developed.

Learning and Employment are purchasing two software licences for a product that assimilates all web-advertised job vacancies and matches them to CV and skills information for individuals enters on to the system. This will allow targeted support for people seeking work by their preferred job role and geographic area, and should contribute to improving outcomes in the neighbourhood management areas.

NI 163 ST REG03 and NI 164 ST REG04 - 2011/12 data available September 2013.

Q4 2010/11 2011/12 Annual PI Code Description Aim is to... 2011/12 Trend Value Value Value Target Status Proportion of population aged NI 163 ST 19-64 for males and 19-59 for Aim to 79.5% 80.0% N/A - Story Telling N/A REG03 females qualified to at least Maximise (F) (F) Measure Level 2 or higher Proportion of population aged NI 164 ST 19-64 for males and 19-59 for Aim to 58.5% 60.0% N/A - Story Telling N/A REG04 females qualified to at least Maximise (F) (F) Measure Level 3 or higher Number of people engaged, supported and referred to Aim to REG05 appropriate employment and 409 634 634 525 Maximise skills provision by Employment and Skills Advisors

Portfolio Outcome 3: Regenerate town and district centres and priority areas

Occupancy across all district centres has remained high (REG06 ST ) and relatively constant during Q4, despite the challenges facing retail and the economy, with ongoing support for local partnerships, events and property facelift grant in district and local centres, as well as the town centre.

The town centre has seen a slight rise in vacancies (1.35% compared with Q3) (REG07 ST). One of the main factors affecting this is the number of short term 'festive period' lettings coming to an end. As new initiatives programmed for 2012-2013 start to take effect, we forecast that vacancy levels will reduce.

On 30th March 2012, following work involving many partners, agencies and individuals, the Council submitted a Stockport Town Centre Portas Pilot bid on behalf of the Town Centre Business and Retail Forum to the Department for Communities and Local Government (DCLG). In May, it was announced that Stockport had been selected as a Portas Pilot - one of just 12 chosen from 371 applicants across the country – and awarded £100,000.

On the same day that the Portas Pilot bids were submitted, as part of the DCLG's 'Portas-Plus

Page 5 Portfolio Performance and Resourc e Report – Final Update Report 2011/12 response' to the Portas Review , the Government also announced the launch of a further initiative aimed at helping tackle the issues facing town centres, the High Street Innovation Fund Grant (HSIF). Under this initiative Stockport has been awarded a grant of £100,000 to address the problem of empty shops.

The Olympic Torch, visit to Stockport (Town Centre Hub), planning continued, for arrangements to hold the celebratory event in Mersey Square on 24th June 2012. This formed part of the wider preparations carried out to welcome the torch to the borough.

Q4 is historically a period of fewer events. A number of small events and activities continued to receive support from the Council and we are actively engaged in the planning of a range of events to be held in 2012/13 which will be reported in the 2012/13 update reports.

Total funding secured this year is £8.859m, exceeding the target. Total funds supported are at £17.9million. Currently, 57 live projects supported to application stage with 24 approved so far. Examples of these include; Grand Central station; Senior Networks, older people’s project (SENS); Interreg IVB; Big Lottery Fund (BLF) Total Advocacy; development grant, Department for Work and Pensions Future Jobs Fund legacy and various Awards for All (A4A) bids.

Pipeline funding includes further Heritage Lottery Funding (HLF) for the Future Skills project and for physical regeneration projects in the town centre. Consultation has commenced on the HLF Way Forward paper which has been updated to take on new projects and funding streams. Additional Big Lottery Wellbeing funding secured for the North West Healthy Living programme for impact and change projects £589k. Continued programme management of external funds, includes Wellbeing Year 5. Recruitment for a second tranche of Heritage Skills for Future work placements has started.

