Agenda Document Pack - Economy and Regeneration Policy Board - 14/06/2022
Renfrewshire Council · 14 June 2022
Back to Economy and Regeneration Policy Board — 14 June 2022 and its agenda
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08/06/2022 Notice of Meeting and Agenda Economy and Regeneration Policy Board Date Time Venue Tuesday, 14 June 2022 10:00 In Council Chamber and on Teams Platform, Membership Councillor Alison Ann-Dowling: Councillor Stephen Burns: Councillor Graeme Clark: Councillor Andy Doig: Councillor Neill Graham: Councillor Colin McCulloch: Councillor Jamie McGuire: Councillor Marie McGurk: Councillor Iain McMillan: Councillor John McNaughtan: Councillor Iain Nicolson: Councillor Jim Paterson: Councillor John Shaw: Councillor Andy Steel (Convener): Councillor Michelle Campbell (Depute Convener): Webcasting of Meeting This meeting will be filmed for live or subsequent broadcast via the Council’s internet site – at the start of the meeting the Convener will confirm if all or part of the meeting is being filmed. To find the webcast please navigate to https://renfrewshire.public-i.tv/core/portal/home Hybrid Meeting Please note that this meeting is scheduled to be held in the Council Chambers. However, it is a hybrid meeting and arrangements have been made for members to join the meeting remotely should they wish. Members of the Press and Public Members of the press and public wishing to attend the meeting should report to the customer service centre where they will be met and directed to the meeting. MARK CONAGHAN Head of Corporate Governance
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08/06/2022 Items of business Apologies Apologies from members. Declarations of Interest Members are asked to declare an interest in any item(s) on the agenda and to provide a brief explanation of the nature of the interest. 1 UK Shared Prosperity Fund Report by Chief Executive 1 - 10 2 Levelling Up Fund Bid 2022 - Renfrew Community Hub Report by Chief Executive. 11 - 16 3 Employability Funding : No-One Left Behind Report by Chief Executive. 17 - 26 4 Clyde Green/Freeport Bid - Update Report by Chief Executive. 27 - 34 5 Regeneration Funds Bids Update 20022 Report by Chief Executive. 35 - 40
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___________________________________________________________________ To: Economy and Regeneration Board On: 14 June 2022 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: UK Shared Prosperity Fund ___________________________________________________________________ 1. Summary 1.1 This report updates Board on the recent publication of the Shared Prosperity Fund (SPF) prospectus and budget allocation to Renfrewshire Council from the UK Government (UKG). 1.2 To draw down funding all areas must develop an Investment Plan for the funding and UK Government have indicated a preference for a regional approach where possible. An in-principle agreement was reached at the Glasgow City Region cabinet to progress at the regional level. 1.3 The report outlines the broad principles of the funding, the proposed approach for Renfrewshire’s investment plan and the joint work with the other GCR local authorities to develop a Regional Investment Plan for the Glasgow City Region. 2. Recommendations 2.1 It is recommended that the Board: a) Note the direction from UKG to pursue a regional approach in the design and delivery of the SPF, and further note that this is also the preferred position of the Scottish Government; b) Note that the SPF Regional Investment Plan will be developed as a Glasgow City Region plan in conjunction with all 8 Member Authorities with all necessary approvals at both regional and local level being in place prior to a draft Investment Plan submission in summer 2022. Item 1 Page 1 of 40
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c) Note that the timelines set by the UK Government will very likely require the development and submission of detailed investment proposal over the course of the summer recess period. d) Delegate authority to the Head of Economy and Development, in conjunction with the Convenor, to finalise a detailed set of SPF proposals at a Renfrewshire level which reflect the broad principles set out in the main body of this report and which would feed directly into the GCR submission. e) Note that a follow up report will be provided to the September board cycle outlining the detailed proposals submitted to the UK government programme. ___________________________________________________________________ 3. Background 3.1 The Shared Prosperity Fund (SPF) is part of the UK Government’s successor programmes for economic regeneration and development investment, following the decision by the UK to leave the European Union. Previously, as part of the EU, parts of the UK (including Renfrewshire) were eligible for economic development funding as part of continent-wide support programmes. 3.2 The SPF is a central pillar of the UK government’s Levelling Up agenda. It provides £2.6 billion of new funding for local investment by March 2025, with all areas of the UK receiving an allocation from the Fund via a funding formula rather than a competition. It aims to help places right across the country deliver enhanced outcomes and recognises that even the most affluent parts of the UK contain pockets of deprivation and need support. 3.3 The SPF will support the UK Governments levelling up objectives: Boost productivity, pay, jobs and living standards by growing the private sector, especially in those places where they are lagging Spread opportunities and improve public services, especially in those places where they are weakest Restore a sense of community, local pride and belonging, especially in those places where they have been lost Empower local leaders and communities, especially in those places lacking local agency 3.4 The primary goal of the SPF is to build pride in place and increase life chances across the UK. This aligns with Levelling-Up White Paper missions, particularly: ‘By 2030, pride in place, such as people’s satisfaction with their town centre and engagement in local culture and community, will have risen in every area of the UK, with the gap between the top performing and other areas closing.’ 3.5 Recognising the acute challenges town centres and communities have faced during the pandemic, the SPF will improve the places people live in, and support individuals into employment and businesses to grow. It will drive noticeable improvements that matter to local communities, foster local pride in place and increase life chances including health outcomes. Page 2 of 40
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3.6 There are three SPF investment priorities: Communities and Place; Supporting Local Business; People and Skills. In addition, a new programme “Multiply” has a specific budget within the UK SPF to support numeracy skills across all areas. This is the only Portfolio with a set budget and separate accountability, with monitoring through the Dept of Education. 4. Overview of fund investment priorities 4.1 The main objectives of the Communities and Place intervention are: Strengthening our social fabric and fostering a sense of local pride and belonging, through investment in activities that enhance physical, cultural and social ties and access to amenities, such as community infrastructure and local green space, and community-led projects. Building resilient, healthy and safe neighbourhoods, through investment in quality places that people want to live, work, play and learn in, through targeted improvements to the built and natural environment innovative approaches to crime prevention. 4.2 The main objectives of the Supporting Local Business intervention are: Creating jobs and boosting community cohesion, through investments that build on existing industries and institutions, and range from support for starting businesses to visible improvements to local retail, hospitality and leisure sector facilities. Promoting networking and collaboration, through interventions that bring together businesses and partners within and across sectors to share knowledge, expertise and resources, and stimulate innovation and growth. Increasing private sector investment in growth-enhancing activities, through targeted support for small and medium-sized businesses to undertake new- to-firm innovation, adopt productivity-enhancing, energy efficient and low carbon technologies and techniques, and start or grow their exports. 4.3 The main objectives of the People and Skills intervention are: Boosting core skills and support adults to progress in work, by targeting adults with no or low level qualifications and skills in maths, and upskill the working population, yielding personal and societal economic impacts programme). Reducing levels of economic inactivity through investment in bespoke intensive life and employment support tailored to local need. Page 3 of 40
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Supporting people furthest from the labour market to overcome barriers to work by providing cohesive, locally tailored support including access to basic skills. Supporting local areas to fund gaps in local skills provision to support people to progress in work, and supplement local adult skills provision 5. Funding Allocations 5.1 Renfrewshire Council have been awarded £6,290,987 for the first 3-year programme from 2022-25. Within this figure £1,086,395 is specifically allocated to the Multiply Programme. The programme is phased to increase financially over the 3 years. Going forward beyond the current funding period, Renfrewshire is expected to receive around £3.5M per year from 2025-26. 5.2 The SPF rules dictate the Core fund is split between revenue and capital expenditure with capital increasing from 10.4% in 2022 to a minimum of 18% in 2024-25. 5.3 4% of the budget can be used for project management, administration and compliance costs per the SPF guidance. This will require to also support the City Region administration and management costs. 5.4 A summary of the funding, and its requirements, are set out below: CORE Budget 22/23 23/24 24/25 3-year allocation Core Renfrewshire £631,625 £1,263,250 £3,309,716 £5,204,591 4% management fee £25,265 £50,530 £132,388 £208,183 Balance to allocate £606,360 £1,212,720 £3,177,327 £4,996,407 Of which minimum capital spend required 10.4% £65,689 12.5% £157,906 17.9% £592,439 £816,034 Multiply Programme 22/23 23/24 24/25 3-year allocation Multiply Renfrewshire £328,445 £378,975 £378,975 £1,086,395 4% Management Fee £13,137.80 £15,159.00 £15,159.00 £43,455.80 Balance to be allocated to Multiply Programme £315,307 £363,816 £363,816 £1,042,939 5.5 The Core Budget allocated to each financial year grows incrementally over the first 3 years with (approximately) 12% of the budget allocated in year 1, 24% allocated in year 2 and 64% allocated in year 3. At present the UK Government have not committed to funding beyond 2024/25, linked to the existing Comprehensive Spending Review period. It is however anticipated that the year 3 budgets will continue in future years on a recurring basis. 5.6 Each of the three investment themes set out by the SPF Prospectus are priority areas for action within the Council Plan, providing a strong strategic fit with the Council’s strategic priorities for Renfrewshire. Page 4 of 40
