Strategic Growth Plan Leicester & Leicestershire
Strategic Growth Statement August 2016 Melton
North West Charnwood Leicestershire
Leicester Hinckley & Bosworth Oadby & Wigston Blaby
Harborough
This document has been prepared on behalf of: Blaby District Council, Charnwood Borough Council, Harborough District Council, Hinckley & Bosworth Borough Council, Leicester City Council, Leicestershire County Council, Leicester & Leicestershire Enterprise Partnership, Melton Borough Council, North West Leicestershire District Council and Oadby & Wigston Borough Council. Contents
Chapter
1 Why we are preparing a Strategic Growth Plan 5
2 Changing Context 7
3 Leicester and Leicestershire Today 11
4 Vision and Objectives 21
5 Preparing a Strategy for Growth 29
6 Next Steps 35 • The preparation of the Strategic Growth Plan will initially be governed by a Members’ Advisory Group comprising one elected representative from each of the nine local authorities. The Leicester & Leicestershire Enterprise Partnership (LLEP) will participate as an observer in this group.
• Technical work will be overseen by the Strategic Planning Group comprising senior officers from each authority and the evidence base will generally be commissioned on a joint basis.
• The Members’ Advisory Group will report to individual authorities for decisions on all matters relating to the Plan.
• If a Combined Authority for Leicester & Leicestershire is established in autumn 2016, as currently anticipated, the Planning Committee of the Combined Authority will take over this governance role; that Committee will have the same membership arrangements as the Members’ Advisory Group.
• These arrangements formalise the long-standing collaborative work that has been the hallmark of planning in Leicester & Leicestershire for decades; they reflect our strongly held belief that the best way of achieving our aims is to work together.
• The Strategic Growth Plan forms one of the three cornerstones of our Combined Authority submission* and it is part of our commitment to government to deliver effective local decision- making.
Together with transportation and skills. Reference: Leicester & Leicestershire Delivering Growth Together: Draft Governance* Review for Leicester & Leicestershire Combined Authority, December 2015. Why we are preparing a Strategic Growth Plan 1 1.1 The introduction of the • ensure that Leicester & localism agenda, the Duty to Leicestershire is positively Co-operate and the abolition positioned to take advantage of Regional Spatial Strategies of private sector inward have had a profound effect investment opportunities on the way that we prepare and national programmes for plans, make decisions on investment planning applications and pay • provide the right conditions for infrastructure. Combined for the growth of indigenous Authorities will further change businesses, and, the way in which organisations collaborate, share information • at the same time, protect and work to a shared agenda. our natural resources, our At the same time, the public environment and historic and private sectors are coming assets. together with community organisations to tackle major 1.3 Our ambition is two-fold: problems and deliver solutions. to overcome the problems that are experienced by 1.2 In Leicester & Leicestershire, existing communities and to the nine local authorities(1) accommodate growth in new and the Local Enterprise developments that have a real Partnership(2) are responding sense of place and purpose. We positively to these changes. We want to raise the bar in terms want to prepare a non-statutory of the quality of development Strategic Growth Plan which will: so our focus is on how we can improve the City and the County • be clear about the for local people and businesses, opportunities and challenges and how we can deliver that we face growth at the right time, in the • provide an agreed scale and right place, with the essential direction for future growth, infrastructure that it needs. reflecting the evidence available to us and the will of 1.4 The Strategic Growth the partners Statement forms the first stage • create a single consistent in preparing the Growth Plan. Its strategic framework for Local purpose is to: Plans, economic investment • summarise the changing plans, transport and other context within which the infrastructure plans Strategic Growth Plan will be prepared (Section 2)
(1) The nine local authorities are: Blaby District Council, Charnwood Borough Council, Harborough District Council, Hinckley & Bosworth Borough Council, Leicester City Council, Leicestershire County Council, Melton Borough Council, North West Leicestershire District Council and Oadby & Wigston Borough Council.
(2) The Leicester & Leicestershire Local Enterprise Partnership
5 • identify the defining characteristics of the area We encourage today and some of the opportunities and challenges local people, that we face (Section 3) businesses, • set out our ambitions for the future and the initial developers, objectives that will guide our landowners work (Section 4) • outline the evidence base and and statutory the spatial options that we will consider in formulating a new organisations to strategy (Section 5), and work with us. • describe the next steps in the process (Section 6).
1.5 We understand the scale of the challenge that we face and welcome the opportunity to shape our own future. We encourage local people, businesses, developers, landowners and statutory organisations to work with us.
6 Changing context 2 2.1 On the one hand, the 2.3 In 2012, Regional Spatial localism agenda supports the Strategies were abolished in line concept of local decision-making with the government’s aspirations but the globalisation of economic for more decisions to be taken prosperity and the government’s within local communities. Instead, commitment to growth outside a National Planning Policy London and the South East Framework (NPPF) was put in means that we have to prepare place to guide the preparation our plans in a much wider of plans at a Borough/District/ context. We need to understand City level; Local Plans are now our role within this bigger picture the main documents which direct and adapt our working practices. where development should, and should not, be accommodated. The abolition of Regional 2.4 In the absence of a formal Spatial Strategies process for strategic planning, 2.2 The East Midlands Plan however, the local authorities in 2009(3), the most recent Leicester & Leicestershire have Regional Spatial Strategy (RSS) continued to work together for Leicester & Leicestershire, actively, effectively and on an proposed that development on-going basis, to implement the should be concentrated in agreed strategy of the RSS over the urban areas, effectively the period to 2031. The Strategic the ‘principal urban area’ of Growth Plan will take forward Leicester and its suburbs which these collaborative discussions extend into adjoining Boroughs and provide a new strategic plan and Districts in Leicestershire, to deal with the new challenges together with the main towns e.g. that we face up to 2050. Loughborough, Hinckley, Coalville, etc. In addition to regeneration 2.5 The Government’s new and redevelopment within the planning system places great urban area, the RSS strategy importance on the need to led to Local Plan proposals for prepare and adopt up-to-date, a number of ‘sustainable urban new Local Plans, and to ensure extensions’(4) across the City and that sufficient ‘deliverable’(5) sites the County; most of these are are identified as being available currently being delivered.
(3) The Regional Spatial Strategy for the East Midlands was prepared by the East Midlands Regional Assembly and approved by government. This provided the basis for the preparation of Local Plans by the City, the Boroughs and the District Councils and looked 20 years ahead. Local Plans were legally required to be ‘in conformity’ with the Regional Spatial Strategy.
(4) i.e. within the City Council’s boundaries (at Ashton Green and Hamilton); in Charnwood Borough (at Birstall and Thurmaston); in Blaby District (at Lubbesthorpe); in Harborough District at Airfield farm; and in North West Leicestershire at Coalville.
(5) The NPPF (2012) states: “To be considered deliverable, sites should be available now, offer a suitable location for development now, and be achievable with a realistic prospect that housing will be delivered on the site within five years and in particular that development of the site is viable. Sites with planning permission should be considered deliverable until permission expires, unless there is clear evidence that schemes will not be implemented within five years, for example they will not be viable, there is no longer a demand for the type of units or sites have long term phasing plans.”
7 by each local planning authority targets for growth based upon to meet at least 5 years’ supply agreed empirical evidence; this of Local Plan housing targets evidence will be tested by the within its area. Local plans are Planning Inspectorate at the also required to identify a supply ‘examination in public’ stage of specific, ‘developable’(6) sites of a Local Plan. The ‘Duty to or broad locations for growth, for Co-operate’ is a significant years 6-10 and, where possible, responsibility which can trigger for years 11-15. the need for negotiations on the share of growth, and delivery of any necessary 2.6 The lack of an up-to-date supporting infrastructure, across Local Plan, or sufficient suitable administrative boundaries. sites to meet the 5-year supply, mean that there is a presumption in favour of planning permission 2.8 The need for cross- being granted when planning boundary collaboration is applications are submitted; not new; all nine authorities this significantly reduces the in Leicester & Leicestershire potential for authorities to have a long-standing, strong manage positively their growth commitment to joint working in as required by the NPPF. the preparation of development plans and delivering growth. In 2013, we commissioned a The 'Duty to Co-operate' joint Strategic Housing Market 2.7 In the absence of statutory Assessment and in November regional or sub-regional 2014 agreed a Memorandum of strategies, a new ‘duty’ has Understanding (MoU) on baseline been placed on local authorities target housing demand figures to co-operate with each to 2028; these are being used to other on matters relating to support the preparation of Local ‘cross-boundary’ issues. Local Plans. authorities have also been given the power to set their own
(6) The NPPF (2012) states: “To be considered developable, sites should be in a suitable location for housing development and there should be a reasonable prospect that the site is available and could be viably developed at the point envisaged.”
8 2.9 Updated evidence 2.13 The review concluded on housing, employment, that a simpler, less cumbersome transportation and other matters governance arrangement is is currently being assembled needed to address the challenges on a joint basis to support the that the area will face in the Strategic Growth Plan and future and to provide greater emerging Local Plans. We transparency and accountability. have also formed an effective A Combined Authority was collaboration with the LLEP identified as the best solution which reflects the voice of and the Strategic Growth Plan the business community and demonstrates our commitment to has secured funding for key positive planning for growth and infrastructure and projects. the effective delivery of housing, employment and infrastructure within a robust environmental 2.10 Our Strategic Growth framework. Plan will provide a robust, single framework for the preparation of Local Plans and investment The Strategic Economic Plan strategies prepared by the 2.14 As Leicester & constituent organisations. It Leicestershire continues to pull represents one of the ways in out of the recession and deliver which we are responding to the new growth, the LLEP considers requirements of the ‘Duty to that there is a need to ‘refresh’ Co-operate’ and the strategy will the Strategic Economic Plan be carried forward into statutory (SEP). The SEP is an economic development plans by individual investment plan and has a shorter authorities. timeframe than the Strategic Growth Plan: in effect it is one 2.11 Together, the processes of the delivery mechanisms for of plan-making and delivery proposals within the Growth Plan. will create a successful, resilient and high quality environment 2.15 The SEP Refresh will not within which investment can be be a ‘root and branch’ review but made with confidence, where an assessment of the extent to communities will flourish and which there might be the need important environmental assets to shift the emphasis of the will be protected and enhanced. existing Plan, provide more focus on key sectors of the economy The Combined Authority Proposal which have particular potential for growth, and align key targets 2.12 On 25 June 2015 the with both the Strategic Growth Leaders of the nine local Plan and Local Plans. authorities in Leicester & Leicestershire met as the Economic Growth Board and 2.16 The LLEP has agreed that agreed to review the governance the targets for housing and arrangements for the area. The economic growth established in Board sought to identify the best the Strategic Growth Plan, and way of delivering their ambitious their spatial distribution, will be plans for growth and to identify used as the basis for the SEP the most effective way in which Refresh. These targets will have policy and strategy on major been developed in collaboration functions could be joined up with the LLEP and will reflect the across administrative boundaries. aspirations of government, local authorities, businesses and other
9 key stakeholders for growth 'Midlands Connect' across the area and, more widely, across the Midlands. 2.19 ‘Midlands Connect’ is a transport partnership which supports the Midlands Engine. The 'Midlands Engine for Growth' It was formed in 2014(8) and 2.17 The concept of a ‘Midlands its purpose is to help develop Engine for Growth’ was the vision and strategy for announced by the Chancellor transforming transport of the Exchequer in early 2015 connectivity across the region in and secured further government order to drive economic growth recognition when the partners and set out a credible long term published a prospectus in transport investment strategy December 2015(7). This sets to support the building of the out a vision for an economy Midlands’ Engine. Government focused on productivity and has provided a grant of £5m to driven by getting the most out progress the work. of the Midlands’ workforce, research and transport sectors. It Local Plans in preparation demonstrates the collective wish of the constituent organisations 2.20 Within Leicester and to improve productivity, drive Leicestershire, the constituent economic growth, create jobs local authorities have embarked and improve quality of life across on the process of preparing Local the region. Plans. All are well-advanced and aim to meet the government’s deadline of having up-to-date 2.18 The Strategic Growth plans in place by early 2017. The Plan will set out the long term housing land requirements for contribution of Leicester & these plans is currently based on Leicestershire to delivering a Memorandum of Understanding the aspirations of the Midlands agreed between the authorities Engine. Collective working with in 2014 and new evidence on adjoining Combined Authorities, housing and employment needs Local Authorities and Local is being gathered. Further work Enterprise Partnerships will also has been undertaken, collectively help us to prepare a Growth Plan or individually, on other parts of whose provisions complement the evidence base. growth and development that is taking place elsewhere. 2.21 Local Plans are also being prepared for adjacent areas by other authorities and ‘Duty to Co-operate’ discussions are being held with these authorities as necessary.
(7) The prospectus was prepared by the eleven Local Enterprise Partnerships, local authorities and private sector partners across the Midlands. (8) As a collaboration between the same eleven Local Enterprise Partnerships that are working on the Midlands Engine together with Network Rail, Highways England, Central Government, twenty-six Local Authorities and the business community.
10 Leicester + Leicestershire today 3 Key characteristics
Settlement Plan
3.1 The City of Leicester is a 3.2 Loughborough (65,000) unitary authority with an elected and Hinckley (57,000) are the Mayor while the Boroughs and next largest settlements(10); and the Districts operate a two- there are several market towns tier system with Leicestershire including Ashby-de-la-Zouch, County Council. The area has a Coalville, Hinckley, Market population(9) of just over 1 million Harborough and Melton Mowbray with nearly 440,000 living in the ranging in size from around ‘principal urban area’ of Leicester, 13,000 to 38,000 population(11). a long-standing planning About 200,000 people live in designation which includes the rural areas, 40% of whom live City of Leicester and its suburbs in villages, hamlets or isolated which extend into adjoining dwellings, especially in east Boroughs and Districts. Leicestershire.
Figure 3.1: Settlement Plan
NOTT NGHAM Grantham DERB
Burton pon Trent Melton Loughborough Melton Mowbray Ashby de la ouch
North West Charnwood Leicestershire
Coalville
Oakham
Market Bosworth Leicester
ppingham Hinckley Oadby and and Bosworth Blaby Wigston
Hinckley Blaby
Harborough Nuneaton Market Harborough
Lutterworth
CO ENTR
Rugby
(9), (10) and (11) Source: Leicestershire County Council using 2014 population estimates.
11 Natural environment
3.3 The County has a total land area of 2,083 sq km and is bisected by the River Soar which flows northwards from Hinckley through Leicester and links with the River Trent on the northern edge of the County where it borders Derbyshire and Nottinghamshire. The highest point is Bardon Hill in the north- west of the County and the lowest is near Bottesford in the north-eastern extremity. Much of the County is rural in character particularly to the south, east and north-east of Leicester. The National Forest and Charnwood Forest occupy much of the north-western parts of the area. The City is well-provided with parks and open spaces.
Figure 3.3: Natural environment
NOTT NGHAM Grantham DERB
Burton pon Trent
Loughborough Melton Mowbray Ashby de la ouch The National Forest Coalville
Charnwood Forest Oakham
Market Bosworth Leicester
Oadby ppingham River Sence Wigston
Hinckley Blaby
Nuneaton River Soar Market Harborough
Lutterworth
CO ENTR
Rugby
12 Transportation Networks
3.4 Major national road 3.5 Three principal railway networks are focused in the routes run through Leicester western part of the County with & Leicestershire: the Midland the M1 running north-south to Main Line; the Birmingham to the west of Leicester; other key Peterborough cross-country line; routes, all to the west, are the and the Leicester to Coventry M69, the A5(T), the A42(T) link via Nuneaton. A significantly and the M42 south west of the slower line connects Leicester Tamworth area. The intersection with Lincoln via Melton Mowbray; of the M6 and A14 linking with a freight-only line runs from the M1 at junction 19, creates Leicester to Burton. The historic a significant crossroads at the Great Central Railway provides a centre of England. The remainder tourist route from Loughborough of the County is less well-served to Birstall on the northern edge with no motorways and limited of Leicester and a link to the trunk road networks e.g. A46, northern arm is now being A50, A511. Leicester sits at the developed from Loughborough centre of a radial network and to Ruddington on the southern has a partially completed ring outskirts of Nottingham. road.
