Date: October 2019 Version 1.0 Approved by DM 1

ECONOMY AND REGENERATION PORTFOLIO OVERVIEW

Portfolio Summary Since launching my portfolio agreement back in July, we have made good progress in several areas and seen major development in potentially achieving better public transport.

The Mayoral Development Corporation (MDC) is now a reality and the prospect of 3,500 new homes, many of which will be affordable, is now on the horizon.

Working with Homes and with cabinet agreeing to a £100m loan facility to ‘kick-start’ development, this represents a significant period in the regeneration of our town centre and realising the true potential our borough has. Indeed, with the Mailbox – aka the old Sorting Office – nearing completion, the first project within the MDC boundary is almost upon us, providing 119 new homes.

Our work within the Market Place is bearing fruit: footfall is up 6.3% compared to the previous year, above the forecast of 5%. Of course, the success of the Produce Hall is central to the Market Place’s resurgence and I make no apology for being a vocal supporter of it.

Of course, there is still much to do; I am still mindful that people want to see a more comprehensive outdoor offering. I do, too, but this must be sustainable for the long-term: we only need to look at what recently happened in Rochdale to understand that markets are a very delicate area within retail.

Occupancy within Town Centre is on course to meet our 75% target and we are hopeful we will meet our target of 300 independent businesses within the Town Centre this year. Indeed, proposals we’re set to bring to E&R scrutiny in December will, I hope, support us in meeting this target while also supporting the regeneration of our district centres.

Regenerating our district centres is something I am incredibly passionate about: if we think about ‘the Stockport pound’ and how money spent locally circulates and multiplies, thereby benefiting more residents, district centres are at the heart of delivering that. This also links into Community Wealth Building, which I touch on below.

Continuing with the Town Centre, our plans for Adlington Walk are ongoing and Stockport Exchange 2 is progressing well. Meanwhile, the old White Lion pub redevelopment is nearing completion and will bring 11 new homes right in the heart of Underbanks. Other developments within the Town Centre are also under discussion and I hope to bring you news about these soon.

My aim for Stockport to lead on walking and cycling within Greater has been recognised by ’s Walking and Cycling Commissioner, Chris Boardman, who is delighted by the progress we’re making. We’ve recently gone to consultation on eight projects and the hope is these will have ‘buy-in’ from local communities and have a true, bottom-up approach.

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Walking and cycling proposals shouldn’t only aim to reduce car journeys, thereby supporting healthier lives and addressing poor air quality, but make our communities nicer places to live and support wider road safety. I am grateful for the enthusiasm and ideas WalkRide groups across Stockport have and look forward to seeing further proposals from them in the coming months.

Linking into walking and cycling is improving public transport and the proposal for bus franchising is essential to reducing congestion, improving air quality and delivering integrated public transport after years of theory, speculation and discussion.

I am a vocal advocate for bus reform and feel we have an enormous opportunity to deliver a bus network that Stockport and Greater Manchester can be proud of. I believe we can gain the routes we need that will benefit people and communities, such as improving links to existing rail and Metrolink stations, while having a network that is truly accountable, more affordable and offers far better value for money.

Indeed, the franchising model is forecast to deliver around £345m in economic benefits across Greater Manchester and I believe if we don’t take this opportunity now, we will regret it for many years to come from an economic, social and environmental perspective.

The council’s statutory response will, from the outset, push for any benefits of bus franchising to reach the borough as soon as possible. I also hope the government will provide the funding necessary to avoid a rise in the mayoral precept relating to bus franchising. Nevertheless, members who are pro-franchising must support the consultation and get their communities involved – and I am happy to help in this regard.

Finally, on Community Wealth Building, the council now has its own Steering Group and has commissioned the Centre for Local Economic Studies (CLES) to look at how the council can help develop a more socially just and progressive local economy.

CLES work closely with local authorities across the country, including Manchester, Oldham and most notably Preston, to support the delivery of local economies that people feel work for them: this is where our work on district centres comes in and supporting the development of small businesses.

The theme of Community Wealth Building is something I will be regularly returning to over the coming weeks and months.

Cllr David Meller, Cabinet Member for Economy and Regeneration

Revenue Budget (Forecast) Capital Programme

£000 Cash Limit 1,842 Forecast 1,842 £000 (Surplus)/Deficit 0 2019/20 Capital Budget 63,424 2020/21 Capital Budget 44,544 Reserves 2021/22 Capital Budget 33,616 Approved use of reserves balance is £1.927m. Planned draw down at Quarter 2 is £0.403m (revenue) and £0.097m (capital) draw down.

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ECONOMY AND REGENERATION 1. DELIVERING OUR PRIORITIES

This report is based on the 2019/20 Portfolio Agreement, approved by Cabinet on 23 July 2019. The link to the Agreement is here.

A full update of performance data is in Appendix 1 to the report.

Priority 1: Inclusive growth We will focus on support and regeneration of the local economy, including significant investment in the town centre. There will be a greater focus on securing the economic, environmental and social benefits of growth for local people, supporting the creation of good jobs for people to increase individual and community independence and taking steps to address the rising cost of living.

Progress on delivery projects, with highlights and exceptions

Local Employment & Skills Plans Agreements Good progress continues to be made on the Stockport Exchange Phase 3 Employment & Skills Plan, including very positive engagement between the contractor (GMI) and Stockport schools for project work, and for student site experience and work placements.

