External Funding - Update
North Lanarkshire Council · 17 February 2023
Back to Enterprise and Fair Work Committee — 17 February 2023 and its agenda
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North Lanarkshire Council Report Enterprise and Fair Work Committee Does this report require to be approved? ☐ Yes ☒ No Ref PH/DG Date 17/02/23 External Funding - update From Pamela Humphries, Chief Officer of Place E-mail humphriesp@northlan.gov.uk Telephone Pamela Humphries, 07939 280710 Executive Summary This report provides an update on significant recent external funding activity, related to the UK Government’s Levelling Up Fund, UK Community Renewal Fund and UK Shared Prosperity Fund, Scottish Government’s Green Growth Accelerator programme and Regeneration Capital Grant Fund and heritage funding programmes managed by Historic Environment Scotland and National Lottery Heritage Fund. Recommendations It is recommended that committee acknowledges: a) The award of £9,225,000 from the Levelling Up Fund to support the delivery of the Cumbernauld Town Vision. b) The completion of UK Community Renewal Fund projects and the work currently being undertaken to administer funds and evaluate projects. c) Confirmation of the Council’s UK Shared Prosperity Fund allocation and plans for its use. d) Progress made towards submitting a final Business Case aimed at securing £10m in revenue support from the Green Growth Accelerator programme. e) The award of £215,000 from the Regeneration Capital Grant Fund to support Motherwell FC Community Trust’s ‘The Well Hub’ project. f) The submission of bids to both Historic Environment Scotland and National Lottery Heritage Fund for the heritage-led regeneration in Airdrie. The Plan for North Lanarkshire Priority Improve economic opportunities and outcomes Ambition statement (21) Continue to identify and access opportunities to leverage additional resources to support our ambitions
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1. Background 1.1 The Council aims to secure external funding to support the physical, social and economic regeneration of North Lanarkshire. This work is subject to regular reporting to committee, most recently to the Enterprise, Fair Work and Growth Committee on 29 August 2022. 1.2 There has been significant recent activity across a range of funding streams. This report provides an interim update on progress towards securing a range of funds to support the social, physical and economic regeneration of North Lanarkshire. 2. Report 2.1 This report provides an update on current external funding activity, including recent funding bid submissions and decisions. Levelling Up Fund 2.2 The Council submitted four bids to the second round of the UK Government’s Levelling Up Fund (LUF), with one bid submitted for each of North Lanarkshire’s four UK Parliamentary constituencies. 2.3 A bid for £9.225m in UK Government support to acquire The Centre Cumbernauld and demolish Fleming House was approved, which will enable the future redevelopment of Cumbernauld town centre in line with the approved Cumbernauld Town Vision. 2.4 Bids for funding to support town centre living in Airdrie; for the mixed-use redevelopment of Ravenscraig, and for the redevelopment of Summerlee Museum of Scottish Industrial life were unsuccessful. The UK Government has since confirmed that local authorities would only be eligible for one successful project across the first two rounds of the Fund. 2.5 UK Government advises that a further round of LUF will be launched later in 2023. A fuller update will be provided to committee when further details are available. UK Community Renewal Fund 2.6 The UK Community Renewal Fund (UKCRF) was established following Brexit to support the transition from European Structural Funds to the UK Shared Prosperity Fund. It supports public, private and third sector organisations to deliver projects across four themes (communities and place; employment; local business; and skills). NLC has managed the UKCRF in North Lanarkshire, including assessing bids and administering grant funding. 2.7 Five projects were funded through the UKCRF with each completing by the end of December 2022. The Council is currently conducting final due diligence, including verifying financial claims. 2.8 Each of the projects have procured independent consultants to conduct evaluations, which must be submitted and approved before financial claims can be approved. Reports for three of the five projects have been submitted to the UK Government and the Council expects to submit the final two reports during February 2023, enabling funds to be disbursed.
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UK Shared Prosperity Fund 2.9 The UK Shared Prosperity Fund replaces the EU Structural Funds which come to an end in 2023. The council was allocated £13.871m from the UK Shared Prosperity Fund (UKSPF) to deliver projects across four key themes (Communities and Place; People and Skills; Supporting Local Business; and Multiply) for spend between 2022/23 and 2024/25, subject to approval of a UKSPF Investment Plan. North Lanarkshire’s Investment Plan, which formed part of the wider Glasgow City Region Investment Plan, was approved by the UK Government on 5 December 2022. 2.10 Table 1 below sets out the proposed split of UKSPF funding over the three years of the Investment Plan. The Investment Plan was approved by Enterprise, Growth and Fair Work Committee on 29 August 2022. It should be noted that support for adult numeracy, through the Multiply programme, was allocated on a ring-fenced basis. Table 1: UK Shared Prosperity Fund: approved allocation by theme Theme 2022/23 2023/24 2024/25 Total Community and Place £506,427 £350,000 £2,265,000 £3,121,427 People and Skills £739,000 £1,577,854 £3,072,976 £5,389,830 Supporting Local Business £91,541 £746,083 £1,667,738 £2,505,362 Multiply £695,223 £802,181 £802,181 £2,299,585 Admin/Management £84,675 £144,838 £325,329 £554,842 Total £2,116,866 £3,260,955 £8,133,224 £13,871,046 2.11 The arrangements for the delivery of the programmes will be the subject of future reports to relevant committees as appropriate. Green Growth Accelerator 2.12 The Green Growth Accelerator (GGA) programme will support local authorities to deliver innovative green infrastructure projects which contribute to Net Zero objectives and can stimulate the green economy. The Council made a successful application for GGA pathfinder support for the low-carbon redevelopment of Strathclyde Country Park during 2021, enabling NLC to commission design works and technical support to inform a full application for up to £10m in GGA funding. 2.13 A GGA Business Case in support of this application was prepared and submitted to Scottish Government at the end of September 2022. This has been subject to a full technical review by Scottish Government and its appointed consultants. Officers are currently finalising a revised Business Case and formal application for GGA support, which will be submitted during February 2023. It is anticipated that a formal decision on this application will be made in the Spring. Regeneration Capital Grant Fund 2.14 The Regeneration Capital Grant Fund (RCGF) supports physical regeneration projects in local communities. It is open to local authorities, which can apply for funding for Council projects and on behalf of community groups.