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It is therefore proposed to allocate a minimum of 30% of the available budget in each of the three years against each theme, leaving 10% to be be allocated on a greatest needs basis. 5.7 In this context, initial proposals identify that the People and Skills theme should receive greater priority due to the loss of over £2M per year in EU Employment Support Fund (ESF) to Renfrewshire . The proposed budgets on which detailed proposals will be developed are outlined below (note - figures after the 4% management fee is allocated): COMMUNITIES and PLACE Proposed 31.5% LA 22/23 23/24 24/25 3 year Total £ 191,003.40 £ £382,006.80 £ 1,000,858.12 £ 1,573,868.32 of which min capital £ 65,689.00 £ 157,906.25 £ 592,439.16 £ 816,034.41 People and SKILLS Proposed 37.50% LA 22/23 23/24 24/25 3 year TOTAL £ 227,385.00 £ 454,770.00 £ 1,191,497.76 £ 1,873,652.76 Business and Enterprise Proposed 31.00% LA 22/23 23/24 24/25 3 year TOTAL £ 187,971.60 £ 375,943.20 £ 984,971.48 £ 1,548,886.28 TOTALS £606,360.00 £1,212,720.00 £3,177,327.36 £4,996,407.36 6. Investment Plans 6.1 In order to access SPF funding, lead local authorities are being asked to complete an investment plan, setting out how they intend to use and deliver the funding. SPF has been designed to empower local leaders and communities to deliver locally identified priorities and the investment plan process has been designed with this in mind. 6.2 Lead local authorities will be asked to develop their investment plan in conjunction with local stakeholders. Plans from across the 8 local authorities in the Glasgow City Region will then be combined to form a city region plan which will then need to be agreed by all local authority partners and by UK government to unlock the allocations. 7. Glasgow City Region Approach 7.1 It is proposed that the Glasgow City Region PMO at Glasgow City Council will act as the lead authority for the 8 local authorities who make up the Glasgow City Region (GCR). Page 5 of 40
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7.2 On the 15th of February 2022, the GCR Cabinet were asked to consider the following: • Note the direction from UKG to pursue a regional approach, and further note that this is also the preferred position of the Scottish Government; • Agree in principle to pursue a regional approach to management of SPF and to authorise the Director of Regional Economic Growth to formally notify UKG of this approach; and • Agree that the Investment Plan will be developed in conjunction with all 8 Member Authorities with all necessary approvals at both regional and local level being in place prior to final submission no later than 01 August 2022. 7.3 An SPF Project Group had been established with officer representation from each Member Authority (MA), the first meeting of which had taken place on 21st April 2022 and weekly meetings had been scheduled thereafter. 7.4 The GCR Cabinet also agreed that the development and delivery of the SPF should continue to be made at a local level, with oversight and strategic direction at the regional level provided by the GCR PMO. This approach will ensure that the combined GCR investment proposal, is designed from a localised perspective tailored to the needs of each member authority, whilst at the same time seeking to secure benefits from a regional planning, coordination and delivery approach. 8. Progressing an Investment Plan for Renfrewshire 8.1 The deadline set for the submission of a GCR Investment Plan for SPF is 1 August 2022. To meet this deadline in terms of Renfrewshire’s inputs the Council will be required to submit a proposed Investment Plan to GCR ahead of this date. Between now and then there will be a need to engage with several key stakeholders and partners in Renfrewshire, including West College, UWS, the Employability Partnership and others in the design of the detailed programme. 8.2 Given the summer recess this Board may be the only opportunity for members to deal with the SPF as far as this the detailed Investment Plan is concerned. It should be noted that GCR have made a request to UKG to extend the deadline from 1st August to the end of September 2022. Subject to the outcome of this request, the Board is being asked to delegate authority to the Head of Economy and Development, in conjunction with the Convenor, to finalise the detailed SPF proposals at a Renfrewshire level which meet the Fund’s objectives and submit this to GCR ahead of the stated UKG deadline. The detailed Plan will be in line with proposed interventions outlined in this report. If there is an opportunity to bring the Plan back to the August 2022 Board meeting (due to any delay in submission to UKG) then officers will do so. Similarly if any fundamental changes are proposed at the GCR level in terms of the submitted Investment Plan we will bring this back for a further Board decision. 8.3 The SPF themes, objectives and interventions are a strong fit with the Councils economic development and regeneration plans for the area. Page 6 of 40
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Over the past few years, both through the Economic Strategy and the Economic Recovery Plan, the Council, with endorsements from the Leadership Board, has identified key priorities for the area such as greater levels of enterprise, the growth and sustainability of local businesses, the need to support those who are economically inactive to move closer to work, increasing footfall in town centres and greenhouse gas reductions. The SPF offers the opportunity to bolster actions in these areas, and others, over an initial three year period and the three themes are outlined below. 8.4 Place / Communities: The SPF provides an opportunity to align its Community and Place objectives with the wider projects and ambitions of the Council. Considered alongside other regeneration funding opportunities such as the Levelling Up Fund, Place Based Investment Programme, Regeneration Capital Grant Fund and other Council capital allocations the SPF provides a useful opportunity to support feasibility work around future activity, thus maximising the total investment in delivery of capital projects. This will be reported further within the Investment Plan, but will broadly follow the regeneration priorities outlined in previous Board reports including: Active travel enhancements Support and improvement of community assets and infrastructure (including energy efficiency in community assets) Climate resilient town centres Feasibility studies and reports The key outcomes anticipated include: Increased users of facilities / amenities Improved perception of facility/infrastructure project Increased use of cycleways or paths Increased footfall and visitor numbers 8.5 Business Much of the eligible business support offer was previously funded through the ERDF (European programme) and this funding stops at the end of December 2022. The SPF provides an opportunity to continue to support local business through a range of grants, training, officer time, workshops and expert help. It also (for the first time) provides funding for start-up and enterprise which could support initiatives such as the “Start Up Street” developments. It could also support: Net Zero ambitions for local business. Export support. Businesses adopting new or improved products or services The key outcomes anticipated include: Number of new businesses created Increased business sustainability Increased number of businesses supported Increased amount of investment Page 7 of 40
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8.6 People / Skills Significant levels of employability support across Renfrewshire were previously funded through European ESF, providing a range of additional services and moving people into employment. Most ESF support will stop at the end of March 2023. The new SPF programme provides similar but more focused support on certain groups of people, for example there is a much greater emphasis on supporting more economically inactive people to move into work and more focus on basic and key skills. Employability in Renfrewshire is led by the Renfrewshire Local Employability Partnership and representatives will be fully involved in developing the opportunities for SPF (People and Skills and Multiply) and this will be reflected in the finalised Renfrewshire Investment Plan. The key outcomes from proposals will include: Increased number of people with basic skills (English, maths, digital and ESOL) Number of economically active individuals engaged in mainstream skills education, and training Number of people engaged in job-searching following support Number of people in employment, including self-employment, following support _________________________________________________________________ Implications of the Report 1. Financial – No additional finance is sought. Funding of ££6,290,987 has been allocated to Renfrewshire by the UK SPF for the 2022-25 period. 2. HR & Organisational Development – Approximately 40 posts at Renfrewshire Council are currently financial supported through EU Structural Funds and this is a key consideration in proposals for SPF. 3. Community/Council Planning – Partnership working is essential to the success of the SPF. The Renfrewshire LEP will be significantly involved in the planning for Multiply and People and Skills. Similarly, the other priorities of Business and Community and Place will require support from partners. 4. Legal – None. 5. Property/Assets – None. 6. Information Technology – None. Page 8 of 40
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7. Equality & Human Rights (a) The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report. 8. Health & Safety – None. 9. Procurement – None. 10. Risk – None. 11. Privacy Impact - None. 12. COSLA Policy Position – Not Applicable. 13. Climate Risk – Not Applicable. ___________________________________________________________________ List of Background Papers None. ___________________________________________________________________ Author: Ruth Cooper, Economic Development Manager; Email: ruth.cooper@renfrewshire.gov.uk Page 9 of 40
