The road to devolution

All journeys have to begin at a starting point and the North East could be about to take the first step on the road to devolution.

It’s a well worn phrase over the past few months, but it’s no exaggeration to say that devolution offers us a once in a generation chance to help shape an improved economic future for the North East of England.

There’s a real economic momentum being built up around the Strategic Economic Plan, supporting business growth and job creation.

Devolution presents us with a chance to really capitalise on this momentum.

The LEP has consistently expressed its support for devolution for the North East and I reiterate that support as chair.

I recognise however that not everybody is happy with what is being offered by Government.

I fully respect that. At the end of the day, they are elected members of a local authority and they have made what they believe is the best judgement for local people.

On a personal level, I also think there is much more we can do, and respect people looking at the devolution deal and thinking ‘is that good enough?’

But the deal was never going to be perfect from day one. It is more about how we can get to where we want to be.

We have a stark choice now to decide either not to participate in devolution or go with it and work alongside Government to get the best possible deal we can for the North East.

The areas that were involved in the devolution process early tell us that we have got to do this in phases.

Manchester has been on this devolution path a little longer and they are starting to reap the benefits.

We have got to establish how we can make devolution work for us and use that as the platform to achieve bigger and better things.

Continuing negotiations and discussions with Government, as the combined authority is doing, together with a very strong business voice to help further improve the delivery of the Strategic Economic Plan for the region, has to be the way forward.

The business members of the North East LEP board are fully supportive of how our fellow board members as combined authority leaders are trying to deliver on that.

Ultimately, devolution only really matters when it makes sense to people and not just to business organisations, politicians or indeed, the LEP.

And as with all journeys, you have to begin somewhere to travel to the point you want to get to. The devolution deal is just that – a deal and it can be improved.

We have to respect the fact there are differing opinions and compromises will have to be made.

But we have the opportunity to take our own path to a better and more prosperous economic future.

The devolution deal will allow us to better take the really big decisions that will help us deliver on more of the ambitions set out in the Strategic Economic Plan which is crucial to the sustainable growth of our economy.

Andrew Hodgson, North East LEP Chair.

Training from Google for North East businesses

Did you know that businesses with a strong web presence grow more than twice as fast as those without?

You too can use the web to grow your business, your career or even just your confidence.  We are delighted to be working with Google who are about to launch  their first Digital Garage in our area at Newcastle City Library on Friday 22 April. The Garage will be open until summer 2016. You’ll be able to register for free training and/or a one-to-one mentoring session.

More than 90% of jobs will require digital literacy in the near future and small companies can grow twice as fast when they have a strong web presence, so it is crucial that both employers and employees keep up to date with the opportunities presented by online technology.

Over 88 per cent of businesses that have previously attended a training session at The Digital Garage state that they have changed the way they run or promote their business online; 68 per cent of people surveyed say they’ve seen positive results – in either increased sales, bookings, web traffic or social media following – after Google’s free training.

Eileen Naughton, Google’s managing director for UK & Ireland said: “In the digital age, a basic understanding of how the online world works is useful; and when it comes to business, it’s essential. We are bringing the Google Garage to Newcastle because we believe Google can be a growth engine for businesses all across the UK — from start-ups to established companies. We are also welcoming individuals, be they recent graduates or aspiring entrepreneurs, to attend seminars at the Garage and learn more about how digital can help them grow.”

The Digital Garage in Newcastle is being delivered in partnership with Newcastle City Library,
Newcastle City Council, North East LEP and the North East Business & IP Centre.

If you can’t make it to the Google Garage, you can create your own personalised learning plan online, and benefit from Google’s in-depth training, wherever you are.

Register here to get your digital tune up at Newcastle’s Google Garage.

North East heavy weights & Northern Powerhouse Minister top the agenda at Manufacturing & Engineering North East 2016

The triple award winning Manufacturing & Engineering North East conference and exhibition will again bring together world class speakers and exhibitors to Newcastle, 6-7th July. Visitors can now register online to attend the conference, which includes speakers from Hitachi Rail, Nissan, UKTI and James Wharton MP, Minister for the Northern Powerhouse, plus many more.

With over 10,000 design engineering and manufacturing sites within a 100 mile radius of Newcastle, Manufacturing & Engineering North East is ideally located to support the region’s industry. The event offers a prime opportunity for those organisations to source new suppliers, test equipment, acquire expert knowledge and forge new supply chain relationships without travelling much further afield.

The conference sessions, led by industry figureheads and engineering experts, will focus on opportunities for growth in the North East and future manufacturing technology. Hitachi Rail will open the conference by explaining how they developed a four year blueprint for building the fully operational site at Newton Aycliffe. With a resurgence of manufacturing industries in the region, IMechE will examine how that growth is making a difference to the economy regionally and nationally.

