Highlands and Islands Regional Economic Partnership
Argyll and Bute Council · 26 September 2024
Back to Argyll and Bute Council — 26 September 2024 and its agenda
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ARGYLL AND BUTE COUNCIL COUNCIL LEGAL AND REGULATORY SUPPORT / DEVELOPMENT 26th September 2024 AND ECONOMIC GROWTH HIGHLANDS AND ISLANDS REGIONAL ECONOMIC PARTNERSHIP 1.0 INTRODUCTION 1.1 One of the recommendations from the Scottish Government’s Enterprise and Skills Review, Phase 2, was to establish Regional Economic Partnerships (REPs). This was part of the focus on addressing national challenges and opportunities, in recognition that effective regional governance can benefit national economies through tailoring policy and delivery that suits an economically diverse nation. 1.2 REPs align with the particular needs and characteristics of their regions in recognition that regions require different solutions to support their own economic growth as well as contributing to national objectives. They provide a vehicle for sector and regional policy mapping as part of the Scottish Government’s National Strategy for Economic Transformation (NSET). 1.3 There are eight REPs in Scotland. Argyll and Bute is part of the Highlands and Islands Regional Economic Partnership (HIREP). It comprises key stakeholders from across the Highlands and Islands region drawn from various sectors including local authorities, skills development and further education, the natural environment, transport, housing and more. The private and third sectors are also included. It is supported by a Senior Officers Group (SOG). 1.4 HIREP’s inaugural meeting took place in December 2021. Since its inception, it has been the practice for the Leader of the Council, supported by officers, to attend quarterly meetings. HIREP’s work is a standing item on the agenda for the Convention of the Highlands and Islands. 1.5 In the overall context of strategic activity and delivery of the Council’s priorities, it would be beneficial to formalise the Council’s participation in HIREP and moreover to bring forward updates on the Council’s involvement in HIREP for members’ consideration.
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2.0 RECOMMENDATIONS 2.1 It is recommended that: a) The Council agrees formally that its official representatives on the Highlands and Islands Regional Economic Partnership (HIREP) will be the Leader of the Council and the Chief Executive, given the strategic significance of HIREP’s focus and activity. b) The Council acknowledges the contributions that its officers have made to date to the progress of HIREP through their involvement in, and input to, the Senior Officers Group and associated sub-groups. c) The Council requests that officers provide regular reports on HIREP’s activities and progress in relation to Argyll and Bute, to the Policy and Resources Committee, as appropriate in line with the schedule of HIREP meetings. To allow for recent amendments noted at the HIREP meeting on 28th August to be addressed, a report on the HIREP Regional Economic Strategy will be presented for endorsement at the Argyll and Bute Council meeting on 21st November 2024. 3.0 DETAIL 3.1 The Scottish Government published Phase 2 of its Enterprise and Skills Review in 2017. One of the recommendations of that review was the creation of Regional Economic Partnerships (REPs) as part of a suite of measures to address national challenges and opportunities. It was recognised that effective regional governance can bring benefit to national economies through tailoring policy and delivery that suits an economically diverse nation. (See Enterprise and Skills Review: Report on Phase 2: Regional Partnerships (www.gov.scot) ). 3.2 REPs align with the particular needs and characteristics of their regions in recognition that regions require different solutions to support their own economic growth as well as contributing to national objectives. They provide a vehicle for sector and regional policy mapping as part of the Scottish Government’s National Strategy for Economic Transformation (NSET), published in March 2022 (see Scotland's National Strategy for Economic Transformation - gov.scot (www.gov.scot) ). 3.3 There are eight REPs in Scotland. They are collaborations between local government, the private sector, education and skills providers, enterprise and skills agencies, and the third sector. Argyll and Bute is part of the Highlands and Islands Regional Economic Partnership (HIREP). (See Highlands and Islands REP | HIE ).
