GREATER BIRMINGHAM AND SOLIHULL LOCAL ENTERPRISE PARTNERSHIP BOARD MEETING. Tuesday 5 June LEP Board meeting 9.30am to 12.

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1 GREATER BIRMINGHAM AND SOLIHULL LOCAL ENTERPRISE PARTNERSHIP BOARD MEETING th Tuesday 5 June 2018 LEP Board meeting 9.30am to 12.00pm Location: Deloitte, Four Brindleyplace, Birmingham B1 2HZ AGENDA Item Time Owner Subject Pre Read Presenter Purpose of the Report Chair Welcome and Apologies N/A Tim Pile To note attendance and apologies LEP Executive Attached Tim Pile LEP Board Notes / Matters Arising st 21 March Review of Agreed Actions Attached Tim Pile LEP Executive Forward Plan Attached Tim Pile To agree notes of the last meeting and any matters arising To note progress against agreed actions To agree Forward Plan LEP Executive Director s Report Attached Roger Mendonça To note focus of the Executive team and progress against KPIs EZ Executive Board Enterprise Zone Investment Plan Attached Roger Mendonça Note the report with regard to the purpose of the Enterprise Zone (EZ, the programme management arrangements in place to oversee it, and the background to the Paradise scheme Programme Delivery Board Growth Programme Attached Tom Fletcher To provide a progress update following financial year end and Programme achievements to date LEP Board Local Industrial Strategy Verbal Paul Edwards To discuss the emerging Local Industrial Strategy, its implications for GBSLEP and next steps

2 Item Time Owner Subject Pre Read Presenter Purpose of the Report LEP Board Delivery Plans Attached Paul Edwards To note progress on the development of draft delivery plans and to endorse the interventions highlighted LEP Board Towns and Local Centres Framework Attached Paul Edwards To note the final draft Framework and to agree with recommendations LEP Board Housing Framework Attached + presentation Simon Marks To note the final draft of the Housing Framework and to endorse the recommendations for GBSLEP to take forward LEP Executive Stakeholder Engagement Strategy Attached Paul Edwards To endorse proposed direction of travel of stakeholder engagement and receive a stakeholder engagement plan based on these principles at the July Board meeting LEP Board LEP Review, Accountable Body, Programme Management Levy and Formal Governance Return Attached Nick Glover To update on LEP Review, note progress in formalising accountable body arrangements, agreement of Programme Management Levy, and to note Formal Governance Return AOB N/A

3 Item 2 GREATER BIRMINGHAM AND SOLIHULL LOCAL ENTERPRISE PARTNERSHIP BOARD MEETING Wednesday 21st March 2018 The Founders room, National Memorial Arboretum, Croxall Road, Alrewas, Burton-on-Trent, DE13 7AR DECISIONS ACTIONS 1 Subject Decision Welcome and Apologies The Chair, Tim Pile thanked the National Memorial Arboretum for hosting the Board and welcomed all present. Action Timescale Owner Sarah Montgomery, Managing Director of the National Memorial Arboretum, welcomed the Board to the venue. The Board noted that this would be Andrew Cleaves final Board meeting. The Chair commended and thanked Andrew for all of his contributions to the Board in both skills and transport agendas. Andrew Cleaves thanked the LEP Executive for their support to him as a Director and wished the Board well in future. 5 June The Chair noted that the Enterprise Zone agenda item has been postponed until the June Board. Enterprise Zone to present an update at the June Board EZ Executive Board The Chair noted apologies from: Stella Manzie, Interim Chief Executive, Birmingham City Council Pat Hanlon Cllr George Adamson, Leader, Cannock Chase Council 1

4 Item 2 Subject Decision 2 3 Action Timescale Owner West Midlands Growth Company to bring their Inward Investment Strategy to the June Board. 5 June LEP Executive with Cllr Gordon Alcott as alternate Mike Hopkins, Principal, South City College Birmingham with Dawn Ward as alternate Professor Sir David Eastwood, Vice Chancellor, University of Birmingham Roger Mendonça, GBSLEP Director Notes / Matters Arising from the last meeting 1st February 2018 The Board agreed the Decisions and Actions Note from the last Board meeting. Review of Agreed Actions The Board noted that the West Midlands Growth Company will bring their Inward Investment Strategy to the June Board With investment in Symphony Hall being considered by GBSLEP and noted as a pipeline project under item 10, Anita Bhalla declared an interest in Symphony Hall as a Director of Performances Birmingham Ltd. Anita took no part in the discussion. The Board noted that arrangements were on-going for the organisation of a Dinner with MPs on the 1th April, hosted by Professor Sir David Eastwood. The Board noted that all required Appointment of Bankers forms and Personal Details forms have been received from Board Directors, but not yet from all Company Members. 2

5 Item 2 4 Subject Decision Action Timescale Owner Board Forward Plan The Chair requested that Board members consider items that need to be placed on the Forward Plan and inform the LEP Executive. LEP Executive to liaise with Chair and Deputy Chair to update the Forward Plan before each Board meeting. Ongoing LEP Executive Board Directors to suggest items for inclusion on the Forward Plan and inform the LEP Executive. Ongoing Board Directors The Board noted that Ian Reid has been appointed as the Acting Chief Executive for the Commonwealth Games Organising Committee and that there would be another four independent non-executive positions on the Organising Committee. Cllr Ian Ward to present Commonwealth games update in July. 19 July Cllr Ian Ward The Board agreed that a stakeholder engagement plan will be brought to the June Board meeting. Stakeholder engagement plan to be presented at June Board. 5 June LEP Executive The Chair noted that the next Board meeting will be held immediately following the Annual General Meeting on the 5th June Director s Report The Board noted the Director s Report which presented the focus of the Executive team, achievements and issues since the last Board meeting. The Chair summarised the KPI report, noting that GVA has grown by 2.9% in 201 and that growth has been especially strong in the Districts. 3