Q4 2010/11 2011/12 Annual PI Code Description Aim is to... 2011/12 Trend Value Value Value Target Status Proportion of occupied retail, REG06 commercial and business Aim to N/A - Story Telling 89% 90% 90% ST premises within the Borough's Maximise Measure District Centres Proportion of occupied retail, REG07 commercial and business Aim to N/A - Story Telling 80.8% 77% 77% ST premises within the Town Maximise Measure Centre

Portfolio Outcome 4: Attract new investment and support the development of existing businesses

Total of 81 new business starts supported in 2011/12 (REG09). Intensive Start Up Support programme ended in December, having supported 61 new starts. This was replaced by an interim arrangement with both Blue Orchid and The Women's Organisation, which achieved 20 starts this quarter. Stockport was reported by BBC/Experian as having the highest increase in new businesses in the North West (increasing by 10.8% from 2009 to 2011).

A Meet the Buyer event was held in March, with a record number of purchasing teams represented, including new teams from Jacobs Engineering and Borough Care; a total of 230 businesses attended the event.

Economic Development and Regeneration supported Nelson Tool Company to obtain Regional Growth Funding via the Local Enterprise Partnership for their new investment on site. We are

Page 6 Portfolio Performance and Resourc e Report – Final Update Report 2011/12 working with them to bring the "Bloodhound" project to Stockport's schools. The Bloodhound project is an attempt at the land speed record. The project is supported wholly by business sponsorship and is being used as a vehicle to introduce engineering as an exciting and dynamic career choice to school children and to inspire a new generation of engineers. Over 4,000 schools have become involved.

We continue to engage with businesses on a one-to-one basis; this quarter, eight businesses were engaged with.

The new Business Participatory Budgeting initiative called "Business Challenge Fund" has been launched, looking for funding applications from businesses that can provide economic benefit to Stockport. Bids welcome of up to £30k.

We continue to support and respond to investment enquiries and work alongside MIDAS in promoting Stockport's assets to potential investors. At year end, recorded investment has contributed to 1,074 jobs created and 619 jobs safeguarded, with over £6.7m of investment.

The Economic Development Strategy 2012-17 and action plan was approved this quarter.

Occupancy of managed workspace and incubator floorspace increased this quarter at both Houldsworth Mill and business incubator (REG08).

Several business events and meetings have been held this quarter including; Sector network events for Finance and Professional Services; Creative sector coffee mornings and workshops; An International Women's Day Event; Stockport Economic Alliance meeting; International Trade network meeting and a Silver Entrepreneurs Network meeting. Local business forums were held in Birdhall Lane, Bramhall Moor Lane and Bredbury Industrial Estate.

Q4 2010/11 2011/12 Annual PI Code Description Aim is to... 2011/12 Trend Value Value Value Target Status % of occupied managed 60% workspace and incubator Aim to REG08 67% 64% (Average 70% floorspace actively managed for Maximise for 11/12) start up/micro businesses Number of new businesses created through programmes funded and managed by the Aim to REG09 108 81 81 57 Economic Development Team - Maximise Intensive Start Up Support and Silver Entrepreneurs

Portfolio Outcome 5: Bring forward a supply of sites and premises for development

Following the appointment of Muse Developments as development partner and the offer of a £5m grant from the Department for Transport, work has progressed to assess the appropriate size of multi-storey car park (MSCP) at Grand Central. Demolition of the former tenpin bowling site has commenced, and once demolished the site will be laid out for temporary car parking to provide continued car parking spaces during the MSCP construction. When completed (early 2014) a start on the office scheme with hotel is anticipated.

Outline plans have been drawn up for a leisure-led redevelopment on the Bridgefield site. Using these as a basis, feasibility and viability work has continued and it is now proposed to seek an outline planning consent in Qs2- 4 2013. In addition, terms have been agreed to acquire the leasehold interest in the Debenhams store. Debenhams have confirmed that they intend to carry

Page 7 Portfolio Performance and Resourc e Report – Final Update Report 2011/12 on with their successful Stockport store.

As part of the Brinnington Masterplan, the Council are using the Homes and Communities Agency (HCA) Developer Partner Panel in seeking expression of interest for a preferred developer for the residential element of the Masterplan.

Covent Garden Village Phase 2 was successful in applying for HCA Get Britain Building Funding, and due diligence is now being carried out in relation to this funding. Phase 1 is progressing on site, with completion due Spring 2013.

