Agenda item

The Assistant Director for Regeneration and Property Services presented a report on Economic Development and Regeneration Service Delivery for the Committee’s consideration.

The report sought approval for the release of £510,000 from the Economic Growth Reserve to continue funding key economic development and regeneration activities until 2028.

The Committee was advised that the programme operated within the Local Enterprise Partnership (LEP) funding model. It was noted that funding from the UK Shared Prosperity Fund (UKSPF) was due to cease and that no replacement funding stream had yet been confirmed.

Members were informed that, should the funding not be released, Bromsgrove residents would receive a significantly reduced level of support, limited to that provided through the Worcestershire Growth Hub. It was confirmed that sufficient reserves were available and that funding would remain for other programmes.

In relation to Betaden, it was reported that officers were continuing to finalise the details of the Service Level Agreement (SLA), with some negotiations still outstanding. The original proposal had been that the Council would make a financial contribution in return for a guaranteed number of places on the programme. However, the number of places proposed significantly exceeded previous levels of take-up. It had subsequently been agreed that the Council would fund workshop places on a demand-led basis, whereby a fee would be payable for each business securing a place. The precise amount remained under negotiation.

Following presentation of the report, Members discussed the following points:

·       The Leader emphasised the importance of the funding, particularly in the context of Local Government Reorganisation. It was noted that the Worcestershire Leaders Board had confirmed that it would provide funding to the Worcestershire Growth Hub and Betaden. It was further highlighted that approximately 6 per cent of young people were not in employment, a situation which had been affected by increases in National Insurance rates.

·       Members queried how success would be measured. Officers advised that the SLAs would set out how businesses would be supported and that data would be collected on how funding had been utilised. Progress updates would be reported back to the Cabinet.

·       Clarification was sought regarding how the funding would be allocated and whether it would support businesses in employing additional staff. Officers advised that the Growth Hub employed staff to provide business support and guidance on available funding opportunities, some of which could be used towards staffing. Betaden provided programme and workshop places offering one-to-one business support. Careers Worcestershire utilised funding to employ staff who worked with young people to support them into employment, including assistance with the interview process where barriers such as transport or confidence issues existed.

·       Members welcomed the support for new businesses and young people, particularly in helping school leavers into employment. It was queried how this aligned with apprenticeship schemes and whether signposting would be provided. Officers confirmed that, although the funding focused on youth employment, Careers Worcestershire also supported apprenticeship schemes, and appropriate signposting could therefore be provided.

[Councillor K. Taylor arrived at the meeting during consideration of this item at 6.33pm]

RESOLVED that:

1) Earmarked reserves be released to fund economic development and regeneration activities as follows:

a. Worcestershire Growth hub - £140,000

b. Careers Worcestershire - £300,000

c. Betaden - £70,000