KCC, on behalf of Thames Gateway Kent Partnership, has applied for Government funds to deliver the TIGER (Thames Gateway Innovation, Growth and Enterprise) programme, offering direct financial support to business in North Kent and Thurrock.
The Government is currently considering KCC’s application for funding. If it decides to grant funding, KCC will need to enter into a grant agreement with the Government to accept the funds and deliver the programme. This will mean that KCC will be contractually committed to meet a number of output targets (relating to jobs and leverage) associated with the programme.
How the decision relates to BS4K and Corporate Objectives
This Decision contributes to delivery of the following Delivering Bold Steps priorities:
· Priority 7: Build a strong relationship with key sectors across Kent.
· Priority 8: Respond to key regeneration challenges, working with our partners. This priority makes specific reference to support for economic growth in the Thames Gateway.
Impact/costs and risks of proposed decision
The proposed decision will mean that KCC will be able to draw down funding from Government. This could have a potential value of up to £30.5 million in Government funding. This will enable the Council to provide direct financial assistance to business. It is anticipated that this will lead to the creation of 2,400 jobs, and secure over £400 million in private sector leverage.
There will be a cost to KCC in managing the programme, should KCC decide to act as the accountable body. This is estimated at a maximum of £800,000 over the next 3.5 years. Funding for this has been indicatively allocated through the KCC Regeneration Fund.
The following risks will be incurred by KCC as a result of the proposed Decision:
· Failure to secure contracted outputs, leading to clawback of funding. This will be mitigated through full appraisal of all grants and loans to individual companies and ongoing monitoring.
· Failure to comply with state aid and other legal requirements, leading to clawback of funding and reputational damage. This will be mitigated through full appraisal of all grants and loans to individual companies and ongoing monitoring.
· Inability to spend funds. This will be mitigated through strong marketing and coordination with the North Kent Districts and other partners.
Decision type: Key
Decision status: Recommendations Approved
Division affected: (All Division);
Notice of proposed decision first published: 31/12/2012
Decision due: Not before 3rd Jan 2013 by Cabinet Member for Regeneration and Economic Development
Lead member: Cabinet Member for Regeneration and Economic Development
Lead director: David Cockburn
Department: Strategic & Corporate Services
At the time that the application for funding to support TIGER was submitted to Government, consultation took place at Level 2 – Gather opinions
Key consultee groups
· Businesses in North Kent
· Business representative organisations (e.g. Kent Invicta Chamber of Commerce)
In addition, consultation took place with the North Kent Districts and Medway (to Consultation Level 5) and other partners on Thames Gateway Kent Partnership.
The consultation took place between May/ June 2012
Equalities Impact Assessment included in the consultation
documentation. Please state where this can be found.
No EIA has been conducted as yet. However, should the application to Government be successful, an Equalities Impact Assessment will be completed prior to the proposed Decision being taken.
Date of publication of consultation outcomes and updated
Equalities Impact Assessment
The consultation informed the application for funding to Government; however, there is no separate consultation outcomes report.
The proposed decision was discussed by Economic Development Cabinet Committee, 5 July 2012.
A further report was discussed by the same committee on 8 November 2012
The matter is not referred to in the Business Plan or Medium Term Capital Programme
All Members representing divisions in Dartford, Gravesham and Swale will be affected by the decision.
Financial implications: Ross Gill Economic Strategy and Policy Manager Economic and Spatial Development Tel:01622 221312 Mob:07837 872705 e-mail: Ross.email@example.com
Legal implications: 12/02028 28 day expiry: 3 January 2012
Equalities implications: Exceeds the financial threshold as it involves commitment to expenditure in excess of £4m across both SLA and over a period of 3 years likely to be