Aberdeen City Region Deal Presentation Four areas to cover 1. The - PowerPoint PPT Presentation

Aberdeen City Region Deal Presentation

Four areas to cover 1. The current context 2. Update on progress 3. Policy Areas 4. What happens next

Context • “ In Scotland, we will continue working on the historic devolution agreement, implementing the Glasgow city deal and opening negotiations on new city deals for Aberdeen and, of course, for Inverness” • Different economic areas need different policy responses and solutions • Oil - $43 => downward trend in residential sales, planning applications, start-ups; Job seekers increasing (18-34) • Scottish Parliament elections – 2016

Three phase process PHASE OUTCOME 1. Development Work up intentions, initial discussions, leading to … 2. Negotiation More formal conversations – negotiate specifics; build the economic case (offer & ask) and therefore … 3. Implementation Delivery; Economic success at three levels – north east, Scotland &UK

In Phase 1, moving to Phase 2? • April 2015 – First Meeting with Two Governments • How will a City Deal deliver the longer term economic vision for the North East – the story • What & How – Engagement – O&G UK Conference – 90 stakeholders – housing, transport, innovation, internationalisation, Aberdeen Harbour, Energetica; across sectors • August 2015 – “Broad Intentions” & a September 4 th Deadline

Working up these policy areas Housing Connectivity Diversification by anchoring skills, talent and business Innovation Internationalisation

Constructing a Statement of Intent • A marker – next draft of proposals • Rationale – need • The problem • Objectives • The solutions – Projects & ‘powers’ • Testing phase – civil service policy leads; departments

For example, Housing • Rationale: Attracting talent; retaining expertise, housing is not affordable (across markets) • Issue: Attracting people and investment • Objective: To remove barriers to housing development • Solutions: Joint Housing Delivery Model, Forward Funding, Land Use policy, Utilities Investment Group

Connectivity • Rationale: Private Sector Growth and contribution to the exchequer not matched by Public Sector Infrastructure investment in the north east • Issue: Congestion & constraints – road, ICT • Objective: To deliver 21 st connectivity • Solutions: Rail investment (journey time to Edi-Gla conurbation, local rail/ stations), airport connections, ultrafast ICT

Innovation • Rationale: World Class R&D and key sectors; over reliance on these • Issue: BER&D levels, retention of researchers, productivity • Objective: To anchor skills and intellectual assets in the north east and increase international tradable services – oil & gas and other • Solutions: Innovation Hub – phased, and the interface between HEI sector and industry

Internationalisation • Rationale: UK value - £10bn+ of energy exports – international supply chain & reputation, F&D • Issue: Peripherality and links; maintain skills supply • Objective: To capitalise on the global reach the City and surrounding economic area has – maintain & grow • Solutions: North East Trade & Investment; Visa Waiver; Aberdeen Harbour (supporting infrastructure)

What Happens Next • Letter & Submission – September 4 th • Offshore Europe & Key Messages – Engagement & ambassadors for the Deal – #backthedeal • Ongoing engagement • Iteration of the draft proposals – ongoing • But Comprehensive Spending Review in November

rsweetnam@aberdeencity.gov.uk Tel: 01224 522 662 THANK YOU