Development Committee 8 December 2004

From Nigov

E3770

Development Committee

Wednesday, 8th December, 2004

MEETING OF DEVELOPMENT COMMITTEE

Members present: Councillor Crozier (Chairman); the Deputy Lord Mayor (Councillor O'Donnell); and Councillors Adamson, Crowe, Empey, Lavery, Long, McAuley, McCann, McCarthy, McCausland, M. McGimpsey, Newton, O'Reilly and Wilson.

In attendance: Ms. M. T. McGivern, Director of Development; Ms. S. McCay, Head of Economic Initiatives; Mr. G. Millar, Head of Urban Development; and Mr. J. Goodall, Senior Committee Administrator.

Chairing of Meeting

In the absence of the Chairman and the Deputy Chairman, it was agreed that Councillor McAuley take the Chair.

(Councillor McAuley in the Chair.)

Apologies

Apologies for inability to attend were reported from Councillors Molloy and Ní Chuilín.

Minutes

The minutes of the meetings of 9th and 15th November, which had been printed and circulated, were taken as read and signed as correct. It was reported that those minutes had been adopted by the Council at its meeting on 1st December, subject to:

(i) the variation of the minute of the Tourism and Promotion of Belfast Sub-Committee of 10th November under the heading "Visit to Nashville December, 2004", to provide that the Lord Mayor be authorised to participate also in the visit and that approval be granted for the payment of the appropriate travelling and subsistence allowances in connection therewith;

(ii) the omission of the minute of the Economic Development Sub Committee of 3rd November under the heading "Export Links with Cyprus" which, at the request of Councillor Kennedy, had been taken back to the Sub-Committee for further consideration; and

(iii) the rejection of the decision of the Economic Development Sub Committee of 3rd November under the heading "East Belfast Working Group" agreeing to affirm its decision of 6th October not to participate in a Working Group on the basis that Council officers would investigate alternative means by which the Council might assist Castlereagh and Ards Borough Councils in addressing economic decline within the East Belfast area; the Council agreed that to participate in the Working Group would be beneficial to and in the interests of the economic and community infrastructure in the east of the City and authorised engagement with the two Councils mentioned in attempting to bring about improvements to the economy in East Belfast.

Arts Sub-Committee

The minutes of the meeting of the Arts Sub-Committee of 29th November, copies of which had previously been circulated, were approved and adopted.

Tourism and Promotion of Belfast Sub-Committee

The Committee approved and adopted the minutes of the proceedings of the Tourism and Promotion of Belfast Sub-Committee of 30th November, copies of which had previously been circulated.

Belfast Local Strategic Partnership

The Director of Development submitted the undernoted report in relation to the Belfast Local Strategic Partnership:

"Purpose of Report

To provide Members with an update on the Belfast LSP.

Background

Members will be aware that the Belfast LSP was established in 2002, it has been allocated a budget of £25 million to invest in projects that provide peace building, economic development or training through three measures:

Measure 3.1 (ERDF)

Seek to promote local economic initiatives for developing the social economy. This measure is implemented specifically by LSPs.

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Measure 3.2 (ESF)

Seek to promote locally based, human resource, training and development strategy. This measure is implemented specifically by LSPs.

Measure 2.11a (ERDF)

Seek to promote the integration and inclusion of marginalised and disadvantaged groups to achieve higher levels of cross community participation and the regeneration of community interface areas. This area based measure is separate to other Peace II initiatives and is available in Belfast, Londonderry and Regional Towns in N.I. DSD is the implementing body associated with this measure which is not specific to the LSPs.

The allocations under each of the areas are as follows:

Measure 3.1 £9.348 million Measure 3.2 £8.602 million Measure 2.11a £4 million

The remainder of the designated budget is allocated towards Technical Assistance.

In addition to these 3 measures, the Belfast LSP also administered a £1 million allocation of the Local Community Fund on behalf of the Department for Social Development.

Current Position

Commitment and Expenditure Targets N+2

As with all European Funded projects, the Belfast LSP has been subject to N+2 Regulations which means that an allocation of its budget under each of the measures must be committed and fully spent by December 2004. In order to ensure expenditure under each measure an open call for programmes is advertised, all eligible projects must go through an appraisal process, and then processed through Sub-Committees prior to approval from the Board. After this process has been approved letters of offer can be issued.

The N+2 targets for Measures 3.1 and 3.2 are as follows:

Target Actual as Shortfall 30th October 3.1 £4,510,238 £2,068,128 £2,442,110 3.2 £5,717,917 £3,395,103 £2,322,814

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To date £12.5 million has been committed under Measures 3.1 and 3.2 through formal letters of offer and £5.5 million remains to be committed. However, the Belfast LSP has received formal applications of £8 million to the remaining commitment and is advancing applications to letter of offer stage. As soon as letters of offer are issued it is up to the individual project promoters to commence expenditure. The Belfast LSP is currently meeting all of its commitment targets but is now unlikely that it will make it’s spend commitments for Measures 3.1 and 3.2 within the allocated timescale.

There are two factors which have created difficulties in regard to its financial performance.

- From the outset, implementation was delayed by the consideration of the Programme at regional level.

- The situation was compounded by the requirement for Local Strategy Partnerships to formulate integrated Local Strategies as a pre-condition for the release of funding. The Belfast Strategy was agreed in December 2002 which created a late start to the programme.

However, Members should also note that Measure 2.11a will fully meet its requirements and some 34 applications totalling £3 million have been advanced under this measure.

Arterial Routes

At the last meeting of the Belfast LSP, approval was given to fund three Belfast Arterial Routes applications from Belfast City Council totalling £373,000 under Measure 3.1. The funding was allocated to the following:

Lower Newtownards Road – Environmental Regeneration Scheme

Lower Falls Road _ Environmental Enhancement from Dunville Park to Divis Street

Funding for two Urban Development Assistants.

