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Adult Social Care Portfolio Date: October 2018 Version 1.0 Approved by KB 1 ECONOMY AND REGENERATION PORTFOLIO OVERVIEW Portfolio Summary I am pleased to present the 2018/19 Quarter 2 Performance and Resources Report for the Economy and Regeneration Portfolio. Firstly, though the actual opening happened just after the end of Quarter 2, I am particularly pleased to report that after many years of hard work, the A6 to Manchester Airport Relief Road opened on October 15th, providing a vital road link across Stockport, Manchester and East Cheshire. As the Leader of the Council recently stated, the benefits this will bring to residents, businesses and our local road networks are significant. Not only will congestion on many local roads be reduced, but pedestrians, cyclists and public transport users will benefit from more convenient journeys. Over 500 people attended the annual Jobs Fair. Within two weeks of the event, we were aware of at least 13 individuals who had secured new employment from the contacts they made at the Fair. We will be working with Jobcentre Plus to track longer-term outcomes. Following the Council-led Work and Skills Commission for Stockport earlier this year, the new Stockport Work and Skills Board will have its first meeting on 31st October. A senior business leader from Stockport will chair the new Board and it will oversee the delivery of the work and skills priorities for Stockport that the Work and Skills Commission identified. The Stockport Cultural Network continues to strengthen, attracting new participants. The initial focus of the network was to co-ordinate activity relating to the centenary of the end of World War 1. The network is now moving to develop a strategic cultural framework for Stockport that will provide a vision and context for future planned activity and assist a range of organisations to lever arts investment into Stockport. The Council’s Growth Team hosted the Business Growth Hub networking event at Vernon Park in July and the Finance and Professional Network event in September, which featured a keynote presentation from the Bank of England. The Start Smart programme continues to deliver drop-ins at local libraries and workshops for anyone interested in starting their own business. Over 125 people have engaged so far and 40 businesses have been created. After a tender process, Market Place Management won the contract to operate Stockport Market. Following a handover period, the new service model will take full effect from 1st January 2019. And last, but not least, the Council has identified the long-term development of the Town Centre West area as one of its main regeneration priorities, with capacity to support delivery of 3,000 new homes and additional social infrastructure, open space and amenity. To achieve this the Council is exploring the creation of a Mayoral Development Corporation with the GM Mayor, Andy Burnham. Greater Manchester Combined Authority agreed this, in principle, in September, and it expects to make a final decision in December. I will continue to provide updates on this through these quarterly reports. Cllr Kate Butler, Portfolio Holder for Economy and Regeneration 2 Revenue Budget (Forecast) Capital Programme £000 Cash Limit 2,668 Forecast 2,668 £000 (Surplus)/Deficit 0 2018/19 Capital Budget 69,953 2019/20 Capital Budget 56,032 Approved use of reserves 1,051 2020/21 Capital Budget 29,297 Utilisation of approved use of reserves 616 Balance remaining of approved use of 435 reserves National and Regional Policy Drivers Brexit The latest available (September) edition of GMCA’s regular “Brexit Monitor”1 reported that September saw Brexit preparations accelerate as negotiation deadlines approach, with recent months marked in particular by increasing discussion across the nation of the risk and impact of leaving the EU without a deal in place. Despite this, there are some reasons for optimism with the UK Government maintaining that they are confident that a deal will be reached, and overall positive (if variable) trends in recent months in construction, services and retail. Local business surveys highlight that recruitment intentions remain positive, though there has been rising uncertainty about future investment plans. Consumer spending growth ticked up, boosted by the warmer weather. For most households however, the outlook is still mixed, with falls in unemployment and rising wages unable to counter the effect of rising living costs, leaving most still feeling the squeeze. At its meeting on 28th September, GMCA approved a report (with contributions for all 10 GM local authorities) that set out implications of two scenarios and potential actions for grasping the opportunities and meeting the challenges these raise: A deal based on the Government’s White Paper. The UK leaving the EU without any deal agreed and no transitional period. The report set out an updated set of principles that GMCA believes should be followed in the negotiation of a new relationship between the UK and EU. GMCA also agreed on actions required, both of Government and GMCA, aimed at ensuring that GM is as ready as possible for the transition out of the EU, whatever deal is agreed with the EU (including a ‘no deal’ scenario). Greater Manchester Strategy (GMS) GMCA will consider a report on GMS performance between 1st April and 30th September 2018 during Quarter 3. This will be summarised in future reports. 