6 Item 2 Subject Decision Local Industrial Strategy The Board noted progress on the development of a Local Industrial Strategy led by the West Midlands Combined Authority and working with the Black Country and Coventry and Warwickshire LEPs. Action Timescale Owner LEP Board The Board received a verbal update on progress to date and provided input into development of the Strategy. The Board agreed that the following points should be reflected in the Local Industrial Strategy process: LEP Executive to ensure that these points are included in the development of the Strategy. September 2018 LEP Executive ensure that the language consistently reflects engagement with Districts; an emphasis on comparative advantages for the GBSLEP compared to other Core City LEPs, as well as comparable cities abroad; and that BEIS involvement in the process was crucial. The Board agreed that there would be a September update on Wellbeing and its contribution to economic growth and prosperity. Cllr Bob Sleigh to update Board on Wellbeing in September Cllr Bob Sleigh 13 September 7 Towns and Local Centres Framework The Board received a verbal update on the production of a Towns and Local Centres (TLC Framework. The Board agreed the overall direction of the proposed criteria for investment in towns and local centres, and to delegated authority to the Director for Optimising Assets to complete this work (through the Task Finish Group. TLC Framework to be finalised through the Task Finish Group 22 May Simon Marks The Board agreed the overall direction of the actions and recommendations for GBSLEP to take forward, and 4

7 Item 2 Subject Decision Action Timescale Owner The Board noted that both of the above will involve consultation with Local Authority Chief Executives and Place Board members. Consultation with key stakeholders to be undertaken 4 May LEP Executive The Board noted that the final report will be prepared for the next LEP Board meeting in June Final report to be circulated to the Board as soon as complete. 22 May Simon Marks LEP Executive to present the outstanding draft Delivery Plans to the relevant Pillar Boards prior to the June Board. 5 June LEP Executive LEP Executive to present outstanding draft Delivery Plans at the June Board 5 June LEP Executive LEP Executive to produce short briefing paper outlining how the research funding is changing across the different sectors. 5 June LEP Executive delegated authority to the Director for Optimising Assets to complete this work (through the TF Group. The Board noted that, following Board approval, investment decisions for SEP Enabling Fund TLC projects can follow shortly after. 8 Delivery Plans Future Focus of the LEP The Board received and provided detailed commentary on draft Delivery Plans for four of the high growth sectors identified through the Future Focus work. 5

8 Item 2 9 Subject Decision Action Timescale Owner Young People NED Strategy Sophie Drake presented the Young People NED Strategy. Sophie Drake to meet with Wyre Forest ReWyre, a business-led initiative that encourages aspiration. 5 June Sophie Drake Dawn Ward to meet with Sophie to discuss the Young People KPI s and the approach to engagement with parents. 5 June Dawn Ward / Sophie Drake Sophie to discuss the link to Business Future Talent Network with Mike Lyons 5 June Sophie Drake The Board discussed and agreed the activity outlined in the Young People Non-Exec Director s Engage, Educate and Excite delivery plan.

9 Item 2 Subject 10 Programme Delivery Board Decision Action The Board noted: Tom Fletcher to circulate updated Growth Programme Delivery the current programme status following review of Board Paper. Quarter 3 Project Management Reports; the investment decision in the Birmingham Dance Hub made under delegated authority; the anticipated financial slippage across the programme for the 2017/18 financial year; the continuation of projects reviews by the Programme Delivery Board (PDB; and the governance arrangements of the Growing Places Fund are being reviewed with a view to it falling within the remit of the PDB. Timescale Owner Before June board Programme Delivery Board LEP Board The Chair requested that Board members visit project sites and report back about visits during future Board meetings. This would be a new standing item. 11 SEP Enabling Fund The Board noted an overview of funding allocations made by the SEP Enabling Fund and reviewed progress to date. 12 Governance Review The Board noted the matters arising from the Annual Conversation, Deep Dive and Best Practice Guidance. The Board agreed to delegate authority to the Nominations Governance Committee to oversee the Governance Review and the Review of Accountable Body arrangements. Board directors to highlight and visit projects of interest and report back about their visits in future Board meetings. Ongoing Final report to Board in June. 5 June Nominations Governance Committee 7

10 Item 2 Subject Decision Action Timescale Owner The Board agreed that Clive Heaphy, Section 151 Officer of Birmingham City Council, will assume the role of GBSLEP s Company Secretary. Clive to be provided with relevant paperwork to assume the role. April LEP Exec Board Directors to feedback to Nick Glover about draft Finance and Legal services Joint Working Protocol. 30 March Board Directors The Board noted the submission of the application for 500,000 from the Core Fund, and that financial pressures on the Executive remain. The Board noted the draft Finance and Legal Services Joint Working Protocol. 13 Any Other Business The Board wished Chris Loughran a successful term as High Sherriff of the West Midlands. The Board thanked Andrew Cleaves again for his work with the GBSLEP on his final Board attendance. The Board noted that Stella Manzie will be stepping down from Birmingham City Council and stepping down from the Board on 31st March FUTURE LEP BOARD MEETING DATES: Tuesday 5th June 2018, 12:30 15:00 (Venue TBC 8

11 Item 2 Subject Decision Action Timescale Owner Thursday 19th July 2018, 9:30 12:00 (Safari Academy, West Midlands Safari Park, Springhill Rise, Bewdley DY12 1LF Thursday 13th September 2018, 9:30 12:00 (Club England Suite, St George s Park Newborough Road, Needwood, Burton upon Trent DE13 9PD Thursday 22nd November 2018, 9:30 12:00 (Trowers Hamlins LLP, 10 Colmore Row, Birmingham, B3 2QD 9