Other developments this quarter include the agreement of an Employment & Skills Plan for Adlington Walk (which begin soon), completion of the plan with the RG Group for the LSH Mercedes development and continuation of the Employment & Skills Plan for Elisabeth Mill.

GM Good Employment Charter The GM Good Employment Charter has been actively promoted through the Business Bulletin, social media, Stockport Economic Alliance and the Stockport Work & Skills Board. The Cabinet Member for Inclusive Neighbourhoods also promoted the benefits to employers at the Jobs Fair. To date seven Stockport employers have signed up as Supporters (including the Council). A further big push will therefore be made through business engagement routes to encourage more employers to support the Charter by promoting its benefits.

European Social Fund (ESF) Skills Support Programmes The ESF Skills Support Programmes (Skills Support for Employment, Skills Support for the Workforce and the NEET Support Programme) have all now gone live, and have been promoted via the Working Well Local Integration Board to ensure they are integrated with the Working Well Programmes. Skills Support for the Workforce has also been promoted via the Stockport Business Bulletin, and via Skills Need Analysis support provided by the GM SEDA (Supporting Employer Demand for Apprenticeships) Advisers for local businesses accessing Apprenticeship Grants. The ESF Skills Support for the Workforce Programme delivered by the Growth Company is also a key support in the Thomas Cook Task Force set up to support affected employees.

Stockport Work & Skills Board The Board met during Quarter 2 and continues make progress on its Action Plan priorities. The Board has also received briefings on progress regarding the GM Good Employment Charter. Current work commissioned to review the Work & Skills offer in Stockport will support the work of the Board going forward in terms of responding to gaps, and avoiding duplication where possible.

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Small and Medium-sized Enterprises (SME) Apprenticeships Grant Since the Grant Offer went live at the start of 2019-20, 16 employers have accepted a grant. The earliest offered grants are now reaching payment stage. A similar number of employers have received information / application forms and are considering applications. Forty grants are available, all to be offered by 31st March 2020. Regular marketing has taken place through the Stockport Business Bulletin, social media promotion and awareness raising at Business Network Groups.

Support for new business start ups People Plus delivers support for new business start-ups on behalf of the GM Business Growth company using local authority funding and the European Regional Development Fund. Between April 2019 to end September 2019, 42 potential entrepreneurs have received support from the service, leading to 11 new business starts to date. One-to-one advisory sessions are delivered fortnightly from Stockport Central Library, as are themed workshops (e.g. on marketing skills).

Business/education liaison and support Gander supported 268 students during the 2018/19 academic year. Funding for the Gander initiative is secure for another academic year and a new Gander coordinator is now in place. The memorandum of understanding has been revised and issued to all partners.

The Economy, Work and Skills team promoted and supported the "Meet your Future" speed career networking event in July, delivered by Bridge GM. The team encouraged Stockport employers to participate in discussing their careers and career choices with young people from across GM. Manchester Digital will deliver a version of this called "Meet your Digital Future" event in March 2020 in the Town Hall Ballroom. This will be a speed career networking event aimed at encouraging young people to consider careers in digital and technology.

The annual Education and Training information event took place in the Town Hall Ballroom on 15th October. All local further education colleges and training providers attended and all young people in Years 10 and 11 received invitations to attend.

Business engagement/liaison and events Since April 2019, the Council has delivered two sector networking events (finance/professional and Digital), three area business events, a round table consultation for the digital sector and three Stockport Economic Alliance meetings. Topics included Preparation for Brexit, the Clean Air Plan and Apprenticeship Grants. The Council also supported an event for businesses in Stockport's Care Sector. The Employment, Work and Skills team has also supported Stockport Business Awards, Marketing Stockport, Business Growth Hub and the Chamber of Commerce in promoting and supporting their local business events.

Account management support was provided to approximately 20 businesses throughout the period, with additional enquiries referred to the Business Growth Hub as appropriate. In addition, the business incubation service at Stockport Business and Innovation Centre has provided direct support to 26 businesses and delivered six events since April.

Growth sector support The Council supported the Finance and Professional Sector and Digital Sector through networking events and opportunities to share business and sector information. A Finance and Professional event took place on 1st May 2019 and a Digital event on 30th May 2019. The Council also worked with GMCA to understand productivity issues in these sectors and deliver a joint workshop on 10th September that also involved Manchester University and MMU, which focussed on barriers to growth in the digital sector.

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Business Growth Hub Between April and September, the GM Business Growth Hub has supported 63 businesses, leading to the creation of 35 new jobs (compared to 594 businesses and 260 new jobs across GM). The majority of those receiving support were micro businesses (with up to 10 employees). The greatest job increases were in Heatons North, Brinnington & Central and Manor. In addition, 42 potential new entrepreneurs have been supported, leading to the creation of 11 new businesses (for GM these figures are 183 and 54). The Economy Work and Skills team, and the staff at Stockport Business and Innovation Centre (SBIC), continue to promote Business Growth Hub support and events, referring clients to the service as appropriate. The Growth Hub expects to have a dedicated Account Manager in place by November, to provide Stockport-based businesses with a dedicated resource. This proactive approach aims to have a positive impact on outcomes, productivity and growth.

Social Value GMI Construction Group's contract from MUSE Developments to build Stockport Exchange Phase 3 (with Council money) is a current project with significant Social Value commitments in terms of work, skills and engagement with schools and colleges. There has been strong progress on this project during Quarter 2 in terms of engagement with Stockport schools and Stockport College.

Agreements to the Social Value commitments were also secured as part of the Adlington Walk investment, through the tender process and subsequent discussions with Graham Construction. These are tracked and monitored via meetings with contractors and use of the Construction Industry Training Board’s monitoring database.

National social value performance measures were identified for potential bidders to address during the procurement process for the Stockport Steps to Work contract.

The Council has provided an overview of its priorities to STAR Procurement to map against the National Social Value KPIs to inform the development of a Stockport Social Value Charter.

Early preparatory work started in Quarter 2 with colleagues in STAR to review and update the Stockport Social Value Guidance, to make it fit for purpose and in line with STAR now adopting the national Social Value KPIs and Social Value Portal.

Officers and Cabinet Members are working with the Centre for Local Economic Strategies (CLES) to assess the scope for developing community wealth building in Stockport, and the role which the Council can play in the future as regards deepening existing progressive activity and harnessing even greater benefit for the Stockport economy and its residents. The CLES model is based on five strategies covering procurement, employment, land and assets, financial power and the democratic ownership of the local economy, and has been developed over the last ten years following successful work with Preston and the “Preston Model”. CLES are clear that Stockport needs to develop an approach and solutions that are appropriate for its local needs, and this work will be progressing over the next quarter. Updates on this work will be reported through future Portfolio Performance and Resources Reports.

Economic information The Stockport Business Bulletin, containing business news and event information was circulated to around 2000 business contacts in August and September.

The Stockport Economic Overview (2019 edition) was posted on the Council's web pages in July, containing key statistics regarding the Stockport economy.

Employment statistics are published and circulated monthly via email.

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Information on the Council's web site is reviewed regularly and amended whenever necessary.

The commercial property database is available online and via the Employment Work Skills team. EGi regularly updates the database. (EGi is the Estates Gazette website, which acts as a conduit for commercial property information and encourages all commercial property agents to post information about their available industrial/commercial sites and premises and details of any sales/lettings).

Natural Capital Work is underway to embed a natural capital policy in the Stockport Local Plan. The evidence underpinning the strategy is in place and the Council will draft the policy in time for the next public consultation on the Local Plan due in Summer 2020. This work builds on the Natural Capital work for the Greater Manchester Spatial Framework.

Local Plan/GMSF The Council has continued to contribute to the development of the GMSF. The consultation on the revised draft closed in March this year and work has been underway since then to analyse consultation responses. Officers have continued to work towards achieving the optimum urban housing land supply and this will continue in the coming months. Work also continues on assessing the allocations and working towards masterplans for the appropriate sites. On 27th September 2019. GMCA agreed that consultation on the next stage of the GMSF would take place over a 12- week period from Summer 2020.

Work has also been undertaken in respect of evidence across a wide range of topics to support the Stockport Local Plan (SLP), with further evidence to come. Officers have reported progress to the Local Development Framework Working Party and have agreed with members a series of meetings to outline that evidence and to discuss potential policies and allocations to support a local plan that meet the aims above. It is intended that consultation on the Draft SLP will take place alongside the GMSF consultation next summer.

Performance Highlights and Exceptions

Number of breaches of planning control discovered as a % of complaints received (E&R1.1) An increase in number of breaches has been found. As in Quarter 1, it is evident that the Council is receiving fewer complaints where there are no planning breaches. The service cannot determine the number of breaches as it is dependant of the complaints received and what is found on site.

Percentage of breaches where formal action was taken (E&R1.2) The majority of the above breaches are resolved by negotiation – just 11% required formal action this quarter). This success is underpinned by the fact that the Council will take formal action when required.

Square feet of office, retail and industrial space let or sold to new occupiers (E&R1.5) The 2019/20 outturn for this measure is currently forecast to be 550,000 square feet, which falls short of the 600,000 target. Though this measure can be subject to considerable volatility, the current position is similar to the same period in 2018/19. Increased sales/lettings are expected towards the end of the year, as summer is generally a quieter period for deals being signed. There is also some anecdotal evidence suggesting that uncertainties relating to Brexit have contributed to stalled investment decisions, in which case there is likely to be a degree of pent-up demand in the system. Potential deals before the end of March include those relating to space in Redrock, M&S, BHS and Stockport Exchange.

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Priority 2: Tackling unemployment Our work on inclusive growth, set out above, aims to support creation of attractive employment opportunities within the Borough, whilst having a strengthened focus on securing the economic and social benefits of growth for local people. In addition to this, we will provide and support access to services to improve labour market inclusion, assisting those citizens who want to work, develop skills and increase earnings, but need help to enable them to enjoy sustainable employment opportunities.

We remain committed to the development of a youth jobs guarantee, alongside employment, skills and apprenticeship programmes, laying the foundations that will help eradicate youth unemployment. We will develop an employment pathway for looked after children and those with additional needs. Progress on delivery projects, with highlights and exceptions

Stockport Steps to Work The Stockport Steps to Work contract to provide employer engagement and in-work support has gone out to the market seeking proposals during Quarter 2, with submissions to be received and evaluated in early Quarter 3 for contract award and start.

