Jealott's Hill, Bracknell

Jealott’s Hill, Bracknell : A Driver of Economic Growth in Berkshire and the UK

Final Report

Submitted to Syngenta March 2018

Wessex Economics Ltd Brewery House, High Street, Twyford Winchester, SO21 1RF

T: 0118 938 0940

Contents

Executive Summary ...... 1 1. Introduction ...... 5 2. An Introduction to Syngenta ...... 7 3. The UK Government’s Prioritisation of Agri-Tech Investment ...... 11 4. Rebuilding the Economic Base of Bracknell Forest ...... 15 5. Jealott’s Hill – a Global Centre of Excellence ...... 21 6. Jealott’s Hill – Opportunities for a Step Change in Research Value...... 27 7. Establishing a Sustainable Community: A Place to Live and Work ...... 35 8. The Economic Impact of Syngenta and the Development Proposal ...... 39

Appendix 1: Barton Willmore Economic Benefits Statement

Executive Summary

1. This report assesses the importance of Syngenta, a global agri-tech business, in terms of the UK economy, and the current contribution of the Syngenta’s UK-based Research Campus at Jealott’s Hill in Berkshire to the national, regional and local economy.

2. The report presents the proposals put forward by Syngenta for development of a Science and Innovation Campus at Jealott’s Hill including development of 4,000 new homes and associated community facilities that will help attract and retain researchers from around the world.

3. Syngenta is a major international agri-business company employing around 28,000 people across the world, and 2,500 people in the UK. Syngenta’s Jealott’s Hill Research Campus is one of the company’s most important centres globally for research and development.

4. Jealott’s Hill is a key asset in terms of the UK Science and Technology base. The Jealott’s Hill Research Campus has the scale, depth and breadth of expertise and reputation in the core scientific skills required to address the global challenges facing the agricultural sector.

5. Around 850 people work at Jealott’s Hill, the great majority being research scientists. The research team at Jealott’s Hill is currently managing bio-science research projects with a total value in excess of £1 billion. The UK does not have any comparable sites in this sector.

6. However, there is a need to invest in redeveloping functionally redundant research buildings at Jealott’s Hill and to create the environment for a leap forward in collaborative research. This is required in order for Syngenta and other businesses to compete globally.

7. Syngenta is therefore bringing forward proposals to develop around 95,400 sq m of new R&D floorspace, in part to replace 23,300 sq m of B class floorspace which is functionally redundant. This new space is to be used by Syngenta, its commercial partners, and related businesses.

8. The new Science and Innovation Park and the redevelopment of the existing buildings will encourage Syngenta to sustain and build upon the existing infrastructure and the expertise of its staff at Jealott’s Hill.

9. The Science and Innovation Park, is expected to attract occupiers in the agri-tech sector, life sciences and, over time, a broader spectrum of industries such as environmental management, waste management and clean energy businesses; and small and medium-sized enterprises as well as larger businesses.

10. The Science and Innovation Park will be unique in a UK context of having at its heart, one of the largest commercial R&D facilities in the UK, run by a business that has global reach, and that wants to work collaboratively with other businesses, small and large. There are no other initiatives like this in the UK driven by a commercial entity like Syngenta.

11. The Government’s Industrial Strategy published in 2017 recognises the critical importance of R&D collaboration between international businesses, small and medium size businesses, and Universities. Syngenta already works in close partnership with many UK Universities.

12. Jealott’s Hill is located in the centre of one of Europe’s largest technology clusters. Thames Valley Berkshire is a location of choice for many major global technology businesses, fast growing ambitious mid-sized firms and, more recently, entrepreneurial, disruptive tech start-ups. Working with Syngenta could provide significant export opportunities in agriculture, an area few such businesses explore today.

13. The Government recognised the substantial opportunities for the UK in the Agri-Tech sector in the Industrial Strategy published in 2017 and has identified it as a priority sector. This builds upon the Government’s 2013 document ‘A UK Strategy for Agricultural Technologies’.

14. As Syngenta develops its programme of collaborative R&D with partners, it envisaged that this network of relationships could lead to the creation of around 400 jobs.

15. Some of these jobs will arise from projects that Syngenta is involved. It is expected that other jobs will be created through collaborations between other businesses attracted to the Science and Innovation Park because of the mutual benefit in a working in an innovation-rich environment with scope for interaction between people and businesses.

16. The investment in new buildings and creating an innovation-rich working environment will help build upon the very substantial contribution that Syngenta makes to the local economy. Around 650 people work at Jealott’s Hill. This makes Syngenta one of the largest employers in Bracknell Forest.

17. Syngenta is the largest employer of scientists in Bracknell Forest, and a source of well-paid employment. Staff at Jealott’s Hill are paid on average 14% more that the average employee in Bracknell Forest. This reflects the specialist technical skills and business expertise of those who work for Syngenta at Jealott’s Hill

18. Syngenta’s Jealott’s Hill operations spend more than £100 million each year on salaries, purchases of goods and services, business rates etc. Over £40 million of the expenditure of £100 million by Jealott’s Hill is on salaries and contract staff. This expenditure will support many jobs in the local economy.

19. There will be capacity for creation of around a further 840 to 1,600 jobs elsewhere on the Science and Innovation Park in addition to the 400 jobs associated with the development of life-science and related activities, in which Syngenta will be a key participant. .

20. These jobs 840 to 1,600 are expected to be in businesses that have a less direct linkage to the cluster of Agri-Tech or Life Sciences businesses. However, the occupiers are likely to be R&D focused, involved in sectors as diverse, for example, as digital technology, engineering and waste management. 2

21. This investment will mean that total employment at Jealott’s Hill could eventually grow to as much as 2,090 to 2,850 jobs including the 850 existing Syngenta jobs on site. It would take time to achieve these levels of employment since the aim is to be selective in who is allowed to locate in the Science and Innovation Park, in order to foster creative interaction between occupiers.

22. The creation of additional jobs in Bracknell Forest is a stated priority of Bracknell Forest Council. However, evidence shows that since the year 2,000, Bracknell Forest has delivered job growth of only 2.8% over a 16 year period, ranking 15th lowest of 18 authorities in the western corridor. By comparison Wokingham has delivered job growth of 32%, Reading 7% and Windsor and Maidenhead 8%.

23. The residential element of the proposals entail development of a new community comprised of 4,000 homes. This is a key part of the integrated development proposals for Jealott’s Hill providing jobs, homes and community facilities. People working at Jealott’s Hill will be able to live within walking and cycling distance of their place of work.

24. Providing an attractive working and living environment is critical in being able to recruit and retain top talent; and top talent will deliver innovation, jobs, exports for the UK and support growth in the local economy.

25. The combined offer of a creative working environment in an attractive location, a concentration of some of the best minds in the industry, and the opportunity to live in a thriving community with all essential amenities will distinguish Jealott’s Hill from many other business and science parks.

26. The development of the new community will also create further jobs in the provision of services to the new community (eg schools, shops, leisure activities) that are part of the proposals for Jealott’s Hill. The number of jobs created would grow as the population of the new community increases.

27. In addition, a significant number of construction jobs would also be created and maintained over a long period of time, associated with the build out of the Science and Innovation Park and the new homes and related buildings such as schools.

28. The anticipated time frame for development of the Science and Innovation Park and the Jealott’s Hill residential community is 2023-2049; though delivery of new homes could be accelerated, perhaps with the use of modular housing. In the 2023-49 time frame, the development could deliver the following economic benefits, depending on the pace of take-up of business space:

 £10.8 m in Business Rates (cumulative 2023-34) and £41.6 million in Business Rates (cumulative 2035-49)

 Retention of 850 existing jobs and enabling of between 1,240 and 2,000 new jobs associated with the Science and Innovation Park

 By 2034 it is expected that total employment associated with the Science and Innovation Park could be around 2,090 to 2,850 jobs 3

 Additional economic output of £3.9 bn to £4.3bn measured in GVA (cumulative total for the period 2023-49)

 The full economic benefits in terms of economic output will be delivered in the period 2050- 69. In this time frame the additional economic output is estimated at £318-348 million pa

 Output of £318-348 million pa is the equivalent to an uplift of 1.1% to 1.6% of the total value of the Berkshire economy in 2014.

29. The residential elements of the Jealott’s Hill, would also generate significant employment, GVA and other outputs over the period 2023-2049:

 £19.6 m of Council Tax revenues (cumulative 2023-34), and £76.8 m in Council Tax revenues (cumulative 2035-39)

 A potential for payment of £26.7 million in New Homes Bonus, based on development of 4,000 units of which 35% of homes are assumed to be affordable

 Additional economic output measured in GVA associated with additional employed residents of £674m (cumulative total for 2023-34) rising to £4.7bn (cumulative total for 2050-69)

30. If development of the Science and Innovation Park and the Jealott’s Hill residential community were to be accelerated, then these benefits could be delivered earlier than set out above.

31. Further employment and economic output (GVA) would be created in construction and related activity, for example direct investment in equipment and purchase of services by businesses on the Science and Innovation Park. The scale of these benefits will depend on the speed of development and take up of the new floorspace that could be provided on the Science and Innovation Park.

32. Thames Valley Berkshire LEP estimates that the total GVA of the Berkshire Economy in 2014 was about £30bn. The annualised value of GVA generated by the development once fully built out and occupied is estimated to be £318m to £348 m. On this basis the GVA created by the development will be the equivalent of around 1% to 1.6% of the total value of the Berkshire economy in 2014.

1. Introduction

1.1 This report has been commissioned Syngenta, one of the UK’s largest agri-tech enterprises, and one of the largest agri-tech businesses in the world. The report covers:  The importance of Syngenta to the UK economy, and in more depth, the current contribution of Syngenta’s UK-based Research Park at Jealott’s Hill in Berkshire to the national, regional and local economy.

 The proposals being put forward for significant investment in the redevelopment of out- dated buildings at the Jealott’s Hill for use by Syngenta; and a linked proposal for a Science and Innovation Park to accommodate knowledge-based businesses, using technologies related directly and indirectly to Syngenta’s business.

 The contribution that this Science and Innovation Park could make to the local and regional economy in terms of jobs, and value added; and to strengthening the UK’s strategic position in the agri-tech sector and the promotion of sustainable development.

 The linked proposal for development of a sustainable community to create a campus environment that will help attract and retain researchers from around the world, by creating new homes in an attractive setting with schools, shops, a GP surgery, sports facilities, interaction spaces, a country park and good public transport links.

1.2 Syngenta’s ambition is to create an environment which serves a dual purpose:

 The creation of a Science and Innovation Park that stimulates creativity and interaction between businesses using science and technology in related and overlapping spheres to add value and accelerate business growth with a particular focus on agri-tech and life sciences.

 A residential community that appeals to those working at Syngenta and the other businesses located on the Science and Innovation Park, which enhances the ability to recruit the best staff, and fosters interaction between these workers outside of the workplace.

1.3 The report addresses the issues outlined in the following order:

 Section 2 provides an overview of the mission and scale of Syngenta, the nature of its business, and the extent of its operations in the UK

 Section 3 sets out the UK Government’s Strategy for Agri-Tech, which is identified as a priority sector for investment and support

 Section 4 identifies the poor performance of the Bracknell Forest economy in terms of delivering job growth, when compared to neighbouring authorities, and the absence of an effective strategy to build the business and employment base of the Borough.

 Section 5 describes the economic significance of Syngenta’s Jealott’s Hill Research Campus; the nature of the work undertaken at Jealott’s Hill; and it relationship with other key sectors in Thames Valley Berkshire, notably the digital tech industries.

 Section 6 sets out the unique opportunity to capitalise on the expertise, facilities and location of Jealott’s Hill to develop a much larger cluster of related activities in the agri-tech,

digital economy and related engineering businesses. The section identifies the potential for growth in the number of jobs at Jealott’s Hill.  Section 7 sets out the proposals for development of a new residential community of some 4,000 homes, community facilities, and country park at Jealott’s Hill and how this will assist the development of the Science and Innovation Park particularly in the competition for science based talent.

 Section 8 summarises the economic benefits currently being delivered by Syngenta and the added value associated with the development of the integrated scheme, in terms of jobs and Gross Value Added.

2. An Introduction to Syngenta

2.1 Syngenta is a major global agri-tech business, with a significant presence in the UK. The 2016 Syngenta Annual Review summarises the mission of the business as follows:

Bringing plant potential to life We apply world-class science and the most productive research and development in the industry to achieve a step change in agricultural productivity. In more than 90 countries around the world, our employees enable millions of farmers to improve global food security by making better, more sustainable use of available resources.

2.2 Syngenta has also published a concise summary of the global challenge of achieving sustainable food security and its commitment to addressing that challenge. The challenge (Figure 1) and the commitment (Figure 2) are expressed as follows:

Figure 1: The Challenge

Figure 2: Syngenta’s Good Growth Plan Commitment

Source: https://www.syngenta.com/what-we-do/the-good-growth-plan

2.3 At the end of 2016 Syngenta employed around 27,800 people (FTEs) across its operations in more than 90 countries. Total turnover (sales) in 2016 amounted to £9.2 bn ($12.8 bn), and the business invested £0.93 bn ($1.3 bn) in R&D. R&D investment in 2016 therefore accounted for over 10% of sales. Jealott’s Hill is one of three, globally significant, R&D sites operated Syngenta; and is the largest and most diverse of Syngenta’s global R&D operations.

Syngenta in the UK

2.4 Syngenta employs around 2,500 people in the UK. Syngenta’s UK operations are of strategic importance to its global business. Syngenta’s Jealott’s Hill site is the company’s largest site in the UK in terms of the jobs supported. Around 850 people are employed at Jealott’s Hill. The great majority of those employed on the site are Syngenta employees, but the total includes those working on short term contacts and contractors working on site.

2.5 Syngenta’s other major UK sites are shown in Figure 3. Each site plays an important role in Syngenta’s UK business. The sites are listed in descending order of the numbers of people employed :

 Huddersfield, West Yorkshire : c800 jobs: manufacture of herbicides and insecticides

 Grangemouth: East Stirlingshire: c400 jobs: manufacture of active ingredients; formulation and packaging of fungicides and insecticides

 Manchester: c150 jobs: Global Operations Centre. Syngenta have plans to increase total staff to around 250 FTE jobs.

 Fulbourn, Cambridgeshire: c100 jobs. Syngenta UK HQ and UK Commercial Sales and Marketing of Seed and Crop Protection

2.6 Syngenta’s has three smaller UK sites (see Figure 3) employing less than 100 people, as follows:

 Guildford, Surrey: European Regional Centre, Group Financial Reporting, Pensions, Legal and Taxes, Group Financial Report

 Whittlesford, Cambridgeshire: Conventional and Hybrid Wheat breeding site

 Market Stainton, Lincolnshire: Malting and Hybrid Barley breeding site.

Figure 3: UK Syngenta Locations

Source: Syngenta

2.7 Syngenta’s operations in the UK provide significant levels of employment and collectively are of significance to the global business, particularly Syngenta’s Europe, Africa and Middle East territory. The different centres all play an important part in terms of supporting employment in the UK, because of the integrated nature of the business.

2.8 A supportive business environment has an important role to play in the retention of the activities of multi-national corporations. It is therefore appropriate to examine the UK’s Government’s support for the Agri-Tech sector, in terms of prioritising the sector for investment, and joint working with businesses in the sector to encourage them to continue to invest in the UK.

3. The UK Government’s Prioritisation of Agri-Tech Investment

3.1 The UK agri-tech sector has been specifically targeted for Government support. The most recent evidence of this is the statement released by the Business Secretary on 21st February 2018 of a £90 million investment to bring together artificial intelligence (AI), robotics and earth observation to improve supply chain resilience in the agri-food sector. The press release states that the Business Secretary has ‘set out his ambition for a revolution in agri-farming, as part of the Government’s Industrial Strategy.’1

3.2 This announcement demonstrates the commitment set out in the Government’s Industrial Strategy, published in November 2017, to ‘put the UK at the forefront of the global move to high efficiency agriculture’. Figure 4 reproduces the commentary linked to this statement of intent from the Government to prioritise agri-tech investment.

Figure 4: The Industrial Strategy Statement on High Efficiency Agriculture

We will put the UK at the forefront of the global move to high efficiency agriculture. Rising global demand for food and water is increasing the need for agriculture that produces more from less. Our new ‘Transforming Food Production – ‘from farm to fork’ programme will put the UK at the forefront of advanced sustainable agriculture. Over the coming years, as we replace the Common Agricultural Policy, we will increase the incentives for investment in agriculture helping to grow the markets for innovative technologies and techniques.

Page 47: Industrial Strategy: Building a Britain Fit for the Future2

3.3 Alongside this commitment to invest in the agri-tech sector, the Government has made the following pledge in the Industrial Strategy; ‘we will work with our leading universities, research institutes and UK Research and Innovation to increase global investors’ R&D activities taking place in the UK. Of the world’s 2,500 top R&D investors, just 50 businesses are responsible for 40% of private sector investment globally. If we could attract an additional five per cent of R&D from these top 50, UK-based R&D would increase by about a third (p 68).

3.4 Another feature of the Industrial Strategy is that it identifies the importance of giving ‘attention to the ambitious, high potential small and medium sized businesses that are so critical to jobs and productivity’ (see p 172 of the Industrial Strategy). The Industrial Strategy notes that ‘just over three quarters of private R&D investment in the UK is driven by 400 businesses. Fewer of our small and medium-sized enterprises (SMEs) introduce new products and processes than their European competitors’.

1 https://www.gov.uk/government/news/business-secretary-calls-for-new-tech-revolution-in-agriculture 2 https://www.gov.uk/government/publications/industrial-strategy-building-a-britain-fit-for-the-future 11

3.5 The Government states that ‘we could do better in the longer-term process of building up successful businesses to reach large-scale and as the Scale-Up Taskforce has identified more than be done to increase the number of businesses that achieve their full potential’ (p172-173). Major companies such as Syngenta have a key role in helping small and medium sized businesses growth through collaboration on research and development. Development of Jealott’s Hill could make a substantial contribution to boosting R&D by small and medium enterprises.

3.6 The Government’s Industrial Strategy specifically identifies Clean Growth as one of the its priorities for investment through the Industrial Strategy Challenge Fund; within the Clean Growth theme ‘transforming food production’ is specifically identified as a priority for Government investment (see Figure 5). Syngenta's Jealott's Hill operations are already world leaders in the research that the Government wishes to prioritise.

Figure 5: The Industrial Strategy Clean Growth Challenge Fund Programme

Source: Industrial Strategy White Paper, p75

3.7 These statements represent the continuity of Government policy support for investment in agri- tech and life sciences. The 2010-2015 Coalition Government set out a comprehensive strategy in 2013 for the Agri-Tech sector in the document ‘A UK Strategy for Agricultural Technologies’3. This strategy was launched in July 2013 backed by £160 million of public funding. Successive governments clearly perceive that the agri-tech sector represents a sector where the UK has a competitive advantage.

3 https://www.gov.uk/government/collections/agricultural-technologies-agri-tech-strategy 12

3.8 Another dimension of the Government’s Industrial Strategy is to ensure that the UK is the best place to start and grow a business and a global draw for innovators (see p164 of the Industrial Strategy). The strategy gives recognition of centres of excellence such as Universities to be ‘the originators and propagators’ of new business (p173). The same can be said of the key centres of business research.

3.9 Thames Valley Berkshire is already an innovation and R&D hotspot, as set out in Thames Valley Berkshire LEP’s report Digital Tech 2017 that states in the summary ‘sitting at the heart of one of Europe’s largest tech clusters, Thames Valley Berkshire has long been the location of choice for iconic global leaders and fast growing ambitious mid-sized firms and more recently, entrepreneurial, disruptive start ups’.

3.10 Thus Syngenta is ideally located to capitalise on the coming together of digital tech and life sciences. There is great scope for partnerships between Syngenta, with its research, product development, sales expertise and global reach, to work with small and medium sized businesses with innovative ideas or products, to bring products to market and achieve sales at the international scale.

3.11 Syngenta UK recognises the value of collaboration with innovative businesses, many of which may be small start-ups, or spin-outs from established businesses. The development of the proposed Science and Innovation Park at Jealott’s Hill is a recognition that Syngenta has much to contribute to the development of new and early-stage businesses, and much to gain from such collaboration with businesses seeking to develop new technology, analytic tools, and new ways of doing things.

4. Rebuilding the Economic Base of Bracknell Forest

4.1 Bracknell Forest has performed very poorly in terms of employment growth over the past 17 years when compared to other authorities in the Western Corridor (as listed in Figure 6)4. Figure 6 shows that over the years 2000-2016, employment in Bracknell Forest has grown by a mere 2,000 jobs, the equivalent of only 118 jobs pa over this period. Out of the 18 authorities located in the Western Corridor, Bracknell Forest is ranked 15th in terms of absolute employment growth out of the 18 authorities examined.

Figure 6: Absolute Growth in the Number of Jobs in Bracknell Forest 2000-2016 compared with Authorities in the Western Corridor

Source: Wessex Economics, ONS Job Density Data

4.2 Figure 7 shows that Bracknell Forest is also ranked 15th out of 18 authorities measured in terms of the percentage rate of employment growth employment growth between the year 2000 and 2016. These figures should be a cause for considerable concern for Bracknell Forest Council for a number of reasons. The employment base of the Borough has, in terms of employment only grown by only 2.8% in the last 17 years, compared to Wokingham’s 32% growth, Windsor and Maidenhead’s 7.9% and Reading’s 7.1%.

4 See Appendix 2 for map of authorities deemed to be in the Western Corridor 15

Figure 7: Percentage Growth in the Number of Jobs in Bracknell Forest 2000-2016 compared with Authorities in the Western Corridor

Source: Wessex Economics, ONS Job Density Data

4.3 The issues for Bracknell Forest Council of this failure to grow its own employment base are three- fold.

4.4 First, while unemployment in the Borough is low, the failure to grow the employment base in Bracknell Forest means that the already large numbers of people that commute out of the Borough to work will increase as more homes are built, because with a business-as-usual approach, it will not be accompanied by job growth.

4.5 As noted above in the period 2000-2016, the average annual increase in total jobs in Bracknell Forest increased by less than 3% (118 jobs pa); in the same period the population of Bracknell Forest increased by 9%, an average of 575 persons pa. The Borough has not been growing in a sustainable way for the past 17 years with a reasonable balance in growth in terms of workers and jobs.

4.6 Second, this lack of balance will put further strain on existing infrastructure, at a time when funds for infrastructure investment are constrained, because ever increasing numbers of Bracknell Forest residents who work, will need to travel to jobs outside of the Borough. There is still heavy reliance on the car as a primary means of travel to work. The likely consequence is increased congestion and journey times, which then become a disincentive for employers to locate in Bracknell Forest.

4.7 Thirdly, the reform of local government finance means that Bracknell Forest Council may become increasingly reliant on income from business rates. Failure to grow the employment base of the Borough will go hand in hand with slow growth, or possibly even a decline, in revenues from business rates, with implications for funding of local services. Income from business rates will also have fallen as a result of a significant volume of conversion of office space in the Borough to homes through the use of permitted development rights.

4.8 Evidence prepared for BFBC and the other Central Berkshire authorities to inform to the development of the Local Plan has identified the scale of need for provision of a significant employment land. The Central Berkshire FEMA Economic Development Needs Assessment (EDNA), dated October 2016, was commissioned by four of the Berkshire authorities, including BFBC, and Thames Valley Local Enterprise Partnership. The purpose of the EDNA was to identify the need for employment floorspace and land in Bracknell Forest, Reading, Windsor and Maidenhead and Wokingham to inform the preparation of Local Plans.

4.9 The conclusions and recommendations of the report for Bracknell Forest are clearly stated in the Executive Summary of the EDNA. There are different approaches to estimating the need for employment land at the local authority level which generate different figures for the amount of employment floorspace that should be provide by each of the authorities, but the Council’s consultants that prepared the EDNA are clear in their advice to their clients, including BFBC

4.10 The consultants state, ‘in the light of the NPPF requirement to plan positively for growth, local authorities within the FEMA should consider planning to accommodate at least the labour supply requirement (Scenario 3) to ensure that the FEMA’s indigenous growth potential (ie arising from its resident workforce) is not constrained by lack of spatial capacity in future’.5

4.11 In terms of Bracknell Forest, the unequivocal recommendation by the consultants that prepared the EDNA is that Bracknell Forest should be planning for provision of at least 348,520 sqm (GEA) of B class floorspace for the period 2013-2036. This translates into a requirement for 102.8 ha of employment land in Bracknell.

4.12 The EDNA indicates that this quantum of floorspace is regarded as the absolute minimum requirement. In the light of this it is worth noting that the employment floorspace requirement in Bracknell Forest associated with the labour demand scenario is for 430,600 sqm (GEA); and that the employment land requirement in Bracknell Forest linked to this scenario is for 122 ha of land.

4.13 The Draft Bracknell Forest Local Plan does not address the requirements for employment land as identified in the EDNA in any substantive way. The Local Plan identifies the following provision:

 Proposed allocation of 34,100 sqm of employment floorspace on six sites as part of mixed use schemes. This needs to be set in the context of the identified requirement to plan for at least 348,520 sqm (GEA). The Council is planning for provision of less than

5 EDNA 2016, page 5 17

10% of the quantum of employment land identified as the minimum requirement in the EDNA

 Outstanding planning consents for 55,512 sq m for A2-B8 uses; the Local Plan states that construction has not started on these schemes and ‘much of this positive figure involves a few permissions that have been outstanding for some time’ (para 7.3, p52). This statement would indicate that Bracknell Forest Council have little confidence that these permissions will materialise into completed floorspace.

4.14 Yet the Council has an adopted economic vision that states ‘the Borough should remain an exceptional place for business and individuals and should be home to companies from countries identified as having rapid growth potential.’ (para 7.2, Draft Local Plan)

4.15 The Local Plan also reports that there is a continuing reduction in the stock of employment floorspace with the loss of 10,750 sqm of A2-B1 and B2 floorspace and a reduction in the stock of B8 floorspace of 9,076 sqm in 2016/17. A significant part of this loss is probably attributable to the exercise of Permitted Development Rights for conversion of offices to residential use (flats).

4.16 Permitted development rights were introduced in May 2013, and the Council has reported that 13,000 sq m of office space has already been lost to residential use.6 However, it is reported that once approved schemes have been implemented around 42,000 sq m of office space will have been lost through office to residential conversions7.

4.17 The explanation proffered in the Draft Local Plan as to why it ignores the Objectively Assessed Need for employment floorspace identified in the EDNA, is that OAN for employment floorspace ‘is not reflected by market forces’. The Draft Local Plan, therefore chooses to ignore the recommendations set out in the EDNA, on the basis that, ‘there is nothing the Council can do to secure the development of B class floorspace in the Borough’.

4.18 The Draft Local Plan, has therefore, in effect, given up on the Council’s economic vision that ‘the Borough should remain an exceptional place for business and individuals and should be home to companies from countries identified as having rapid growth potential.’ The Draft Local Plan has adopted the TINA strategy: There Is No Alternative, to securing a higher quantum of B class development, and hence a higher level of job growth within the Borough. The draft Local Plan reports the loss of over 9,000 sqm of B class space in 2016/17, without comment on the implications of such progressive loss of business floorspace and business rates.

4.19 This is a wholly inadequate response, and there is no evidence that BFBC has examined all the options for delivery of additional employment floorspace in the Borough. There is also no substantive discussion of the underlying reasons why employment land is not coming forward for development. For example the Draft Local Plan does not discuss the most obvious reason why

6 www.tvproperty.co.uk/news/bracknell-halts-surge-in-permitted-development 7 ibid 18

employment land is not being brought forward. The most obvious reason why there is no appetite for development of B class uses, particularly in town centre locations, is that residential development is a much higher value use.

4.20 The differential between residential values and office values will have been the key driver behind the significant loss of, generally, sub-prime, office space to residential uses through the use of Permitted Development Rights. The substantial gap between the value of land for B class uses and residential use also explains the observation made in the Local Plan that there has been a lack of sites submitted for employment uses. In Bracknell Forest, unless a site is clearly unsuited to residential development, landowners and developers will always seek a residential consent.

4.21 Another challenge for BFBC is the shift, particularly in the market for B1a offices, to favour city centre locations, and even attractive town centres, at the expense of out-of-town, or edge of town, business parks. This, relatively recent, trend is particularly evident in the very substantial development and take up of office space in central Reading, particularly within a 5 minute walk of the station. Even long established business parks such as Thames Valley Park have been challenged by this shift in market sentiment.

4.22 The developers of established out-of-town business parks are having to invest in making their schemes more than just a place to work. They are diversifying to provide leisure and retail space. Green Park is developing a significant quantum of new homes. The resident population associated with such housing development will help to support provision of a wider shopping and leisure offer at Green Park.

4.23 The combination of both a working population and a resident population, helps to enhance accessibility as a combined business and resident population can better support good quality, frequent, public transport provision. For many people there is also a strong appeal in being able to live within easy and pleasant walking or cycling distance from their place of work. Commuting by car or by public transport is, for many people, costly, time consuming, and stressful.

4.24 These trends in the market for office and R&D space call for new thinking. If BFBC is to achieve it vision that ‘the Borough should remain an exceptional place for business and individuals and should be home to companies from countries identified as having rapid growth potential.’ it needs to recognise the changes in working culture and how this is shaping patterns of demand for the supply of office and R&D space.

4.25 In this context the Syngenta complex is a key asset for BFBC. Syngenta is a major employer and a key site in Syngenta’s global network of research sites. The aspiration that the Borough ‘should be home to companies from countries identified as having rapid growth potential’ is fulfilled by Syngenta. As noted earlier in this report, the agri-tech sector is a sector of huge importance in the global context and a priority sector for UK Government support.

4.26 As evidenced by the loss of significant volume of employment floorspace and of some significant employers, Bracknell Forest cannot afford to adopt a business-as-usual approach to planning for 19

economic development. It needs to identify strategic opportunities to grow its employment base, particularly in high value sectors; this means ensuring that the Borough has high quality business space offer in a quality environment that can compete with Reading city centre and Green Park; and with Longcross and Farnborough Business Parks.

4.27 The alternative for Bracknell Forest is to become more of a dormitory; a place where people live, but where the majority of the working population travel out of the Borough. This is an unsustainable approach to adopt since it will place additional strain on already struggling infrastructure and available funding; and it will even undermine the finances of the Borough Council itself.

4.28 In view of these considerations, the case for BFBC allocating land for B1b R&D and related uses at Jealott’s Hill is compelling. The site is a well-established employment site. Syngenta, is an international business; important in terms of UK R&D; in terms of employment across the UK; and in terms of tax revenues generated. The site already accommodates 60,600 sq m of B1b/B1a and ancillary floorspace. But it requires investment.

5. Jealott’s Hill – a Global Centre of Excellence

5.1 Jealott’s Hill is of central importance to Syngenta’s global business. Jealott’s Hill distinctive contribution to Syngenta and global agricultural productivity is two-fold:

 Jealott’s Hill is Syngenta’ sole location for research into new herbicides for weed control, which is essential to maintaining and enhancing agricultural productivity. The global herbicide market is estimated to be £12.2bn ($17bn). Syngenta is a leading player with a substantial market share based on current sales of £2.5bn ($3.5bn)

 Jealott’s Hill also provides unique expertise in global registration of new active ingredients for insect, weed and disease control, supporting existing global Syngenta crop protection sales of £6.6bn ($9.2bn); and maintaining regional sales of £2.7bn ($3.8bn) through re- registration of existing products in Europe

5.2 The Jealott’s Hill Research Station is not just of importance to Syngenta and the UK through the jobs supported in the UK and the revenues generated for Government. Jealott’s Hill is a key asset in terms of the UK Science and Technology base. The Jealott’s Hill Research Station has the scale, depth and breadth of expertise and reputation in the core scientific skills required to address the global challenges facing the agricultural sector. UK agriculture benefits from this research being undertaken in the UK.

5.3 Key statistics that capture the depth and breadth of Jealott’s Hill research expertise are as follows:

 Syngenta Jealott’s Hill is currently managing bioscience research projects with a total value in excess of £1 billion. Research into weed control is one major area of research at Jealott’s Hill; and, linked to this, research on product safety.

 Jealott’s Hill is an international research centre; currently it is engaged in around 150 collaborative R&D programmes in the UK. This represents more than 30% by number of the total collaborative research projects being undertaking worldwide by Syngenta.

 Syngenta is working with academic partners in the UK including Oxford, Cambridge and Reading Universities and Imperial College, among many others. Syngenta also work collaboratively with the UK’s the leading agricultural research institutes.

 These well-established relationships demonstrate the importance of Jealott’s Hill to Syngenta’s global R&D activities; and highlight the very significant benefit to UK agri- businesses, and to its UK-based research partners, of having a research centre of Jealott’s Hill scale and capability.

5.4 The range of Syngenta’s research activities at Jealott’s Hill can be appreciated by the number of research staff employed at Jealott’s Hill. Figure 8 shows the breakdown of Syngenta’s staff by function. Over 78% of those working at Jealott’s Hill (around 665 staff) are involved in technical functions rather than corporate functions.

Figure 8: Syngenta Jealott’s Hill Staff by Function

Source: Syngenta

5.5 Syngenta is the largest employer of scientists in Bracknell Forest. An estimated 20% of those working at Syngenta are qualified to PhD level and another 60% are graduate or post-graduate, with the balance (20%) made up of non-graduates.

5.6 Syngenta pays significantly higher salaries than the average in Bracknell Forest, and in Berkshire as a whole. Syngenta pay staff at Jealott’s Hill 14% more on average than those in full time work in Bracknell Forest; and similarly pays its staff 14% more than the average for Berkshire as a whole.

5.7 Salaries in Berkshire are higher than anywhere else in England with the exception of London. So Syngenta pays above average salaries in a part of the nation where high salaries are the norm compared to most of the rest of the UK.

Depth of Expertise

5.8 The research scientists at Jealott’s Hill represent a body of knowledge that has been built up over decades at a scale, in terms of the number of research scientists that is unique in the UK. Similarly the range of expertise of research scientists at Jealott’s Hill in different scientific disciplines is unique in the UK. This expertise underpins Jealott’s Hill success inventing new means of protecting crops, and developing new varieties of seed; and bringing these products to market.

5.9 However, in the markets that Syngenta operate, the task of bringing new products to market is becoming ever more complex. To develop new products requires ever more sophisticated technology and equipment. At the same time the market is becoming more complex and challenging, as regulation of new products becomes more stringent. Syngenta therefore has to continuously adapt its technology in order to meet these challenges.

5.10 The scale, urgency and diversity of the scientific and technical challenges of bringing new products to market, make it impractical for Syngenta to develop and recruit all the necessary skills from within its own workforce. In common with high-tech businesses across the world, Syngenta is now developing, even more that previously, collaborative research programmes that tap into external expertise.

5.11 The case studies presented in Figures 9, 10 and 11 illustrate recent collaborative programmes in the UK, led by Jealott’s Hill, that combine the existing strengths of Syngenta’s core capabilities with the scientific excellence of Universities and Research Institutes. The purpose of these

22 collaborations is to further Syngenta’s understanding of the challenges faced by agriculture, and to identify the technical solutions required to address these challenges.

Figure 9: Case Study 1: Blackgrass Control Blackgrass is an invasive weed that is a major problem for growers of wheat in the UK and elsewhere, impacting wheat yields and quality of production. At the present time there is means to control blackgrass; that is, there is no available weed-killer/herbicide that is effective in eliminating it. In developing a solution, Jealott’s Hill staff and its partners have first to understand how the weed became resistant to the currently available herbicides. This means analysis at the molecular level of the plant; and how herbicides get absorbed and move around the weed tissues; how herbicides can kill the weed, and how the plant adapts to resist the herbicide.

The Jealott’s Hill team has collaborated with the Universities of Oxford, Bristol, York and Nottingham in tackling this challenge. The Universities lead on aspects of the fundamental science. Syngenta completes the picture with its own fundamental science work, then translating the science into a manufactured product that does the job farmers need it to do. The work on Blackgrass is still underway – but Syngenta have brought to market many products that have proved effective in control of weeds that reduce crop yields and values across the world through the application of science and translation into a product.

Figure 10: Case Study 2: Increasing Wheat Yields Wheat is a staple food product throughout the world, accounting for around 20% of human calorie intake. With the world population continuing to grow at a rapid rate, there is a need to increase wheat yields. Yet at the same time, drought, plant diseases, and other issues are working against increases in yields. The pace of increase in improving wheat yields has fallen since 1980. The UK Government is investing in addressing this challenge through the Bio-Tech Research Council. The Rothamsted Research Station is leading on this research given its global reputation for increasing crop productivity, aiming to increase the current 8 tonnes/hectare yield to 20 tonnes per Hectare

Syngenta Jealott’s Hill is Rothamsted’s major commercial partner in this collaboration. Syngenta brings its expertise in terms of its own R&D capability, its particular expertise in using applied plant technology and breeding to increase wheat yields; and in bringing products to market. At the end of the day research has to be translated into products, and outcomes in terms of improved yields depend on organisations such as Syngenta that have the commercial expertise and international reach to take a product to market and sell it to farmers.

Figure 11: Case Study 3: Unleashing the Power of Natural Products Many commercial products that are used to protect crops have their origins in naturally produced chemicals occurring in plants and fungi. Often these natural chemicals are only produced in very small quantities. Often they cannot be produced in large quantities for commercial use by the standard synthetic chemical process (where the manufactured chemicals elements are bound together to replicate the natural product). However, by understanding the genetics that underpin the way the natural product generates the all-important complex molecules, it is proving possible to synthesise these compounds in naturally occurring host microbes such as yeast, and to produce these chemicals on an industrial scale using fermentation.

The UK is global leader in this form of synthetic biology and Syngenta Jealott’s Hill team is playing a leading role in the development of this technology. The Government’s UK Bio-Tech Research Council is investing in these developments. Syngenta is working with Cambridge, Warwick, Bristol and Manchester Universities on the science. Syngenta brings its own expertise in the science but uniquely contributes its ability to test emerging products in different parts of the world. This is essential to achieving the ultimate outcome of a product which works for farmers without damaging the environment.

Jealott’s Hill – at the Heart of the UK Agri-Tech and Digital Tech Cluster

5.12 In the advancement of science, the scope for scientists to interact face to face remains very important. Breakthroughs in science are virtually always a team effort, and science is global. But physical proximity matters. Jealott’s Hill Research Campus is strategically located in South East England, at the heart of the UK’s expertise in crop science, agri-tech and bio-tech, and is an important player in this cluster of related research and development.

5.13 Jealott’s Hill is located within commuting distance of three of the world’s top ten universities: Oxford, (40 miles, 50 minutes); Imperial College (30 miles, 45 minutes); and Cambridge University (88 miles, 1 hour, 35 minutes). No other location in the world beyond the South East of England can make this claim. Additionally Jealott’s Hill is within about 30 minutes’ drive from Heathrow Airport, a critical consideration for an international business.

5.14 The Government’s UK Strategy for Agricultural Technologies notes the important part that technologies, sometimes thought as being of more relevance to other sectors, are also vital to the Agri-Tech sector. These include the use of large scale data to inform decision making in the sector, all made possible by the advances in meteorology, satellite imaging, remote sensing, and drone technology. All these technologies draw on expertise in control systems and data analysis.

5.15 Thames Valley Berkshire is at the heart of one of Europe’s largest Digital Tech Clusters. The Financial Times stated in 2016, ‘Berkshire has the country’s largest cluster of digital businesses outside London, contributing about £10bn in annual turnover to a British tech economy valued at

161bn.’ A report published by Thames Valley Berkshire, entitled Digital Tech, sets out the strength of Thames Valley Berkshire in the this sector.8

5.16 Syngenta is already part of this digital cluster. Thus, Syngenta has recently established a Digital Innovation Hub at Jealott’s Hill. This team serves as a centre of excellence for the whole of the European business. Its function is to develop digital based solutions, such as novel data analysis tools, to support the business R&D, supply chain, and customer needs as it embraces digital transformation.

5.17 The development of this function at Jealott’s Hill, reinforces the comment made previously (para 3.9), there is a wealth of potential partners in the Berkshire economy and the wider London and South East region where there are substantial opportunities for mutually beneficial co-operation between Syngenta and medium and small business. This is not limited to those activities that Syngenta is best known for, because increasingly technologies developed in one sphere can be applied to apparently different sectors. Syngenta would provide a quick route to global markets for many of these companies.

5.18 Syngenta’s activities at Jealott’s Hill are heavily data driven, and currently applied primarily to weed control through, for example: the precision application of herbicides; the monitoring of plant growth; the use of sensors to apply nutrients at precisely the right time in growth cycle; and the linkage of these systems with GPS and drone technology to ensure targeted application of products. However, these technologies go far beyond weed control and their developments are very much part of developing sustainable agricultural systems, underpinning a future of ‘Clean Growth’.

Syngenta UK – the Contribution to the UK and Local Economy

5.19 Syngenta as a whole, and Syngenta Jealott’s Hill as the largest of Syngenta’s UK sites, spends millions on sourcing products and services from UK businesses. Syngenta’s Jealott’s Hill operations spends more than £100 million each year on salaries, purchases of goods and services, business rates etc.

5.20 Jealott’s Hill operations include over 20 UK suppliers who are paid more than £723,000 ($1 million) each year. These suppliers are principally: contract research organisations and testing laboratories; facilities management and energy companies; chemical providers and suppliers of chemical services; and consultancies.

5.21 Over £40 million of the expenditure of £100 million by Jealott’s Hill is on salaries and contract staff. This is income that will support the local economy – which can be defined as the Functional Economic Area as defined in the work commissioned by Bracknell Forest, Thames Valley Berkshire LEP and other Berkshire Local authorities (see Figure 12).

8 Digital Tech 2017, Thames Valley Berkshire LEP 25

Figure 12: Functional Economic Areas in the Thames Valley Berkshire Area: (Note the Central Berkshire and Eastern Berkshire FEMAs overlap)

Source: Berkshire Functional Economic Market Area, NLP, February 2016

5.22 It is estimated that around 75% of those working at Jealott’s Hill live within a 45 minute drive of Jealott’s Hill with many having a much shorter journey time. Figure 13 shows the principal locations in which staff live.9 The fact that the majority of staff live within the local area implies that the economic benefits from the proposed developments will be captured in the local economy, in terms of increased employment and local spending.

Figure 13: Principal Home Locations of Syngenta Staff Working at Jealott’s Hill

Source: Wessex Economics

5.23 Syngenta’s Jealott’s Hill campus is also a very significant source of funding for Government and increasingly for Bracknell Forest, as the Government implements its strategy to switch from direct funding of local government to allowing local authorities to retain business rates. Syngenta pays around £1.2 million each year in business rates.

9 The analysis is based on the outward postcode identifier ie RG1, GU19, SL6 26

6. Jealott’s Hill – Opportunities for a Step Change in Research Value

6.1 The Jealott’s Hill Research Station was founded in the 1928. Successive owners have invested in the site providing new research facilities to ensure that buildings are fit for purpose. The need to renew the working environment and to keep pace with changing technology is a constant challenge in each decade. A number of the buildings at Jealott’s Hill have now reaching the end of their useful life, and some are vacant. There is also a need to invest in aging infrastructure.

6.2 Syngenta is keen to sustain and build upon the existing infrastructure and the expertise of its staff at Jealott’s Hill. Jealott’s Hill competes internally within Syngenta with facilities in various locations, for example Switzerland (where Syngenta is domiciled and has its Head Quarters); and China (the domicile of Chem China, the major agri-tech corporation that bought Syngenta in May 2017) among other global locations.

6.3 At the same time as there is a need to renew the physical environment at Jealott’s Hill, there is a major opportunity to capitalise on the business opportunities arising from the convergence of the global challenge of producing enough food for the growing population; the opportunities arising from the development of the life sciences; and, in the agri-tech sector, the impact of increasingly automated systems, remote sensing, and the targeted application of nutrients and pesticides.

6.4 All of the above depends on control systems which imply the development of new ways of delivering products to support plant growth or to control pests and diseases. Control systems are driven by software, and effective targeting of new products depends of the ability to identify what action to take in very different environments. The effectiveness of any intervention is therefore underpinned by analysis of large quantities of data – and the ability to use this in a meaningful way.

6.5 Thus, there is a unique opportunity at Jealott’s Hill to capitalise on the very substantial volume of applied research undertaken at Jealott’s Hill, and the presence of one of largest research teams in the agri-tech sector in the UK; and to develop an even larger cluster of businesses linked to the emerging opportunities in the agri-tech sector, covering analysis of big data relevant to agriculture, and the development of control systems to deliver new products.

6.6 Underpinning these proposals is a deep-seated change in the way R&D needs to be taken forward. In the past large businesses undertook research in-house, or engaged only selectively with partners. The increasing integration and overlap between different spheres of expertise means that in the future no company will be able to ‘do innovation’ on its own; any business that tries to do this will be overtaken by those engaged in R&D involving ‘deep and wide’ collaboration.

6.7 This concept was expressed succinctly by Professor Angela Karp in evidence given to the Parliamentary Science and Technology Committee, as follows:

In a linear model, there is a lot of focus on making sure the knowledge is right and, when you’re sure it’s right, you share that knowledge and look for applications of it. In a dynamic model, you are sharing that knowledge much earlier, to check the relevance of that science and that your assumptions about its usefulness are correct…. by doing that you can then re-focus your efforts and improve what you’re building in your research. It’s at the basis of the way that 'lean' approaches are used in start-ups: they share early; they build again; they focus again; and they re-build again. This is iterative sharing and engagement rather than focusing on the knowledge and hoping someone else will come along and translate it. We need a much closer connection between our excellent science and innovation, the translation and the scale-up of it going outwards - and that’s best done in dynamic models.

6.8 Syngenta is therefore bringing forward proposals for the development of a major Science and Innovation Park at Jealott’s Hill with deliberate intent to foster research and innovation using the dynamic model as described by Professor Karp, which entails day by day interaction with different research specialists with different expertise. This entails development of a collaborative culture. The design of buildings is one element of building this culture of collaboration in research.

6.9 Figure 14 sets out the types of businesses, and the technologies that they may be using, that Syngenta anticipate could be attracted to the Science and Innovation Park. It is the inter- relatedness of many of these technologies, the benefits they will derive from being co-located with businesses and researchers in related technology, along with the development of the new residential community linked to the Science and Innovation Park, that will make Jealott’s Hill a unique place to do business.

Figure 14: Types of Enterprise and Technologies Suited to the Proposed Jealott’s Hill Science and Innovation Park Very Closely Related to Syngenta Closely Related to Syngenta Broader Clean-Tech Industries Agri-Tech Contract Research Organisations, Application technology, Geophysical mapping, Consultancies, Start-ups, Data Automation, Satellite imagery, handling, Other collaborating agri- Precision farm machinery, Farming as a service, chemical companies, Analytical Image analysis, Big data, Sciences, Bio-informatics, Protein Food-Chain partners, Climate science, structural science, Toxicology, Pharmaceuticals, Insurance, Computational modelling, Synthetic Animal health, Drone technology, biology, Microbials, Bio-pesticides, Soil science, Artificial intelligence, Bio-controls, Formulation Ecological services Automated learning, technologies, Gene editing, Blockchain consulting, Genomics, Protein crystallography, Universities and research institutes, Enzymology, Chemical design, Landscape management, Physical chemistry, Advanced data Amenity management visualisation, Synthetic chemistry, Human safety studies, Plant transformation technology, Cell biology Environmental Management Contract Research Organisations, Sustainable land management, CO2 footprint analysis and reduction, Consultancies, Agencies, Institutes, Farming efficiency, Atmospheric monitoring, Environmental sciences, Regulatory Mapping technologies Waste management and recycling, science, Landscape-scale modelling, Drinking water management, Environmental Engineering Environmental remediation, Wild habitat recreation & ‘re-wilding’ Clean Energy Biofuels, Aerobic and anaerobic waste Energy storage, Renewable power Fermentation technology management and energy production, generation technologies, Microgeneration, Industrial algal production Clean transport, Sensors, Smart grid technologies, Carbon capture and storage Sustainable Construction Forestry, Plant-based building materials, Energy Water infrastructure efficiency consultancy, Green development consultancy, Energetically modified cements Materials Science Materials analysis and testing, Engineering thermoplastics, Resins, , Hi-tech composite materials, Molecular and crystal structural High performance fibres and coatings, Nanomaterials diagnostics and design, microscopy, Formulation science Biopolymer design and development

6.10 The development proposals entail development of some 95,400 sqm of new B class floorspace. Part of this total quantum of floorspace will be taken up by Syngenta for new labs and offices to replace existing Syngenta buildings that are functionally redundant. The net increase in B class floorspace proposed at Jealott’s Hill is 72,000 sqm (see Figure 15).

6.11 In summary the proposed development will serve three purposes:

 The proposals entail demolition of around 23,200 sqm of existing Syngenta floorspace at Jealott’s Hill which is deemed to be functionally redundant, and its replacement with state- of-the-art modern labs and offices predominantly for Syngenta use.

 The creation of additional floorspace which will be used specifically for collaborative research and development programmes. This reflects the shift that major corporations such as Syngenta are making from undertaking R&D internally to collaborative R&D involving other businesses and researchers.

 Provision of floorspace for other businesses or organisations not so closely involved in research collaboration with Syngenta, but which would benefit from being co-located on a modern Science and Innovation Park focused on agri-tech and related businesses.

6.12 Currently there are around 60,600 sqm of business floorspace at Jealott’s Hill measured on a Gross Internal Area (GIA) basis. Of this total stock of buildings around 4,900 sqm (GIA) are not being used, being functionally redundant. This redundant space represents around 8% of the total sqm (GIA). The equivalent figures measured on a Net Internal (NIA) basis are 50,400 sqm (total) with 4,870 sqm being redundant).

6.13 Syngenta want to make a significant investment in upgrading its own research facilities at Jealott’s Hill. The proposals entail:

 Demolition of around 23,200 sqm of floorspace of the existing stock of buildings.

 Retention of around 37,400 sqm of existing floorspace integrated into the Science and Innovation Park.

 Development of 95,400 sq m of new B class floorspace (B1b/B1a/B1c) of which Syngenta would expect to occupy around 23,200 sqm of new floorspace on the Science and Innovation Park

6.14 The proposed development programme would entail a net increase in floorspace provision at Jealott’s Hill of around 72,200 sqm (see Figure 15). Syngenta anticipate an ongoing requirement for a similar level of accommodation as they currently occupy (60,600 sqm). It is proposed that the balance of 72,200 sqm on Science and Innovation Park being developed over time as a, with a focus on attracting organisations and businesses in related technologies to those of Syngenta as set out in Figure 14.

Figure 15: Current and Proposed Employment Floorspace at Jealott’s Hill (sq m GIA)

Source: Wessex Economics

6.15 Syngenta will seek to enable the growth of employment on the Science and Innovation Park, using its extensive contacts in the industry to attract related businesses to locate at Jealott’s Hill. Syngenta will engage with suppliers, partners and adjacent technology providers to collaborate on novel technologies and their application to Agri-Tech and other sectors.

6.16 This may entail working with tech start-ups, possibly with Syngenta providing investment as well as technical support, with a focus on the development of technology and intellectual property. As an indication it is estimated that around an additional 400 jobs will be created at Jealott’s Hill through collaborations both between Syngenta and related businesses; and through the cluster of businesses established in the Science and Innovation Park relationships, without Syngenta’s direct involvement.

6.17 Figure 15 identifies a requirement for 23,000 sqm of floorspace (GIA) to accommodate this cluster of research and development activity, based on the current ratio of employment to functional floorspace at Jealott’s Hill of 46 sqm (NIA) per FTE job.

6.18 The capacity of the rest of Science and Innovation Park is around 49,000 sq m (GIA). At this stage it is hard to anticipate the pace of take up of space and the type of occupiers, other than to state that policies will be developed to ensure that the quality of occupier is appropriate to the Science and Innovation Park, and to attract occupiers in activities related to the agri-tech focus of Jealott’s Hill.

6.19 It would be appropriate, however for the Science and Innovation Park to be marketed for B1b R&D, B1a office and B1c clean tech/light Industrial uses. If the predominant uses were to be B1b R&D and B1c Clean Tech uses, then the remaining allocation once developed could lead to the creation of a further additional 840 FTE jobs (rounded down from 843 jobs) once full occupation is achieved (see Figure 16).

Figure 16: Indicative Employment Associated with a R&D and Clean Tech Business Park (B1b and B1c Uses)

Source: Wessex Economics, HCA Employment Densities Guide, Edition 3

6.20 Higher levels of job creation could potentially be achieved if an element of the Science and Innovation Park were to be used for offices, which are associated with much higher concentration of employment (more jobs per sqm). Assuming that the business park was developed with around a third offices (B1a), a third R&D use (B1b) and third clean tech/light industrial uses, then there would be the potential for the Science and Innovation Park to accommodate around 1,600 FTE jobs (rounded from 1,643 jobs, see Figure 17) rather than the 840 FTE jobs mentioned above (para 6.19).

Figure 17: Indicative Employment Associated with a R&D and Clean Tech Business Park (B1b, B1c and B1a Uses

Source: Wessex Economics, HCA Employment Densities Guide, Edition 3

6.21 The proposed development programme at Jealott’s Hill is therefore anticipated to have the following impact in terms of jobs located at Jealott’s Hill:

 Retention of the existing 850 jobs comprising Syngenta employees and contractors at Jealott’s Hill

 The scope for creation of around 400 jobs arising out of the development of a cluster of inter-related businesses broadly in agri-tech and life sciences. The sort of businesses and organisations that will contribute most to this job creation are shown in Figure 14 (page 28) in the first column, and described as businesses ‘very closely related to Syngenta’.

 The potential for creation of between 840 and 1,600 FTE additional jobs in floorspace associated with the development of the Science and Innovation Park. These are anticipated to include more of the broader range of businesses identified in Figure 14.

7. Establishing a Sustainable Community: A Place to Live and Work

7.1 Syngenta’s vision for Jealott’s Hill is that it should not just be a place that people work, but that it should be a place where people work, live, learn and play. Syngenta is putting forward proposals for development of 4,000 homes, built on garden town principles, to meet the need for housing in both Bracknell and the wider Thames Valley Berkshire area. This section sets out the economic reasons why housing development should accompany the development of the Science and Innovation Park.

7.2 The importance of providing new homes alongside the Science and Innovation Park is that competition for top talent is the single biggest challenge facing research intensive businesses such as Syngenta. Increasingly the competition for the best scientists, analysts and engineers is global in character. Top talent in Science, Technology, Engineering and Mathematics (STEM) subjects is in short supply, as is talent in international business management.

7.3 Prospective employers can secure competitive advantage if they can offer exciting research and development opportunities in a great working environment; and in a location where people want to live. The provision of good quality housing in an attractive environment within walking or cycling distance of a person’s place of work, is something that will differentiate Syngenta from other employers in the Thames Valley and further afield.

7.4 Thames Valley employers face significant challenges in recruiting top talent in their particular areas of specialism. The challenge is essentially two fold. The first is that those at the start of their career are drawn to London in particular, but also to other large UK cities; or they may continue to live in university towns. The second issue is that Thames Valley Berkshire is an expensive place to live in terms of housing costs.

7.5 So how can Jealott’s Hill compete in the market for talent? First, Syngenta and other occupiers on the Science and Innovation Park need to offer good working conditions. The development of new labs, offices and technology space and related amenities (eg café, shared working spaces etc) are important; but it must be acknowledged that many corporate working environments provide this; and to many younger employees, working in city centres will be more attractive than on a campus.

7.6 The solution to this issue is to provide that which few other employers can. Syngenta is potentially unique in Thames Valley Berkshire in having the opportunity to provide a good quality living environment within walking or cycling distance of work; or a journey to work by car that is measured in 3 or 4 minutes rather than 30 or 40 minutes. For many highly qualified persons the time, aggravation and actual cost of travel to work is a major source of discontent.

7.7 The Syngenta proposals, by developing new homes within a short walking or cycling distance of the Science and Innovation Park, provide potential recruits, and those who already work at Jealott’s Hill, to live within walking distance of their place of work in a green environment rather than an urban environment. This would differentiate Syngenta and other employers at Jealott’s Hill from virtually all other employers in Thames Valley Berkshire.

7.8 The development of a new community of around 4,000 homes means that the residents, many of which may work on the Science and Innovation Park, will have ready access to a good range of services; such as shops, pubs, schools, a GP practice, a dentist etc. A community of around 10,000 people will also develop its own community groups and activities. Living close to where you live means it is practical to engage in more activities, because less time and energy is wasted in getting to and from work.

7.9 The other major factor in people’s choice of where they want to work is housing costs. This is particularly pertinent for those starting their career, most of whom will have to live in the private rented sector. There would be merit in planning for the provision of purpose-built, professionally managed, rented housing to accommodate younger employees.

7.10 Such accommodation could also provide accommodation for those existing and prospective staff that commute on a ‘weekly’ basis to Jealott’s Hill; that is they stay in the locality of Jealott’s Hill during the working week, but return to a distant home at weekends. Similarly such provision would appeal to those working on medium-term contracts etc, or visiting for a matter of months or a few years from other parts of the Syngenta business, or other firms located at the Science and Innovation Park.

7.11 It needs to be acknowledged that graduates starting their careers in the agri-tech industry are likely to prefer living in the urban centres surrounding Jealott’s Hill. However, the evidence is that many people have worked at Jealott’s Hill for many years. As younger adults move into their 30s more are likely to consider alternatives to living in the larger towns and cities. There is a long established pattern of outward migration from London of those in their 30s and 40s.

7.12 When people move into a more settled lifestyle in terms of the location and nature of their work, and start forming families, the availability of, first, child care, and then schools starts to weigh in decisions about where to live. In the choice of where to live, alongside commuting time, the nature of local sports facilities, shops, pubs etc, where friends live, access to the countryside etc, all start to be considerations in the choice of where to live.

7.13 The vision that Syngenta Jealott’s Hill is proposing is a new settlement of around a 4,000 homes, which implies a population of around 10,000 once completed. A community of some 10,000 persons would be able to sustain a full range of amenities such as schools, leisure facilities, shops, and a GP practice. It could also support a good quality public transport service to and from Bracknell and Maidenhead. Public open space is planned into the proposals.

7.14 The development of new homes close to a significant employment hub is attractive to potential employees, and another factor that will help to ensure staff retention, one of the key metrics for successful R&D businesses. Staff retention becomes easier as employees form families because of the financial and emotional costs of moving. Staff retention is of great importance to businesses like Syngenta.

7.15 Therefore developing a new community in the immediate environs of the Jealott’s Hill R&D Campus, and Science and Innovation Park will achieve a number of goals. It will assist in recruitment of the skilled personnel that Syngenta needs to ensure it remains at the cutting edge

of agri-tech research. It will help occupiers of the Science and Innovation Park to be confident that they can recruit and retain staff; and thereby accelerate take up on business floorspace.

7.16 Thus, the development of the new community is an important part of the marketing strategy for the Science and Innovation Park, which should accelerate and it should accelerate take up of floorspace. In this Syngenta objectives and those of the developers of the Science and Innovation Park are aligned. Both know that success in recruiting is critical to business success. Hence the development of the new community is a critical adjunct to the success of the Science Park.

8. The Economic Impact of Syngenta and the Development Proposal

8.1 It is relevant to this assessment to seek to capture the scale of potential investment in the proposed Science and Innovation Park and the related residential development, though the real and substantive value of the proposed investment is in the intellectual property and the impact on sales, exports and employment directly linked to that intellectual property.

Syngenta’s Jealott’s Hill Current Contribution to the Economy

8.2 Syngenta Jealott’s Hill makes a substantial economic contribution to the UK economy, to the South East Region, to the Thames Valley Berkshire LEP area and to Bracknell Forest Borough. Key statistics are as follows:

 Syngenta employs around 2,500 people in the UK. Over 800 of these employees are based at Jealott’s Hill making Jealott’s Hill Syngenta’s largest site in employment terms accounting for around a third all Syngenta’s UK employment.

 It is estimated that around 20% of Syngenta staff have PhDs, another 60% are qualified to degree level. Syngenta provides quality, interesting, jobs and good terms of conditions of employment

 Syngenta staff at Jealott’s Hill are paid on average 14% more that full time workers in Berkshire and Bracknell Forest; this is a reflection of the technical nature of the majority of jobs at Jealott’s Hill, the qualifications of staff, and their importance to the business.

 Syngenta Jealott’s Hill spends more than £100 million each year on salaries, purchase of goods and services, and business rates. The £40 million annual spend on salaries is significant in the context of the local economy.

The Economic Contribution of the Science and Innovation Park

8.3 The proposed development of 95,400 sqm of new employment floorspace at Jealott’s Hill would represent a huge investment in the context of the local economy. This development is linked to the following outputs:  The expectation of creating a cluster of businesses engaged in agri-tech, clean tech, bio- tech, big data, and related sectors. Syngenta expects to be active in this cluster, engaged in a number of collaborative ventures with other businesses. But the expectation is also that the presence of a cluster of related businesses involved in R&D will attract other businesses, who will interact with each other, and not necessarily have any engagement with Syngenta. It is expected that this cluster or businesses will support around 400 additional jobs at Jealott’s Hill.

 It is envisaged that the innovation-rich environment at Jealott’s Hill will attract other commercial enterprises to the Science and Innovation Park. The development has the potential to enable creation of an additional 840 and 1,600 jobs in new business premises to be built at Jealott’s Hill. The upper end of the job range would be associated with 39

development including significant provision of office space, while the lower end of the range would be associated with floorspace being comprised of R&D (laboratories and related floorspace) and technology units comprising a mix of production space, storage and office space, with relatively small amounts of office space.

 Growth in employment at Jealott’s Hill would be reflected in increases in Gross Value Added (economic output) within Bracknell Forest and Berkshire as whole. GVA growth would increase as employment increases. As an indication of the possible scale of benefits, in the period 2023—2034 the additional GVA generated though increased employment is envisioned to be around £1.3bn to £1.5bn; in the period 2035-2049 to be £3.9 bn to £4.3 bn; and in 2050-2069 to be in the range £6.4 bn to £7.0 bn.

 To put the expected uplift in economic output (GVA) into context, Thames Valley Berkshire LEP estimates that the total GVA of the Berkshire Economy in 2014 was about £30bn10. The annualised value of GVA generated by the development once fully built out and occupied is estimated to be £318m to £348 m11. On this basis the GVA created by the development will be the equivalent of around 1.0% to 1.6% of the total value of the Berkshire economy in 2014.

 If this quantum of development is delivered, then government could expect a boost in the business rates payable. Indicative figures of the scale of such benefits would be that payments in the period 2023-34 could be expected to be of the order of £10.8m; in the period 2035-49, £41.6m; and £52.0 m in the period 2050-2069. These revenues would accrue either to Central Government or Bracknell Forest Council.

The Economic Contribution of the New Settlement

8.4 One of the key economic outputs associated with the development of a sustainable residential community is the contribution it will make to attracting and retaining talented individuals to work for Syngenta or the other occupiers on the Science and Innovation Park. It is impossible to place a value on this, but in the competition for talented scientist and digital experts, the potential for people to live very close to their place of work, could be critical to successful recruitment.

8.5 Other key outputs linked to the development of a new sustainable residential community would be:

 A significant uplift in Council Tax revenues associated with the development of new homes. Figure 18 provides an indication of the total sums that could be generated in additional Council Tax, spread over three time periods, linked to the anticipated timetable for construction and occupation of new homes.

 An increase in expenditure arising from the growth in the number of residents and in particular of residents in employment. Much of this additional spending would circulate in the sub-regional economy supporting local jobs.

10 Source: Thames Valley Berkshire LEP Strategic Economic Plan 2015/16 to 2020/21, page 7 11 Source: Barton Willmore Economic Benefits Report. Total GVA Generated by Residents & Onsite Employees of £6.4bn to 7.0bn 2050-2069, giving an annualised figure of £318m to £348m pa 2050-2069; 40

 Growth in expenditure arising from an increase in population and numbers of persons employment will be reflected in increases in Gross Value Added (economic output) within Bracknell Forest and the Functional Economic Market Area

 New Homes Bonus on 4,000 homes (assuming this will continue throughout the development phase) would total a minimum of £26.7 m, assuming development of 4,000 new homes, of which 35% would be affordable.

 These benefits could be delivered more rapidly if new homes are built out at a faster rate that assumed – something that might be assisted by modular building and a strong employment market (see footnote to Figure 18).

8.6 Figure 18 provides an indication of the scale of economic benefits that could be associated with the development. These are discussed in more detail in the Economic Benefits Statement, which can be found in Appendix 1 of this report.

Figure 18: Summary of the Economic Benefits of the Jealott’s Hill Proposals

Source: Barton Willmore: Note: Numbers have been subject to rounding

Note: The assessment of the benefits arising from the residential development is based on the assumption that the delivery of the residential component of the scheme will occur at a rate of 150 units per annum. This falls at the lower end of the anticipated delivery rate range, of up to 200 units per annum. If higher rates of delivery were to be achieved, this would have the effect of shortening the construction phase by approximately 7 years (to 2042); increasing annual construction output and bring forward the economic benefits associated with the residential component of the scheme.

Appendix 1: Barton Willmore Economic Benefits Statement

LAND AT JEALOTT’S HILL BRACKNELL

Economic Benefits Statement

Prepared on behalf of Syngenta UK Ltd

March 2018

LAND AT JEALOTT’S HILL, BRACKNELL

ECONOMIC BENEFITS STATEMENT

Prepared on behalf of Syngenta UK Ltd

March 2018

Project Reference: 26386/A5

Status: Final

Issue/Revision: 5

Date: 21/03/18

Prepared By: SH/NL

Checked By: SM

Authorised By: JL

Barton Willmore LLP The Observatory Southfleet Road Ebbsfleet Dartford DA10 0DF

Tel: 01322 374660 Ref: 26386/A5/SH/NW/kf Email: [email protected] Date: March 2018

The contents of this document must not be copied or reproduced in whole or in part without the written consent of Barton Willmore LLP. All Barton Willmore stationery is produced using recycled or FSC paper and vegetable oil based inks

CONTENTS

PAGE NO

1.0 EXECUTIVE SUMMARY 01

2.0 INTRODUCTION 04

3.0 PLANNING POLICY CONTEXT 06

4.0 LABOUR MARKET PROFILE 16

5.0 ECONOMIC BENEFITS OF THE PROPOSED DEVELOPMENT 20

APPENDICES

Appendix 1 – BW Plus Info-Graphic

Executive Summary

1.0 EXECUTIVE SUMMARY

1.1 This report has been prepared to assess the economic benefits generated by the expansion of facilities at Jealott’s Hill research site, delivering an integrated development of 4,000 units, 95,400 qsm of commercial space, local centre, three primary schools and a secondary school.

1.2 Local policy establishes aspirations for Bracknell to develop as an important business centre. Policy SA9 within the Local Site Allocations Plan (July 2013) allocates land to the south of the Jealott’s Hill site for 2,200 dwellings, employment floorspace and a neighbourhood centre.

1.3 Bracknell Forest is located within the Berkshire Functional Market Area (BFMA). The BFMA Study confirmed that Bracknell Forest has a lower level of self containment when compared to other authorities within the FEMA, along with a slowing in the growth of the working age population.

1.4 Syngenta plays an important role within the FEMA as a large enterprise, employing 850 jobs onsite. The proposed development will play a significant role in creating local employment opportunties and reducing labour leakage within the Borough and wider BFMA. Through the intergrated delivery of 4,000 units the development will accommodate a large economically active population, supporting the Borough’s working age population and creating affordable housing opportunties.

1.5 Table 1.1 sets out the economic benefits generated by the proposed development over the construction phase and operational phases. Three key time periods have been assessed, initally reviewing the benefits generated over the Local Plan period (2023-2034), the remaining construction period (2035-2049) and a 20 year operational period following completion (2050- 2069).

1.6 It should be noted that for the purpose of this exercise we have prudently assumed that the delivery of the residential component of the scheme will occur at a rate of 150 units per annum. This falls at the lower end of the anticipated delivery rate range, of up to 200 units per annum. If higher rates of delivery were to be achieved, this would have the effect of shortening the construction phase by approximately 7 years (to 2042); increase annual construction output and bring forward the economic benefits associated with the residential component of the scheme.

1.7 To put the expected uplift in economic output (GVA) into context, Thames Valley Berkshire LEP estimates that the total GVA of the Berkshire Economy is £30bn. The annualised value of GVA

26386/A5/SH/NL/kf 1 March 2018

Executive Summary

generated by the development once fully built out and occupied is estimated in Table 1.1. Table 1.1 goes on to set out the developments value, on this basis the GVA created by the, relative to the total value of the Berkshire economy.

26386/A5/SH/NL/kf 2 March 2018

Executive Summary

Table 1.1: Economic Benefits Summary Table Year Over the Over the Over the Period Period Period

2023-2034 2035-2049 2050-2069

4,000 Residential Units Direct Construction Jobs 282 305 - Indirect Jobs during Construction Period 170 183 - Direct GVA during Construction Period £184.9m £247.1m - Indirect GVA during Construction Period £95.9m £128.7m - Council Tax £19.6m £76.8m £136.5m New Homes Bonus £11.8m £14.9m - Resident Population 4,219 9,600 9,600 Of which are economically active 2,390 5,437 5,437 Of which are in employment 2,028 4,614 4,614 GVA generated by Employed Residents (A) £673.9m £2.6bn £4.7bn Resident Expenditure £259.9m £1.0bn £1.8bn Commercial Development Direct Construction Jobs (average) 287 - -

Indirect Jobs during Construction Period 200 - - (average)

Direct GVA during Construction Period £187.9m - -

Indirect GVA during Construction Period £104.3m - -

Business Rates £10.8m £41.6m £52.0m

Onsite Jobs 2,090-2,850 2,090-2,850 2,090-2,850

GVA (B) £655.2m- £1.2bn - £1.7bn - £786.4bn £1.7bn £2.3bn

Total GVA – Generated by Residents & Onsite Employees

£1.3bn - £3.9bn – £6.4bn – Total GVA - A+B £1.5bn £4.3bn £7.0bn

Annual GVA- (A+B/time period) £111.6m – £259.1m – £318.0m - £121.7m £289.2m £348.1m

0.37%- 0.86%- 1.1%- % of the total value of the Berkshire 0.41% 0.96% 1.6% economy per annum

26386/A5/SH/NL/kf 3 March 2018

Introduction

2.0 INTRODUCTION

2.1 This report has been prepared by Barton Willmore on behalf of Syngenta UK Ltd to assess the economic benefits that are forecast to result from the expansion of facilities at its Jealott’s Hill research site.

2.2 Jealott’s Hill is a key location in Syngenta’s global Research and Development network, working on developing solutions to increase and safeguard agricultural production through a range of advanced and cutting-edge technologies. Research and Development at the site has been undertaken since the 1920’s and over many decades Syngenta has become a major partner with hundreds of other public and private organisations across the UK.

2.3 The wider development at Jealott’s Hill would ensure that the campus maintains its position as a leading location to attract world-class scientists with the best technical infrastructure to support world leading innovation. In addition to enhancing the existing campus, the intention is to utilise some of the existing land area to provided homes, community facilities and country parks. We propose to deliver 4,000 new homes, creating 1,400 affordable homes.

2.4 The proposals for the site include the provision of:

• 4,000 homes (to be delivered at a rate of between 150 and 200 homes pre-annum); • New employment 95,400 sqm. This is in addition to the retention of 37,362 sqm of the existing 62,133 sqm of B1(b) floorspace (i.e. the removal of 24,771 sqm); • 3 primary schools & one secondary school; • Local Centre

2.5 In order to place the economic benefits in their policy and socio-economic context, the remainder of this Report is structured as follows:

2.6 Section 3 of the Report will briefly review the relevant planning policy at national and local levels, focusing on the economic growth aspirations within the area. Section 4 of the Report will briefly analyse the labour force catchment area and assess the extent to which this area is able to meet the increase in labour demand as a result of the proposed development.

2.7 Following this Section 5 will assess the potential economic benefits resulting from the proposed expansion of the Jealott’s Hill site, considering the following:

26386/A5/SH/NL/kf 4 March 2018

Introduction

• Council Tax • Business Rates • Construction and operational employment generated; • Economic output (Gross Value Added) generated across the construction and operation phase; • Population generated by the proposed scheme; • Economically active population generated; and • Commercial Expenditure per annum.

2.8 Section 5 will review the delivery of economic benefits over three key time periods, comprising:

• Commencement of construction to the end of the Local Plan period (2034); • 2035 to the final year of construction (2049 – assuming a prudent rate of delivery of 150 homes per annum); and • 2050 to 2069 (assessment of a fully operational site over a 20-year period).

26386/A5/SH/NL/kf 5 March 2018

Planning Policy Context

3.0 PLANNING POLICY CONTEXT

NATIONAL ECONOMIC POLICIES

i) National Planning Policy Framework (NPPF) (27 March 2012)

3.1 The NPPF is written in the context of achieving ‘sustainable development’ within three ‘dimensions’ being; economic, environmental, and social, as follows:

“sustainable development is about positive growth – making economic, environmental and social progress for this and future generations.”1

3.2 Specifically in respect of its economic dimension, the NPPF promotes strong growth in achieving the overarching objective of ‘sustainable development’. In summary, the economic dimension of sustainable development is expected to provide the following:

“an economic role – contributing to building a strong, responsive and competitive economy, by ensuring that sufficient land of the right type is available in the right places and at the right time to support growth and innovation; and by identifying and coordinating development requirements, including the provision of infrastructure.”2

3.3 In order to achieve ‘sustainable development’, the NPPF sets out 12 ‘core planning principles’ which are intended to underpin both plan-making and decision-taking. The importance of residential and commercial development in achieving the wider economic growth aims of the NPPF is clear from these core planning principles. In this context plan-making and decision- taking should:

“proactively drive and support sustainable economic development to deliver the homes, business and industrial units, infrastructure and thriving local places that the country needs.”3

3.4 In delivering sustainable development the NPPF confirms that the Government is committed to ensuring that the planning system does everything it can to support sustainable economic growth and that Planning should operate to encourage and not act as an impediment to

1 Page i, Ministerial Foreword, National Planning Policy Framework, 27 March 2012 2 Paragraph 7, page 2, National Planning Policy Framework, 27 March 2012 3 Paragraph 17, page 5, National Planning Policy Framework, 27 March 2012

26386/A5/SH/NL/kf 6 March 2018

Planning Policy Context

sustainable growth. Significant weight should therefore be placed on the need to support economic growth through the planning system.

