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Local Enterprise Partnerships Agenda Item 7 Policy and Resources Committee - 6 December 2010 Local Enterprise Partnerships Summary This report sets out the current position regarding Local Enterprise Partnerships (LEPs) in this part of the country and the options for the Council to sign up to one or more of them. Attachment(s) Annex A - South-East Midlands (SEMLEP) proposal Annex B - Greater Cambridge / Greater Peterborough (GCGP) proposal 1.0 Background 1.1 One of the first acts of the coalition government was to announce the abolition of Regional Development Agencies (RDAs) and the introduction of Local Enterprise Partnerships (LEPs). 1.2 The precise role of LEPs has yet to be clarified, but the government has said that they must be: based on real economic areas, rather than on arbitrary geographical or political boundaries of a reasonable scale, indicatively covering a population of 1 million or more business-led. 1.3 The deadline for the submission of proposals to the government was 7 September 2010 and on 28 October it published a list of 24 proposals, out of 56 submitted, which it announced would be ‘taken forward’. 2.0 LEPs relevant to East Northamptonshire 2.1 Three proposals were put to the government which are relevant to this District: South-East Midlands (SEMLEP) (attached at Annex A) Greater Cambridge / Greater Peterborough (GCGP) (attached at Annex B) Northamptonshire 2.2 Of these, the SEMLEP and GCGP proposals have been approved by the government and the Northamptonshire bid has not. The only District Council supporting the Northamptonshire bid is BC of Wellingborough. The other five District and Borough councils have all supported the SEMLEP bid, albeit with varying degrees of enthusiasm. South Northamptonshire DC, Northampton BC and Kettering BC are very supportive of SEMLEP, while Daventry DC and Corby BC, like us, are supportive of whichever LEPs emerge that will benefit Northamptonshire in general and their District in particular. 2.3 Northamptonshire County Council has yet to support the SEMLEP bid. It is hopeful that its own Northamptonshire-only bid will yet be approved, but this seems extremely unlikely given the formal statements of support for SEMLEP made by the majority of Northamptonshire Districts. They have made it clear that they will not support the Northamptonshire bid, which does not meet the government’s population criterion. 1 3.0 Role and structure of LEPs 3.1 The government wants LEPs to help drive business, jobs and housing growth to support the economic recovery. It is up to each LEP to decide how best to achieve that in its own local economic area, with businesses taking a leading role. The precise role of each LEP has yet to be developed. Similarly, the governance and administrative structures of each LEP are up to that LEP to decide. 3.2 Funding will be an issue. The government has made clear that it will not provide any core funding for LEPs. If the private sector is to take a lead role in LEPs, it is reasonable to expect them to provide some, if not most, of the funding for them, but discussions in both SEMLEP and GCGP are still at a very early stage in that respect, and it is likely that contributions will be required from all partners. 4.0 East Northamptonshire’s position 4.1 Geographically, we sit between the SEMLEP area and the GCGP area, and are on the periphery of both, much as we were in relation to the East Midlands. There is a significant level of out-commuting from the District, both to towns within the SEMLEP area such as Northampton and Bedford and, to a lesser extent, to towns in the GCGP area such as Peterborough, Huntingdon and Cambridge. 4.2 Our aspiration to develop an economy that has higher-skilled, higher-value jobs sits comfortably with that of GCGP, which has Cambridge at its heart and a predominantly skills-based economy. The rural part of our District also has much in common with that of neighbouring parts of the GCGP area, such as Huntingdonshire and Rutland. 4.3 It therefore makes sense for us to be involved in discussions with both LEPs as they develop. 