Agenda item

Established in November 2019, the Western Gateway was a strategic partnership which aimed to deliver an economic powerhouse along the M4 and M5 corridor, driving growth on both sides of the Severn.  As one of five cities, Newport was a key player in the success of the partnership and stood to profit from the benefits that greater collaboration brought.  As a partnership we had nearly 4.4 million residents, approximately 160,000 businesses and in the region of 2.1 million jobs.  We also enjoyed excellent connectivity with major motorways and roads, 2 airports and 9 ports. 

Since July 2020, the membership of the partnership board was broadened to include representatives from local economic partnerships, universities, and the Cardiff Capital Region.  The Board also included appointed business representatives, one of which was Ian Edwards, Chief Executive of the Celtic Manor Resort. 

An Independent Economic Review was undertaken in Autumn 2021 and considered the Western Gateway’s economic strengths and opportunities, and how these could be led and coordinated to drive the region’s economic development.  The three identified themes and associated workstreams were:

·        Innovation - the UK Government had an ambitious target to increase public R&D spend by an additional £9bn per year by 2024/25 and the partnership are exploring the potential for Innovation Funds,

·        Net Zero - cutting emissions by 80% to 2050 was a core policy of Welsh Government and the UK Government legally committed to reducing emissions to Net Zero by 2050.  £12bn of support already ringfenced to achieve this. The potential for tidal energy in the Severn Estuary is being explored, as well as opportunities for hydrogen.

·        Connectivity - also a Welsh and UK Government priority. The partnership was focussing on Strategic rail infrastructure and mapping the 2050 ‘ideal’ national and regional rail network to understand where the gaps existed, what the carbon savings could be from achieving a modal-shift, and what the economic benefits would be for the region. 

The partnership board were also committed to improving the profile and prominence of the Western Gateway through targeted communications and events.  A key event would be the Inaugural Conference which due to be held on 8 March 2022 at the ICCW.  A wider Communications and Engagement plan was also being developed which would see the production of a new prospectus and the redesign and rebranding of the website.

The partnership board was keen to have a presence at prominent international events, including MIPIM in June, where the opportunities of the region could be promoted to international companies and investors.  The Western Gateway would be hosted on existing stands occupied by the West of England Combined Authority and Cardiff Capital Region/Cardiff.  There was also interest in having a dedicated area at the UK Real Estate Investment and Infrastructure Forum in May.  As part of the Western Gateway, Newport would have a presence at these events and promotional material is being developed to showcase Newport to an international and influential audience.

The partnership operated under Standing Orders and Terms of Reference agreed in March 2020.  An updated Terms of Reference was agreed by the Board, a copy of which was attached to the reports ensuring appropriate governance.

The Western Gateway was principally funded by a capacity payment from the Department for Levelling Up, Housing and Communities.  Ongoing funding was requested from the Spending Review but an annual financial contribution of £10,000 was being sought from partners to support the work of the Secretariat. 

The Western Gateway was hosted by South Gloucestershire Council which was the accountable body for the partnership and therefore responsible for the budget.  Secretariat staff were also employed but it was recognised that there existed liabilities for partner authorities should the partnership collapse.  Whilst this risk was considered very low, until an ongoing budget was secured from the Spending Review, these liabilities remained and all partners were asked to agree to an Indemnity Agreement

Overall, the Western Gateway continued to present Newport with an opportunity.  An opportunity to be part of a strong strategic partnership which would help businesses and industries collaborate and share innovation on a regional basis.  Achieving such benefits on our own would be impossible but through partnership working, greater opportunities arose and Newport’s profile and economic growth ambitions became much more achievable and realistic.

This report was for information but it was important that Newport remained a key player in this partnership opportunity to help Newport on its own journey to economic recovery.

Decision:

That Cabinet noted the content of the report and supported Newport’s continuing involvement with the Western Gateway.