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An update from the Rural Growth Network

Antony Braithwaite, Chair of the North East Farming and Rural Affairs Network (NEFRAN), gives an update on the progress of the North East Rural Growth Network, three years after its creation.

The Rural Growth Network (RGN) pilot project began in 2012 with £3.2m of funding for the North East from Defra and during the past three years the RGN has been testing ways of overcoming barriers to economic growth in the North East’s rural areas.

As well as working on identifying the key issues which face businesses in rural areas, the project had some ambitious targets to achieve in its first three years and I’m delighted that these have been achieved and even surpassed.

The North East RGN aimed to support the creation of 300 new jobs and 40 new businesses. In fact, the RGN exceeded both these targets, and nearly 200 new businesses have been helped to establish themselves in our rural areas. The RGN has assisted more than 1,000 businesses with either financial support or business advice, and the original objective of helping to set up 53 new enterprise spaces has again been almost doubled, with more than 100 new spaces being created at 13 business hub sites.

The North East pilot programme also supported Rural Connect, a network of rural business hubs which share learning and collectively promote rural business facilities in the region.

Now we’re entering the second phase of the North East RGN which will build on the pilot programme, providing further capital investment in the rural economy, supporting employment and business growth, and also working with NEFRAN to help define the North East LEP’s strategic priorities for resources allocated to the LEP area from the European Agricultural Fund for Rural Development.

Over the next four years the North East LEP is providing £6m from its Growth Deal Local Growth Fund to enable the RGN to make available support to businesses via the Rural Small Business Development Grant and the Strategic Economic Infrastructure Fund.

The first of these funds is available to support up to 40% of the cost of capital developments which can lead to the creation of more jobs in the region’s rural economy. The Rural Small Business Development Grant will come on stream later this year and is open to businesses in sectors from food, drink and manufacturing to the creative industries.

One project recently supported by the Strategic Economic Infrastructure Fund is The Sill which received a £1m investment into the new national landscape discovery centre which will create at least 120 jobs and contribute almost £5m in visitor spending to the North East economy each year.

We saw fantastic progress made during the three year pilot and the North East RGN now has the opportunity to continue to work with the North East LEP to build on what’s already been achieved and continue to support the North East’s rural economy.

You can find out more about the Rural Small Business Development Grant and the current call for more Strategic Economic Infrastructure Fund projects here .

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Strategic Economic Infrastructure Fund (SEIF) – Capital Project Call

The first call for the Year 2 Strategic Economic Infrastructure Fund (SEIF) is now open (closing date: 23 November 2015). This current call intends to allocate £1m of the budget subject to demand and fund up to five or six projects.

The fund is designed to stimulate investment in the development of business infrastructure in rural areas, including premises for new micro enterprises, small firms needing move-on accommodation, and facilities for larger and growing businesses. It will also support investment in strategic tourism assets, transforming the quality and added value of the rural tourism economy, as well as supporting infrastructure works needed to unlock employment development sites.

There are no firm minimum and maximum grant thresholds. However, indicatively projects requiring less than £40,000 will have to clearly demonstrate strategic impact in their community and why other rural funding, including new rural Leader programmes, may be unavailable to support such projects. Any project seeking over circa £500,000 would need to be clearly of regional importance to the rural economy and able to offer a range of economic benefits beyond a local level.

Projects may claim for project costs between 2016/17 and 2017/18. Applicants must provide a minimum of 60% match funding and will need to comply with State Aid rules. If work has already started on a project it is ineligible for SEIF support.
The Rural Growth Network invites project applications that are a strong fit with the guidelines, can progress quickly if selected, are able to commence and make significant progress on site in 2016 and are physically located within the North East RGN operational boundary.

Please note deadlines specified must be adhered to as funding cannot be rolled over into future years. Stage 1 submissions MUST provide realistic timescales for delivery. RGN Executive will remove projects at Stage 2 if it discovers this is not the case.