These were the three projects identified by the Belfast LSP as being eligible for funding under this Measure.

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Peace II Extension Programme

Members will be aware that on the 12th October, it was announced that there would be an extension to the Peace II Programme which would bring it in line with all other European funded programmes which are due to end in 2006. The LSPs will be responsible for implementing Local Economic initiatives for developing local communities. The Measure has a financial allocation €13.4 million per annum for each of the two extension years. Whilst a full breakdown of allocation per LSP has yet to be determined it is anticipated that the Belfast LSP will draw down approximately £2.5 million per annum and that delivery could commence in January 2005.

Environmental Implications

None.

Equality Implications

None.

Capital City Strategy Reference

1.1 To influence and develop the BLSP in the interest of the City’s citizens.

Recommendation

To note the contents of the report."

After discussion, the Committee adopted the recommendation contained within the report.

Strategic Neighbourhood Action Programme

The Committee considered the undernoted report which had been prepared by the Director of Development in relation to the Department's piloting of the Strategic Neighbourhood Action Programme:

"Purpose of Report

To update Members on the Development Department’s pilot application of the Strategic Neighbourhood Action Programme.

Background

Members will be aware that neighbourhood renewal is becoming an increasingly important issue on the regional and national policy agenda and the department and Council have been proactively trying to influence emerging strategies e.g. the recently released Department for Social Development Neighbourhood Renewal Strategy ‘People and Place’ and subsequent implementation plan for Belfast. It should also be noted that the Capital City Strategy identifies the need to create dynamic neighbourhoods through proactive regeneration work.

Although the Development Department and Council have been proactive and contributed significantly to the reinvigoration of neighbourhoods throughout the city there has been an absence of a strategic framework to guide the focus, and assess the collective impact of such activities.

In investigating how this could be achieved, considering best practice elsewhere, an interdepartmental working group had developed a comprehensive framework for mainstreaming neighbourhood renewal within Belfast City Council – Strategic Neighbourhood Action Programme [SNAP].

Members will recall that at a Special Committee Meeting on 11 August 2004, they had received a presentation and briefing on the proposed SNAP framework. At this meeting it had been agreed that the Development Department would examine the possible trial application of the SNAP framework, taking on board Members commentary, and illustrate how service provision would consequently improve through the application of the model providing a tangible example.

In terms of thrust the model would be used to assess the potential impact that mainstream activities and policies have on deprived areas and how the Council contributes to neighbourhood regeneration within the city in terms of resource allocations, funding leverage, level and type of service provision. It would examine how the Council’s multiple services and activities can be used strategically to change the face of Belfast.

The Department recognises the need to focus limited resources more effectively and support integrated, coordinated service delivery to address specific needs and priorities within the city. The SNAP framework would support the development of synergies and added value in terms of service delivery and the implementation of neighbourhood renewal initiatives.

The rationale for the development of the SNAP model was to 'Narrow the Gap' between the most deprived/disadvantaged areas and the rest of the city, whilst maintaining the ‘best’ neighbourhoods at optimum health.

The SNAP framework would involve the department conducting a detailed assessment and mapping exercise of the city, identifying key priorities of need and appropriate intervening actions in the form of a Strategic Neighbourhood Action Plan. It will seek to:

• align the allocation of mainstream resources to target local needs; • create an effective analytical framework; • increase customer satisfaction; and • contribute to the creation of dynamic and connected neighbourhoods.

Taking a strategic and targeted approach to service delivery benefits all residents by improving the quality of life across the city by addressing citizens concerns and enhancing the places where they live and work.

Current Position

Members will be aware of the review underway by the Northern Ireland Statistics and Research Agency [NISRA] to examine and reclassify multiple deprivation within Northern Ireland - ‘Northern Ireland Multiple Deprivation Measures 2004’. These new measures will replace the existing Noble Indices of multiple deprivation. The review findings are expected at the beginning of 2005.

Given the significant implications of the revised indices of multiple deprivation in classifying need, the trial application of the SNAP framework will be held until the release of the new measures of multiple deprivation. Work is currently under way by the Department to develop a robust baseline profile of the city, at ward level, and identify current activity and service provision of the department.

A further update report will be brought to the February 2005 Committee cycle and the detailed findings of the trial application of the SNAP framework will be provided to Members for consideration. Capital City Reference

Transforming Leadership

1.2 To contribute to and influence the development of public policy.

2.2 To address inequality and promote equality and equity within neighbourhoods.

Becoming a Better Place

4.3 To promote dynamic precincts and neighbourhoods.

Recommendation

Members are asked to note the content of this report."

The Committee adopted the recommendation contained within the report.

Conferences

Cities of the Isles Conference

The Committee was reminded that the Development (Economic Development) Sub-Committee, at its meeting on 4th February, had agreed to host in Belfast from 7th till 8th October the Cities of the Isles Conference and had established a budget of £20,000 in that regard. The Committee was reminded also that, at its meeting on 18th August, it had been provided with information outlining the format of the Conference and indicating that the costs associated within the staging of the event would be £35,000. However, authority had not been sought to have the budget increased.

The Director of Development submitted a report on the outcomes of the Conference and requested retrospective authority for the payment of the additional expenditure incurred in staging the Conference.

The Committee noted the information which had been provided and granted the authority sought.

International Federation of Housing and Planning World Congress

The Committee noted the contents of a report which had been prepared by the Director of Development in respect of the attendance of a delegation of Members and officers at the International Federation of Housing and Planning World Congress, which had been held in Oslo from 5th till 8th September.

Interpretation of Listed Building Criteria

The Director of Development submitted a report in relation to listed building criteria. A copy of the report, with the exception of the appendix referred to therein, is set out hereunder:

"Purpose of Report

To put before Committee a report on the interpretation of listed building criteria and to consider the recommendations and criteria on the above.