On the Woodford site, a programme of public consultation has been undertaken as part of the development of the Supplementary Planning Document (SPD). Work has continued on the SPD enabled by detailed discussions with the new owners of the site. Further consultation is planned for Q1 2012/13.

Considerable work has been undertaken to progress the Allocations DPD; more detailed proposals will be subject to further consultation.

The Greater Manchester Joint Waste DPD (which will ensure that there is an adequate supply of sites available to meet future waste management needs in Stockport and the rest of GM) has been approved by the Council and the other nine Greater Manchester districts, and formally adopted as part of the borough’s Local Development Framework (LDF) on 1 st April 2012.

Work has commenced at Sainsbury’s (Cheadle Royal) on the construction of the recently approved food store extension of circa 2600 sq. gross floorspace, together with wider access and parking improvements.

On the Stockport College Heaton Moor campus, the Council has resolved to grant outline permission for the re-development of the site with up to 210 dwellings, including 25% affordable housing provision, ensuring wider community benefits for the College’s Town Centre campus.

Joint applications have recently been granted permission for the construction of a motor dealership and the erection of 11 industrial and warehousing units on land covering 2.4 hectares, to enable the continued re-development of S:Park. The developments are controlled by Section 106 Agreements to ensure that the schemes deliver training and employment opportunities to Brinnington and the wider area.

The Council has resolved to renew planning permission for the construction of a two-storey building on Cheadle Royal Business Park. The development of circa 1700 sq m of floorspace will be used as office space, training and demonstration areas for Miele and will be the northern base for their UK operation.

Q4 2010/11 2011/12 Annual PI Code Description Aim is to... 2011/12 Trend Value Value Value Target Status Sqft of office, retail and REG10 Aim to N/A - Story Telling industrial space let or sold to 550,786 263,243 653, 194 ST Maximise Measure new occupiers

Portfolio Outcome 6: Ensure a sustainable approach to planning and the built environment

An updated version of the Sustainable Design and Construction SPD has been adopted. The update takes into account adoption of the Core Strategy in 2011 as well as changing best practice and national policy. The update takes into account comments received during a six

Page 8 Portfolio Performance and Resourc e Report – Final Update Report 2011/12 week period of consultation.

Initial consideration has been given to the impact and implementation of the new National Planning Policy Framework (NPPF) which came into force on 27 th March 2012. The NPPF is considered to provide greater flexibility to meet local development needs but also gives significant support for the sustainable approach to planning and the built environment which Stockport’s planning policies already set out. The NPPF gives a slightly adjusted focus to the national approach to considering sustainability objectives but it is considered that the Stockport LDF is consistent with this. This adjusted focus is being taken into account in the preparation of new LDF documents such as the Allocations DPD and in making decisions on planning applications.

All of the largest housing developments currently under construction in the borough are on previously developed land (PDL) e.g. Mill Green, Strines, and The Coppice, Marple. We continue to prioritise the development of PDL in line with national and Council policy. The NPPF now requires Local Planning Authorities to maintain a five year supply of housing plus at least a 5% buffer. Because the borough has had less than a five-year supply for the past two years it is necessary for some flexibility to be introduced in order to ‘top-up’ the supply, otherwise the requirements of the NPPF would not be met and the borough would be less able to resist normally unacceptable or harmful development. The Core Strategy provides flexibility by allowing development of some greenfield (not previously developed) sites when the supply requirement is not being met. In the first instance, however, this extends only to the use of accessible urban sites that are not designated as open space or considered to be of amenity value. (BV 106 ST REG11)’

The majority of new housing will continue to be within walking distance of Town/District/Local Shopping Centres or in priority areas. However, figures are currently skewed by Mill Green and Parklands which do not fit this criteria. (REG12 ST). Within the town centre, Hopes Carr, the former Peaches nightclub, Royal Oak Brewery and Vesuvios are on site, bringing forward a good supply of new homes.

Q4 2010/11 2011/12 Annual PI Code Description Aim is to... 2011/12 Trend Value Value Value Target Status BV 106 Percentage of new and Aim to 90.00% N/A - Story Telling ST converted dwellings built on 92.60% N/A Maximise (F) Measure REG11 previously developed land Percentage of new housing within walking distance of REG12 Town/District/Local Shopping Aim to 55% N/A - Story Telling 70% N/A ST Centres, or within the Maximise (F) Measure neighbourhood renewal priority areas

Page 9 Portfolio Performance and Resourc e Report – Final Update Report 2011/12

2. REGENERATION – FINANCIAL MONITORING

Revenue – Cash limits Notes:

The Regeneration Portfolio is reporting a balanced budget for 2011/12. This included utilising £0.074m of the small business reserve to support the incubator facilities at Broadstone and Houldsworth Mill while the team work on increasing occupancy levels to ensure these facilities are self-supporting in the future.

Of the £0.313m awarded by the Executive for 2011/12 to support key projects in the Town Centre, £0.123m has been spent on the projects supporting the development of a Supplementary Planning Document for the site of Woodford Aerodrome, the preparation of an outline scheme and planning application for a development at Bridgefield and soft market testing for the development of the car parking strategy. The 2011/12 surplus £0.190m and the £0.178m awarded for 2012/13 will be utilised in 2012/13 to complete these pieces of work as well as an accessibility study for Phase 2 of civilising the A6 and the construction of a business case for the redevelopment of the Bus Station.

Previously Increase Revised Reported (Reduction) £’000 £’000 £’000 Cash Limit 2,482 0 2,482 Earmarked Reserves 77 139 216

1. Planning & Highways Committee Memorandum Note

£000 Cash Limit 845 Forecast Outturn 845 (Surplus)/Deficit 0

The Planning & Highways Committee is reporting a balanced position for 2011/12 which is an improvement on Qtr 3s expected deficit of £0.074m.

Capital Programme

The table below highlights the key schemes in the programme *Expenditure as at 2011/12 2012/13 2013/14 Programm Programm Programm 31 Mar 2012 Scheme e e e £000 £000 £000 £000 0 Offerton Precinct Development 0 41 0 4 Town Centre (Rivers) 4 9 0 0 Gateway Facelifting 0 118 0 0 THI Hillgate 0 100 0

Page 10 Portfolio Performance and Resourc e Report – Final Update Report 2011/12

Capital Programme Financial Support for new businesses 45 (PRG Rounds 1 & 2) 45 13 0 30 Learner Lounges (PRG Round 2) 30 0 0 Face Lift Scheme - was Vacant shops 22 occupation (2010/11 PIF) 22 31 0 0 Grand Central Purchase 0 53 0 Grand Central Development (Car 127 Parking) 127 5,007 0 148 Mealhouse Brow development 148 0 0 42 Covent Garden 42 18 0 Supporting local businesses (PIF 0 2011/12) 0 200 0 18 Bramhall Hall 18 287 0 41 Brinnington Regeneration (PRG 10/11) 41 86 0 Portas Pilot Bid match-funding (PIF 0 2012/13) 0 100 0 Contribution to Construction Learning 0 Centre in Brinnington (PIF 2012/13) 0 250 0

477 TOTAL 477 6,313 0

Capital Financing – Resources

Resources 2011/12 2012/13 2013/14 £000 £000 £000 Supported Borrowing Ringfenced 0 0 0 Non Ringfenced 0 0 0 Capital Grants 170 5,200 0 Directly Funded Borrowing 134 291 0 Unsupported Borrowing 22 682 0 Capital Receipts 90 99 0 External Contributions 58 41 0 Commuted Sums 0 0 0 Revenue Contributions (RCCO) 3 0 0

TOTAL 477 6,313 0

Capital Programme Amendments – Since Quarter 3

2011/12 2012/13 Funding Scheme £000 £000 Source Reason

Offerton Precinct Development (41) 41 Ext Cont Rephase to 2012/13 Financial Support for new (13) 13 Grant businesses (PRG Rounds 1 & 2) Rephase to 2012/13