Stockport Jobs Fair The Jobs Fair took place held on 24th September. Over 40 employers and 650+ people attended. Initial feedback from both jobseekers and employers has been very positive.

The Jobs Fair was able to provide immediate support for former Thomas Cook staff, following the closure of the business the previous day, as part of the wide-ranging Thomas Cook Task Force set up by the GM Mayor. The regional BBC News and Radio Manchester attended to report on the support for Thomas Cook staff affected.

Three sessions on Apprenticeships were also delivered and these were well attended.

Work Clubs Work Clubs in the three localities (Bridgehall, Lancashire Hill and Offerton) continued during Quarter 2. The Work Clubs offer and team are now part of the Continuing Education Service, and the staffing has been reviewed to ensure strong support is in place for the Service's learners, including through support at the Centre on Hardman Street. The team also provided support to jobseekers at the Jobs Fair.

Working Well (WW) The Council took part in the process of recruiting a new Local Integration Co-ordinator for WW to ensure appointment of an individual who meets the Council's objectives for local integration, as well as the Provider (InWork GM) who is the employer. The Local Integration Board will meet again when the new co-ordinator is in place as part of the induction.

Meetings also took place with the WW Early Help provider to support integration and work has started to plan a local workshop of partners to increase referrals. The provider is co-located in Brinnington Practice, which is proving successful, with plans to roll out to the other participating practices.

Procurement for the WW Specialist Employment Service is currently underway and the Council drafted the Stockport “Ask & Offer” included in the tender documents. 8

Performance Highlights and Exceptions

Unemployed young people The unemployment rate for 18-24 year olds increased to 4.2% (795 people registered as unemployed at the end of August – the latest available data). The impact of more customers starting to claim Universal Credit, with more people coming into scope being required to look for work, rather than under Jobseekers Allowance, is leading to a rise in claimant numbers. The comparable rates are North West (4.8%) and GB (3.9%), both of which have also seen increases during the quarter.

Unemployment (all ages) The unemployment rate for 16-64 year olds increased to 2.5% (4,485 people) in Quarter 2. As above, this is largely due to the introduction of Universal Credit. The comparable rates are North West (3.5%) and GB (2.8%), which have both also seen increases in Quarter 2.

Apprenticeships The 2018/19 outturn will be available in December 2019, when the 2019/20 target will be reviewed. The expectation is that there will be a significant drop in Apprenticeships starts in 2018/19 and 2019/20 across England. The promotion of Apprenticeships was a key element of the Jobs Fair in September, including three information sessions for jobseekers delivered by the team at the Apprenticeships Store and supported by colleagues from Stockport Homes who promoted Apprenticeship opportunities within their organisation.

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Priority 3: Stockport Town Centre regeneration We are committed to developing the physical and business infrastructure in and around Stockport Town Centre, working with our partners to attract more people and businesses with a great mix of retail, commercial, leisure and residential opportunities. The Mayoral Development Corporation will bring together partners to unlock the potential for our long-term ambition of large-scale regeneration for the Town Centre West site. Progress on delivery projects, with highlights and exceptions

Mayoral Development Corporation (MDC) The Mayoral Development Corporation launched on September 9th. Its strategic business plan for the period to end-March 2020 was endorsed at its first Board meeting and will be adopted following approval by both GMCA (granted September 27th) and the Council (Cabinet decision due on November 12th).

To ensure the MDC has the capacity to begin the work of unlocking and accelerating development as soon as possible, the Council has developed a proposal to create an investment facility for the MDC of up to £100m (with all individual investment proposals within that facility subject to their own evaluation, appraisal, and approval processes). The investment facility proposal was developed over Quarter 2 and received Cabinet approval on October 1st.

Ongoing work to deliver the committed development schemes in the MDC area is progressing well – and reported separately in this document. In parallel, the critical site acquisition and land assembly works that will support the MDC’s first phase delivery are well underway through positive negotiations with landowners in the area.

Merseyway

Lettings There has been a diversification into leisure with openings of the X-Gen VR operator and The Players Entrance. New lettings have been completed to Waterstones, Beaverbrook’s, Thomas Cook and Gabbots Farm. Our agents are in legal negotiations for units with three other occupiers and there are two further units under offer. The purchase of the BHS building brought Optical Express and Poundland into the tenant portfolio. Also in Quarter 2, Thomas Cook went into administration (September) and two stores closed as Thomas Cook was the landlord (the former Co-op Travel and Thomas Cook). In addition to these Bap went into liquidation and have ceased trading. There have been strong offers to re-let the Thomas Cook unit however, which is expected to be re-let during Quarter 3.

Redevelopment A planning application has been submitted and validated for the redevelopment of Adlington Walk and a main contractor selected. In addition, a consultant team has been selected and appointed on the Future High Streets Fund business case submission to the Ministry of Housing, Communities and Local Government (MHCLG) for funding for upper floors and adjacent areas to Adlington Walk and a Landscape Architect has been appointed on Merseyway Public Realm to design a new public realm environment to be costed and installed.

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Stockport Exchange This is still on schedule for February 2020 completion. Marketing is underway and there has already been interest expressed in units.

