Agenda item

(i)              Report of the Assistant Chief Executive.

(ii)             Presentation by the Overview and Scrutiny Officer, Assistant Chief Executive’s.

The Overview and Scrutiny Officer referred Members to the update report and presentation as regards the Members’ Reference Group (MRG) looking at the implications of changes in Government funding and policy on the economy of County Durham (for copy see file of minutes).

Members were reminded that the MRG was set up to work with Officers from Regeneration and Economic Development (RED) and a number of meetings and a site visit had taken place over the period June 2013 to January 2014.  Councillors noted the approach taken, looking at scale (how), theme (what), geography (where) and which groups and individuals (who) had been affected.  It was explained that interventions and support offered by DCC and partners to tackle the impact in changes to Government funding and policies.  Members noted that there were also opportunities identified to help mitigate the impact of those changes. 

Councillors were reminded of the key findings of the Group, noting the significant North / South disparity in the Government’s Comprehensive Spending Review (CSR), and the loss of flexible and need based funding such as Area Based Grants (ABG), Working Neighbourhood Fund (WNF) and Local Enterprise Growth Initiative (LEGI).  Members noted opportunities included new European Funding 2014-20 with County Durham having access to €157 as a Transition Region.  Issues highlighted included: the employment rate; evidence of a move from full-time to part-time employment; concentrations of low qualifications in certain areas; and particular groups being more affected, for example those reliant upon benefits and the young.  It was noted that there were opportunities in respect of new companies such as Hitachi and Mazars bringing forward large developments, and the subsequent supply chains. 

The Overview and Scrutiny Officer referred to an overview of National Policy changes, noting the significant changes to employability policy and the move away from “cradle-to-grave” business support in favour of support to larger companies.  Members were reminded of the input from partner organisations, with the interventions and support offered by JCP, the Federation of Small Businesses (FSB), Business Durham (BD) and local Colleges, Bishop Auckland College being the examples used.

Members noted the draft recommendations in relation to the following key areas:

·       Continue to monitor the impact of changing policy and funding on the economy of County Durham.

·       Information is provided on the state of the County’s economy to the Economy and Enterprise Overview and Scrutiny Committee via the newly established Data Management Group of the County Durham Economic Partnership.

·       That interventions are used to address need and opportunities within the County.

·       That a co-ordinated approach is undertaken to maximise the benefits of the EU Funding programme 2014-2020.

The Overview and Scrutiny Officer concluded by noting that the draft report would be circulated to Members of the MRG, then to the relevant Assistant Chief Executive (ACE) and RED Management Teams prior to coming back to the Committee on 7 April for agreement, then to be presented to the relevant Portfolio Holders, Councillors N Foster, A Napier and E Tomlinson.

Councillor P Stradling noted that as the issues were cross-cutting it may be appropriate that the report be forwarded to Cabinet rather than Portfolio Holders, Members agreed.  The Principal Overview and Scrutiny Officer added that it could also be useful to circulate the report, once agreed to the County Durham Economic Partnership (CDEP) and other partners in respect of the wider cross-cutting issues.

Resolved:

(i)              That the report and presentation be noted.

(ii)             That the final report of the Members’ Reference Group be presented for consideration by members at the meeting of the Economy and Enterprise Overview and Scrutiny Committee, 7 April 2014.

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