12 Item 3 ACTIONS LOG The Actions Log is a record of actions agreed upon to support Board decisions. It provides an indication of the progress made against each action. Board Date Agenda Action Agreed Item Number Owner(s Date due for completion Status Date Completed Progress update 01/02/ Mapping activities to complement strategy development related to the changing political geography of the region to be undertaken. Paul Edwards 22nd March 2018 Ongoing Individual delivery plans reflect mapping against ongoing activities of WMCA + WMGC. This action is ongoing as delivery plans are developed. 01/02/ Executive to liaise with Chair and Deputy Chair to update the Forward Plan before each Board meeting. LEP Executive Ongoing Ongoing Standing Action 01/02/ Board Directors to suggest items for inclusion on the Forward Plan. LEP Executive Ongoing Ongoing Standing Action

13 Item 3 01/02/ Dinner with MPs to be arranged in order to facilitate con Sir David Eastwood / Executive 1th April 2018 In Progress Given the challenges in arranging a dinner, Tim has been meeting individual MPs on a 1:1 basis 01/02/ Recommendation to be circulated for decision by written procedure related to the University Station project LEP Executive 31rd March 2018 Ongoing University Station project investment decision will be postponed until the July Board 01/02/ Board Directors and Company Members will be required to complete the Personal Details form and return to the LEP Executive. Board Directors / Company Members / LEP Executive 21st February Ongoing Complete. The Executive has written out to Directors requesting any updated information, with a new deadline of 1 June. 01/02/ LEP Director, Head of Strategy and Head of Delivery to complete the Appointment of Bankers form LEP Director / Heads of Strategy Delivery 21st February On hold This is on hiatus pending the outcome of the LEP Review and the LEP s future operating model. 21/03/ Papers regarding Towns Local Centres and the LEP 5th June Complete June update to complete action

14 Item 3 Housing Framework from 13the Place agenda to be presented to the Board. Executive /03/ Enterprise Zone to present an update at the June Board Enterpris e Zone Executive Board 5th June Complete Update at June Board to complete action. 21/03/ West Midlands Growth Company to bring their Inward Investment Strategy to the June Board. West Midlands Growth Company 5th June Ongoing This will be brought to the July Board 21/03/ Cllr Ian Ward to present Commonwealth games update in July. Cllr Ian Ward 19th July Ongoing Cllr Ward to present update at July Board 21/03/ Stakeholder engagement plan to be presented at June Board. LEP Executive 5th June Complete 21/03/ LEP Executive to ensure Local Industrial Strategy is updated with the input from March Board meeting. LEP Executive September 2018 Ongoing 5th June Report presented at June Board to complete action Paul Edwards will update verbally on progress in Board meeting

15 Item 3 21/03/ Cllr Bob Sleigh to update Board on Wellbeing in September Cllr Bob Sleigh 13th September Ongoing 21/03/ Towns and Local Centres Framework to be finalised through the Task Finish Group Simon Marks 22nd May Complete 23rd April Final draft TLC Framework to be presented at Board on 5th June 21/03/ Consultation with Local Authority Chief Executives and Place Board members to be undertaken in development of Towns and Local Centres Framework LEP Executive 4th May Complete 22nd May Place Board consultation took place on 1 April, Chief Execs on 8 March and 22nd May 21/03/ Final Towns and Local Centres Framework to be circulated to Board as soon as complete Simon Marks 22nd May Complete 29th May Final Framework paper to be circulated with Board papers on 29th May 21/03/ LEP Executive to present outstanding draft Delivery Plans at the June Board LEP Executive 5th June Complete 5th June Outstanding Delivery Plans will be presented at June Board 21/03/ LEP Executive to produce short briefing paper outlining how the research LEP Executive 5th June Ongoing Cllr Bob Sleigh to provide update on Wellbeing at September Board LEP Executive is mapping out funding sources for different sectors

16 Item 3 funding is changing across the different sectors. 21/03/ Sophie Drake to meet with Wyre Forest ReWyre, a business-led initiative that encourages aspiration. Sophie Drake 5th June 21/03/ Dawn Ward to meet with Sophie to discuss the Young People KPI s and the approach to engagement with parents. Dawn Ward/Sop hie Drake 5th June Not Complete 21/03/ Sophie to discuss the link to Business Future Talent Network with Mike Lyons Sophie Drake 5th June Ongoing 21/03/ Tom Fletcher to circulate updated Growth Programme Delivery Board Paper. Tom Fletcher 5th June Complete 21/03/ Board directors to highlight and visit projects of interest and report back about their visits in future LEP Board Ongoing Ongoing 25th May Sophie Drake held call with ReWyre Sophie Drake arranged a suitable date to discuss the project with the lead private sector org involved before factoring into strategy Sophie Drake liaising with HS2 Talent Network for a suitable date to meet 28th March Paper circulated along with Decisions and Actions note following March Board.

17 Item 3 Board meetings. 21/03/ Governance Review final report to be presented at June Board Nominati ons Governan ce Committe e 5th June Ongoing A paper is on today s agenda, although the recommendation is that the governance review is placed on hold until the outcomes of the LEP Review are known. 21/03/ Clive Heaphy to be provided with relevant paperwork to assume the role of GBSLEP Company Secretary. LEP Executive th April Ongoing APO3 filed at Companies House. LEP Executive awaiting Register of Interests form. 21/03/ Board Directors to feedback to Nick Glover about draft Finance and Legal services Joint Working Protocol. LEP Board 30th March Complete 30th March The final Protocol is included on June Board agenda.

18 GBSLEP Board Forward Plan Item Purpose Owner Item 4 Lead officer Standing item/regular item/ Ad hoc item 19 July 2018 Review of agreed actions To review progress against agreed actions from LEP Board previous Board meetings Paul Edwards Standing item Director s Report To raise and discuss headline business on the LEP Director agenda, and to note performance against KPIs Roger Mendonça Standing item Local Industrial Strategy To discuss the emerging Local Industrial Strategy, its implications for GBSLEP and any next steps WMCA SEP Board Paul Edwards Standing item SEP Delivery Plans To review the Delivery Plans Pillar Boards Paul Edwards Standing item Growth Hub Next Phase To approve the recommended preferred option for the next phase of Growth Hub delivery and to approve conditional funding allocation for the University Station project. Business Innovation Pillar Board Paul Edwards Ad hoc item Commonwealth Games Update To provide an update on plans to host the Commonwealth Games Birmingham City Council Cllr Ian Ward Ad Hoc West Midlands Growth Company Inward Investment Strategy European Structural and To receive an update on progress and delivery ESIF Sub-Committee Paul Edwards, Lloyd Ad hoc item Broad (Birmingham City

19 GBSLEP Board Forward Plan Investment Funds of European Structural and Investment Funds Item 4 Council Regional Energy Strategy and Energy Innovation Zones GBSLEP Operating Budget Ad hoc item To approve the GBSLEP Operating Budget for 2018/19 and 2019/20 LEP Board Governance LEP Review Nick Glover Regular item (annual Nick Glover To note the LEP Review LEP Board Ad Hoc 13 September 2018 Review of agreed actions To review progress against agreed actions from LEP Board previous Board meetings Paul Edwards Standing item Director s Report To raise and discuss headline business on the LEP Director agenda, and to note performance against KPIs Roger Mendonça Standing item Growth Programme To update on Growth Programme progress Programme Delivery Board Tom Fletcher Standing item Local Industrial Strategy To discuss the emerging Local Industrial Strategy, its implications for GBSLEP and any next steps WMCA SEP Board Paul Edwards Standing item SEP Delivery Plans To review and endorse the Delivery Plans Pillar Boards Paul Edwards Standing item

20 GBSLEP Board Forward Plan Enterprise Zone Investment Plan To note the progress of and agree any amendments to the Enterprise Zone Investment Plan EZ Executive Board Wellbeing Update Item 4 Richard Cowell Regular (quarterly Cllr Bob Sleigh Ad Hoc Thursday 22 November Review of agreed actions To review progress against agreed actions from LEP Board previous Board meetings Paul Edwards Standing item Director s Report To raise and discuss headline business on the LEP Director agenda, and to note performance against KPIs Roger Mendonça Standing item Growth Programme To update on Growth Programme progress Programme Delivery Board Tom Fletcher Standing item Local Industrial Strategy To discuss the emerging Local Industrial Strategy, its implications for GBSLEP and any next steps WMCA SEP Board Paul Edwards Standing item SEP Delivery Plans To review and endorse the Delivery Plans Pillar Boards Paul Edwards Standing item Annual Review To reflect on the AGM and the past year LEP Board Roger Mendonça Ad hoc item Paul Edwards Standing item Thursday 24 January 2019 Review of agreed actions To review progress against agreed actions from LEP Board

21 GBSLEP Board Forward Plan Item 4 previous Board meetings Director s Report To raise and discuss headline business on the LEP Director agenda, and to note performance against KPIs Growth Programme To update on Growth Programme progress Local Industrial Strategy Roger Mendonça Standing item Programme Delivery Board Tom Fletcher Standing item To discuss the emerging Local Industrial Strategy, its implications for GBSLEP and any next steps WMCA SEP Board Paul Edwards Standing item SEP Delivery Plans To review and endorse the Delivery Plans Pillar Boards Paul Edwards Standing item Enterprise Zone Investment Plan To note the progress of and agree any amendments to the Enterprise Zone Investment Plan EZ Executive Board Richard Cowell Regular (quarterly Thursday 21 March 2019 Review of agreed actions To review progress against agreed actions from LEP Board previous Board meetings Paul Edwards Standing item Director s Report To raise and discuss headline business on the LEP Director agenda, and to note performance against KPIs Roger Mendonça Standing item

22 GBSLEP Board Forward Plan Item 4 Growth Programme To update on Growth Programme progress Programme Delivery Board Tom Fletcher Standing item Local Industrial Strategy To discuss the emerging Local Industrial Strategy, its implications for GBSLEP and any next steps WMCA SEP Board Paul Edwards Standing item SEP Delivery Plans To review and endorse the Delivery Plans Pillar Boards Paul Edwards Standing item Thursday June 2019 Review of agreed actions To review progress against agreed actions from LEP Board previous Board meetings Paul Edwards Standing item Director s Report To raise and discuss headline business on the LEP Director agenda, and to note performance against KPIs Roger Mendonça Standing item Growth Programme To update on Growth Programme progress Programme Delivery Board Tom Fletcher Standing item Local Industrial Strategy To discuss the emerging Local Industrial Strategy, its implications for GBSLEP and any next steps WMCA SEP Board Paul Edwards Standing item SEP Delivery Plans To review and endorse the Delivery Plans Pillar Boards Paul Edwards Standing item

23 GBSLEP Board Forward Plan Item 4 GBSLEP Operating Budget To approve the GBSLEP Operating Budget for 2019/20 and 2020/21 LEP Board Nick Glover Regular item (annual Enterprise Zone Investment Plan To note the progress of and agree any amendments to the Enterprise Zone Investment Plan EZ Executive Board Richard Cowell Regular (quarterly

24 Item 5 GREATER BIRMINGHAM AND SOLIHULL LEP BOARD MEETING 5 June 2017 Director s Report Recommendations Board Directors are asked to: 1. Note the Director s strategic update and the progress made against KPIs. Strategic Update Delivering real world change 1. The 2017/18 LGF outturn figure of over 91% (201/17: 32% demonstrates that the proactive management arrangements for the delivery programme, introduced last year and overseen by the Programme Delivery Board, are now functioning effectively. As set out in the Growth Programme report elsewhere on the agenda, this is translating into real projects delivering real positive economic change on the ground for the benefit of our communities. The early forecast for 2018/19 is that we will spend well over 100% of the year s allocation even taking slippage into account. This puts us in an excellent position to attract even more resources into the area from external sources. 2. Also on the agenda is an update from Birmingham City Council on the Enterprise Zone (EZ and, in particular, the Paradise scheme. This is an opportunity for Directors to remind themselves of the purpose of the EZ, the programme management arrangements and to consider progress before a revised Investment Programme is brought to the July Board for approval, alongside an expected request for additional investment in Paradise. 3. A West Midlands bid for the Channel 4 headquarters was submitted on Friday 11 May. This identified locations in Birmingham and Coventry as potential sites for the headquarters building. GBSLEP contributed 25k towards the development of the bidding document. An announcement on shortlisted bids is expected on 31 May. If the West Midlands is shortlisted, our intention is to provide additional resource in support of the Birmingham proposals. 4. The Annual Conference will be a key opportunity for GBSLEP to demonstrate the difference it is making to the economies and communities of the Greater Birmingham and Solihull area. This is scheduled to take place on 2 September at The Rep in central Birmingham. Invitations are due to be issued shortly. 29/05/18 1 of 3

25 Item 5 Readiness for the future 5. Approval is being sought for the last batch of thematic/sectoral Delivery Plans. These Delivery Plans will provide clarity on the actions GBSLEP will be taking over the next few years to support the achievement of the economic objectives set out in the Strategic Economic Plan (SEP and the emerging Local Industrial Strategy (LIS for the West Midlands.. There are four continually evolving corporate documents that support the Delivery Plans: Project Pipeline. This was developed following the Growth Deal 3 bid to set out how we will invest our programme resources, and is reviewed every six months to ensure it remains relevant. An update will be provided at the September Board meeting. Resourcing Plan. This sets out how we will fund the Delivery Plans. An update will be provided at the July Board meeting. Stakeholder Engagement Strategy. This sets out who we need to work with, how and when to achieve our Delivery Plan objectives, and is on the agenda for this Board meeting. Governance Plan. This sets out how our systems and processes will work to maximise our ability to achieve our Delivery Plans objectives, to demonstrate transparency and to give assurance that value for money is being achieved. Proposals around the relationship with the Accountable Body are on the agenda for this Board meeting. Proposals for wider governance arrangements are likely to be brought to the September Board, following the publication of the LEP Review. Governance 7. The Government s Review of LEPs is expected to be published in July. Key issues expected to be covered are role, long-term funding, corporate form, assurance and transparency, geography and relationships with Mayoral Combined Authorities. Further updates will be provided at the July Board meeting. 8. Work is ongoing with the Accountable Body (AB to tackle the issues with their performance raised by Government in the Deep Dive and Annual Conversation. The view of the Executive is that the s151 Officer has made good progress addressing the points that had been made. This view was endorsed by Stephen Jones, Director of the Cities and Local Growth Unit, when he met with the LEP Director on 23 May. A more detailed paper is on the agenda for discussion at this Board meeting. 9. The Mayor recently consulted on plans for the future governance of the West Midlands Fire Service. The Deputy Chair responded on behalf of GBSLEP. A copy is attached at Appendix A. 29/05/18 2 of 3

26 Item 5 KPIs 10. Between January and April 2018, the claimant rate for GBSLEP has increased from 4.0% to 4.%. This coincides with a national increase in unemployment from 2.4% to 2.8%. The claimant count rate gap between the GBSLEP and the Core City LEP average has grown slightly from 0.8% in January to 1.0% in April. The unemployment rate in Birmingham (.9% is significantly higher than for the Districts average (1.8%. 11. There is better news from the Enterprise Research Centre data: The number of start-ups between was 13,595, which is an increase of 4,417 since the figures. The number of start-ups per 10,000 of population has increased dramatically from 45.5 ( to 7.4 ( This has opened up a large 23.5 point gap compared to the Core City LEP average. Crucially, the start-up 3 year survival rate has increased by 2.9%, narrowing the gap with Core Cities by 1.8% points. The gap now stands at just -0.1%. Report by: Roger Mendonça, GBSLEP Director Contact: Roger.Mendonca@birmingham.gov.uk Date Created: 25 May /05/18 3 of 3

27 C hris Loughran Deputy C hair Greater Birmingham S olihull LE P Baskerville House C entenary S quare Birmingham B1 2ND GBS LE P@ birmingham.gov.uk Deborah C adman, OBE C hief E xecutive of the West Midlands C ombined Authority 1 S ummer Lane Birmingham B19 3S D 21st May 2018 Dear Deborah West Midlands F ire S ervice C onsultation I am writing on behalf of the Greater Birmingham S olihull Local E nterprise Partnership (GBS LE P with regards to the W est Midlands C ombined Authority (W MC A public consultation on the proposed future governance of the West Midlands F ire S ervice (W MF S. T he WMF S is an important organisation in our region and strives to make the West Midlands safer, stronger and healthier. It provides this service across the whole of our region. As described in the governance scheme document, the WMC A was selected as the preferred option for governance of the W MF S, using a wide range of evidence. I agree with the conclusion that the preferred option will aid more collaborative working across the region, linking local services and supporting the delivery of a shared vision across our region. Operating in this manner will also provide the basis for sensible cost containment and possible reduction, benefiting the taxpayer whilst maintaining an excellent standard of service to all our citizens. Y ours sincerely C hris Loughran Deputy C hair, Greater Birmingham and S olihull Local E nterprise Partnership

28 (% " $ # ' % # ( % % $,+," 1-3-% 1-+3 % + -. # "+ % $ /0 % 1 2% % ' $ 5 ( 7 0# ( ( ' ' ( /0 1," % 9 ' 9 (. : ; 0 8 ( 7/<'= ( 7 0# % 1+3-% '% # (5 ''3' % % + 3,. % 8 (5 9 # 5 ( '-" +''"+ 8 ( : 0 1+" + 9 # # 122, # 9 $ 7 8 $ 4 1'3 - ' = 3. = /0 ( % 8 ( 5 % ( $ # ( 7 % ' 0# < '3,' /0 9 + ; > ; -> ' '32. 5 $ $

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31 " # $ % % ' '-" % -. B # GBS LEP Pr ivate Sector Employment ( + +" +,. ' ', ' 3 + "3 " 4 /01#$% + ' 2, - 800,000 ' / 140, , , ,000 80, ,000-0,000 40,000 50, ,000 00, Change from Baseline? "., +- 1.,+ /01#$% Private Sector Jobs Milestones 900,000 % Total Private Sector Employment 850,000 40, ,000 30, ,000 20, ,000 50,000 10,000 00,000 0 Annual Job Growth Target Profile $ ( ,++ 3 #$% 3 + "3 +" 3 + "3 /01#$% " 4 +,, , + 7 ' # 4 +" + Actual Employment 3. " + ' ++ ' ( ' - # 50, # $% " ' # ( " $" % "" $ $$ ' ( ' % + + +, ,. #. #

32 " ( D # C % % ' $ 8%2 3, " + + " Decreased 12% $ +, ++", " 3 Increased 31% $ %2 4 / , +" 0, : 90:' 9 ; < 3 3 #$% 7, + +" ' % of firms reported an increase in labour force in Q2 Unchanged 59% Q % $ Q :,, 9, '' 4 3. ".,++ 3 3, 3, =, Difficulty Recruiting 0% 50% 40% 30% 20% 10% 0% Attempted to Recruit 4 Re sident Employment > + 920,000 ' 900, ,000 80,000 " Pre Recession Peak 840, , , , $ , +, , =,, " , +,. #$% 3 + " "3 4,3 #$% ' 3 + " " 7, - " , "3 #$%, "

33 $ /0 % 1 2% % ' 1+3-% /0 8 ( 3. B # GBS LEP Real GVA : + /?( /01#$%,, - /?(, ", " - " 3,, 7 +, + +" #$% 3 2 3,000 49,000 + ', 7 47,000 2,000 45,000 1,000 43, ,000-1,000 39,000-2,000 37,000 35,000-3, Total GVA ( m? 4 /?( ",,, , 3. /01#$% /?( 4,, 3, + +" + +- /?( 0 /?(, <, 0 3, ' 1 +,++ 3" Real GVA Milestones 70,000 1,800 1,00 1,400 1,200 1, ,000 0,000 55,000 50,000 45,000 40,000 35,000 $ Annual GVA Growth #( /?( " (, " A -, + - /?( 3 1 +,++ < #$%, /?( " Actu al GVA m + ( /0 ( $ /0 /0 1+ /0 1 -' 1-'- '3+. '3. 3. /0 1 ( ,++ < Target Profile ' ,882 23,008 22,990 23,570 24,411 25,092 25,720 5,489 5,448 5,794 5,870,271,745,988 11,999 12,455 12,3 12,550 13,014 13,8 14,102 40,370 40,912 41,150 41,989 43, ' 45,505 4,

34 $ ( /0 % 1 2% % D C ' $ 8%2 3, " + + " +, ++", Decrease 9% of firms expect turnover to improve in next 12 months West of England Liverpool Liverpool D2n2 Greater GBSLEP Leeds City North Eastern Sheffield City London UK D2n2 /0 : ; Greater Manchester GBSLEP Leeds City Region North Eastern > $ + "-,+ #- / # + "22 ": B ": < 1 $ + ": #$% (- # 50,511 The latest official GVA per hour worked figures which are the ONS preferred measure of productivity are displaced in the adjacent chart which shows that of the LEP core cities the GBSLEP has the 5th highest productivity at 28.9 per hour compared to 32. for the UK as a whole. The West of England LEP is the only core city LEP with higher productivity than the UK. There was very limited change on last years productivity data and GBSLEP did not change at all. 1 ( 0 3 8%2 Productivity - GVA per Hour Worked GVA Per hour worked ; ++ The majority of firms (71% in the GBSLEP area are still expecting turnover to improve over the coming 12 months. An increase from the 9% recorded in Q % Business Confidence Increase 71% Unchanged 20% " , ,279 48, ,153 GVA per Worker If we look at GVA per worker the GBSLEP performs better having the second highest rate amongst the core city LEPs, although it has declined by 0.9% in the last year. Only the West of England LEP saw any growth in GVA per worker among the Core City LEPs. The most significant decline was in Liverpool at -2.7%.

