Transcript Document
Clive Faine Chair of PDIIDG Alan Humphreys SEMLEP Board Director and Vice Chair PDIIDG Jonathan Rawcliffe Budworth Hardcastle, PDIIDG Member PDIIDG Who are we? • PDIIDG stands for Property Development , Infrastructure and Investment Delivery Advisory Group. • It was established as a group self funded by private sector members from the previous growth area Developers’ Forum. • Members include private sector residential and commercial developers, financial institutions, local authority planners, Homes and Communities Agency, Highways Agency, Environment Agency, Network Rail, NHBC and National Energy Foundation. • The purpose of PDIIDG as recorded in its Terms of Reference is: “to advise the Board on the creation of the built environment, including infrastructure, that optimises opportunities for sustainable economic growth across the SEMLEP area.” Key Areas of Activity (1) To advise the Board on issues where the Board asks for the advice and technical expertise of PDIIDG members, including: • • • • Growing Places Fund; Northampton Waterside Enterprise Zone; EU Structural and Investment Fund; Local Growth Fund. To respond to Government Consultation on Planning issues, including: • Community Infrastructure Levy; • Neighbourhood Planning; • Localism; • Duty Co-operate • New Planning Policy Framework. Relationship with other Groups • Chair of SEMLEP Planners’ Forum sits on PDIIDG and Chair of PDIIDG sits on the Planners’ Forum; • Chair of PDIIDG sits on the Inward Investment Group; • Chair of PDIIDG sits on the Sport and Leisure Group. Key issues: Housing – the Facts • • • Housing growth is an important part of SEMLEP’s Strategic Economic Plan. Looking to provide around 86,000 new homes by 2021 in the SEMLEP area – around 11,000 new homes per annum. In 2012-13 there were around 5,800 completions and only 5,200 starts, whilst in the first quarter of 2014-15, 1,930 homes were completed with 1,880 starts. Affordable Housing • Delivery of new affordable housing depends on the viability of the housing sector as much is funded through S106 agreements. • Government grant (through the Homes and Communities Agency) has reduced to around 17% of the build cost. • Affordable Homes Programme (AHP) aims to deliver 165,000 new homes by 2018 (around 55,000 per annum), but only 36,000 were completed in 2012-13. • HCA has allocated 50% of the £1.7bn available to deliver the 2015-18 programme. Key issues: Housing – the Challenge • Huge challenge to provide the number of new homes that are needed across the SEMLEP area to meet the demands of the growing population and to support the growth in jobs. • Even bigger challenge to ensure that a sufficient proportion of these new homes are affordable. • To meet these challenges it is essential that local planning authorities identify key strategic sites and enable the development of smaller sites. • Ability to forward fund the necessary infrastructure is essential to enable new homes to be delivered by private sector developers and Housing Associations. Key Issues: Commercial Market • • • • • • • • Commercial market activity typically lags 6 to 18 months behind the residential market. Sharp increase in enquiries by the end of 2013 (office up 78% and warehouse up 42%) Increased activity in the commercial sector has resulted in 2014 especially in the high-bay distribution warehouse sector (such as Waitrose at Magna Park in Milton Keynes) Take-up figures in 2014 have been held back by a lack of supply – commercial developers are not currently keen to undertake speculative development. Industrial sector is more active although the focus is on pre-let units. More enquiries coming from smaller companies and potential freehold purchasers. Lack of available new build products means that occupiers are considering design and build solutions. New enquiries are related to growth and inward investment rather than the need to downsize as a result of the recession. Key Messages • “Concept of One” • Local authorities working together across SEMLEP and with overlapping and neighbouring LEPs to deliver: Jobs, Sustainable Growth and New Homes