marketing birmingham - economic zones prospectus

businessbirmingham.com

Economic zones prospectus

25 September 2012

Paul Kehoe

Chairman

Marketing Birmingham

Agenda


Introduction Paul Kehoe

Chairman


Competing for global investment Neil Rami

Chief Executive


Partners for growth Sir Albert Bore

Leader

Birmingham City Council

Economic zones prospectus Waheed Nazir

Director of Planning and Regeneration

Birmingham City Council

Advanced manufacturing hub Barry Allen

Director - Development

Savills

Neil Rami

Chief Executive



Competing for global investment


Changes in global FDI market

Birmingham performance by market and sector

Developing strong sector propositions

Broadening Birmingham’s international outreach

This map shows the percentage change on 2010

Source: fDi Markets 2012

Top 10 FDI destination countries

in Europe – 2011


Global FDI to the West Midlands 2007-2012

0 100 200 300 400 500 600

China (incl Taiwan & HK)

India

Australia

France

Germany

United States 553

Total number of FDI projects 2007-2012

China

(incl Taiwan & HK)

243

57

136

52

41

600 cities will drive growth, demographic changes

and consumption over the next generation

Source: McKinsey Global Institute Cityscope 1.0

1. Predicted real exchange rate.

• The city 600

• Additional cities

Top 600 cities

by projected GDP growth between

2010 - 2025

Chinese premier Wen Jiabao

Birmingham – June 2011

“China has no intention to pursue a trade surplus, what we want is to

have balanced and sustainable growth of trade. To be more specific we

are going to take the following two measures to address the issue; first

we will welcome more British products to the Chinese market and

we will create conditions to make it happen. Second we are going to

make more use of this corporation model that is the design by the

British team, manufacturing by the Chinese workers and assembly

by the British workers.”

Chinese premier Wen Jiabao

Business Birmingham - pipeline


0% 5% 10% 15% 20% 25% 30%

Australia

Japan

China

India

Germany

North America 25%

18%

10%

Business Birmingham active jobs in

pipeline as per September 2012

14%

7%

5%


Sector roadmap

Source: PA Analysis

Global powerhouse

Quality over quantity Creating the buzz

Economic impact (short to medium term)

Higher

Lower

Inw

ard

S

ou

rce

of

inv

es

tme

nt

op

po

rtu

nit

ies

Ind

igen

ou

s

Digital

media

Business &

professional

services Advanced

engineering

(auto)

Auto Supply Chain

ICT Food

& drink Logistics

Medtech

Low carbon

technologies

Bio-pharma research

Financial

services

Built to last

Birmingham active projects – by sector

Business Professional

and Financial Services

29.8% Advanced

Engineering

24.6%

Food and Drink

7.3%

Life Sciences

5.7%

ITEC

21.9%

Digital

Media

1.5%

Logistics

9.4%

Pipeline as from April 2011

Sector composition

(based on jobs)


Investment drivers

Business, Professional &

Financial Services

Industry cluster and critical

mass

Life sciences

Access to cluster

specialisms and sector

expertise

Automotive

Government support and

presence of suppliers

Food & drink

Proximity to manufacturing

and service skills

Digital media

Supportive infrastructure –

broadband, networks

ITEC

Access to supply chain

Investment propositions

City wide international strategy

Culture Civic

Academia

Business

FDI Capital Trade Students Routes Visitors EU Partnerships

GVA

International

activities

International priorities

* Based on projected growth levels

International promotion – key milestones

JAN 2011

International

PR

APR 2011

Tradeshow

programme

SEP 2011

UKTi MOU

JAN 2012

UKTi

outreach

JUL 2012

Appointment of

agents US,

Germany, India,

Australia

NOV 2012

Site selectors

programme

DEC 2012

Appointment of

emerging market

outreach agent

FEB 2013

US

Roadshow MAR 2013

MIPIM

SEP 2012

Economic

Zones

programme

OCT 2010

Gateway

marketing

(Europe)

Councillor Sir Albert Bore

Leader of Birmingham City Council

THE ZONES:

• Advanced Manufacturing Hub

• City Centre Enterprise Zone

• Tyseley Environmental Enterprise District

• Life Sciences Campus

• The Food Hub

• Longbridge ITEC Park

• £1.5bn of new investment

• 1.8 million sqm of new floor space

• 50,000 new jobs.