Page 11 Portfolio Performance and Resourc e Report – Final Update Report 2011/12

Capital Programme Learner Lounges (PRG Round 2) 3 0 RCCO Additional Funding Face Lift Scheme (2010/11 PIF) (31) 31 USB Rephase to 2012/13 Grand Central Complex (53) 53 DFB Rephase to 2012/13 Grand Central Development (Car (7) 7 DFB Rephase to 2012/13 Parking) Mealhouse Brow development 58 0 Ext Cont Additional Funding Covent Garden (2) 2 Grant Rephasing to 2012/13 Bramhall Hall 84 221 Grant Virement from Leisure and DFB Portfolio Bramhall Hall (66) 66 Grant and DFB Rephase to 2012/13 Brinnington Regeneration (PRG 127 0 Grant Virement from 10/11) Communities Portfolio Brinnington Regeneration (PRG (86) 86 Grant Rephase to 2012/13 10/11) Portas Pilot Bid match-funding 0 100 USB (PIF 2012/13) Allocation of PIF 2012/13 Contribution to Construction 0 250 USB Learning Centre in Brinnington Allocation of PIF 2012/13 (PIF 2012/13)

Total (27) 870

Progress on specific schemes Offerton Precinct Development The scheme relates to a development agreement linked to the Compulsory Purchase Order and planning permission for the comprehensive development of the site.

The development is to start within six months of the Council acquiring and transferring the garage site to the developer. This will take place once all restrictions affecting the development site have been extinguished and the developer has appointed an anchor tenant and entered into contractual relationships with its existing occupational precinct tenants sufficient to enable the development works to proceed unhindered and to complete the redevelopment within three years.

The Council and the precinct owner continue to work hard to secure an anchor supermarket tenant(s) and the commercial viability and deliverability of the scheme.

The owners and prospective developers were unable to secure a viable scheme for the site in 2011/12 and therefore did not proceed with the development. As such the scheme is being rephased to 2012/13 when it is hoped that the scheme will be completed.

Town Centre (Rivers) A biodiversity study (£0.004m) has been undertaken during 2011/12, with the remaining allocation (£0.009m) being rephased to 2012/13, where it is envisaged it will be used to treat Japanese Knotweed at Hopes Carr.

Gateway Facelifting Work on this scheme is currently on hold pending the completion of recommendations around the Market Place in the Town Centre Prospectus.

The scheme is being rephased to 2012/13, where work will be progressed on signage to the

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Capital Programme Market Place.

THI Hillgate Ownership of the Peaches and High Street site passed from the Council to the developer in December 2010. Non-grant assisted works are progressing on Institute/Clarkes buildings including the addition of a new build extension to Clarkes and are due to be completed in the summer of 2012. Grant assisted work on these buildings and on the careful rebuilding and conversion of the former Peaches nightclub is progressing. The Peaches building has a scheduled completion date of end of March 2013.

The developer has opted to alter proposals for 48-50 Lower Hillgate from retail to residential use due to the current challenging retail climate. As such, the building is shortly to become the subject of a planning application, which will have an impact on the programme. Should planning permission be granted without issues, the anticipated completion date will be March 2013.

Claims for funding to cover eligible works undertaken are expected start from Q3 2012/13. As such the budget is being rephased to 2012/13.

It is possible that some of the budget will have to be rephased to 2013/14 should the planning application for 48-50 Lower Hillgate be delayed, but as yet this is uncertain.

Grand Central Scheme

Grand Central Purchase This scheme relates to the acquisition of the title to the Grand Central Scheme Wellington road north. As part of the purchase price there was a capital contribution that had been agreed for developmental work done to the offices at Grand Central by First Step Finance. Discussions are underway to confirm the value of the work which has taken place. It is anticipated that this contribution will now take place during 2012/13.

Grand Central Development - Car Parking The premises of the former public house “The Cube” form part of the Grand Central site which the council purchased in January 2010. There premises are currently vacant and provide a cost liability to the council. This project is to demolish the Cube and construct in its place a temporary car park which will provide additional spaces for Grand Central prior to the comprehensive redevelopment of the site. The additional revenue generated by these additional spaces will cover the borrowing repayments of the capital cost of construction.

Work commenced on site at the beginning of December and full completion is now expected in early 2012/13.

