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Birmingham_ Solihull_ Lichfield_ Tamworth _ East Staffs LEP


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									    Dear Secretaries of State

    Creating a Globally Competitive Knowledge Economy – The Local Enterprise
    Partnership for Birmingham and Solihull with East Staffordshire, Lichfield and

    Thank you for your letter of 29 June, in response to which we are pleased to enclose our
    outline submission for a Local Enterprise Partnership.

    We are excited by the opportunity you have presented us with - and strongly believe that our
    Partnership will make a real difference to businesses and communities, and this is at the
    heart of our approach. With a significant, and increasing, number of economic assets and
    drivers, we will be an engine for the UK growth agenda.

    Ours is a strong and equal partnership between dynamic business communities and local
    authorities, who share ambition, aspiration and vision – underpinned by a functioning
    economic geography.

    Ours is also a partnership of the willing, focussed on delivery and on impact – so we are
    setting ourselves clear targets for growth – and will be accountable for these. In a time of
    economic contraction we will:-

         •   Grow our economy by 30% by 2020 (Gross Value Added)
         •   Increase private sector employment, by 100,000 jobs by 2020
         •   Grow our business base and increase business investment
         •   Achieve global leadership in key local sectors
         •   Create a world-class workforce with the skills required to achieve our ambitions

    As our focus is delivery, our submission is short – at two pages – as we will be judged on our
    outcomes. However, in order to demonstrate the breadth and ambition of our plans, we are
    also including a more detailed description of our proposal.

    We are asking you to work with us and to give us the tools we need to achieve these
    outcomes. By working together we can exceed expectations, outperform economic forecasts
    and deliver economic growth.

                                                  Yours sincerely

                               David Caro, Chair Birmingham               Ian Hedley,
       Mike Whitby,                                                                               Peter Farmer, Chair Tamworth
                                Branch, Federation of Small     Leader of Solihull Metropolitan
 Leader of Birmingham City                                                                          & Lichfield Business and
                               Business & Managing Director           Borough Council
          Council                                                                                 Economic Partnership & /MD
                                      of Qualplast Ltd
                                                                                                         of The Grapevine

Richard Grosvenor, Leader of                                                                       Paul Thandi, President of
                               Paul Kehoe, Chief Executive of     Michael Wilcox, Leader of
 East Staffordshire Borough                                                                          Solihull Chamber of
                                 Birmingham International         Lichfield District Council
           Council                                                                                Commerce & Chief Executive
                                                                                                      of the NEC Group

                                                                David Stevens, Director, Arup
                                 Steve Claymore, Portfolio
                                   Holder for Economic
                                 Development & Enterprise
                                Tamworth Borough Council
                                                         Our Vision
                                                         Our vision is to create and support a globally competitive knowledge

The Local Enterprise                                     economy, the natural home for Europe's entrepreneurs and wealth
                                                         creators. Reflecting our tradition for attracting innovators, risk takers,
                                                         entrepreneurs and mavericks, within ten years the economic area will be

Partnership                                              renowned for being the easiest place in Europe in which to set up and
                                                         run a business. Key aims are to:
                                                         •   Increase economic output (GVA) in the area by 30% (£8.25 billion) by 2020;

for Birmingham & Solihull with                           •
                                                             Create 100,000 private sector jobs by 2020;
                                                             Stimulate growth in the business stock, survival rates and business profitability;
                                                         •   Boost indigenous and inward investment;
East Staffordshire, Lichfield                            •   Achieve global leadership in key sectors, including: automotive assembly; low
                                                             carbon R&D, transport and building technologies; business, professional and

& Tamworth                                               •
                                                             financial services; clinical trials; ICT; creative and digital sectors;
                                                             Build a world class workforce with the skills needed to achieve our ambitions
                                                             whilst dramatically reducing worklessness.

                                                         Our Strategy
 Government has called on business leaders and local     Our emerging strategy comprises two mutually reinforcing strands: (a)
                                                         creating an enterprise culture and (b) investing in the required
 authorities to set out plans for developing Local       infrastructure to support it.
 Enterprise Partnerships (LEPs) which will take on the
                                                         (a) We will make it easy to:                        (b) We will make it easy to:
 duty of leading economic development in 'functional     • Believe in enterprise - work with our             • Connect with other businesses and
 economic areas'.                                          schools to excite young people about business.      markets - renovation of New Street Station,
                                                         • Start-up and grow existing businesses -             extension to Birmingham International Airport
                                                           establish a peer support mechanism for new          runway, High Speed rail links, rapid transit
                                                           and existing businesses, including social           solutions, well maintained roads and superfast
 This Summary reflects the response submitted on 6th       enterprises, and remove regulatory barriers.        broadband.
 September 2010, but remains subject to further          • Access finance - grow the existing local stock    • Accelerate infrastructure investment
                                                           exchange (Investbx) into a debt and equity          and growth - along the M42 corridor
 consultation and development. Our LEP provides an         supplier for SMEs and develop community-based       including Destination NEC and Blythe Valley
                                                           finance programmes for small business.              Park, Birmingham city centre (Arena Central,
 exciting opportunity for a business-led approach to     • Recruit skilled people - collaborate with           Paradise Circus, New St Station, Wholesale
 economic development for an area which enjoys the         our world class HE and FE institutions to drive     Markets, Bordesley Park), at Longbridge,
                                                           skill levels to meet the needs of the local         North West and East Birmingham.
 most significant collection of assets and drivers         economy whilst increasing economic activity.      • Invest and develop - work with
                                                         • Exploit our key sectors - take forward the          Government and business ambassadors to
 outside the capital.                                      best of sector and cluster programmes, with         attract investment through a more focussed
                                                           increased leadership from business.                 local strategy, supported by a growth in
                                                         • Invest in new ideas - promote innovation            quality housing.
                                                           and R&D, maximising the commercial                • Enjoy a high quality of life - develop
                                                           potential of the output from our universities,      cultural, sporting, leisure and heritage
                                                           Science Parks, Digital Birmingham and               facilities.
                                                           Birmingham Science City.
Operations                                                                                   Funding
                                                                                             We will set clear priorities within tight financial parameters. To deliver
The Economic Area                                                                            economic growth, we will establish an Investment Fund and explore a
Establishment of a LEP will help deliver the Government's commitment to                      variety of sources including:
localisation and allow the area to take greater control of its own resources                 • Leading bids to the Regional Growth Fund, Green New Deal and other
and future success. Our LEP covers some of the most functionally related
                                                                                               Government and EU funding streams;
local authority areas in the country. From travel to work patterns to
                                                                                             • Local taxation including retention of business rates and Accelerated
shared assets, the lives and futures of the people and institutions of the
area are inextricably linked.                                                                  Development Zones;
                                                                                             • Making use of public sector land holdings; prudential borrowing and top
                                                                                               slicing of capital budgets;
                                                                                             • Using public procurement, capital and revenue, to create supply chains
                                                                                               in businesses, apprenticeships and jobs;
                                                                                             • Funds devolved as a result of the abolition of AWM including the
                                                                                               transfer of associated assets; remaining parts of Regional Funding
                                                                                               Advice and funding streams related to the skills agenda;
                                                                                             • Joint investment with the Homes & Communities Agency and other
                                                                                               public funding bodies.
                                          •   The LEP has a population of 1.5 million,
                                              contains 770,000 jobs and a GVA of about
                                              £29bn.                                         Next Steps
                                          •   Strong functional relationships exist in
                                              respect of residency and place of work, eg.    If Government gives in principle support to our LEP proposal, we propose to
                                              36% of Solihull's employed residents work in   establish a Shadow Board by 1 November 2010. During our first year, we will:
                                              Birmingham with 7% commuting in the
                                              opposite direction whilst 20% of the           1. Achieve a programme of quick wins, including:
                                              Tamworth workforce is employed in                 a. a single strategy for skills, inward investment and planning across the
                                              Birmingham and Solihull.                          economic area;
                                                                                                 b. extended access to finance, including via the Investbx stock exchange;
                                                                                                 c. secured further commitments for the Birmingham International Airport
Governance and Accountability                                                                   runway extension, High Speed Rail and superfast broadband in addition to
                                                                                                keeping New Street Gateway on track;
• Our LEP will be a formal, legal entity chaired by a dynamic business
                                                                                                 d. support for Accelerated Development Zones and a building retrofit
  leader. The Board will be the primary decision-making body for the area                       programme;
  in relation to economic development. It will bring together business and                       e. launched the virtual boardroom to provide business mentoring and expanded
  council leaders in an equal partnership.                                                      East Staffordshire, Tamworth and Lichfield's Think Local 4 Business enterprise
• The Board will be accountable to both business, through an innovative                         support initiative;
  shareholder model, and local authorities.                                                  2.Consult further with stakeholders and agree a long term business plan for the LEP;
• Our Board will meet in public and will be transparent, committed to                        3. Establish a robust, accountable body ready to deliver.
  open data and digital engagement. It will adopt business-like processes
                                                                                             This submission has been prepared by the Birmingham Chamber Group and
  and a decision making culture that businesses recognise.                                   Federation of Small Businesses Birmingham Branch together with Birmingham
• New business leaders will be attracted, bringing fresh thinking to direct                  City Council, Solihull Metropolitan Borough Council, East Staffordshire Borough
  our Partnership. There will be a duty to 'SME proof' all decisions.                        Council, Lichfield District Council and Tamworth Borough Council.
                                                                                             Edited by Urban Communications Limited www.urbancomms.com. Designed by Clarke Associates UK Limited www.clarke-associates.co.uk

























Our LEP provides an exciting opportunity for a new approach to economic
development, bringing business and local government together as equal partners to
make a real difference to Birmingham, Solihull, East Staffordshire, Lichfield and
Tamworth. This proposal provides an initial, high-level outline of our approach. It will
be further developed in conjunction with stakeholders and Government following its
submission on 6th September 2010.

The LEP has a concentration of major economic assets that will drive its future
growth – Birmingham International Airport, the National Exhibition Centre and
International Convention Centre, a dynamic creative industries sector, the largest
concentration of business and financial services outside London, cutting edge R&D in
low carbon and transport technologies, major investment opportunities – including
Longbridge in Birmingham and Blythe Valley Park in Solihull, with dynamic local
centres and a diverse housing offer in the neighbouring districts.


Our vision is to create and support a globally competitive knowledge economy,
the natural home for Europe’s entrepreneurs and wealth creators, and a global
leader in innovation and enterprise.

Reflecting the tradition of our area in attracting entrepreneurs, risk-takers and
mavericks and making innovators at home, within ten years the economic area
around Birmingham will be renowned for being the easiest in Europe in which
to set up and run a business. From ruthlessly removing barriers to
empowering start ups, our LEP will be driven by the needs of business in the
interests of an economy in which all are welcome to contribute and benefit.

We will continue to transform our economy and take a leadership role in those
sectors where we can outstrip UK average growth, such as automotive
assembly; low carbon R&D, business and professional services; financial
services; clinical trials; the creative and digital sectors, and environmental
technologies and services.

We will provide the essential enterprise support; marketing and inward
investment campaigns and access to finance programmes that will maximise
our natural, built and intellectual assets whilst improving the area’s image in
order to attract people to live, work and visit.

Our Partnership will be at the centre of an approach to economic dynamism
that creates a unique climate and culture for enterprise. We will put the area’s
research capacity; business and professional skills; specialist industry
expertise; communications infrastructure; world class culture, heritage and
sporting facilities and emerging talent pool at the disposal of innovators and

We will create an environment where everyone has the opportunity to
participate in and benefit from economic prosperity by tackling the underlying

issues of long-term worklessness and a low skills base – critical to realise our
economic aspirations.

Business will not just be involved, it will be at the core of the Partnership,
ensuring we successfully rebalance the economy with greater private sector
investment resulting in increased output and job creation.

We recognise that our LEP needs to be different from what has passed before,
whilst providing continuity for successful investments and programmes. The
LEP will need to be radically different in terms of focus, culture and approach.
We need new ideas, rooted in business, delivered in new ways. Our vision is
ambitious, but essential.



