CARDIFF COUNCIL CYNGOR CAERDYDD
EXECUTIVE BUSINESS MEETING: 8 SEPTEMBER 2005
MAKING THE CONNECTIONS: THE 3 CITIES INITIATIVE
REPORT OF THE CHIEF EXECUTIVE AGENDA ITEM: 9
PORTFOLIO : CORPORATE
Reason for this Report
1. To inform the Executive of the opportunities for collaborative working with Swansea and Newport under the auspices of the ‘3 Cities Initiative’ and to seek approval for joint projects to be developed in order that the collective interests of the Welsh cities are progressed.
Background
2. The importance of cities and city regions as drivers of the economy have increasingly been recognised in England through the work of the ‘Core Cities’ (Birmingham, Bristol, Leeds, Liverpool, Manchester, Newcastle, Nottingham, Sheffield) and the Office of the Deputy Prime Minister and similarly in Scotland with the publication of ‘Building Better Cities’ by the Scottish Executive in 2003. This policy focus on city regions has led to a greater emphasis on joint working between cities to ensure that strategic initiatives are implemented for the benefit of the wider region. In addition, significant resources have been allocated to the city regions in both England (e.g. £100m for the 8 city regions in the ‘Northern Way’) and Scotland (£90m for the 6 Scottish cities over 3 years) to bring forward proposals for achieving economies of scale and to deliver projects against jointly agreed priorities.
3. Whilst the Welsh Assembly Government has no established city-region policy statement, the Making the Connections and Wales Spatial Plan agendas offer a timely opportunity for developing joint projects between the 3 Cities in Wales and to ensure that Welsh cities retain their competitive edge against their UK and European competitors.
Issues
Making the Connections
4. The aim of Making the Connections is to maximise efficiency gains through the scale economies of more effective co-operation and co- ordination between public agencies. Joint collaboration between the 3 cities in Wales provides real scope for working across traditional
Page 1 of 5
administrative boundaries to provide cost-effective solutions for delivering excellent public services. The 3 Cities Initiative provides a mechanism for facilitating such discussions and enabling the development of innovative services which put the citizen centre-stage. However, the Initiative will not be at the expense of collaborative working with other local authorities in Wales and where possible other Councils will be invited and encouraged to participate in any projects.
Wales Spatial Plan
5. The implementation of the Wales Spatial Plan to-date has focussed on six spatial planning areas. Cardiff is part of the South East Wales ‘Capital Network’ in conjunction with Newport and 8 other local authorities. Swansea is part of the ‘Swansea Bay’ area with Neath Port Talbot and parts of Carmarthenshire.
6. The Welsh Local Government Association (WLGA) and many local authorities across Wales are of the view that the six spatial plan areas are restrictive and not reflective of existing regional structures or ‘thematic’ priorities which exist e.g. rural issues. Proposals are therefore being developed by the WLGA for a “matrix Wales” approach, which enables the focus on other spatial dimensions such as ‘corridors of opportunities’ (e.g. M4, A465 Heads of the Valleys and the A55 in North Wales), European Structural Fund areas (West Wales & the Valleys and East Wales) and rural and urban areas. The 3 Cities Initiative is seen to be one element of this more flexible and responsive matrix approach.
Scope of Collaboration
7. To date there has been two meetings between Chief Executives and officers from Cardiff, Swansea and Newport to explore potential project proposals. Further to these discussions, a number of initial priorities have been agreed which are consistent with the Making the Connections and Wales Spatial Plan agendas and which will be developed for further consideration at a meeting between Leaders of the 3 Cities in October.
8. The priorities for potential collaboration projects will initially focus on:
Making the Connections – joint service delivery Performance Management Management Development Economic Development 2012 Olympic Games – opportunities for Wales
Joint Service Delivery
9. The 3 cities believe that some ‘quick wins’ are needed to build momentum in the Making the Connections agenda and to enable effective joint working relationships to be created between authorities. The three cities provide a concentrated mass of population both in terms of the workforce that are employed by each authority and with regard to the communities that the authorities serve. The 3 Cities Initiative provides
Page 2 of 5
a mechanism for building on these strengths and influencing the direction of public service delivery. The lead of 3 of the largest local authorities in taking this agenda forward will also enable innovative solutions to be developed by revisiting traditional approaches to ensure that services are increasingly customer focussed, responsive and delivered in a more efficient way.
10. Initial discussions concerning the Making the Connections agenda have focussed on the possibility of collaborating in delivering back office support functions in order to add value through joint procurement, sharing services and strengthening expertise or specialisms in particular areas in different local authorities, so as best practice can be shared. The development of a pilot project or feasibility study could be explored to consider these issues further as part of this initiative – potentially accessing support from the Welsh Assembly’s £32m Improvement Fund.