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Background

The Development (Arts) Sub-Committee at its meeting on Tuesday 26 October 2004, attended by members of the Town Planning Committee, agreed that the recommendations contained in the report presented should be passed to the Town Planning Committee and the Development Committee to consider the recommendations for approval.

The support of the Ulster Architectural Heritage Society was recruited to complete a detailed research project and write up its findings.

The Society’s Report is attached as Appendix 1.

Conclusions of the Report

1. The existing listing criteria are comparable with the UK and Republic of Ireland and in themselves do not pose problems.

However, the application of the criteria is of concern.

Whilst the legislation states that buildings should be listed for their architectural or historic interest, very few buildings are listed for their historic interest.

2. As the Sub-Committee is aware, the survey of the built heritage of Belfast is out-of-date, and unlike other parts of Northern Ireland, an updated survey has not taken place.

Due to strong development pressure, especially in the city centre, the city has in recent years lost buildings of merit that may have been listed, had the second survey been completed.

However, it is important to note that the Second Survey in other parts of Northern Ireland has resulted in many building being de-listed – a situation contrary to that in other parts of the UK. Therefore, the second survey may have the opposite effect of protecting listed buildings. Nevertheless, the Report argues that the Second Survey should take place with an emphasis on adding buildings to, and not removing them from the list.

3. The idea of a 'local list' of buildings of local or social importance is suggested as one means by which the Council could 'make a case' for buildings that should be preserved. Local lists could best be effected through area plans, with the list being held by the Council and Planning Service jointly.

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Further Information

Responsibility for commenting on planning applications affecting Listed Buildings and Conservation Areas lies with the Town Planning Committee. The work of the Development Committee in co-ordinating the Council’s approach to the Belfast Metropolitan Area Plan (BMAP) is also relevant as BMAP includes consideration of the re-designation of Areas of Townscape Character and Conservation Areas and could potentially be the vehicle for policy in respect of local listing.

Recommendations approved by Development (Arts) sub Committee

The Development (Arts) Sub-Committee approved the following recommendations pending support of the Town Planning Committee and the Development Committee.

It is recommended that:

1. The Sub-Committee, based on the work to date, authorise the development of a more detailed report on the potential of buildings for inclusion on a local list and outlining how the idea of a local list could be implemented.

2. That the Sub-Committee approve expenditure for the further work associated with this report, at a cost not exceeding £5,000.

3. That the Sub-Committee and the Town Planning Committee (and subsequently Council), urge the Department of the Environment to address the Recommendations of the Report:

* to give further consideration to historical and local importance when determining listed buildings;

* to ensure that in-house expertise and resources exist within the Environment and Heritage Service to inform historical importance;

* to make Belfast a priority for the Second Survey by prioritising the survey of Belfast wards, with an emphasis on adding buildings to the list, especially in the city centre which is experiencing greatest development pressure;

• to explore the designation of locally listed buildings, especially given the reference in the recent Planning Service consultation document on permitted development rights;

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* to write to the Planning Service Chief Executive to seek clarification on the possibility of making provision for locally listed buildings (local lists) via the Belfast Metropolitan Area Plan or other mechanism such as supplementary guidance.

Environmental Implications

None.

Equality Considerations

None.

Capital City Strategy Reference

4. Becoming a Better Place

Culture and Arts Plan Reference

Place – A. 'To conserve and promote a sustainable historic environment in Belfast'

Recommendations

To endorse the recommendations approved by the Development (Arts) Sub Committee.

Decision Required

To approve the foregoing recommendation."

After discussion, during which it was clarified that the request to the Chief Executive of the Planning Service in relation to the establishment of local lists should specify that the Belfast Metropolitan Area Plan should provide for the establishment of such lists, which would be flexible in nature and would assist in determining the Council's responses to future Planning Applications, the Committee adopted the recommendation contained within the report, subject to the concurrence and acceptance of the Town Planning Committee.

European Unit Report

The Committee noted the contents of a report in relation to the activities of the European Unit and authorised the holding of a Spanish language course for Members and officers at a total cost of £600

Eurocities Annual General Meeting and Vienna Declaration

The Director of Development submitted a report on the outcomes of the Eurocities Annual General Meeting, which had been held in Vienna from 12th till 14th November, and seeking authority to endorse retrospectively the associated Vienna Declaration.

The Committee noted the information which had been provided and granted the authority sought.

Acquisition of Annual Ground Rent

The Committee was informed that the lands on which Smithfield Market and the car park to its rear were located had been conveyed by the Northern Ireland Transport Holding Company to the Council under a Deed of Conveyance dated 1st October, 1985. The Council paid currently an annual ground rent of £9.12 to Grent Trust Limited in respect of a small area of land which fronted Samuel Street.

In view of administrative difficulties associated with the payment and collection of such small sums, the Head of Urban Development sought authority, subsequent to final negotiations with the owner, to acquire the annual Ground Rent for the sum of £100, with each party bearing its own legal costs.

The Committee agreed to proceed with the acquisition on the terms outlined, subject to the completion of an appropriate agreement to be prepared by the Director of Legal Services.

Fish Processing Plant at Raphael Street

The Committee was advised that a fish processing plant was situated on 0.827 acres of land fronting onto Raphael Street. The plant was surrounded on all other sides by Council-owned land in the northern fringe of the Gasworks Site. The plant had been advertised for sale.

The Head of Urban Development pointed out that the acquisition of this site would be of strategic importance to the redevelopment of the Gasworks site, since it would provide the Council with not only a larger complex but improved redevelopment opportunities. He stated that a definite bid in the region of £1.5 million had been lodged from the private sector and, should the Council wish to purchase the site, expenditure of an equivalent or greater amount would be required in order to secure the property.

After discussion, the Committee agreed that the acquisition of the site would be beneficial to the Council and accordingly authorised the Estates Manager to proceed with the acquisition of the property, subject to detailed terms and conditions being agreed by the Estates Manager and authorised by the Director of Development in conjunction with the Chairman and to the completion of an appropriate agreement to be prepared by the Director of Legal Services.

(The Chairman, Councillor Crozier, in the Chair.)

Northern Ireland Economic Development Vision

The Committee was reminded that the Department of Enterprise, Trade and Investment had initiated a consultation process in relation to its Draft Northern Ireland Economic Vision.

The Head of Economic Initiatives reported that, subsequent to a process of consultation with the various Council Departments, the undernoted corporate response to the document had been compiled:

"Northern Ireland Draft Economic Development Vision Belfast City Council Comments

1.0 General

Belfast City Council welcomes the opportunity to comment on the Draft Economic Development Vision for Northern Ireland. The priorities identified within the Vision document share with the Council’s own commitment to make a real difference to the economic and social fabric of the city. The priorities align with many of the Council’s priorities of increasing invisibility; supporting entrepreneurship, creativity, innovation and competitiveness; driving economic change; encouraging inward investment; promoting skills and training development; and the pursuit of inclusiveness.

1.1 However, the Council would like to draw attention to a number of key issues regarding the Vision and associated priorities. Where appropriate, our commentary has been cross-referenced to the relevant paragraph/page number(s) in the consultation document.

1.3 The following response is offered in a constructive manner and Belfast City Council would welcome further discussion with DETI to examine the issues highlighted in more detail.

2.0 The Council is disappointed at the lack of recognition of the role of local authorities in supporting economic development within the region. Belfast City Council has a legislative remit to develop and deliver the economic development agenda for the city, which has not been properly acknowledged within the Vision document.

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3.0 The Council’s role in supporting and promoting economic development within the city is a key priority area identified within the Belfast: Capital City development agenda and described in detail by the associated Local Economic Development Plan [LED]. The LED, covering the period 2002 to 2006, exemplifies the Council’s efforts to make Belfast a better place in which to live, work and do business. It represents a commitment on behalf of the Council to drive economic competitiveness and prosperity while consolidating economic and social cohesion. The Council would recommend that the LED plan is considered as an example of best practice.

4.0 It is important to ensure that economic development activity creates a legacy for future generations and addresses the entrenched inter-generational problems facing deprived communities across the city. The Council would like to draw attention to the current fragmented nature of service delivery within the region (with numerous agencies and departments pursuing economic development agendas with little shared coherence or strategic vision). There is an obvious need for real and sustainable change within the city through an agreed, coherent vision to which all partners are willing and committed to deliver.

4.1 A Regional Economic Development Vision requires a strategic approach that places economic development as a regional priority; integrates policies; encourages flexible use of mainstream budgets; integrates and supports the wider regeneration agenda; and devolves control from the centre to the city and local level.

4.2 In the past fragmented governance and disjointed service delivery have constrained economic prosperity within the region and Belfast. The consultation document does not acknowledge such previous shortfalls in economic development – an admission which would allow key partners to learn the lessons from past experiences.

4.3 The Council notes that the current Review of Public Administration is a unique opportunity to improve governance arrangements and provide better service delivery for the entire population of Northern Ireland. Government has stated its view that local authorities are best placed to understand the needs of their areas and have the capacity to ensure effective co-ordination and leadership. The potential for change in the remit of local authorities may well have a significant impact n the future delivery of economic development within the region and should be acknowledged with the Vision document.

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4.4 Underscoring all of the above is an emerging trend towards the enhanced recognition of local authorities in coordinating delivery at the local level. Through the Belfast: Capital City agenda and its LED Plan, Belfast City Council has clearly established itself as a key player in the economic development arena working alongside its partners in the private, statutory, public, voluntary and community sectors. The Council has acknowledged the importance of developing linkages with other institutions in delivering its economic development agenda and is pioneering the delivery of the same priorities identified within the Draft Economic Development Vision. Such activity should be acknowledged as best practice and the practical implementation of current theory.

5.0 Regional Variation

The Council strongly encourages the Department to recognise the implications of sub-regional variations and acknowledge the unique role of Belfast as the capital city and regional driver for economic growth and competitiveness within Northern Ireland, and the contribution that the city makes to regional prosperity. There must be greater clarity about the geographical differences within Northern Ireland; and recognition of local distinctiveness and the importance of sub-regions.

5.1 Current national UK urban policy reflects this by offering much greater recognition of the role of cities in contributing to overall regional economic growth. The Deputy Prime Minister’s ‘Core Cities’ agenda highlights the important role of core cities in supporting and driving regional competitiveness.

6.0 Financial Commitment

The Council notes the absence of firm financial commitments within the consultation document. It is important that the Economic Development Vision and associated priorities lead towards definite financial assistance to support implementation.

7.0 Vision , Objectives and Priorities – Pages 8-13 and Annex B

The Council endorses in principle the high level aspirations for the regional economy as outlined within the consultation document and the key priorities for action. However, it is concerned that there are no clear mechanisms identified for

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the delivery of the different priorities and an absence of measurable indicators against which performance and change can be measured. The document does not provide a clear lead for the actions of others. It must be accompanied with specific, challenging, but achievable, targets [e.g. to reduce economic inactivity rates by at least 25% by 2008; to reduce unemployment by 15% by 2006].

7.1 The Council emphases the importance of ensuring that progress towards such targets is monitored over time to asses the on-going performance and progress towards the stated objectives. It is also important that targets relate to outputs, results and impacts.

7.2 A Regional Vision should not be vague, but link vision, strategy and operational policies in a clear framework providing an integrated hierarchy for economic development guidance. There is a clear need to support joined-up strategies between government departments and agencies at both a regional and sub-regional level.