35 ' $ 9 # ( D C ( 7 0 0# ( % D % ' $ ( 8%2 3, " + + " +, =, +" 3, %2 1-4 Economic Activity Rate $ Seri es2 5 $ 0$ # $ 3 - " 3, +, 3 7 2, ", 3 + ", - +" 7 7 ( " #$%, " + +" ++ " 80.0 Series1 5 ( ++ +" - " / :, 3 + "3 +, (+, C, " + 3 /01#$% 3 4 +, 3 + " , /01#$% " #$% - + +" 3 C, " + 3, 3 + "3 " #$% #( $ %.. 18,043 35, $ # : 314 1, , , , >" D " - " + 3,+ E ",+ + 3 E " " 2.8 -

36 ' $ 5 ( 7 0# -. B # 8 % 3. 9 # ( 8 % ' 0 ( % # < < 3+. > $ % 3. # # '3. $ '3-. (- '3+. B '32. /01#$% -3+.? 4 + /01#$% ++, ( + +, +" 3 + "3 + 8%2 F 4 9, +" " > $, " Unemployment Milestones - UK 4.5% 4.0% 3.5% 3.0% 2.5% 2.0% 1.5% 1.0% 0.5% 0.0% " 9 + " #$% + +,, - ", ' " Unemployment Milestones- Core Cities.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% Actual Gap Target Profile Actual Gap Target Pr ofi le 4

37 9 % ( % ' / B # G V A p e r H e ad D iffe r e n t ia l 3 0, , , ,0 0 0,5 0 0, , , , , , , , /?( /01#$% + #$% > $ + #$%' ++ +", + +" 2, , , , ,0 0 0 G B S L EP W es t o f E ng la n d G ap? 4 /?( 3. " /?(, 3+ + GVA per Head Mile stones 7,000,000 5, /?( " +., + + ' 4,000 3,000 2,000 1,000 0 Annual Change in GVA per Head Gap /0 " 9 /?( - #$% % 0 #$%, 3 + " 1 +,++ /?( 1,800 1,00 1,400 1,200 1, ,000 8,000 Actual Gap Target Profile

38 $ ( 7 (. : 0# % ; 0 8 ( 7/<'=. $ 5 % 3. NVQ3+ Differential 4 /01#$% +", % " , 7, % 8.0% 55.0% 7.0%.0% 50.0% 5.0% 45.0% 4.0% 40.0% 3.0% 35.0% 2.0% 1.0% 30.0% 0.0% GBS LEP? % ,, " + 8%2 3. ", +"?9 + Gap NVQ3+ Milestones 8.0% + =, + UK %.0% % Q V N 2.0% 0.0% Actual Gap 0?9, =, + +" - 0 F ( 8 ( % % # Target Profile $ " #$% #( >" D # 7/< E $ ($ # ( B7 8 %G $ 7/<'= # % # $( :, $ # ( 4 3 +" +" ( 8 # " ( # 3 ( E $ # ( ( $ $ / # " # " # " # " #,,,, " $" % "" $ $$ ' ( + ' % # /0. 7 #$%

39 $ 0# 7 (. : % D ( 8%2 3, 3 C ; 0 ( $, " + -, ++" ++ 8%2 NVQ4+ Differential 40% 8% 35% % 30% 4% 25% 2% 20% 0% GBS LEP 8 ( 7/<'= UK + " + 7/<-= 4,+?9 - ' +" /01#$% A 3 +" A - 3 Gap No Qualifications Differential % 20% 18% 7 < 5% /01#$% 7 =, + =, + #$% ++ " =, + ++ /01$#% ++" 4% 14% 3% 12% 10% 2% 8% 1% % 0% 4% GBS LEP $( 0 UK 4 $ 4 1% Gap = 0H4 $3 (D? ( > + ( ->

40 + $ $ # ( 7 0# % GBS LEP Real GVA per Hour / %, Annual Change GVA per Hour ( - " 3, " /?(, 7 +" + /01#$% ", - " " " #$%, - " - + ", +" /01#$%, - " 3 " #$%, + ; /0 9 : ; + ( ' > #- 0 $ + + ": < / # B 1 # ": $ ": 5 :? " - " + $ # 4 /?(, 7,, ", > B ,++, - " +", - - /?(, ++ +" 1 ++ <,+ " > + ++ " +"' $ " - " /?(, /0 9 : ; 1 4:? + ( 0 > ,++ - " <,+ " 1 ++ > + ++ > +- 3 > B '

41 , % % ( < ' : 8 ( C ; -> < C ; 4 /01#$%, +" 7 " #$% %> / + 3 =, + " +, 3 7 /01#$% 3 - " /01#$% 3 +, ' 1 " 2 ( $ " # ( " : 8 ( C ; $ 4 ' $ > $ + / 2 + #$% #$% 3 $ "4 '4 ; $ -4 + ; $ ; < # 4 3', / B $ #- + /, C $ $ Index Score Index Score Change Differential with West of England % -

42 Item GREATER BIRMINGHAM AND SOLIHULL LEP BOARD MEETING 5 June 2018 Enterprise Zone Recommendations Board Directors are asked to: 1. Note the report with regard to the purpose of the Enterprise Zone (EZ, the programme management arrangements in place to oversee it, and the background to the Paradise scheme. History and Purpose of the Enterprise Zone 1. Enterprise Zones were established across the country to provide a financing mechanism to help unlock key development sites, consolidate infrastructure, attract business and create jobs that could not otherwise be brought forward by local partners. They work on the following basis - local authorities borrow the money required for enabling works to unlock development. This development triggers growth in business rates, which is retained locally by the Local Enterprise Partnership (LEP for a 25 year period. The retained business rates growth repays the local authority borrowing (including the interest and any remaining funds are available for the LEP to invest anywhere within its area. 2. The Birmingham City Centre Enterprise Zone was established in 2013, covering twenty-six sites including Paradise. It was expanded in 2015 to cover the Curzon Street area, increasing the value of the overall Investment Programme from around 275m to circa 1bn. Once borrowing has been repaid, the Programme is forecast to generate 20m for GBSLEP to invest across its area. 3. The impact of EZ investment can be readily seen from the new developments taking shape in Birmingham City Centre. On the back of this progress, a further request to expand the Investment Programme is expected to be brought to the LEP Board in July. Programme Management Arrangements 4. At the time the EZ was established, GBSLEP did not have its own arrangements to manage the programme. Instead, Birmingham City Council took on this responsibility - alongside its role as project promoter and deliverer for many of the schemes within the programme, and Accountable Body for the 29/05/18 1 of 2