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3.4 At HIREP’s inaugural meeting on 3rd December 2021, its purpose and remit were agreed as follows: Purpose: To enable inclusive and sustainable economic growth and build resilience throughout the region, by identifying and focusing on areas of joint strategic purpose to provide co-ordinated action in pursuit of regional growth opportunities and to address shared challenges. Remit: • Identifying opportunities for collaborative and coordinated action in pursuit of agreed regional priorities, ensuring, where appropriate, that stakeholders’ plans are aligned and resources are deployed efficiently and effectively. • Advocating on agreed regional economic opportunities and challenges and, where appropriate, leading in discussions with Scottish Government, UK Government and other organisations. • Being future-focused in looking ahead to identify emerging regional opportunities and challenges where collaborate action can maximise outcomes and impact. • Working to understand evolving approaches to external funding and reacting to maximise impact across all parts of the region. • Understanding sub-regional economic dynamics and, where appropriate, formulating solidarity actions to ensure that no part of the Highlands and Islands is left behind. 3.5 Membership of HIREP was agreed at its follow-up meeting and comprises the following organisations, who are represented at Leader/Board Chair/Chief Executive Officer level: • Highlands and Islands local authorities (Argyll and Bute, Comhairle nan Eilean Siar, Highland, Moray, North Ayrshire, Orkney and Shetland Islands Councils) • Highlands and Islands Enterprise • Skills Development Scotland • Scottish Funding Council • University of the Highlands and Islands • NatureScot • HITRANS • Crown Estate Scotland • VisitScotland • Bord Na Gaidhlig • Three private sector representatives • Two social enterprise/third sector representatives • Two housing sector representatives • Scottish Government (in observer capacity) 3.6 In terms of administrative and governance arrangements, HIREP meets on a quarterly basis. It is chaired on an annual rotating basis by one of the Highlands
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and Islands local authorities. Secretariat is provided through Highlands and Islands Enterprise. It is supported by a Senior Officers Group (SOG), on which Argyll and Bute Council is represented by senior officers from the Economic Growth team. 3.7 HIREP’s work is a standing item on agendas for the Convention of the Highlands and Islands (COHI), on which Argyll and Bute Council is also represented by the Leader of the Council and the Chief Executive. There is also a COHI Senior Officers Group (SOG) and the work of that group and the HIREP SOG are aligned in order to build coherence and cohesion and to remove unnecessary duplication; both these groups are attended by officers from Economic Growth. The inclusion of HIREP’s work on the COHI agenda is viewed as positive by the Partnership. 3.8 Sub-groups have been established to lead the work on Housing; Childcare; Community Wealth Building; State Subsidy (Subsidy Control) and Regional Intelligence. In addition, the COHI Repopulation Working Group is now aligned as the HIREP Repopulation Group and the regional skills group is now the HIREP Skills Group. Furthermore, a short life Local Visitor Levy Group has been overseeing a regional input to that work and similarly a short life Community Benefit group has been considering regional approach to securing and using community benefit funds. Officers from Argyll and Bute Council attend and contribute to the work of all the sub-groups and short life groups noted above. A summary of the activity of the main sub-groups is presented in Appendix 1. 3.9 Given the number of HIREP sub-groups and breadth of work being taken forward, this is an opportune time to ensure a common understanding of the HIREP structure and operation. Additionally, with the development of the HIREP Regional Economic Strategy (a separate paper will be presented to members on the strategy) it is appropriate to review the HIREP structure and ensure that it is aligned and focused on delivering the strategy. This may include the rationalisation of current groups and / or establishment of additional groups, complete with revisions to governance, reporting and information sharing. The proposed HIREP governance and operational structure is outlined in the diagram in Appendix 2. This will need to be discussed in more detail at future meetings of the HIREP. 4.0 CONCLUSION 4.1 With partnership working and increased, effective collaboration seen as key elements of delivering on strategic objectives and priorities, it is considered beneficial at this point to formalise the Council’s official representation on HIREP and to highlight its activities and progress from an Argyll and Bute perspective to elected members through regular reports to the Policy and Resources Committee. This boosts cohesion and ensures that the Council’s own priorities and activities reflect and contribute to regional and national growth. It also offers opportunities to strengthen Argyll and Bute’s voice and position in that regional arena as well as in the overall national context.