A temporary surface car park opened, providing 72 spaces adjacent to Exchange 2 office building. Town Centre Access Plan (TCAP) public realm improvement works onsite from Holiday Inn to the end of the Leisure Centre, will be complete by the end of November 2019.

The purchase of 84 Wellington Works was completed in in Quarter 2.

Market Place and Underbanks

 TCAP works were completed in front of Produce Hall and the Angel.  Architect/multidisciplinary design consultant was appointed for Winters to design the interior.  The White Lion scheme has progressed but has been slightly delayed. Completion is now expected in November.

Market During Quarter 2, the monthly Foodie Friday, Makers Market, Artisan Market and Vintage Village/Classic Vehicle Show all took place in the Market Place. Other events such as Stockport Pride and Stockport Food & Drink Festival, as well as the Giant Leap Forward Frog initiative, also helped generate a 6% increase in movements into the Covered Market Hall compared to the same quarter last year.

Stockport Interchange Continued procurement work took place over the quarter with tender exercise ongoing to select a preferred residential development partner. The main contractor procurement exercise was revisited following the initial run with revised tender instructions and clarifications. Design work continues to progress and will increase with the above appointments. Link bridge early stage constraints assessment and design work began in the quarter.

Town Centre Animation and Commercialisation Stockport Food & Drink Festival took place held over three days (6th-8th September). Footfall was high throughout the Town Centre and both visitors and traders provided considerable positive feedback. The Town Centre wide Christmas programme has been finalised and is ready to launch and promote from mid-October onwards. Contractors were appointed to supply digital screens at Merseyway and Redrock.

Marketing Strong relationships were established with developers and agents. The Council participated in local and regional panel sessions promoting recent successes and future opportunities - Marketing Stockport, Place North West, Built Environment Network, Movers & Shakers. Journalist briefings were help with Place North West and Manchester Evening News.

Partnership working The Council actively supported Totally Stockport's Giant Leap Forward initiative, which proved extremely successful. In partnership with Totally Stockport, the Council hosted a Breakfast Briefing for town centre retailers/businesses to update them on recent successes and future priorities for the town. Monthly Business Watch meetings were re-established in partnership with Totally Stockport and the Police. A collaborative approach has been established with partners to deliver joint events and activities in the town centre that benefits Merseyway, the Market and Underbanks. The Council supported The Light Cinema in launching its new corporate facility.

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Townscape Heritage The role of Townscape Heritage Manager post has been advertised and an interview process was completed following the previous incumbent leaving the role in June. A candidate has been selected and they are due to start is early November. Following the appointment, a review of strategy and a renewed focus on funding opportunities will take place.

Performance Highlights and Exceptions

Increased footfall in the Market Area (E&R3.1) Following sustained reductions in footfall in recent years, signs are emerging that this trend is reversing. During the quarter, a range of events (outlined above) helped to generate a 6% increase in movements into the Covered Market Hall compared to the same quarter last year.

Square feet of office, retail and industrial space let or sold to new occupiers in Stockport Town Centre (E&R3.4) As with E&R1.5 above, the 2019/20 outturn for this measure is currently forecast to fall short of the target (125,000 square feet compared to a target of 150,000). As with E&R1.5, Brexit may be a factor in this, but increased sales and lettings are expected towards the end of the year. Potential deals before the end of March include those relating to space in Redrock, M&S, BHS and Stockport Exchange.

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Priority 4: Transport priorities to 2040 We will play our part in delivering world-class transport connections that support long-term sustainable economic growth and access to opportunities for all. We are committed to prioritising improvements to public transport through the Town Centre Access Plan and Stockport Interchange, whilst continuing to lobby to bring Metrolink tram / trains to Stockport. Progress on delivery projects, with highlights and exceptions

Town Centre Access Plan (TCAP) The new Travis Brow Link Road and associated public realm footway enhancements on the A6 Wellington Road North were completed and all traffic management removed in Quarter 2. The award winning Travis Brow Link Road has been shortlisted for two further awards – the national Highways Awards “Most innovative Highway Authority scheme of the year” and the Civil Engineering Contractors’ Association (NW) “Project of the Year”.

Further public realm footway and landscaping enhancements began in the Exchange area (near the new office building under construction, temporary car park and Life Leisure swimming pool).

Pedestrian and cycling improvements started at the Hall Street junctions with Turncroft Lane and Banks Lane.

Walking and Cycling Plan Stockport has submitted five bids in the sixth Tranche of the Mayoral challenge fund round and a response is expected in November. The Council has also continued to work on the previous successful bids with consultation with the public and the development of schemes and these will be consulted on during October. The Walking and Cycling forum also met for the first time in September to give a new forum for the public to discuss walking and cycling issues.

Stockport Interchange The new bridge over the river has been completed and is in use. Local schools have been invited to suggest names for the new bridge. Work on finding the contractor and development partner is continuing.

South East Manchester Multi Modal Strategy (SEMMMS) Refresh More detailed studies on specific elements of the strategy have been commissioned, including potential new rail stations and the potential tram train/Metrolink routes.

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GMS Priorities The work of the Portfolio supports priorities, ambitions and measures from the Greater Manchester Strategy (GMS). Latest updates on delivering on these priorities were reported to GMCA in June and to Cabinet and Scrutiny Committees in July. Relevant indicators are highlighted under the respective priorities above. Further updates to October are due to be reported to GMCA in November, and subsequently to Cabinet and Scrutiny.

