MINUTES OF THE BOARD MEETING HELD ON THURSDAY, 16 FEBRUARY 2006
AT RENAISSANCE HOUSE, WARRINGTON
Present:
Bryan Gray (Chairman)
David Brockbank
Joe Dwek
Sir Martin Harris
Peter Hensman
Dave McCall
John Merry
John Moverley
Marie Rimmer
Anil Ruia
Brenda Smith
Mike Storey
Maureen Williams
Also Present:
Steven Broomhead
Bernice Law, Secretary
James Berresford 76/00
Fiona Mills 76/05
Ian Haythornthwaite 76/07
Keith Barnes RD GONW (observer)
76/00 PRESENTATION: NW TOURISM
FORUM
Felicity Goodey, Chair of the NW Tourism Forum and James
Berresford, NWDA Director of Tourism gave a presentation on the
development of Tourism in the region over the last year and the
issues and challenges facing the industry.
The Board noted that strategic leadership of Tourism was a
statutory responsibility for RDAs. NWDA delivered this through the
Regional Tourism Forum and five sub regional Tourist Boards.
The Board also noted that the Tourist Boards had formed important
working relationships with their respective SRPs and through Agency
funding were delivering a range of innovative schemes.
The Board also noted that for 2004 the total tourism expenditure
in the region was estimated to be £10.6bn, which in real terms was
up 1.7% on the previous year. This expenditure generated an
estimated £3.9bn contribution to regional GVA and supported 146,000
directly employed posts. VisitBritain had reported that the
current climate for Tourism was broadly favourable although it
continued to exist within a challenging environment. The
Board was advised that changing customer demand provided both an
opportunity and a challenge for the region and consequently there
would be a need for improvement in service quality; and business
leaders and managers would need to respond to the demands and
expectations of visitors. The Tourism Forum was working to gain an
understanding of these requirements from which the results would be
used to help SMEs improve their investment decisions.
The Board noted the progress made with regard to the Signature
projects identified in the Regional Tourism Strategy, which
included the Renaissance of the Lake District, Blackpool and
Hadrian’s Wall.
The Board was advised that the Agency would soon publish:
- A Regional Tourism Business Strategy, which would emphasise the
need to give priority to growing national and international
business tourism
- A Visitor Information Strategy, which would highlight the
importance of providing reliable, prompt and appropriate
information to visitors.
The Board noted that a review of the Regional Tourism Strategy,
which was published in 2003, would be undertaken over the next four
months. An interim strategy report would be published later in the
year.
76/01 INTRODUCTION AND APOLOGIES FOR
ABSENCE
Apologies were received from Pauleen Lane.
76/02 MINUTES OF THE MEETING HELD ON 19 JANUARY
2006
The minutes were approved as a correct record.
76/03 ACTION POINTS FROM LAST MEETING AND MATTERS
ARISING
The Board noted the progress made with regard to the action
points from the previous meetings.
ITEMS FOR INFORMATION
76/04 INDEPENDENT PERFORMANCE ASSESSMENT
The Board discussed the conclusions drawn from the Agency’s Self
Assessment of its performance, which had been submitted to NAO on 9
January, as a first stage of the Independent Performance
Assessment.
The Board noted that NAO was consulting with stakeholders and
partners and reviewing the supporting evidence that the Agency had
provided prior to their visit to the region, which would take place
from 13 to 23 March. During that visit the Assessment team
would attend the E,I &S Sub Committee meeting and the main
Board meeting, both which would take place on 16 March.
The Board was advised that the IPA team visited the Agency on 15
February and formally met the Chairman, Chief Executive, members of
EMB and the NWDA internal IPA team to discuss the itinerary for the
March visit and the key issues concerning the assessment.
The Board noted the Agency’s key strengths and weaknesses, which
were highlighted in the Self Assessment document as well as the
Agency’s initial improvement plan.
76/05 CORPORATE MANAGEMENT STRUCTURE
The Board received a presentation from Steven Broomhead, Chief
Executive and Fiona Mills, Director of Organisational Change on the
proposed new management structure for the Agency, which would be
implemented from April/ May 2006. The changes were necessary
to:
- Enable effective delivery of the new RES
- Strengthen the Agency’s capacity to lead on policy
- Improve project and programme delivery
- Improve corporate effectiveness
- Improve Agency wide co-ordination of sub regional partners
- Be proactive in relation to efficiency issues that would arise
from the Comprehensive Spending Review 2007.
