Issue - meetings

Cabinet is asked to approve and accept UK Shared Prosperity Fund (UKSPF) grant allocation following confirmation of award.

The Cabinet considered a report of the Director of Economy, which asked members to approve and accept a £1,462,282 UK Shared Prosperity Fund (UKSPF) grant allocation following confirmation of an award from the Greater Manchester Combined Authority.  This was specifically in relation to Supporting Local Business strand - E22:  Investing in enterprise infrastructure and employment/innovation site development projects.

The Cabinet was advised that the fund was split into £1m Capital investment for the Managed Workspace programme in the Spindles and £462,282 revenue to deliver business support to create economic growth (new jobs) and new enterprises (sole traders or new companies). The package of support would be a combination of one-to-one enterprise start-ups and business growth advice and guidance, grants and supporting the Social Innovation Hive.

The UKSPF programme had replaced the European Social Investment Funds and was provided by HM Government and had been devolved to Greater Manchester Combined Authority but will conclude operations by March 2025.

Options/alternatives considered:

Option 1 – Do not accept the E22 – SPF Grant. Option appraisal – The grant has been allocated to Oldham by GMCA with the aim to support new businesses to start and existing businesses to grow creating jobs. Each or the ten local (Greater Manchester) authorities have been awarded an allocation. If the decision is to not accept the grant, then the funding would be redistributed across the remaining 9 local authorities. This would disadvantage the local business community.

Option 2 – Retain the capital funding and procure a programme of business support. Option appraisal – The capital funding would be secured and the revenue-based outcomes would be procured/commissioned. This option was examined with the ambition to secure a trans-organisation/partnership response. However, the soft market testing demonstrated a lack of capacity especially within the very short window for delivery. In addition, there were some concerns relating to subsidy control and the length of time that would take to resolve. As a consequence, this option was discounted (due to time constraints and market capacity).

Option 3 – Deliver the programme as outlined above (and in Appendix 1 to the report). Options appraisal. The grant has been awarded to Oldham Council and will be used to develop the business support element of the Business Growth and Investment team with the intention of seeking to bring in additional investment to the Council, which in turn enables more targeted, local delivery of business support related solutions. The risk is that this programme does not get extended but to achieve budget savings and maintain outcomes then the team will benefit from managing externally funded provision with the aim to proof capability in this arena.

Preferred Option: Option 3 is the preferred option as it secures the highest level of control to deliver the programme within the limited time frame.

Cabinet was informed that the Chair of the relevant Scrutiny Body had permitted this item to be considered at this meeting of the Cabinet, without prior notification on the Authority’s forward plan of Key  ...  view the full minutes text for item 13