Please see the Project Call Guidelines document to check the eligibility of projects. Please read these carefully and if you consider your project to be eligible and would like an application form to apply or you require further clarification please contact Julie Bullen, RGN Implementation Officer: [email protected] / Tel: 01670 528476

The deadline for submission of Stage 1 applications is 12.00 noon 23rd November 2015.

Further information on the RGN programme can be found here: http://www.archnorthumberland.co.uk/north-east-rural-growth-network/rural-growth-network-news-and-events/

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£4.8million project in the North East to support people into work, training and education

Communities across Tyne and Wear are set to benefit from nearly £5 million of funding after the Big Lottery Fund and EU have joined forces.

The Big Lottery Fund is matching funds from the European Social Fund (ESF) 2014-2020 to provide joint investment in 61 local projects tackling poverty, promoting social inclusion and boosting local economies.

Projects will provide learning and training opportunities for people to increase their confidence and learn new skills that will put them on the path to employment. Projects are designed to help people to overcome a huge range of challenges in their lives and communities. For example, projects will provide specialist support to people living in a rural, isolated area, people who are homeless, have mental health issues, are living with a disability or overcoming addiction issues.

The Big Lottery Fund is working with local enterprise partnerships (LEPs) and their decision-making committees across England who have identified projects that best meet local need and priorities. From today organisations will be able to apply for funding to deliver these projects, including voluntary, community and social enterprise groups, who have historically found it hard to apply for and manage EU funding.

Dawn Austwick, Chief Executive of the Big Lottery Fund said: “Working with the North East Local Enterprise Partnership, these projects will enable people to overcome challenges and improve their long-term job prospects. This valuable partnership will create new opportunities for groups to focus on issues specific to their local communities.”

The 61 projects announced today across England with a total of more than £132.6 million available, represent the second round of this funding and involve 18 LEP areas. This takes the total number of LEP areas with projects to 38. Each LEP has identified the issues challenging their communities and the opportunity that funding can bring to address them.

Projects open for applications today include a project in the North East LEP area covering Tyne and Wear which aims to support people furthest from the labour market experiencing significant physical and mental health barriers into work. The project recognises the number of people who are unemployed due to ill health is relatively high in this area. Tailored support will be provided for each individual, assessing their complex needs and helping them overcome the main barriers to employment.

Potential applicants with questions about the stage one application process should view the FAQs available here: https://www.biglotteryfund.org.uk/bbofaq. The closing date for applications is 12 noon 30 November 2015.

A small number of further funding opportunities are expected in early 2016. To be kept informed on the latest Building Better Opportunities news register your interest on our website at www.biglotteryfund.org.uk/esf.

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£1 million boost for Northumberland’s rural enterprises at the Sill

The wide-ranging business and enterprise benefits of The Sill have been recognised with a £1 million investment by the North East Rural Growth Network.

The North East Rural Growth Network approved the £1 million Sill investment from the Strategic Economic Investment Fund (SEIF). The fund is designed to stimulate the development of business infrastructure in rural areas and to strengthen the rural economy in the North East LEP (Local Enterprise Partnership) area.

The Sill is the first major project in the rural North East to receive SEIF funding. The Sill will create at least 120 jobs, contribute almost £5m in visitor spending to the North East economy per annum and provide a unique training and education facility for future generations. The centre will also house a rural enterprise hub for 10-20 businesses. The Sill will bring together private, public and charitable sectors under one roof, in turn providing valuable networking opportunities and opening them up to thousands of potential customers each year.

Northumberland National Park Authority (NNPA) and YHA (England and Wales), The Sill’s lead partners, are today celebrating following confirmation of the £1m grant to further secure the future of the flagship project.

Glen Sanderson, Chairman of Northumberland National Park Authority, said: “It is fantastic to see The Sill receive support and backing from the North East Rural Growth Network and the Local Enterprise Partnership. The funding acts as recognition of the wide-ranging benefits the project offers not just to the people of the region and beyond but to the North East economy as a whole.