43 Item funding on behalf of GBSLEP. LEP involvement has been primarily through the Director s Board, which meets monthly and on which the Head of Delivery sits, and the Executive Board, chaired by a LEP Board Director (currently Simon Marks and with membership including one other Board Director (Pat Hanlon and the LEP Director. 5. As new funding streams were devolved to GBSLEP, such as Growing Places and Growth Deal, similar bespoke arrangements for programme management were put in place. However, in the last twelve months oversight of all these other programmes has been brought together within GBSLEP s Programme Management Office, overseen by the Programme Delivery Board. This is chaired by the Deputy Chair of the LEP, with representation from local authorities from across the GBSLEP area, plus other key stakeholders including the Chamber of Commerce and the West Midlands Growth Company. Paradise. In 2013 GBSLEP agreed to invest 87.9m into the Paradise scheme. The confidential background papers that accompanied that decision are attached (for Board Directors only. This is an opportunity for Directors to consider progress before the revised Investment Programme is brought to the July Board for approval, alongside an expected request for additional investment in the scheme. Directors will note that, under the terms of the additional investment, GBSLEP is not obliged to provide further funding but may choose to do so if there is sufficient benefit derived, and programme management arrangements are still considered sufficiently robust. Report by: Roger Mendonça, GBSLEP Director Contact: Roger.Mendonca@birmingham.gov.uk Date Created: 25 May /05/18 2 of 2

44 Item 7 Greater Birmingham Solihull LEP Board Meeting 5th June 2018 Growth Programme Update Recommendations The Board is requested to note: the current delivery and impact status of the Growth Deal programme as it concludes its third year of operation; that there was c.10% financial slippage across the Local Growth Fund (LGF projects in 2017/18 financial year and was within expectations; and the project investment approvals made under delegated authority. Purpose 1. This report provides a brief update on the current Growth Programme status and recent project investment decisions, before taking a more reflective look at overall progress to date in delivering the programme and the impact that this is expected to have. Programme Status 2. The 2017/18 LGF grant claims came to 23.3m against an annual allocation from government of 25.m. This equates to approximately 10% slippage across projects, which was within the internal estimate of up to 25%. It represents a significant improvement from the 8% slippage across projects in 201/17, and demonstrates the progress that has been made over the past 12 months by project sponsors and from having additional LEP programme resource being in place. 3. The following project investment decisions have been made since the last meeting under the scheme of delegation: a. Symphony Hall Extension (Performances Birmingham Ltd approval by the LEP Director of 408,148 of project development funding to support the preparation of the Full Business Case; and b. Kidderminster Railway Station Interchange (Worcestershire County Council - approval by the Programme Delivery Board of an increase in conditional funding allocation for the project to 2.407m (an increase of 0.07m, subject to a satisfactory Full Business Case. 4. A more detailed update on progress with delivery of the Growth Programme over Q4 2017/18 is provided in the Programme Delivery Board report pack, which is available on the LEP website, and in the project overview and exceptions report (Appendix A. 1 of

45 Item 7 Programme Delivery and Impact 5. The GBSLEP has agreed three Growth Deals with government since 2015/1, levering in 433m of Local Growth Funding for the GBSLEP Growth Programme a pipeline of capital investments across Greater Birmingham Solihull that generate jobs, improve transport links, unlock house building and upskill our people. The Growth Programme is a key tool to support the achievement of the ambitions of the Strategic Economic Plan.. As the programme enters its fourth year of operation and the attention on possible future local economic growth programmes grows, it is an opportune time to reflect on delivery and impact of the programme to date. Total Programme Size 7. The total Growth Deal funding allocated to the GBSLEP amounts to 433m across the three rounds. This includes 24.45m that is allocated across five Department for Transport (DfT portfolio schemes over which, given their size, DfT retains a close oversight function. Due to the distorting size of the DfT portfolio schemes, they will not be included in the analysis of the programme throughout this report. 8. At present, the total programme value across the 58 projects amounts to over 50m, which includes 37m match funding unlocked through LGF investment. This will continue to increase as the remainder of funding is allocated to pipeline projects. The proportion of public and private match funding leveraged through our investment has increased from 2.23 return per 1 invested ( 295m unlocked from 132m on Growth Deal 1 and 2, to 5.21 per 1 invested ( 81m unlocked from 15.m investment on Growth Deal Across the 58 projects on the programme, the average LGF contribution amounts to 2.52m, with an average total project cost of 9.12m. 10. Whilst to date there have not been any projects allocated over 10m LGF, there 2 of

46 Item 7 are several large priority strategic pipeline projects that fall into this category. As such, resourceful approaches will be required to fund the delivery of these projects. Spatial distribution of projects 11. As would be expected, given the clustering of economic activity and institutions, the concentration of projects on the programme is within Birmingham. The spatial distribution of projects currently funded through Growth Deal 3 is largely consistent with Growth Deal 1 and 2; however, there has so far been a higher proportion of project sponsors from the third sector or educational institutions. 12. This picture of spatial distribution is expected to change due to the larger number of district-located projects progressing through the strategic pipeline at present. In the medium term, this will increase further as the SEP Enabling Fund supports feasibility work for town and local centre projects to progress. Outcome themes 13. The majority of projects are transport or skills related, which reflects the pipeline of projects that was developed at Growth Deal 1 and 2. This picture changes when considering how funding is allocated, where transport projects account for half of the investment made to date. Whilst this is an indicator of the type of project, clearly many projects overlap multiple outcome themes and the real picture is more nuanced than this. 14. As the SEP has developed, so has the thematic focus of project investments on the strategic pipeline. This has resulted in greater prominence of innovation and cultural sector projects, and less so transport, reflecting the direction of the GBSLEP Delivery Plans and emergence of other strategic funders, such as the West Midlands Combined Authority. 3 of