GVA within the LEP is projected to increase by about £6bn by 2020. To enhance
further our national and global role, our overarching objective is to increase business
profitability, and thereby to increase GVA within the LEP by 30% (£8.25bn) by 2020
to help to create up to 100,000 private sector jobs.

Our strategy to achieve this is based on a twin mission:

      •   Creating a culture and climate where innovation and enterprise can thrive and
          prosper; and

      •   Investing in the infrastructure that supports private development and business

All the assets, powers and budgets we seek, together with all the investments and
programmes we plan to deliver, will be checked against this mission.

Growth per se will not be enough, however. Which areas, and which communities,
benefit is also important, and is critical to tackling long-term worklessness and the
low skills base. So we will also work within the overriding principles of “balanced
growth” and “balanced benefit”. Whilst individual decisions may go against the
interests of individual areas, over time the pattern of decisions will ensure that each
part of the LEP will receive its “share” of the benefits of our collective success.

We do not set any limits on the scale of our ambition for our LEP. It will represent one
of the greatest economic engines of UK plc, so its success is not simply important to
the people and businesses of the area but to the country’s economic prosperity. The
more freedoms and resources with which we have to operate; the better our ideas;
the stronger our Partnership; the more successful our LEP will be for the economic
area and the UK.

The headline activity underpinning this twin mission is set out below, with the detail
outlined in Appendix 5. We recognise the Board, once established, will need to set
clear priorities within tight financial parameters. Our LEP needs, therefore, to be
ambitious but realistic in the short term.

By 1 November, we will identify, from these options, a minimum of six enterprise
support and infrastructure projects for immediate action. In Birmingham, for example,

these are likely to include Eastside, Longbridge and New Street Gateway, and in
Solihull the Airport runway extension. Within our first year we will work with our
stakeholders to identify a longer term business plan and set of priority projects.


Short to medium term priorities for our LEP will focus on developing enterprise
awareness in schools; making finance more accessible and developing a skilled

We will make it easy to:

Believe in enterprise. Working with our schools, we will excite young people about
the potential to turn ideas into businesses and improve local access to enterprise
support, creating hubs for business and entrepreneurs.

Start up and grow existing business. We will establish a peer support mechanism
to increase survival rates, foster the growth of existing businesses and support new
ones. We will focus on local graduates by building upon successful projects such as
SPEED, BSEEN and Entrepreneurs for the Future at local universities. We will
explore ways of transforming our regulatory environment by establishing common
sets of rules across the economic area, making it easier to do business and expand
local procurement opportunities. We want to create a friendlier environment for
developers by exploring options like creating areas where planning regulations are
more relaxed, the ability to use Compulsory Purchase Orders, and the power to grant
empty property rate relief for buildings constructed but not let.

Access finance. We will grow our existing local stock exchange (Investbx) into a
debt and equity supplier, targeted at the SME heartland of growing, family-owned
businesses. We will develop community-based finance programmes to provide more
choice to our smaller businesses targeting potential entrepreneurs.

Recruit skilled people. We will drive up the skill levels of the adult population in
order to meet existing and forecast skills shortages, for example engineering skills
shortages. This will be achieved in partnership with the Employment and Skills
Boards (through the Multi Area Agreement and other partnership arrangements) and
by exploiting the asset base of our universities and colleges, whilst developing
programmes specifically designed to reduce worklessness.

Exploit our key sectors. We will establish sector teams, chaired by business
leaders, to develop focused plans where we have clear strengths such as automotive
assembly; low carbon R&D; business and professional services; financial services;
clinical trials; and creative and digital sectors. We will engage with regional trade
associations which have a clear interest in our LEP.

Invest in new ideas. We are committed to innovation, and determined to maximise
the commercial potential within our universities. We will work with HE partners and
science parks and high R&D intensity industrial sectors to boost R&D, innovation and
productivity and encourage spin-outs and new product development.

Start and run social enterprises. We will explore opportunities for the LEP and
local authorities to involve the third sector more in service delivery, acknowledging
the enormous scale of opportunity to contribute towards the Big Society. Regional

Action West Midlands has sent us a paper that outlines what the voluntary and
community sector can bring to our Partnership, and we will give this paper early
consideration after 6 September.


Many of the improvements to infrastructure are currently in progress or are the
subject of detailed plans. The short to medium term focus of our LEP will be to
ensure these projects are delivered on schedule and on budget, and develop a
focused indigenous and inward investment strategy.

We will make it easy to:

Connect with other businesses and markets. We will help to realise the
transformation of New Street station; the Birmingham International Airport runway
extension; new High Speed rail links; rapid transit solutions within the LEP area, well
maintained roads and superfast broadband.

Realise infrastructure investment and growth. We will support major projects
along the M42 corridor (running from Birmingham past Blythe Valley business park,
the NEC and International Airport); in the city centre (Arena Central, Paradise Circus,
New St Station, the Wholesale Markets, Bordesley Park); at Longbridge, North West
Birmingham and along the Eastern Corridor that runs from the city centre to North
Solihull and Fradley Park in Lichfield. We will also support the FA National Football
Centre and Burton’s Growth Point programme, Birch Coppice near Tamworth and
town and city centre redevelopments in Tamworth and Lichfield Districts.

Invest and Develop. We will create an environment that attracts and retains
residents and acts as a pull factor for inward investment. We will develop and deliver
an inward investment strategy based upon the IBM Plant Location International study
(see Appendix 6), and capitalise on the attributes of the E3I belt straddling
Birmingham and southern Staffordshire. For both housing and employment land, we
will ensure our planning policies are streamlined across the economic area and are
as supportive as possible of economic growth with a presumption in favour of
sustainable development. We will support housing growth, working with the
construction sector to improve the quality of the area’s housing offer and to create job
opportunities. We will link supply-side opportunities in the low carbon economy with
our housing growth plans.

Deliver the Green New Deal. We will build on the area’s pioneering national
investment in low carbon infrastructure by developing a low carbon, energy efficient
economy through ‘green’ technologies, job and entrepreneurial opportunities.

Enjoy a high quality of life. We will support the quality of life that underpins
business success by continuing the area’s cultural renaissance and further
developing our world-class cultural, leisure, heritage and sporting facilities. We will
continue to develop our areas of high quality housing, whilst also ensuring that the
required amount of affordable and social housing is available.

Develop the visitor economy. Solihull and Birmingham together already have a
business visitor offer second only to London, with facilities such as the NEC and ICC.
We will continue to develop these facilities to keep us at the forefront of the business
visitor sector. At the same time, the leisure facilities in East Staffordshire, Lichfield

and Tamworth, combined with the more metropolitan leisure offer made by Solihull
and Birmingham, provide enormous potential to grow our leisure visitor economy.

Capitalise on the attributes of the E3I belt. This covers an area 20-40km outside
of the conurbation, and combines factors including lifestyle, accessibility, quality of
environment, as well as a range of innovative manufacturing and business and
professional service activities. It provides a major potential growth area.


Our emerging strategy includes activities that are currently the responsibility of the
RDAs. We recognise that the Government will wish to establish national strategies
and frameworks for these functions but, as one of the key drivers of the national
economy, our LEP seeks a large degree of autonomy in delivering the following

(a) Inward investment. We believe we are best positioned to understand our target
audiences, to define the messages we should communicate to them and to exploit
existing networks. Birmingham and Solihull already have delivery vehicles in place,
such as Marketing Birmingham and Solihull For Success, with a successful track
record in destination marketing and inward investment. We will develop a clear brand
and strategy to promote the area nationally and internationally, and will work closely
with UKTI to secure new investment.

(b) Sector leadership. Our economic area has a wealth of business leaders already
engaged in the development of growth sectors that are crucial to our emerging
strategy. We want to draw upon this expertise to build on existing sector and cluster
programmes, but with an even stronger voice for business. For example, we will build
upon the LEP area’s traditional engineering and manufacturing capabilities and, in
conjunction with local universities and businesses, develop environmental
technologies by supporting and accelerating projects such as the CABLED electric
vehicle project. We will work collaboratively with other LEPs that share geographic
industrial clusters such that LEP boundaries do not become a restriction to economic
growth or the further development of natural supply chains.

Furthermore, we stand ready to take a leadership role in relation to certain sectors
across the wider West Midlands. For example, we will seek to maintain effective
areas of sector support that currently exist (e.g. MAS and the West Midlands
Business Clusters Network) by exploring the potential to host them within our LEP on
behalf of the West Midlands as a whole.

(c) Innovation. Increasing investment in R&D, and facilitating innovation, require
effective ‘triple helix’ relationships between universities, businesses and the public
sector. Our economic area has seven universities or university colleges located
within it, with successful science parks such as Birmingham and Aston, and
Innovation Centres such as Blythe Valley, already in place. We wish to develop
further the Central Technology Corridor and the opportunities this offers, including
the Universities and Longbridge Technology Park.

For example, the combined assets of the University of Birmingham College of
Medical and Dental Sciences, the Centre for Defence Medicine at the University
Hospitals Trust, the relocation of the Defence Medical Education and Training
Agency to Whittington Barracks near Lichfield, and other health/medical related

activities create one of the most significant cluster opportunities for public/private
investment around the medical and healthcare sector outside London.

Many innovations are borne out of traditional manufacturing applying skills across
product sectors - this should be encouraged. We will consider the Automotive
Council recommendations for areas that the UK Automotive industry should build
upon. For example, Jaguar Land Rover has a world class reputation for
manufacturing lightweight vehicle structures using suppliers in traditional but highly
skilled processes (stamping/casting etc). These need to be encouraged to support
growth and potential exports. Application of digital technologies to industry sectors
including Automotive is also a growth opportunity.

Digital technologies increasingly underpin innovation, creating new services, jobs and
wealth. We will build on the strong base of the Digital Birmingham partnership to
focus on the economic benefits of digital infrastructure and media and the opportunity
of linking the green and digital agendas. In line with the national ‘Manifesto for a
Networked Nation’ and our local MAA for skills and employment, the development of
digital literacy and skills across all population groups will add to the economic and
social benefits that we can deliver.

We will seek advice from high R&D intensity businesses in our area on how to
actively encourage innovation driven growth and learn from best practice
programmes already active in the area. For example the AWM sponsored Aerospace
Technology Exploitation Programme, led by large companies and focused at smaller
business technology development, is already recognised by BIS as a best practice

(d) Business support. Delivery of business support (as opposed to overall strategy)
is, we suggest, essentially a local matter. Like all LEP areas, we have a distinctive
local economic structure. Our particular mix of sizes and sectors of business, and
employment profile, calls for local solutions from local leaders. We propose
establishing a ‘virtual boardroom’ using volunteer functional business specialists who
are passionate about success and helping others. Where suitable, we will make use
of the existing Business Clusters in the region.

Our universities also provide a key role in business support. For example, the
EREBUS (ENgaging REsearch for BUSiness Transformation) Capacity Building
Cluster is a partnership between Birmingham, Aston and Warwick universities, and
Blythe Valley Business Park, funded by the Economic and Social Research Council
and developed in consultation with West-Midlands business stakeholders to enhance
access to business research in support of small business, incorporating innovation
vouchers, CASE awards and KTPs.

We have the opportunity to grow the Think Local 4 Business infrastructure - currently
covering East Staffordshire, Tamworth and Lichfield - as a local delivery vehicle for
all business support across the wider LEP area, and thus help to make our LEP area
the easiest in which to set up and grow a business. This will be underpinned by the
further development of the Business Matters Project to share business data and
intelligence across the LEP area.

(e) Access to finance. Birmingham City Council already has a track record in
providing loans for private sector companies through its groundbreaking work with
InvestBX and ART, which operates across Birmingham and Solihull. We propose to
build on this model to improve access to finance across the whole of the LEP area.


