Introduction David Ralph, HotSW LEP CEO
Hello and welcome to our February newsletter. As I write this, we are still in lockdown, but the situation is definitely looking brighter than it did a month ago. The Prime Minister has this week set out the roadmap out of lockdown and, whilst the timeline remains dependent on four tests being met, we can begin to look cautiously but hopefully towards a re-opening of all sectors and ending of the restrictions by late June.
Whilst Brexit is still not dominating the headlines because of COVID-19, and securing a trade deal before the end of the transition period helped the UK’s start to life outside the EU, the increased friction in trade is expected to reduce productivity and the long-term UK economy. The fishing sector is experiencing particular challenges. We are continuing to work closely with colleagues in Government, alongside partner and business organisations, to find resolutions and ensure that affected businesses have adequate support.
In the short-term, the HotSW LEP’s focus continues to be on supporting businesses through this period; however, we are also working hard with partners from across the area on recovery plans. For the long-term economic recovery and sustained future growth, we must ensure that progress is made on tackling the underlying structural challenges in the South West. You can get a snapshot of the situation in our area’s economy and outlook for 2021 in our newly released quarterly business bulletin – see more about it later in the newsletter.
We are currently taking a deep dive look at the particular issues for our tourism and hospitality sectors and supporting supply chains, who have been so affected by COVID-19. We are continuing to work closely with partners at our neighbouring LEPs in Cornwall and Dorset through our joint Great South West initiative, and have set out a re-opening and recovery plan for these sectors. At the Great South West All Party Parliamentary Group meeting earlier this month, we asked our MPs to lobby the Chancellor to support our plan for a GSW Tourism Zone.
The last couple of weeks have been filled with positive news of work getting underway for many of the 24 projects across our area, which have been supported by the LEP’s Getting Building Fund. We received an allocation of £35.4m from Government for this fund – the highest allocation in the South West. You can read more about some of the exciting projects and benefits they’ll bring below.
The HotSW LEP has also supported two Freeport proposals submitted to the Government in the last couple of weeks. One of these is for Plymouth and South Devon and includes Oceansgate, Sherford and Langage Industrial Estate, and estimates that it would create 1,000 jobs in the first year and up to 9,000 over ten years, with over 70 businesses benefitting.
The other Freeport proposal is in partnership with the West of England Combined Authority for the Great Western Freeport, which covers the West of England and comes all the way down to the Gravity Enterprise Zone. This is estimating the creation of up to 50,000 jobs in the region with an economic return of £6bn a year. The Government is expected to make a decision on the successful ten proposals out of the 30 submitted in March.
We are also going through the final stages of consultation on our Build Back Better Plan, which takes our Local Industrial Strategy that was published in November 2020 and sets out in more detail how we will deliver the opportunities and respond to the impact of COVID-19. We expect to be publishing the final version of the plan in the next few weeks. In the meantime, you can view the draft plan on our website on our COVID Response page.
Finally, we are poised to see what the Chancellor will announce in the Budget on 3 March; it is important that there is a phased removal of the existing Government schemes rather than any cliff-edge and more details are expected on the Shared Prosperity and Levelling Up funds. These will be key tools for our area to realise the ambition in Building Back Better.
David Ralph
Chief Executive
HEART OF THE SOUTH WEST LEP PUBLISHES WINTER BUSINESS BULLETIN 2020/21
Whilst the need to support businesses in the short-term remains essential, progress must also be made to tackle the longer-term underlying structural challenges in the South West to protect it from future crises – that is one of the over-riding summations from the Heart of the South West LEP’s latest quarterly Business Bulletin.
Key data and intelligence are brought together in this document from a range of leading business organisations representing over 25,000 businesses in the Heart of the South West area – approximately a third of the total number of businesses here. Other sources include the Heart of the South West Growth Hub, the Office for National Statistics, Oxford Economics, and the Bank of England.
HEART OF THE SOUTH WEST LEP PUBLISHES WINTER BUSINESS BULLETIN 2020/21
Whilst the need to support businesses in the short-term remains essential, progress must also be made to tackle the longer-term underlying structural challenges in the South West to protect it from future crises – that is one of the over-riding summations from the Heart of the South West LEP’s latest quarterly Business Bulletin.