“It’s vitally important for Northumberland National Park to embrace, celebrate and champion business and enterprise within the local area – whether it be farming, crafts or fresh produce. The Sill will provide a hub for rural businesses to grow and flourish in a beautiful and historic location.

“This investment in The Sill will help ensure that rural businesses continue to thrive, and we are enormously grateful for this support. The grant will enable The Sill project to move forward with its plans at pace and puts us within touching distance of the funding target.”

Cllr Val Tyler, Cabinet member for Arts, Leisure and Culture with Northumberland County Council, said: “This is very welcome news for this amazing project. The Sill is a key component of our Economic Growth Strategy and will help attract even more visitors to the county and the wider region each year.

“Bringing new jobs and investment to areas such as this is vital for the future prosperity of Northumberland and this latest funding brings the whole project one step closer to reality.”

Gillian Hall, North East LEP board member, said: “The Sill is a project of major significance to the North East tourism industry, situated by the Hadrian’s Wall World Heritage site with the potential to create scores of new jobs in its development and boost economic growth in the area.

“The North East LEP is delighted to be able to support the development of the landscape discovery centre through the North East Rural Growth Network. We look forward to The Sill becoming an inspirational learning environment and major visitor attraction, allowing the stunning landscapes and history of the Northumberland National Park to be enjoyed by visitors from around the world.”

The funding news comes following a successful few months for the ambitious Sill project. In February, The Sill received a £7.8m grant from the Heritage Lottery Fund. The project has also received significant investment from a range of other supporters, including a £500,000 capital grant from Northumberland County Council.

This latest investment means that £13.4 million of the overall £14.2 million cost of the Sill has now been secured. Construction of The Sill is expected to begin on site later this year. The activity programme will start in autumn 2015 and The Sill will open its doors to the public in summer 2017.

For more information about The Sill project, visit www.thesill.org.uk , find the Sill on Facebook or follow the Sill on Twitter @thesillproject

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Firm doubles turnover with GrowthAccelerator

North East construction company Howard Russell Construction has seen its annual turnover double after signing up with GrowthAccelerator, the government-backed service which helps businesses to grow.

GrowthAccelerator works with SMEs with up to 250 employees or up to £40m turnover, offering bespoke support to help the business move forward.

Julie Skevington, Business Development Manager at Winning Pitch, said: “GrowthAccelerator is led by some of the country’s most successful growth experts who work with ambitious firms to upskill senior team members and identify barriers to growth.

“Every company is different so the solutions we provide are bespoke and include coaching and access to expert advice which helps North East SMEs to thrive.”

Cramlington-based Howard Russell Construction works with clients throughout the UK, offering a design and build service.

Craig Muldoon, Pre-Construction Manager at Howard Russell Construction, said: “We signed up to GrowthAccelerator and were assigned a coach which turned out to be very beneficial.

“We remained strong throughout the recession with a steady turnover of around £7 million however this coming year, we’re predicting a turnover of around £15 million. It’s a massive increase and I believe GrowthAccelerator has contributed to that.”

As well as a tailored package of support which can include advice on access to finance or coaching by innovation experts, GrowthAccelerator also provides access to up to £2,000 match funding for senior managers to hone their leadership and management skills.

Craig Muldoon said: “The help that Howard Russell Construction got from the scheme has been a strong factor in the company’s growth. We’ve increased our turnover, won new business and taken on more employees. Without a doubt I would encourage other businesses to look into what GrowthAccelerator could do for them.”

GrowthAccelerator is just one of the business support services available to SMEs in the North East.

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Launch of European Structural and Investment Funds programme

I am delighted to confirm that the 2014-2020 European Structural and Investment Funds programme has now been launched.