The ability to measure the success of our LEP and its interventions is critical. We
want to be able to clearly demonstrate the impact that we have had, and so we will
focus on the following indicators of our performance, putting challenging targets in
place by 1 April 2011:

      •   Increase in the economy’s GVA and GVA per head
      •   Increase in business and university collaborations
      •   Increase in expenditure on research and development for business
      •   Increase in private sector employment
      •   Increase in business stock
      •   Increase in the overall employment rate
      •   Reduction in worklessness
      •   Increase in average and household earnings
      •   Increase in skill levels across the spectrum
      •   Increase in the number of start-ups
      •   Increase in business survival rates
      •   Increase in inward and indigenous investment
      •   Increase in business productivity
      •   Faster growth rate in key sectors relative to elsewhere in the country
      •   Increase in visitor numbers

3.6       NEXT STEPS

By 1 April 2011 we will:

      •   Deliver quick wins on projects that can be taken forward immediately to drive
      •   Submit successful proposals to the Regional Growth Fund;
      •   Develop a medium to long term business plan that will enable us to deliver
          our outcomes and vision;
      •   Establish a robust, accountable body ready to receive devolved powers and
          funding and start delivery;
      •   Establish the Board, agree the Constitution and finalise governance
          arrangements, creating mechanisms for involvement and buy-in of local
          businesses of all sizes;
      •   Develop arrangements for scrutiny by both business and local authorities;
      •   Have the LEP administrative and policy support in place;
      •   Agree a power of general competence with the Government;
      •   Agree the transfer of AWM assets with Government;
      •   Have the proportion of Business Rate to be retained locally for use by the
          LEP agreed by the Government;
      •   Agree arrangements for multi-lateral and bilateral working with other LEPs;
      •   Agree with other agencies to align investment programmes.

During our first year, we will:

      •   Begin the delivery of our major programmes and projects in line with our
          business plan;

      •   Consult with and involve other partners, stakeholders, residents and
          community organisations, and agree a compelling and visionary longer term
          strategy for the LEP, with further priorities for action to follow our quick wins;
      •   Begin to measure our success based on specific agreed targets;
      •   Put in place robust financial mechanisms; adapt our existing delivery vehicles
          and, where necessary, identify new ones;
      •   Identify ways to share services to improve efficiency and temper the effects of
          reduced resources, such as expanding the Tamworth and Lichfield Business
          and Economic Partnership model to cover a wider area, as well as Think
          Local 4 Business to join up the business support offer.



We believe that the proposed geography of our LEP represents a functional
economic area, cutting across traditional local authority boundaries. Birmingham,
Solihull, East Staffordshire, Lichfield and Tamworth are some of the most functionally
related local authority areas in the country. From travel to work patterns to shared
economic assets and business linkages, the lives and futures of the people and
institutions of the area are inextricably linked. Appendix 1 provides a socio-economic
profile, and summarises business linkages across the area as well as the history of
public / private partnership and of local authority partnership working.

The West Midlands Regional Observatory published an “Analysis of sub-regional
dynamics in the West Midlands” in 2010, creating “best-fit” sub-regions based on
travel to work, travel to shop, travel to leisure and housing markets. Under each of
these criteria besides housing, Tamworth was more strongly linked to the
Birmingham and Solihull sub-region than any other. The whole of Lichfield district is
clearly linked to Birmingham and Solihull for travel to shop and leisure, and partly
under the other criteria. East Staffordshire is more closely linked to Tamworth and
Lichfield than any other West Midlands sub-region.

The table below shows the number of each resident workforce that works in other
areas of the LEP. It can clearly be seen that a strong relationship exists between
Birmingham and Solihull, with 32,000 (36%) of Solihull’s employed residents working
in Birmingham and 24,000 (7%) of Birmingham’s being employed in Solihull. Links
with Tamworth and Lichfield are also strong: around 16% of the Lichfield workforce
and 20% of the Tamworth workforce are employed in the Birmingham and Solihull
area, accounting for over 14,000 people, almost 7,000 of whom work in higher skilled
occupations. 3,000 residents of East Staffordshire work in other parts of the LEP, and
1,900 residents from those areas work in East Staffordshire.

                                    Area of     Workplace
Area of
                   Birmingham       Solihull    East Staffs     Lichfield     Tamworth
Birmingham            288,219        23,947         295          1,593           1,231
Solihull              32,537         44,442          56            204            243
East Staffs            1,001           176         33,084         1,463           349
Lichfield              6,433           635         1,227         22,724          2,078
Tamworth               6,049          1,208         323          2,664          18,818

Source: Census 2001

There are also key business and infrastructure links between these areas such as
Birmingham International Airport, the NEC, the M42 and A38 corridors and Jaguar
Land Rover (see Appendix 1).

Based on these solid foundations we will welcome other areas joining our partnership
where we have shared interests and can secure mutual benefits. The structures we
support, and the projects we encourage, will be flexible enough to bring in
surrounding areas if a strong case can be made – and the existence of willing and
supportive partners can be demonstrated. Cannock Chase District Council are
currently discussing this issue with us.


Our LEP area provides a home for quoted companies and other private sector
enterprises serving a broad range of industrial sectors, including major multinationals
such as Jaguar Land Rover, Cadbury, Severn Trent, IMI, AGA Rangemaster Group,
Royal Bank of Scotland, Birmingham International Airport, KPMG, Mitchells and
Butlers, Specialist Computer Holdings, The NEC Group, Molson Coors, JCB to name
but a few. Our LEP will seek to build on the contribution of our existing private sector,
enhancing our reputation as an area where businesses can thrive, and creating the
conditions to ensure that all businesses are able to access opportunities for
sustainable, enterprise-led growth, becoming the global brands and household
names of the future.

Our area is also a national leader in public / private collaboration – many examples
are provided in Appendix 1. The level of business interest in the LEP has been
unprecedented in recent times. From the largest strategic businesses to sole traders,
the business community wants to influence and shape the LEP and its activities to
better deliver economic growth.

Over 250 business representatives have attended Birmingham and Solihull
Chamber's LEP workshops in Birmingham and Solihull to date (see Appendix 4 for
the Notes of two of these meetings). While the Birmingham Chamber Group (which
now includes Tamworth and Lichfield and Burton and District Chambers as well as
Solihull Chamber) has co-ordinated business input, the sources of encouragement
and enthusiasm have been diverse, including the Federation of Small Businesses
and the Tamworth and Lichfield Business and Economic Partnership. Appendix 10
lists the more than 130 businesses that have already pledged their support to our

Business will therefore play a central role in delivering our vision. The workshops
have shown the desire of business to be fully involved in shaping economic
development strategy and directly promoting enterprise. Many of the business
support ideas - like the Virtual Dragon's Den, business to business mentoring, finding
space for start ups free of charge – have come from businesses themselves, and
indicate our potential to develop a business-led model of enterprise support.

Our LEP will recognise and support the different needs of businesses within the area:
Birmingham city centre; the suburban centres; the strategic centres of Solihull,
Burton upon Trent, Tamworth and Lichfield; the rural businesses of the districts of
Solihull, Lichfield and East Staffordshire. Each of these areas makes a distinct
contribution to our overall economy, and will need to be nurtured in different ways.

We will also explore ways of working directly with large companies in our area.
Where they have major business interests in more than one LEP, we will work with
those LEPs to ensure that the companies receive co-ordinated support across the


There is a long record of the councils working together in formal and informal
partnerships, from the Joint West Midlands Committee to the City Region Board;
Employment and Skills Boards to Tamworth and Lichfield Business and Economic
Partnership. Specific examples of joint working include Birmingham International
Airport, the Multi Area Agreement for Employment and Skills, Think 4 local business
infrastructure, East Birmingham and North Solihull regeneration corridor and the
Staffordshire Hoard. Further detail is provided in Appendix 1.


Our LEP has an astonishing concentration of economic drivers (see Appendix 2). We
aim to build on them to enhance even further our status as one of the UK’s key
economic engines.

We are also a global player. Our success will depend on developing, and attracting,
and retaining, the talent that can respond to the new global challenges – for example
matching our skills in innovation, design and imagination to the exponentially growing
middle class in India and China, and to the liquidity and appetite for investment that is

This response is already happening. Shanghai Automotive, China’s third largest auto
manufacturer with a stated mission to be in top 5 globally by the early 2020s, runs its
global advanced engineering operation from Birmingham. Tata Motors also have
global advanced engineering run from here in the West Midlands. These engineering
teams are at the forefront in developing the electric vehicles for their brands that
consumers and Governments the world over are already demanding.

In another sector, the Binding Site, a spin-out from Birmingham University two
decades ago, now has a presence across the world, and has been gaining
dominance for its key products in the United States and the Far East.

Deutsche Bank Operations International, which has grown to some 700 people in the
city in little over two years, is involved in redesigning the way in which investment
banking is managed. The upcoming move to Birmingham of the HQ operation of a
business employing 6,000 people in locations in India, the US and the Philippines
highlights our success in this area, as does the fact that the only Sharia compliant
retail bank in Europe is based here.

Our strategy must and will nurture these global businesses and attract more.

We welcome the opportunity to develop a ground up, rather than top down, approach
to driving economic growth at the functional economy level rather than within artificial
boundaries. We positively embrace the chance for business to take a leading role in
such an endeavour alongside local authority partners.

For us, the LEP offers the opportunity to exploit our assets and economic drivers and
take our historic spirit of innovation and track record of public/private partnership to a
new level, by creating a formal partnership between councils and business that can
acquire devolved powers and resources. We want better to control our own destiny,
generate and use our own resources, and unleash local talent and energies to deliver
economic growth.

We need to significantly improve certain aspects of our economy – for example
enabling greater private sector job creation; tackling worklessness and further
addressing the skills gap – to achieve economic growth. However, as already stated,
we have an enormous concentration of major assets that will help us achieve these
local objectives, as a leading economic engine and global player also to play a
significant part in driving national growth. We enjoy:

   •   A GVA per head that is already about equal to the national average;
   •   Birmingham International Airport;
   •   A major city centre;
   •   National and International Facilities and Centres of Excellence including the
       NEC, ICC, NIA, Queen Elizabeth Medical Centre; Defence Medical Training
       Agency and National FA Centre;
   •   Seven universities and university colleges;
   •   World Class manufacturing companies such as Jaguar Land Rover, Cadbury,
       JCB and Molson Coors;
   •   International sporting venues such as Edgbaston Cricket Ground, the priory
       tennis centre, Alexander athletics stadium and the Belfry golf centre;
   •   National cultural facilities including the CBSO, Millennium Point, the National
       Memorial Arboretum and National Armed Forces Memorial, Lichfield
       Cathedral; the National Brewing Centre and National Forest;
   •   A significant number of major infrastructure projects that are committed or in
       the pipeline (see Appendix 3);
   •   A unique location at the heart of the national motorway and rail networks, with
       an airport that will soon help us reach even further across the globe and
       giving us the chance to develop our role as an international gateway for the
   •   A young area. With more under 15s per head of population, Birmingham is
       Europe’s youngest city; it is also a learning city, with one in ten of the
       population a student or employed by a university;
   •   Great benefits from ethnic and cultural diversity, with new influences inducing
       new business and cultural opportunities and fostering cohesive communities;
   •   A spirit of public/private partnership that has been a way of life in the area,
       manifested in projects such as the National Exhibition Centre, the
       International Convention Centre and Brindleyplace, the redevelopment of
       New Street Station and the Birmingham/Solihull Growth Point;
   •   A strong and diverse cultural, heritage and tourism offer throughout the LEP
       area, from the nationally significant museums, galleries and performance
       venues of the metropolitan areas through to the unique and significant
       attractions in the surrounding areas, such as the National Memorial
       Aboretum, the National Forest and the National Brewery Centre;
   •   With Birmingham and Solihull, the strongest retail offer outside of London,
       with the surrounding towns and cities home to a large number of high street
       chains, alongside more specialist niche retailers. This sector is set for
       significant future expansion over the next 20 years across the LEP area.

Perhaps most importantly amongst our assets, we are a partnership of the willing.
The area is well established as welcoming and networked, where businesses work
easily together. The partnership between public and private is already sufficiently
mature to enable us to achieve even more through a formally constituted LEP.

5.        RESOURCES


We recognise that resources, particularly for capital investment in infrastructure, will
be constrained during the course of the next public spending cycle. In this context,
our financial strategy will comprise:

      •   Focusing existing internal LEP resources behind a single strategy and set of
      •   Seeking alignment of Government investment in our area, and the investment
          of other public agencies, with our strategy;
      •   Working with business to exploit more fully the economic potential of publicly
          owned assets;
      •   Seeking financial partnerships with businesses;
      •   Using resources more efficiently through mechanisms such as place based
          budgeting and joint procurement;
      •   Seeking new sources of funds, such as the European JESSICA programme
          and Tax Incremental Financing.