Key data and intelligence are brought together in this document from a range of leading business organisations representing over 25,000 businesses in the Heart of the South West area – approximately a third of the total number of businesses here. Other sources include the Heart of the South West Growth Hub, the Office for National Statistics, Oxford Economics, and the Bank of England.
£21M BOOST TO THE HEART OF THE SOUTH WEST AREA’S ECONOMY
A dozen projects across Devon, Somerset, Plymouth and Torbay with funding of around £21m from the Heart of the SW LEP’s Getting Building Fund allocation have now been contracted and are ready to go live.
The HotSW LEP secured a total funding allocation of £35.4m last summer – the highest allocation in the South West – from the Government’s Getting Building campaign, designed to restart the economy. Shovel-ready projects were chosen that had a solid business case in place, would create new jobs and contribute to a green recovery.
The other 12 projects that secured the remaining £14m Getting Building funding from the LEP’s allocation are expected to be contracted and go live in the Spring.
NEW SCHEME LAUNCHED TO IMPROVE MOBILE PHONE COVERAGE
Mobile phone coverage in some of the most rural areas of Devon and Somerset is set to be improved under a new scheme.
Connecting Devon and Somerset (CDS) has launched the roll out of its new “Mobile Booster” scheme, aimed at small businesses and households in rural communities who currently have inadequate coverage, have access to only one provider and who are currently struggling with connectivity.
The initiative, which is being funded through the Heart of the South West Local Enterprise Partnership’s (HotSWLEP) Growth Deal, will offer vouchers worth £800 to enable selected premises to purchase a wireless mobile signal booster in order to improve their 4G coverage.
MAJOR FUNDING ANNOUNCED FOR PLYMOUTH
Almost £7m will be pumped into Plymouth to help exciting new construction projects get off the ground in 2021.
The Heart of the South West Local Enterprise Partnership announced it will be allocated money from the government’s Getting Building Fund to invest in major infrastructure projects to support economic growth across the city.
Working in partnership with Plymouth City Council and local businesses, it is expected that this investment will create or safeguard more than 80 jobs or apprenticeships.
The projects, chosen after a robust selection process, will play an important role in Plymouth’s economic recovery programme, Resurgam, by supporting employment, regeneration, skills and innovation in the region.
GROWING DEMAND FOR LABORATORY SPACE PROMPTS EARLY COMPLETION OF SPECIALIST CENTRE
An innovative £6.6 million building has opened ahead of schedule at Exeter Science Park to meet growing demand for office and laboratory space from South West STEMM businesses.
The 20,000 square foot Ada Lovelace Building, just off Junction 29 of the M5, will be let to various companies in the science, technology, engineering, maths and science (STEMM) sectors.
The development will bring new jobs to Exeter and will help to drive productivity and economic growth. Situated over three floors, its internal workspaces can be reconfigured to suit the needs of tenants. It will also be net-zero-carbon for operational energy as a result of design features including 44kw solar voltaic roof panels.
There are currently around 500 people employed by the tenant businesses at Exeter Science Park and projections forecast a seven-fold growth over the next 15 years, taking employee numbers to 3,500 by 2035.
DIGITAL SKILLS PARTNERSHIP (DSP) GOOGLE DIGITAL GARAGE WEBINARS
The Heart of the South West LEP is working with the Department for Digital, Culture, Media and Sport and other regional LEPs to deliver a series of webinars to improve digital skills.
Through the DSP, individuals and businesses can attend free webinars led by the Google Digital Garage team as they discuss the essential skills for getting your business moving online.
FREE GROWTH SUPPORT PROGRAMME CONTINUES FOR LOCAL BUSINESSES
Sole traders, micro-businesses and limited companies based in Devon and Somerset, including Plymouth & Torbay, can register for the Growth Support Programme. The programme continues to offer up to 12 hours of advice and guidance to businesses to help them adapt to new challenges and opportunities, including how to make the most of the potential of digital.
GUIDANCE FOR BUSINESSES POST-BREXIT
Now that the UK has left the EU and the transition period has ended, there are new rules for businesses that do business with the EU. If you’re not sure what you need to do, visit the Heart of the SW Growth Hub’s website for information, webinars and business guides.
NEWSLETTER ROUND-UP
- Links to latest newsletters published by our teams:
