South East England Development Agency and the Regional Economic Strategy - South East Regional Committee Contents


Memorandum submitted by Association of South East Colleges (AOSEC) (SE 01)

ABOUT AOSEC

  Association of South East Colleges (AOSEC) represents 59 Further Education (FE) Colleges in the South East of England. Member colleges include General Further Education Colleges, Sixth Form Colleges, Tertiary Colleges and Specialist Colleges (eg land-based).

AOSEC's Chief Executive sits on the Regional Assembly (SEERA) which scrutinises the Regional Development Agency (SEEDA). In addition AOSEC is one of the regional partner organisations with responsibility for delivering some of the targets identified in the Regional Economic Strategy.

AOSEC is affiliated to the Association of Colleges.

SUMMARY OF THE KEY POINTS IN AOSEC'S RESPONSE

    — The South East England Development Agency (SEEDA) has a valuable role to play in providing expertise to deliver a holistic response to the region's planning needs such as for housing, transport and the economy. — The recession is impacting on businesses and Further Education colleges in the South East substantially. Many businesses are seeking to take advantage of the Government's Train to Gain service to up-skill their employees, however a funding cap on the budget has meant that FE colleges are not able to respond to the high business demand. Likewise a short-fall in the funding for the new FE college building programme risks undermining the plans to deliver world-class facilities for young people and adults to gain the skills which the region's businesses and economy require. This also impacts significantly on the construction industry.

    — AOSEC welcomes plans to increase local accountability and the introduction of Local Authority Leaders' Boards in the Local Democracy, Economic Development and Construction Bill. However, there needs to be a mechanism in place to ensure that the expertise of Social and Economic Partners can robustly feed into the planning process, particularly for further education and skills, which are at the centre of the region's economic and sustainable development strategy.

1. The role, responsibilities and accountability of SEEDA

  1.1  The South East has a three-tier economy with inner, rural and coastal variation. AOSEC considers that the Regional Development Agency, SEEDA, is well-placed to make decisions which require a regional overview, such as in policies relating to the housing, education and transport needs of the South East. An example from Further Education of where this overview is worthwhile is with the region's four agricultural colleges which serve the South East as a whole, rather than just a local area.

1.2  SEEDA also has a useful role to play in targeting market failure within the region. It has been instrumental in bringing about education-led regeneration projects, such as at Hastings where SEEDA supported Sussex Coast College (formerly Hastings College) with its new build, resulting in £120m being invested by central Government.

  1.3  In addition, SEEDA has the regional expertise to pull together the varying requirements of the sub-regions and provide useful monitoring of plans and statistical information.

  1.4  In terms of accountability, AOSEC (alongside other Social and Economic Partners) has sat on the Regional Assembly Committee which scrutinises SEEDA. This provides an invaluable opportunity to ensure that the views of the FE sector (which is at the heart of many of the region's economic and sustainable development plans) are made clear to policy makers. However, as a result of the Sub-National Review, the Regional Assembly is now dissolved. The stakeholder partners brought valuable experience and a place in the new structure is being sought.

  1.5  AOSEC welcomes plans to make Regional Development Agencies more democratically accountable via Local Authorities which will improve transparency. However, it would emphasise the value of keeping Social and Economic Partners to input into the RDA accountability process to ensure that the regional expertise and perspectives (such as for education) are retained, which Local Authorities are less likely to have. AOSEC notes that Further Education colleges tend to work sub-regionally with a strong steer from the regional Learning and Skills Council (LSC). As the LSC is being discontinued, there needs to be a structure in place to maintain this regional and sub-regional educational perspective.

  1.6  AOSEC considers that SEEDA, along with other RDAs, also needs to remain accountable to Parliament through its sponsoring department.

2. The process by which the RES was drawn up and the level of involvement of regional stakeholders

  2.1  Further Education, through AOSEC, has been fully involved through the development of the RES. It continues to be part of the monitoring and review processes and present at the stakeholder conferences.