The Board noted that interim arrangements had been put in place
for the management of the Development and Partnerships Directorate
and that a number of communication mechanisms, including weekly
meetings with the Staff Consultative and Negotiating Committee, had
been put in place to ensure that staff were kept fully informed of
developments.
76/06 CHIEF EXECUTIVE’S REPORT
DTI Evaluation of Economic Impact of
RDAs
The Board noted that as part of the RDA input to the 2007
Comprehensive Spending Review, DTI and Treasury required RDAs to
provide an evaluation of their achievements since their conception
in 1999.
The Board noted that Steven Broomhead had agreed to chair the
Steering Group which consisted of senior RDA representatives and
Departmental officials and which had been established to oversee
the work to produce the evaluation report.
Regional Funding
Allocations
The Board noted that the region had submitted its advice to
Government on future spending priorities over the next 10 years in
relation to funding streams for economic development, housing and
transport. The Board was pleased to note that the joint
document represented a considerable step forward for the region in
agreeing joint priorities and objectives and in particular
that:
- The region had agreed its road transport priorities within an
agreed budget.
- The economic development, housing and transport strategies and
spending priorities were now better aligned.
Mann Island
The Chief Executive reported the decision of the Heritage Lottery
Fund not to fund the Museum of Liverpool. The Museum was an
integral part of the Mann Island project.
The Board agreed that the decision was a setback, given the
satisfactory progress that was being made with the Mann Island
project as a whole; and that in other respects, the Museum was
progressing well. Planning permission had been given in
December 2005 and there was clear evidence that the design had been
developed to stay within budget.
The Board was reminded that when it had endorsed the appraisal
of the Museum project in July 2005 (following detailed
consideration by the Marketing, Communications and Tourism Sub
Committee) it had recognised that non receipt of HLF funding would
be a risk and had therefore agreed a specific condition for
National Museums Liverpool in case funding was not made
available.
The Board noted that a complete review of the conditions set by
the Board at the July 2005 meeting would take place and the outcome
presented to the April Board meeting, following consideration by
the Marketing, Communications and Tourism Sub Committee.
Daresbury
The Board noted that the Secretary of State for Industry had given
formal consent under section 5(2)(c) of the Regional Development
Agencies Act 1998 for the Agency to form and acquire an interest in
a new Special Purpose Vehicle (SPV) with CCLRC, Halton Borough
Council and the Universities of Liverpool, Lancaster and
Manchester, to take forward the Business Development of Daresbury
International Science and Technology Park (DISTP).
The Board was advised that Professor Sir Martin Harris would
chair the company’s Board and that the first Board meeting would
take place on 29 March 2006.
The Board noted the progress made with regard to Daresbury
Innovation Centre and that the Cockcroft Institute would be handed
over to its tenants in April /May 2006.
EU Structural Funds 2007 to 2013 – Implications for the
North West
The Board noted that the EU summit in December produced a
compromise amongst the 25 member states on the EU budget for 2007
to 2013. A budget of €862 billion or 1.045% of EU Gross
National Income (GNI) was agreed.
The Board was made aware that as a result of the budget
agreement, assumptions were that the overall regional budget would
be around £480m - £510m, compared to the current allocation which
was approximately £1.7bn.
The Board noted the potential pressure on NWDA to provide match
funding for those projects that were successful in securing EU
support. It also increased the need to ensure that structural
funds were squarely focused on RES priorities and delivered in the
most flexible way.
Board members were advised that a process was underway to ensure
that operational programmes were ready for 1 January 2007 and that
RDAs had been directly involved (via EMDA) in the discussions on
the draft National Strategic Reference Framework (NSRF), which was
expected to be published soon by Government.
The Board agreed that it was important that the Agency continued
to engage directly in the process and help in the development of a
set of clear priorities for future programmes. Consequently
the Board endorsed the Agency’s objectives in this regard, which
were to:
- Encourage a single operational programme for the whole of the
NW region, including Merseyside
- Ensure that the new RES is the basis for the new programme
- Ensure an allocation to the region that allows maximum
flexibility to deliver the RES priorities and activities across the
regional, sub regional and local spectrum
- Ensure continued regionalisation of the European Social Fund
within the employment element.
Lake District World Heritage Site
Inscription
The Board noted the progress made with regard to the potential bid
for World Heritage Site inscription by the Lake District National
Park. In October 2004 the Park Authority had appealed to
stakeholders (including NWDA) to support the WHS bid. At the
same time the Agency had commissioned consultants to assess the
implications of a potential bid, from which the conclusion was that
there was no clear cut case for or against seeking inscription in
terms of its benefits or impact.
