Local Enterprise Partnerships bring the private sector and civic leaders together at the level of the functional economy. Experience from cities with similar arrangements outside the UK demonstrates that they can be highly effective in building competitiveness, investor confidence and a global profile.
The creation of LEPs enables decisions to be taken at the right level on key issues for business such as infrastructure, trade and inward investment and the labour market. The LEP’s governance structure means businesses are able to lead and drive the agenda.
LEPs have the scale to engage effectively with government – Leeds City Region is the largest functional economic area outside London, with a population of more than 3m and more than 100,000 businesses. We are finalising a deal with government leading to the proposed transfer of powers and resources to the partnership.
Leeds City Region was the first LEP in the country to have a strategic plan in place. We quickly achieved agreement on the location of an Enterprise Zone capable of generating funds for reinvestment across the whole of the City Region. In terms of investment resources, we have now attracted £60m in a Regional Growth Fund to support private sector job creation and are working with businesses to attract further resources in round three of the programme.
The LEP secured £36m for our Growing Places Fund to invest in critical infrastructure, and has already made an initial tranche of this available to support proposals from the private sector.
The partnership is at an advanced stage in developing a City Region Infrastructure Fund.
Campaigns underway
We have business campaigns underway on skills and international trade aimed at boosting business competitiveness and ensuring our young people have opportunities.
We are working closely with government business support providers to promote business growth and we are working with other Northern City Regions on key transport projects critical to the future of our economy such as High Speed 2, the Northern Rail Hub and devolution of the Northern Rail franchise.
Inward investment I know will be of interest to the property sector. Over the last six months the City Region has been working with key businesses and universities to develop its inward investment proposition. We have put in place a more streamlined approach to handling investment enquiries. The 11 districts now collaborate on inward investment, sharing leads and providing a single route in for potential investors.
We are competing for investment in a global market place. Our offer needs to be distinctive, setting us apart from competitors across the globe, capitalising on sectors in which we are genuinely globally competitive. Working closely with Marketing Leeds and Welcome to Yorkshire, we will enhance the global profile of the City Region.
Where it makes sense to do so, we are also collaborating with other LEPs. Leeds and Sheffield City Regions are home to one of the largest medical devices clusters in the world, which includes Leeds University’s Institute of Medical and Biological Engineering. The two City Regions will be working together to seek investment from this fast-growing sector at a global conference in the US in June.
I recognise that the last few years have been tough for the property sector, mirroring the economy as a whole. Despite that we are still seeing some high-profile investments in the region, deals are still being done and growth in the sector, albeit slow, is expected over the next few years. There is every cause for optimism that the City Region will be among the first to see sustained recovery.
Neil McLean will be speaking at the Unfold Leeds event at Leeds Town Hall in October.