3.5 The role of residential and commercial development in achieving wider economic growth is clearly emphasised in the NPPF, and it is considered that the proposed development fully complies with these objectives. The material weight in planning decisions of economic impact can be seen in the recent appeal (June 2016) discussed below.

3.6 In Land south of High Street, Milton-under-Wychwood, West Oxfordshire (PP/D3125/W/16/3143885), in relation to the development of 62 dwellings the Inspector stated:

‘The proposed development would have a positive effect on the local economy; about 60 direct and indirect construction jobs would be created, direct and indirect construction gross value added (GVA) to the economy would be about £8 million, an economically active development population of about 78 persons would generate GVA of about £3.7 million per annum, there would be a New Homes Bonus of £0.6 million, and the Council would receive about £115,800 per annum from the payment of Council Tax. There is no evidence to indicate that there would be any loss of local revenue resulting from the proposed development.

Paragraph 7 of the NPPF states that there are three roles of sustainable development; economic, social and environmental. The effect of the proposed development on the local economy has already been considered and has been found to be positive.’ (Paragraphs 41 & 44).

3.7 This example highlights how housing can comply with the economic principles outlined in the NPPF and moreover the increased role housing plays in delivering these economic ambitions.

ii) National Planning Policy Framework, Draft Text for Consultation (March 2018)

3.8 The Ministry for Housing, Communities and Local Government has published draft revised text to the NPPF in March 2018 with consultation running until May 2018.

3.9 The revised text continues to refer to the need for the planning system to contribute to the achievement of sustainable development, and in this respect reaffirms the three overarching

26386/A5/SH/NL/kf 7 March 2018

Planning Policy Context

objectives, which it considers to be interdependent – that being economic, social and environmental objectives.

3.10 In respect of the economic objective the revised text confirms the need to help build a strong, responsive and competitive economy. It seeks to achieve this by ensuring that sufficient land of the right type is available, in the right place, and at the right time to support growth, innovation and improved productivity.

3.11 Section 6 of the revised text is titled ‘Building a strong, competitive economy’, and confirms that planning decisions should help create the conditions in which businesses can invest, expand and adapt. It goes on to confirm that significant weight should be placed on the need to support economic growth and productivity, taking into account both local business needs and wider opportunities for development.

ii) Housing and Planning Act 2016

3.12 Previously, Local Planning Authorities, under Section 70 of the Town and Country Planning Act as amended by section 143 of the Local Act 2011, should have regard to material considerations in dealing with planning applications, including any ‘local finance consideration’, including:

a) A grant or other financial assistance that has been, or will or could be, provided to a relevant authority by a Minister of the Crown; or b) Sums that a relevant authority has received, or will or could receive, in payment of Community Infrastructure Levy.

3.13 There was, however, concern that despite amendments to the Planning Practice Guidance [Reference ID: 21b-011-20140612], the potential financial benefits of development were not being fully explained. The Planning Practice Guidance clarifies ‘local finance considerations’ may be noted within committee reports dealing with applications for housing (even where they are not material to the decision).

3.14 The Housing and Planning Act received Royal Assent on the 12th May 2016. It has the strategic objective of increasing newbuild output and improving affordability. Section 155 refers to ‘local planning authorities: information about financial benefits’, emphasising the need to clearly set out the financial benefits of development, stating:

26386/A5/SH/NL/kf 8 March 2018

Planning Policy Context

(1) A local planning authority in England must make arrangements to ensure that the required financial benefits information is included in each report which— (a) is made by an officer or agent of the authority for the purposes of a non-delegated determination of an application for planning permission, and (b) contains a recommendation as to how the authority should determine the application in accordance with section 70(2). (2) The required financial benefits information is— (a) a list of any financial benefits (whether or not material to the application) which are local finance considerations or benefits of a prescribed description, and which appear to the person making the report to be likely to be obtained— (i) by the authority, or (ii) by a person of a prescribed description or (if regulations so provide) by any person, as a result of the proposed development (if it is carried out); (b) in relation to each listed financial benefit, a statement of the opinion of the person making the report as to whether the benefit is material to the application; (c) any other prescribed information about a listed financial benefit.

iii) The Housing White Paper – Fixing our Broken Housing Market (February 2017)

3.15 The Housing White Paper sets out a reform to tackle the long-standing problems in the housing market and ensure that more homes are built in the right places. It has no legal standing but it does provide a basis for further consultation and discussion with interested or affected groups.

3.16 The Housing White Paper highlights that the underlying issue in the housing market is the undersupply of new houses. In the Introduction to the White Paper, it is noted that since the 1970s there has been an average of 160,000 new homes built each year in England. However, it is widely acknowledged that England requires 225,000 to 275,000 new homes each year in order to keep pace with population growth and to address the historic undersupply.

3.17 Paragraph 1.29 notes that ‘policies in plans should allow a good mix of sites to come forward for development, so that there is choice for consumers, places can grow in ways that are sustainable, and there are opportunities for a diverse construction sector.’

3.18 As part of a suite of options identified to make more land available for homes, the paper sets out its increasing enthusiasm to bring forward ‘A new generation of new communities’ stating their aim “to make the most of the potential for new settlements alongside developing existing

26386/A5/SH/NL/kf 9 March 2018

Planning Policy Context

areas”. (para 1.35). The extent to which this and other aspirations in the White Paper are realised will depend upon the detail of the very many areas of further policy that the Government promises to consult on shortly.

LOCAL ECONOMIC POLICY

iv) Emerging ‘Comprehensive Local Plan’ for Bracknell Forest

3.19 Bracknell Forest lies 40 kilometres west of London at the heart of the Thames Valley and within the County of Berkshire. The local authority is in the process of preparing a comprehensive Local Plan for Bracknell Forest which will set out the long-term spatial vision and development strategy for the borough up to 2036. Once adopted, it will replace many of the saved policies in the Bracknell Forest Borough Local Plan (2002) and the Core Strategy (2008). It will therefore be wide ranging in terms of the issues that it will cover.

3.20 The Plan will include a vision, objectives, and strategy for the level and distribution of development in the borough up to 2036, including housing, economic and retail development and new infrastructure. The Comprehensive Local Plan will include site allocations for specific uses, including housing and employment uses, and will need to be based on a range of up-to- date evidence which is currently being prepared.

3.21 More specifically, the ‘Comprehensive Local Plan’ is now working towards a housing target which is based on an objective assessment of housing needs (OAHN). As part of the evidence base which will feed into this new Local Plan, a Berkshire-Wide SHMA (prepared by GL Hearn) was commissioned by Berkshire Authorities and published in February 2016. GL Hearn’s SHMA calculated the objectively assessed housing need (OAHN) for Bracknell Forest Council for the period 2013-2036 to be 635 dwellings per annum between 2013 and 2036 (14,605 dwellings in total). However, Barton Willmore’s own analysis has shown that the OAHN ranges from 700 – 730 dwellings per annum over the same period (16,100 – 16,790 dwellings).

v) Core Strategy Development Plan Document (Adopted February 2008)

3.22 The Bracknell Forest Borough Core Strategy sets out a planning framework for guiding the location and level of development in the Borough up to 2026. The Core Strategy was prepared within the context of local plans and strategies and had regard to the Borough’s Community Plan – a document prepared by the Bracknell Forest Partnership consisting of representatives

26386/A5/SH/NL/kf 10 March 2018

Planning Policy Context

from the public, private and voluntary sectors. The Bracknell Forest Sustainable Community Plan was agreed in September 2005 and sets out a vision for the Borough to 2015.

3.23 The adopted Core Strategy identifies a housing requirement for the Borough for the period 2006 -2026 of 11,139 dwellings. This housing requirement is based upon figures from the revoked South East Plan. The aforementioned ‘Comprehensive Local Plan’ is now working towards a housing target which is based on an objective assessment of housing needs (OAN).

3.24 The Core Strategy sets out a vision for the Borough and in paragraph 24 noting that:

‘The Borough will continue to grow sustainably, in a planned manner, with new development being directed to sustainable locations and having good access to a range of local facilities, services, housing and employment. New development will be located so as to maximise the opportunity to travel by all modes and to improve relative accessibility for all. New development will be mindful of the character of the area in which it sits and will be designed and located such that it will enhance the quality of life in the Borough.’ (our emphasis)

3.25 Specifically, in terms of the employment paragraph 26 states:

‘The Borough will continue to develop as an important business centre: ‘smart’ growth will be encouraged whereby businesses maximise the use of technology and human resources rather than additional land resources for sustained economic growth. New employment development will be focussed mainly within Bracknell town centre and the existing employment areas. New housing growth areas will be developed as sustainable communities and may include a mix of uses including employment, leisure and community facilities.’ (our emphasis)

3.26 The Core Strategy notes that studies have indicated that not all the future growth requirements would be met within the existing settlement boundaries. The approach, therefore, taken in the long-term strategy is to meet the remaining growth requirements by concentrating development outside the existing settlement boundaries in two large-scale, mixed-use, mixed density developments as set out in Policies CS4 (land at Amen Corner) and CS5 (land north of Whitegrove and Quelm Park). Paragraph 74 identifies that about 725 homes would be provided at Amen Corner and about 2,200 homes would be provided at land north of Whitegrove and Quelm Park.

26386/A5/SH/NL/kf 11 March 2018

Planning Policy Context

vi) Local Site Allocations Plan – July 2013

3.27 The Site Allocations Local Plan (SALP) is an essential part of implementing the adopted Core Strategy. In particular, the SALP:

• identifies sites for future housing development in the Borough; • ensures that appropriate infrastructure is identified and delivered alongside new development; and • revises the boundaries of certain designations shown on the Policies Map e.g. defined employment areas.

3.28 The SALP allocates land for development in the two 'Major Locations for Growth' identified in the Core Strategy, as follows:

• Allocation of land covered by Core Strategy Policy CS4, land at Amen Corner (South) (Policy SA8). • Allocation of land covered by Core Strategy Policy CS5, land at Warfield (formerly known as land north of Whitegrove and Quelm Park) (Policy SA9).

3.29 As noted above, land to the south of the Jealott’s Hill site, i.e. land at Warfield (formerly known as Land North of Whitegrove and Quelm Park), is allocated under Policy SA9 for the development of 2,200 residential units, employment, a neighbourhood centre and two primary schools as an urban extension to Bracknell town.

3.30 It is considered that access to affordable housing at Jealott’s Hill would be attractive to employees at the facility who wish to live within walking distance of their place of work. Therefore, it is likely that residential development at the site would result in the internalisation of a proportion of employment trips, which would most likely be undertaken by sustainable modes of transport such as walking and cycling. The development would also provide three new primary schools on site and a secondary school, as well as recreational facilities.

vii) Berkshire Functional Economic Market Area Study, Thames Valley Berkshire Local Enterprise Partnership (February 2016)

3.31 The Market Area Study establishes the functional economic markets that operate across Berkshire. It aims to provide the six authorities of Bracknell Forest, Reading, Slough, West

26386/A5/SH/NL/kf 12 March 2018

Planning Policy Context

Berkshire, Windsor and Maidenhead, and Wokingham an understanding of the various economic relationships and linkages within the sub-region.

3.32 A review of the Market Study Area clarifies that the Jealott’s Hill research site is located within the ‘Central Berkshire Functional Economic Market Area’ (FEMA), including Reading, Wokingham, Bracknell Forest, and Windsor and Maidenhead.

3.33 The Market Area Study reports the Berkshire FEMA supports a strong concentration of jobs within the telecoms, IT, professional services, and utilities, but remains underrepresented within the agri-tech and life sciences sector compared with the wider regional average sector mix.

3.34 The Study discusses the findings presented within the Thames Valley Berkshire Skills Priority Statement, referring to six priority sectors for the long term sustainable economic growth of Berkshire. Most of these sectors (and therefore skills issues) are common across the whole of Berkshire. For example, the digital technologies, professional and business services, life science and healthcare, education and care sectors are relatively evenly distributed across the sub-region. There are also some local clusters of economic activity which are likely to create higher demand for certain skills in some areas. For example, the logistics sector is particularly prevalent in the Slough and Thatcham areas, the sub-region’s finance and insurance sector is concentrated in Reading and the hospitality sector is most prevalent in and around Windsor, and, to a lesser extent, in Reading.

3.35 Bracknell Forest is noted within the Study as having the lowest number of enterprises. The Study states that according to 2015 ONS Inter Departmental Business Register data, Wokingham, Windsor & Maidenhead and Bracknell Forest accommodate the greatest proportion of smaller firms employing under 10 people.

3.36 The Study comments on commuting flows across the Berkshire economy. Bracknell Forest is noted to accommodate the smallest resident workforce in Berkshire, and the lowest number of workplace workers. It goes on to conclude that Bracknell Forest (41.7%) has one of the lowest rates of labour self-containment. The Study reports that the rate of labour self-containment has reduced across all Berkshire authorities over the 10 years between the 2001 and 2011 Census, indicating that a lower proportion of Berkshire residents also worked within the LEP area in 2011 compared with the position in 2001.

3.37 It is noted that Bracknell Forest has a relatively high level of working age population, compared to the other local authorities within the FEMA. Despite this the Study also refers to the working

26386/A5/SH/NL/kf 13 March 2018

Planning Policy Context

age population growth slowing down over the next 21 years to 2036 across the majority of Berkshire authorities. The Study states ‘that the anticipated trends having an impact on the scale and proportion of travel-to-work and migration flows that occur to, from and within Berkshire as the balance of employment and working age population changes. Berkshire may be less able to draw in-commuters from locations such as Hart, Surrey Heath and South Oxfordshire in the future as their resident labour force reduces in size. West Berkshire’s declining working-age population may also mean that the District must increasingly rely upon in-commuters to fill future employment opportunities generated by its business base’.

viii) Berkshire Functional Market Area Study and Economic Development Needs Assessment, Thames Valley Berkshire Local Enterprise Partnership Final Report October 2016

3.38 The Berkshire Functional Market Area Study and Economic Development Needs Assessment (EDNA). This EDNA considers the objectively assessed economic development needs for Bracknell Forest, Reading, Windsor and Maidenhead and Wokingham within the Central Berkshire Core FEMA over the period 2013-2036 (which does now not match the Plan period). The study considers future quantitative land and floorspace requirements alongside related qualitative factors for individual sectors and employment uses.

