Decision details

The Chair welcomed Martin Kelly, Director of Economic Development, to the table. A presentation was given providing the Committee with a progress update on the Strategic Economic Plan including key initiatives and programmes.

The Committee was informed that the LEP had been running properly for 4 years. The LEP had developed an investment growth programme valued at nearly £1 Billion. There were 50 major initiatives planned/underway across all parts of Lancashire with key programmes delivering ahead of schedule and exceeding delivery targets. Government had a positive view of the LEP's overall performance. The LEP recognised the need to raise its profile and strengthen communications with local stakeholders. The LEP welcomed the opportunity to work with local authorities on developing the Combined Authority and Devolution Deal proposals. It viewed the Northern Powerhouse as a positive framework that enabled Lancashire to position its economic strengths and forge stronger cross-boundary linkages.

Lancashire's LEP was the only one in the country with 4 Enterprise Zones. The LEP's Enterprise Zone programme had the potential to create 10,000 new jobs with an investor offer of Northern Powerhouse significance.

The LEP had a £20 Million Growing Places loan fund which was on its 9^th commercial investment with £1 Million committed to secure 450 new jobs with a global investor expanding in Preston. Growing Places continued to welcome commercially focused investment proposals from public and private sector partners.

City Deal was the best performing City Deal in the country. All first year targets of the £450 Million City deal programme had been delivered in 2015/16.

Regarding the Growth Deal, Lancashire was one of the few LEPs in the country with a 6 year allocation worth around £230 Million. Lancashire was on track after year 1.

Transport for Lancashire was doing good work around strategic transport which helped make better sense of what was happening across Lancashire.

On the subject of Business Growth and Innovation, the first phase of Boost was completed in September 2015, with 3,000 SMEs engaged and 1,000 businesses improved across the Lancashire sub-region, with 1,200 new jobs created. Boost 2 was underway and the County Council was powering much of this.

A lot of work was underway in Skills for Growth in terms of the adult workforce and how to make it more productive.

The Government had agreed the European Strategic Investment Funding (ESIF) operational programme for England in June 2015. The LEP had successfully secured a 100% improvement in Lancashire's Assisted Area coverage. £188 Million had been allocated to Lancashire's ESIF programme.

Regarding Strategic Marketing and Communications, Members were informed there was exciting work in the autumn concerning the LEPs and how Lancashire presented itself to the external world.

Northern Powerhouse (NP) started off as a proposal from the Chancellor in 2014. NP aimed to close the North of England's performance gaps and rebalance the UK economy. It was still early days but the NP approach was ultimately to be underpinned by 11 Combined Authorities and 11 LEPs working with the Government to develop initiatives of Northern significance that transcend local boundaries. At this stage there was very little funding available. Early NP focus was on inter-city transport connectivity with the work of Transport for the North.

There was continued focus from the LEP on productivity and growth challenges. Lancashire was still around 25% of the national benchmark

Questions and Comments by the Committee in relation to the report were as follows:

·  It was noted by Members of the perceived lack of LEP activity in West Lancashire. They were informed that through the LEP Skills Capital Fund £3 Million had been invested in Edgehill University's new bio facility. It was a £12 Million initiative scheme of which £3 Million was provided by the LEP.

·  Skelmersdale was pointed out as an area which needed help financially. In terms of Skelmersdale town centre, Transport for Lancashire, which was part of the LEP, was hoping to progress train station proposals, which would cost close to £4 Million for the LEP and the County Council.to prepare the case making for a new railway station for Skelmersdale.

·  The LEP was also in detailed negotiations with the Homes and Communities Agency and West Lancashire Borough Council, for looking at a new spacial approach for using the 3 motorways surrounding Skelmersdale. It was felt there needed to be more investment in transport in West Lancashire.

·  In terms of the access issues in Fylde and Wyre, as part of Growth Deal 3, investment was already planned for the A585. This included 2 further junction improvements. This was part of a national competition for funds. This was welcomed by Members.

A copy of the presentation is appended to the minutes

Resolved: That the Committee note the update report.