Agenda item

To receive a report and presentation in respect of national, regional, and local economic recovery initiatives.

Consideration was given to a briefing and presentation regarding economic recovery plans at the national, regional, and local level. The presentation incorporated data visualisations illustrating the economic impact of COVID-19. The presentation further covered the key priorities for approximately the next 18 months.

The presentation illustrated the upward trend in benefits claimants; meanwhile, the number of job advertisements trends downward nationally. Several National Schemes to help alleviate the economic crisis were listed. It was noted that some businesses have fallen through the cracks as far as being eligible for available aid, which could be partially offset by the Council’s Discretionary Business Grants. The Council has several active bids for funding from Central Government: £1 million requested from Town’s Fund Accelerated Funding; £33.6 million allocated to Sheffield City Region from Getting Building Fund, and £40 million allocated to Sheffield City Region from Brownfield Housing Fund.

At a regional level, The Sheffield City Region Renewal Action Plan has requested £1.72 billion from central government to support investment in renewal of skills and expertise so that people can find and stay in work; in employers’ ability to survive, adapt and thrive; and in job creation to reduce inequality.

In terms of local response, the Council has made Economic Recovery one of the five priority strands of the Year Ahead Plan. The Council has administered Government grants, which has included paying out over £44 million in grants to local businesses, through the Council’s finance team—including over £2.5 million in discretionary grants to those who missed out on other recovery schemes. The local response also continues coordinating local intelligence and response, delivering major projects, reopening the town centre, developing the response to emerging funding opportunities and co-ordinating with Sheffield City Region to inform and develop the Renewal Action Plan. The presentation also identified transportation schemes which will bring jobs to the area.

In discussion, clarification was requested around variations in grant amounts. The response conveyed that larger businesses with larger running costs draw down larger grants. It was noted that all businesses were able to apply for these grants if they had experienced a loss of income because of the pandemic.

Regarding the various funding packages available, Members requested clarification of how the Towns Fund was allocated. Also, assurrances were sought that Rotherham would receive its fair share of the money allocated to Sheffield City Region. In response, Officers summarised where the grants were as of the date of the meeting in their various stages of applications and bidding. Specifically, the Future High Street Fund has gone to the final bid stage and is expected to be announced next month. Some of the funding relies on the funding cycle and the City Region. Cabinet agreed we would be submitting to the cohort in January regarding the Towns Fund.

Further reassurance was also requested regarding businesses missed by relief schemes. Regarding the support available for benefits claimants and those who cannot claim, Officers cited the strand of the renewal action plan that supports people to overcome the barriers to getting back into work. It was noted that much of this action comes through the DWP.

Members requested more information about learning from the previous lockdown experiences and tracking how the Council has used discretionary funding, and how the Council might use this learning to help mitigate the adverse economic effects of the pandemic as it continues. Officers expressed hope that more funding will become available from Government and from SCR to support new initiatives as they are needed. In response, Members emphasised the need to capture and apply learning and criteria for funding allocations to help businesses survive the next phases of challenges brought by the pandemic.

Members requested assurances that damage to Town Centre caused by additional Tier 3 and lockdown restrictions would be mitigated, as well as interruption to businesses during construction. The response from Officers conveyed that footfall would likely be affected by additional restrictions, and whilst some businesses were harmed, others do even better. The Government would be putting support in place for businesses as the region goes into different levels of restrictions. Regarding the interference of road works, in the period around December, none of those works will be underway. Access to businesses will not be cut off, and businesses will be informed of all intended works.

Members also inquired further about efforts to support businesses in areas of the Borough other than the Town Centre. Members also requested a breakdown of how the support moneys are being distributed. The response from Officers clarified that there was no specific support scheme designated for Town Centre businesses. The work schemes in the Town Centre do have designated funds. The business support on offer was available to individual businesses through SCR.

An answer to a question about the status of the Maltby Grammar School site was offered later following consultation with the relevant officer.

Members asked for clarification around potential plans to change the road traffic pattern at a key route into and out of central Rotherham. Officers clarified that the two schemes were designed to mitigate traffic and air quality problems and congestion in that area, which is one of the key economic corridors into Rotherham. The Cabinet Member also noted that the three ward Councillors had been working with officers in the transport team on the transport schemes and what they entail throughout the development process.

Members requested assurances that the enhanced transport connectivity links would not push businesses closer to Parkgate than the Town Centre. The Cabinet Member provided assurances that the enhanced connectivity links meant that people could get into and around Rotherham easier and safer and still have clean air zones for the health and wellbeing of residents. The congestion in Parkgate prevents people from coming into the Town Centre, so these interventions would help to alleviate that. Officers further illustrated the benefits of a potential added station on the HS2 main line, which was currently being discussed.

Members requested further information regarding efforts at a specific housing sites at Brownfield. In response, the Cabinet member noted that work on this site was being overseen by the Housing Team.

Members requested additional reassurances that businesses would be supported if their own cash reserves became depleted or national funding ran out. Officers illustrated the possible ways for businesses to access support, including through the SCR Renewal Action Plan, Specialist Advice and a range of digital interventions and support. The capacity to support businesses would be largely determined by how much funding was provided by Government.

Resolved:-

1.    That the briefing be noted.

2.    That a clear plan be developed to aid Borough residents who were unable to qualify for previous aid schemes. 

3.    That an up-to-date list of available schemes and grants be circulated to Members.

4.    That a briefing be provided as to the criteria and allocations for Council Discretionary Funds.

5.    That authority be delegated to the Governance Adviser in consultation with the Chari to confirm the wording of these recommendations.