Figure 3.4: Transportation networks
NOTT NGHAM Grantham DERB
Burton pon Trent
Loughborough Melton Mowbray Ashby de la M1 ouch
Coalville
Oakham
Market Bosworth Leicester
Oadby ppingham
Wigston
Hinckley Blaby M69 Nuneaton Market Harborough M1 Lutterworth Motorway A roads CO ENTR Rail network Rugby East Midlands Airport
13 The economy Leicester focused on the Waterside and Abbey Meadows 3.6 Leicester & Leicestershire regeneration areas and the is located in the very heart of City Centre. This ‘Strategic England and forms the largest Regeneration Area’ provides economy in the East Midlands the potential ‘launchpad’ to generating £19.4 billion GVA per deliver substantial housing, year. The area accommodates commercial and leisure/ 435,000 jobs and hosts 33,000 cultural developments on a trading businesses(12). The area cluster of development sites benefits from a diverse industrial to create 6,000 jobs. structure and is not dependent on the fortunes of any one sector • East Midlands Gateway or employer but it is notable Strategic Rail Freight that the percentage shares Interchange - a unique 250 for manufacturing, education, acre distribution and logistics transport & storage and mining development alongside East & quarrying significantly exceed Midlands Airport and the M1 the average for England. with a rail terminal providing up to 6 million sq. ft. of large 3.7 The current Strategic scale warehousing to establish Economic Plan (SEP) identifies the UK’s largest multi-modal five priority growth areas, each hub creating over 7,000 new identified on the basis of work jobs. Planning permission was being undertaken at that time granted for this development by the local planning authorities in January 2016. working with the LLEP and the • Loughborough University County Council. These are: Science & Enterprise Parks • Leicester Urban Area (LUSEP) - an exceptional opportunity to develop an • East Midlands Enterprise internationally significant Gateway centre for knowledge based • Coalville Growth Corridor employment. The Park is already one of the largest • Loughborough, and developments of its kind and • South West Leicestershire. will provide as many as 4,000 additional jobs and leverage private investment of up to 3.8 The SEP also identifies four £200m. In March 2016, it was ‘transformational priorities’: identified by the Chancellor of the Exchequer as a • Leicester Strategic ‘candidate’ Enterprise Zone. Regeneration Area - a major development and • Horiba MIRA Technology growth opportunity for Park - the LLEP’s Enterprise Zone which will provide 1.75
(12) Source: LLEP statistics
14 million sq. ft. of high quality 3.12 The City has a higher Research and Development proportion of residents working space on an 80 hectare in low skilled jobs such as estate, making it the largest process, plant and machine transport sector R&D operatives and particularly technology park in Europe. It elementary occupations. This will create over 2,000 direct is notably different to the high value jobs and over Leicestershire and England 3,000 indirect jobs. averages but the averages for the County mask significant local Occupational structure, variations. qualifications and skills Average weekly earnings 3.9 Although the service sector has grown in significance 3.13 There is a significant over the last 20 years, the disparity between weekly economy was built upon a strong full-time resident earnings manufacturing base which and workplace earnings. This remains a distinctive feature, shows that in 2014, average accounting for the highest weekly workplace earnings in number of jobs in the area. England were approximately The area also benefits from an £520 while those of the County excellent location at the heart and the City were £480 and of the UK road and rail network £470 respectively. The contrast and has the second largest between same figures for freight handling airport in the UK, resident earnings is even more reflected in the high numbers of marked: £520, £500 and £410 employees in logistics sectors. respectively. Again, the averaging of earnings across the County 3.10 There is also a relatively masks the wide variation that high dependency on public exists both within and between sector-related employment individual boroughs and districts. (specifically Health and Education) which is especially 3.14 In general terms, however, marked in Leicester where almost the statistics show that that two in every five jobs are in the area falls well behind the public sector-related employment England average and that the (Public Administration and City performs less well than Defence, Health and Education). both the County and England as a whole. Considered from a 3.11 In the area as a whole, in different perspective, however, the year to December 2015, 72% this demonstrates the potential of of the working age population the area to perform significantly (16-64 years) had NVQ Level better than at present and to 2 equivalent qualifications; this make a significantly greater compares with 72% for the East contribution to local and national Midlands and 74% for Great GDP, pro rata, in comparison Britain. In comparison, 33% had with areas that have a stronger NVQ Level 4 qualifications and baseline position. above compared with 32% for the East Midlands and 37% for Great Britain. The LLEP Business Survey 2015 reported local firms having difficulties recruiting staff in the last 12 months.
15 Population transport systems. More workers and natural growth in the 3.15 In terms of Leicester population mean that we need to and Leicestershire as a whole, plan for sufficient housing, of the the percentage share of the right types, in the right locations. population within the three principal age ranges (children, 3.19 We also have very special working age population and social, cultural and environmental those who are retired) is broadly assets which enhance our quality the same as that for England. of life and make Leicester & The contrast within Leicester Leicestershire a place in which and Leicestershire, however, businesses want to invest and is more marked with the City people want to live. We have a having a higher percentage of thriving, multi-cultural city with a children and a larger working strongly developing tourism and age population when compared sporting offer including Richard with the County; the County has III, Leicester City Football Club a significantly higher percentage and the Leicester Tigers Rugby of people who are retired with Club. particular concentrations in the rural areas. There are also significant variations within 3.20 We have beautiful individual local authorities. countryside, attractive market towns and villages, and historic parks, gardens and battlefields 3.16 The residents of Leicester with tourist attractions including come from over fifty countries Twycross Zoo and the National making the City one of the most Forest. Our mineral resources ethnically and culturally diverse are nationally significant; our places in the UK. Around 50% woodlands provide places for of the population is from Black leisure and support our wider and Minority Ethnic (BME) agenda to mitigate and adapt groups, mostly from South to climate change. Our high Asian backgrounds. By contrast, quality agricultural land makes over 90% of the population of a significant contribution to the Leicestershire is White. nation’s food supply. All of these assets need to be protected and Developing Our Potential securing the right balance is our most difficult task. 3.17 We have undertaken a preliminary analysis of our strengths, weaknesses, Balancing competing interests opportunities and threats. Our 3.21 We therefore need to analysis shows that the scale and plan for new development pace of development is both a by assessing the benefits of challenge and an opportunity. economic growth against We have unique characteristics the need to protect our which make the area particularly environmental assets. We need attractive to certain sectors to invest in real place-making, of the economy and which shaping new developments so contribute significantly to our that they help to create attractive share of regional and national communities with a mix of land gross domestic product. uses that includes schools, shops, open space and leisure facilities 3.18 Growth in our economy provided close to home, essential brings with it the need to provide services close to businesses and sufficient workers with the right cultural facilities building on the skills at the right time, ideally existing centres. close to their place of work to minimise congestion on our
16 Strengths We have a strong base on which to build a strategy for growth:
• Great location and connectivity - nationally significant intersection of road, rail and air • One of the fastest growing economies in the country - largest recipient of Growing Places Funding, major infrastructure investment, lower house prices than in other areas • Economic diversity - manufacturing and distribution nationally significant, high proportion of SMEs, food production and agriculture • Thriving market towns and popular villages - characterful and distinctive places • Young, diverse, multi- cultural City with a unique history, growing global tourism appeal and strong city centre • Three strong universities - globally significant in space, engineering and sports science; and high quality FE colleges • Distinctive environmental assets offering an exceptional quality of life • Distinctive leisure market developing around sports, leisure, the arts, etc.
