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Time is right for entrepreneurs, says DCBC chairman Tim Jones
Never has there been a greater and immediate opportunity for the regions and entrepreneurs to control their own destinies, says DCBC chairman Tim Jones.
In his quarterly briefing he says there are many tenacious and dedicated entrepreneurs who just want to get on and have been frustrated for years by decisions being handed down from Whitehall and too many obstacles to "just doing it".
But developments such as the Government's acceptance of the Heseltine Report and initiatives such as City Deals are changing the landscape.
Opportunities are arising from the Government releasing centralised control and working in partnership to take maximum benefit of the changes is the key to success, he says.
Here is the text of the Quarterly Report:
"The cumulative impact of the longest recovery from a recession for a century is increasingly influencing the approach adopted by Central Government. Initiatives are being trialled to create greater economic momentum and crucially to increase levels of confidence in the corporate sector.
In many respects this is proving to be a significant opportunity for South West businesses as a result of enhanced devolution of Whitehall powers to a more local level and the first chance for a generation for local decisions to be made for the maximum benefit of the local economy.
Examples of the increasing pace of the transfer of responsibilities can be seen both in the Autumn Statement and the March 2013 Budget. Many of the recommendations made by Lord Heseltine have been adopted. These will empower local delivery partnerships focusing around the Local Enterprise networks to control "single pots" in key sectors such as skills, housing and infrastructure. Additionally a decision has also been made to replicate the same approach with European Funds that will allow a more coordinated approach to business growth, social programmes and rural development support.
The importance to local businesses is already being seen. Our economy is largely dominated by small and micro enterprises. Targeted support is now able to assist and the development of a highly effective "tool kit" is well under way. This includes:
* Broadband facilities for the rural economy.
* Funding support through a micro finance initiative for start up businesses.
* Funding for growth through the Western Morning News/University of Plymouth Fund that has just received a major new allocation of cash to ensure an even more successful 2nd round programme.
* Funding support for start-up young business entrepreneurs.
* The establishment is a series of Rural Enterprise Hubs.
* Special support to assist women into rural enterprises.
* A series of support measures to assist employment in micro businesses including help to deliver the latest measures, announced in the Budget, for increasing employment and additional apprenticeships.
It is recognised that growth needs to be encouraged at every level and that big or small enterprise must be supported to be competitive. Job safeguarding is just as important as seeking out inward investors and therefore other measures now include:
* Greater links between planning and economic growth to allow appropriate spacial opportunities to be delivered. The Government has adjusted planning regulations to aid the process. A more partnership-based approach between Local Planning Authorities, Businesses and Communities will achieve the sort of sustainable projects from which all can benefit and help to remove many of the costly delays and frustrations that are currently experienced.
* Using the measures, recently introduced, to ensure a ready supply of housing is also seen as vital for healthy growing communities. New housing development converts into early local jobs and support for a range of local businesses and retailers.
* Developing Supply Chains is a very positive and effective measure to support local economic growth. Dedicated programmes are in place to ensure that, when vital capital projects such as Hinkley C, the Atlantic Array (an off-shore wind farm of the coast of Northern Devon) and others are progressing, as much as possible of the investment generated can be retained in the local economy. Each new capital project will be supported with this approach.
* High Growth Investment. Whilst the Government's options for financial support are limited and we are all being encouraged to "do more with less", when funding is available, such as the latest round of Regional Growth Funding, local endorsement for the best projects is now part of the system (through LEPs) to help ensure we get the maximum benefits.
* Working with international markets (both import and export) is where the future lies. Through the LEPs, a new partnership approach with UK Trade and Industry has just been established to facilitate access to new markets and ensure that inward investment and reinvestment can be assisted. The LEPs are seeking to ensure that, as far as possible, delivery is through locally based organisations.
Strengthening the local economic base is one of our highest priorities. Central to this is increasing Business Productivity that will improve the health of our business stock and benefit employers and employees alike. The UK lags behind too many countries in output per worker (The US is 27% more productivity per worker than the UK). Ensuring a more competitive business environment is crucial to achieving these improvements. Current initiatives include:
* Investment in infrastructure. Roads are the most important component to ensure a more competitive peninsula economy. LEPs now have greater involvement in the operation of Local Transport Boards to direct investment that will either unlock opportunities for growth or ease existing areas of congestion. A round of "Pinch Point" funding will shortly be announced to address some of the highest priorities.
* Capital improvements to the arterial road network are just as important for long-term growth and a working group (through the LEPs) is established with the Highway Agency and Department for Transport to see how the case to bring forward projects such as the A30/303 dualling can be advanced.