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5.0 IMPLICATIONS 5.1 Policy - appointments to external organisations are in keeping with the Council’s commitment to working in partnership with other agencies to benefit the people and communities of Argyll and Bute. Participation in HIREP specifically offers an important opportunity for Argyll and Bute to help shape and influence regional and national policy and to ensure the Council’s own priorities, policies and plans are appropriately aligned. 5.2 Financial – the Council may incur costs relating to participation in some meetings. 5.3 Legal – none. 5.4 HR – none. 5.5 Fairer Scotland Duty – none. 5.5.1 Equalities - protected characteristics – none. 5.5.2 Socio-Economic Duty – none. 5.5.2 Islands – none. 5.6 Climate Change – none. 5.7 Risk – none. 5.8 Customer Service – none. 5.9 The Rights of the Child (UNCRC) – none. Douglas Hendry Executive Director with responsibility for Legal and Regulatory Support Kirsty Flanagan, Executive Director responsible for Development and Economic Growth Council Leader – Councillor Jim Lynch 26th September 2024 For further information contact: David Logan, Head of Legal and Regulatory Support Tel: 01546 604322 and e-mail: david.logan@argyll-bute.gov.uk Fergus Murray, Head of Development and Economic Growth Tel: 01546 604293 and e-mail: fergus.murray@argyll-bute.gov.uk Ishabel Bremner, Economic Growth Manager Tel: 01546 604375 and e-mail: ishabel.bremner@argyll-bute.gov.uk
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Appendix 1: Summary of HIREP Sub-groups and Areas of Work Housing The housing sub-group was established to consider the region’s housing challenge “in the round” and take an action focused approach to addressing the systemic problems in the housing system that have brought about the serious shortages being felt across many of our rural and island communities. The group has brought the severity of the rural housing crisis to the fore raising awareness with Scottish Government, national bodies, house builders, and the general public, ensuring that the national debate over the housing emergency pays attention to rural housing, and challenging policies and regulations that are don’t fit with rural conditions. Future actions are likely to include agreement for a place-based rural housing demonstration programme; targeted work with the SME building sector to help grow capacity; and further steps to address both the enabling capacity to support rural housing and the funding required enable delivery. Repopulation Formerly the COHI Repopulation Group, the HIREP Repopulation Group now aligns and reports to HIREP. The group is focused on the region’s multifaceted population challenge, seeking influence and positive action across the range of contributory issues, with a particular focus on the progress in region’s repopulation zones, and most recently has worked up HIREP’s response to the Addressing Depopulation Action Plan (ADAP). As agreed by the elected members at the Policy and Resources Committee on 18th October 2021, the repopulation zones across Argyll and Bute are as follows: • Rosneath Peninsula (Helensburgh and Lomond) • Kintyre (Tarbert to Southend) (Mid Argyll, Kintyre and the Islands) • Tiree and Coll (Oban, Lorn and the Isles) • Bute (Bute and Cowal). Childcare The HIREP Childcare sub-group is exploring the challenges associated with provision of (school age) childcare across the region and identifying potential solutions to improve provision. Work has included understanding the specific nature and multifaceted causes for lack of childcare provision including training, recruitment, regulation, legislation and business viability. The group is engaging with Scottish Government to ensure that national approaches consider place-based specifics.
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Skills The regional skills group is now aligned as the HIREP Skills Group and provides a focus for regional skills planning, seeking to address current and future skills issues. It includes representation from public and academic HIREP members. Community Wealth Building The Community Wealth Building (CWB) Group was established to identify and take forward regional level actions on CWB; recognising that levels of understanding and activity differ across the region. The group is seeking to ensure a common understanding of CWB principles and has identified three potential areas of collaborative action: natural capital benefits, community benefit from major investments (clear linkage with the short-term group looking specifically at this) and opportunities from procurement. State Subsidy (Subsidy Control) The group has been brought together to promote a common understanding and approach to working within the relatively new UK State Subsidy rules (from January 2023 onwards). Work of the group includes co-ordinating engagement with Scottish Government, seeking common approaches to the interpretation and application of state subsidy rules, and consider possibilities for regional state subsidy schemes. Regional Intelligence Hubs The establishment of regional intelligence hubs was one of the recommendations in the Scottish Government’s Regional Policy Review. In advance of the establishment of a hub, this sub-group is working to understand HIREP’s collective data, intelligence and analytic capability. The group sees opportunities for improved sharing or data and intelligence, where possible, and collaboration on data analysis, for example interpretation of census data. Short Life Groups There are two short life groups, one established to facilitate a regional approach to the Local Visitor Levy (chaired by the Economic Growth Manager, Argyll and Bute Council) and another to consider a regional approach to securing and using community benefit funds.
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Appendix 2: Proposed HIREP Structure: Governance and Operational Issues