Mealhouse Brow Development This scheme relates to the payment of compensation following a 2001 Compulsory Purchase Order in relation to Mealhouse Brow/Lower Hillgate.

The scheme has overspent on the current programme of £0.090m. It is hoped that the Council will recover this £0.058 shortfall in full from the developer. An alternative funding source has been identified should this not happen.

Covent Garden The vision for Covent Garden Village is the creation of a high quality flagship, mixed use neighbourhood, aimed at economically active households, in a highly attractive and sustainable environment that will support existing businesses and facilitate new business investment within the

Page 13 Portfolio Performance and Resourc e Report – Final Update Report 2011/12

Capital Programme local area, and Stockport Town Centre.

Costs incurred during 2011/12 include Stamp duty (£0.027m) and Legal Advice for Housing Delivery (£0.005m), Archaeological design and assessment and Grounds Inspection of Crowther Mill (£0.010m).

£0.018m is being rephased to 2012/13 where it will be used towards site preparation and further design works.

Bramall Hall The conservation-led refurbishment of Bramall Hall, including necessary repairs and access works, is currently in Stage 1 of the HLF Process, for which SMBC has secured £0.067m of Heritage Lottery Funding in addition to £0.017m SMBC funding.

The Stage 1 Process (Developmental Stage) relates to work to determine the design of the refurbishment of the Hall, which will enable the bidding for larger scale funding for the Stage 2 Process (Project Delivery), which is hoped to be £0.933m in addition to the £0.221m SMBC funding for 2012/13.

To date £0.018m has been spent on a Bat survey and report, Access Audit and Professional/Architects fees.

The submission date for the Stage 1 HLF bid is August 2012, and work is on-going to determine the design of the refurbishment, with the £0.066m unspent in 2011/12 being rephased to 2012/13.

Performance Reward Grant Schemes

Learner Lounges (PRG 2010/11) This scheme is now complete. The quarter two spend related to final adaption works at Stonemill Terrace, for which the official opening took place in September.

The Learning and Employment Lounge is now operating at Stockport College. Recruitment events have been held in Brinnington and Adswood Learning and Employment Lounges. Drop-in Next Step sessions are now being delivered at Offerton Library. Marketing materials are now installed and being used and there is local promotion of the facilities.

Financial Support for New Businesses A total of 21 loans have been issued as at the end of 2011/12, with a value of £0.057m.

Repayments are being monitored and £0.012m has been repaid to date.

Brinnington Regeneration Plan A study of the potential of the High Rise and Walk Up flats has been completed. Three developers have expressed an interest in bringing forward new housing in Brinnington and officers are considering if further interest can be raised before proceeding.

Initial advice has been received regarding the capacity of the existing highways infrastructure.

Phase 1 Land condition surveys have been completed on key sites and topographical surveys of these sites have been commissioned.

Work is on going with the community on the design of the Welcome Signage for Brinnington.

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Capital Programme A preferred site for the new sports provision has been identified.

Two potential sites have been identified for the retail strategy for Brinnington.

Feasibility work has been commissioned to look at additional car parking and improved pedestrian accessibility around First House.

PIF 2010/11

Face Lift Scheme This project seeks to help address the problem of increasing numbers of vacant shop units. The project uses match central government funding and will be used in a number of ways to help landlords and tenants improve the appearance and use of these units.

During Quarter Four the value of completed grant claims was £0.004m, leading to a total for the year of £0.022m, approximately 42% of the funding available in 2011/12.

It had been envisaged that the scheme would have been completed by the end of 2011/12 but due to complexity of some of the works, difficulties in obtaining competitive quotes and in ensuring that applicants complied with the grant terms and conditions, £0.031m remains unspent at the end of 2011/12.

It is envisaged that those applications currently being processed will be completed by the end of Quarter 1 2012/13, and the remaining budget is being rephased to 2012/13.

PIF 2011/12

Supporting Local Businesses SMBC will be the first authority to support local business through “Participatory Budgeting”, whereby Business and Groups of Businesses will be deciding how best to spend the money in the Borough.