Visitors will also hear from the founder of Ford Aerospace about how diversification has enabled the company to continue to grow. The Manufacturing Technology Centre will be highlighting the opportunities and challenges of additive manufacturing and the AMRC’s head of the Factory 2050 project will be discussing the 4th industrial revolution and what it will mean for the UK’s manufacturers.

In addition, the full workshop programme offers practical learning and inspiring case studies alongside an exhibition of more than 90 exhibitors from regional and national suppliers.

Manufacturing & Engineering North East will open at the Radio Metro Arena, Newcastle 6-7th July. Pre-registering for the event is quick and easy and will guarantee entry to this free event. Once registered, visitors can select the workshop and conference sessions they would like to attend; and with space limited on each session, it is recommended visitors book early to avoid disappointment.

To register and for the full conference and workshop programme visit: www.menortheast.co.uk

Growing businesses are invited to launch of the North East Growth Hub

New and established micro and SME businesses with ambitions to develop and grow are being invited to a free event to find out more about the North East Growth Hub.

The new digital platform, which provides access to business information, advice, knowledge and inspiration from the local business community and local, regional and national business support and finance providers, has been developed by the North East LEP in partnership with Escher Group, Cobweb and Daykin & Storey.

Businesses will be able to find out more at ‘Growth Hub Goes Live’ at The Sage Gateshead on the morning of 28 April 2016. The event, hosted by well-known radio presenter and consultant John Myers will focus on how the Growth Hub can provide clear and relevant information on the wide range of support available in the North East to help small businesses grow. There will also be an exhibition where businesses can meet support providers and have plenty of time for networking and discussion about funding and support options.

North East LEP chair Andrew Hodgson said: “The North East Growth Hub is a fantastic resource for ambitious SMEs in the region who are looking for advice and support to grow their businesses.
“The online platform has dedicated sections for people and skills, innovation and technology, trade and export, finance and funding, sales and marketing, and advice for start-ups and running a responsible business.

“It is a key building block in our programme to bring more and better jobs to the North East, by linking businesses with relevant business community, public and private sector support to help them grow and prosper.”

Mr Hodgson, who is chief executive of subsea company Soil Machine Dynamics, and Paul Varley, who chairs the LEP’s Business Growth Board, will be speaking at the launch, which is targeted at businesses with up to 250 employees.

The event will also hear successful business growth stories from Julian Leighton of creative agency Orange Bus and other celebrated North East business people.

The Growth Hub is packed with information, guidance, news and events for growing businesses. Members can pitch questions to business support experts and the business community, find sources of funding, build new contacts and utilise the fully-searchable database of information. The platform is based on collaboration and is a place for businesses to communicate and share their ideas, knowledge, expertise and opportunities.

‘Growth Hub Goes Live’ is a free to attend event and runs from 8.45am until 1.45pm for businesses, with breakfast and lunch provided. Business support providers will be invited to stay until 3.15pm to discuss the best way to get the most from the Growth Hub.

North East Growth Hub contract opportunity

The North East LEP is seeking to appoint a company to develop and deliver a Manufacturing Advisory Programme (MAP) as part of the North East Growth Hub.

The MAP will provide a targeted one-to-one diagnostic, signposting and action planning service to manufacturing businesses that have:

• Growth potential (hold the aspiration to significantly scale their business – upwards of 20% employee or turnover growth per annum).

• Fall within one of the North East’s areas of ‘smart specialisation‘.

We are seeking a partner who can leverage and build on the North East LEP’s investment to expand the impact of the MAP.

The quotation document, along with a detailed service specification of our requirements and accompanying documents can be accessed via the North East Procurement Organisation (NEPO) portal here.

Please note, companies must be registered on the NEPO portal in order to access the documentation. Once registration has been accepted, applicants will then need to return to the opportunity on the portal, login and register interest in this contract in order to access the documentation.

Submissions must be returned via the NEPO portal before 12:00 noon on Friday 15 April 2016.

Please note that submissions will not be accepted in either hard copy or e-mail. All completed submissions must be submitted electronically via the NEPO e-tender system portal.

For further information please contact Virginia Ainsley, Procurement Category Officer – [email protected].

Kibblesworth Village Millennium Centre welcomes rural businesses

Kibblesworth Village Millennium Centre (KVMC) has placed rural business development at the heart of its community operations with the opening of its brand new rural enterprise hub.

On 18th March 2016, Dave Anderson MP opened the new facility and was joined by Councillor Alex Geddes Mayor of Gateshead and Jacqui Kell, Chair of the Rural Growth Network in the ribbon cutting ceremony.