Whilst part of a national programme the local strategy, developed with partners, remains at the heart of local delivery of programme. The notional allocation of 540m Euros is a major opportunity for investment in smart, sustainable and inclusive growth in the North East to drive business growth, skills, employability and inclusion, sustainability and innovation. These are essential elements in delivering on the aspiration in the Strategic Economic Plan for achieving more and better jobs in the North East.

Following the launch of the programme as a whole, a small number of time-specific calls have been launched. We will be be launching a much fuller range of calls following formal approval of the programme. Given the uncertainties around calls before the final adoption of the programme we have focused on those areas of particular need due to time-limited match funding, particularly pressing issues of continuity and major strategic need. These calls will therefore cover elements of innovation, business support revenue provision and a small element of employability provision.

Innovation
Projects worth up to £17m are sought which focus on strengthening and promoting research, technological development and innovation in the North East LEP, enhancing research and innovation investment and capacity, increase investment and activity in research and investment by SMEs. Particular areas of activity include building aligned networking support capacity and enhancing research commercialisation. The closing deadline for this call is the 27th May 2015. More details.

Business Support
Funding of £10m-15m is being made available for revenue projects looking to provide support to small and medium sized enterprises to increase entrepreneurship, particularly in areas with low levels of enterprise activity and amongst under-represented groups and increase the growth capacity. This call will close on the 29th May 2015. Activities in this area should align and integrate with the North East Growth Hub. Particular areas of local need have been identified around:

· Business growth, productivity and resilience
· Trade and export growth
· Investor readiness
· Entrepreneurship and enterprise
· Social enterprise
· Digital technologies

More details.

Employability
This is a very limited call to run a project providing access to employment in the North East Local Enterprise Partnership area. Activity is focused on addressing barriers to reintegrate individuals into the labour market or sustainable employment through tailored and targeted support and greater alignment between health and mental health practitioners and employment services. A total of £1.5m is available through this call. The closing date for proposals is 22nd May 2015. More details.

Youth Employment Initiative (County Durham only)
This call seeks proposals in response to the new Youth Employment Initiative (YEI) in County Durham under three themes of peer mentor and employment support, engagement and progression of vulnerable and disadvantaged groups and providing work-related opportunities through a new employment zone. Total investment work £13.4m is available and activity must be completed no later than 31st July 2018. The closing date for this call is the 22nd May 2015. More details.

I therefore encourage you to look at the published calls which are available here.

You will need to register with the central government Managing Authorities to apply which can take up to 10 days. You can do this by emailing [email protected] and further details are available on Gov.uk.

All applications will need to respond to local strategic need, as set out in the North East LEP European Structural and Investment Funds Strategy and Strategic Economic Plan and the eligibility criteria set out for European funding through the draft Operational Programmes.

You can find out more about the local strategy and context on our website or by contacting the team.

James Davies
ERDF Policy and Strategy Co-ordinator

Home / Funding / Page 15

Enterprise Hub Launches in Hexham

Businesses in Hexham will benefit from a new Enterprise Hub following its official launch this week.

The new hub will expand the existing enterprise activity that already takes place at Adapt North East where an individual hub has been set up at the Adapt headquarters on Burn Lane, Hexham.

The new hub compliments the Northumberland National Park Authority (NNPA) hub and they both support local businesses and people wishing to start up new businesses.

The funding has come from the Enterprise Hubs programme from the North East Rural Growth Network, operated by a regional partnership under the North East Local Enterprise Partnership and North East Farming and Rural Advisory Network.

The Adapt hub offers competitively priced small offices and workshop space on flexible rental terms to micro-enterprises, providing access to superfast broadband and free parking. Businesses have access to rural enterprise support services provided by Northumberland College and Northumberland Business Service Limited, (NBSL). Hexham Business Forum and Hexham Community Partnership will also provide further support.