11. Other possible collaboration opportunities to be considered by the 3 Cities Initiative could include for example a joint approach to tackling out of County placements for children. In addition, in line with one of the WLGA’s identified priorities for joint working, Cardiff could potentially work in conjunction with Newport to invest in new technology for sustainable waste management and ultimately develop a joint solution to address the increasing problem of waste disposal. These issues will be explored in greater detail at future meetings of the Initiative.
Performance Management
12. Concern has been expressed in each of the 3 Cities regarding the increasing marginalisation of Wales in terms of benchmarking performance. The difference between Welsh Assembly Government performance indicators (PIs) and those in England means that performance can only be measured against other authorities in Wales for a large majority of PIs and this is seen to be of limited benefit for driving forward improvement.
13. It is proposed that the 3 Cities Initiative be used to develop and adopt a number of key ‘corporate’ PIs which can be shared between the 3 Cities and are consistent with those used in England and to enable comparison with similar authorities.
Management Development
14. A key ethos of the Making the Connections agenda is to encourage better leadership and management, including the development of future leaders who are able and committed to realising the vision for public services. The development of Cardiff’s Sustainable Leadership and Masters of Public Administration (MPA) programme in conjunction with Cardiff University’s Business School is a recognised example of best practice in local authority management development and is being used as a basis for expanding the capacity of public sector managers through links with other initiatives such as Public Service Management Wales (PSMW). In addition, the 3 Cities Initiative can provide a tool for
Page 3 of 5
encouraging participation in the programme by Swansea and Newport – encouraging greater networking and sharing of best practice between staff and by facilitating the roll-out of the programme to other institutions (e.g. Swansea University).
Economic Development
15. There are a number of opportunities for the 3 cities to work together on a range of economic development initiatives to ensure that cities are ‘punching above their weight’ and keeping pace with other UK and European cities. The co-ordination of activities centred along the M4 ‘corridor of opportunity’ will enable the development of approaches that strengthen and integrate towns and cities in a coherent urban network in the region. This approach may promote the specific strengths of a particular area but which, through a co-ordinated strategy, will ensure complementarity with the wider aims and objectives of the region.
16. Collective marketing initiatives are seen as an immediate priority for collaboration in view of the current merger of the Welsh Development Agency into the Welsh Assembly and the review of existing activities undertaken by the Agency’s International Division. It is evident therefore that potential exists for joint attendance with shared private sector interests at trade fairs, property events etc. on the international arena in order to maximise the use of limited resources. However, some issues would also be better left to individual cities to progress due to local differences and priorities and it is important that a dual approach is adopted in taking forward these projects. These issues will be considered further in the context of the development of the new marketing vehicle for Cardiff (see New Marketing & Investment Framework For Cardiff Report)
2012 Olympics
17. The hosting of the 2012 Olympics in London presents a number of potential spin-off benefits for Wales. In particular the collective offer of sporting facilities in Cardiff (e.g. Millennium Stadium), Newport (e.g. National Velodrome) and Swansea (e.g. Wales National Pool) – all in relatively close proximity to London – could provide an excellent base for training facilities for competing athletes. The use of facilities in Wales will not only raise the profile of Wales but will also lead to a positive impact on the local economy through the increased number of visitors and supporters to the area.
18. The Council has made clear to the Department of Culture, Media & Sport (DCMS) the extent of Cardiff’s commitment to hosting Olympic activity and through the 3 Cities Initiative there is an even stronger case for an effective co-ordinated approach to event management in conjunction with Newport and Swansea. Further opportunities regarding the 2012 Olympics will be bought to the Executive for consideration in due course.
Page 4 of 5
Reasons for Recommendations
19. To enable Cardiff to participate in collaborative working with Swansea and Newport to ensure that the collective roles of the Welsh cities are fully maximised for the benefit of both the South Wales region and Wales as a whole.
Legal Implications
20. Under S2 Local Government Act 2000 the Council has power to do anything which it considers likely to achieve the economic, social or environmental well-being of it’s area but in exercising its powers it must have regard to its community strategy.
Financial Implications
21. There are no direct financial implications arising from the report. Development of any joint initiatives should result in efficiency savings for the councils involved and these would need to be identified as part of any business case for collaboration.
RECOMMENDATIONS
The Executive is requested to:
(1) support the establishment of a 3 Cities Initiative in conjunction with Newport City Council and the City & County of Swansea Council;
(2) agree to the Chief Executive developing proposals for collaborative opportunities with Swansea and Newport.
BYRON DAVIES Chief Executive 8 September 2005
The following Background Papers have been taken into account:
1. Making the Connections – Delivering Better Services for Wales, Welsh Assembly Government, October 2004
2. People, Places, Futures – The Wales Spatial Plan, Welsh Assembly Government, November 2004
Page 5 of 5