Bill Boler

Director, Under-served Markets

Business in the Community

”Planning, Regeneration & Deprived Areas”

20 June 2006

NATIONAL PLANNING FORUM

The Underserved Markets project: Launched by the (then) ODPM and BITC to work with national investors to promote greater investment in the UK’s most deprived communities, using retail as a catalyst.

Pilot Objective:   To test a model to promote private sector investment and address the barriers to converting market opportunities into viable business investment opportunities

INVESTMENT IN UNDERSERVED MARKETS

Impact Objective:

– improving access to products and services;

– support of local and minority businesses;

– increased employment and training;

– the attraction of additional investment to the community;

– built environment improvements;

Working Group

Research Market Opportunities

Address challenges

Work with retailers, developers and local authorities on 4 Pilot Projects

Deliver learnings to DCLG for policy evaluation

INVESTMENT IN UNDERSERVED MARKETS PROJECT ELEMENTS:

INVESTMENT IN UNDERSERVED MARKETS PROJECT ELEMENTS:

Harlem Lesson

Seacroft, Leeds CastleVale, Birmingham

UK & Deprived Areas

12 Years 8 Years

The UK: Why Retail?

•Retail employment accounts for 11 % of all UK employment

•Retail represents 17% of the UK economy

•Retail jobs have grown by almost twice the rate (30%) of all jobs over the last 20 years

Planning & Deprived Areas

For the purposes of PPS6, deprived areas are defined… typically as those within the most deprived 10% of ‘super output areas’

=National

• 1.5: to take account of Government objectives to promote social inclusion and to encourage investment to regenerate deprived areas, creating additional employment and an improved physical environment. (p 5)

• 2.33, 2.53: to plan for investment in deprived areas by strengthening/identifying opportunities for growth of existing centres or, where appropriate, designating new centres (p14, 18)

• 2.35: in assessing the need for further development to give additional weight to identifying a range of sites to serve deprived areas (p 15)

Planning & Deprived Areas

• 2.44: when applying the sequential test (development in existing centres first, then edge, then out of centre) to give weight to those locations that best serve the needs of deprived areas (p 16)

• 2.51: in assessing sites to give particular consideration to the potential for additional employment in deprived areas (p 18)

• 2.56: with regard to access to local shops and services for deprived areas, to identify opportunities to strengthen existing centres/propose new centres to remedy deficiencies in provision (p 19)

 

 

Planning & Deprived Areas

Casebook: Lidl demonstrates need and job benefits from store plan

Planning - 16 June 2006 Lidl has won an appeal for a two-storey building at an out-of-centre location in Oxford for a discount food store on the ground floor with offices above after showing that the scheme would improve provision for residents of a deprived housing area and bring employment benefits.

The inspector acknowledged that the location was not close to any existing centre. However, he maintained that…it was inevitable that the majority of people would use cars rather than travel by bus or cycle or on foot. On that basis, he concluded that the proposal offered a realistic choice of access.

He rejected an alternative proposal for retail-only use of the site, holding that this did not provide any jobs of the type envisaged there by local plan policy. By contrast, he judged that the mixed scheme would comply with the policy and provide a clear and significant boost to job opportunities.

DCS No: 100042431; Inspector: David Bushby; Inquiry.

Planning & Deprived Areas

JUSTICE STEWART JACOBELLIS v. OHIO, (1964)

“I shall not today attempt

further to define…

What is "obscene" under U.S. law ?

But I know it when I see it…”

U.S. Supreme Court

What exactly is “regeneration”?

What is “Regeneration”

Regeneration

“Socio-Economic renewal for the benefit of disadvantaged communities and people”

CHANGE + IMPROVEMENT

RedevelopmentRegeneration

Retail Employment

Prepared by Business for Social Responsibility Page 1December 2002 010803

Recognition ofRecruitmentChallenges

RECRUITMENT RETENTIONEmploying Strategiesto Attract Workers Recognition of

RecruitmentFit with Company ChallengesCulture & Values

ADVANCEMENTExposure Career Paths Recognition of Advancement Challenges Identifyto Career Critical PositionsPaths Commitment to Developing Talent &

Internal Promotion Succession Planning ResponsiveDiversity Retention

StrategiesEvaluating IntermediaryOrganizations as Partners Training &

DevelopmentUse of Recruitment& Selection Tools

Facility Location & Operation

Product & Service Distribution -Franchises/Licenses -Marketing/Sales

Contracting

Social Investment Giving/Volunteerism

Local

Area-based (Deprivation)

Excluded

Enterprise

Retail & Enterprise

Retail & Enterprise

Facility Location & Operation

Product & Service Distribution -Franchises/Licenses -Marketing/Sales

Purchasing

Workforce Development

Social Investment Giving/Volunteerism

Senior Leadership

Every manager at the company is required to mentor a small business X days a year to better understand its needs.

Influence Credit Card Supplier for SME

•does not charge monthly service fee•gives a free debit PIN pad•eliminated a $500 administrative fee•reduced a separate monthly fee

Stores hold breakfasts for small-business members several times a year, often inviting one local company to make a presentation.

pilot a voucher scheme to ensure local independent traders fully benefit from the new shoppers its store will attract. Shoppers will be given vouchers if they can prove spending in both local shops.

Volunteer/Pro Bono professional technical and managerial assistance to small businesses ranging from marketing, inventory management to lease negotiations

“Nearly 80% of small businesses in Harlem rent on a month-to-month basis, which makes them vulnerable to rising property values”

“Nearly 80% of small businesses in Harlem rent on a month-to-month basis, which makes them vulnerable to rising property values”

“When your lease is finished,

they want to lease to Old

Navy or a big company.”

Retail & Enterprise

The Real “Clones”

Evidence of local benefit

IncreaseConsumerDemand

IncreaseDisposable

Income

IncreaseLocal Jobs

IncreaseLocal

business sales

IncreaseLocal Spending

IncreaseSecurity

IncreaseConsumer

Traffic

Attract Additional Investment

ProvideCompetitive

Offering

Castle Vale – Sainsburys

Unemployment: Life Expectancy:1993 – 26% Castle Vale people live, on average, 2004 – 5.3% 7 years longer than they did in 19921,461 jobs created 3,415 training places Education:

1994 – 13% had 5 A*-C passes at GCSE 2004 – 31%

Crime:Total offences reduced by 36% since 2000.

•In addition to the foodstore, the shopping centre now has Argos, Comet, TK Max outlets and Thomas Cook.

•The manager of the Sainsbury’s store services on the board of the Sanctuary Community Centre adjacent to the site to ensure that Sainsbury’s continues to play a full role in the further regeneration of Castle Vale.

Planning & “Regeneration”

“Material Considerations”

“Best Value”

“Sequential Test”

“Preferred Partner”

Final Thoughts

James BrownHot Pants Pt 1 (1971)

“Cause you got to use what you got to get what you want!!”

Jane Jacobs, 1916-2006                              

•How it is considering and locating in deprived areas

•How it will provide increased local employment and training opportunities for targeted (local, umemployed, BME, etc) populations in need

•How it will support local business development through increased customer presence and construction & operation contracts

•How it will contribute to achieving a multiplier effect for the attraction and stimulation of increased economic activity

•How it will support, through its community affairs strategies, neighbourhood partnership efforts to address local social issues, such as education, youth or health.