To deliver our economic growth strategy, we will establish an Investment Fund. A
variety of funding sources will be investigated, including:

      •   Funding devolved as a result of the abolition of AWM and the transfer of
          AWM assets in the LEP area including Longbridge and Eastside;
      •   Transfer of remaining parts of Regional Funding Allocation to the LEP;
      •   Any delegated powers and funding streams related to the skills agenda;
      •   Retention of business rates;
      •   Prudential borrowing and top slicing of capital budgets;
      •   Public sector land holdings;
      •   Accelerated Development Zones as a way of capturing economic value of
      •   Bids to the Regional Growth Fund and other Government and EU funding;
      •   Joint investment with the Homes & Communities Agency and other public
          funding bodies, and;
      •   Innovative new financial mechanisms and sources of funding emerging from
          the planned review of local government finance.


We will investigate funding opportunities through the European Investment Bank and
the Green Investment Bank.

The LEP will explore the potential for the private sector to raise funds to support
economic growth. There are already successful examples in our midst, albeit on a
much smaller scale, such as several Business Improvement Districts.

The LEP will also explore the use of local authority funds to match EU funds and
lever in private sector contributions to support the marketing and inward investment
We will pursue ideas such as the Green New Deal to create a £100m retro fit carbon
reduction programme for existing homes and business premises in the LEP area in
order to help create jobs and supply chains. This will include the development of a
ten year building retrofit programme, following the Birmingham Energy Savers
programme to raise insulation standards, and the establishment of ‘Green Funding’

We will also use public procurement, whether of capital spend on projects such as
New Street Station and the Library of Birmingham, or revenue such as Highways
PFI, to create supply chains in all businesses, apprenticeships and jobs.

Birmingham is already seeking to pilot Place Based Budgeting. We wish to build
upon this to pilot a LEP Place Based Budget for Employment and Growth which
builds on existing local government interventions and private capital and revenue
investments - but also contains the relevant proportions of the £21 billion worth of
national economic related investment that emerges through skills, employment,
housing, business support and transport budgets - to achieve better economic and
regeneration outcomes at lower cost.


To support the LEP, we will harness the combined expertise of our local authority
and business partners. Initial resources will be provided through the councils and
business groups. Our LEP will work through a small executive team that reflects the
LEP geography, supplemented by officers from councils and other public and
public/private bodies, together with secondments from business to deliver the
strategy. Our LEP will not itself be a net generator of jobs, but will harness the talents
and resources available in its own small team and via the strategic direction it
provides to councils and agencies, and through sharp scrutiny of the programmes
and services that we commission from others.


Some existing AWM assets will be essential to deliver our strategy – for example,
AWM’s land assets in Longbridge will be needed if we are to deliver the development
of this key investment location. Appendix 7 sets out some of the assets we are
seeking to retain, and how we would use them, though further discussions with AWM
may identify others.

We will also want to work closely with AWM, GOWM, and other bodies over the next
18 months to ensure an effective transition.


We envisage that our LEP will be a formal, legal entity with a clear economic
development remit for the area; robust governance and accountability procedures
and an asset base that will ensure we can deliver on our strategy.

Our LEP will bring together business leaders, selected through a transparent and
accountable process, with the Council Leaders, into a Board chaired by a significant
business leader. One of our business partners has prepared a draft job description
and person specification for the Chair, and this is attached as Appendix 8.
The Board will be the primary decision-making body for our area in relation to
economic development. It will develop and implement a strategy for economic growth
that reflects the shared views and interests of business and local authorities. It will
adopt business-like processes and a decision making culture that businesses
recognise – short lines of decision making, outcome focus, stretch targets and hard
nosed performance management.

It will be the accountable body for some funding streams, but will also oversee the
delivery of the strategy where that is best executed through councils, public/private
partnerships or other agencies.

We will review current arrangements in the local authority areas, and examine the
existing economic and business partnerships to identify how best they fit within the
new LEP structure.

Our Board will meet in public, with closed sessions adopted only where necessary to
protect commercial confidentiality or personal privacy. In keeping with Government
aims around transparency and open data, we will seek to lead emerging best
practice in information sharing and digital engagement.

We are seeking to ensure that leaders from sectors and sizes of business who are
not used to serving on public bodies come forward under this new approach. The
Board will establish appropriate mechanisms to involve leaders from the education,
health, cultural and other sectors in the work of our LEP. Communication skills as
well as legal and financial expertise will be crucial for our Board.

We will establish specific mechanisms for engaging smaller and medium sized
businesses, to ensure that their voice is heard at all levels of our decision making
processes. There will be a duty upon the LEP Board to ‘SME proof’ decisions as part
of its standard operating processes.

The Board will be accountable to both business and local authorities. Scrutiny
arrangements will be developed to ensure accountability to Elected Members and the
residents of the wards they represent.

We are developing an innovative solution to ensuring accountability to business, with
every local business having an opportunity to become a shareholder and electing
business Board Members. Those elected will act as Directors, reporting back
regularly to shareholders.

The Board will establish mechanisms to involve leaders from the education, health,
cultural and other sectors in the work of our LEP.

Our relationship with other bodies will also be critical – for example, the Integrated
Transport Authority (ITA). Birmingham City Council and Solihull Metropolitan

Borough Council are members of the ITA. We will ensure that the LEP exerts a
strong influence on, and supports, the ITA’s objectives and outcomes.


Some economic issues affect more than one LEP area, and there will be a need for
collaboration between LEPs. Appendix 9 sets out our initial views on the broad
themes where collaboration will be necessary.

We believe that the scope of this collaboration, and the mechanisms to undertake it,
should be agreed through a ‘bottom up’ process by the neighbouring LEPs
themselves once they are established.

Relationships with other LEPs will be particularly important for our Partnership
because our LEP is at the hub of the West Midlands economy, with many
interdependencies with adjacent areas, not least in planning and transport. In
recognition of this, we are ready to show leadership in encouraging such
collaboration and, if other LEPs wish, to providing the machinery to support shared

We may also need to work with other LEPs outside of the West Midlands, for
example on specific infrastructure projects such as the Midlands aerospace industrial
cluster with Derby and Coventry, or with other Core Cities LEPs on common issues.


As one of the most significant economic engines in the country, we are seeking a
genuine and substantial partnership with Government around a shared agenda for
enhancing the UK’s global competitiveness, increasing national growth and reducing
regional economic disparities.

Our contribution to this partnership would be to create the effective business and
local government partnership required to identify and deliver the growth and
competitiveness agenda set out in this document.

We are also willing to host functions that cross LEP boundaries, such as European
funding, and to provide national leadership roles on behalf of Government
departments, for example on sustainable automotive engineering.

In return, we ask Government to contribute by making changes to existing rules and
ways of working that will enable us to align national and local priorities, and similarly
bring resources into line with a single strategy for our local economy. Further
discussions with Government will of course be required, but at the moment we
envisage that such changes might include the following:

     •   A ‘power of general competence’ for the LEP to undertake any appropriate
         actions to achieve our objectives, including broad 1998 RDA Act provisions;

     •   Government departments to agree to work with the LEP to align their
         investment in our area with the LEP's strategies and priorities, through Joint
         Investment Plans and other mechanisms;

•   Government to create a statutory duty upon other national agencies to do the

•   Funding direct to LEPs from the Government rather than through quangos/

•   Government to establish arrangements to ensure that the LEP can influence
    transport planning and projects and network capital investment;

•   Relevant assets that currently reside with AWM to transfer to the LEP.
    Without this our ability to achieve planned economic growth will be severely
    hindered. Funding in respect of assets that may be liabilities at this stage
    should also transfer;

•   Functions currently provided by Regional Development Agencies, such as
    business support and access to finance, to be devolved to the LEP within
    national strategic frameworks;

•   A specific commitment to High Speed 2;

•   The LEP to be made a statutory consultee on major Government strategies
    such as airports; national rail, motorway and waterways infrastructure; cultural
    infrastructure and the creative industries; the development of the Higher
    Education sector; innovation and tourism development;

•   The power to retain/hypothecate business rates for a period (e.g. 6 years)
    and to create Tax Incremental Financing vehicles e.g. Accelerated
    Development Zones;

•   Agreement to pilot Place Based Budgeting in key areas such as Employment
    and Growth;

•   Continued ability to raise prudential borrowing for economic development and
    enterprise support purposes;

•   In the short term greater control over European Funding for our LEP, within a
    revised and streamlined regional machinery, with a long term aim Post 2013
    for direct funding from the EU to the LEP;

•   Ability to influence and shape employment and skills interventions, deliver
    programmes locally and be accountable for performance;

•   Opportunities for local delivery of national programmes - to provide more
    effective delivery on outcomes, particularly when working with "hard to reach"
    groups and the long term worklessness;

•   An urgent review of gaps in the availability of key data sources / analyses at
    the LEP level, and ensuring that ONS and other agencies prioritise efforts to
    reshape data collection and provision where key information / analysis is not
    available for the LEP area.


We are excited about the potential of this new, innovative partnership between
business and local authorities to make a real difference to economic development in
our area, bringing rapid and tangible outcomes.

By minimising bureaucracy and speeding up decision making, we believe that the
LEP will create an area where enterprise can truly thrive, helping to achieve our
vision of a globally competitive knowledge economy.

Representatives of business and local authorities have built a real sense of
momentum and achieved key objectives on the road towards the creation of the LEP.
Importantly for the future success of the LEP, we have built further upon the high
levels of trust and experience of partnership working already in place. A high level of
business engagement, with true representation through the Board and its chair, will
ensure that the LEP is different to anything that we have seen in the past.

We see our proposal as a framework that will require further detailed work with our
many stakeholders over the coming months. We ask the Government to enter a
dialogue with us on the basis of the outline proposals set out in this document, and to
form a partnership with ourselves and other nationally significant LEPs. In doing so
we believe we can offer the Government genuine savings, if they work with us and
allow us to creatively address the challenges we face.



The LEP has a population of 1.5 million, contains 770,000 jobs, and has a GVA of
about £29bn.

The area has a concentration of economic drivers second only to London (see
Appendix 2). As a result, compared with the national index of 100, GVA per head is
114 in Solihull and 98 in Birmingham. GVA data is not available for East
Staffordshire, Lichfield and Tamworth, but their inclusion does not significantly alter
the GVA picture. On the contrary, they are also a key source of skilled employees
supporting the economic drivers in Birmingham and Solihull.

The table below provides key data for the five LEP areas.

                                                        Employment        VAT Registrations
                         Working Age Total Jobs
Area          Population                                Rate Working          per 1,000
                          Population    2008
                                                            Age            Population 2007
Birmingham 1,028,700         651,900        528,000        59.4%                24.5
Solihull      205,500        129,100        104,000        66.2%                32.1
Lichfield     97,900         61,500         50,000         79.6%                35.8
Tamworth       75,800         49,400         33,000        70.9%                23.7
East Staffs   108,800         69,300         55,000        76.7%                35.0
All area LEP 1,516,700       961,200        770,000

Source: ONS

The West Midlands Regional Observatory published an “Analysis of sub-regional
dynamics in the West Midlands” in 2010, creating “best-fit” sub-regions based on
travel to work, travel to shop, travel to leisure and housing markets. Under each of
these, except housing, Tamworth was most strongly linked to the Birmingham and
Solihull sub-region. Lichfield district was more complicated, linked to Birmingham and
Solihull for travel to shop and leisure, but split between Birmingham and the Black
Country under the other criteria. East Staffordshire is most closely linked to
Tamworth and Lichfield than any other West Midlands sub-region.

The table below shows the number of each resident workforce that works in other
areas in the LEP.