7.3 The challenge is to ensure that regional opportunities are fully exploited and that those responsible for economic decision-making work effectively together, with common goals and accepted priorities. Sustainable development principles should underpin the actions and decisions that key partners take in pursuance of the economic priorities identified.

7.4 The Vision fails to consider future economic conditions and development patterns. Although the Council recognises the inherent difficulties in predicting future trends, it firmly believes that scenario planning should be undertaken to assess risks to the underlying assumptions on which the Economic Development Vision is based.

7.5 The Council would highlight the Scottish Assembly’s ‘Economic Development Framework for Scotland’ which encapsulates a comprehensive approach to supporting regional development through a wider recognition of the strategic context in which economic development activity occurs.

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8.0 Strategic Alignment

The Council advocates the need for a more robust and integrated approach to economic development, regeneration and planning. The Draft Economic Vision should align with other regional policy documents [e.g. Northern Ireland Neighbourhood Renewal Strategy ‘People and Place’]. The Vision can only be fully utilised if linkages between existing and emerging strategies are sufficiently integrated.

8.1 It is important to recognise that the Vision cannot be implemented by DETI or central government acting alone. No one agency can take on the breadth and depth of actions necessary to advance the regional economy. It will take the collective know-how, skills, resources and energy of the private sector, labour, voluntary sector, government departments, local authorities and other public institutions including universities, colleges, and communities, working together to achieve the goals articulated in the consultation document.

8.2 The context in which the Vision document will function is subject to its influence on other strategies, policies and organisations. Similarly the achievement of the objectives set out will require complementary action from a range of government departments and agencies. At present the role and contribution required from other stakeholders to deliver the Regional Vision is unclear.

8.3 The Vision document must make the roles and responsibilities of other stakeholders explicit and should both reflect and inform the emerging strategies and priorities of other partners within the city. The responsibility for delivery must be more transparent with the onus placed on the relevant statutory agencies.

8.4 The Council is encouraged by DETI’s intention to engender a more integrated and coordinated effort. However, the Vision document fails to make clear the practicalities of achieving this. It is difficult to see how the Vision will influence and align with mainstream policies and initiatives of other agencies within Belfast. The Council is concerned about the level of commitment required by regional stakeholders to engage and commit to the Vision. The current ‘silo’ nature of government departments does not easily lend itself to cross-cutting policy agendas nor integrated service delivery. Ensuring that the Vision is at the core of the agendas of other government departments and agencies will be difficult to achieve.

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8.5 Although links have been identified between the driver priorities and Government strategies [Annex B], the Council would welcome further clarification on how the Department will ensure that the priorities are adopted (given the absence of a clear programme/ delivery mechanism).

8.6 There is a need to promote better policy integration at a regional and local level. There is a need for devolved decision-making within a framework of regional targets and policies. This would support the delivery of economic development and effective programmes to help raise the quality of life for local residents. There must be a focus on ensuring integration between vision and action at a regional and sub-regional level.

9.0 The Council is concerned that local authorities are not acknowledged as a conduit for the delivery of the identified priorities - given the clear overlap with the Council’s existing programmes which support and complement many of the objectives outlined within the consultation document.

10.0 In line with the Council’s commitment to promoting ‘Good Relations’ and tackling inequality and social inclusion, it is important to highlight the needs and experiences of those likely to be affected by the proposed Economic Development Vision. There should be an awareness of how the Vision may have a differential impact on different groups in society and accordingly consideration should be given to ways of addressing imbalances. The Economic Development Vision should be subject to rigorous scrutiny to identify, address and tackle barriers which may prevent some sections of society from benefiting from emerging programmes and initiatives. Government departments and other related agencies need to asses how their work is likely to affect different groups and act to ensure that such differences are taken into account in the development stages of economic development initiatives/programmes and during their implementation and evaluation.

11.0 A revised policy for Targeting Social Need and New Measures of Multiple Deprivation for Northern Ireland will be published during 2005, and the Council are concerned about how the Economic Development Vision will take account of the changing social and economic fabric of the region.

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12.0 Baseline Development

The Council notes the limited statistical baseline provided within the Vision document and would recommend that further work is undertaken to compile a detailed and accessible baseline ‘State of the Region’ analysis which other partners could use to inform their strategies and intentions. Such a baseline analysis should provide a clear logic for the selection of the four key economic drivers identified.

12.1 The importance of a comprehensive baseline is crucial, not only for understanding the current operational context, but is essential for tracking trends and determining whether progress has been achieved.

13.0 Increase Investment in R&D and Promote Innovation/Creativity- Page 8 and 15-16

The Council concurs with the view that Northern Ireland must improve investment in R&D and create an innovation ethos if it is to close the productivity gap with other international competitors. It should be noted, however, that Northern Ireland universities have lower research budgets than their UK counterparts – an issue that should be addressed. There is also a need for greater levels of investment in R&D from the private sector - something which could prove difficult to cultivate in Northern Ireland’s (and particularly Belfast’s) predominantly SME [Small, Medium Enterprise] environment.

13.1 The Council agrees with the need to develop stronger links between higher/further education institutes and business, supporting a greater transfer of knowledge and technology and commercialisation of R&D among the universities. It is likely that the findings of the recent review of ‘Further Education' will make this recommendation.

13.2 Paragraph 19(a) states that ‘increased expenditure on R&D, innovation and design by companies will be targeted at emerging sectors and technologies which offer a high potential economic return’. However no specifics are identified.

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14.0 Promote and Encourage Enterprise - Paragraphs 21 – 23 and Pages 17-18

The promotion and encouragement of enterprise development is critical to the economic vitality of the region and aligns with the priorities of the Council in supporting economic development. The Council acknowledges that a vigorous enterprise culture is central to success of Belfast and region and welcomes the focus on supporting an innovative culture, particular within the SME sector, which is a major growth engine for the Belfast economy.