The opening of the new rural enterprise hub facilities will complement the existing thriving community centre which provides space, services and activities for the local community and surrounding area.

Kibblesworth Village Millennium Centre has secured £42,400 from the Rural Growth Network to support the project which includes the creation of three iconic enterprise pods within the grounds and conversion

of space within the centre building to create further office accommodation, informal business meeting space and toilet facilities. There is a growing demand for business space in this area and the scheme will offer the opportunity for existing businesses to expand or new businesses to locate at the site. The project will provide 6 jobs and create opportunities for local businesses to network, start or grow.

Norma Bolton, Vice-Chair of Kibblesworth Village Millennium Centre said: “We are delighted and very grateful to the North East Rural Growth Network for the opportunity to provide much-needed space for local businesses.

“Kibblesworth Village Millennium Centre is at the heart of the community, providing a venue for many local groups, events and activities, so the addition of office and meeting space will bring new opportunities and create new jobs for local residents.”

Gillian Hall, North East LEP Board member, said: “This investment is extremely good news and the development will support the vibrant and entrepreneurial community already in place within this locality.

“Part of the North East LEP’s remit is to work with our partners to create more and better jobs for all and this funding will certainly help achieve this objective.”

Councillor Liz Twist, Gateshead Council Cabinet Member for Economy said: “The Rural Growth Network has been supporting economic growth in rural Gateshead over the last three years. This latest project will provide much needed business space and job opportunities for local residents, whilst helping to secure the long term future of the Centre.”

The enterprise hub is ready to welcome businesses that are looking for a place to start up or grow.

For more information contact Emma Hodgson at Kibblesworth Village Millennium Centre on 0191 411 1193 or email [email protected]

FabLab brings huge opportunities for North East

The North East Local Enterprise Partnership (North East LEP) is encouraging local businesses to get behind the latest groundbreaking new venture to arrive in the region – FabLab Sunderland.

Part of a global network that started at Massachusetts Institute of Technology (MIT) in America, FabLab Sunderland is a place for businesses, entrepreneurs, schools and members of the public to make and create almost anything using the technology, skills and materials available onsite.

Part business incubator, part education space, FabLab Sunderland promotes engineering, design, electronics and software development from its site at the University of Sunderland. Its focus on innovation and improving skills fits with the North East LEP’s strategic economic plan for the region that emphasises the importance of smart specialisation areas and developing a workforce quipped with the right skills for these jobs.

Part-funded through the North East Growth Deal, which is managed and delivered by the North East LEP, FabLab Sunderland aims to support and develop existing and new businesses in the LEP area, as well as inspire the next generation of engineers, developers and programmers.

Tony Canning, FabLab Manager at the University of Sunderland said: “FabLabs offer real opportunity to a wide range of people; from schools, the public and businesses, to access equipment they may not otherwise have available.

“As the first in the North East region we are keen to engage with the STEAM agenda – particularly for schools for whom we can coordinate workshops to reinforce and enhance learning. We are also keen to support businesses as a part of University of Sunderland’s Enterprise and Innovation directorate.”

Helen Golightly, Chief Operating Office at the North East LEP said: “FabLab Sunderland can play a vital role in supporting the skills agenda in the region.

“Not only is it a fantastic resource for the business community, it is already looking at ways to engage with schools through curriculum-based learning and by promoting STEAM (Science, Technology, Engineering, Arts and Mathematics) subjects, its providing the skills we need to create more and better jobs for the North East.”

Hans Möller, Innovation Director at the North East LEP said: “A key part of our strategic economic plan for the North East is built around innovation; something FabLab Sunderland excels at. We have identified smart specialisation areas and I believe all of these industries – automotive, creative and digital, life sciences and subsea – could benefit from engaging with FabLab Sunderland and supporting its work with industry and the education sector.”

FabLab Sunderland is one of 350 FabLabs across the world. They play a vital role in supporting innovation and invention; helping many new products come to market. One of the most successful is Dutch-based 3D printing firm, Ultimaker (www.ultimaker.com). Developed and built inside a FabLab, Ultimaker now sells its 3D printing products and software across the world.

The FabLab concept combines a workspace, community maker-space and learning zone – encouraging people from all walks of life to collaborate, exchange ideas and make things using the specialist equipment on site.

FabLab Sunderland aims to offer easy-access support to SMEs, connecting regional businesses with a global community of learners, educators, technologists, researchers, makers and innovators; creating new innovative jobs for people across the region.

FabLab Sunderland was included in the North East Local Enterprise Partnership’s additional proposed projects, when it announced the expanded Growth Deal with Government in January 2015. The Growth Deal will see an extra £40.6m invested in the North East economy between 2016 and 2021. This is in addition to the £289.3m of funding committed by the Government last year.

For more information about FabLab Sunderland, visit www.fablabsunderland.org

New finance support for North East businesses announced

The North East’s leading business organisations are coming together to develop an innovative new way to help companies access finance and grow their operations.

The team that delivers the region’s annual innovation conference, Venturefest North East, is working with the North East LEP and North East Finance to design a new programme of investment support that culminates in a major annual event.

Details of the programme are currently being finalised and will be announced in April when tickets will also be released for the inaugural event on 21 June 2016 at Ramside Hall Hotel, Durham.

The development comes in the wake of the abolishment of the Government’s Business Growth Service, which ended its national business support programme following the Spending Review in 2015.

The programme has been developed with business input from the start. Business networks including the North East Chamber of Commerce (NECC), Federation of Small Businesses (FSB) and the Entrepreneurs’ Forum are involved to ensure the creation of a solution suited to the needs of the region’s businesses.

Simon Hanson, North East Development Manager at the Federation of Small Businesses, said: “Without access to funding our members and smaller businesses cannot achieve their potential to grow their businesses, create new jobs and new wealth for the region.

“The development of this programme is a response to this need and will simplify the investment process for the huge number of business that have ambitions to develop.”

Support provided by the initiative will be dedicated to making it easier for companies of all sizes and sectors to secure the funding they need to develop ideas, innovate and grow. Businesses will receive expert advice to make their propositions as attractive as possible to investors and will gain access to a wide range of funding sources.

Hans Möller, Innovation Director at the North East LEP, said: “The development of this new programme represents a positive, collaborative move by the region to solve an issue shared by the whole business community.

“It demonstrates how the North East is leading the way in shaping its future by designing a solution to the challenges faced. This will really help widen access to funding as well as help SMEs to develop and grow.”

Other partners involved in the development of the initiative’s activity include: Transmit Enterprise, Blu Sky Tax Ltd chartered accountants, Agora Bay Ltd growth finance consultants and NatWest which has partnered with Entrepreneurial Spark to launch business accelerator hubs across the UK including one due to open in Newcastle this August.

North East businesses can register an interest in finding out more about the programme as it develops by emailing [email protected]

This initiative is part of a wider programme being developed with around 50 partner organisations to support innovation in the North East. Led by the Venturefest North East team, the programme is supported by Innovate UK and the North East LEP and North East BIC, with part-funding from the European Regional Development Fund.

CASE STUDY OF A BUSINESS WELCOMING THE PROGRAMME
NECC member Amber North East has grown rapidly since the launch of its healthcare workforce solution business in Durham in January 2015, with 100 staff already on its books.

Operations Director Kelly Bentham welcomed the news of the investment programme saying: “The challenge of finding finance for your business can be a show stopping issue no matter what size your business is.

“If you don’t understand what is available to you when you’re starting out you will struggle to get out of the starting blocks, while growing businesses don’t have the time to consider all of their options so can find themselves stung by high repayments.

“Cash is king when it comes to the growth of all businesses and this programme will make it simpler for companies to get access to the money they need to achieve their ambitions.”

North East LEP Budget reaction (2016)

North East LEP Chief Economist Chris Milne gives his reaction to The Budget delivered today by Chancellor of the Exchequer George Osborne.

“We welcome in particular the Chancellor’s announcement of £15m for a national institute for smart data innovation to be based in Newcastle working with partners across the region and nationally,” said Chris.

“The North East has a strong profile as one of the UK’s leading digital economic hubs. This new national institute will provide a focus for business to unleash the huge innovation potential in digital data which will deliver improvements to business and public services.

“This is a huge opportunity for the region to provide leadership and skills, ideas and resources in a global market worth $125bn annually.

“Investment in transport infrastructure – the A66 and A69 in particular – is also crucial for the growth of the North East economy and we will benefit from the £75m pot which the Government has allocated to develop the business cases for a number of transport projects.

“Regional connectivity remains an important issue for the North East and we will also benefit from broader connectivity projects to the M62.

“We welcome a range of other announcements that will have a positive impact for businesses, entrepreneurs and the income of households.”

Chris also commented on today’s Labour Market Statistics.

“It is encouraging to see continued improvement in the North East labour market following last month’s figures,” he said.

“They show that over the last quarter, the North East has seen the UK’s highest increase in people in work, the largest fall in unemployment and the biggest reduction in economically inactive people.

“The employment rate now stands at a record 70.6%, the highest rate going back to 1992.”