The GMS Priorities relevant to the Economy and Regeneration Portfolio are:

 Priority 3: Good jobs, with opportunities for people to progress and develop.  Priority 4: A thriving and productive economy in all parts of Greater Manchester.  Priority 5: World-class connectivity that keeps Greater Manchester moving.

Wider Context and Challenges

GM Launch “Our Pass”Scheme for 16-18 Year Olds GMCA have launched the “Our Pass” scheme, which opened in July for applications and began in September. The trial gives free bus travel for 16-18 year olds in Greater Manchester after a nominal £10 administration fee. The scheme is being trialled for two years.

Greater Manchester “Our Prospectus for Rail” Published The Mayor of Greater Manchester has published a prospectus to double the number of rail journeys in the city-region by 2040.

GMCA Launch Public Consultation on Bus Franchising GMCA has commissioned a major public consultation into how buses should be run in GM. The consultation will run from 14th October 2019 to 8th January 2020.

Greater Manchester’s Cycling and Walking Network – Stockport Proposals As part of the GM-wide Bee Network, Stockport Council has created a number of proposals to apply for funding for its local parts of the network. Residents’ views are sought on the proposals, which are being requested through a consultation that has now gone live. The public consultation is taking place between 7th October and 4th November 2019.

Stockport Mayoral Development Corporation Launched The Mayor of Greater Manchester, Homes England and Stockport Council launched the Stockport Mayoral Development Corporation (MDC) on 9th September. The MDC will focus on the next stage of Town Centre regeneration, which will lead to the creation of a new urban village with up to 3,500 new homes, up to 1,000,000 square feet of employment floor space and accommodate up to 5,300 jobs.

Department for Transport (DfT) Announced National Road Sign Examination DfT has announced that a national examination of England’s roads will be carried out to investigate concerns that poor markings are putting safety at risk. Based on the findings, DfT will advise councils on which areas they believe are most in need of investment.

Government Launches HS2 Review The government has launched a review into the HS2 high-speed rail line. Government will consider all outcomes, ranging from scrapping the project entirely, to completing the project after the next phase, and beyond.

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New National Design Guide for Councils The Government has issued a new National Design Guide. The guide urges councils to ensure new houses and developments are not built at the expense of quality, design and beauty, which may reduce local opposition to vital new housing developments. The new design guide will provide a national standard for planners to adhere to.

Government’s High Street Fund Increased to £1bn £675m of extra funding has been announced to revitalise high streets in 50 towns across England. The fund aims to enhance regional economies by providing funds to attract new businesses, boost local growth and create infrastructure and jobs.

GM Local Industrial Strategy (LIS) Implementation Report GMCA has created a crosscutting implementation plan for the LIS, including action required in the near-term, as well as establishing governance arrangements.

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ECONOMY AND REGENERATION 2. FINANCIAL RESOURCES & MONITORING

2.1 Revenue – Cash limit

Previously Increase Budget at Reported (Reduction) Quarter 2 (Quarter 1) £000’s £000’s £000’s Cash Limit 1,842 0 1,842

Budget changes since Quarter 1 There has been no budget change since Quarter 1.

Mid-Year Analysis The financial resources deployed in this Portfolio total £1.842m. The Economy & Regeneration Portfolio is expected to balance overall.

2.2 Earmarked Reserves The majority of earmarked reserves are now kept at corporate level. The table below sets out the commitments of this portfolio, which have been approved for 2019/20.

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Reserve Approved Change Balance Category Reserve Narration To be used for £000 £000 £000 Corporate Reserves Directorate Directorate Flexibility Town Centre Living 30 30 0 Reserve Reserve - Place Development Framework Directorate Directorate Flexibility Detailed Feasibility Study 25 25 0 Reserve Reserve - Place for ERDF funding Directorate Reserves Legislative and Development of a new Corporate Statutory Local Plan approved by 228 0 228 Reserves Requirements the Executive Reserve Reserve Transformation - Linked to Invest to Save Green Fund 60 60 0 Budget Reserve Strategic Capital Programme Stockport Place Marketing Priority 59 0 59 Investment Reserve and Communications Reserve Strategic Capital Programme Priority Interchange 418 18 400 Investment Reserve Reserve Strategic Capital Programme Stockport Exchange Priority 97 97 0 Investment Reserve Phase 3 Reserve Budget Demand Changes Resilience 252 252 0 Reserve Reserve Reserve Transformation - To Support 2019/20 Linked to Double Running phased savings - Shuttle 18 18 0 Budget Reserve Bus Strategic To part fund GM Full Fibre Infrastructure Priority Network Programme 740 740 Investment Reserve Reserve (capital scheme) Total 1,927 500 1,427

2.3 Portfolio Savings Programme

Proposal Risk Value Value Additional Information Rating Achieved £000 £000 The forecast suggests this Fees & Charges Savings Green 0.208 0.208 will be achieved. The forecast suggests this Transport Review Shuttle Bus Green 0.220 0.220 will be achieved. Modernising Citizen Journeys The forecast suggests this Green (Business Advice) 0.200 0.200 will be achieved. Total 0.628 0.628