Due to its unprecedented nature, time will be spent in order to ensure a robust process is in place prior to the Participatory Budgeting taking place, and as such the budget is being rephased to 2012/13.

The budget will be allocated via the “Stockport Business Challenge Fund” through a Participatory Budgeting process. A call for applications was made in March 2012 with a deadline date of 8 th May 2012. The voting event will take place on 26 th June 2012, which will determine the allocation of funding to appropriate projects.

Whilst the commitment will be in Q1 2012/13, spend is expected to commence during Q2 2012/13. Funding will be required to extend into 2013/14 and possibly 2014/15, but the profile of the budget to be rephased is yet to be determined.

PIF 2011/12 Portas Pilot Bid match-funding Subject to bid confirmation (the result of which is due in May), this scheme relates to the purchase and installation of digital projection equipment and a big screen; the provision of creative industry development space, and the creation of a visual and digital arts centre.

Contribution to Construction Learning Centre This scheme will develop a Construction Learning Centre, offering a 12 month course to achieve a

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Capital Programme Level 2 Certificate in Construction Operations – General Construction, for young people from deprived areas of Stockport.

This will be a foundation for the young people to progress into apprenticeships and employment in the construction centre.

3. REGENERATION – KEY PROJECTS

Projects Update Economic Development Project now completed and savings delivered Planning The planning project is on track to achieve its savings via VR/VERs plus reduction in goods & services and an AGMA saving. The VER is remaining in post for operational reasons until July 2012. Plans have been developed to remodel the service, prioritising front line service, and this will be fully implemented in August 2012

4. REGENERATION – RISKS, OPPORTUNITIES AND CHALLENGES

National policy The Chancellor’s Autumn Statement outlined the next phase of the Government’s Plan for Growth and included details of a National Loan Guarantee Scheme for small businesses, a revised National Infrastructure Plan and additional money for the Regional Growth Fund. The National Planning Policy Framework (NPPF) has now been published. Work is also underway between AGMA and Government to agree a Greater Manchester ‘City Deal’ setting out a range of devolutionary measures, along with details of how local and national government will work together to foster economic growth across GM.

A £420m fund to Get Britain Building (GBB) was announced on 21 November 2011 as part of the Government’s Housing Strategy for , to unlock stalled sites with planning permission to provide new homes. Performance and Resource Risks No new risks to report

Portfolio Risks Update (taken from Corp orate/Directorate Risk Register) No. Risk Update on internal controls/mitigating actions 1. Impact of the Economy 1. Proactive working with Work Programme Prime & Sub Contractors 2. Work within Stockport Partnership and Council to monitor impact on borough, the economy, residents and provision of services. 3. Strong working relationships with private sector to support business start-ups and growth 2. Inability to deliver planned 1. Robust programme and project management Regeneration programmes arrangements monitored monthly/quarterly. 2. Work closely with consultants, partners, potential occupiers & other agencies.

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Portfolio Risks Update (taken from Corp orate/Directorate Risk Register) No. Risk Update on internal controls/mitigating actions 3. Evaluate options rigorously. 4. Improved awareness of market & competition. 5. Seek external funding 6. Relationships with developers. 7. Town Centre Master Plan and Development Prospectus 8. Developer Agreements 3. Sub-Regional plans fail to reflect 1. Representation on groups / organisations considering the Borough’s plans and strategy development priorities 2. Participation as part of LSP, AGMA and regional and national bodies 3. Active involvement in AGMA commissions 4. LDF and local planning policies 5. Agreed Allocations DPD 4. Inability to achieve priority 1. Active participation in regeneration and sub-regional outcomes and actions as a result lobbying and consultation; of changes to Government 2. Active member involvement in sub-regional economic Policy partnerships; 3. Local Development Framework (LDF); 4. Active involvement and consultation with Chamber & Stockport Businesses; 5. Pre-application discussions with developers 5. Local/National Fee Setting 1. Business Planning has been based on different scenarios and this has now assumed that local fee setting will not come in until sometime during 2012/13. 2. National benchmarking and liaison/joint working with PAS (Planning Advisory Service)

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