                                 Area of    Workplace
Area of
                Birmingham       Solihull   East Staffs     Lichfield    Tamworth
Birmingham         288,219        23,947        295          1,593          1,231
Solihull           32,537         44,442         56            204           243
East Staffs         1,001           176        33,084         1,463          349
Lichfield           6,433           635        1,227         22,724         2,078
Tamworth            6,049          1,208        323          2,664         18,818

Source: Census 2001

A particularly strong functional relationship exists between Birmingham and Solihull
with 32,000 (36%) of Solihull’s employed residents working in Birmingham and
24,000 (7%) of Birmingham’s being employed in Solihull.

16% of the Lichfield workforce and 20% of the Tamworth workforce are employed in
the Birmingham and Solihull areas, accounting for over 14,000 people, almost 7,000
of whom work in higher skilled occupations. 3,000 residents of East Staffordshire
commute to one of the other four areas, and 1,900 commute from those areas to
East Staffordshire.

It is the clear wish of the business community in East Staffordshire, Lichfield and
Tamworth that our area comes together to form a LEP. Business representatives in
Birmingham and Solihull have also expressed a preference for a LEP that spreads
beyond purely local boundaries. Birmingham International Airport has expressed
backing for the inclusion of Tamworth and Lichfield in a single LEP, based on its own
staff and economic profile.


Birmingham International Airport (BIA) is a Strategic National Asset located within
Solihull’s boundary at the centre of the national motorway system and the centre of
the national rail network, and is linked directly to Birmingham International Station.
The Airport is the second largest regional airport in the UK, and provides access to
air travel for a catchment area of some 8 million people living within 1 hour travel time
(and 36 million people living within 2 hours travel time). London is just 70 minutes
away by train, with a reduction below an hour envisaged within the next franchise,
and a 31 minute journey with HS2.

The NEC - The NEC and LG Arena in Solihull constitute two of the four venues that
make up the NEC Group, the others being the ICC and the NIA in Birmingham city
centre. The NEC is one of the busiest exhibition centres in Europe, with 20 halls
totalling 204,000sqm of exhibition space (including The LG Arena - 186,000sqm
without doing so) on a 650-acre site. The NEC stages around 160 trade and
consumer exhibitions each year, including national and internationally significant
events, and attracts over four million visitors each year. THE NEC Group has a
£2.1bn economic impact on the local area, supporting 29,000 jobs.

The M42 Corridor runs through south west Birmingham and Solihull, and north east
Tamworth. A number of major economic assets are located along or close to the
motorway as it passes through Solihull: BIA: the NEC; the Land Rover Plant;
Birmingham Business Park; Blythe Valley Business Park and Solihull Town Centre,
as well as Birch Coppice near Tamworth. The M6 Toll, running to the south of
Lichfield and west of Tamworth, is another key strategic route providing access to the
LEP area and beyond.

The A38 and A5 corridors are similarly important routes, attracting investment and
providing access to supply chains, such as the stretch of the A38 route between
Fradley (Lichfield) and Burton upon Trent. These assets, in combination, make the
locale one of the key drivers of growth in the West Midlands. Burton, Tamworth and
north Birmingham / north Solihull also form a transport corridor, based upon the
Birmingham / Leeds rail line, that offers the LEP an important growth corridor for the

Rail links to London. The West Coast Mainline links the LEP area with the wider
West Midlands and the national rail network. Direct rail access to London is available
from all parts of the LEP through no less than seven main line stations – Birmingham
New Street and the city centre stations at Moor Street and Snow Hill, Lichfield Trent
Valley, Tamworth, Solihull and Birmingham International (also Solihull). Together,
these stations give direct access to London from the centre, north, east and south of
the LEP.

Jaguar Land Rover - JLR, now owned by the Indian multinational TATA Motors, has
two of its UK sites located in the LEP area - the Land Rover plant at Lode Lane in
Solihull and the Jaguar plant in Castle Bromwich in Birmingham. The plants employ
in the region of 8,000 staff directly, and account for more employment in the local
supply chain.

Logistics. Lichfield, Tamworth and Burton upon Trent contain a number of large
warehousing sites such as Fradley Industrial Estate in Lichfield and Centrum 100
Business Park in Burton and, together with North Warwickshire and Birmingham,
form part of what the property market refers to as the 'Golden Triangle' of logistics
development formed by the M1, M6 and M42. Several major businesses, including
Punch Taverns, Holland & Barrett, Alliance Boots, Thyssen Krupp Body Stampings
Ltd, Pirelli, Grolsch, Sun Valley Foods, Bombardier and Drayton Manor are based in
southern and eastern Staffordshire.

Leisure and tourism. Leisure and tourism will benefit from a joined up approach
across the LEP area. Lichfield, as a cathedral city, Tamworth, with venues such as
the Snow Dome, Drayton Manor theme park, the ten pin bowling centre and
Tamworth Castle, and the £100m Football Association National Football Centre soon
to be developed in Burton, complement and add significantly to the metropolitan
leisure and tourist offer of Solihull and Birmingham.

Supply chains. There are considerable supply chains link across the LEP area. For
example, of Jaguar Land Rover’s purchased materials, 50% is spent in the UK, a
high proportion of which is in the Birmingham / Solihull area. There needs to be a
strategic approach for supporting this supply industry and encouraging further

Chambers of Commerce. These business linkages are reflected in the fact that
Solihull Chamber of Commerce, and Tamworth and Lichfield Divisional Chambers
and Burton and District division are all part of the Birmingham Chamber Group.


Birmingham and Solihull was one of the first areas in the UK to embrace the potential
of the private and public sectors to work together to transform economies. In the
early 1970s civic leaders created the NEC in Solihull. A joint venture between
business and local authorities, this set out a vision for the area to become Europe’s
natural meeting place. We knew we had to create employment beyond
manufacturing, and saw we could exploit our physical location at the heart of the UK.
Today our LEP area delivers a business tourism, exhibition and conferencing offer
that competes with the best in the world.

More recent examples of successful public / private collaboration include:

   •   the International Convention Centre / Brindley Place development

   •   the Bull Ring development, and the successful scheme to give unemployed
       people job opportunities in the new Bull Ring

   •   Marketing Birmingham (a joint private / public funded organisation)

   •   the employer led and chaired Birmingham / Solihull Employment and Skills

   •   the Birmingham Business Loans scheme

   •   the joint venture programme in North Solihull

   •   the formation of the Tamworth and Lichfield Business and Economic


Birmingham and Solihull have both been members of the West Midlands Joint
Committee since 1985, working together on transport programmes, including the
development of Metro Line 1, and the development of the airport, among other
things. Other areas of joint working include East Birmingham / North Solihull
regeneration corridor and the “Smart Routes” initiative along Warwick Road. There is
a history of producing joint economic publications (Birmingham and Solihull
Economic Reviews).

Birmingham, Solihull, Lichfield and Tamworth were all members of the original group
of local authorities that formed the City Region partnership in 1992, and all
contributed to the preparation of the first City Region Prospectus in 1993. In more
recent years, Birmingham and Solihull have collaborated through the City Region on
major projects such as the Employment and Skills MAA and a proposal for a City
Region Accelerated Development Zone. Recently, East Staffordshire, Lichfield and
Tamworth have joined the City Region Board through the Southern Staffordshire

In addition Birmingham, Tamworth and Lichfield are collaborating in a new
partnership for the display and interpretation of the Anglo-Saxon treasure (known as
the Staffordshire Hoard) recently discovered in Lichfield through the development of
a Mercian Trail.

Equally Tamworth, East Staffordshire and Lichfield have a track record of partnership
working with the Think Local 4 Business infrastructure. Tamworth and Lichfield have
also worked jointly on Tamworth and Lichfield College (now South Staffordshire
college), and shared services on Economic Development, Waste Collection, Building
Control; and Health and Safety. Lichfield District Council also works with Solihull
Council, who support the provision of financial information technology.


                         / SOLIHULL/

MAJOR CITY CENTRE             1       Largest regional centre
INTERNATIONAL AIRPORT         1       Birmingham International Airport,
                                      Solihuill - second largest regional
                                      airport in the UK
UNIVERSITIES AND              7       Aston
UNIVERSITY COLLEGES                   Birmingham
                                      Birmingham City
                                      Newman University College
                                      University College Birmingham
                                      Warwick University (part)
                                      Staffordshire (part)
NATIONAL/INTERNATIONAL      5 (+1)    National Exhibition Centre,
FACILITIES                            Solihull
                                      International Convention Centre
                                      National Indoor Arena,
                                      Queen Elizabeth Medical Centre
                                      Defence Medical Education and
                                      Training Agency (under
                                      National Football Association
                                      Centre (Burton upon Trent)

INTERNATIONAL SPORTING        4       Alexander athletics stadium
VENUES                                Edgbaston cricket ground
                                      The Priory (tennis)
                                      The Belfry (golf),
NATIONAL CULTURAL             9       Symphony Hall / City of
FACILITIES                            Birmingham Symphony Orchestra
                                      NEC Arena, Solihull
                                      Birmingham Museum and Art
                                      Gallery (part owners of the
                                      Staffordshire Hoard)
                                      Birmingham Science Museum /
                                      Millennium Point
                                      National Memorial Arboretum
                                      (including the National Armed
                                      Forces Memorial)
                                      Lichfield Cathedral
                                      Tamworth Castle
                                      National Brewing Centre (Burton
                                      upon Trent)
                                      National Forest (East
                                      Staffordshire and beyond)

WORLD CLASS              Numerous   Jaguar / Land Rover
MANUFACTURING                       Cadbury
COMPANIES                           JCB
                                    Molson Coors

LARGE SCALE QUALITY         4       Edgbaston / Harborne
RESIDENTIAL & HIGH                  “South” Solihull
SKILLS AREAS                        Sutton Coldfield

HUB RAILWAY                 1       New Street
STATION/INFRASTRUCTURE     (+2)     Birmingham International
                                    Proposed High Speed stations in
                                    Birmingham and Solihull

                                    Evergreen Free Project linking
                                    Chiltern Railways to Marylebone
                                    West Coast Mainline
                                    (stations at Tamworth and
                                    Lichfield Trent Valley)
                                    Burton upon Trent (Midland Main
E3I BELT                            An area with high growth potential
                                    20-40 km outside of the
                                    conurbation that offers a
                                    combination of factors including
                                    lifestyle, accessibility, quality of
                                    environment, as well as the
                                    existence and development of a
                                    range of innovative manufacturing
                                    and business and professional
                                    service activities.


New Street Gateway. This £600m investment will see the transformation of the
current 1960s station into a world class transport hub serving 52m passengers a
year, and generating in excess of £2bn of wider economic benefits. The new station
will help transform parts of Birmingham city centre, and create tens of thousands of
jobs in the area.

Extension of the runway at Birmingham International Airport. a vital extension
(which already has planning consent) which will provide the essential point to point
connectivity with key markets in the Asian sub-continent, South East Asia, China, the
Far East and the West Coast of North America. The extension, which could be
completed by 2014, creates the opportunity for the Airport to fulfil the role of a wider
International Gateway; in particular to take pressure off airports in the South-East of
England. This will create substantial economic growth locally, and in the wider region,
whilst creating thousands of jobs in our LEP and those adjacent to the area.

High Speed Rail. A travel time of 38 minutes from Birmingham and 31 minutes from
the Airport/NEC to London Interchange will make Birmingham Airport an important
gateway not just for our LEP, but also further encourage economic interaction and
connectivity with the South-East. It will link Birmingham and Solihull directly to
Europe - our largest trading partner. HSR would greatly increase the LEP’s
connectivity and ‘offer’ as an international business destination, with independent
studies confirming that Birmingham will be one of the largest recipients of economic
benefits from the scheme, with substantial projected increases in productivity,
employment and wage levels. Having a direct stop at Birmingham International
Airport in Solihull will also enhance connectivity to the NEC and improving passenger
number growth prospects for Birmingham International Airport.

NEC expansion and modernisation.

Central Library. This new £188m project in the heart of Birmingham city centre will
create one of the world’s largest public libraries and modernise and expand the
cultural offer of the LEP, as well as releasing key city centre sites for private

Metro city centre extension. Linking Snow Hill and New Street stations.

