Date 21 Oct 2016 Version 0.6 Approved By
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Date 21 Oct 2016 Version 0.6 Approved by ECONOMY AND REGENERATION PORTFOLIO OVERVIEW Portfolio Holder’s Introduction I am pleased to present my mid-year portfolio report, which demonstrates the various ways we are delivering on our manifesto pledges to transform the local economy and unlock Stockport’s amazing potential. Proposals for a Business Improvement District will help support and promote Stockport Town Centre, whilst we continue to engage and support local businesses, for example through the Get Digital Faster programme. A range of initiatives at a local and regional level are focused on increasing employment opportunities for young people, particularly working with employers to promote apprenticeships. Future opportunities are also being created through the GM Working Well pilot, along with local events including an Apprenticeship Information Evening and Stockport Jobs Fair. Our investment in inclusive and sustainable growth is evidenced in the developments at Redrock, Stockport Exchange and Aurora which have all taken shape during the second quarter. Alongside the Town Centre Access plan, these will help improve perceptions of our borough. Outside of the centre, good progress is continuing with the SEMMMS programme and regeneration in Brinnington, with work beginning on the Aurora Business Park. I was particularly proud to see the magnificent work to improve Bramall Hall at its re-opening weekend in July. Performance during the second quarter of the year has been maintained across most areas of the portfolio. More businesses are taking managed workspace to get started, whilst employment rates continue to increase. A range of new measures are also proposed to better reflect portfolio priorities, and I welcome feedback on these from Scrutiny Committee. My portfolio is forecasting a small budget surplus, with savings already achieved for the year. The capital programme now stands at over £185m, including a programme of improvements to address the damage caused by flooding in June and September. Our long-term £100m investment in improving local road conditions is also starting to bear fruit, with latest surveys showing improvements in line with the level of investment. The scale of our ambition is reflected in our latest budget proposals, which a long-term vision for Inclusive Growth to support and regenerate the local economy, linked to Greater Manchester’s wider growth plans. Cllr Kate Butler, Portfolio Holder (Economy and Regeneration) Revenue Budget (Forecast) Capital Programme £000 Cash Limit 2,792 Forecast Outturn before reserves awaiting approval 2,739 £000 (Surplus)/Deficit (53) 2016/17 Capital Budget 187,669 2017/18 Capital Budget 98,567 2018/19 Capital Budget 38,828 “Approved Use of Reserves” Total 1,922 Utilisation of “Approved Use of Reserves” in the 1,004 above forecast “Approved Use of Reserves” Balance 918 2 1. ECONOMY AND REGENERATION PERFORMANCE MONITORING AND KEY PROJECTS 1.1. Priorities and Activity Update 1.1.1. Transforming the Local Economy Good progress continues across the various schemes in Stockport town centre, with summer 2016 seeing the opening of a number of new restaurants, cafés, shops and an art gallery. Work has also begun on Stockport’s newest industrial park, transforming an 18 acre site alongside J1 of the M60 which will become Aurora Stockport. This modern 145,000 sq ft industrial park will breathe new life into an area that has been derelict over recent years, creating new opportunities for local businesses and an estimated 240 jobs locally. Proposals for a Stockport Town Centre Business Improvement District have moved to a ballot of eligible businesses, with the results due at the end of October. If successful, this would bring new business leadership and financial resources to support and promote the town centre from April 2017. 1.1.2. Supporting Business in Stockport The Business Growth Hub continues to introduce local businesses to the range of funded support available. During Q2 events were held which led to engagement with approximately 70 businesses, and one-to-one meetings were held with 52 businesses. The summer edition of the Stockport Business Bulletin was also emailed to 4,800 business contacts. Meanwhile, local employers have expressed an interest in engaging more strategically with the Voluntary, Charity and Social Enterprise (VCSE) Sector, as part of their Corporate Social Responsibility plans. Work is ongoing to establish a matching service which will enable businesses to liaise more effectively with the VCSE sector, matching skills and interests with need. The Get Digital Faster (GDF) programme involving the rollout of fibre enabled cabinets, has now seen 71 new cabinets installed in Stockport, reaching over 4,500 premises. By the end of August, take up of digital services via the new GDF cabinets had reached 22.3%. The current programme ends in March 2017 but BT will continue to utilise ‘Gain share’ investment, extending the network to the remaining 0.7% of premises that are not able to access digital telecoms infrastructure. Work is ongoing to create a Stockport Investment Funding scheme, in partnership with Business Finance Solutions (BFS). This will help promote a range of finance options for businesses in Stockport, with loans issued by BFS but jointly branded and marketed by Stockport Council. 