The Adapt hub offers nine new workshop units in a former council highways depot along with four existing offices and a meeting area within the main office complex. It will target businesses of a more traditional manufacturing nature as well as social enterprises. The Hexham Enterprise Hub will be operational from this week. To date, six other enterprise hubs have already been developed and are open for businesses in Alnwick, Wooler and Hexham.

Anthony Braithwaite, Chair of North East Farming and Rural Advisory Network said: “It’s fabulous to see the transformation of what was, not so long ago, a redundant former works depot, into a vibrant new enterprise hub. ADAPT should be congratulated on their vision to take on this challenging site and create a range of workshops for small, including social enterprise, businesses. It’s fantastic news that the Rural Growth Network has been able to assist with the development of two complementary enterprise hubs for Hexham”.

Cllr Scott Dickinson, Business Chair at Northumberland County Council said: “I am delighted to see yet another enterprise hub get underway, especially in the West of the county.  These facilities are invaluable to small and start-up businesses, which are key to new business growth.”

Liz Prudhoe Director at Adapt (North East) said: “Adapt as a social enterprise is delighted to have developed a resource that offers affordable space to businesses and supports economic growth”.

 

 

 

 

 

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North East Growth Deal signed as Newcastle’s Science Central is launched

One of the biggest urban regeneration projects of its kind in the UK was officially launched today by Minister for Universities, Science & Cities, the Rt Hon Greg Clark MP.

The Minister was the guest of honour today at the official opening of Science Central. He was joined by Cllr Nick Forbes, Leader of Newcastle City Council, and the Vice-Chancellor of Newcastle University, Professor Chris Brink, to commemorate the first phase completion.

To mark the occasion, the Minister laid a commemorative stone in one of the site’s newly developed public areas, Science Square. Originally the Elswick Colliery, and later the home of Scottish and Newcastle Breweries, the 24 acre Science Central is a long-term partnership between Newcastle City Council and Newcastle University, as part of the Newcastle Science City initiative.

Mr Clark later addressed an audience of business leaders in The Core, Science Central’s landmark £11.2m building, which opened in November.

Minister for Universities, Science & Cities, the Rt Hon Greg Clark MP said: “Science Central is a unique city centre development that will not only drive scientific advances and innovation in the region; it will create jobs and a thriving community to grow the North East economy.

“I am delighted to be here today to officially open Science Central and mark the first phase of the development’s completion by laying this commemorative stone.”

Nick Forbes, Leader of Newcastle City Council said: “Today is a major step forward in the development of Science Central. The joint investments being made here by the City Council and Newcastle University have provided much needed employment opportunities, firstly by creating and safeguarding construction jobs and skills through the recent recession and now by providing state of the art office facilities in the city centre to attract new businesses and jobs.

“This is all part of our vision for putting Newcastle on the map for new and emerging science and technology-based industries. This unique site is being transformed through our investment, which was unlocked by the City Deal that Greg Clark and I signed three years ago, and the rapid progress made in transforming this area since then is testament to the ambition we have, to make Newcastle the best place in the UK for businesses to locate and create the next generation of jobs for the city.”

In January 2015, Newcastle University unveiled its £58 million investment plan for Science Central, which includes a state-of-the-art Urban Sciences Building. This aligns with the ambitions of the partnership to make Newcastle a smart city of the future, with Science Central as a flagship project bringing together academia, the public sector, communities, business and industry to create a global centre for urban innovation in the heart of the city.

Vice-Chancellor of Newcastle University, Professor Chris Brink said: “Our vision and commitment to being a world-class civic university means we do not just look at what we are good at but also what we are good for.

“Over the next four years, we hope to see Science Central grow to become an exemplar of urban sustainability research, bringing together academia, organisations, industry, democracy and communities to develop solutions that will make a difference to people’s lives across the globe.

“Working alongside policy makers, businesses and public organisations, Newcastle University’s plans will put ‘the first science on Science Central’ – the hub for digitally enabled urban sustainability research.”