National FA Centre. St George’s Park (a £100M development in Burton upon Trent)
will provide an inspirational centre for The Football Association to deliver its coach
education agenda and a learning and development centre for refereeing,
administration, medical and sports science disciplines. It will also be the training
home for the England senior team and 21 other squads supported by The FA.

Defence Medical Education and Training Agency (DMETA). £200m is to be
invested in Whittington Barracks near Lichfield to relocate DMETA, the national home
of military medicine. This will strengthen the ties between the agency and Queen
Elizabeth Hospital, the base for treatment of wounded personnel, and will be the
base for 2,000 military and civilian staff.

There are also projects supported under the Impact Investment Locations (Regional
Funding Allocation) – for example the A38 Longbridge, Eastside and Dudley Road
IPL - which will require funding over the short, medium and long term.

We want the LEP to drive these and other key projects forward, maintaining oversight
and ensuring that they enable local enterprise-led growth.



A globally competitive knowledge economy, outperforming UK and international
competitor locations for productivity, skills and quality of life; internationally
recognised as a successful place to do business, the location of choice for innovation
and exploitation of new technologies; a world leader in the green economy.


The LEP will set its own agenda and priorities to deliver its Vision, not limited by
initial Government thinking on centralisation of services.
• It will not be focused on delivery, but on setting the agenda for relevant delivery
     organisations and commission activity where there are gaps.
• It should be a lean organisation, with minimal bureaucracy and costs
• It should be of sufficient scale, ambition and capacity to have real credibility with
• Solihull has links with Birmingham and with Coventry & Warwickshire. Economic
     geography links with Birmingham are strong, but Solihull should also maintain a
     relationship with Coventry & Warwickshire and have the ability to look on a case
     by case basis. It must also retain a strong, independent voice in partnership(s)
• There must be a transparent mechanism for securing business representation,
     but the involvement of big business and strategic companies is critical

It needs to have assets and resources and the ability to control or direct spend to
make it robust and credible. This must include:-
• Devolution of funding from Central Government, and securing the alignment of
    retained central Government spend;
• Generating local funding for delivery through the new Regional Growth Fund and
    local taxation, including retention of Business Rates.

Outcomes: Delivering a High Value, High Skills Economy

•   Innovation: accelerating diversification and the development of the knowledge
    economy by investing in facilities and locations for higher value added /
    knowledge based business investment and growth; supporting business
    development and investment in R&D and innovation; providing finance for growth;
    increasing enterprise. GVA per head and per employee will increase ahead of
    national trends and exceed national averages.
•   World Class Knowledge and Skills: providing the right skills at the right levels
    for the new economy; directing local skills provision to ensure it is flexible and
    responsive to business needs, working with Universities and Colleges; investing
    in workforce development and progression; increasing graduate retention,
    increasing economic activity rates; reducing youth unemployment.
•   The Place to do Business: accelerating investment to deliver strategic
    infrastructure: Birmingham Airport runway extension; High Speed 2; Destination
    NEC; delivering investment to enhance local and public transport, managing
    congestion and improving access to businesses and jobs from areas with high
    levels of worklessness.

•    A Global Brand. Challenging and overturning negative perceptions of the West
     Midlands as a place to invest, through branding and promotion nationally
     (including UKTI) and internationally, with local business playing a major role as
     advocates and ambassadors. Bringing forward new cultural, tourism and leisure
     facilities across the LEP area to improve its offer to business and employees.


1.       What should the LEP do?

1.1. Vision:

     •   A distinctive vision, particular to Birmingham and Solihull based on an
         informed understanding of our existing strengths and weaknesses.
     •   Famous for enterprise.
     •   “We do business”.
     •   Best place in Europe to set up and run a business. The best place in Europe
         “to start up”.
     •   The business environment fostered by the LEP should see an increase in the
         number of start-ups, attract new businesses to the LEP area and support
         existing businesses to grow. Also retain existing businesses and jobs!
     •   The reward for businesses in supporting the LEP must be demonstrable
         ‘increased wealth and business growth’.

1.2. Ingredients:

     •   Focused activity to maximize return on investment.
     •   Retain and grow skills. Demand-led. Graduates. Vocational. Apprentices.
         Direct colleges spend.
     •   Enterprise culture. From school. Excite about modern manufacturing. Tackle
         “job for life” misunderstanding. Mentoring/coaching. Opportunity to target this
         (e.g. like Think Enterprise too?).
     •   Promote and sell the area. Inward investment targeted at HQs and R&D. Deal
         with image problem.
     •   Relevant business support to help businesses face market forces themselves
         e.g. HR, marketing and sales.
     •   Encourage more start-ups. Graduates included.
     •   Retain incubator capacity.
     •   Ease access to finance. Banks plus others e.g. CDFIs/Investbx.
     •   Encourage innovation. Build on our strengths e.g. medical; advanced
         materials, automotive and low carbon; digital; education; creative industries;
         business tourism/conferencing.
     •   Deliver competitively priced desirable premises?
     •   Sort infrastructure. Transport and digital. BIA extension noted as key.
     •   A great place to live. Green, clean. Safe. Strong cultural offer.
     •   Light touch to regulation.
     •   Business-friendly planning processes.
     •   Build critical mass beyond Birmingham and Solihull as appropriate e.g. inward
         investment; collection of data; innovation agenda. Don’t lose best performing
         parts of the region e.g. Technology Strategy Board, sector leadership, access
         to finance work.

2.       How should we do it?

2.1. Shared vision.

     •   Measure success through targeting GDP, productivity and private sector job
         numbers (perhaps reducing the economically inactive too?). Short term and
         long term activity and targets.
     •   Relevant to SMEs as well as corporates. Also to Black and Minority Ethnic
     •   A sectoral approach/representation to ensure delivery for industries. Every
         sector should be engaged and represented appropriately through the LEP
         Board, its subcommittees etc.
     •   Best available leadership from both public and private sectors. Equality and
         mutual respect.
     •   Private sector representatives must be successful local business people,
         actively involved in business. They must be dynamic with good
         communication skills and passionate about improving Birmingham and
         Solihull’s prosperity.
     •   Sharp clarity of purpose.

2.2. Resources

     •   Define resources (people and money). Exactly what power/influence will
         LEPs have? Decision-making capability? Will it absorb parts of AWM and
         Local Authorities to function, or create its own systems, processes and
         culture? It must also explain how we will do things differently.
     •   Need to demonstrate potential to make a difference.
     •   What will be the return on investment?
     •   Exploit contribution of the 3rd Sector and HE.
     •   Build compelling case for government to grant new freedoms and flexibilities
         so LEP can accelerate growth (e.g. Tax Incremental Financing/ADZs).
     •   Demonstrate how residual AWM assets are necessary to be catalytic in LEP
         growth ambitions e.g. to lever in new private sector resources. Develop
         innovative new ways of managing assets e.g. Development Trusts.

2.3. Behaviours

     •   Confidence in the leadership – that it will lead to measurable action geared
         towards specific goals. Credible chairs.
     •   Business-led and business-like.
     •   No bureaucracy. Slim set of meeting papers.
     •   Involve SME and Corporates.
     •   Responsive. Flexible.
     •   Progressive.
     •   Competitive – “compassionately ruthless”. Critical friend.
     •   Appeal to business people that are time-poor and success-obsessed.
     •   Business people must feel that the LEP makes a difference and that their
         involvement personally, makes a difference.
     •   Demonstrate leadership. Build critical mass beyond Birmingham and Solihull
         as appropriate e.g. inward investment; collection of data. Don’t lose best
         performing parts of the region e.g. Technology Strategy Board, sector
         leadership, access to finance work. Exploit “Metropolitan” strengths. Able to
         work across LEPs to support delivery.


As set out in the main body of the report, our emerging strategy is built around a twin

   •   Creating an innovation and enterprise culture; an environment where
       enterprise can thrive and prosper; and

   •   Investing in the infrastructure that supports private development and business


To achieve our vision of making our LEP the easiest place to do business, we will
make it is easy to:

Access finance. In addition to working with our high street banks, we will develop
other innovative options. We will grow our existing local stock exchange (Investbx)
into a debt and equity supplier, targeted at the SME heartland of growing, family-
owned businesses. We will develop community-based finance programmes to
provide more choice to our smaller businesses, and targeting potential

Access the skilled people we need. Our business, enterprise, HE and FE agendas
will be inextricably linked. Through a formal Partnership, we will exploit the
extraordinary asset base of our seven universities and five further education
colleges. We will increase local HE provision to support the identified needs of
businesses and maximise graduate placements within the LEP. We will work closely
with the private sector led and chaired City Region Employment and Skills Board,
utilising the powers and capacity at its disposal to increase skills levels and
employability to drive up relevant skill levels of the adult population in order to meet
existing and forecast skills shortages. This will be allied to a similarly close working
relationship with the Birmingham and Solihull Employment and Skills Board. We will
develop programmes to reduce worklessness, such as the Government’s Work for
Yourself proposals, to ensure that LEP residents benefit more fully from the area’s
economic success

Grow a business. We are pledged to transform our regulatory environment so that
we maximise the use of good regulation and banish the rest. We will make important
processes such as town planning positively friendly towards business and
employment growth. Our regulators will underpin our reputation for being seen as the
easiest LEP area in which to do business. For example, we will establish one
common set of rules in our LEP to make it easier to do business (LBRO agenda).

Believe in enterprise. By working with our schools, we will excite young people from
a young age about the potential to turn ideas into businesses. We will create the
conditions so that every young person has the opportunity to understand and fulfill
their entrepreneurship potential. Businesses will work with our schools to strengthen
understanding about the attractions of enterprise. Let’s run a business competition in
schools - with the brief to organise a music festival to celebrate West Midlands
popular music.

Start-up. We will deliver relevant support services from a mix of private and public
resources. Part of our ethos is that existing businesses will take time to mentor and
coach new business people. We will focus particularly on local graduates– starting
perhaps with a mentoring programme for graduates from the three business schools
at Aston, Birmingham and Birmingham City Universities, and the foundation degree
students and those on the SPEED programme at Staffordshire University. We will
provide enhanced business support – establishing a peer support mechanism to
increase survival rates and foster their growth.

Business start up and incubation is a key economic driver. We are determined to be
the place where business establishes, grows and prospers in the UK. We will
establish a ‘virtual boardroom’ using volunteer functional business specialists; we
know many of these people who already give of their time. Operating in a ‘Dragons
Den’ style, business owners will be able to book a slot to present their business
problems, ideas and proposals for evaluation and support by the boardroom. In this
way small business owners have a real solutions centre at their fingertips to help
them overcome their business challenges.

Grow within our key sectors. We will establish sector working parties, chaired by
business leaders, to develop sector-specific plans for sectors where we have
acknowledged strengths such as Financial and Professional Services, Green
Automotive/Automotive R&D, Automotive Supply Chain, Advanced Materials,
Medical and Creative/Digital Industries/Design. For example, Digbeth is becoming a
successful creative industries quarter. We will gather together leaders from our
creative/cultural and digital industries to identify what more needs doing and how to
harness the opportunities of new digital infrastructure and social media.

Keep new ideas flowing. We will be obsessed by innovation and R&D. We will
maximise the commercial potential in the output of our universities. We will seek
every opportunity to enhance the productivity of our businesses, developing leading-
edge technologies and processes. We will identify, with our universities, specific
actions to boost R&D/innovation/productivity and to encourage spin-outs, building on
the Birmingham Science City initiative. We wish to see Birmingham Science City
incorporated into our LEP.

Start and run social enterprises. Our LEP area already enjoys a vibrant civil sector,
and we see a big future for more social enterprises and associated volunteering -
from inner city areas such as Handsworth and the Heart of Burton (a neighbourhood
management pathfinder) to the villages of Solihull and Lichfield. We will establish a
Social Enterprise working party, with an immediate focus on connecting up all our
communities to a business and enterprise agenda.


Strategic Planning. We will co-ordinate infrastructure and associated private
development and investment in key locations such as the M42 growth corridor and
the Airport environs.

Connect with other businesses and markets by the transformation of New Street
station, the airport runway extension, High Speed rail links to London, the Continent
and the North, rapid transit solutions within the LEP area, well maintained roads and
superfast broadband.