3.39 In light of the NPPF requirement to plan positively for growth, the EDNA confirms that local authorities within the FEMA should consider planning to accommodate at least the labour supply based requirement, ensuring that the FEMA’s indigenous growth potential (i.e. arising from its resident workforce) is not constrained by lack of spatial capacity in future.

ix) Thames Valley Berkshire Local Enterprise Partnership – Strategic Economic Plan 2015/16-2020/21

3.40 Bracknell Forest is located within The Thames Valley Berkshire Local Enterprise Partnership (LEP). The LEP Strategic Economic Plan emphasises the following local policy point as especially important:

‘In terms of employment provision, there is a commitment to intensify employment uses in Bracknell town centre and existing employment areas; and to include employment uses in the planned new mixed-use developments’ (page 146).

3.41 Further to this the Economic Plan comments that Bracknell Forest has a higher workplace- based weekly pay than resident-based, suggesting the relatively well-paid jobs are taken by

26386/A5/SH/NL/kf 14 March 2018

Planning Policy Context

in-commuters. It also notes that ‘there is a recognition also that population ageing is an important cross-cutting issue’.

3.42 This shows the importance of investing in local businesses such as Syngenta, but also highlights the need to support businesses with the necessary labour force. Housing is an important consideration in this, especially with concern relating to an aging local workforce.

Summary

3.43 National policy clearly highlights the importance of supporting the economic role of planning, emphasising the importance of such development in achieving wider economic growth aims.

3.44 The local authority is in the process of preparing a Local Plan for Bracknell Forest which will set the long-term spatial vision and development strategy for the borough up to 2034. Once adopted, it will replace many of the saved policies in the Bracknell Forest Borough Local Plan (2002) and the Core Strategy (2008).

3.45 The Proposals for Jealott’s Hill represent an opportunity to generate significant levels of additional employment both through the construction and operational phases of the development. Additionally, the provision of residential development at Jealott’s Hill would be attractive to employees at the facility and would result in the internalisation of a proportion of employment trips, which are likely to be undertaken by sustainable modes of transport such as walking and cycling.

3.46 The Berkshire Functional Economic Market Area Study confirms that Bracknell Forest has a lower level of self-containment, when compared to other authorities within the FEMA. The Study also refers to the level of self-containment across the Berkshire FEMA decreasing between 2001 – 2011, along with a slowing down in the growth of the working age population up to 2036.

3.47 Syngenta play an important role within the FEMA as a large enterprise currently creating around 850 jobs. The proposed development will provide increase employment opportunity within the FEMA, along with contributing to the local labour force through the provision of much needed housing.

26386/A5/SH/NL/kf 15 March 2018

Labour Profile

4.0 LABOUR PROFILE

4.1 As set out within Section 3, the existing Jealott’s Hill site is located within the Central Berkshire Functional Economic Market Area (FEMA). Economic flows often overlap local authority boundaries, meaning that the functional area over which the local economy and its key markets operate will not necessarily adhere to administrative boundaries. FEMAs recognise that economic markets broadly correspond to sub-regions or city regions. In this case the FEMA includes Reading, Wokingham, Bracknell Forest, and Windsor and Maidenhead.

4.2 Section 4 assesses the labour profile within the FEMA and its relationship with the existing and proposed Jealott’s Hill development.

4.3 A review of the workforce population at Jealott’s Hill reveals that 75% of the existing workforce commute from within the FEMA (commuter flow data, 2011 Census). This emphasises the importance of Syngenta as a local employer within the FEMA. It also suggests that the majority of the future workforce generated by the proposed extension would commute from within the FEMA.

4.4 Section 2 discusses the Council’s ambitions to achieve sustainable growth and focus on existing employment areas. Syngenta have undertaken research and development operations on the existing site for around 90 years. Syngenta develop solutions to increase and safeguard agricultural production through a range of advanced and innovative technologies, they currently employ around 850 people. The expansion of Syngenta would increase employment opportunities within the area and support development of one of the larger local enterprises.

4.5 Figure 4.1 sets out the resident industry of employment profile across the Central Berkshire FEMA, derived from the 2011 Census. Across the FEMA, the professional, scientific and technical industry is within the top five highest employers (27,582 residents) emphasising the importance of the industry to the area and Syngenta’s synchronisation with the local workforce.

4.6 Throughout the FEMA, Windsor and Maidenhead and Wokingham have the highest proportion of residents employed within the sector (10.4% and 9.9%). The proportion of residents with Bracknell Forest employed with the industry is representative of the regional average, around 7.4%.

26386/A5/SH/NL/kf 16 March 2018

Labour Profile

Figure 4.1: Resident Employment Profile - Central Berkshire FEMA

R, S, T, U Other

Q Human health and social work activities

P Education

O Public administration and defence; compulsory social security

N Administrative and support service activities

M Professional, scientific and technical activities

L Real estate activities

K Financial and insurance activities

J Information and communication

I Accommodation and food service activities

H Transport and storage

G Wholesale and retail trade; repair of motor vehicles and motor cycles

F Construction South East

E Water supply; sewerage, waste management and Central Berkshire remediation activities FEMA D Electricity, gas, steam and air conditioning supply Wokingham

Windsor and C Manufacturing Maidenhead Reading B Mining and quarrying Bracknell Forest A Agriculture, forestry and fishing

0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0 16.0 18.0

Source: Nomis, 2011 Census

4.7 Table 4.2, according to the UKCES Manufacturing: Sector Skills Assessment 2012, sets out the typical occupation profile within the ‘scientific research and development’ sector.

4.8 It is evident that the sector employees a high proportion of its workforce within professional occupations. Berkshire FEMA demonstrates a compatible resident workforce with the sector profile, showing similarly high levels of residents working within professional and associate occupations.

26386/A5/SH/NL/kf 17 March 2018

Labour Profile

Table 4.2: Occupation Profile (%) Scientific Berkshire Research and Occupation FEMA Development (Resident (UKCES Sector Population) Skills) Managers, Directors, and Senior Officials 20 13.1 Professional Occupations 51.9 23.0

Associate Professionals and technical Occupations 15.8 15.6 Administrative and Secretarial Occupations 7.6 11.1 Skilled Trade Occupations 1.3 9.0 Caring, Leisure and Service Occupations 0.5 8.2 Sales and Customer Service Occupations 0 7.3 Process, Plant and Machine Operative 1.9 4.2 Elementary Occupations 1 8.4

UKCES Manufacturing: Sector Skills Assessment 2012

4.9 Figure 4.3 summarises the broad resident occupation profile across the FEMA. The Standard Occupational Classification (SOC) segments workers into nine broad divisions based on skill levels and skill content (Source: ONS), comparing this to the local jobs occupation profile.

Figure 4.3: Resident/Workplace Occupation Across FEMA

9 Elementary occupations

8 Process, plant and machine operatives

7 Sales and customer service occupations

6 Caring, leisure and other service occupations

5 Skilled trades occupations

4 Administrative and secretarial occupations

3 Associate professional and technical occupations

2 Professional occupations

1 Managers, directors and senior officials

0 20,000 40,000 60,000 80,000 Employed Residents Local Jobs

Source: Nomis 2011 Census

4.10 The largest proportion of local jobs are within professional; and associate professional/ technical occupations. Science, engineering, and technology occupations would fall within the ‘associate professional and technical’ occupations classification.

26386/A5/SH/NL/kf 18 March 2018

Labour Profile

4.11 Figure 4.3 suggests a slight mismatch (equating to around 1,495 positions) between the residents employed within associate professional and technical positions and available jobs, suggesting a proportion of the labour force are commuting out of the FEMA for roles at this level. This reinforces concerns relating to low levels of self-containment across the FEMA.

4.12 Whilst Bracknell is reported within the Study to have a relatively high level of working age population, compared to the other local authorities with the FEMA, the working age population growth is projected to slow down over the period to 2036, impacting on the need to draw in labour. Bracknell Forest is also recognised as having the smallest workforce across the FEMA.

4.13 There is a need to support employment generating development with the necessary supply of labour force. The proposed development incorporates the delivery of around 4,000 homes. These will accommodate an economically active population, contributing to the local labour force.

4.14 The proposed development will make a significant contribution to employment opportunities within the local area, reducing job leakage and supporting self-containment within Bracknell and across the FEMA.

26386/A5/SH/NL/kf 19 March 2018

The Economic Benefits of the Proposed Development

5.0 THE ECONOMIC BENEFITS OF THE PROPOSED DEVELOPMENT

5.1 This section has been prepared to assess the economic benefits that would arise from the grant of planning permission for the Proposed expansion of Jealott’s Hill. The economic benefits assess the positive effects on economic activity within an area. This can be identified by a number of different indicators, including GVA (gross value added), job generation, wages and expenditure. The provision of these indicators resulting from the Proposed Development will indicate the potential increase in economic wellbeing of the local economy.

5.2 The proposed development will comprise the following:

• Employment of 95,400 sqm. This is in addition to the retention of 37,400 sqm, equating to a net increase of 70,220 sqm • 4,000 dwellings delivered by 2049 • 3 primary schools • Secondary School • Local Centre

5.3 This Section will review the economic benefits delivered over three key periods:

• Commencement of construction to the end of the Local Plan period (2034); • 2035 to the final year of construction (2049); and • 2050 to 2069 (assessment of a fully operational site over a 20-year period).

5.4 It should be noted that for the purpose of this exercise we have prudently assumed that the delivery of the residential component of the scheme will occur at a rate of 150 homes per annum. This falls at the lower end of the anticipated delivery rate range, of up to 200 homes per annum. If higher rates of delivery were to be achieved, this would have the effect of shortening the construction phase by approximately 7 years (to 2042); increase annual construction output and bring forward the economic benefits associated with the residential component of the scheme.

Residential Element

i) Construction Phase

5.5 The benefits associated with the construction phase have been calculated using the Labour Forecasting Tool (LFT) which is able to produce labour forecasts based on historic data. The 26386/A5/SH/NL/kf 20 March 2018

The Economic Benefits of the Proposed Development

LFT has been developed by the Construction Industry Training Board (CITB) and is an industry standard. The tool focuses on forecasting labour demand on a month-by-month basis by each occupational group throughout the construction phase of the Proposed Development.

5.6 The phasing for the residential component is set out in Table 5.1 below. The construction phase covers some 27 years during which 4,000 dwellings will have been constructed. As detailed above, the residential development component of the scheme is anticipated to be delivered at a rate of between 150 and 200 homes per annum. For the purposes of this exercise the residential construction is phased on the basis of 150 homes per annum. Delivery at a higher rate of 200 homes per annum would reduce the construction phase (to 2042).

Table 5.1: Residential Construction Phase

Residential Construction 2023-2034 2035-2049 Total Number of Dwellings over Period 1,764 2,236 Notes: Numbers may not sum due to rounding

5.7 Table 5.2 shows that based on the LFT forecasts, construction of the Proposed Development would generate an average of 283 jobs on site over the period 2023 and 2034, completing 1,764 units. The remaining 2,236 units, developed over the period 2035 to 2049, could generate some 305 construction direct jobs.

5.8 There could be a slight increase in the employment total over the construction phase to account for the construction of the proposed primary and secondary schools, and local centre.

5.9 Based on the LFT figures, the level of GVA per annum generated throughout the construction phase of the development can be calculated. GVA is a measure of economic impact, distributed through retained profit and wages. This provides the value for the amount of goods and services produced over the construction phase after deducting the cost of inputs and raw materials.

5.10 Based on an average GVA per construction worker of around £42,900 per annum (Experian Labour Market Statistics, 2013-2017), the residential element could generate a direct GVA of around £431.9m over the construction phase 2023 to 2049. Table 5.2 also details the breakdown of GVA up to the end of the plan period.

26386/A5/SH/NL/kf 21 March 2018

The Economic Benefits of the Proposed Development

Table 5.2: Direct Construction Jobs over the Residential Phase

Residential Construction 2023-2034 2035-2049 Construction Jobs - Direct (per annum) 283 305 Economic output from Direct Construction Jobs (GVA) £184.9m £247.1m

5.11 The provision of 2834 full time equivalent direct construction jobs over the period 2023 - 2034 and some 305 jobs between 2035 - 2049 will have a positive effect on industries within the construction supply chain, referred to as the indirect effect. To deduce the indirect employment effect a type 1 employment multiplier of 1.75 has been applied to the direct jobs figure, resulting in an estimate that a further 1706 indirect jobs between 2023 - 2034 and 183 indirect jobs between 2035 - 2049 will be supported during the residential construction period, generating a total £224.0m in GVA (Oxford Economics), see Table 5.3.

Table 5.3: Indirect Construction Jobs for Residential Phase

Residential Construction 2023-2034 2035-2049 Construction Jobs - Indirect (per annum) 170 183 Economic output from Indirect Construction Jobs (GVA) £95.9m £128.1m

5.12 The combined direct and indirect construction jobs are summarised in Table 5.4. This equates to a total GVA over the construction period (2023 – 2049) of some £656.0m.

Table 5.4: Combined GVA of Direct and Indirect Construction Jobs

Residential Construction 2023-2034 2035-2049 Economic output from Direct Construction Jobs (GVA) £184.9m £247.1m Economic output from Indirect Construction Jobs (GVA) £95.9m £128.1m Total GVA from Construction Jobs £280.8m £375.1m

Total GVA for the Construction Period (2023-2049) £656.0m

4 Figure Subject to Rounding 5 Scottish Government, Type I, employment multipliers, Scotland 2011 (SIC 2007 basis) 6 Figure Rounded 26386/A5/SH/NL/kf 22 March 2018

The Economic Benefits of the Proposed Development

ii) Completed Residential Development

a) Council Tax

5.13 Based on an average council tax value (current 2017/2018 council tax values) within Bracknell Borough (equating to £1,707 per dwelling) development of 1,764 units over the Local Plan Period (assuming immediate occupation) could generate £19.6m in council tax payments.

5.14 The development of 2,236 units over the period 2035 to 2049 could generate a further £76.81m. Following completion on 2049 the 4,000 units could generate £6.8m in council tax payment per annum. Over the period 2050 to 2069 this would generate £136.5m in council tax payments.

b) New Homes Bonus

5.15 The New Homes Bonus Calculator provided by the Ministry of Housing, Communities and Local Government confirms that the provision of up to 4,000 new homes (including 35% affordable homes) would equate to a New Homes Bonus of at least £26.7m.

c) Future Resident and Gross Value-Added Contribution

5.16 The proposed development is estimated to accommodate around 9,600 residents, of which 5,437 are expected to be of economically active age. It is assumed that of this population 4,614 residents will be in employment (see Table 5.5).

5.17 GVA data can be used to provide an estimate of a local area’s contribution towards UK economic growth. New homes accommodate a growing workforce which will deliver economic output in the form of GVA. Oxford Economics provide data on total GVA output and workforce jobs, allowing a GVA per worker figure to be generated.

5.18 Utilising a regional level GVA per worker figure of around £50,9707 per annum, it is estimated that following completion (year 2049) residents living on site who are employed could generate £235.2m per annum in GVA. Table 5.5 sets out the cumulative impact of the proposed residential development at year 2034 (end of Local Plan period), 2049 (completed construction) and 2069 (20 years following completion).