5.0 Recommendation 5.1 The Committee is recommended to: Support in principle both SEMLEP and GCGP; Authorise relevant officers, the Leader and Deputy Leader to engage as appropriate in discussions with both LEPs as proposals for governance, administration and funding develop; and To consider a further report on the benefits and costs to the District of involvement in one or both LEPs once those details have become clear. Implications: Corporate Outcomes or Other Policy/Priority/Strategy Good Quality of Life Good Reputation Good Value for Money High Quality Service Delivery Effective Partnership Working Strong Community Leadership Effective Management Knowledge of our Customers and Communities Employees and Members with the Right Knowledge, Skills and Behaviours Other: Decision(s) would be outside the budget or policy framework and require full Council approval There are no financial implications at this stage There will be financial implications – see paragraph Financial There is provision within existing budget Decisions may give rise to additional expenditure at a later date Decisions may have potential for income generation Risk An assessment has been carried out and there are no material risks 2 Management Material risks exist and these are recorded at Risk Register Reference – inherent risk score - residual risk score - There are no additional staffing implications Staff Additional staff will be required – see paragraph There will be no impact on equality (race, age, gender, disability, religion/belief, sexual Equalities orientation) or human rights implications and There will be an impact on equality (see categories above) or human rights implications – Human Rights see paragraph Power: Local Government Act 2000, Section 2 Legal Other considerations: Background Papers: Person Originating Report: David Oliver, Chief Executive - [email protected] Date: 18 November 2010 CFO MO CX (Committee Report Normal Rev. 21) 3 South East Midlands Local Enterprise Partnership Innovation for Future Prosperity Proposition and Outline Business Case South East Midlands Local Enterprise Partnership The South East Midlands Local Enterprise Partnership is brought to you by: Partner business organisations: Milton Keynes and Bedfordshire and North Bucks Northamptonshire North Bucks Chamber Luton Chamber of Federation of Federation of of Commerce Commerce Small Small Businesses Businesses Hertfordshire Milton Keynes Bedford Institute of Directors Institute of Business Group Directors Partner local authorities: Aylesbury Vale District Bedford Borough Central Bedfordshire Cherwell District Corby Borough Dacorum Borough Daventry Kettering Borough Luton Borough Milton Keynes Northampton Borough South Northamptonshire A selection of supporting businesses and academic institutions: Abbeygate, Action Security Barrett Strategic, Bellway Milton Keynes Solutions, Northampton Homes, Milton Wellingborough Keynes BPHA, Bedford Cocoa Creative, Cranfield University, David Locke Northampton Bedfordshire Associates, Milton Keynes Destination Milton East of England IDB Enterprise Loans, First Keynes East Midlands Enterprise, East Midlands Goodwill Solutions, Hampton Brook, House Builders JW Northampton Northampton Association Consultants Milton Keynes Local News TV, London Luton Marston Vale Trust, Milton Keynes Bedfordshire Airport Bedfordshire Community Enterprise National Northampton Pictons Solicitors, Princes Trust, Housebuilding Institute of Urban Luton East Midlands Confederation Affairs, University of Northampton South Taylor Wimpey, The Consultancy University Northamptonshire Milton Keynes Home Counties, Centre Milton Enterprise Board Hertfordshire Keynes University of VW Financial Wyboston Lakes, Young Bedfordshire Services, Milton Bedfordshire Enterprise East Keynes of England The specific roles and remits explored herein are subject to the availability of funding and complement and respect the statutory roles of local authorities. 1 South East Midlands Local Enterprise Partnership Contents 1 Partnership Vision and Proposal ................................................................ 4 2 LEP Objectives and Outcomes .................................................................. 6 2.1 Aims, objectives and activities .................................................................... 6 2.2 Expected outcomes .................................................................................... 7 3 Strategic Leadership .................................................................................. 8 3.1 Why have an LEP? .................................................................................... 8 3.2 Partnership development and collaboration with business ......................... 8 3.3 Robust governance and accountability....................................................... 9 4 The Economic Case for a Local Enterprise Partnership ........................... 12 4.1 Critical mass and alignment within a real economy .................................. 12 4.2 Communications and knowledge gateways ............................................. 14 4.3 Higher and further education and research .............................................. 16 4.4 Rural priorities and an environment for growth ......................................... 16 5 Creating the Conditions for Business Growth ........................................... 18 5.1 Research, intelligence and innovation .....................................................
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