Realise infrastructure investment and growth through our strategic priorities:

Birmingham International Airport. To support the expansion of the airport and
works along the A45 corridor. With a runway extension, Birmingham International
Airport will be capable of point-to-point flights to the major growth nodules of the
world. To promote awareness and take advantage of the Airport as an alternative
International Gateway, and its spare capacity as a Strategic National Asset, which
will stimulate economic activity and create jobs both in our LEP and farther afield.

Longbridge. Infrastructure funding to support A38 works and site access issues. A
minimum of £12m up to £30m is required for the overall development of Longbridge
to enable the creation of a new mixed-use neighbourhood with a high quality
residential and employment offer.

Eastside. Infrastructure to support delivery of High Speed 2, and access and
infrastructure costs to deliver the relocation of the Birmingham City University

North Solihull. A comprehensive programme of regeneration is underway. This
acknowledged regional priority is delivering housing renewal and growth, new village
centres, public transport improvements and better schools, and so is creating the
conditions for further economic growth and success.

Icknield Port Loop. Access and infrastructure costs to deliver a sustainable urban
development including high value added residential accommodation and employment

Big City Plan. Funding to support the relocation of the Wholesale Markets, bring
forward the existing site as part of the wider Southern Gateway, and infrastructure
work to highways and pedestrian areas. Expand the scale and diversity of housing in
the city centre and develop the infrastructure and services required to create
sustainable places.

Blythe Valley and Birmingham Business Parks. Blythe Valley houses 2 million
square feet of high specification office space, with world class occupiers in over 250
acres of parkland. Birmingham Business Park is already home to almost 100
businesses. Both parks have the capacity to grow and can be key assets for new
and existing businesses.

Bordesley Park. Infrastructure works to bring forward a major leisure development in
East Birmingham.

Aston, Newtown and Lozells. Completing land assembly which was started by
AWM on the second Regional Investment Site in Birmingham (the first being
Longbridge). This would also involve infrastructure works to improve access to the

Sutton Coldfield Town Centre. Investment in infrastructure to enhance the growth
capacity of Sutton Coldfield to deliver on the Masterplan.

Burton upon Trent. Developing National Growth Point status to achieve housing
and employment growth and a rebalanced economy.

Lichfield. Develop a strong sustainable city centre serving a wider hinterland.

Tamworth. Develop a strong sustainable town centre.

Access a quality housing offer. Encourage the construction of new housing,
incorporating low carbon technology, to accommodate a sustainable population
growth of 100,000+ residents

Promote our LEP as a destination for business investment. We will work with
central government to align our promotional activities with national marketing
messages to maximise awareness about the investment returns to be earned from
investing in areas such as Longbridge, the city centre, the M42 corridor through
Solihull and the Airport environs. We will support this by delivering great business
engagement/after-care to our businesses deemed to be of strategic importance to us.
Marketing Birmingham and Solihull for Success will provide dedicated resources to
improve the image and brand of our area, in order to attract and retain investment
and support business and leisure tourism.

Enjoy living in our LEP area. Our LEP already has an impressive range of major
cultural, leisure and sporting facilities – including, for example, four venues for
staging international sporting events and the varied leisure offer made by the city
centre, Lichfield, Burton upon Trent, Tamworth and Solihull town centres and the LG
Arena in Solihull.

The Staffordshire Hoard, some 1500 individual items mostly gold, is the largest Anglo
Saxon archaeological find ever unearthed, and presents a unique cultural asset for
the LEP area, Through a partnership including Birmingham, Lichfield and Tamworth
Councils we have the opportunity to develop the tourism and educational value of
this unique “treasure”.

We are also home to Lichfield Cathedral the 'mother-church' of the Diocese of
Lichfield, which covers the whole of Staffordshire, much of Shropshire and part of the
West Midlands. A major cultural attraction, it is home to the St Chad Gospels which,
in theological importance, sit alongside the Book of Kells and Lindisfarne Gospels

Tamworth – with Drayton Manor theme park, the Snowdome, ten pin bowling and
Tamworth Castle (the home of the Anglo Saxon kings of Mercia) has further potential
to develop as a “leisure town”.

Develop the visitor economy. Solihull and Birmingham together already have a
business visitor offer second only to London with facilities such as the NEC and ICC.
The leisure facilities in East Staffordshire, Lichfield and Tamworth, combined with the
more metropolitan offer made by Solihull and Birmingham, provide enormous
potential to increase our leisure visitor economy.

Capitalise on the attributes of the E3I belt. Covering an area 20-40km outside of
the conurbation, the belt represents a combination of factors including lifestyle,
accessibility, quality of environment, as well as the existence and development of a
range of innovative manufacturing and business and professional service activities
that offers tremendous growth opportunities.

Our Green New Deal. Birmingham has been pioneering this important national
investment in low-carbon infrastructure, which supports the planned national Green
Deal. Our LEP provides an ideal opportunity to develop a leading edge low carbon
energy efficient economy. Birmingham has an agreed CO2 emissions reduction
target of 60% by 2026. This provides opportunities for low carbon and green
technologies innovations and new "green" job and entrepreneurial opportunities:

•   a "Partnership Energy Plan" will be completed in early 2011 (this work is
    already underway). This will identify energy efficiency mechanisms through
    new district energy schemes and renewable energy capture opportunities, to
    reduce the area’s total energy bill by over 50%;

•   promotion of low carbon/electric vehicle uses, and technology developments
    through a "Green Vehicle Exploitation Plan";

•   development of a 10 year building retrofit programme - building on the
    "Birmingham Energy Savers" programme to raise building insulation

•   establishment of "Green Funding" mechanisms to support and deliver new
    partnership approaches to reduce the area's total energy bill of over £1.5
    billion per annum;

•   The Chasewater Green Park project bringing together Lichfield DC,
    Staffordshire County Council, the University of Birmingham and other
    partners to address issues around climate change, and energy usage /

•   Development of the National forest as a ‘green lung’ to encourage sustainable
    development and business diversification opportunities in East Staffordshire;

•   Investigating the scope for fast tracking planning applications for proposals
    that contribute to green objectives – for example renewable energy.

                                                                                        A globally competitive knowledge economy
                                                                                     renowned for being the easiest place in Europe in
                                          Create 100,000 private                            which to set up and run a business.                            Increase GVA in the area by
                                           sector jobs by 2020                                                                                                 £8.25 billion by 2020

Strategic objectives

                                                                                                                                                   Investing in the infrastructure to support an
                                      Creating an enterprise culture
                                                                                                                                                                 enterprise culture

 Operational objectives
  We will make it easy to...

                      ...start up and                                                                                                         ...accelerate                                     ...connect
 ...invest in                                   ...believe in           ...exploit our             ...recruit            ...access                                  ...invest and                                   ...enjoy a high
                      grow existing                                                                                                          infrastructure                                   with business
 new ideas                                       enterprise              key sectors            skilled people            finance                                      develop                                       quality of life
                        businesses                                                                                                             investment                                     and markets

  Tasks and activities

   Maximise                                        Work with             Take forward                                   Grow existing         Investment and                                   Renovation of
                                                                                                 Collaborate with                                                      Work with                                    Housing, cultural,
  commercial                                   schools to excite        best of sector &                               stock exchange          growth in key                                  Gateway station
                        Peer support                                                              HE and FE to                                                      government to                                      leisure and
   output of                                     young people               cluster                                   into debt & equity           areas                                      and high speed
                                                                                                 drive skill levels                                                 attract funding                                 heritage facilities
  universities                                  about business           programmes                                    supplier for SME                                                             rail

                                                                                                                        Community                                                              Extension to
                          Remove                                             Increased                                                        M42 corridor –
 Science parks                                                                                                         based finance                               Growth in quality           Birmingham
                         regulatory                                           business                                                       Destination NEC
and Science City                                                                                                      programmes for                                  housing                  International
                          barriers                                          leadership                                                       & Blythe Valley
                                                                                                                      small business                                                          Airport runway

   Encourage                                                                                                                                  Birmingham city
 through public                                                                                                                                  centre and
  procurement                                                                                                                                   Longbridge


                                                                                                                                                             Funds devolved as result of
 Leading bids to Regional Growth                                                                                        Using public procurement,
                                       Local taxation including retention      Making use of public sector land                                            abolition of AWM and transfer of        Seeking joint investment with the
  Fund, the Green New Deal and                                                                                        capital and revenue, to create
                                            of business rates and               holdings; prudential borrowing                                             associated assets; remainder of          Homes & Communities Agency
    other Government and EU                                                                                            supply chains in businesses,
                                       Accelerated Development Zones           and top slicing of capital budgets                                           Regional Funding Advice and            and other public funding bodies
         funding streams                                                                                                 apprenticeships and jobs
                                                                                                                                                           funding related to skills agenda


(Conclusions of a study commissioned from IBM Plant Location International)

 Target          Sub-group focus                  Key source markets /          Level of
 group                                            targets                       ambition

 SSC and         • HR Legal                       • Fortune 1000+                    High
 BPO             • English and multilingual       • USA, UK, India
 Financial       • Back -and middle office        • London                           High
 Services        operations
 Transport       • Automotive assembly            • USA, India, Japan, China,        High
 Technologies                                     Germany
 Emerging      • Low carbon R&D                   • UK, USA, India, Japan,        Moderate
 Opportunities                                    Germany
               • Clinical trials                  • UK, USA, Germany,                Low
                 • Digital media                  • UK, USA, India, Japan,       Moderate /
                                                  China                            high
 Public sector                                    • UK                           Moderate /
 relocation                                                                        high

The further development and delivery of this strategy will become the responsibility of
Marketing Birmingham in the context of a new Service Level Agreement currently
being negotiated between Birmingham City Council and Marketing Birmingham.
Marketing Birmingham assumed operational responsibility in August 2010.
Marketing Birmingham are also in the process of concluding negotiations for
resources to take the strategy forward from both WNF and ERDF, and are in process
of recruiting a dedicated expert team to take this on.

Further key sectors for our support will be:

   •   green automotive industries;

   •   ICT;

   •   aviation-based suppliers, and we will consider how Aviation Route
       Development can be included as part of the inward investment portfolio.


Critical to achieving our vision is the strategic alignment of existing assets, especially
as public funding (particularly for capital projects) declines. In this regard the land
assets currently held by AWM are of particular significance and it is proposed that
these be transferred to the LEP. Examples of these assets are set out in the table
below, but further discussions with AWM may reveal additional assets.

AWM Owned Assets              Business Case for Transfering Assets
Longbridge                    The City Council is best placed to direct and co-ordinate
                              the work of all parties to deliver the challenging
                              regeneration of this site, as set out in the adopted
                              statutory Area Action Plan for Longbridge.

                              Transfer of AWM’s land and property assets at
                              Longbridge to BCC will support the City Council in
                              delivering this exemplar employment led mixed use
                              development which includes amongst other outcomes:

                              Provision of 10,000 jobs including delivery of a
                              Regional Investment site
                          • Extensive infrastructure, including highways and
                              public transport, and community benefits to support
                          • Requirements for high quality design and high
                              sustainability standards
Eastside – Learning and Eastside will be one of the key areas of transformation
Leisure Quarter – Land at in the City Centre Masterplan to be launched in
Grosvenor Street          September this year which will set out the priorities to
                          grow the City centre and drive job creation, increase
                          GVA and deliver a more liveable City Centre. The City
                          Council and AWM have been investing in Eastside for
                          the last 10 years (in infrastructure, demolishing buildings
                          and clearing sites) the City Council has committed in the
                          last year over £20 million of expenditure to create a
                          strategic car park and invest in a new City Park, further
                          investment to improve access will be committed next

                              AWM have played a key role in financing investment in
                              land acquisition and clearance. Continued investment is
                              needed to continue transformation particularly in the
                              light of the HS2 proposal which will lead to a new
                              Station in Eastside but whilst this is waiting to be
                              implemented will create a degree of blight in the area
                              which reinforces the need to continue regeneration.
                              AWM's land assets are a vital element of this
                              regeneration activity and have to date been employed in
                              partnership with the City Council to facilitate
                              development. The City Council would be able to take on
                              any funding obligations from previous treasury
                              approvals in return for ensuring that their is local control
                              over the deployment of these assets to support

                           The AWM interest in the Goodmans Eastside Locks JV
                           is already is linked to the City Council as BCC are part
                           of the JV arrangement. The development will deliver
                           over 1.4 million sq ft of development in offices,
                           technology, residential and leisure space. There are
                           many obstacles to e overcome to secure regeneration
                           which will ultimately lead to the potential to create 2,500
                           jobs and £300 million of private investment. Addressing
                           these barriers requires local involvement alongside the
                           developer the remote involvement of Central
                           Government Department is an unnecessary degree of
                           local control contrary to the spirit of localism and in
                           anycase Treasury have a degree of control through the
                           CPRG approval to fund land acquisition and related
                           works which supported the regeneration of the wider

                           Land at Cardigan Street / Curzon Street - this site is in
                           the process of being sold to BCU to support the
                           development of their Eastside campus. Should this
                           proceed the City Council will be working to secure the
                           development of the remainder of the proposed campus
                           (a circa £125 million development for over 5,000
                           students) using in part land assets relating to the
                           Eastside Locks JV discussed above and other sites in
                           the Eastside area where the City Council and AWM
                           have funding or other agreements. In order to secure
                           regeneration the City Council needs to be able to use its
                           skills and powers without constant reference to remote
                           third parties.