3. The effectiveness of the RES for the South East in delivering against its targets including the degree to which the regeneration of areas of deprivation and the former coalfield areas has been successful

3.1 For Further Education, the priorities and influence of the Learning and Skills Council have been more significant at a local level.

4. The effect of the financial and economic situation on businesses in the region including the effect on different sectors such as manufacturing, service industries etc

4.1 AOSEC has been aware of various effects on business as a whole across the South East. In particular, the recession has led to more organisations sending their employees to FE colleges for training and learning new skills. In the South East, there has been a massive take-up of people following courses under the Government's Train to Gain service, which has resulted in the Train to Gain budget being depleted and Colleges no longer able to deliver the free training which they had initially marketed.

4.2 More specifically, AOSEC is conscious of the impact of the recession on the FE college sector and the construction industry. Many FE colleges in the region have been due to undertake extensive rebuilding programmes, but due to a short-fall in the funding by the Learning and Skills Council, these plans and the construction contracts have been unable to progress. This will also impact businesses in general as the new college building programme is necessary to provide the best possible facilities for young people and adults to learn the skills which the region's economy and local businesses will need in the future.

5. The changes to regional policy proposed in the Local Democracy, Economic Development and Construction Bill and the potential effect on the work of SEEDA

  5.1 AOSEC welcomes plans to improve local accountability. FE colleges, universities and Local Authorities all have a vital role to play in strengthening local communities and need to be entrusted with more control to respond to local needs. As the Learning and Skills Council (LSC) will cease to exist in 2010, and the regional structure of the future Skills Funding Agency, Young People's Learning Agency and National Apprenticeship Service has yet to be clarified, AOSEC proposes that FE colleges (instead of the LSC) should be included in the list of organisations to be consulted directly, to ensure that the voice of the FE sector is understood at regional level.

5.2 AOSEC supports the introduction of Local Authority Leaders' Boards to increase local accountability. This democratic input should provide greater transparency to the work of the Regional Development Agency, thereby increasing the public's perception of SEEDA and the Integrated Regional Strategy. However, AOSEC is also concerned that much of the expertise from the Social and Economic Partners on the Regional Assembly would be lost in the new arrangements. AOSEC would suggest that there needs to be a mechanism in place to ensure that Social and Economic Partners, such as Further Education and Higher Education, can effectively input into the economic and sustainable development plans for the South East.

6. The role of other Government agencies such as the Government Office for the South East, and of partnerships between Government agencies, local government and the private sector, in delivering the aims of the RES

7.   How effective initiatives such as Business Link are being in assisting businesses in the current climate, including helping them to gain access to funding both from Government funding streams and through the banking system

  7.1 AOSEC would again highlight the point made above (section 4) that in the South East there has been tremendous demand for training under the Government's flagship Train to Gain Service (and funding stream). FE Colleges have now reached the funding cap and are no longer able to respond to business demand. AOSEC strongly recommends that this funding stream be increased to allow colleges to deliver the training that businesses require to pull through this recession and emerge well-placed in the future.


Memorandum submitted by the Campaign for the Protection of Rural England (CPRE) (SE 02)

SUMMARY

  CPRE South East understands and generally welcomes the purpose of SEEDA. We continue to have concerns however that SEEDA's remit, and its preferred indicators of success are biased towards a narrow definition of economic growth, rather than using broader measures of sustainability. We are concerned also that the changes proposed by the Local Democracy, Economic Development and Construction Bill (LDEDC Bill), which include giving the same body spatial planning powers and a remit for driving economic development, are a recipe for confusion. We regret the downgrading of partnership working, and the possible impact on bottom-up participation in the region.

1. Background

1.1  CPRE South East welcomes the South East Regional Select Committee's Inquiry into the work and effectiveness of SEEDA and the RES. The Campaign to Protect Rural England exists to promote the beauty, tranquillity and diversity of rural England by encouraging the sustainable use of land and other natural resources in town and country. CPRE submitted comments on the original RES in 1999, as well as on all the subsequent reviews and implementation plans. CPRE has always welcomed the work of SEEDA, and recognised the need for a Regional Economic Strategy which places sustainable development at its core.