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___________________________________________________________________ To: Economy and Regeneration Board On: 14 June 2022 ___________________________________________________________________ Report by: Chief Executive and Director of Finance and Resources ___________________________________________________________________ Heading: Levelling Up Fund 2022 – Renfrew Community Hub ___________________________________________________________________ 1. Summary 1.1 This report seeks approval to authorise the Chief Executive to submit an application on behalf of the Council to the UK Government’s Levelling Up Fund (LUF) to support the delivery of a new Community Hub within Renfrew, focussed on the Renfrew Victory Baths and former Police Chambers. The total project costs are estimated at £19.92m. Details of the proposal are set out within this report. 1.2 The Renfrew LUF bid application and strategic business case is not included alongside the papers for this report, due to their scale and because the LUF is a competitive process. However, the public consultation boards are available to view at www.ironsidefarrar.com/renfrewluf/event.html#intro1 and members can request to view a copy of the application in advance of the Board from the report’s author. ___________________________________________________________________ 2. Recommendations 2.1 The Board is asked to:- (i) Authorise the Chief Executive, in consultation with the Convenor, to make any minor changes required following the Board meeting and submit a bid to the UK Government’s Levelling Up Fund under the theme of Regeneration and Town Centre investment, as outlined in this report, for £17.92m of funding; Item 2 Page 11 of 40
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(ii) To note that the draft final bid application and business case are available to elected members for their review in advance of the Board meeting as required, and in recognition of the tight timescales for their development, to authorise the Chief Executive, in consultation with the Convenor, to make any minor changes that may be necessary prior to submission to the UK Government; (iii) To note and agree the requirement in submitting the bid for the Council to commit to the provision of a local authority contribution as detailed in paras 5.7 and 5.8 of this report; (iv) To note the written support of Gavin Newlands MP, the constituency MP for the area covered by the bid, in line with the bidding guidance; and the support of a wide range of partners and the local Renfrew community as detailed in paragraph 4.6; ___________________________________________________________________ 3. Background 3.1. The Levelling Up Fund (LUF) was announced by the UK Government in 2020 to support investment in infrastructure and assets that improve everyday life across the country. The funds are targeted at high value, local investment priorities including transport schemes, town centre regeneration and cultural/heritage assets. 3.2. In 2021 the Council were successful in securing £38.7m from the first round of the fund, supporting delivery of the AMIDS South project in Paisley. A report to the Leadership Board on 1 December 2021 advised that officers were considering additional proposals which could align with future calls for bids to the fund. The UK Government published a prospectus for the second round of the LUF in March 2022, with a deadline of 6 July 2022 for submissions from local authorities. 4. Renfrew Community Hub Project 4.1. Renfrewshire Council and its partners are delivering an ambitious regeneration agenda focussed on positive, place based outcomes for Renfrewshire’s town and villages centres. Central to this approach is to advance the evolution of our centres and to ensure that they can thrive as economic recovery from the pandemic continues. 4.2. In this context, officers considered a range of options in Renfrew for a bid to the second round of LUF, concluding that the strongest opportunity lay with a focus on the Victory Baths and the former Renfrew Police Chambers, in recognition that both buildings need significant investment to secure their long-term legacy and use. A proposal has subsequently been developed for a new Community Hub within Renfrew town centre. Page 12 of 40
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4.3. The proposals would return the former Renfrew Police Chambers back into use and enhance facilities at Victory Baths. Potential options currently being considered include:- A swim centre, with enhanced pool facilities, spa, and wellness centre A dance, gymnastics and fitness centre for all ages and groups A relocated library and learning centre with digital facilities New community space across the hub 4.4 A successful bid would address long term challenges of vacant and underused civic assets within the town, supporting their restoration, securing their long term legacy and acting as a catalyst for a wider transformation of Renfrew town centre as a modern, 21st century place which is central to the community. 4.5 Significant work has been undertaken to support this ambitious proposal. This has involved working closely with key partners such as OneRen, the local community and other stakeholders to inform the proposal and ensure a strong case for intervention within the area. To support the application a strategic business case has been produced which provides the rationale for the proposal as well as setting out formulation of options, economic benefits, costs, and proposed timescales. Stakeholder Consultation 4.6 Outcomes from the public consultation event informing the bid, which have included online engagement and a public exhibition at Victory Baths between 23 May and 6 June 2022, demonstrate strong community support for the proposals. Letters of support for the proposal have been received by a range of partners, including Renfrew Community Council and Renfrew Development Trust. 4.7 As part of the development of the project, officers undertook an initial programme of consultation. This consultation took the form of an online survey and a presentation day within the Victory Baths, at which officers were present to answer questions with the community. The event and online consultations generated 605 visits to the online portal, with 509 individual contacts and 235 feedback questionnaires completed and 35 written submissions. 4.8 95% of respondents consider the proposals ‘positive’, with a further 71% considering the project critical for Renfrew. 70% support the integration of the library into the proposals, with 82% support for dance and gymnastics and a further 90% supporting the pool restoration. 4.9 In addition, 49 local Dance Schools have also been approached by email questionnaire and a series of phone meetings are still underway. So far, 85% feel there are ‘positive benefits and opportunities for a new dance facility”. Respondents currently use a variety of spaces in the area and are mostly happy with the quality and facilities. Regular classes usually receive between 30-100 participants per week, some are larger than that. Page 13 of 40
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4.10 One contributor suggested, “The extreme lack of venues that are willing to take a booking for a dance performance show [is the main challenge]. Facilities that are built new a few years ago were never designed to cater for dance schools or performance shows even though older venues were demolished. Therefore, schools are having to travel further afield and spend thousands of £ elsewhere that isn’t benefiting their local community” 4.11 Consultees from the community/professional dance sector have been very positive regarding the benefits of having bespoke new spaces – “there is a dearth of rehearsal spaces for companies in the greater Glasgow area”. All have offered to help with advice or more direct usage if the project develops. Some suggest the wellbeing element should be a key strategic driver, others note the long history of community dance development in Renfrewshire and see this as a natural next step, greatly enhancing the creative and cultural infrastructure of the area. One saw it as an opportunity to brand the area as the most culture-friendly area for young people in Scotland (along with PACE and right2dance). 5. Levelling Up Fund 5.1 LUF is a competitive fund established by the UK Government, with funding distributed to places across the UK on the basis of successful project selection. The Fund has set aside at least £800 million across Scotland, Wales and Northern Ireland over four years from 2021-2022 to 2024-2025. 5.2 LUF aims to invest in local infrastructure that has a visible impact on people and their communities. The Fund is jointly managed by HM Treasury (HMT), the Department for Levelling Up, Housing and Communities (DLUHC) and the Department for Transport (DfT). The funds are targeted at high value, local investment priorities under the themes of transport, town centre regeneration and cultural/heritage assets. 5.3 A local authority can bid under one of the three themes and can be awarded up to £20m per each MP constituency within the area, plus one transport bid which may be up to £50m. The Council were successful in securing £38.7m from the first round of the fund under the transport theme, supporting delivery of the AMIDS South project in Paisley. Therefore, the Council would, optimally, have the ability to be successful with one award in each of the two parliamentary constituencies that cover Renfrewshire. 5.4 The Renfrew Community Hub proposal is a bid under the Regeneration and Town Centres theme of the LUF programme and closely aligns with the funding requirement to upgrade vacant and underused buildings, regenerate sites and bring public services and accessible community spaces into town centres. 5.5 Members of Parliament, as democratically elected representatives, may choose to endorse one bid they consider to be a priority within their constituency. Page 14 of 40
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Officers have discussed the proposal with Mr Gavin Newlands MP, who has provided his priority written support to the Renfrew Community Hub bid. 5.6 A successful application to LUF will provide £17.92m of funding for this project, representing approximately 90% of the total estimated project costs. The Council require to confirm a commitment to provide the remaining 10% of project costs (£2.0m) as part of the bid. 5.7 The capital budget agreed at the Council meeting of 3 March 2022 identified the commitment of £1m of existing town centre resources to Renfrew as part of a wider package of investment across Renfrewshire’s town centres. The allocation within Renfrew is to support development of options for key sites and buildings within the town centre such as the former Police Chambers. It is anticipated that this allocation will form part of the Council’s element of the project costs for the LUF bid. 5.8 If the bid is successful, it would be proposed that the Council would meet this additional £1m contribution via prudential borrowing by the Council. Owing to the very long-life infrastructure assets being delivered, this would result in an annual revenue budget commitment of approximately £0.05 million, representing a relatively minor annual revenue commitment when set against the overall level of potential investment. There would be a requirement for this annual revenue commitment to be appropriately planned for and accommodated within the Council’s future financial planning and budget arrangements 6. Next Steps 6.1 Subject to Board approval, the LUF bid will be formally submitted to the UK Government by the deadline of 6 July 2022. In the event that the bid is successful, proposals will be developed in further detail and reported to the Economy and Regeneration Board as appropriate. 6.2 In addition, officers will continue to consider proposals which could be developed to align with future rounds of the Levelling Up fund. ______________________________________________________________ Implications of the Report 1. Financial – The financial implications arising from a successful bid are set out in paragraph 5.7 and 5.8 of the report. 2. HR & Organisational Development – None. 3. Community Planning – Our Renfrewshire is Thriving – a successful bid will support restoration of key civic assets within the town, providing a catalyst for a wider transformation of Page 15 of 40
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Renfrew town centre as a modern, 21st century place which is at the heart of the local community. Our Renfrewshire is Well – a successful bid will support the development of strong community based services that respond to local need. 4. Legal – None. 5. Property/Assets – None. 6. Information Technology – None. 7. Equality & Human Rights - (a) The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report. If required following implementation, the actual impact of the recommendations and the mitigating actions will be reviewed and monitored, and the results of the assessment will be published on the Council’s website. 8. Health & Safety – None. 9. Procurement – None. 10. Risk – None. 11. Privacy Impact – None. 12. COSLA Policy Position – None. 13. Climate Change – If successful, the project will be designed to reduce carbon demand through repurposing existing built assets, energy efficient building specification, and reducing carbon usage by supporting active travel, reducing car dependency, and promoting town centre facilities accessible by public transport. ________________________________________________________________ List of Background Papers (a) Executive Summary – LUF Bid available on request ___________________________________________________________________ Author: George Hunter, Chief Economic and Regeneration Officer george.hunter@renfrewshire.gov.uk Tel: 07483947410 Page 16 of 40
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___________________________________________________________________ To: Economy and Regeneration Board On: 14 June 2022 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Employability Funding: No-one Left Behind ___________________________________________________________________ 1. Summary 1.1 This report updates Board on the most recent funding allocation from the Scottish Government for Employability Support in Renfrewshire for the 2022- 23 period. 2. Recommendations 2.1 It is recommended that the Board: a) Note the acceptance of grant by the Chief Executive to the Scottish Government for grant support awarded for the 2022-23 period of ££1,944,263.83. Under the banner of No-One Left Behind; b) Note the outline of funding and the proposed use highlighted in section 4. c) Note the new focus and role for the Local Employability Partnership as highlighted in section 3.5 of the report d) Note the attached summary document “Employability Services Plan 2022-25” providing an overview of the Local Employability Partnership approach for employability services for the next 3 years. ___________________________________________________________________ Item 3 Page 17 of 40
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3. Background 3.1 Local authorities have a strategic interest in employability because of its relationship to the wellbeing of communities and economic development in their areas. Councils are key players leading local employability partnerships and managing European funded local employability pipelines. Local authority delivery of employability positively impacts on the Fairer Scotland Duty, Equality Duty and Child Poverty Duty as well as the alignment with fair work and inclusive economic growth. 3.2 The Scottish Government and COSLA signed a ‘No One Left Behind’ Employability Partnership Agreement in December 2018. It set out - a starting ambition captured in the Scottish Government report ‘No One Left Behind’ (March 2018) on alignment and integration of employability services in Scotland; a list of guiding principles to support collaborative working; and a governance and leadership infrastructure 3.3 The employability focus is on those furthest from the labour market, the key client group for local authority employability support. This coincides with a shift towards addressing in-work poverty and, provoked by renewed action on child poverty, a focus on low income families. 3.4 For local government, the Employability Partnership Agreement provided an opportunity to engage more effectively with Scottish Government to positively shape employability provision and to co-fund employability services. 3.5 Over the past three years Scottish Government have moved their employability resources away from multiple different teams and agencies to be streamlined to local authorities to meet local needs. The principle of the change was to give decision making on employability resources to the local employability partnerships in the area, so that each area could use employability funding to best effect. Local employability partnerships would then co-commission services required for their own areas and work together to create an integrated and effective local service. 3.6 Renfrewshire Council are accountable for the funding received with much of the decision-making being made through the local employability partnership. The Renfrewshire Local Employability partnership reports operationally through the Community Planning Partnership. 4. Scottish Government Funding 2022-23 4.1 Renfrewshire Council received a grant offer letter on 23red March 2022 of up to £1,944,263.83, payable over the financial year 01/04/2022 to 31/03/2023 in connection with supporting the delivery of the No One Left Behind All Age Employability Service, which includes funding for: 25+ Long Term Unemployed (LTU) Labour Market Opportunities, Parental Employability Support Fund and Young Person’s Guarantee. The grant offer was accepted by the Chief Executive. Page 18 of 40
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4.2 The No One Left Behind All-Age Employability Service continues to provide the opportunity for local employability partnerships (LEPs) to ensure that the co- investment approach achieves Scottish and local government’s joint ambitions, delivering transformational change and an employability system that improves outcomes for all users. 4.3 One of the conditions of grant was for the Local Employability Partnership to develop a 3 year delivery plan from April 2022 to March 2025, a draft copy of which should be completed, and returned with the grant offer letter. 4.4 The funding from Scottish Government will be used as outlined below. Investment 2022/2023 Grant Allocation Focus of Funding No One left Behind All Age Employability services £502,403.31 Supports Key Worker staff and programmes of support to priority NOLB groups. 25+ LTU Labour Market Opportunities £750,000.00 Provides funding of £10k per person for 75 paid work placements in the public and third sector. Parental Employability Support Fund (PESF) £271,508.99 Supports an employability team to work directly with unemployed or low income parents. Young Person’s Guarantee £420,351.53 Supports youth employability programmes and team. TOTAL £1,944,263.83 4.5 A summary of the current delivery plan for Employability services in Renfrewshire is attached as Appendix 1, providing information on current issues, priorities and approaches. _________________________________________________________________ Implications of the Report 1. Financial – No additional finance is sought. Funding of £1,944,263.83 has been allocated to Renfrewshire by the Scottish Government for the 2022-22 period. 2. HR & Organisational Development – The funding continues to support a range of staff within the Councils Employability team. Funding provides security for another year. 3. Community/Council Planning – Partnership working is essential to the success of No-One Left Behind. The Renfrewshire LEP have been significantly involved in the planning for the 2022-23 services and have developed a three year plan. 4. Legal – None. 5. Property/Assets – None. 6. Information Technology – None. Page 19 of 40
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7. Equality & Human Rights (a) The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report. 8. Health & Safety – None. 9. Procurement – None. 10. Risk – None. 11. Privacy Impact - None. 12. COSLA Policy Position – Not Applicable. 13. Climate Risk – Not Applicable. ___________________________________________________________________ List of Background Papers None. ___________________________________________________________________ Author: Ruth Cooper, Economic Development Manager; Email: ruth.cooper@renfrewshire.gov.uk Page 20 of 40