                           Land adjacent to ETNA House Grosvenor Street - this
                           land forms part of a wider funding agreement with the
                           City Council to deliver regeneration in Eastside. The
                           land asset itself sits adjacent to the proposed City Park
                           and together with adjoining City Council ownership has
                           the potential to house over 30,000 sqm of development
                           and potentially 1,700 jobs. The City Council has the
                           planning , property and regeneration resources to
                           deliver this development at the appropriate time. The
                           involvement of a central government department or
                           other remote third party is likely to stifle the freedom to
                           secure regeneration.

Icknield Port Loop (IPL)   Following much time, energy and investment, there is
                           now a legal JV in place between all the main
                           landowners, namely, BCC, AWM and British Waterways
                           to deliver a 50 ac mix-use development.

                           The IPL scheme is seen as a catalyst for the
                           transformation of much wider area and the creation of a
                           new ‘Sustainable Urban Neighbourhood’ that will
                           generate up to 6000 new homes and 3000 new jobs.

                           Subject to the terms of the JV, BCC would hold AWM
                           assets on behalf of the Partnership and any successor
                           body. If the assets went to another party outside the
                           partnership, the complications would undermine the JV
                           from achieving its milestones and the ability to deliver
                           long awaited regeneration of Icknield Port Loop.
Bristol Street South       The Bristol Street South site is adjacent to City Council
                           land which itself has development potential. Bringing the
                           two land ownerships together and potentially combining
                           it with adjacent private sector controlled land will create
                           the opportunity for a key gateway development to the
                           City Centre capable of supporting a variety of uses and
                           complimenting the ongoing regeneration of the Attwood
                           Green area adjacent. The City Council has the skills to
                           take this development forward as a strategic opportunity
                           and maximise the return to the public purse. The
                           involvement of a remote third party in this process is
                           unlikely to be helpful to securing regeneration and the
                           transformation of the wider ‘Southern Gateway’ being
                           designated in the Big City plan - the City Centre
Aston      East   Regional BCC has been working with AWM to assemble critical
Investment Site (RIS) - parcels of land at the proposed RIS at East Aston.
Land at Serpentine Road/
Aston Road                 Transfer of assets to BCC would allow the City Council
                           to combine its land with AWMs to enable the
                           comprehensive development of the Regional Investment
                           site. If the land is disposed to another party that does
                           not support the vision of the RIS, this would undermine
                           the delivery of the RIS and the potential to create over
                           3000 new jobs in one of the most deprived areas of the
                           City. It would also undermine the statutory Aston –
                           Newtown – Lozells Area Action Plan , which needs to
                           demonstrate the viability and deliverability of the RIS in
                           its final submission to SoS in the new year.

Former Corus site            This is a key AWM asset in the East of the city.

                             AWM bought the building with the intention of working
                             with British Waterways to unlock their Tysleley Wharf
                             site. Without the Corus building the access to Tysleley
                             Wharf is through residential.

                             AWM have advised that the feasibility work to lead to an
                             outline planning application on behalf of them and BW
                             has restarted, but are seeking some support from BCC.

                             Although a JV has not been entered into as yet, given
                             the potential to use ERDF/ Jessica and opportunities
                             around Tyselely Wharf, this is a priority project.
Investbx                     The LEP submission has identified access to finance as
                             an issue that needs to be addressed in the future. It has
                             firmly put its ambition to grow our Birmingham based
                             existing local stock exchange (Investbx) into a debt and

equity supplier, targeted at the SME heartland of
growing family owned businesses, as a key objective.

AWM have spent considerable time, effort and money in
navigating European procurement and state aid issues
and establishing Investbx as a regional stock exchange
helping such companies access funding. Investbx acts
as a consultant to Birmingham City Council managing
the Business Loan Fund (£10m) as it offers a unique
position in the market place with its AWM public sector

It is important to retain the public sector ownership of
Investbx and to be able to use its existing infrastructure,
skilled staff and reputation to expedite the delivery of
this objective.


Job Title: Chair of the Local Enterprise Partnership (LEP).
Job purpose: The Chair will act as the lead figure for the LEP, bringing together
business and the local authorities to promote the economic development of the area.
Salary: The input required will vary week by week, but is expected to average at
around 0.5 to 1 day each week.
Context: On 29th June 2010, government wrote to local authorities to invite local
groups of councils and business leaders to come together to form local enterprise
partnerships (LEPs). The LEP will bring together business representatives and
representatives of the local authorities with the aim of building a vibrant environment
for business, stimulating growth and creating job opportunities in the area. A skilled,
established, respected and enthusiastic Chair is required for this new organisation to
help achieve these aims, ideally someone who is currently active as a business
leader in the LEP area.
Main duties and responsibilities
   •   To oversee the development of a fully operational LEP
   •   To ensure that the LEP pursues its objectives as defined in the governing
       document and complies with all relevant legislation or regulations
   •   To provide leadership to the Board of Directors in setting policy
   •   To chair meetings of the Board
   •   To sit on sub-committees where relevant
   •   To represent the LEP to the Government
   •   To represent the LEP to the media
   •   To build relationships with other LEPs and organisations involved in economic
   •   To evaluate the performance of the organisation in achieving its mission
   •   To act as a business champion for the LEP, representing the area to business
       to maximise inward investment
Person Specification
   •   A proven track record of success in business
   •   An understanding of the drivers behind successful economic development
   •   The ability to bring together a range of key people/organisations who are able
       to make a difference
   •   Should have an established network of local business leaders and their
       representative organisations
   •   Strategic vision
   •   Strong communication and interpersonal skills
   •   The ability and track record of interacting with investors (foreign and
   •   A track record of building consensus and commitment to major investment


We are committed to working with adjacent LEPS on issues which transcend LEP
boundaries, with the express purpose of securing private sector growth and jobs.
There will be issues where we will need to come together as a group of LEPs and
ways to achieve this are being explored.

We envisage that this collaboration will need to cover broad areas such as:

•   Representing the West Midlands, as a “coalition of LEPs” to the outside world,
    and co-ordinating a West Midlands response on matters that are of genuinely
    common significance – for example, connecting the West Midlands to the two
    proposed High Speed Rail stations in Birmingham and Solihull, and ensuring the
    roll out of next generation digital infrastructure and supporting the emergent and
    rapidly growing digital media sector;

•   Shared services, where economies of scale exist;

•   Funding covering more than one LEP, for example European funding.

We also believe that there is a case for retaining the West Midlands Manufacturing
Advisory Service as a regional function. It has assisted over 6000 companies since it
was established in 2002. It has helped to create over £60m of new added value &
£250m to the turnovers of those firms that have embarked upon in depth
improvement programmes. We believe it is more cost effective to share this sort of
experience across a number of LEPs, rather than to provide local dedicated, but
potentially more limited, support.

In addition, from time to time there will need to be one-to-one collaboration with
individual LEPs adjacent to ours, such as the Black Country, Staffordshire,
Worcestershire or Coventry/Warwickshire.

We and the Black Country LEP will review the existing City Region machinery, and
identify its role in ensuring collaboration across the conurbation when this is

We are willing to host the machinery to deliver this cross LEP work if other West
Midlands LEPs want us to do so.


Pledges of support for the Local Enterprise Partnership for Birmingham & Solihull with East
Staffordshire, Lichfield & Tamworth have been received from the following businesses to

 Abio Ltd
 ACME Whistles
 Actual People Development Ltd
 AHP Design Ltd
 Alba PLC
 ALG Sound & Lighting (UK) Ltd
 Aquila TV Ltd
 Argent Estates Ltd
 Arvada Marketing
 Aston University
 Barclays Bank
 Barclays Corporate
 Barclays Wealth
 Barrett Homes
 Beautiful Gardens
 Birmingham Alliance
 Birmingham Business Focus
 Birmingham Chamber Group (incorporating Birmingham, Solihull, Burton & District,
 Tamworth & Lichfield and Chase Chambers of Commerce and Industry)
 Birmingham City University
 Birmingham Cooperative Housing Services
 Birmingham International Airport Limited
 Birmingham Metropolitan College
 Birmingham Yamaha Music School
 Bodycote Heat Treatments Limited
 Bournville Heating Service
 Branston Golf and Country Club
 BSA Machine Tools
 c3 Connected Consulting Ltd
 Cadbury Plc
 Central Corporate
 Chiltern Railways
 Clarke Associates UK Ltd
 Cobbetts LLP
 Cognitor Ltd
 Colliers International
 Commercial Doctor Ltd
 Daytona Performance
 Derek Inman Associates
 DK Engineering Installations & Maintenance Ltd.
 DSM Demolition Ltd

East End Foods Plc
Eaton Electric Ltd
Else Solicitors LLP
Entrepreneurial Business I.T. Consultancy Ltd
Evans Consulting Group
Excel Labels Limited
Express Moulds Ltd.
Federation of Small Business (FSB), Birmingham Branch
Fullrange Ltd
GIL Investments Limited
Grand Prix Karting
Grant Thornton UK LLP
GVA Grimley Ltd
Hawthornes Research and Business Development Ltd
Hill & Smith Holdings PLC
Horizon Environmental Planning Ltd
Hunt Feneley
Inovaplus Limited
Institute of Asian Business
Jas Sansi P H O T O G R A P H Y
Jeeves Services UK Ltd
John Lewis
Legal & General Insurance
Legrand Electric
Lend Lease - Touchwood Shopping Centre
Lion Industries UK Ltd
Mackenzie Taylor Benefits Consultants Ltd
Metalrax Group PLC
Midland Heart
Millennium Cargo Services Limited
MiX Telematics UK Ltd
Moseley and District Housing
M-Stack Ltd
Network Recruitment Partnership Ltd
Number Nine The Gallery
Ove Arup and Partners Ltd
Pinsent Masons LLP
The Prince's Trust (West Midlands)
PT Secretarial Services
Qualplast (1991) Ltd
Quest Commercial Consultancy
Quintet International UK Ltd
R.F.May & Co. ltd
Redcliffe Catering Ltd
Roar Marketing Limited
Rubberman Rubber & Plastics Ltd

Salts Healthcare Ltd
Schaeffler (UK) Ltd
SG Transport Innovation Ltd
Special Plasters
St Philips Chambers
St. Francis Group.
Start 2 Finish Marketing Ltd
Sue Yates Personnel
Sydney Mitchell LLP
Tamworth and Lichfield Business and Economic Partnership
TeamPro Solutions Ltd
The Bullring
The Forton Group Limited
The Grapevine
Toye, Kenning & Spencer Ltd
Tradeteam Midlands
Twilight Homecare Services Ltd
University of Birmingham
Urban Communications Limited
Vinci Construction Limited
Wesleyan Assurance Society
Wheresmylunch Limited
Williamson & Soden Solicitors
Wragge&Co LLP


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