Mr Clark concluded his visit by joining Andrew Hodgson, Vice-Chair of the North East Local Enterprise Partnership, in the signing of the Local Growth Deal – £290 million of investment for the region announced in July 2014, and expanded by a further £40.6 million in January 2015.

Andrew Hodgson, Vice-Chair of the North East Local Enterprise Partnership concluded: “The signing of the North East Growth Deal today marks a milestone in the delivery of our plan for economic growth. The £330m Deal will provide investment for our transport infrastructure, skills, innovation and business support projects, and act as a catalyst to lever in substantial private and public investment delivering more and better jobs for everyone and creating long term growth.”

Science Central has been part-funded through the European Union Regional Development Fund 2007-2013 (ERDF) and by the Regional Growth Fund.

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£40.6m investment secured in Growth Deal expansion

The North East Local Enterprise Partnership has agreed an expansion to its Growth Deal with the Government which 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.

Over the lifetime of its Deal (2015-2021) the Local Enterprise Partnership estimates that up to 5000 new jobs could be created and that it has the potential to generate £130m public and private investment.

The additional proposed projects include:

  • The creation of a facility for a national centre to develop and commercialise photonics based therapies. Lead by the Centre for Process Innovation, part of the High Value Manufacturing Catapult
  • Upgrading the facilities at Northumberland College to improve skills levels and support economic growth in key sectors such as advanced manufacturing, renewables and ICT
  • Sunderland Enterprise and Innovation Hub. Enterprise and Innovation Hub, comprising the first ‘Fab Lab’ in the North East, incubation spaces and workshop, office and laboratory space for manufacturing, creative and science-based businesses

In addition, the Government is committed in principle to support the development of Dun Cow Quay in Blyth and the regeneration of South Shields Town Centre through discounted Public Works Loan Board borrowing. These projects will provide 25,000 square feet of new commercial workspace in Blyth and a high quality bus and metro interchange to improve the public transport connectivity of South Shields Town Centre.

The North East Growth Deal is part of a long term plan to devolve at least £12 billion from central government to local economies. The plan aims for every part of the country to be a motor of growth for the national economy – building on the strength of the North East.

The Prime Minister said: “Giving local communities the power and the money to unlock growth and development and make the spending decisions that work for them is a key part of our long-term economic plan to secure a brighter future for Britain and ensure a recovery for all.

“And this is happening right across the North East, with more money announced today for key projects to boost the local economy as part of the multi-million pound expansion of the Government’s Growth Deals.

“And because the money will be in the control of a partnership of local community, business and civic leaders it means it will go on the things that really matter to people and businesses here.

“That is what Growth Deals are all about, backing local people and investing in the infrastructure, housing and skills that will drive forward local economies, create more jobs and opportunities for hardworking people and supercharge all parts of our country.”

The Deputy Prime Minister said: “A quiet revolution is underway in the North East and across the country, as Growth Deals signal the death of the culture where Whitehall calls the shots. I’ve seen for myself the difference it makes to give the region more power over skills, over business support, over infrastructure spending.

“I am delighted to announce the expansion of the North East Growth Deal today.

“The Coalition Government has been relentless in our efforts to sort out the public finances and set firm foundations for growth. Growth Deals help create a stronger economy and a fairer society by boosting local economies, and providing more jobs, better transport and affordable homes.”

Paul Woolston said: “The North East’s economic plan ‘more and better jobs’ sets an ambitious vision for the North East, to transform the economy and enable more businesses to invest, grow and prosper, delivering more and better jobs for everyone.  We are delighted that government is further supporting our proposals with such a significant investment.

“The additional £40.6m added to our £289.3m Growth Deal endorses our approach providing investment for innovation, skills, business support, and transport, developing our economic assets and supporting inclusive growth.

“The overall deal will act as a catalyst to lever in substantial private and public investment, creating thousands of jobs and providing sustainable and long term growth.

“The North East Local Enterprise Partnership is looking forward to working with our partners and government to make it happen.”