* It is recognised that roads are only part of the infrastructure debate. Equal efforts are being applied to rail investment, air and seaports. Part of this also includes a concerted campaign to achieve lasting resilience to this network from all types of flooding.
Major elements of productivity growth can be achieved through improved skills, innovation and knowledge transfer. We are extremely fortunate to have some great educational establishments (HE, FE etc). Building better partnerships with current businesses, also anticipating future local growth sectors, forms part of a current campaign. This already has huge momentum. Projects include:
* Employer Ownership of Skills. There are a number of funded projects where businesses are working with education providers to ensure that the right skills are available at the right place and the right time.
* An expanded series of Innovation Hubs (both public and private sector) are being developed, with follow-on developments into Science Parks.
* Better links through initiatives such as the Growth Acceleration Innovation Network (GAIN) are being developed.
* International collaboration projects are being expanded - building from the Atlant-KIS programme.
* Funding through the Technology Strategy Board and the Growth and Innovation initiatives are central to further investment. Again these are work in progress with the LEPs in lead rolls working with business partners.
Spotting future winners and making the right investment decisions now to deliver these is part of the current agenda. Opportunities to achieve this include:
* City Deal. There is a current negotiation for the sub-region to become part of the 2nd round of National City Deal awards. This will establish a hub around Plymouth but with elements that extend throughout the area of both our LEPs. The theme that has been selected is Marine Innovation. The results of the competitive process will not be known until late summer 2013 but, if successful, will result in certain Whitehall (existing funds) being diverted for local decision making together with the necessary powers and decision making functions to deliver results. This is a massive opportunity for us all.
Greater local powers and access to national funds to produce growth are at the heart of an announcement by George Osborne to create a Single Local Growth Fund. The Chancellor confirmed in the Budget the acceptance of recommendations of former Deputy Prime Minister Lord Michael Heseltine, made in his report titled "No Stone Unturned". Originally published last November, the report advocates the decentralisation of funding to the regions through the Local Enterprise Partnerships. Funding will be allocated to those LEPs, which put forward compelling proposals on how investment in their schemes will lead to economic growth. It aims to encourage organisations within the region to work closely with their LEP to ensure the widest benefit within the local area and remove barriers to private sector investment.
Although no figures have yet been attached to it, the Single Local Growth Fund will be operational by April 2015, with the Chancellor promising further detail will be set out at the 2015-16 Spending Round.
But developments such as the Government's acceptance of the Heseltine Report and initiatives such as City Deals are changing the landscape.
Opportunities are arising from the Government releasing centralised control and working in partnership to take maximum benefit of the changes is the key to success, he says.
Here is the text of the Quarterly Report:
"The cumulative impact of the longest recovery from a recession for a century is increasingly influencing the approach adopted by Central Government. Initiatives are being trialled to create greater economic momentum and crucially to increase levels of confidence in the corporate sector.
In many respects this is proving to be a significant opportunity for South West businesses as a result of enhanced devolution of Whitehall powers to a more local level and the first chance for a generation for local decisions to be made for the maximum benefit of the local economy.
Examples of the increasing pace of the transfer of responsibilities can be seen both in the Autumn Statement and the March 2013 Budget. Many of the recommendations made by Lord Heseltine have been adopted. These will empower local delivery partnerships focusing around the Local Enterprise networks to control "single pots" in key sectors such as skills, housing and infrastructure. Additionally a decision has also been made to replicate the same approach with European Funds that will allow a more coordinated approach to business growth, social programmes and rural development support.
The importance to local businesses is already being seen. Our economy is largely dominated by small and micro enterprises. Targeted support is now able to assist and the development of a highly effective "tool kit" is well under way. This includes:
* Broadband facilities for the rural economy.
* Funding support through a micro finance initiative for start up businesses.
* Funding for growth through the Western Morning News/University of Plymouth Fund that has just received a major new allocation of cash to ensure an even more successful 2nd round programme.
* Funding support for start-up young business entrepreneurs.
* The establishment is a series of Rural Enterprise Hubs.
* Special support to assist women into rural enterprises.
* A series of support measures to assist employment in micro businesses including help to deliver the latest measures, announced in the Budget, for increasing employment and additional apprenticeships.
It is recognised that growth needs to be encouraged at every level and that big or small enterprise must be supported to be competitive. Job safeguarding is just as important as seeking out inward investors and therefore other measures now include:
* Greater links between planning and economic growth to allow appropriate spacial opportunities to be delivered. The Government has adjusted planning regulations to aid the process. A more partnership-based approach between Local Planning Authorities, Businesses and Communities will achieve the sort of sustainable projects from which all can benefit and help to remove many of the costly delays and frustrations that are currently experienced.