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Appendix 1: Employability Funding, No-One Left Behind Renfrewshire Employability Services Plan 2022-2025 Introduction to the Renfrewshire Local Employability Partnership: Renfrewshire is recognised nationally for its strong partnership approach in employability with the active involvement of a wide and diverse range of local partners across the voluntary, public, education and private sectors. The Renfrewshire Local Employability Partnership (LEP) consists of: a management group with strategic and operational partners working together to develop shared objectives, the alignment of efforts and the joint commitment of resources relating to employability. Members are Renfrewshire Council, Skills Development Scotland, Department for Work and Pensions, West College Scotland, University of the West of Scotland, Engage Renfrewshire, Renfrewshire Chamber of Commerce, Developing the Young Workforce (West), Health and Social Care Partnership, NHS Greater Glasgow and Clyde. A number of thematic sub-groups of operational staff from across a very wide range of services meeting regularly to discuss and agree services for priority groups. These groups bring forward new service ideas and discuss key issues of referral and support. In total over 60 people are involved actively in the Renfrewshire LEP. Additionally, an annual conference is held for all local staff with an interest or remit in employability which attracts around 150 people. Renfrewshire Local Employability Partnership want to improve employability outcomes in Renfrewshire. To support those who want to work to gain skills and experiences to enter work and to progress in the workplace. To open doors to fair work, secure work and to support all those who want help. To make employability support straightforward, easy to access and available to all, with no-one left behind. Across Scotland the role of the LEPs has become essential to Scottish Government funding and approaches for employability. A key element of securing financial support from the Scottish Government is an active LEP agreeing local priorities and co-commissioning services with the production on a local action plan. A summary of the action plan is provided below. Employment / Unemployment in Renfrewshire: For the first time since records began there are “fewer unemployed people than job vacancies,” the Office for National Statistics (ONS) has announced. The rate of employment is at a high level in Renfrewshire (almost at pre-covid levels) but there are around 2,000 less people in employment overall with around 1000 having moved from self employment to paid employment during the past 2 years and around 2,000 moving from being economically active to economically inactive (mostly due to health). Still the figures for the area are very positive with Renfrewshire being better than the Scottish average in all key indicators. Many people struggle to find their way into employment and there is currently a hidden talent pool of around 10,000 people in Renfrewshire who want to work but are not currently job seeking. Page 21 of 40
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Appendix 1: Employability Funding, No-One Left Behind This consists of more than half of the current claimant count (3,850 at April 2022), several hundred young people not claiming benefits but unemployed and over seven thousand economically inactive people who indicate that they want to work. As an integrated employability service, the Renfrewshire Employability Partnership aims to support the development of opportunities and services that supports more people to move into the world of work. Employability Support in Renfrewshire: There are a wide range of employability related services available across Renfrewshire through the various partners. Each partner has a distinct role and range of services to ensure that anyone who wants support in Renfrewshire can get it. Current services include: 1. Statutory employability services providing services to all: The Department of Work and Pensions (DWP) provide employability support, guidance and signposting to those claiming benefits who are required to be actively seeking work through work coaches, based in 3 jobcentres. Skills Development Scotland (SDS) provides Career Information, Advice and Guidance (CIAG) services to Renfrewshire school pupils in all secondary schools and to post school customers through their SDS centres, and outreach activity. 2. A range of wider discretionary employability provision offering targeted services: Renfrewshire Councils Employability Service (Invest in Renfrewshire) provides a wide range of intensive support to around 1500 people who need it most. Bespoke services and programmes are available to distinct target groups and the service bridges the gaps and augments statutory employability services. Scottish Government Fairstart Scotland Programme (contracted locally to the Wise Group) to provide 12-18 months of tailored, flexible, and person-centred pre-employment support to targeted people in Renfrewshire who want help to find and stay in fair and sustainable work. A wide range of Community, Learning and Development (CLD) and volunteering opportunities are available with Renfrewshire Council’s Education Dept (CLD) and Engage Renfrewshire playing key capacity building and support roles, working with local groups and organisations. A range of third sector and private sector training providers offering vocational skills and employment support. 3. Extensive training and further/higher educational opportunities: these are provided locally by West College Scotland and the University of the West of Scotland and offer both academic and vocational skills linked to labour market demands. All of the above services work together to provide an employability service to meet the needs of people and businesses in the area. The Partnership has developed a broad 3 year plan for the development of employability services which will evolve over time to take account of changing economic circumstances, opportunities and funding requirements. Page 22 of 40
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Appendix 1: Employability Funding, No-One Left Behind Renfrewshire Employability Services Plan 2022-25 The Renfrewshire Employability Partnership has identified key priorities for the coming 3 years to respond to the current economic circumstances and support the needs of the area and those looking for work. These are summarised as: To positively promote the benefits of work within the area and to ensure that people locally are aware of the opportunities open to them and the support to help them find work. We will work with employers to promote Fair Work and consider flexible working arrangements to support more parents to return to work. To engage with, and support, more people: we need to reach those people who want to work but perhaps don’t know where to start and to ensure that they get the right service for them. We will work across, and with, more third sector and public sector services and ensure that outreach provision is situated in areas with highest levels of unemployment. To make our services easier to access and straightforward to understand: we will continue to work in partnership to streamline communication channels and to simplify the processes for users of the services. We will work collectively to ensure the aims of “No-One Left Behind” and to continue to assess against a range of indicators to ensure that we have the right services in place for those who need our support most. No-One Left Behind in Renfrewshire No-One Left Behind is a key policy objective of the Scottish Government and has directed much of the Renfrewshire approach since 2019. Across the Renfrewshire LEP around 5000 people each year are supported with employability. Many of those will progress easily into work however others will require a longer, more supported journey. No-One Left Behind is about focussing on those who need more support, and ensuring that services are designed with these groups and address the issues they face. We aim to assist around 1500 people across Renfrewshire this year under the banner of No-One Left Behind. We recognise that more has to be done to reach those not currently engaging with employability services or with the hardest issues to overcome. In terms of No-One Left Behind the Renfrewshire Employability Partnership have identified a range of priority groups requiring additional support and attention in the next three years. Key Target Groups Key Targeted Responses 2022-25 Young people, particularly those 16-18 years and also care experienced young people Continuation of the “Kickstart Plus” model to allow an additional 80 young people to be sustained in work for an additional 6 months after the end of Kickstart Wage incentives for care experienced young people struggling to access work (10 places) Continuation of Renfrewshire YPG programme Street League and Barnardos programmes for young people Unemployed /low-income Parents (in support of the child poverty agenda) Parental employment support team working specifically with unemployed or low-income parents New £1000 transition to employment grant to allow parents to start work Page 23 of 40
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Appendix 1: Employability Funding, No-One Left Behind Wage incentives to create school hour jobs for parents Communities with higher levels of employment deprivation, particular focus on in the lowest 5% SIMD Outreach services based in priority areas Commissioned training provision targeting these areas including a ‘door knocking’ approach targeting disengaged young people and their families People with criminal convictions Specialist key worker team and programmes Integrated support with social justice team and Scottish Prison Service New support service for those with particular issues of employment due to convictions People with disabilities An employer recruitment incentive to develop and subsidise new job roles for those with complex disabilities Continuation of the successful Project Search programme based at Renfrewshire Council Work to increase employers and frontline staff awareness and understanding of different disabilities such as autism People with health issues and conditions Upskilling front-line health staff to be able to link to appropriate employability services. Provision of mental health and wellbeing interventions where these are not readily available but will help support journey towards employment eg counselling; Provision of the STEPs Programme as a gateway to wider employability support. Black, Asian and other minority ethnic groups including refugees Employability partners to be supported to use a new Racial Equality toolkit. More support to access modern apprenticeships beyond school age. Clearer path to transfer skills and qualifications acquired outside the UK and build on these. Long term unemployed adults 6 month (Scottish Living Wage) fully paid work placements in the Public or Third sector with training and support (75 places) The model of support for No-One Left Behind in Renfrewshire e. Through For those who require additional support there is a well established 5 stage model of employability support delivered through a key worker model. Each person will receive a key worker to support them through their journey and to access the rights supports and services for them as they progress. Stage 1 Stage 2 Stage 3 Stage 4 Stage 5 Engagement, Referral and Assessment Barrier Removal, basic skills, key skills, introduction to employability Vocational skills, work experience and job search activity Employer Engagement, work trials, job matching and entering work. In Work Support, Aftercare and further development End to End Case Management /Key Worker Support The model of support includes the following services for all clients: Key-worker support. “Better off in work” calculation and benefits advice to ensure that the individual is accessing all available benefits and to establish the levels if increased income through work. Financial assistance for work clothing and transport to work / training. Childcare support during training. Page 24 of 40
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Appendix 1: Employability Funding, No-One Left Behind Transport assistance to those not eligible for the Scottish Governments free bus travel scheme. Access to over 700 training and development opportunities commissioned locally for the coming year. Flexible Training Fund of up to £3000 per person to purchase specific training (if not already delivered through commissioned services). Introductions to key employers looking to recruit. What will Success Look Like? A performance framework has been developed to track progress and outcomes. A summary of the Renfrewshire Local Employability Partnership ambitions are: Unemployment will continue to reduce and economic activity levels will increase over the next 3 years. Around 1500 people each year will benefit from the No-One Left Behind approach and services. More people in the priority groups will: Engage with Renfrewshire employability services Receive careers/employment related advice and guidance Participate in training and development opportunities provided by Renfrewshire LEP delivery partners Progress towards and into work or self-employment. Access to employability support for all residents requiring assistance will be improved and simplified with more access in local communities and clear first points of contact. This will help to tackle significant engagement challenges reported by all partners. Services that support residents’ wellbeing including employability will be more integrated. Employability services will be informed and shaped by lived experience. Through the Employability Service Standards and Employability Customer Charter , customers will know what to expect when accessing employment services and what to do if they feel the commitments are not being met. Funding for Employability Each partner brings their own funding and resources to the partnership. Different Services have varying amounts of discretion in how to use the funding they have (statutory providers don’t have as much discretion) and partners are honest about this. All partners recognise the restrictions other may have and work together to ensure that the funds with most discretion are used to best effect, bridging gaps in service and integrating with other service areas. Funding for 2022-23 to support discretionary services comes mainly from Renfrewshire Council (£1.8M), ESF (£1.2M) and the Scottish Government (£2M) with a budget of around £5M for 2023. Page 25 of 40
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Appendix 1: Employability Funding, No-One Left Behind This will fund: The Invest in Renfrewshire Employability Service, including specific key workers, employer liaison, financial support to individuals and support to priority groups (£2M) £1.2M commissioned training and support services Over £1.3 M of employer recruitment / paid work placement / wage subsidies £0.25M transition to employment fund for parents £0.25M flexible training fund Funding for the current year is higher than normal by around £1M due to Renfrewshire Council utilising a Covid recovery fund to support more unemployed people to become economically active. Further Scottish Government funding is anticipated later in the year aligned to the new Child Poverty Delivery Plan linked to increasing parental employment support and supporting more people into work. Key changes for the year ahead and beyond include the closure of ESF programmes and the introduction of UK Government Funding (UK Shared Prosperity Fund). The Renfrewshire Local Employability Partnership are already meeting to discuss key new opportunities such as the “Multiply” programme and how to ensure that employability services remain linked to local needs as ESF closes and UKSPF commences. Conclusion The Renfrewshire Local Employability Partnership has a strategic interest in employability because of its relationship to the wellbeing of communities and economic development in their areas. The successful delivery of employability positively impacts on the Fairer Scotland Duty, Equality Duty and Child Poverty Duty as well as the alignment with Fair Work and Inclusive Economic Growth. This plan has been developed through the Local Employability Partnership with each organisation able to contribute and discuss the key issues for employability in Renfrewshire. The plan will continue to evolve over the next few years in line with economic and funding priorities and the needs of Renfrewshire. Page 26 of 40
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To: Economy and Regeneration Board On: 14 June 2022 __________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Clyde Green/Freeport bid - update ___________________________________________________________________ 1. Summary 1.1 This report aims to bring to members attention the proposed bid by Glasgow City Region (GCR) member authorities in partnership with the private sector for a green/freeport designation. 1.2 The bid is intended to be submitted to UK Government (UKG) in response to a prospectus published in March 2022 seeking bids from Scottish locations. The deadline for bid submissions to UKG is 20 June 2022. __________________________________________________________________ 2. Recommendations 2.1 It is recommended that the Board: i. Approve the submission of the GCR bid as it affects Renfrewshire; ii. Approve the proposed designation of the green/freeport tax site as defined within the report; 3. Background 3.1 In June 2021 the Council’s Leadership Board received a report on the potential for a GCR bid for Green/Freeport status. Based on the freeport model, the Scottish and UK Governments are using the term “green/freeport” to define the status proposed for Scottish sites. As tax and customs is a reserved matter the process is being led by the UK Government. 3.2 Over the last 12 months or so, several of the GCR local authorities – Glasgow, North Lanarkshire, Inverclyde, and Renfrewshire have held officer level discussions on the potential for a GCR green/freeport status bid. These discussions have involved the private sector companies associated with some of the principal infrastructure facilities in GCR. Item 4 Page 27 of 40
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We know from analysis of the successful English bids how important the physical infrastructure components are to any submission to government for green/freeport status. 3.3 The bid will be submitted by Glasgow city-region (after endorsement from the GCR Cabinet) ahead of the deadline set by the UKG of 20 June 2022. The UKG has stated that it intends to designate two parts of Scotland as having this green/freeport status. The GCR Chief Executive’s Group agreed in principle to the preparation of a bid by the 8 member authorities in April 2021. 3.4 This report does not attempt to summarise the entire bid or to include comprehensive details of its content. This is primarily due to the bidding process being a competitive one and therefore the bid document will be subject to final amendment following the governance decisions of the individual local authorities and the GCR Cabinet. It will be finalised just before it is submitted to UKG by GCR. 3.5 This report will set out the relevant content as it affects Renfrewshire: its proposed geography for a “tax site”, the potential economic implications and the purpose of seeking the status 3.6 This report seeks Board approval to the Renfrewshire elements of the bid only. 4. Green/Freeport status 4.1 Freeports have been in existence for some time and there are an estimated 3,000 such designations worldwide. They tend to be located primarily at seaports and operate as secure custom zones where, although inside the country’s border, are subject to bespoke custom and tax arrangements aimed at bringing benefits to the competitiveness of the areas in which they are located and the companies who choose to locate there who import, manufacture, process, and export goods. 4.2 Goods that move into and out of any country are normally subject to tariffs (duty) payable to that country. Goods that arrive at designated freeports are normally exempt from such tariffs. Although these locations often offer reductions in regulatory and administration burdens for businesses, they are designed to incentivise private investment in the locality and create jobs and other economic benefits for the adjacent local economies. If the goods are then processed or passed for sale into the UK market, they would be subject to the normal tariffs. 4.3 The UK government designated eight freeports in England in 2021. They have stated they propose to designate two green/freeports in Scotland in 2022. The UK Government have emphasised they view this policy tool as an integral element of their levelling up agenda for the UK economy. 4.4 The green/freeport prospectus for bidders outline four principal objectives: promote regeneration and high-quality job creation – this is the lead policy objective; promote decarbonisation and a just transition to a net zero economy; establish hubs for global trade and investment; foster an innovative environment; Page 28 of 40