17 Weaknesses We have identified certain weaknesses but we are committed to addressing these:
• Key roads are already congested, there are problem junctions; city and rural roads are under strain • Gaps in the strategic railway network - poor access to stations, improvements needed to capacity, frequency and speed • Limited bus network in rural areas; some gaps in the City • Travel costs high for low paid, difficult to access jobs • Buses poorly co-ordinated with job opportunities; encourages private car use • Low GVA per head of population, unevenly distributed - highly skilled employees and graduates move away • Mismatch of locational pressures for employment demand and development opportunities • Ageing population, not economically active - increases the need for housing, influences housing mix
18 Opportunities We have genuine opportunities for growth:
• Distinctive offer of ‘design, manufacture, distribution’; sports culture and tourism; food and drink; logistics and distribution • Potential to export more goods and services • Innovation and technology - potential links to ‘smart’ specialisations of universities (e.g. space, sports science, engineering) • Research and enterprise - bringing research and enterprise together (e.g. at Loughborough University Science and Enterprise Park) • The low pay structure creates the potential for a step change in Gross Value Added (GVA) and pay • National infrastructure investment e.g. rail connectivity to London, East-West Rail, A14 upgrade, HS2 • Major employers and strategically important developments e.g. East Midlands Airport, Horiba MIRA, the Strategic Rail Freight Interchange in North West Leicestershire, the universities, etc. • Strategic Rail Freight Interchange – one of the new ‘inland ports’
19 Threats We need to deal with some threats which put our growth at risk:
• Mismatch between population, household projections and housing needs – difficulties in delivering affordable housing • Impact of housing shortages on rural industries/ communities where there is a mismatch between high value homes and low GVA per head of population • Pressures for growth - the need to balance scale, pace and infrastructure provision • Erosion of local distinctiveness • What’s happening outside Leicester and Leicestershire - competitors stealing a march on us • Lack of skills and mismatch against jobs, lack of school places in some areas • Major economic generators on the edge of the County; travel-to-work journeys are extending • Environmental risks e.g. Flooding, energy supply
20 Our Vision + Objectives 4 Our vision for the future a way which respects our needs but also our environmental and 4.1 Our aspirations are set in cultural heritage. They also the context of delivering the set out an agenda which will right growth, at the right time, help us to deliver plans which in the right locations, creating will have a high degree of successful residential and resilience to social, economic business communities that and environmental change. This are well-served by essential is part of our move towards a infrastructure and services, in a low carbon economy, protecting landscape where environmental our critical environmental resources are protected and assets and adapting to climate enhanced. Achieving high change, including an agenda for quality across a broad range renewable energy. of themes lies at the heart of our aspirations, for people, the economy and the environment. 4.3 This list is neither definitive nor exhaustive but one on which we seek the views of local Our Objectives people, businesses and other 4.2 We have identified several stakeholders. As we continue our objectives that we will use to work on the Strategic Growth guide our work. At this stage, Plan, developing and enlarging they are equal in status and the evidence base, we will refine reflect our collective ambition these priorities to ensure that to deliver an appropriate level they achieve the balance that we of housing and employment in seek.
Our vision
By 2050, Leicester & Leicestershire will have established itself as a driver of the UK economy, exploiting opportunities for linkages across its diverse economic base, supporting its urban and rural centres, and taking advantage of its exceptional location. Growth will contribute to people’s health, happiness and well-being through the timely delivery of well-designed and high quality development, raising the bar in terms of environmental standards, quality of life and local distinctiveness.”
21 We also propose to boost the speed of housing delivery...
Objective 1: We will provide a deliverable 4.5 The conclusions from supply of land for housing, this work will form the basis of providing high quality homes, the housing land strategy in reflecting local styles and the Strategic Growth Plan and distinctiveness, in a range of will be formalised in a revised types, sizes and tenures suited Memorandum of Understanding to local needs. (MoU) on housing land supply. As part of this process we will 4.4 Government requires us consider how we can provide an to provide an adequate supply adequate supply of affordable of housing to accommodate housing including ‘starter homes’. the growth that is generated in our area.(13) This needs to be 4.6 We also propose to boost provided at the right time and the speed of housing delivery. in the right locations. We have We consider this to be a recently commissioned a study significant problem over which, at of our housing and employment present, we have limited control. needs and this will form part The reasons for the mismatch of the evidence base of the between planning permissions Strategic Growth Plan. Following and delivery are complex but this on from this work, we will agree matter needs to be addressed the spatial distribution of new if we are to achieve the pace housing as part of our Duty to of development that is needed. Co-operate discussions. We will work with government and with the private sector to explore how this problem can be managed.
(13) Reference: National Planning Policy Framework (2012) and National Planning Policy Guidance
22 ...an advanced, thriving and diverse economy occupying a competitive position within national, European and global markets.
Objective 2: We will strengthen the we have the potential to increase economic base and maintain significantly our contribution to its diversity by providing a Gross Domestic Product (GDP) range of employment sites and develop further: that respond to the needs of industry • our potential for ‘design, manufacture and delivery’, 4.7 The diversity of our bringing together three economic base reflects the important sectors into one diversity of the area itself; this is offer; a distinctive characteristic that • the further and higher we value highly. Our strategy for education sector including the future, therefore, is based our three universities on strengthening each of the supporting their aspirations principal sectors and supporting for greater commercialisation their needs wherever there is no and research in life sciences, significant conflict with social and space technology, advanced environmental considerations. engineering, etc.; and We also propose to attract sectors that are new to the area; • strong rural communities in the LLEP has identified eight areas enhancing their role in priority growth sectors(14) which agriculture, food processing, will be targeted. forestry, tourism, etc.