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2.4 Capital Programme

*Expenditure as at 2019/20 2020/21 2021/22 30 Sep 2019 Scheme Programme Programme Programme £000 £000 £000 £000 Highways Capital Asset Maintenance 250 Street Lighting 525 510 0 5,572 Highways Investment Programme 12,588 12,551 12,376 74 Highways Drainage 476 325 250 27 Pot Hole Programme 243 0 0 185 Highways Structures 638 738 0 0 Town Centre Structures A6 Viaduct 9 0 0 263 Town Centre Structures Merseyway 1,492 2,684 0 75 Flood Risk Management 332 225 0 14 Flood Damage Infrastructure Programme 50 0 0 Asset Development & Improvement

Schemes 762 SEMMMS Relief Road 8,034 4,619 3,241 3,071 Town Centre Access Plan 8,325 1,922 1,035 631 Interchange Bridge 841 77 0 992 Roscoe Roundabout 2,996 0 0 168 Mayoral Walking & Cycling Challenge Fund 1,406 11,493 14,714 766 LTP and SEMMMS Integrated Transport 1,750 30 0 17 District Centres 419 250 0 117 Road Safety Near Schools 370 100 0 40 Road Safety 124 50 0 65 PROW 202 100 0

Planning-related Schemes 384 Section 278 and Section 106 schemes 2,007 2,000 2,000

Other Highway Programmes 188 Studies and Transport Minor Schemes 236 30 0 0 Air Quality Grant 96 0 0 95 Other 131 0 0 13,756 Highways sub-total 43,290 37,704 33,616 Non-highways 7,444 Stockport Exchange (Phase 3) 13,335 989 0 357 Stockport Exchange (Temporary Car Park) 545 0 0 11 Redrock Development Scheme 986 0 0 80 Aurora Stockport (formerly Gorsey Bank) 100 0 0 547 Markets and Underbanks 2,068 2,000 0 1 Brownfield Site Schemes 0 152 0 1,937 Merseyway Redevelopment 3,100 3,699 0 0 Other 0 0 0 10,377 Non-highways sub-total 20,134 6,840 0 24,133 TOTAL 63,424 44,544 33,616

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Resources

Resources 2019/20 2020/21 2021/22 £000 £000 £000 Capital Grants 27,908 22,153 18,611 Directly Funded Borrowing 20,103 6,688 1,035 Unsupported Borrowing 12,991 11,968 11,970 Capital Receipts 31 152 0 External Contributions 8 0 0 Commuted Sums 2,000 2,000 2,000 Revenue Contributions (RCCO) 383 1,583 0 TOTAL 63,424 44,544 33,616

Programme Amendments – Re-phasing

Scheme 2019/20 2020/21 2021/22 Funding Reason £000 £000 £000 Source Pot Hole Programme 185 Grant Additional allocation SEMMMS Relief Road (271) 195 (5) Grant Rephasing between years Town Centre Access Plan (725) Grant Rephased to 2022/23 Mayoral Walking & Cycling Challenge New programme entry 293 1,689 6,327 Grant Fund awards Re-categorisation of Road Safety (18) RCCO schemes within programme Re-categorisation of Section 278 and Section 106 schemes 7 RCCO scheme within programme Re-categorisation Highways - Other 53 RCCO of scheme / new allocation of funds Transferred to TCAP Redrock Development Scheme (1,035) DFB 2020/21 Programme Aurora Stockport (formerly Gorsey Bank) (552) DFB Scheme Reduction Cap Brownfield Site Schemes (850) Scheme Reduction Receipt Cap Brownfield Site Schemes (152) 152 Scheme Rephasing Receipt Total (2,340) 2,036 5,597

Commentary

 Street Lighting Planned Programme: All lighting columns and illuminated signs have been structurally assessed and this information is being used to develop whole-life modelling of assets across the network. The scheduled replacements and repairs are progressing well.

 Highway Investment Programme (HIP) – Year 6: All sites within the targeted ward areas were scoped in 2018/19, and are being delivered in 2019/20.

A mid-term review of the HIP programme highlighted that claims and claim costs have reduced while footway and carriageway condition is improving in line with the investment and model forecasts. Reactive maintenance costs have also reduced.

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 Highways Drainage: Drainage investigations and repairs continue to take place ahead of carriageway resurfacing work in the HIP programme.

Drainage camera surveys are being carried out on sites included in the programme with targeted repairs programmed for Quarter 3.

 Pot Hole Programme: The pothole programme was developed to attend to sites that are beyond the scope of reactive repair. This year’s funding allocation will be targeted to address the longer- term repair need for potholes caused by the flooding incidents this summer.

 Highways Structures: Seven Principal Bridge Inspections started in Quarter 2 (Captains Bridge, Bunkers Hill Culvert No.4, Hillcrest Road Culvert, Carrwood Road Bridge, Clarendon Road Bridge, Bowden Lane Footbridge, Bradshaw Estate Railway Bridge, Smithy Green Footbridge, Stanley Green Railway Bridge) and 52 General Bridge Inspections were also completed.  Town Centre Structures: Merseyway – concrete repairs to the deck soffit and portal frames have started. Improvements works to the mess facility and to provide safer access to the structure have started. The air quality monitoring design is progressing.