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4.5 Although these are the broad objectives, it is clear from the UK Government prospectus that this initiative is about stimulating a (net) growth in the number of jobs in the designated area and is being viewed locally (by private sector and Council officers) as a genuine additional prospect to existing GCR investment plans. UKG wish to see bidders offering a clear sectoral focus to their offer and building on existing industrial clusters. They also want to see a clear and ambitious plan for decarbonisation within any bids as well as distinct evidence that the plans will result in additional investment and increased trade from existing companies or new ones moving into the area. 4.6 Renfrewshire can contribute to meeting many of these objectives and aims due to their alignment with the existing and established proposals for the Advanced Manufacturing District Scotland (AMIDS) and its proximity to Glasgow Airport as one of the potential hub ports for the GCR bid. 4.7 Bidders must include at least one customs site within their proposals and up to 3 tax sites. Any financial incentives for the tax sites will only apply to new development / investment i.e., for sites that are currently undeveloped or where a building is refurbished or redeveloped as part of the plans. They do not apply to existing business properties that will remain unchanged. Financial incentives 4.8 Should green/freeport status be achieved by the GCR bid then a range of potential financial incentives can be made available to designated tax sites, subject to agreement of details with HMRC, including: relief from Land and Building Transaction Tax for 5 years for qualifying investments; Enhanced Structures and Buildings Allowance (SBA) Enhanced Capital Allowances (ECA): for companies investing in qualifying new plant and machinery assets. Employer National Insurance Contributions (NICS) relief for certain employees working in the tax site up to a maximum level of income. Non-Domestic Rates Relief of up to 100% relief (for 5 years) on certain properties and property improvements within designated tax sites. 4.9 The specifics of any tax relief would be at the discretion of HMRC, and the individual companies concerned who apply for such benefits. The UKG have stated their intention to allow local authorities in which the tax sites are located to retain the business rates growth because of the new investment achieved (above an agreed baseline). The stated preference for this arrangement is to allow local authorities and their partners to use such funds to invest in regeneration and infrastructure that will support further growth in the area. 4.10 Any designated customs site within a green/freeport designation would be able to apply to have import duties on supplies suspended and elect to pay such duties on either imported goods or finished products (after being processed in the site). Any such arrangement will be subject to strict criteria applied by HMRC and be subject to having an authorised operator in place before such a designation applies. 4.11 In the case of Renfrewshire, the intention would be to include Glasgow Airport only as being within any customs site. Page 29 of 40
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The Airport already operate such an arrangement with HMRC and have the necessary authorisation and management in place to satisfy such requirements. 4.12 The UKG have also indicated that up to £25m will be made available in funding to each successful green/freeport designation. This funding comes with a requirement to be matched locally by public or private sector partners. Any such decisions on how to spend or match fund such grant would be subject to further Board reports. 5. Glasgow City Region’s Greenport Bid 5.1 Green/freeport status for Glasgow city-region (GCR) offers a significant opportunity to grow the economy and assist in achieving job creation that will be aimed at several key pillars of the bid – decarbonisation; innovation and becoming a global trade hub. 5.2 As the green/freeport is aimed primarily at job creation and regeneration potential the UK Government are looking to identify these designations in areas with below (national) average GDP per head and above (national) average unemployment rates. The GCR is well placed in a Scottish context to meet both criteria and has the highest levels of deprivation of any area in Scotland. 5.3 The scale of GCR gives it an opportunity to do this in a way that will maximise economic, social, and environmental benefits to a large proportion of Scotland’s population. By utilising its strengths as Scotland’s only metropolitan region, GCR aims to use its green/freeport status to become a global leader in the decarbonisation of key economic sectors and build on the momentum of the COP26 event in 2021. 5.4 The city-region has a diverse industry base and a leading R&D ecosystem which will allow it to drive this agenda for systemic change across complementary sectors including advance manufacturing (which lies at the heart of the Renfrewshire economic proposition) as well as aerospace, marine and life sciences. This approach and bid have been developed from a rigorous evidence base that shows benefits at a local, national, and global level from GCR being successful in achieving this designation. Renfrewshire tax site 5.5 The tax sites (of which there can be 3 maximum) can include land of no more than 600 hectares in total and the sites should be no more than 45km apart from each other. 5.6 Renfrewshire’s element of the response to the Government’s prospectus is to promote an “airport cluster”. This would be focused on land in and around Glasgow Airport that has the potential to host new development that could benefit from the green/freeport status. This will include the undeveloped land at the Netherton Campus at AMIDS and undeveloped land at Inchinnan, Westway and Hillington business parks. The owners of these sites have all been consulted on, and are supportive of; their inclusion within the bid. Page 30 of 40
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5.7 Land (airside) at Glasgow Airport – including that within the agreed AMIDS masterplan, and earmarked for airport related manufacturing, and land known as “Airside North” amounting to some 40 hectares – is included within the bid. In total the Renfrewshire tax site could account for more than 120 hectares of land. 5.8 In terms of the AMIDS site at Netherton Farm the benefits of a green/freeport designation can be summarised as: Offering a USP (the financial incentives) compared to alternative locations being considered by that company for new investment; The potential alignment between the industries being targeted (advanced manufacturing) and the trade and export ethos of a green/freeport; Being able to benefit through a close allegiance with other parts of the city-region in terms of complementarity of offer for business investors, through the tri-modal arrangement outlined in the bid (seaport, airport, rail freight hub). 5.9 It should be noted that tax site status does not mean the landowner or investor must use the package of incentives that come with the designation. That decision would be up to the individual developer or occupier. 5.10 By focusing the Renfrewshire tax site on the Airport / AMIDS allows the bid to meet the UKG requirement to demonstrate that the designation will complement existing funding. In the Renfrewshire case this would include UKG funding for the City Deal projects (50%) and for Levelling Up Fund at AMIDS South (£38m). 5.11 The approximate boundary of the tax site proposed for Renfrewshire is shown on the plan in Appendix 1 to this report. 6. Next Steps 6.1 A report on the proposed bid will be considered by the respective GCR local authorities (including Renfrewshire) before being presented to the GCR Cabinet in June 2022. 6.2 Assuming agreement from all levels of governance, the bid for a GCR green/freeport will be submitted to UK Government by the deadline of 20th June 2022. The UKG are expected to announce the successful Scottish designations in autumn 2022. ___________________________________________________________________ Implications of the Report 1. Financial No financial implications from the bidding process other than officer time, which has been drawn from existing resources in the Economy & Development Team, and other departments as required. Consultants were commissioned by GCR to lead the preparation of the bid. The cost of this was met from existing approved GCR budgets. Page 31 of 40
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Depending on whether the designation is confirmed through a successful bid and how the green/freeport comes to fruition, any financial implications arising, or decisions on future investment decisions within Renfrewshire, will be subject to separate Board reports at the appropriate time. 2. HR and Organisational Development – None. 3. Community Planning Our Renfrewshire is thriving – The green/freeport concept offers an opportunity for increased economic activity and job creation in Renfrewshire. Reshaping our place, our economy, and our future – Renfrewshire already has a significant cluster of manufacturing companies and an international freight airport and therefore, the green/freeport concept offers the potential to attract additional manufacturers ad their supply chain to the area; 4. Legal – None. 5. Property/Assets – The Council-owned AMIDS site has been put forward for inclusion in one of the tax sites included in the green/freeport bid for GCR. The implications of this are covered in the report. All other Renfrewshire sites put forward are in private ownership and have the support of the owners concerned. 6. Information Technology - None. 7. Equality & Human Rights The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report because for example it is for noting only. If required following implementation, the actual impact of the recommendations and the mitigating actions will be reviewed and monitored, and the results of the assessment will be published on the Council’s website. 8. Health & Safety – None. 9. Procurement – None. 10. Risk – None. 11. Privacy Impact – None. 12. COSLA Policy Position – None. 13. Climate Risk – None. __________________________________________________________________ List of Background Papers (a) Freeports (Greenports) board report; Leadership Board; June 2021 Page 32 of 40
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(b) Green Freeports in Scotland: bidding prospectus; Department for Levelling Up, Housing and Communities; UK Government; March 2022 ________________________________________________________ Author: Alasdair Morrison, Head of Economy and Development Alasdair.morrison@renfrewshire.gov.uk (Tel: 0141 618 4664) Page 33 of 40
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Produced from: C:\GIS Projects\Green_Freeport tax site\GreenFreeportTaxSite.aprx Date: 27/05/2022 User: homawemat1 1:25,000 I Please enter notes here:Notes: Green Freeport - Airport Cluster Tax Site Tax Site Boundary Page 34 of 40