4.8 Focusing on these 4.9 We will also explore the sectors will allow us to support extent to which it might be an advanced, thriving and possible to develop a renewable diverse economy occupying energy and low carbon a competitive position within technology sector which is not national, European and global well-established at present. markets. Our analysis shows that
(14) Creative industries; engineering and advanced manufacturing; food and drink manufacturing; logistics and distribution; low carbon; professional and financial services; textiles and manufacturing; and tourism and hospitality.
23 ...improvements would increase the speed of delivery.
Objective 3: We will maximise the potential 4.11 Emerging evidence of our transportation corridors suggests that targeted to deliver sustainable improvements in our rail network development and enable the would deliver major benefits creation of an integrated public which would support our transport network aspirations for economic growth, increase GDP significantly, 4.10 Our transportation network improve accessibility to public is heavily skewed towards the transport and potentially support western parts of Leicester & growth in new locations. Through Leicestershire. This means that the Strategic Growth Plan, we there is extensive pressure for will support transport linkages, development in these locations, infrastructure improvements particularly around the motorway and network improvements junctions, where there are which remove or at least reduce known bottlenecks. Within bottlenecks in the existing the City, a series of relatively system. modest improvements to the road network would allow some 4.12 At the same time, we will anticipated growth to take promote a shift towards non- place but in other areas more car travel and increased use of significant interventions would the rail network for both people be required; elsewhere more and goods. This will be achieved localised improvements would through the integration of land increase the speed of delivery use allocations, infrastructure of growth and prosperity. The improvements and genuinely lack of adequate road access mixed use, sustainable is currently frustrating the development which also delivery of major residential-led encourages walking, cycling, the development. use of buses and other forms of public transport and working from home to reduce the need to travel.
24 ...vibrant centres for commerce, learning, leisure and living.
Objective 4: We will support the City of can make the most of existing Leicester, Loughborough, urban infrastructure and improve Hinckley and the other market accessibility to jobs and services, towns across the County as reduce resource consumption accessible business, service and and the need to travel by car. cultural centres 4.15 We will therefore consider 4.13 Leicester sits at the how we can strengthen the heart of the County and is critical mass of key settlements the tenth largest city in the so that they serve as major UK. In recent years, the City economic drivers supporting a Council has invested significant more competitive, strong and time, effort and money in the stable economy for the area regeneration of its older urban and become vibrant centres for centre and the pace of change is commerce, learning, leisure and accelerating as the private sector living. This builds upon the recent starts to respond. Similarly, work by the local authorities and Loughborough, Hinckley and the the LLEP to deliver growth in other market towns across the these locations. County are developing their role as important centres within the settlement hierarchy. 4.16 We will consider how we can deliver these aspirations, assessing the potential of land 4.14 We recognise the benefits within urban areas and the extent that derive from having strong to which limited development urban centres that provide a mix elsewhere might accommodate of uses, appropriate to their scale, local need. It is essential that new and act as a focus for the rural development is integrated with areas. By locating much of the existing community infrastructure area’s development requirements or makes new provision. in the principal settlements we
25 Our rural communities play an important role in our economy.
Objective 5: We will promote prosperous but local businesses are and sustainable rural constrained by the availability communities of labour and premises, and sometimes also by the quality 4.17 Our rural communities play of infrastructure including high an important role in our economy speed broadband. and as places where people live and work. Increasingly, however, 4.19 Within the rural areas, we the local authorities are aware will therefore consider how we of their ageing population, can provide land for housing strained local services, limited and employment growth, public transport and the need proportionate to the needs of for affordable housing. Most local residents and businesses, rural areas are under significant together with infrastructure, pressure for development subject to environmental but there is often a mismatch capacity. We will also address between the type, size and other factors that frustrate local tenure of housing that is needed growth including the lack of high and that which is promoted by speed broadband; better access developers. to the internet would allow people in the rural areas to work 4.18 Many rural areas make in, and create businesses in, the a significant contribution to countryside reducing the need to the local economy in terms of travel. agriculture and food production
26 ...our critical environmental assets.
Objective 6: We will protect and enhance the 4.21 As part of this process, quality of the area’s built and we will consider how we can water environments, landscape enhance the condition and and farmland, biodiversity and connectivity of the networks of natural resources green spaces and watercourses within and between settlements 4.20 Our built and natural to reduce flood risk, support environments, landscape and cycling and walking, increase farmland, biodiversity and tree planting and carbon capture, natural resources are our critical support biodiversity and provide environmental assets; they are better habitats, enabling leisure the features that shape the opportunities, and supporting character of our area, create a agricultural and economic sense of place and increase our potential. quality of life. They provide a setting for our new homes, and 4.22 We will also support enhance places and landscapes resource security by protecting as economic drivers and tourist finite resources such as minerals, destinations. Our farmland makes soils and prime agricultural land. a significant contribution to food We will safeguard and, where production and supports our appropriate, enhance wildlife rural industries. We will therefore habitats, sensitive green spaces, consider how best we can forestry, watercourses, wetlands, protect these important assets. floodplains, species and wildlife corridors, landscapes, parks, townscapes, archaeology, historic buildings and monuments.
27 ...real communities with a sense of place and purpose.
