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Economy & Employment Topic Paper Neath Port Talbot County Borough Council Local Development Plan 2011 –2026 Economy & Employment Topic Paper August 2013 www.npt.gov.uk/ldp Contents 1 Introduction 1 2 Background 3 3 Policy Context: National, Regional & Local 5 3.1 National Policy Context 5 3.2 Regional Policy Context 11 3.3 Local Policy Context 15 4 Current Situation and Trends 25 4.1 Economic Growth and Employment Land Provision 38 4.2 Employment Land Review and Allocations 47 4.3 Tourism and Other Growth Sectors 59 5 Summary of Consultation Responses 63 6 Issues to be Addressed 65 Deposit LDP - Economy & Employment Topic Paper (August 2013) 7 Objectives 69 8 Strategy Development 71 8.1 Pre-Deposit Strategy 71 8.2 Deposit Strategy 73 9 Strategic and Detailed Policy Development 77 Contents Deposit LDP - Economy & Employment Topic Paper (August 2013) 1 . Introduction 1 Introduction 1.0.1 This topic paper is one of a range of papers prepared to offer more detailed information and to provide the approach taken in the Local Development Plan (LDP) in relation to different topics and issues affecting the County Borough. 1.0.2 This paper specifically considers the Economy and Employment. 1.0.3 The Deposit Plan is the second statutory stage of the plan and allows a further period of formal public consultation. Comments received at this stage will be considered by an Independent Planning Inspector who will hold an Examination In Public into the Plan. If the Inspector considers the Plan to be sound it will be recommended for adoption and once adopted it will supersede the current Neath Port Talbot Unitary Development Plan (UDP), and be the primary document for use in the determination of planning applications in Neath Port Talbot. 1.0.4 This Topic Paper can be read in isolation or in conjunction with the other Topic Papers and Background studies/papers that have been prepared to give a full picture of (1) Neath Port Talbot. Deposit LDP - Economy & Employment Topic Paper (August 2013) 1.0.5 It is suggested that this document is read in conjunction with the Neath Port Talbot County Borough Council Employment Land Review (2012), and Economic Assessment and Employment Land Provision for Swansea and Neath Port Talbot, Peter Brett Associates (2012). 1 1 The information contained within this Topic Paper is correct as of the date sent to print. 1 . Introduction Deposit LDP - Economy & Employment Topic Paper (August 2013) 2 2 . Background 2 Background 2.0.1 Neath Port Talbot County Borough is located at the centre of the South Wales economy. It benefits from direct access via the M4 to Swansea and West Wales, Cardiff, London and the South East of England. Furthermore, the A465 provides access to the Heads of the Valleys with linkages to the East Midlands. Due to its geographical location the area has a large travel to work area which extends to Swansea, Llanelli, Bridgend and increasingly includes Cardiff and Eastern Valley areas. 2.0.2 The employment opportunities within the County Borough help to meet a regional need and support the role of the City of Swansea which is identified in the Wales Spatial Plan (WSP) as the powerhouse for economic growth for the Swansea Bay Waterfront and Western Valleys region and the Economic Growth Strategy for South West Wales which supports the recently launched Swansea Bay City Region. 2.0.3 The area has a strong mix of manufacturing and service sector industries and a share of well-known companies with specific expertise in steel, electronics, automotive components, general and precision engineering. The Corus Group, taken over by India's Tata Steel in early 2007 created the world's fifth-largest steel group and is one of the main Deposit LDP - Economy & Employment Topic Paper (August 2013) employers in the area. It directly employs some 3000 people in its plant in Port Talbot and also provides numerous contracting opportunities for local people and businesses. 2.0.4 Over recent years new developments have raised the profile of Neath Port Talbot. The Baglan Energy Park development, which has started to revive a formal industrial area, has won the British Urban Regeneration Association for best practice in regeneration. There remains additional scope for development of this site over the LDP period. Furthermore, Coed Darcy Urban Village is a mixed use housing-led development which will help to anchor growth in the Neath Port Talbot area and is anticipated to deliver business and industrial floor-space as part of the development. The new road scheme (Harbourway) will provide a link from Junction 38 (M4), Margam through Port Talbot Docks and Baglan Energy Park and open up additional areas of land in the Docklands for redevelopment opportunities. A masterplan has been designed for the central Port Talbot area and a mixed use development scheme encompassing residential, bulky goods retail, leisure, office, business and storage opportunities will lead to the redevelopment of the Harbourside. 