 Flood Risk Management & Flood Damage Infrastructure Programmes: Lead Local Flood Authority review of major developments is continuing and during Quarter 2, the service was consulted on 36 major and 25 minor planning applications.

Guidance documents on flood risk and drainage requirements for developers and riparian owners has been completed.

Major flooding occurred across the Borough in July/August and the service was involved in undertaking inspections to support the commissioning of a Section 19 Investigation in accordance with the Flood & Water Management Act 2010.

 SEMMMS Relief Road: The road opened to traffic on 15/10/2018. Post-construction activities are progressing including contract completion work, snagging, Compulsory Purchase Order and land issues, utility diversion accounts, noise insulation works, and post-completion surveys. The package of mitigation measures is complete, and some funding has been confirmed for complementary measures in Hazel Grove, Bramhall and Heald Green.

 Town Centre Access Plan (TCAP): Construction works are progressing well with major highways improvements completed at: St Mary’s Way; Great Egerton Street, Knightsbridge; Hollywood Way Junction 1 (improved access to the motorway junction); Brighton Road / Didsbury Road (access into a new development); King Street West Gyratory (improved north-south flows west of the town centre); and most recently, Travis Brow (the new link road between the A6 and M60 Junction 1) and adjacent public realm improvements on the A6.

Further major highways improvements are nearing completion at:

o Exchange (public realm and access improvements between the A6 and Railway Station); o Hall Street (cycling and walking improvements at busy highway junctions).

A new cycle/footway/bridleway at Woodbank Park and highway junction improvements at Hempshaw Lane are scheduled to begin in November 2019.

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 Interchange Bridge: The Interchange Bridge and the associated highway works linking Heaton Lane with Chestergate were substantially completed and the bridge came into use in July 2019.

 Roscoe Roundabout: Works were completed at the Manchester Road / High Street Cheadle junction and substantially completed in Park with the main cycle route through the park coming into use. Work at Roscoes Roundabout proceeded throughout Quarter 2 including substantial completion of works to the roundabout island.

 Mayoral Walking & Cycling Challenge Fund: Feasibility design has been carried out on a number of Mayoral Challenge Fund (MCF) schemes, which will be subject to a Borough wide consultation in October 2019.

Schemes include those for A6MARR links; a cycle path from the A6 to Bramhall Park; schemes in the Ladybrook Valley; in Hazel Grove, Offerton and Brinnington; a new bridge over the M60 in the Town Centre; for cycle links in the Heatons; and for crossing improvements in Cheadle.

Further bids have been prepared and submitted for foot and cycle routes in Romiley, canal path improvements, a “Streets for All” scheme in the Heatons, pedestrian and cycle bridge over the railway in Edgeley, and a “filtered neighbourhood” scheme in the Heatons.

 District Centres: Design has been completed on improvements to Hall Street to be implemented on completion of the TCAP 604 scheme. A study has been undertaken of possible improvements to parking on Gorton Road and design for improvements to the Fingerpost junction in Great Moor.

 Road Safety: A new controlled crossing was installed for Tithebarn School on Maudleth Road in . Detailed design has been undertaken for a traffic-calming scheme on The Fairway in Offerton.  Public Rights of Way (PROW): A capital programme of works has been identified for delivery in 2019/20 and these will be issued to contractors shortly.

 Section 278 and s106 schemes: Design work has been completed for site entrance alterations and resurfacing/reinstatement of the footway, in association with a development of apartments at 101- 107 Buxton Road, Heavily.

Cheadle 6th Form College highway improvement works have started.

Highway improvement works for development on Northumberland Road/ Brinnington Road, Brinnington, have been designed and are programmed to begin.

 Studies and Transport Minor Schemes: A number of transport studies are currently underway, including the SEMMMS Refresh and the Stockport Station Growth Strategy, and the Council is contributing to a number of TfGM-led studies. A business case submission has been made to the DfT Major Road Network (MRN) programme for work on the A34 corridor.

 Air Quality Grant: The Council is using some of the Air Quality Grant to support pilot projects looking at ways to improve local air quality e.g. relating to the uptake of electric vehicles in the taxi trade and the impact of green infrastructure on air quality around schools.

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 Car Parking: In Quarter 2, work has progressed on improvements to various car parks, including Beech Avenue in Hazel Grove, and structural improvements at Heaton Lane.

 Stockport Exchange Phase 3 - GMI continues to deliver the construction at pace, with structural steel frame erected, and envelope works underway with completion of the office build anticipated February 2020.

 Stockport Exchange Temporary Car Park - Works to deliver the temporary car park were completes and the car park opened in October 2019.

 Markets & Underbanks - The Council has concluded the marketing of two sites (White Lion and 16a Market Place) for a food and beverage use, with negotiations underway with the preferred tenants.

The Council has procured MDD services to develop proposals for Winters, taking into account prospective tenants’ requirements.

The legals are nearing completion for the four sites in Market Place and Underbanks, with the developer preparing the pre-application for submission in October 2019, with planning submission in December 2019.

Works have started on the first HLF approved project, which is anticipated to complete in October 2019. A second HLF project application has been received and being assessed. It is it due to go to the Programme Board for approval in October 2019.

Discussions are underway with the Developer bringing forward 2-8 Churchgate to use nearby Council land for a site compound. Once the works are completed, the developer will transform the Council land into an urban park.

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