* Using the measures, recently introduced, to ensure a ready supply of housing is also seen as vital for healthy growing communities. New housing development converts into early local jobs and support for a range of local businesses and retailers.
* Developing Supply Chains is a very positive and effective measure to support local economic growth. Dedicated programmes are in place to ensure that, when vital capital projects such as Hinkley C, the Atlantic Array (an off-shore wind farm of the coast of Northern Devon) and others are progressing, as much as possible of the investment generated can be retained in the local economy. Each new capital project will be supported with this approach.
* High Growth Investment. Whilst the Government's options for financial support are limited and we are all being encouraged to "do more with less", when funding is available, such as the latest round of Regional Growth Funding, local endorsement for the best projects is now part of the system (through LEPs) to help ensure we get the maximum benefits.
* Working with international markets (both import and export) is where the future lies. Through the LEPs, a new partnership approach with UK Trade and Industry has just been established to facilitate access to new markets and ensure that inward investment and reinvestment can be assisted. The LEPs are seeking to ensure that, as far as possible, delivery is through locally based organisations.
Strengthening the local economic base is one of our highest priorities. Central to this is increasing Business Productivity that will improve the health of our business stock and benefit employers and employees alike. The UK lags behind too many countries in output per worker (The US is 27% more productivity per worker than the UK). Ensuring a more competitive business environment is crucial to achieving these improvements. Current initiatives include:
* Investment in infrastructure. Roads are the most important component to ensure a more competitive peninsula economy. LEPs now have greater involvement in the operation of Local Transport Boards to direct investment that will either unlock opportunities for growth or ease existing areas of congestion. A round of "Pinch Point" funding will shortly be announced to address some of the highest priorities.
* Capital improvements to the arterial road network are just as important for long-term growth and a working group (through the LEPs) is established with the Highway Agency and Department for Transport to see how the case to bring forward projects such as the A30/303 dualling can be advanced.
* It is recognised that roads are only part of the infrastructure debate. Equal efforts are being applied to rail investment, air and seaports. Part of this also includes a concerted campaign to achieve lasting resilience to this network from all types of flooding.
Major elements of productivity growth can be achieved through improved skills, innovation and knowledge transfer. We are extremely fortunate to have some great educational establishments (HE, FE etc). Building better partnerships with current businesses, also anticipating future local growth sectors, forms part of a current campaign. This already has huge momentum. Projects include:
* Employer Ownership of Skills. There are a number of funded projects where businesses are working with education providers to ensure that the right skills are available at the right place and the right time.
* An expanded series of Innovation Hubs (both public and private sector) are being developed, with follow-on developments into Science Parks.
* Better links through initiatives such as the Growth Acceleration Innovation Network (GAIN) are being developed.
* International collaboration projects are being expanded - building from the Atlant-KIS programme.
* Funding through the Technology Strategy Board and the Growth and Innovation initiatives are central to further investment. Again these are work in progress with the LEPs in lead rolls working with business partners.
Spotting future winners and making the right investment decisions now to deliver these is part of the current agenda. Opportunities to achieve this include:
* City Deal. There is a current negotiation for the sub-region to become part of the 2nd round of National City Deal awards. This will establish a hub around Plymouth but with elements that extend throughout the area of both our LEPs. The theme that has been selected is Marine Innovation. The results of the competitive process will not be known until late summer 2013 but, if successful, will result in certain Whitehall (existing funds) being diverted for local decision making together with the necessary powers and decision making functions to deliver results. This is a massive opportunity for us all.
Greater local powers and access to national funds to produce growth are at the heart of an announcement by George Osborne to create a Single Local Growth Fund. The Chancellor confirmed in the Budget the acceptance of recommendations of former Deputy Prime Minister Lord Michael Heseltine, made in his report titled "No Stone Unturned". Originally published last November, the report advocates the decentralisation of funding to the regions through the Local Enterprise Partnerships. Funding will be allocated to those LEPs, which put forward compelling proposals on how investment in their schemes will lead to economic growth. It aims to encourage organisations within the region to work closely with their LEP to ensure the widest benefit within the local area and remove barriers to private sector investment.
Although no figures have yet been attached to it, the Single Local Growth Fund will be operational by April 2015, with the Chancellor promising further detail will be set out at the 2015-16 Spending Round.
