Issue - meetings

Report number iSK002 of the Leader of the Council.                    (Enclosure)

Decision:

1.               The Cabinet agrees Option 4, as set out at clause 6.5 in this report iSK002, to establish InvestSK as a private company limited by guarantee, with the Council as the sole member.

2.               The Council’s liability, as a sole member of the Company, will be limited to the amount of £1 and no share capital will apply.

3.               The following be appointed as Directors of the Company:

3.1         Councillor Matthew Lee, the Leader of the Council (Chairman).

3.2         Councillor Kelham Cooke, the Deputy Leader of the Council

3.3         Aidan Rave, the Chief Executive of the Council

4.               The Board determines who should be nominated to become the Company Secretary.

5.               The Board appoints an interim Chief Executive.

6.               Delegated Authority be given to Councillor Mike King, Cabinet Member for Economy and Development, to put in place the proposed Memorandum of Understanding, to determine membership of the Advisory Committee, agree the Articles of Association for InvestSK and to agree an initial award of seed funding to allow the incorporation process to take place.

Considerations/Reasons for decision

1.    Report number iSK002 of the Leader of the Council on the formation of InvestSK as a company limited by guarantee

2.    A current economic worth for the district of £2.7bn and aim to add a further £1.2bn

3.    An announcement made by the Leader of a series of projects to achieve the first £400m of this growth through a £40m investment

4.    Key benefits of InvestSK including:

a.    A business-focussed approach encouraging the private sector to bring forward land, property, investment and business growth

b.    Being distinct from the local planning authority

c.    Making introductions between confirmed business enquiries and the Council and supporting the business through formal procedures

d.    It is already recognised as a named brand in the District

e.    It is developing wider initiatives to grow economic and community wellbeing        

5.    The Companies Act 2006

6.    Provision for InvestSK was included in the 2018/19 Budget

7.    S1 of the Localism Act 2011 which gave local authorities a general power of competence

8.    A letter received from the Burghley Preservation Trust and the response given

Other options considered:

The following options were considered for the longer-term solution for InvestSK:

Option 1: Continue, 'as is', supported by Opportunity Peterborough

This would involve a core team of officers from the Council, supported by the team from Opportunity Peterborough who would be contracted to the Council.

Pros: This approach is tried and tested, and the engagement with businesses and progress on projects has been positive.

Cons: Whilst InvestSK acts as – and is perceived by businesses as – an arms-length company to the Council, there are certain constraints placed on InvestSK by virtue of it being a 'rebranded' economic development team. If InvestSK is to reach its full potential, this will need to be as a separate entity to the Council.

Whilst the current formation of InvestSK allows strong business-to-business performance, the credibility of InvestSK will be further-enhanced, and it will be  ...  view the full minutes text for item 152