1.2  We are aware that the 1998 Act sets out the Regional Development Agencies' statutory duty to contribute to the achievement of sustainable development in the UK where it is relevant. This is an important requirement that has been increasingly well addressed by SEEDA. Changes which we have welcomed include SEEDA's use of a basket of indicators to measure growth, beyond GVA. CPRE recognises that GVA is important, and that other Quality of Life indicators can include measures of environmental capacity, and such aspects as tranquillity. Our concerns about the emerging changes to regional structures are that this element will be either lost or eroded, as the indicators of success under the changes to regional policy proposed in the Local Democracy, Economic Development and Construction Bill (LDEDC) are all narrow economic measures.

1.3  Under the LDEDC, the RDAs may be unable to address matters that do not directly contribute to economic growth. We are concerned about the dangers of narrowing the meaning of "sustainable economic development". This could run counter to the concept of sustainability in its broader sense. "Sustainable economic development" could, of course, be interpreted as a broad expression that includes wider aspects of sustainable, and if so, this should be explicit.

  1.4  We set out below our comments to the areas the Committee has indicated they are particularly interested in. We have also suggested some additional themes and issues which we consider relate to the Parliamentary Select Committee's Inquiry into SEEDA and the RES, and are of direct concern to CPRE.

2. The role, responsibilities and accountability of SEEDA

  2.1  SEEDA was given a clear base mandate to promote economic development and regeneration in the region, mainly through the RES. The RES was never seen as SEEDA's own strategy, but that of the region itself. SEEDA's work has been continually assessed through the Regional Assembly's programme of regional scrutiny committees. The LDEDC Bill will implement the Government's reforms to regional planning. Ahead of this Bill receiving Royal Assent regional structures have already begun to evolve.

2.2  SEEDA will now have to work with the new Partnership Board of local authority leaders in developing the new Regional Strategy. SEEDA will have to face a culture change and, critically, will have to acquire a new set of spatial planning skills to underpin its new role. The issue of accountability remains important and all meetings of the new regional boards need to be held in public. SEEDA may wish to consider the role of stakeholders in the process of strategy development.

3. The process by which the RES was drawn up and the level of involvement of regional stakeholders

  3.1  CPRE South East considers that the RES consultation process could have been clearer and more democratic. The RES process was mainly developed through internet consultations. Hard copies of the consultation documents were often sparse, and enquirers were referred to the website. This has not always helped to stimulate a high level of responses or generate public interest. The consultation documents were never a draft of the next RES, and this led to confusion over how to respond. Rather than "drafts", they were discussion papers. Accompanying documents, such as the Economic Profile were substantial and thought provoking documents, yet it is not clear how they related to each other. The status of the Chairman's introduction, however crisp and powerful, was never clear and many of its welcome sentiments were not reflected in the subsequent text.

3.2  The relationship to sub regional priorities was also unclear. If these are merely supplied by others, as appears to be the case with the Environmental Initiatives, then they must fit in with the overall strategy. Another puzzle is the role of the Action Plans, which under the first RES were largely impenetrable documents. A better explanation of the whole process was needed.

4. The effectiveness of the RES for the South East in delivering against its targets

  4.1  The South East region plays a critical role in shaping the future of this country, the challenge is to do this in a way that is sustainable within the region and which recognises the role of other regions. Our publication Even Regions, Greener Growth, (CPRE, February 2002) dealt with this question by offering up the concept of "discerning development". This would allow the less prosperous regions to "catch up" economically, and, if harnessed to urban renaissance, may also help to relieve pressure and congestion in the wider South East.

4.2  The SEEDA Corporate Plan targets are only one measure to be considered when assessing the effectiveness of the RES. The RES is a partner-approved, rather than a single corporate strategy. The RES has produced innovative principles to promote development. The concept of Smart Growth, with its emphasis on innovation and creativity and its focus on carbon footprints is the most sustainable approach to measuring development. However, its "drivers of prosperity" will falter without addressing the challenges posed by both sustainability and the challenge of global pressures. Challenges for the RES include the need to promote economic growth which is sustainable, and therefore consistent with the principles set out in the Government's Sustainable Development Strategy.

  4.3  In line with the Sustainable Development Strategy the key challenges of sustainable "prosperity" should include references to rural economies, and the importance of a healthy region. We support the inclusion of climate change and energy as key issues in the RES, as well as natural resource protection and environmental enhancement. These factors are important in determining delivery against objectives.

  4.4  The impact of the Regional Economic Strategy has been considerable. It is accepted that the RES is primarily an economic instrument; this, however, does not preclude assessing and making provision for a range of other factors that are an essential support to economic success. The relationship of the RES to RSS has long been of concern. The creation of a single Regional Strategy by the LDEDC Bill will help integrate spatial and economic planning, but economic concerns should not be seen as the overriding priority for regional planning in the future.

  4.5  The role of the "Greater South East" needs to be more clearly set out in the RES and successor documents, as well as the interrelationship of the region to London; the South East is no longer a rural hinterland, but this is not always apparent within Government policy.

  4.6  The RES has not always been consistent with the South East Plan and this has caused confusion in the region. The RES should not, for example, be promoting levels of growth that are inconsistent with the South East Plan.

5. The effect of the financial and economic situation on businesses in the region including the effect on different sectors such as manufacturing, service industries

  5.1  The economic downturn is having a devastating effect on businesses in the region, with a marked slowdown in the housing market and other sectors, although some areas and sectors remain active for now. More broadly, we have shared with SEEDA the view that the quality of the countryside and the urban environment are critical factors in regional economic success. This means a clearer focus on using brown field land for all kinds of economic development, such as factories, offices and warehouses. The cultural, historic and natural assets of the region are easily threatened by inappropriate development, and incidences of urban decline and dereliction will inevitably undermine regional prosperity in the longer term. We are particularly concerned that, in the current climate, the search for growth and development should not come at the expense of the countryside—the brown field targets must remain in place.

5.2  CPRE is strongly of the view that new businesses should be supported and encouraged. Rural business and genuine diversification should receive support in greater measure. Overall, sustaining existing and new businesses must be preferable to stimulating outside investment. SEEDA has a potentially unique role in this, and its scope and coverage should be clarified.

6. The changes to regional policy proposed in the Local Democracy, Economic Development and Construction Bill and the potential effect on the work of SEEDA

  6.1  The LDEDC Bill has led to the demise of the Regional Assembly, and to the down-grading of partnership working. The partnership approach had spread across a wide range of structures, and had endured for a decade. An essential element lost in the partnership approach is the involvement of stakeholders. The new Partnership Board proposed for the South East is an amalgam of SEEDA Board members and Council Leaders. There is no room for stakeholders in decision-making any more, as there was with the Assembly and with SEEDA committees and advisory groups. The involvement of stakeholders in task and finish groups or in technical working parties is a poor substitute for direct or closer level engagement. This diminution of engagement will have a detrimental effect on the region, insofar as it will lose many levels of understanding as well as coherence and legitimacy.

6.2  Although SEEDA has begun to make changes in recognition of its new role in regional planning they will need to continue to evolve. Land use planning must place equal weight on environmental, economic and social issues and this will require a further shift in thinking. SEEDA was established to be economically focused and business-led, but this cannot continue to be the case if it is to successfully undertake this vital role in regional planning. We are concerned about the propriety of giving the same body spatial planning powers and a narrow economic development remit, without receiving reassurances that checks and balances will be in place.

  6.3  The development of the new regional strategy must fully involve local communities and stakeholders and this cannot be done purely through web-based consultation. SEEDA will need to consider carefully how best they can consult people and work closely with the Leaders' Board. There is a need for more transparency as the new Boards also have a planning remit. There is a fundamental need to have all full meetings in public, following the tradition and practice of local authorities.

