Agenda item

The Economic Development Manager, Clare Mangan will present to the Group

The Chairman welcomed the Economic Development Manager and the Director of Planning, Economic Development and Property to the group.

Officers explained that whilst the council had an Economic Strategy for 2013-2023, it now required replacement with a new Economic Development Strategy to provide structure and focus to the work of the Economic Development Team. The group was being asked its view at the earliest stage of policy development.

The Economic Development Manager presented to the group a Strengths, Weaknesses, Opportunities and Threats (SWOT) analysis. That analysis led to five emerging priorities:

1.    Enterprise – support our local businesses to become more productive and resilient to support long –term economic growth

2.    Inward Investment

3.    Promoting the District Offer

4.    Skills and Employment

5.    Infrastructure – to address the barriers to economic growth.

Members were asked for their view on the five emerging priorities. Members views included:

a)    Whether the emerging priorities linked with West Sussex County Council priorities;

b)    The ‘strategic fit’ of future proposals for Gatwick airport;

c)    The importance of the national planning framework;

d)    Cross cutting links between economic development and other services within the council;

e)    The existing industrial or commercial sites which may no-longer be an attractive offer to modern businesses;

f)     The potential impact of and on farming sites in the rural parts of the district;

Officers and the Cabinet Member explained in turn that:

a)    There was a county wide economic development strategy that had informed the preparations of the five emerging priorities for HDC;

b)    That an action plan would be forthcoming to turn the strategic priorities into actions;

c)    The Cabinet Member was in dialogue with the Member of Parliament for Horsham about strategic economic matters;

d)    That two planning officers were designated as Business Link officers;

e)    That the council’s property portfolio was under constant review; and that

f)     Planning officers had been encouraged to visit working farms and that Members should note that Neighbourhood Planning was increasing in its importance

The Economic Development Manager returned to the presentation to explain that Business Rates retention was a key opportunity for the council to explore. The Government proposal that local authorities may retain 100% of new business rates by 2020 required the council to have the vision to promote strategic sites / identify new employment sites, to provide proactive support for existing businesses and to prepare for potential growth in business rates. Officers explained that new business rates should be seen as a revenue stream and that forecasts were that the reduction in government grant could be offset by the revenue gain in business rates. Other local authorities were expected to be competitive in attracting new businesses to their areas and HDC required a strategic approach, particularly with regard to North Horsham. Members noted that the council could not offer ‘tax breaks’ to new businesses but that advice and assistance on external funding streams would assist new businesses to choose the Horsham District as their preferred location.

The Economic Development Manager summarised the proposed key themes of the strategy as:

·         Encouraging inward investment, attracting high quality new businesses into the district;

·         Support for existing businesses, finding sites and premises to allow for expansion;

·         Growing the visitor economy and supporting the market towns; and

·         A new strategy for business engagement that identifies need across the whole district.

Members were supportive of the key themes and noted that the council would signpost businesses to support rather than providing financial support directly. Members felt that the council should take opportunities to be innovative, and noted that the private sector was driving the development of Horsham forward. The Chairman surmised that the role of the council was to facilitate economic development.

At the conclusion of its discussion, the group advised the Cabinet Member that:

1.    The views of the policy development advisory group be considered in the preparations of the draft economic development strategy;

2.    The draft economic development strategy be considered by the group at its October meeting.