Agenda item

Scrutiny Review - Supporting the Local Economy

Minutes:

Consideration was given to a report of the above Scrutiny Review, Chaired by Councillor Wallis which set out the findings and recommendations of the above Scrutiny Review.

 

The 4 main aims of the Review had been:-

 

·                To analyse the impact of changes to local government finance – particularly business rates

·                To analyse how the Council could create the right conditions for growth in the private sector

·                To influence the development of the growth plan for Rotherham which in turn fed into the City Region growth plan

·                To develop a whole Council approach to increase business rates in Rotherham

 

The recommendations that emerged from the review findings had been broken down into those that could be implemented quickly and those that were more strategic in nature.  The latter focussed very much on structural responses within the Council and also working in a more multi-disciplinary manner including interaction with partners.

 

Deborah Fellowes, Policy Manager, gave the following powerpoint presentation:-

 

Background: The Challenges

-          Changes to local government finance especially business rates

-          Changes to the structure of the local economy

-          Future reductions in ERDF

-          Dependence on a small number of big players (including the Council itself)

 

Evidence

-          Focus on a whole Council approach by looking

Asset Management

Planning

Transportation

Housing

Economic Development/RIDO

Also Chamber and Private Sector

 

RMBC: The Key Actor

-          “The one constant”

-          Land supply

-          Networks and partnerships

-          Potential investor

-          Catalyst for generating the right investment

-          Role in skills development

 

Towards a new Strategy?

-          Council needs to generate income via business rates and Council Tax

-          Creation of jobs for local people – targeting deprived communities

-          Land supply is crucial

-          Where is the next Dearne Valley?

-          Council was key in driving forward the economy

 

Council’s Role

-          More flexible approach – less bureaucracy

-          Need to invest resources and take risks

-          Area based regeneration approaches with mixed land use proposals

-          Combined growth approach for all departments

-          Multi-functional force approach

-          “wear a big” hat – tell people

 

The broader context

-          Need to influence City Region to reflect Rotherham’s priorities

-          Need to create business friendly offer

-          Signs of upturn and timing is right for Council to intervene

-          Do nothing no longer an option

-          Further reduction in ERDF in 2015

 

Impact on local people

-          Transport, education and housing were key

-          Rotherham had poor results with 16-19 year olds – this needed to be tackled monitoring apprenticeships?

-          Adult skills and lifelong learning was lacking direction and leadership

-          Mandate for outlying town centres to be regenerated

 

Partnership

-          Reduction in resources for all partners

-          Need clear objectives and targets in growth plans – Rotherham and Sheffield City Region

-          Greater clarity about role within Sheffield City Region

-          More collaboration less duplication

-          Joint promotion of Rotherham

-          Dialogue with businesses

 

The review had made 12 recommendations:-

 

Early Implementation:

1.    The Economic Development Team within the Council should ensure that the emerging Growth Plan was focused around two key objectives – income generation and employment creation.

 

2.    Targets and outcomes should be developed for the plan that were smart – suggestions include number of businesses accessing services, the number of young people accessing apprenticeships, the number of new entrants to post compulsory education and the number of over 16s gaining accredited qualifications.

 

3.    The Economic Development Team should ensure that the growth plan was jointly owned by local partners

 

4.    They should also ensure that it was communicated effectively to partners and stakeholders, as part of an ongoing campaign to “talk up” Rotherham and its achievements.  These stakeholders should include the Sheffield City Region structures and the private sector.

 

5.    The Council should identify, in the first instance, its top ten development sites and focus on these in its policies and plans. Within this the identification and delivery of a strategically important site should be the number 1 priority for Rotherham to remain competitive. 

 

6.    The Council should consider prioritising all town centres and giving a policy mandate for this to happen.

 

7.    The Council should consider how Elected Members could input to the development of Council Policy, particularly with regard to economic growth, by utilising the wide range of talent and expertise that exists within this pool. Elected Members can further assist with the promotion of Rotherham.

Longer Term Strategy

8.    The Council should aim to establish a multi-disciplinary “Task Force” with the key purpose of providing a co-ordinated  holistic approach to generating investment and economic growth in Rotherham, for the benefit of its local businesses, communities and residents. The focus should be on working both internally, and in partnership with  the private sector in Rotherham, to include a range of projects in terms of size and value.  The external business support process should be led by RIDO as a recognised brand within Rotherham.

 

9.    The Task Force should include Planning, Asset Management, Housing, Transport, Education and potentially Health partners. These functions would be included on the basis of a unique drivers approach for each project. In line with recommendation 7 above, specific councillors (with specific expertise) and Ward Members should be included in this approach. This model could be adapted for individual projects, with bespoke task groups set up for larger projects including provision for specific expertise to be co-opted. (diagram to be developed)

 

10. This Task Force should be responsible for ensuring that the strategy should identify land supply i.e. the next Dearne Valley and link into work on the Local Plan, and also the following issues:

o   Use of capital and borrowing to develop sites and premises

o   The approach to the development of this land – some sites for area based regeneration initiatives

 

11. The Council should consider how to develop a business friendly culture amongst all its staff – skills development and training issues and also the possibility of setting growth targets for employees where appropriate. A key element of this would be to raise awareness within the Council of the changes to business rates and the importance of them in terms of generating income for the Council.

 

12. The Scrutiny function in the Council should consider looking further at the following issues;

o   The development of aspirational housing and associated services/communities in Rotherham

o   Work with schools and training providers/colleges around the 16+ skills agenda to establish stronger links with employers and to engender an enterprising and aspirational culture.

 

Resolved:-  (1)  That the findings and recommendations of the report be endorsed.

 

(2)  That the report be forwarded to the Overview and Scrutiny Management Board and Cabinet.

Supporting documents: