Katie Jenkins

Assistant Director

Cities and Local Growth Unit

South Central and West

Area Lead for Gloucestershire

Lead on South West collaboration

What is Urban Regeneration Policy?

Since 2010 the UK Government’s approach to regeneration has been largely targeted at supporting local growth. A strong national economy depends on the strength and vitality of local economies across the country. Every part of the country needs to fulfil its potential in order to maximise national economic growth and rebalance the economy.

Traditionally, UK regeneration policy refers to the broad process of reversing economic, social and physical decline in areas where market forces will not do this without public sector intervention and leadership.

Who are Cities and Local Growth?

The Government's Local Growth team - a partnership between BEIS and DCLG

We:

• Build partnerships

• Land new deals, and break new policy ground to shape the local economic landscape.

• Administer or influence programmes

• Provide effective support and challenge to places

• Help unlock local economic opportunities and manage down the effects of economic shocks like the closure of major employers

• Include 6 local teams across the country

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4

Spreading growth across the country: the challenge and the opportunity

“The UK, perhaps more than any other country in the European Union, is an agglomeration of quite different micro-economies – micro-economies of high and low incomes, high and low skills, high and low investment, high and low productivities, Red and Blue Car regions. Closing these gaps would not only boost the size of the aggregate economic pie, but would lead to a more equitable distribution of its slices.”

Andy Haldane, Bank of England Chief Economist – December 2016

Since 2010, Government’s approach to urban regeneration has largely been targeted at supporting local growth. Features include:

Features of Urban Regeneration Policy

Creating the conditions for local growth through a competitive, deal-making approachwhich offers incentives, e.g. Local Growth Fund, Enterprise Zones.

Empowering strong and accountable local decision–making and giving a voice to the private sector, e.g. Local Enterprise Partnerships, Mayors, Combined Authorities.

Devolving and decentralising powers and functions to local areas, e.g. through Devolution Deals.

Agreeing place-based approaches to driving economic growth, regeneration and housing development – including pan-region models (Northern Powerhouse and Midlands Engine);

The ‘Devolution Revolution’

8 DEVOLUTION DEALS AGREED SO FAR

COVERING

5CORE CITIES

20%POPULATION

Over £5 billion of new investment

• Devolution Deals devolve powers and funding to city regions or county-regions to support local economic growth and regeneration

• Key policy areas devolved include:• Consolidated transport budgets• Single “place-based” funding pots • Power to franchise bus services • Long term investment funds• Adult skills funding from 2018 • Greater local control of unemployment

programmes. • Piloting of business rate retention

• Nearly 33% of England’s population lives in a deal area or Greater London

• All deals agreed so far, apart from Cornwall’s, will establish directly-elected Mayors in 2017

• Other city and county-regions have proposed deals – including: Leeds City Region; the Solent and Nottinghamshire & Derbyshire

Tees Valley

Liverpool City Region

West of England

West Midlands

Sheffield City RegionGreater Manchester

Cornwall and the Isles of Scilly

Cambridgeshire & Peterborough

The 10 pillars

What should local partners think about?

1. What are the clusters and specialisms and key local institutions (for example universities or infrastructure hubs) that can be built on in your area?

2. What opportunities can you take from the Green Paper’s emphasis on local growth (for instance, aligning central government infrastructure investment with local growth priorities)?

3. How can you use the current local growth agenda and Strategic Economic Plans to develop your thinking?

4. As local institutions, how can you spread best practice and become even stronger agents for local economic growth?

Housing Infrastructure Fund

The £2.3bn Housing

Infrastructure Fund will be

allocated to local government

on a competitive basis, provide

infrastructure targeted at

unlocking new private house

building in the areas where

housing need is greatest.

(Autumn Statement)

Pan Regional Scale: The Northern Powerhouse and

Midlands Engine

Midlands Engine• West Midlands Deal—covering all or

part of 3 LEPs—and Greater Lincolnshire Deal

• Transport: £5 million to Midlands Connect to develop a long term transport strategy and investment plan. Working towards a Subnational Transport Body

• Trade and Investment: A package to promote the region’s strengths and opportunities

• Midlands Engine Investment Fund:Over £250 million to enable SMEs to access finance to deliver growth. Subject to £80m ERDF

• Science: £60 million Energy Research Accelerator and £14 million to support Birmingham STEAMhouse to develop a creative innovation centre at Digbeth

Northern Powerhouse • 4 Devolution Deals: Greater Manchester,

Liverpool City Region, Tees Valley, and Sheffield City Region

• Transport: The Government is investing £13 billion in transport in the North during this Parliament and has established Transport for the North

• Trade and Investment: The Government has created a Northern Powerhouse investment portfolio highlighting £24 billion potential foreign direct investments in the North

• Northern Powerhouse Investment Fund. Over £400 million to support SMEgrowth. Subject to £140m ERDF.

• 17 Enterprise Zones helping attractnearly 9,000 jobs since 2012

• Science: The Government issupporting the £235 million Sir Henry

Royce Institute

The joint DCLG-BEIS Cities and Local Growth Unit have supported delivery of wider cross-Government regional growth programmes:

A range of funding sources are available to support regeneration and growth in places:

Funding for Regeneration and Local Growth

Local Growth Fund: £12bn Local Growth Fund (2015-16 to 2020-21) announced in 2013. £7.7bn already awarded to Local Enterprise Partnerships through Growth Deals;

European Funding: 2014 to 2020 European Structural Investment Fund Growth programme worth approximately £5bn;

Smaller Targeted Funding Programmes - Coastal Communities Fund, High Streets, Growth Hubs.

Devolved Budgets through Devolution Deals. Devolution Deals take national budgets and put them under control of an elected mayor (or combined authority). Some deals have included a dedicated investment fund;

Infrastructure Improvements Supporting Regeneration and Growth - High Speed Two

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HS2• First new rail line north of

Birmingham in 120 years • 350 miles in total• Services to 8 of our 10 largest

cities

Lessons for Future Regeneration Schemes

Power of branding: Her Majesty’s Government e.g. Enterprise Zones

Convening power: bringing parties including private sector together under the banner of a Government brand

Work with places and investors to deliver an integrated regeneration approach tackling housing, health, employment, skills and growth issues together

Focus on place not programmes, agree outcomes and fit programmes to tackle issues in a coherent way for each place

Consider need for continued/ new policy specific programmes to deliver breadth as well as depth of support for regeneration

Use public sector land and property assets more effectively (including housing) to deliver change in local areas.

Work in partnership with local communities to drive regeneration to improve social outcomes and deliver inclusive growth