14.1 Belfast has one of the lowest business birth rates in the UK and stimulating enterprise and business development should be prioritised within the Vision.

14.2 The Council proactively supports the development of local enterprises by assisting with start-ups and development through its Business Start programme and Business Development programme; the provision of support, advice and enterprise awareness through the Belfast First Stop Business Shop; and the provision of infrastructure [eg business incubation units] as a catalyst to encourage new business formation and development. Belfast City Council has a vital role to play in promoting business growth and fostering business competitiveness and sustainability through locally-based activities that should fit within complementary regional, local and area-based strategies.

14.3 Promoting enterprise development within the region [Page 18] will certainly require greater linkages between the private sector, academia and the public sector in encouraging the commercialisation of intellectual knowledge and encouraging a greater entrepreneurial culture.

14.4 The Council supports the objective set out in Paragraph 22 for the need to establish a ‘modern regulatory framework which allows enterprise to flourish and is consistent with public interest’. However, it is concerned with the lack of clarity around the practicalities of achieving this.

14.5 Key recommendations that the Council would offer as a means to supporting enterprise development include:

• Ensuring that enterprise development awareness is included at all stages of the school curriculum; • Ensure that enterprise modules are included on the prospectus of Universities and Further Education institutes;

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• The provision of better support for students to encourage spin-out [enterprise development]; • The provision of better financial support options including micro-loan and investments and Business Angels; • The provision of tax incentives to facilitate entrepreneurs; and • Support and encourage social entrepreneurs to address areas of market failure.

15.0 Balanced Economy - Paragraph 12

The Council agrees with the need to expand the private sector and the necessity of encouraging a diversified economy with an appropriate balance between public and private sector employment. The Council would further highlight the need to create strategic stakeholder and private sector partnerships to pursue and lead economic development within the region. The Council’s pioneering work in forging strategic alliances with government departments and other agencies within the city, and the creation of integrated service delivery mechanisms, should be noted. Experience has shown that an exclusively ‘top-down’ approach to project and service delivery is neither desirable nor effective. Adopting a ‘dual-approach’ in partnership with other social partners has enabled the Council to tackle some of the entrenched problems facing the city and has brought about real change.

16.0 Tourism Development – Paragraph 22 and Page 17

The Council is strongly supportive of the need to encourage the sustainable development of a globally competitive tourism industry. There is, however, a need to recognise the strategic potential of the tourism industry for driving regional economic growth and the regeneration of local areas.

16.1 Through the Belfast: Capital City strategy 2003 to2006 and associated Cultural Tourism Plan, the Council has shown its commitment to supporting the future development of the tourism industry through investment in infrastructure, product development and marketing Belfast as tourist destination. The role and responsibility of local authorities in developing and marketing tourism should be recognised and the role of Belfast, as the capital city, gateway, and tourism economic driver, should be supported within the regional Vision.

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16.2 The Council would suggest that the service sector be acknowledged as a growth industry and adequate support provided to help develop the capacity and skills base within the region to accommodate this growth. It should be noted that accommodation providers are currently recruiting staff in Eastern Europe.

16.3 The Council would encourage the Department to recognise the potential role of Community Tourism as a catalyst for regeneration and economic development at a neighbourhood level in terms of job and wealth creation. The Council acknowledges the need to facilitate cooperation and coordination between government departments, agencies, the tourism industry, and the private sector to ensure that the huge potential offered is exploited in a sustainable way. 17.0 Competitiveness

While many theories have emerged on what makes a successful, vibrant and prosperous city, recent research commissioned by Belfast City Council and undertaken by Professor Michael Parkinson of the European Institute of Urban Affairs noted that the key drivers that contribute to economic development and urban competitiveness include:

1. Economic diversity: Successful cities that respond to economic change are those which are least dependant on a single sector. 2. Skilled workforce: Critical feature as modern urban economies increasingly depend upon knowledge intensive sectors. 3. Connectivity: The most successful cities have the physical and electronic infrastructure to move goods, services and people quickly and efficiently – be they internal or external, physical, electronic or cultural. 4. Strategic decision-making capacity: Processes and politics have a strong influence on competitiveness. Networks and relationships between key players in the public and private sectors are crucial. 5. Innovation: Investment in modern, knowledge-based physical equipment; investment in research and education; and investment in innovation and labour productivity contribute to the regional and urban competitiveness. 6. Quality of life: Soft location factors are becoming an increasingly important part of economic decision-making and they are significant in attracting and retaining skilled workers to their cities.

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17.1 In his findings Professor Parkinson concluded that, although Belfast has undergone a significant renaissance in recent decades, there remains a number of problems to be overcome if it is to succeed, in terms of its competitiveness, against other European cities such as Lyon, Milan and Rotterdam. In particular, Parkinson concluded, Belfast needs to improve in terms of innovation, connectivity and quality of workforce if it is to be a competitive and prosperous 21st century city. These findings align with the Economic Development Vision.

18.0 Paragraph 12 acknowledges the importance of providing a high quality life to attract and retain those needed to drive forward the Economic Development Vision for Northern Ireland. Government should pay particular attention to those graduates who choose third-level education options external to Northern Ireland and consider incentive packages to encourage their return. Equally, Belfast must be seen to be an attractive option in an internationalised labour market. Government must invest substantial resources in tackling sectarianism and racism in our society and address the negative impact this has upon our ability to attract, retain and support a migrant workforce. Government should communicate the positive message that to thrive our economy needs to attract migrant workers.

19.0 Ensure our people have the right skills for future Employment Opportunities – Page 10 and 19-20

Ensuring that the region is skilled up to meet the changing demands of the new knowledge-intensive, technology-led economy is a prerequisite for success.

20.0 The persistence of long-term unemployment and deprivation within particular parts of the region, and in particular within Belfast, indicates that past mainstream interventions have largely failed. This is further exemplified by the fact that nine of the ten most deprived wards in Northern Ireland, as defined by Noble Indices of Multiple Deprivation, are located within Belfast District Council area. It is imperative that targeted interventions at community level are put in operation in an attempt to break through the long-standing cycle of unemployment and deprivation that exists. It is hoped that the revised Economic Development Vision will be the catalyst to ensure this is achieved.

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20.1 Experience has shown that neighbourhoods of concentrated poverty and unemployment often experience a host of related problems such as low educational attainment, low aspirations, poor access to labour markets, crime, vandalism, and lack of choice. The demand in these areas on overstretched services and informal support systems is high. Coupled with negative stereotypes from the outside, the problems take a heavy toll on local residents. Those able to find work look for opportunities to move away, and only those with no choice tend to stay behind.

20.2 Economic development will only succeed if the underlying problems of joblessness, poverty and inequality are tackled. Variations in local labour markets require a local dimension in policy design and delivery. Non-employment is a function of lack of jobs, lack of aspirations and accessibility issues.

20.3 Although the Vision document recognises the importance of addressing the increasing inactivity rate within the region, there is no indication of how these people will be supported and encouraged to enter the labour force.

20.4 Research indicates that the accessibility of employment opportunities in a divided city is problematic and is highly conditional on perceptions of risk and fear, particularly for those living in segregated areas. This clearly impacts on the economic competitiveness of our society and regional economy. There is deep community insecurity about travelling and working outside one’s own area within certain communities in Belfast. This clearly has an impact upon the economic competitiveness of our society and the vitality of local communities. It is imperative that government seeks to understand the complex nature of avoidance strategies, which are an impediment to ‘normalised’ patterns of living, social cohesion and economic growth.

20.5 There is considerable value in undertaking local employment initiatives [LMI] to support employment growth and encourage excluded groups to access employment. Belfast City Council has pioneered such work and (building on the success of the Gasworks Employment Matching Service [GEMS] and other LMIs across the city) will continue to work with local employers to increase access to employment opportunities for local people, particularly those experiencing disadvantage.

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21.0 The Council welcomes DETI’s recognition of the need to support the community and voluntary sector, in terms of capacity and leadership development [Page 21]. However, the Council highlights the need to retain those people within their locality. The recently developed ‘Community Support Plan’ illustrates the Council‘s commitment to supporting community development and capacity building across the city.

21.1 The Council would draw attention to the need for adequate skills development for all those who are to be involved in delivering economic development within the region and that capacity building is no longer reserved for the voluntary and community sectors. Developing capacity to deliver, and ensuring that the principles of sustainability are fully understood and capitalised, is critical to the future success of the emerging Economic Development Vision.

21.2 The Council strongly encourages the Economic Development Vision to reinforce the importance of capacity-building and the development of support strategies, where necessary, to enable disadvantaged and socially excluded groups, organisations and businesses to participate fully in the regeneration and economic development of their areas. There should be clear channels of accountability to local communities with recognition of their interests and concerns.

22.0 There is an imperative within Belfast to make more systematic linkages at strategic and operational levels between education and training providers, individuals and economic organisations with a view to maximising accessibility to lifelong learning and skills development. The role of the Council in this regard is clearly that of a broker and enabler.

22.1 Increasing the levels of skills and the effective deployment of these skills is a key factor in improving NI productivity and competitiveness. Central government departments should be committed to improving responsiveness of education and training organisations and to stimulating demand for learning from individuals and employers.

22.2 The improvement of basic skills should be made a priority at all age groups, underpinning improvements in schools performance, as well as being a critical element in workforce development. A key objective should be to raise the skills of the whole workforce by ensuring that up-to-date and relevant courses are made available to encourage re-skilling and the development of transferable skills amongst those who have been adversely affected by industrial and economic change.

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22.3 Government should be committed to improving the responsiveness of education and training and stimulating demand for learning from individuals and employers. There is a critical role in strategic planning for skills, employment and economic development activity, including the responsiveness of learning provision to skills needs. Education and training provision should be a central part of the economic development agenda.

23.0 The Council agrees that innovation and knowledge-based activities will be central to the future economic growth and competitiveness of Belfast and its region. This will encompass both information technology and knowledge-based clusters and businesses in the creative and media sectors. The Council supports the continued development and support for the financial and business services sectors as key contributors to regional economic growth and prosperity and would recommend that further consideration is given to new emerging sectors that offer opportunity for further economic growth [e.g. environmental, creative industries], whilst not forgetting that there is still merit in supporting the more traditional industrial sectors such as manufacturing, and developing initiatives and programmes to help companies in these sectors become more competitive by adopting new processes and production methods and looking towards new markets.

24.0 Northern Ireland in Europe

One unmistakable implication of global integration and the ever-increasing interdependence of economies has been the decline in the capacity of individual economies to direct their future in isolation from events and policies in the broader environment, which impact upon and influence regional economic priorities.

24.1 The Council would note the lack of contextual recognition of the European agenda and the regions obligations under the Lisbon Agenda 2010, which will influence the future competitiveness of Northern Ireland. The Council are concerned that the document fails to consider the obvious funding cuts and radical reduction in European Structural Funds post 2006, and the role of Central Government in ensuring that Northern Ireland secures a fair share of available EU funding.

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25.0 Development of a Modern Infrastructure - Paragraphs 27 – 29

The Council would acknowledge the need to invest in modern infrastructure as a means to encourage further economic development and regeneration activity within the region. There is a need to examine and provide for future requirements in terms of infrastructure and planning policy in order to create the conditions under which future economic growth will occur. As Belfast is the gateway to the region, an emphasis needs to be placed on its infrastructural development as a catalyst to regional growth.

25.1 The Council notes that the provision of modern infrastructure encourages further investment in regeneration and development activity within deprived areas and provides opportunities for entrepreneurship and employment for local people.

25.2 The consultation document fails to acknowledge the need to invest in waste management (treatment and disposal), and its importance in assisting the broader economic vision for Northern Ireland. The current absence of an integrated network of modern facilities is a significant gap in that infrastructure.

25.3 As mentioned in previous Council consultation responses to the NI Draft Priorities and Budget, and the Programme for Government, support should be provided for environmental industries, especially those related to sustainable waste management. There are strong links between the development of such local industries, the markets for secondary resources, sustainable waste management, job creation and the development of an infrastructure which supports and attracts inward investment.

25.4 Further reference to investing in waste management infrastructure and recognition of the Northern Ireland Waste Plan should be included in the priorities identified on Page 21.

25.5 Regional economic growth must continue to be set within the wider context of the government’s commitment to sustainable development. It is important to consider the potential impact of the proposed Economic Development Vision on the economy, the social fabric of the region and its environment.

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25.6 In turn, good environmental practices [such as energy efficiency, better environmental management and reduction in the waste of raw materials], which can bring significant efficiency gains for business, should be promoted. An enhanced local environment, including the careful stewardship of the historic environment and landscape character, can contribute to economic development and employment opportunities through encouraging tourism, supporting inward investment and attracting a high quality workforce. There can also be direct job creation in environmental industries.

25.7 Page 18 highlights the priority to adopt effective health and safety risk management strategies, and the Council’s work in promoting health and safety to businesses through both its regulatory work and independent ‘Safety and Environmental Advice Service’ delivered through the Belfast First Stop Business Shop, support this priority and should be noted.

26.0 Conclusion

The Council supports the priorities and general principles set out within the draft consultation document. There are, however, a number of general and specific comments that have been outlined within this response document which it would like to see reflected in the final Vision document.

26.1 The Council acknowledges the need for an integrated and coherent approach to economic development within the region and the role of all partners in delivering a shared economic agenda, with an emphasis on the need to reform, modernise, and improve service delivery.

26.2 There should be a clear recognition of the role of the local authority as a body that is capable of making a unique and complementary contribution to the social and economic prosperity of the city and wider region.

26.3 The Council believes that the Northern Ireland Economic Development Vision should be a living document. It should have sufficient flexibility to allow for future priorities and objectives to be integrated within it - as and when appropriate. It must achieve a buy-in to its core objectives by the private, public, voluntary and community sectors, with a commitment from all in the region to work in collaboration towards a common goal ‘Economic Development Vision’."

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The Head of Economic Initiatives pointed out that response to the document were to be received by the Department of Enterprise, Trade and Investment by 10th December, and accordingly the comments of the Committee would be forwarded to the Department on the basis that the final Council-ratified version would be submitted after formal ratification by the Council in January, 2005.

A Member highlighted that the document, a copy of which had been lodged in the Members' Library, contained little evidence of proposed measures to stimulate sectoral areas such as textiles, agriculture and food processing. In addition, measures would have to be taken to address the high levels of costs associated with fuel and insurance which were detrimental to the competitiveness of locally-based companies. He referred also to the reduction in European Structural Funds post 2006 and stated that, since such funding would still be available to areas in the Northwest of the Irish Republic, this would also have an adverse impact on the competitiveness of Northern Ireland. The situation was exacerbated also by the continuous erosion of funding in respect of economic development and he stressed the importance of having such funding ring-fenced. He suggested also that reference should be made in the response to the necessity of addressing the earnings gap which existed between Northern Ireland and the remainder of the United Kingdom and, internally, to that between the East and the West of the Province. A further Member expressed the view that the section in relation to tourism should reflect the need to exploit major tourist attractions such as cultural tourism and projects such as the commemoration of the Titanic.

After further discussion, the Committee approved the draft response for submission to the Department of Enterprise, Trade and Investment, subject to the inclusion of the aforementioned comments.

London 2012 Olympic Bid

The Head of Economic Initiatives reminded the Committee that, at its meeting on 22nd September, it had agreed to support the London bid to host the Olympic Games in 2012. A major conference in this regard was being held in London on 17th January, 2005 with the theme of portraying how the entire United Kingdom could benefit from the bid proving successful. She recommended that the eight Members of the Capital Celebrations Steering Committee, together with appropriate officers, be authorised to attend the Conference at a maximum cost of £800 per person.

The Committee agreed to vote on the recommendation. On a vote by show of hands six Members voted for the proposal and one against and it was accordingly declared carried. The Committee approved also the payment of the appropriate travelling, subsistence and attendance allowances in connection therewith.

Land between Shore Crescent and Fortwilliam Roundabout

In accordance with notice on the agenda, the Chairman (Councillor Crozier) raised the issue of the major planning application which had been submitted in respect of the above-mentioned location.

He stated that the matter had been considered by the Town Planning Committee at its meeting on 2nd September. It had been reported that the Department of the Environment would be applying Article 31 of the Planning (Northern Ireland) Order 1991 to the application, thereby designating it as an application of major importance. This would mean that, prior to the application being determined, the Department would either call a Public Inquiry to be held before the Planning Appeals Commission or issue to the applicant a Notice of Opinion indicating how it considered that the application should be decided.

The Town Planning Committee had decided, since the application referred to the Council's own development proposal, to make no comment on the application but rather to adopt a neutral response in relation to the matter.

The Chairman (Councillor Crozier) suggested that, since there was no evidence of any widespread public disquiet in relation to the application, the Planning Service should be recommended to determine the application without resorting to the holding of a Public Inquiry.

He sought authority to submit to the Planning Service a letter indicating that this was the Committee's view.

After discussion, the Committee granted the authority sought.

Chairman