Objective 7: We will seek to achieve high mix of development reflect standards of design and the character of the area and environmental sustainability we will consider developing a in all new development, design guide for Leicester & responsive to local Leicestershire. distinctiveness 4.24 We will support the 4.23 Leicester was the first switch to a low carbon and zero ‘Environment City’ in the UK waste economy by providing for thereby providing a launch pad appropriate infrastructure and from which to develop a more improvements in our resilience extensive environmental offer. to climate change and other On all new development, we potential risks. Green space, will support the development watercourses and infrastructure industry to design in at the networks will be used to support outset high resource efficiency this agenda and as part of an standards, supported by a mix adaptation process to future of uses and facilities. We will proof places against climate ensure that the arrangement, change. layout, design, density and
Objective 8: We will focus on the 4.26 In doing so, we will focus importance of communities, on place-making, creating ensuring that place- real communities with a sense making delivers high quality of place and purpose, in an development which supports environment which reflects the needs of both existing and our local distinctiveness. We new communities. will consider how the Building for Life Standards, updated 4.25 Quality of life is important in January 2015, will provide to us. Planning for growth an appropriate basis to align requires more than just setting place-making across the area. targets for housing, employment We will also work with public, land and jobs. We want to raise private, business and community the bar in terms of the quality of interests to address existing development that is delivered so problems and to devise solutions that new development becomes which achieve a balance of an asset to both existing and new interests. communities and delivers the infrastructure and services that are required.
28 Preparing a strategy for growth 5 5.1 In this section of the individually for each Borough and Strategic Growth Statement we District to 2031 and 2036. summarise the position on some of the key documents that are 5.4 In the case of new being put in place as part of the housing, this will be an objective evidence base and identify the assessment of needs based on types of options that we will national statistics for population assess when considering where and households, as modified to development should be located. reflect local circumstances within The evidence base will continue the Housing Market Area. In the to be developed and the options case of economic development, will be refined as we work forecasts for economic growth through this process. will be adjusted to take account of local circumstances. 5.2 The evidence base is being assembled in such a way that it 5.5 The work will also support will provide detailed information negotiations on the Duty to Co- for the periods to 2031 and 2036. operate and a new Memorandum This will allow local authorities of Understanding, agreed by to co-ordinate their current all local authorities, which will work on Local Plans and assist in replace the current version and discussions relating to the Duty will be used as a basis for further to Co-operate; the Strategic work. Growth Plan will reflect this work. The Strategic Growth Plan will also take a longer term Transportation modelling perspective and set out the and other studies aspirations of the local authorities and the LLEP for the period 5.6 The local highway beyond 2036, to 2050 authorities have completed a strategic level study of the impact of new development Assembling the evidence base on the transportation system Housing and Economic in the period 2026-31. This Development Needs has concluded that, whilst Assessment (HEDNA) improvements to the network are needed, the current predicted 5.3 The local authorities and levels of development can be the LLEP have commissioned accommodated without the need an assessment of housing and for additional (i.e. beyond those economic development needs to already generally identified) determine the extent to which, if major new transportation at all, the existing targets need schemes during this period. to be updated. The work will help Additional, more detailed, work to identify the broad scale of is being undertaken for the development that will need to be Principal Urban Area and for accommodated within Leicester several of the Boroughs and & Leicestershire, as a whole, and Districts; these could identify
29 the need for more localised • to maximise the benefit transportation improvements from the Midland Main Line associated with particular sites. services; • to achieve the best result 5.7 The transportation model from the implementation of which underpins this study is HS2 Phase 2; currently being updated and will • to improve, radically, use the results of the Housing direct, fast connectivity to and Economic Development key regional and national Needs Assessment (HEDNA) destinations; and as an input. Separately, more detailed transport impact • to ensure that rail access and and mitigation work will be development are planned undertaken within individual local together. authority areas, to inform Local Plan preparation in the period up Sustainability Appraisal/ to 2031 or 2036 and to inform Habitat Regulations the Strategic Growth Plan in the Assessment longer term. Future work will also consider the need for strategic 5.10 The Sustainability improvements in the highway Appraisal will assess the extent network allied to major growth to which the Plan, when judged beyond 2031. against reasonable alternatives, will help to achieve relevant 5.8 A specific study is also environmental, economic and examining the case for major social objectives. The Habitats highway improvements to the Regulation Assessment will help A5, between the M69 and M42 in to determine the likely significant Leicestershire and Warwickshire. effect of development on the The A5 Partnership(15) is working integrity of wildlife sites designated with the Highways Agency as being of European importance. and the Homes & Communities This work will be undertaken at Agency to develop an outline key stages during the course of business case to improve the the preparation of the Plan. highway to dual carriageway standard; this will unlock jobs and Sector Growth Studies homes in the area and reduce accidents. 5.11 The LLEP has commissioned work on eight Strategic Rail Study: to 2043 sectors of the economy. The and beyond purpose of this work is to understand the nature of each 5.9 Network Rail is already industry, its potential as a key planning the improvements to sector of the local economy the national rail network for the and its future requirements in period up to 2043. A number terms of land, infrastructure and of authorities within Leicester business support. The sectors & Leicestershire, therefore, are: commissioned work to assess the need for investment in the local • Creative industries area. The study identified four • Engineering and advanced draft priorities for improvement manufacturing to the rail system: • Food and drink manufacturing
(15) The A5 Partnership is formed of the LLEP, East Midlands Councils, Coventry & Warwickshire LEP, the Homes & Communities Agency, Leicestershire County Council, Hinckley & Bosworth BC, Warwickshire County Council and is supported by local authority partners in Northamptonshire, Warwickshire, Leicestershire, the West Midlands and Staffordshire.
30 • Logistics and distribution Other studies • Low carbon 5.13 Other studies will be • Professional and financial commissioned as necessary services during the course of preparing the Plan. • Textiles and manufacturing • Tourism and hospitality Options for the spatial
A further study has been distribution of growth commissioned on the sports 5.14 Whilst the Housing and sector in recognition of the Economic Development Needs strengths of the local economy in Assessment (HEDNA) will this area. identify the amount of growth that needs to be delivered, Market Towns Study discussions will be required on the potential spatial distribution of that growth informed by 5.12 A study has been the circumstances of each commissioned which covers Local Authority. In practice, the eleven market towns across there is a range of options for Leicestershire. The work is accommodating new growth and not yet complete but it has the Strategic Growth Plan will highlighted the importance of need to consider which of these the market towns to the local options are most appropriate economy, calculating that they across all or part of the area. It is provide employment for over anticipated that the final spatial 25,000 people. The study has distribution will include several, confirmed that relatively modest but not necessarily all, of these economic growth in percentage options in the final portfolio of terms could deliver significant solutions. economic benefits in absolute terms.