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___________________________________________________________________ To: Economy and Regeneration Policy Board On: 14 June 2022 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Regeneration Funding Bids Update 2022 ___________________________________________________________________ 1. Summary 1.1 National government funding of regeneration projects and programmes has expanded over the last year as both the Scottish and UK Governments have announced new funding programmes. The Leadership Board of June 2021 agreed to a set of priorities for projects that officers will pursue the delivery of through applications to appropriate funding programmes and by utilising capital budget available from the Council budget. This report updates the Board on progress over 2021 in delivering on these priorities and presents the programmes being developed in 2022. ___________________________________________________________________ 2. Recommendations 2.1 It is recommended that Board: (i) Homologates the decision of the Director of Finance and Resources to accept the grant offer from the Scottish Government Place Based Investment Programme of £1.038 million for 2022/23. (ii) Notes the progress and continuing actions to deliver projects from the range of regeneration funds identified in the report. (iii) Notes the submission of the Kibble/St Mirren Foundation wellbeing project to this year’s round of applications for the Scottish Government’s Regeneration Capital Grant Fund. _________________________________________________________ Item 5 Page 35 of 40
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3. Background 3.1 The funding of regeneration projects and programmes has been reliant on support from national government, often with ‘match-funding’ coming from the Council. The main and longest running fund is the Regeneration Capital Grant Fund (RCGF) through which the Council has secured support for the Russell Institute, Paisley Learning and Cultural Hub and for Paisley Museum. The RCGF also supports projects run by other organisations (with the grant being passed to the Council to manage), with the projects promoted by Linwood Community Development Trust, Active Communities, Johnstone and PACE Youth Theatre being supported very recently. 3.2 The RCGF is an annual competitive fund with applications coming from all 32 Scottish local authorities plus the Clyde Gateway Urban Regeneration Company. The fund is always substantially over subscribed, meaning that many projects that are put forward are not funded. As a response to this the Scottish Government in 2019 launched the Town Centre Fund which was quickly superseded by the Place Based Investment Programme (PBIP). This is a five year programme to enable projects to be funded at a local authority level. In 2021/22 £1.195m was awarded with in £1.038m being available for 2022/23. 3.3 Earlier this year the Scottish Government announced that the RCGF application for PACE Youth Theatre’s ‘Exchange’ Theatre in Paisley has been successful. This followed considerable work over 2020 and 2021 to build up the project, its business case and its regeneration outcomes. The award of £800,000 now forms a substantial element of the capital funding required to deliver the project (based in the former Mannequins nightclub building on New Sneddon Street) and has had the effect of unlocking at least one further large grant award from the Garfield Weston Foundation. Officers continue to work closely with PACE to realise the project. 3.4 In September 2021 the Leadership Board approved a set of priorities for the Place Based Investment Programme. Progress is summarised below. Table 1 Place Based Investment Fund Projects 2021 awards, summary update at May 2022 Project summary Launch Appl’ns Awards Complete 1. Renfrewshire Shopfront Improvement Scheme (2021) - Grant scheme to support shop front improvements Sep’ 2022 Design Tender On-site Complete 2. Heritage Renewal Programme - Support for building restoration to town centre buildings i. 5 George Place, Paisley restoration and refurbishment October 2022 Page 36 of 40
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Design Tender On-site Complete ii. 32 High Street (The Liberal Club), Paisley restoration and refurbishment Sep’ 2022 April 2023 3. Prominent Building Repair - Urgent repairs to key buildings i. Oakshaw Church Tower July 2022 Oct’ 2022 ii. St Matthews Church, Paisley July 2022 Sep’ 2022 4. Start-Up Street, Renfrew at Dunlop Crescent, Renfrew – refit of vacant shop units Aug’ 2022 5. Lighting Programme - extending work on town centres lighting - buildings, lanes and spaces using LED technology i. John Neilson Institute, Oakshaw June 2022 July 2022 6. Active Communities – supplement to delivery of Health and Wellbeing hub - capital costs 4. Capital funding for regeneration projects 4.1 The Leadership Board of September 2021 covered in detail the full range of alternative external capital funds currently available. This range has extended this year with new funds announced by Government and other agencies. The current funding environment of relevance to regeneration activities in Renfrewshire is therefore the: Levelling-Up Fund (UK Government) available to 2024/25. Shared Prosperity Fund (UK Government) see separate report to this Board, current round to 2024/25. Regeneration Capital Grant Fund (RCGF) (Scottish Government), awards by application, annual funding rounds. Vacant and Derelict Land Investment Programme (VDLIP) (Scottish Government), awards by application, annual funding rounds. Place Based Investment Programme (PBIP), (Scottish Government), annual direct awards to local authorities. Page 37 of 40
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Heritage and Place Programme, (Historic Environment Scotland), new programme round open in 2022. National Heritage Lottery Fund – various programmes that can combine with the Heritage and Place Programme. Water Environment Framework, (SEPA), projects instigated by SEPA as part of River Basin Management Planning, projects must now have ‘place’ outcomes. 5. Actions for 2022 5.1 The recent launches of regeneration funding streams set out above have shown that being in a strong position to react to opportunities as they arise will give the Council and other Renfrewshire organisations a much greater chance of securing funds, mobilising and delivering projects efficiently and effectively. Projects must tackle quality of place, neighbourhoods, new purposes for town centres, climate change adaptation, zero carbon infrastructure and the reprovisioning of property and space at a large scale. 5.2 In 2022 we are making preparations to: i) Submit a LUF bid for Renfrew town centre focussing on the Victory Baths and former Renfrew Police Station. ii) Submit a RCGF bid in support of Kibble and the St Mirren Foundation’s proposals for a Wellbeing Centre on vacant land adjacent to the St Mirren Stadium. iii) Submit an ‘Expression of Interest’, and if accepted a Stage 1 application, for a Heritage and Place Fund programme focussing on the heritage of Renfrewshire’s villages. iv) Support a SEPA Water Environment Framework feasibility study for the deculverting of the Candren Burn and associated landscape works in Ferguslie. v) Prepare programmes for the VDLIP for projects associated with ‘The Making of Ferguslie Park’, and potentially other communities, for submission in 2023. vi) Advance feasibility work through the Shared Prosperity Fund to develop business cases for future Place Based Investment Programme and Council capital programme work, particularly relating to climate resilience projects in town centres, energy efficiency in community assets and the potentials for redevelopment and future funding bids for Johnstone town centre. Page 38 of 40
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vii) Deliver a 2022/23 programme of projects from the Place Based Investment Programme – continuing the work to support heritage building repairs, town centre/architectural low carbon lighting and specific projects this year to include: Ferguslie ‘Green Line’ walking and active travel route The Sculpture House – refurbishment of Craigielea House as artists studios, Blackstoun Road, Paisley Projects emerging from work on improving active travel links to major employment locations around Renfrewshire 5.3 A separate report on this agenda deals with the submission of the LUF bid for Renfrew. 5.4 Further reports will be brought to the Economy and Regeneration Board as and when grants offers are made from funders. ___________________________________________________________________ Implications of the Report 1. Financial – Government grants awarded to the Council are monitored in accordance with the terms and conditions of grant. The Council will liaise with the Scottish Government to comply with drawdown and financial reporting requirements. 2. HR & Organisational Development – None. 3. Community Planning – Reshaping our place, our economy and our future: Renfrewshire Council is working with stakeholders to maximise the opportunities for regeneration and economic recovery/growth. Building strong, safe and resilient communities: working in partnership with local groups and organisations to achieve positive outcomes. 4. Legal – None. 5. Property/Assets Any acquisitions, leases or licenses required to enable project delivery using any funding awarded will progress through the recognised Council processes and with relevant Board approvals. 6. Information Technology – None. 7. Equality and Human Rights (a) The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. Page 39 of 40
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No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report. If required following implementation, the actual impact of the recommendations and the mitigating actions will be reviewed and monitored, and the results of the assessment will be published on the Council’s website. An Equality Impact Assessment is being prepared as part of the project requirements. 8. Health and Safety – None. 9. Procurement – A programme of contract processes will be developed with the advice of the Council’s Procurement team to secure effective and best value project delivery. 10. Risks - None. 11. Privacy Impact – None. 12. Cosla Policy Position - Not applicable. 13. Climate Risk - No identified impacts at present. __________________________________________________________________ List of Background Papers 1. Report to Leadership Board, 15th September 2021 - Place Based Investment Fund 2021/22 2. Report to Leadership Board, 16th June 2021 – Regeneration Funds, Bids Update – Priority Themes 3. Report to Leadership Board, 2nd December 2020 - Extension to the Scottish Government Town Centre Fund 2020 – 2021. 4. Report to Leadership Board, 19th June 2019 – Town Centre Capital Fund. ___________________________________________________________________ Author: Stuart McMillan, Regeneration Manager Tel: 07958 009520 Page 40 of 40