1. Strategic leadership of place: Planning, LEPs and Local Economies Presentation to: ‘ Planning Delivering Economic Growth’ Programme Name David Marlow Third Life Economics Date 29 November 2014

2. Introductions and agenda for session...  A bit about me...  Four subjects to discuss and develop  What does ‘good’ strategic economic leadership of place look like?  How far will LEPs provide the strategic economic leadership team of places 2015-20?  What issues does ‘LEP-land’ raise for LPAs  A quick look at three frameworks which might help you work through these issues  Not a lecture – nor a PhD – lets work through the topics together

3. Icebreaker...  Tell me a little bit about a ‘good’ example of local strategic economic leadership of place you have observed in the last decade:-  What place?  Who?  What results makes it ‘good’?  What were the key ingredients of success?

4. A word about leadership theory...  Huge amount of work on organisation leadership  From ‘great man’ to traits, behavioural, situational, transactional to transformational theories  Latest thinking more about dispersed, networked, ‘3-D’, emergent and formative models  Some relevance for local leadership teams, LAs and LEPs as organisations

5. Challenges of ‘big picture’ change....  Demographics and social innovation  Science and technological innovation  Globalism, recession and public sector austerity  Localism and complexity...

6. Some fundamentals of place-shaping  Physical investment-led  Enterprise, innovation, and creativity-led  Community regeneration- led  Positioning and branding approaches  Integration with LCD and sustainable communities

7. Leadership in the post-GFC context – International ‘good practice’ and the ‘Barcelona Principles’  Major OECD study looked at local leadership team responses to recession  Highly relevant process and content recommendations

8. ...and the coalition game changer in the UK...  Focus on deficit reduction  Initial strategies of Localism, Rebalancing, Big Society, ‘Open for Business’ etc...  Destruction of regional tier and all Labour approaches (and language)  Gradual refocusing on growth; some re-learning of previous policies; some new ideas

9. So by 2014 we have ‘instruments’ of the new language...  New partnerships – LEPs, LTBs, LNPs etc., and local authorities  New policies – NPPF and planning reforms (CIL, NHB etc), EZs, etc.,  New funding instruments – RGF, GPF, LGRR, TIF, LGF, ESIF etc.,...  New sub-regional instruments – CAs; city deals, wave one, two; local growth deals;  New local instruments – community and neighbourhood budgets  Renationalised E&I functions  BUT “let’s party like it’s 2009...”

10. After lunch, we’ll look at...  How to make some of these new instruments work well in terms of:-  LEPs;  their relationship to LAs, LPAs and place;  LA leadership of the planning system;  How do we put this together coherently and anticipate 2015-20 challenges?

11. The ‘unusual’ birth of LEPs...  An ‘invitation’ to business and civic leaders – but NOT a requirement/voluntary  No specific roles and functions beyond ‘strategic leadership’  Ideally but not necessarily FEAs  No resources

12. From Year Zero to Year One....  From voluntary to universal coverage  Hugely diverse pattern of economic geographies  Given some start-up funding  Given something to do – RGF, EZs, GPF etc.

13. The Heseltine approach and government response...  No stone unturned:-  Government ‘system’ too Piecemeal Centralised  Decentralise through LEPs and create SLGF  LA reform and metro-mayors  Government response  LEP SEPs and SIFs and LA delivery bodies  The 15% LGF(s) but still £2bnpa  ‘Initial’ guidance and ESIF partial, top down opt-ins

14. Producing the heavy LEP/LA agenda to 2020...  Meeting very significant and complex government expectations, EU compliance and over £12bn of public funding  The opportunity to genuinely build a strategic economic leadership team, shared vision, and intervention strategies  ‘No LEP is an island’... ...and neither is economic development ...and a word about HEIs and the ‘missed’ Witty opportunity

15. How far do your LEPs meet the descriptions of ‘fit for purpose’ strategic economic leadership we discussed before lunch? Strengths and how we build on these Weaknesses and how we mitigate these Opportunities and how we realise these Threats and how we avoid these

16. Planning in LEP-land I: A LEP perspective  The logic of strategic economic leadership of place  Planning necessary  The underpinnings of sustainable local growth...  Linking housing to employment growth and vice-versa  The principles of coherent local growth  Operates across functional economic market areas  The practice of SEPs  Major infrastructure and employment investments (including some housing)

17. Planning in LEP-land...II: A LA perspective  The principles of local leadership of place and planning decision-making  Statutory process  Democratic accountability and legitimacy  The practice of local planning  Long-run, evidence-based  Based on LA administrative geographies with ‘duty to cooperate with neighbours  The concerns of LEP-land  To whom are they accountable?  Are they really FEMAs/places?  Do they have capacity and capability to deliver?

18. Planning in LEP-land...III: ‘Difficult issues’ not yet resolved  What is/should be the national spatial strategy?  Implicit/explicit  Rebalancing/market-led  How to make the ‘duty to cooperate’ effective  Dealing with commuting  Future of LEPs  Form and functions  Inevitable variabilities  National and devolution agendas 2015-20  Government...intermediate...LA  Neighbourhood  Competitive or strategic/collaborative  Unknown/unknowns e.g.  UKIP, EU referendum  Genuinely unexpected shocks

19. Questions, comments and discussion...  How do we deal with and resolve these agendas?  What have I omitted?  Other comments...

20. What’s an LA/LPA to do? I: Think about your local growth ‘road map’

21. What’s an LA/LPA to do? II: Have you got the ‘fundamentals’ for local growth right? Doing ‘business as usual’ agendas really well Getting planning, delivery management, housing, infrastructure and other services right Excellence in business relationship management, signposting & brokerage Really knowing your ‘places’ – cities, town, villages/neighbourhoods – at a granular level Focusing on a small number of transformers Identifying a manageable number of ‘big ticket’ changes you want to achieve – major capital investment projects or perhaps addressing a key business, skills or social issue Promotion, lobbying and advocacy of your place(s) consistently and distinctively Refreshing partnership working Partnerships with LA neighbours; LEP-level; business and third sectors relationships Building the ‘right’ place-based leadership team(s) Institutional architecture and resourcing Ensuring ‘whole council’ cultureis ‘fit for purpose Allocating distinct capital and revenue resources for growth and development, including new financing mechanisms

22. What’s an LA/LPA to do? III: What ‘intermediate’ tier do you want/need, and what are your enhanced devolution/localism ambitions for 2015-20? Establishing purposeful leadership and governance Moving beyond transactional deals to ‘pacts’ Embracing asymmetric progression Enhanced localisation of EUSIF, growth deals, PSTN etc Strengthening collaboration between LA, business, HEI, LEPs and other role players locally Defining the national ‘project’/approach Evolving intermediate governance forms and structures – DAs, CAs etc Agree new ‘balance’ of funding including local revenue-raising power s Define what’s in and out of scope Sort out distinctive propositions and leadership of place Determine national policy priorities for local ‘shaping’ Define the preconditions for enhanced devolution Agree and deliver structural and statutory change Developing the instruments of change Making the most of short term incremental opportunities

23. Review and reflections...  What has been helpful and less helpful about the session?  Is there anything that hasn’t been covered, that you wish we had addressed?  What changes or considerations will you think about exploring further with your team(s) when you return to your LA next week?

24. DavidMarlow@thirdlifeeconomics.co.uk Thank you