1 The September 2018 Brexit Monitor is available via the link below. The October edition will be available towards the end of the month. https://www.greatermanchester-ca.gov.uk/downloads/file/875/gm_brexit_monitor_september_2018 3 Greater Manchester Spatial Framework (GMSF) Following the publication in September 2018 of household projections and the subsequent Local Housing Need figures, government has announced that it will be reviewing and consulting on a methodology for deriving housing numbers. This has therefore further delayed the GMSF process, as GM authorities assess the potential impact of a revised methodology. There is not yet a definite timeframe for the next stage of GMSF consultation, although this should be clarified in Quarter 3. Bus Reform GMCA considered a report on July 27th 2018 that set out a process for developing an assessment of a proposed bus-franchising scheme for GM. It also proposed next steps regarding carrying out that assessment and undertaking associated consultation. Rail Performance On 20 May, 2018, new timetables were introduced across the country to provide enhanced capacity and more frequent rail services. These timetables were produced very late however due to uncertainty around the infrastructure improvements necessary to accommodate them. In addition, a combination of other factors contributed to substantial declines in performance and significant increases in the number of delays and cancellations over the summer. Whilst measures have been introduced that have led to some performance improvements, performance continues to be of concern locally and Stockport Council officers and members have met with Northern to discuss these concerns. For example, contractual issues with staff meaning that improving Sunday timetables continues to be problematic. This, and the wider issue about the extent to which regional and national services are prioritised over local services, is of great concern to the Council as rail is such a vital asset for commuters and residents in Stockport in accessing jobs and local services. GM Industrial Strategy In the 2017 Autumn Budget it was announced that the GMCA and Government would work together to develop a GM Local Industrial Strategy (‘the GM LIS’) by March 2019. This will reflect the key themes of the National Industrial Strategy, incorporating a place-based approach. Working in collaboration with the Cities & Local Growth Unit, the initial tranche of work focused on agreeing the approach to developing the LIS and initiating work to develop the evidence base. The Strategy is intended to be long-term (to 2030) and be reviewed regularly, providing the opportunity to set out what will be required to grow the economy and how that growth will be achieved. In June, the Government opened the formal competitive bidding round for the “Strength in Places” fund, which seeks to support innovation-led relative regional growth by identifying and supporting areas of research and development strengths in order to make these clusters nationally and internationally competitive. Though neither the Local Enterprise Partnership nor GMCA are eligible to bid, they have endorsed a bid by the University of Manchester based on health innovation and advanced materials. Ministerial Local Enterprise Partnership (LEP) Government recently published a document “Strengthened Local Enterprise Partnership” that sets out the conclusions of its review of LEPs. The review aimed to ensure that LEPs continue to support Government in delivering the Industrial Strategy, harnessing each area’s distinctive strengths to meet the Government’s Grand Challenges in the context of the future UK Shared Prosperity Fund. The GM LEP Board considered the review and key implications for GM on 17th September. Whilst GM is already compliant with most of the review’s recommendations, there will be some work to do to address recommendations relating to the delivery of the GM LIS, as well as some more specific recommendations relating to roles & responsibilities, capacity, membership and governance. LEPs are required to develop implementation plans to deliver on these recommendations by the end of October 2018. 4 GM Full Fibre Programme GM has been successful in securing £23.8m capital funding from the Local Full Fibre Network Challenge Fund. The plan is to connect up to 1,500 public sector buildings across GM that should act as a catalyst for other businesses to improve their broadband network. GM’s ambition is to improve coverage from 2% to 25% by 2020, which would see GM moving towards coverage enjoyed by other European cities. Meetings have taken place in each GM local authority to agree a provisional list of sites for connection.
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