The Board agreed that the Agency should remain committed to the
sustainable economic future of the Lake District. However it
also agreed that there was still uncertainty as to whether WHS
inscription would add value and promote sustainable economic
activity. The Board noted that the Agency would continue to
work closely with partners to assess the evidence before agreeing
any unconditional support for inscription and was keen to achieve
sustainable benefit for the Lake District as part of the wider
North West region.
Defence industrial Strategy: Implications for the North
West
The Board noted that the Agency had been working closely with DTI
and the South West Regional Development Agency on the development
of the Defence Industrial Strategy (DIS). The DIS had been
developed as part of the Ministry of Defence’s (MoD’s) plan to
transform the Military into agile, flexible expeditionary forces
that would be supported by a substantial MoD equipment procurement
programme.
The Board noted that the DIS had major implications for the
North West and would require some investment both in time and money
to manage the changes that it would bring. The key areas affected
were Aerospace, Ships, Submarines, military vehicles and their
respective design teams. The Board also noted that MOD and
DTI saw Systems Engineering and Supply Chain activities as main
courses of action.
The Board agreed that it was important that the Agency continued
to be involved with the implementation of the DIS and also the
Maritime Industrial Strategy, which was due to be published in the
summer of 2006. The Agency would continue to work with BAE
Systems and the other RDAs to ensure input to the Defence Select
Committee and National Defence Industries Council as well as the
continuing dialogue with MOD and DTI.
Medicine and Dentistry in the North
West
The Board noted two recent announcements in respect of the North
West Universities which were as follows:
- Fifty new medical places had been awarded to the region via a
consortium led by Liverpool University, to be delivered at
Lancaster University at a new centre for medical education.
- Thirty two new dental places had been awarded (also via the
consortium) to be delivered at UCLAN, via a four year graduate
entry programme.
The Board noted that the numbers involved represented almost one
third of the national allocation in this field and that both
announcements reinforced the effectiveness of the Universities
working collaboratively to address the priorities and growth
sectors identified in the RES. It also demonstrated the ability of
Higher Education to address the regional and national shortfall in
dentistry and medicine.
The Board agreed that the choice of location would make a
critical contribution to the establishment of the University of
Cumbria.
Enterprising Britain
The Board noted that, again this year, the Agency would be involved
in the Enterprising Britain competition, which SBS had announced on
30 January and which aims to find the most enterprising place in
the UK.
The Board noted that the competition included a regional element
managed by RDAs (for which applications were due by the end of May
2006.) For the North West the Agency would adopt the same
application process as last year. Local Authorities would be
invited to apply for the award on behalf of their locality and to
ensure impartiality, a panel consisting of representatives from
NWDA, the CBI, IoD, Federation of Small Businesses and Business
Leadership Team would make the final judgement on the
applications. The Agency would provide a small award to the
winning entry.
Barker Review of Land Use
Planning
The Board noted that Kate Barker member of the Bank of England’s
Monetary Policy Committee had been asked by the Chancellor of the
Exchequer and Deputy Prime Minister to conduct an independent
review of land use planning in England. The review would
consider how planning policy and procedures could better support
economic growth and property alongside other sustainable
development goals; and to ensure that the review was evidence
based, Treasury had called for views by 28 March from a range of
organisations, including RDAs.
The Board was advised that, at its meeting on 9 February the
Infrastructure Sub Committee had reviewed and endorsed the Agency’s
contribution to the collective RDA response, subject to enhancement
to ensure that it fully reflected the new RES and the Northern Way
Growth Strategy.
NWDA Weekly Report
The Board noted that the Agency had reviewed the format and content
of the Weekly Report (which was circulated to Board Members, MPs
and MEPs) to ensure that it continued to be fit for purpose.
The revised report, which would be available from the beginning of
March, would have a new format that would highlight key stories and
items would be clearly marked by RES theme.
Consultation on new Strategic Health Authority
Arrangements in the North West of
England
The Board noted that as part of the planned changes within the NHS
as a whole, the Government was reviewing the Strategic Health
Authority (SHA) arrangements in the region. This
included:
- Proposals to reduce the number of Primary Care Trusts by more
than half in the North West, thus saving about 15% in
infrastructure costs
- An intention to reduce the three Strategic Health Authorities
(SHAs) in the region to one.