1.1.3. Tackling Youth Unemployment The Council is committed to the development of a youth jobs guarantee, laying the foundations to eradicate youth unemployment. Proposals have been submitted for 3 £133,500 of GM funding to support unemployed 16-24 year olds in Stockport. These include both a wage incentive scheme for employers linked to apprenticeships, and a continuation of the Intermediate Labour Market project, which will provide paid employment opportunities for 3 months with both public and private sector employers, in particular targeting employers who could see opportunities potentially becoming more sustained as apprenticeships. Apprenticeship targets continue to be developed and tracked as part of the Council's Employment & Skills Agreements with construction contractors on key developments. Breadth of opportunity continues to be developed via the Apprenticeship Store and Services for Young People. An Apprenticeship Information Evening was held in September, aimed at parents/carers and young people wanting to find out more about the apprenticeship route. Staff were on hand to give information on Apprenticeships and the potential progression routes. An open evening was also held at the Apprenticeships Store in August. A range of activities continue to support all local job seekers during the second quarter. These included the work of the Employment & Skills Advisors, Work Clubs and the Working Well pilot, alongside the Stockport Jobs Fair. Employment & Skills Advisors are working with 77 individuals referred from the MASSH (Troubled Families / Vulnerable Adults) during Q2, with 7 moving into employment during the quarter, a further 4 into volunteering, and 12 into training / education. The four council-supported Work Clubs were attended by 72 individuals during Q2, with at least 4 moving into employment. Meanwhile, positive discussions have been held with employers moving into Stockport Exchange and Red Rock to provide support with recruitment of local jobseekers. The Working Well pilot has had 30 job starts to date of which 10 have now been sustained for 50 weeks. Referrals onto the Working Well expansion across GM have dropped below the expected numbers, and this is being addressed with JCP and the providers. Further progress is being made in identifying opportunities for Jobcentre Plus to have some outreach provision in priority neighbourhoods as part of the review of Public Estates. Stockport Jobs Fair was held on 20 September, bringing together local companies looking to fill vacancies, and organisations offering employment advice and guidance with local people looking for a job or career support. It was attended by 450 people and 40 employers, and included sessions by the Airport Academy and National Careers Service. 1.1.4. Regenerating Our Town Centre As the update on Redrock, Stockport Exchange and the Markets and Underbanks area shows there is now considerable physical evidence of the ongoing investment into the town. Work is progressing to tell this story so that perception of the town improves in line with the investments being made. 1.1.5. Bringing Metrolink to Stockport and Improving Rail Accessibility The initial feasibility work on Stockport Rail Station Improvement Proposals is nearing completion and a report on this will be prepared for members. 1.1.6. Reducing the Cost of Bus Travel 4 The Bus Services Bill is continuing to be considered by parliament with the Report Stage discussion taking place in the House of Lords in October. A number of amendments have been proposed to the Bill including a requirement for operators to make accessible information available on the bus, on proposed consultees to franchising proposals and to enable authorities to request information from operators in connection with their functions in relation to a franchising or partnership plan. TfGM has also informed the Council of some services changes which should improve access to Manchester Airport from Stockport. 1.2. Reform Programme Updates 1.2.1. Museums and Cultural Attractions The highlight of the quarter has been the reopening of Bramall Hall which has achieved strong visitor figures and income generation in its first two months of operation. Performance at Town Centre sites has also held up strongly despite the service focusing activities and events at Bramall. 1.2.2. Stockport Exchange Phase 2 of Stockport Exchange is nearly complete. The offices will be handed over in October with the ground floor retail unit prelet to J Sainsbury. Much effort is going into the marketing of this grade A space. The hotel is due to open in December. Both the hotel and offices will overlook the new gateway to the town from the station which represents a vast improvement. 1.2.3. Redrock The steelwork on Redrock is now far advanced and the impressive scale of the scheme is now apparent.