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2.15 Funding decisions for Round 10 of RCGF Council were announced in January 2023, for projects commencing during 2023/24. The Council secured funding for one project, with Motherwell FC Community Trust receiving £215,000 to establish ‘The Well Hub’ at the astrograss pitches adjacent to Fir Park Stadium. The Council will work with the Trust to administer grant funding and support the project’s delivery. 2.16 Officers have invited expressions of interest from community groups for Round 11 of the Fund, with ‘Stage 1’ bids due during June 2023, and will continue to engage with prospective applicants in the coming months. Historic Environment Scotland/National Lottery Heritage Fund 2.17 During 2022, Historic Environment Scotland (HES) and National Lottery Heritage Fund (NLHF) aligned funding for place-based heritage interventions and invited applications from constituted organisations and local authorities under their respective Grants for Heritage (NLHF) and Heritage and Place (HES) programmes. 2.18 The council successfully submitted expressions of interest to both funds for support to deliver the heritage-led regeneration of Airdrie and were invited to make ‘development phase’ applications by both funders, which were submitted in late 2022. These bids sought a total of £150,000 funding to resource the council to develop full ‘delivery phase’ bids over a 12-month period, with an indicative £2.65m sum identified for delivery phase bids. These bids are currently being assessed with funding decisions expected in March (NLHF) and April (HES). 2.19 A further bid to NLHF to support redevelopment work at Summerlee Museum of Scottish Industrial Life is currently being considered. This prospective bid will seek funding for both capital works and for revenue funding to employ dedicated learning and engagement staff. 2.20 Officers will continue to engage with heritage funders with a view to securing further investment into North Lanarkshire’s places and economy. 3. Measures of success 3.1 The primary measure of success arising from the work and updates outlined in this report is to maximise external funding for investment in the regeneration of North Lanarkshire and its places. 4. Supporting documentation n/a Pamela Humphries Chief Officer of Place
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5. Impacts ( http://connect/report-template-guidance ) 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The funding programmes outlined in this report are very much focused on promoting inclusive growth and a fairer Scotland and will do so by: Delivering physical regeneration projects that will improve the local environment and tackle problems which continue to constrain community regeneration Creating infrastructure that will help improve health and well-being and provide North Lanarkshire’s most disadvantaged communities with new leisure, learning and economic opportunity, and Ensuring that our place-based investments are shaped by the needs and aspirations of all of our local communities. Consideration will also be given to equalities issues as part of the bids and projects developed in response to the identified funding opportunities whilst the council will also work closely with ALEOs, partners and third-party organisations involved in the delivery of these to ensure that equality considerations remain core throughout. Delivery of support to strengthen local communities, support local businesses and support people to increase their employability and skills through the UKSPF. If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality-and-fairer- scotland-duty-impact-assessments Yes ☐ No ☒ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts have been discussed and agreed with Financial Solutions? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Many of these funding opportunities outlined in this report require at least some element of match funding. Council match is identified in the Council’s capital programme prior to the submission of any bids. The successful LUF bid for Cumbernauld will require £1,025,000 in match from the council and provision has already been made for this within the capital programme. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts have been discussed and agreed with People and Organisational Development? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact?
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5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts have been discussed and agreed with Legal and Democratic Solutions? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☒ No ☐ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☒ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Work is underway with Legal Services to complete a DPIA for the UKSPF Investment Plan Yes ☐ No ☒ 5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The UKSPF contains interventions which seek to improve connectivity for community organisation, support digital transformation for businesses and to delivery digital skills. Where the impact identifies a requirement for technology, has an assessment been carried out (or scheduled) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Success in securing GGA, LUF and other funding can enable environmental improvement. Subject to funding, the GGA project will provide a flagship low carbon project for North Lanarkshire. 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact?
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The Council’s success in securing external funding for priority regeneration projects is promoted and coordinated by Corporate Communications. Strict guidelines are in place for the promotion of funding through the UKCRF and UKSPF. 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? External funding programmes do bring a measure of risk to the council particularly in relation to potential budget overspend for projects and/or the requirement to repay funds due to failure to deliver projects properly (a risk which is increased where delivery is through a third party). To help reduce and mitigate risk, a full risk assessment is undertaken for all funding programmes and/or externally funded projects as part of the council’s project management process and where complex/high risk projects are being developed or delivered, risk workshops will be set up to ensure all service and partner risks are identified.