Agenda item

To scrutinise the contents of the draft Redditch Economic Development Strategy and to recommend any appropriate alterations for improvement.

(Report attached)

The Portfolio Holder for the Local Environment, Planning and Transport, Councillor MacMillan, introduced the item.  He explained that the Council’s Economic Development Strategy was in a draft format.  During the course of developing the strategy it had become clear that the Council would need to work closely with partner organisations to ensure that economic development of the Borough was achieved effectively. 

Councillor MacMillan cautioned that the Council also had to be realistic about what could be achieved in terms of encouraging economic development within the Borough.  The Council had limited access to resources and was operating in a difficult economic climate.  Under these circumstances the Economic Development Strategy had been designed to focus on the Council’s potential to facilitate long-term developments.

Officers explained that the draft Economic Development Strategy had been divided into four separate sections.  Each section had been subdivided into priorities.  The Strategy provided a justification for each of these priorities.  The Strategy also contained an action plan outlining how the Council intended to achieve those priorities. 

Members were informed that the purpose of the Economic Development Strategy was to encourage diversification in the local economy.  The Economic Advisory Panel had considered various options including potential developments in the green collar industry, which would involve the delivery of environmentally friendly services and products.  The Panel was also reviewing options for raising the wages available to people working in Redditch.

Councillor MacMillan explained that there had been two meetings between representatives of Redditch Borough Council and the Regional Development Agency Advantage West Midlands.  Unfortunately, many of the actions proposed by Redditch for implementation within the Borough were already being addressed at other locations situated within the Midlands.  However, these meetings had raised the profile of Redditch and Officers had obtained relevant contact details for personnel working at the Regional Development Agency who might be able to help the Council to develop some of the long-term plans detailed within the Strategy.

Members also discussed the business units that were located in the Greenlands Business Centre; the Hemming Road Business Centre and in the Rubicon Centre.  They noted that the Council had originally intended to make these units available to businesses that had just been set up, though they questioned whether this intention continued to shape current practice.  Officers explained that the Economic Advisory Panel was scheduled to undertake a review of the business centres.  As part of this review the Panel would assess whether the business units were being utilised to their full potential.  Members requested further details about the return on the number of businesses utilising these units and a copy of the report on the subject of the business units which had been considered at a recent meeting of the Economic Advisory Panel.

Members discussed the proportion of dwellings in each Council Tax band that were situated in Redditch, as detailed on page 81 of the draft Economic Development Strategy.  They noted that there were fewer Band F, G and H properties in Redditch than in other parts of Worcestershire.  This had implications for the level of revenue that the Council could expect to receive from Council Tax.  Under these circumstances, Members suggested that there might be a need to ensure that a proportion of the new homes that would need to be built in the Borough over forthcoming years were Band F, G and H properties.  However, Members noted that a balance needed to be achieved to ensure that more affordable homes and good quality accommodation in the rental market could be made available to people.

The Committee also referred specifically to the section of the strategy which focused on people (pages 27-32 of the draft report).  Members commented favourably on the inclusion of references to young people in the document and noted that many of the points that had been highlighted within the report had also been identified by Councillors when undertaking the Jobs, Employment and Economy scrutiny review in 2005.  Officers explained that they had consulted with representatives of the Redditch Student Council to identify young people’s views about their career prospects within Redditch.  Their responses had helped to inform the draft strategy.

The work experience opportunities that were available to young people living in Redditch were discussed by Members.  They noted that placements needed to be made available which were suitable to the needs of each young person.  Members suggested that this situation could be improved if the Council worked with other local authorities to develop a pool of work experience opportunities for young people.

The Committee commented that they had a number of concerns about the town which needed to be addressed.  They expressed the view that the town needed to attract more highly skilled workers into Redditch.  Members suggested that this could be achieved through further development of locations such as Ravensbank Business Park. 

There were also a number of concerns about the number of redundancies that had been announced in recent months and the impact that this would have on local people and the local economy.  Officers suggested that these more immediate concerns would be difficult for the Council to address.  However, there were local organisations which could help people who had been made redundant, including Jobcentre Plus.  There were also agencies that could work with people who were already employed to help them to further develop their skills.

Members praised the Planning Assistant and other Officers who had been working on economic development issues at the Council and thanked them for their excellent work.

RESOLVED that

1)           Officers provide further information about the return on the number of businesses utilising the business units at the Greenlands Business Centre; Hemming Road Business Centre and the Rubicon Centre;

2)           Officers circulate copies of the report on the subject of the business centres that was considered at a recent meeting of the Economic Advisory Panel;

3)           Officers circulate information about the actions which the Council is proposing to take to tackle both perceived and real problems with career opportunities for young people in Redditch;

4)           Officers consider the Committee’s suggestion that the Council work with other local authorities to develop a pool of work experience opportunities for young people; and

5)           subject to the comments above the report be noted.