The Board welcomed the establishment of a single SHA, which
would fit more effectively with the current regional governance
arrangements (i.e. the Agency, the Regional Assembly and Government
Office North West).
The Board also noted that from 2008 all hospitals would become
Foundation Trusts and would no longer be under the control of
SHAs.
Freedom of Information
Act
The Board noted the number of requests that the Agency had received
under the Freedom of Information Act, for the first 12 months since
the Act came into force on 1 January 2005.
76/07 FINANCE DIRECTORS REPORT
The Board noted the Agency’s financial position as at 31
December 2005 and in particular that the Agency expected to achieve
its financial targets for the current financial year within the
broad budget constraints that the Board had set and agreed with
DTI.
The Board noted that the Executive Director, Corporate Resources
and Finance had reviewed the Agency’s accounting arrangements to
assess the impact of Write Downs and in particular DTI’s decision
to ring fence Write Down costs.
The Board noted that the Strategic Investment Plan had been
circulated to Sub Regional Partnerships, with a covering letter
from the Chief Executive which asked SRPs to submit their Action
Plans to the Agency by 14 February 2006. The Board was
advised that this timetable would allow a review to be undertaken
prior to the final version of the SIP being presented to the March
Board for approval.
The Board was advised that the Board Task and Finish Group to
review the Property Management Strategy had met on 9 February 2006
and had concluded that the Agency should progress the original
scheme as previously agreed by the Board.
The Board noted the schedule of delegations for the period 22
December 2005 to 19 January 2006 and approved two Single Tender
Actions in respect of the publication of a newspaper Sunday
supplement on Tourism and for the Northern Way Skills Investment
Project.
76/08 CHAIRMAN’S REPORT
Core Cities Debate
The Chairman provided feedback from the January meeting of RDA
Chairs meeting and Ministers, at which the Rt Hon David Milliband,
Minister of State for Communities and Local Government, had
presented a paper that outlined proposals to give major cities
greater freedoms (particularly Manchester and Birmingham.)
Core Cities had been asked to submit Business Plans to ODPM to
outline how they would respond to this challenge.
The Board noted that HM Treasury and other parts of Government
recognised the importance of the RES and saw the Core Cities debate
as a natural extension, expecting RDAs to work with the Core Cities
to help them develop their plans.
The Board agreed that the Agency should work closely with
Greater Manchester and Greater Merseyside on the development of
their City Business Plans, which would be submitted to ODPM by the
end of March 2006.
Energy Sector
The Board noted that the RDA Chairs had agreed that NWDA would take
over the lead on Energy and in particular lead the RDAs collective
response to the Energy White Paper.
The Board agreed that the Terms of Reference for the Environment
Sub Committee should be revised to take account of its new remit in
respect of Energy policy and Climate Change.
76/09 Minutes from the Urban Sub Committee held on
11 January 2006
The Board noted the minutes from the Urban Sub Committee held on
11 January 2006.
76/10 Minutes from the Enterprise, Innovation and
Skills Sub Committee held on 12 January
2006
The Board noted the minutes from the Enterprise, Innovation and
Skills Sub Committee held on 12 January 2006.
76/11 Minutes from the Social Inclusion Sub Committee
held on 16 January 2006
The Board noted the minutes from the Social Inclusion Sub
Committee held on 16 January 2006.
76/12 Minutes from the Audit Committee held on 19
January 2006
The Board approved the minutes from the Audit Committee held on
19 January 2006. The Board noted that the Financial Regulations and
Delegations would now be presented to the March Board.
76/13 Minutes from the Environment Sub Committee held
on 19 January 2006
The Board noted the minutes from the Environment Sub Committee
held on 19 January 2006.
76/14 Minutes from the Marketing, Communications
and Tourism Sub Committee
held on 19 January 2006.
The Board noted the minutes from the Marketing, Communications
and Tourism Sub Committee held on 19 January 2006.
76/15 Minutes from the Rural Sub Committee held on
23 January 2006
The Board noted the minutes from the Rural Sub Committee held on
23 January 2006.
76/16 Minutes from the Infrastructure Sub Committee
held on 26 January 2006.
The Board noted the minutes from the Infrastructure Sub
Committee held on 26 January 2006
76/17 DATE AND TIME OF NEXT
MEETING
The next meeting would take place on 16 March 2006 at 12.30pm at
Renaissance House, Warrington.