2.0.5 Despite a high proportion of the population employed within the manufacturing industry, the economy has diversified in recent years with an increase in the service sector and in light industry. Non traditional sectors such as tourism and leisure are becoming increasingly important while the coal industry has regained some momentum and employs increasing numbers in the Upper Neath Valley and the Afan Valley in particular. 3 2.0.6 Employment opportunities have tended to focus along the coastal corridor and within the urban areas of Neath and Port Talbot with limited development within the Valley communities. Many of the Valley communities developed around the coal industry and since its decline they have failed to attract new employment opportunities over recent years due to market forces. 2 . Background Deposit LDP - Economy & Employment Topic Paper (August 2013) 2.0.7 The Welsh Government’s central economic objective is to deliver strong and sustainable economic growth through the promotion of a diverse, competitive, and high added value economy. Drafting policies aimed at achieving these objectives will be a fundamental aspect of the LDP. The Plan will need to ensure that an adequate supply of employment land is available to offer employment opportunities and stimulate economic growth for the local economy and the wider region. One of the overall aims of the LDP is to designate enough employment land to meet Neath Port Talbot’s identified needs and ensure the needs of new and existing businesses and residents can be met. 2.0.8 Since the Pre-Deposit consultation a further study was commissioned by NPTCBC and the City and County of Swansea: PBA (2012) Economic Assessment and Employment Land Provision for Swansea and Neath Port Talbot. This study, together with other background evidence resulted in a higher level of growth from that set out within the Pre-Deposit Plan. The revised level of growth now more accurately aligns with NPT's vision and objectives to address the Authority's key issues. 2.0.9 As a result, the growth strategy for the LDP uses an economic led scenario which is more robust, using job growth and economic activity rates to influence the plan's requirement for employment land and the number of houses that will be required. Using this approach to project future growth has enabled the Authority ensure that housing and employment strategies in the LDP are aligned. 4 3 . Policy Context: National, Regional & Local 3 Policy Context: National, Regional & Local 3.1 National Policy Context Planning Policy Wales 5 (2012) 3.1.1 The Economic Development Chapter of Planning Policy Wales (PPW) was revised in the 5th Edition. It states that planning policies for economic development must provide developers and others with scope to make choices to secure the efficient and effective use of resources including land. Plans and decisions must be based on up-to-date and locally specific evidence which demonstrates the suitability of the existing employment land supply in relation to the locational and development requirements of business. Local Authorities are therefore required to undertake, and keep under review, an Employment Land Review. 3.1.2 PPW 'stresses the need for using evidence for setting an economic vision, and guides development plans to follow a number of processes, including the following selected points: Deposit LDP - Economy & Employment Topic Paper (August 2013) "a broad assessment of anticipated employment change by broad sector and land use; Targets on land provision for the employment uses (Classes B1-B8), showing net change in land/floorspace for offices and industry/warehousing separately Include policies relating to future development on existing employment sites to protect them from inappropriate development To encourage the regeneration and re-use of sites which are still suitable and needed for employment To control and manage the release of unwanted employment sites to other uses Seek to provide the right amount of land and qualitative mix of sites to meet the market demand for economic development uses" 3.1.3 The economy should also be supported through the planning system adopting a holistic approach and making provision for the needs of the entire economy (including non B class uses such as retail, leisure, health and public services) in addition to traditional employment land uses defined as B1, B2 and B8. Furthermore, more effective working and decision making should be promoted both within and between Local Authorities - Local Authorities are required to work collaboratively to ensure the Employment Land 5 Reviews are
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