  6.4  CPRE considers that SEEDA should primarily adopt a strategic role, allowing other partners and agencies to deliver the agreed objectives of the RES. SEEDA should essentially drive the strategy, monitor performance and help others, including identified key partners, to deliver. SEEDA can also help by facilitating partnerships. Project initiation is also beneficial, particularly where these act as demonstration projects, to encourage others into an emerging market such as renewable energy. Monitoring and publicising knowledge transfer should be seen as an essential and budgeted part of SEEDA activities.

7. The role of other Government agencies such as the Government Office for the South East, and of partnerships between Government agencies, local government and the private sector, in delivering the aims of the RES

  7.1  With the dissolution of the Regional Assembly the only remaining partners with a real overview of the region are GOSE and SEEDA. The new Leader's Board will have to acquire a similar perspective. It is important that the Government Office seeks to create a clear model of engagement. This should cover business, communities and other stakeholders, allowing the diversity of the region to inform its work. There is scope to improve the current model of "stakeholder engagement" and to benefit from the knowledge and perspectives that organisations like CPRE can contribute. Possibly a shared approach with SEEDA to regional engagement would provide a much more valuable and robust approach than the current model.

7.2  The Government Office is an ideal focus for regional intelligence gathering and would add real value if it could bring together the expertise of organisations with essential knowledge of the region.

  7.3  CPRE will continue to co-operate and champion activities in our areas of key interest. We are pleased to work with SEEDA, and had active representation on the SEEDA Sustainable Development Committee, on a partnership basis. This committee went into abeyance with the departure of its chairman. It was a useful forum showing SEEDA's close involvement with these issues, and should be reconvened. We will support SEEDA in its sustainability objectives and would be pleased to help facilitate partnerships with our branches, as appropriate. Our regional group co-ordinates eight county based branches. Many of these would be able to help deliver agreed sustainability initiatives in their areas. We would expect such initiatives to help encourage a vibrant countryside and environment.

8. Other Key Challenges

  The following paragraphs highlight some of our concerns about the scope and coverage of the Regional Economic Strategy:

    8.1 Transport Infrastructure

    — The RES should align itself with the wide ranging consideration of transport policy over recent years. This includes the Regional Transport Strategy of 2004, and the revision in the draft South East Plan. The work of the Regional Transport Board in defining strategic priorities is innovative, and should be supported by the RES.

    — The RES should develop policies to reduce travel-to-work time, and to promote greater sustainability and self-containment in all future developments.

    8.2. Sub Regions in the RES

    — Overall, the strategy needs a stronger urban emphasis for future development; appropriate levels of rural development, and the addressing of intra-regional economic and social disparities. The RES should support continued economic growth in ways that minimise pressures on land and labour resources; as well as protection and enhancement of key environmental, cultural and historic assets.

    — The defined Economic Areas in the South East need to relate better to the South East Plan. The spatial emphasis appears to coincide, but has been simplified.

    — The suggested Diamonds for development, such as Gatwick, should complement, and relate well to the rural fringes, as well as the "string of pearls" along the coast.

    8.3. Rural Economy and Communities

    — Declining services and deprivation in rural areas remains a problem, as well as homelessness and access to affordable housing. Rural businesses are increasingly lifestyle enterprises, and the attraction of country living is important.

    — There is a need to continue to foster the local food sector, including infrastructure, downstream to supply chains, but also upstream to link supply chains to local landscapes. Support for the successor Rural Board and Rural Forum is vital to help facilitate and monitor developments.

    — Rural development should focus on Smart Growth, and development that supports rather than detracts from local assets, including landscape and tranquillity.

    8.4. Building Sustainable Communities

    — Prosperity and quality of life should be seen as working together. Similarly, the inequalities of the region need to be fully addressed in SEEDA programmes.

    — The value of culture and heritage in binding communities should not be overlooked. It should be seen as a positive force giving character and stability to communities, as well as providing continuity and adding value.

    — With many people now asked to live in higher density developments, there is a need to demonstrate high quality design, as the key to long term success.

    — The South East region has a vital role to play in health innovation and enterprise. This should also link to the environmental agenda.





 
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