31 Urban intensification Sustainable Urban Extensions
5.15 Urban intensification 5.17 Sustainable Urban involves the development Extensions (SUEs), have formed of existing sites within the part of the development portfolio urban area. It includes the for Leicester & Leicestershire redevelopment of existing land for many years. They are large and buildings (‘brownfield’ sites) areas of land, adjoining the and/or the development of land existing urban built up area, with that previously has remained as good accessibility to existing open space. Derelict, vacant and urban areas and potential for the underused land can all contribute exchange and mutual support to the potential supply which of services and facilities. They might be generated by business are often located close to areas closures, local authority estate where there is the greatest regeneration and other changes pressure for development and in the urban fabric. Urban can comprise either brownfield or intensification can be combined greenfield land or a combination with a strategy to intensify of the two. development around commuter hubs. 5.18 SUEs are usually planned as mixed use communities with Urban Concentration new schools, shops and local services to service the needs of 5.16 Urban concentration the new community. Landscape assumes that most new and townscape appraisal needs development will be directed to form an important part of site towards existing settlements to appraisal. take advantage of proximity to existing services and facilities. Concentration on key Development could be within settlements or on the edge of the built up area but essentially this option 5.19 Most areas have a defined provides a counter-balance to hierarchy of settlements that range dispersed development across from one or more dominant cities the rural areas. or towns, of varying size, to villages and isolated hamlets. Within this hierarchy, key settlements
32 can be identified which provide, new stations could be provided. or have the potential to provide, Extension, expansion or services, facilities and a high level intensification of commercial and of accessibility. supported bus services can also play an important role, especially when bus routes co-exist with 5.20 New development can also rail stations thereby creating the help to support local services potential for an integrated public which might be declining or transport system . This option bring benefits to an area which could be combined with some is deficient in these. Sometimes, of the other options above e.g. key settlements have particularly urban intensification or strategic large or expanding businesses urban extensions. which would benefit from a greater pool of potential employees. Creating the Employment-led growth opportunity to live and work in close proximity can reduce 5.23 Employment driven unnecessary travel-to-work but it allocations are prompted by the is important to demonstrate that desire to locate new housing the employment opportunities and employment close to each are genuinely viable and other to provide the opportunity deliverable. for reduced commuting and living close to places of work. This helps to ensure a broad Dispersed growth balance between housing and jobs but much depends on the 5.21 At one level, dispersed deliverability and viability of the growth recognises that employment provision, and that a settlements need to expand direct link between those homes if the requirements of existing and jobs can be maintained. communities are to be accommodated e.g. as children set up their own homes they New settlements might wish to remain in the same (towns or villages) area as their families. This type of growth is often relatively limited 5.24 This option builds upon in scale and provision can be the notion that existing cities, made in neighbourhood plans for towns or villages are reaching such development. Alternatively, their maximum capacity and that, a strategy for dispersal can be under certain circumstances, prompted by the notion that one it might be preferable to direct or more urban areas are reaching new development to either a their point of maximum capacity new location or a series of new in which case new growth might locations. This option can be need to be accommodated combined with the option of elsewhere. concentrating new development in key settlements; the essential difference is one of scale. Growth ‘corridors’
5.22 Growth ‘corridors’ provide 5.25 Current government advice the opportunity to locate new suggests that the minimum scale development in areas where for a new settlement would there is good accessibility be around 1,500 dwellings but to public transport. Usually development viability plays a key this would be along strategic role and the settlement needs transport corridors where there to achieve sufficient critical is the spare capacity and/or mass so that essential services growth potential in the network; can be provided and adverse the focus would be on areas environmental impacts can be closest to the stations or where avoided.
33 ...the Strategic Growth Plan will be a natural evolution of current policies and proposals
Developing the strategy 5.27 Development has already started in key locations and 5.26 We are at an early stage in it makes sense to complete the preparation of the Strategic these works. Several of our Growth Plan. The evidence base key economic generators and is being assembled, the options academic institutions are in fixed for the spatial distribution of locations and it may be desirable growth are only just starting to to co-locate new investment be considered but it is obvious where they can build upon that the Plan will not start existing facilities. In other areas, with a blank sheet. The local environmental assets might need authorities are already preparing to be protected and enhanced. Local Plans to 2031 or 2036; steps are being taken to work on a consistent basis across the 5.28 These existing frameworks wider area to ensure the Plans will be the starting point for can respond to the Strategic our work so that the Strategic Growth Plan and are in line with Growth Plan will be a natural the requirements of the Duty to evolution of current policies and Co-operate. In addition the LLEP proposals, amended, developed, has undertaken a considerable enhanced and justified with amount of work on likely future reference to the emerging growth sectors and locations evidence base. which will feed into this work.
34 Next steps 6
• Consultation on the Strategic Growth Statement Summer (this document) 2016 • Continue to develop the evidence base • Initial consideration of spatial options
• Consideration of consultation responses on the Autumn Strategic Growth Statement 2016 • Continue to develop the evidence base • Further consideration of spatial options
Winter • Finalise housing numbers and employment land 2016 requirements – new Memorandum of Understanding
Spring/ • Draft Strategic Growth Plan Summer • Consultation on Draft Strategic Growth Plan 2017
Autumn • Consideration of consultation responses on Draft 2017 Strategic Growth Plan
35 This document has been prepared on behalf of:
Blaby District Council
Charnwood Borough Council
Harborough District Council
Hinckley and Bosworth Borough Council
Leicester City Council
Leicestershire County Council
Leicester and Leicestershire Enterprise Partnership
Melton Borough Council
North West Leicestershire District Council
Oadby and Wigston Borough Council