7 Oxford Economics GVA for South East, subject to rounding 26386/A5/SH/NL/kf 23 March 2018

The Economic Benefits of the Proposed Development

Table 5.5: Cumulative Economic Benefits – Residential Development Year 2023- 2034 2035-2049 2050-2069 Resident Population 4,219 9,600 9,600 Of which are economically active 2,390 5,437 5,437 Of which are in employment 2,028 4,614 4,614 GVA generated by Employed Residents £673.9m £2.6bn £4.7bn Resident Expenditure £259.9m £1.0bn £1.8bn Council Tax £19.6m £76.8m £136.5m New Homes Bonus £11.8m £14.9m -

d) Commercial Expenditure

5.19 Experian provides up to date retail and leisure expenditure data for all local authorities across the UK. Experian report (Experian Retail Planner Data, 2015) that the average annual household expenditure on convenience (food), comparison (non-food), and leisure goods and services is as follows:

• Convenience - £5,553 per household per annum; • Comparison - £9,239 per household per annum; • Leisure - £7,889 per household per annum.

5.20 On the basis of these figures, we calculate that the provision of up to 4,000 dwellings will generate an annual convenience goods expenditure of £22.2m; comparison goods expenditure of £37.0m; and expenditure on leisure goods and services of £31.6m. This represents £90.7m of total commercial expenditure per annum to be spent within the local area and beyond.

5.21 As set out in Table 5.5, throughout the Local Plan Period (i.e. 2023 to 2034 a cumulative total of £259.2m in total commercial expenditure (based on current values) could be generated. A further £1.0bn and £1.8bn in expenditure could be delivered over the period 2035 – 2049 and 2050 – 2069.

Local Centre and Education Development

5.22 In addition to the 4,000 residential units and commercial floorspace, the proposed development will deliver a local centre and schools. The local centre will comprise a range of retail floorspace, supporting residents and employees on site. The proposed retail floorspace will create employment opportunities on site.

26386/A5/SH/NL/kf 24 March 2018

The Economic Benefits of the Proposed Development

5.23 Three primary schools and one secondary school will also be delivered to meet education needs generated by the proposed development and meet wider local needs.

Commercial Floorspace - Proposed Extension

5.24 There is currently around 60,600 sqm of existing floorspace on site. 37,400sqm will be retained, removing 23,200 sqm of current floorspace. The proposed development will deliver a further 95,400 sqm of employment space, as set out in Table 4.6. Analysis of the current building stock (Table 5.6) on site reveals a mix of office, R&D labs and greenhouse floorspace.

Table 5.6: Commercial Floorspace Profile (sqm) Total

Current Floorspace Total 60,600

Proposed Demolition -23,200

Current Floorspace to be retained by Syngenta 37,400

Proposed New Floorspace 95,400

Total Floorspace on Completion 132,800 Floorspace Retained by Syngenta 37,400

New Floorspace to be Occupied by Syngenta 23,200 Total Floorspace to be Occupied by Syngenta 60,600

Floorspace to be Occupied by other business 72,200

5.25 The site has a current employee population of around 850 people, this number of jobs will be retained. Along with the retained 37,400 sqm of existing floorspace, Syngenta will occupy 23,300 sqm of the proposed new floorspace. The remaining 72,200 sqm will be occupied by other businesses.

i) Construction Phase

5.26 Demolition of the 23,200 sqm and subsequent construction of the proposed 95,400 sqm is expected to commence in 2022. Delivery of the new floorspace will take place over the period 2023 to 2034.

5.27 The LFT anticipates an average of 287 direct construction jobs will be supported on site per annum over the construction period. With a further 200 indirect positions supported over the period. Based on an annual average GVA per construction worker across Bracknell (Oxford

26386/A5/SH/NL/kf 25 March 2018

The Economic Benefits of the Proposed Development

Economics, 2014-2017), the proposed extension element could generate a direct GVA of around £187.7m over the construction phase. A further £104.3m in GVA could be generated by the indirect employment supported over the construction period.

ii) Operational Phase

5.28 The current mix of Syngenta’s principal buildings comprises office, laboratories and glass houses floorspace. Of the proposed 95,400 sqm, 72,000 sqm will be occupied by new businesses. A precise specification for the proposed Science and Innovation Park has yet to be determined, and it is probable that much of the development will take the form of bespoke development.

a) Business Rates

5.29 The Proposed Development will generate annual business rates, contributing to the funding of public services. Rateable values for the District are provided by the Valuation Office Commercial and Industrial Floorspace and Rateable Value Statistics. The rateable value is an estimate of the annual rent a property could generate. Valuation takes into consideration the size and location of a property.

5.30 Based on the current rateable valuation for the existing employment floorspace at Jealott’s Hill, adopting the same valuation per sqm, it is estimated that the proposed total floorspace on site following completion could generate around £2.6m in annual business rates. Over the Local Plan period this will deliver £10.6m, by 2049 a total of £41.6m in business rates payments could be generated, with an additional £52.0m between 2050 and 2069.

b) Commercial Floorspace

5.31 Syngenta will seek to enable, though its extensive contacts in the industry engaging with suppliers, partners and adjacent technology providers to collaborate on novel technologies and their application to Agri-Tech and other sectors. This may entail working with tech start-ups, possibly with Syngenta providing investment as well as technical support. The focus is on the development of technology and intellectual property rather than the creation of jobs. But as an indication it is estimated that around an additional 400 jobs will be created at Jealott’s Hill through these sorts of collaborations. It is expected that that this will entail a requirement for 23,000 sqm of floorspace (GIA), based on the current ratio of employment to functional floorspace at Jealott’s Hill of 46 sqm (NIA) per FTE job.

26386/A5/SH/NL/kf 26 March 2018

The Economic Benefits of the Proposed Development

5.32 8The capacity of the rest of the Science and Innovation Park is therefore around 49,000 sq m (GIA). At this stage it is hard to anticipate the pace of take up of space and the type of occupiers, other than to state that policies will be developed to ensure that the quality of occupier is appropriate to the Science and Innovation Park, and to attract occupiers in activities related to the agri-tech focus of Jealott’s Hill.

5.33 It would be appropriate, however for the Science and Innovation Park to be marketed for B1b R&D, B1a office and B1c clean tech/light Industrial uses. If the predominant uses were to be B1b R&D and B1c Clean Tech uses, then the remaining allocation once developed would lead to the creation of an additional 850 FTE jobs once full occupation was achieved (see Table 5.7).

Table 5.7: Indicative Employment Associated with a R&D and Clean Tech Business Park (B1b and B1c Uses) Sqm Scenario 1 GIA NIA per FTE FTE Job Non- Syngenta Occupation 49,000 39,200 - - B1a - - - - B1b 24,000 19,600 46 426 B1c 24,000 19,600 47 417 Total 49,000 39,200 - 843 Rounded to 840

5.34 Higher levels of job creation would be achieved if an element of the Science and Innovation Park were to be used for offices, which are associated with much higher concentration of employment (more jobs per sqm). Assuming that the business park was developed with around a third offices (B1a), a third R&D use (B1b) and third clean tech/light industrial uses, then the this could be associated with around 1,600 FTE jobs (see Table 5.8).

Table 5.8: Indicative Employment Associated with a R&D and Clean Tech Business Park (B1b, B1c and B1a Uses) Sqm Scenario 2 GIA NIA per FTE FTE Job Non-Syngenta Occupation 49,000 39,200 - - B1a 16,000 - 12 1,067 B1b 16,500 - 46 287 B1c 16,500 - 47 281 Total 72,000 61,200 - 1,634 Rounded to 1,600

8 Paragraph 5.32-5.36, Table 5.7 and 5.8 have been sourced from Jealott’s Hill, Bracknell : A Driver of Economic Growth in Berkshire and the UK, Wessex Economics

26386/A5/SH/NL/kf 27 March 2018

The Economic Benefits of the Proposed Development

5.35 The proposed development programme at Jealott’s Hill is anticipated to have the following impact in terms of jobs located at Jealott’s Hill:

• Retention of current 850 jobs comprising Syngenta employees and contractors at Jealott’s Hill • Anticipated creation of around 400 jobs in collaborative research programmes enable by the new development • Creation of between 840 and 1,600 additional jobs in floorspace associated with the Science and Innovation Park

5.36 As set out in Table 5.9 the total onsite jobs could range between 2,090 and 2,850.

Table 5.9: Total Jobs Onsite

Jobs GVA per Annum

Syngenta – Existing Onsite 850 £37.3m

Additional Jobs in Collaboration with 400 £17.6m Syngenta

Additional Jobs – Scenario 1 840 £37.0m

Additional Jobs – Scenario 2 1,600 £70.4m

Total Jobs Onsite – Scenario 1 2,090 £92.0m

Total Jobs Onsite – Scenario 2 2,850 £125.4m

5.37 It is assumed that the mixed-use nature of the scheme will result in a number of the residents also working on site. It is estimated that around 10% of residents accommodated within the proposed 4,000 dwellings will also work on-site. This has been taken into account when reviewing the economic output generated by on site employees.

5.38 Completion of the employment floorspace will take place at an earlier stage (year 2034) than the proposed 4,000 dwellings (year 2049). This means there will be an active employee population on site whilst construction of the residential element is underway (2023 onwards). Table 5.10 goes on to detail the operational economic benefits of the commercial element over the period 2034 to 2049, and 2050 to 2069. It takes into account the proportion of employees anticipated to also live onsite.

26386/A5/SH/NL/kf 28 March 2018

The Economic Benefits of the Proposed Development

Table 5.10: GVA Generated by Indicative Onsite Employment – Accounting for employees who work and Live onsite (*10% reduction in total GVA)

Total GVA Total GVA Total GVA 2023-2034 2035 – 2049 2050 – 2069 Jobs (annualised (annualised (annualised GVA) GVA) GVA)

Associated Syngenta Jobs 2,090 £665.2m £1.2bn £1.7bn + Scenario 1 Associated Syngenta Jobs 2,850 £789.4m £1.7bn £2.3bn + Scenario 2

Summary – Economic Benefits

5.39 We anticipate, based on realistic assumptions, that the new science and innovation park buildings could be completed by approximately 2034, whilst the complete 4,000 dwelling development could be completed by approximately 2049. The latter based upon a prudent delivery rate of 150 homes per annum. This falls at the lower end of the anticipated delivery rate range, of up to 200 homes per annum. If higher rates of delivery were to be achieved, this would have the effect of shortening the construction phase by approximately 7 years (to 2042); increase annual construction output and bring forward the economic benefits associated with the residential component of the scheme.

5.40 To put the expected uplift in economic output (GVA) into context, Thames Valley Berkshire LEP estimates that the total GVA of the Berkshire Economy is £30bn. The annualised value of GVA generated by the development once fully built out and occupied is estimated in Table 5.11. Table 5.11 goes on to set out the developments value, on this basis the GVA created by the, relative to the total value of the Berkshire economy.

5.41 Table 5.11 summarises the delivery of economic benefits across the periods 2023-2034, 2035- 2049 and 2050 to 2069.

26386/A5/SH/NL/kf 29 March 2018

The Economic Benefits of the Proposed Development

Table 5.11: Economic Benefits Summary Table Year Over the Over the Over the Period Period Period

2023-2034 2035-2049 2050-2069

Indirect Jobs during Construction Period 200 - - (average)

Direct GVA during Construction Period £187.9m - -

Indirect GVA during Construction Period £104.3m - -

Business Rates £10.8m £41.6m £52.0m

Onsite Jobs 2,090-2,850 2,090-2,850 2,090-2,850

GVA (B) £655.2m - £1.2bn - £1.7bn - £786.4m £1.7bn £2.3bn

Total GVA – Generated by Residents & Onsite Employees

£1.3bn - £3.9bn – £6.4bn – Total GVA - A+B £1.5bn £4.3bn £7.0bn

Annual GVA- (A+B/time period) £111.6m – £259.1m – £318.0m - £121.7m £289.2m £348.1m

% of the total value of the Berkshire 0.37%- 0.86%- 1.1%- 0.41% 0.96% 1.6% economy per annum

26386/A5/SH/NL/kf 30 March 2018

APPENDIX 1

BW Plus Info-Graphic

J e al ott’ s Hill Phased Construction and Occupation Period (2023 to 2034) Econo mic Benefts Su m mary

RESI DE NTIAL A N D RESI DE NTS BY 2034 E MPLOY ME NT AT 2034 CO M MERCIAL 4, 3 2 3 2, 0 9 0- £655.2 M- CO NSTRUCTIO N £786.4 M DI R E C T J O B S: 2, 8 5 0 5 7 0 O N-SITE J O BS I N DI R E C T J O B S: 3 7 0 G V A: £673.9 M £573 M G V A

RESI DE NT C O U N CI L T A X T OTAL GVA EXPE NDITURE £ 1 9. 6 M £673.9 M £259.9 M NE W HO MES BONUS GE NERATED BY RESIDE NTS £1.3 B N- GE NERATE D BY £ 1 1. 8 M RESI DE NTS A N D £ 1. 5 B N E MPLOYEES

Copyright © Barton Will more 2018 The reproduction or trans mission of all or part of this work, whether by photocopying or storing in any mediu m by electronic means or other wise, without the written per mission of the o wner, is prohibited. J e al ott’ s Hill Phased Construction and Occupation Period (2035 to 2049) Econo mic Benefts Su m mary

RESI DE NTS BY 2049 E MPLOY MENT RESI DE NT 2, 0 9 0- £1.2 B N- EXPE NDITURE 9, 6 0 0 £ 1. 7 B N 2, 8 5 0 G V A O N-SITE J O BS £ 1. 0 B N £ 2. 6 B N G V A

C O U N CI L T A X T OTAL GVA R E SI D E N TI A L £ 7 6. 8 M £3.9 B N- CO NSTRUCTIO N B USI NESS RATES £ 4. 3 B N DI R E C T J O B S: £ 4 1. 6 M 3 0 5 GE NERATE D BY I N DI R E C T J O B S: NE W HO MES BONUS RESI DE NTS A N D 1 8 3 E MPLOYEES G V A: £ 1 4. 9 M £375.1 M

Copyright © Barton Will more 2018 The reproduction or trans mission of all or part of this work, whether by photocopying or storing in any mediu m by electronic means or other wise, without the written per mission of the o wner, is prohibited. J e al ott’ s Hill O perational Perio d (2050 to 2069) Econo mic Benefts Su m mary

RESI DE NTS BY 2049 E MPLOY MENT RESI DE NT 9, 6 0 0 2, 0 9 0- £1.7 B N- EXPE NDITURE £ 2. 3 B N 2, 8 5 0 G V A O N-SITE J O BS £ 1. 8 B N £ 4. 7 B N G V A

C O U N CI L T A X T OTAL GVA £6.4 B N- £136.5 M £ 7. 1 B N B USI NESS RATES GE NERATE D BY RESI DE NTS A N D £52 M E MPLOYEES