Waheed Nazir

Director of Planning & Regeneration Birmingham City Council

Growth Agenda

Over the next 20 years;

• Population will grow by 150,000

• Additional households 80,000

• Additional (net) jobs needed 128,000

• Additional School places needed 36,695

• Financial and Professional Services

– Over 1,900 firms in the financial sector

• Creative and Digital Media

– Generates more than £890m


– Contributes £600m to the city’s economy and 19,000 people employed

• Life Sciences

– Contributes £180m to the city’s economy and 1,600 people employed

• Food and Drink

– £70bn turnover annually in the UK

• ITEC

– Major software companies in top 25 employers in the region

Economic Growth

Spatial & Sector

• City Centre Enterprise Zone

• Tyseley Environmental Enterprise District

• The Food Hub

• Life Sciences Campus

• Longbridge ITEC Park


City Centre Enterprise Zone

Environmental Enterprise District

Life Sciences Campus

Food Hub

Longbridge ITEC Park

Advanced Manufacturing Hub


• 26 sites across 70 hectares

• A business rate discount worth up to £55,000 per year

• Simplified planning

• Support for superfast broadband

• UKTI support for inward investment

• £128m Investment Plan




Food Hub



Tyseley Environmental Enterprise Zone

• Principal location for the low carbon economy encouraging recycling, energy production and renewables.

• 100,000sqm of new floorspace, creating 1,500 jobs.

• £3m ERDF package secured to improve business/enterprise space.




Food Hub



The Food Hub

• Opportunity for more than 140,000sqm for production, processing, packaging and distribution

• Generating 3,000 new jobs

• Bespoke design services to provide food grade facilities

• City Council is working in partnership with PRUPIM




Food Hub




• Building on the unique offer for the sector at Selly Oak

• Life Sciences Campus will become the principal location nationally for parts of the sector

• The Campus will be co-located adjacent to the University of Birmingham and Queen Elizabeth hospital

• Up to 50, 000 sqm of 3-4 storey buildings.

• Directly creating 3,000 new jobs, with many more resulting from associated development.




Food Hub



Longbridge ITEC park

• Opportunity for more than 140,000sqm for IT and data operations

• Large floor plate offices in an accessible new town centre location

• City Council working with St Modwens to provide high speed broadband, to meet the needs of data-heavy operations




Food Hub



Advanced Manufacturing Hub • Capturing growing supply-chain

opportunities

• Phase 1 comprises 10.5 hectares available for immediate development:

› Site is in public sector ownership

› Significant public sector investment in assembly

› Improved junctions and access

• A further 9.5 hectares in Phase 2

• Creating 3,000 local jobs

• Working in partnership with the HCA

Our Offer

• Project Champion & support team

• Simplified Planning

• Gap Funding packages

• Access to Finance

• Business support

• Training and Recruitment

• Infrastructure and Access

• Business Birmingham

Our ask

• Jobs for Local People

• Sustainable Development

• Excellence in Design

• Consultation and engagement

Delivering the Advanced

Manufacturing Hub, Birmingham

Barry Allen, Director

Savills

The Aim

1.

2.

3.

4.

5.

To develop

specialist, state of

the art

accommodation

To support growth

/ expansion of

existing firms

To identify new

supply chain

opportunities

To explore

education and

training links

To sustain

employment growth

and regeneration ...to deliver.

Connectivity

Delivering Phase

1

20 hectares (49 acres)

total RIS area (gross)

10.5 hectares (25.95

acres) outlined for Phase

1 (gross)

Plots immediately

available for B1/B2 uses

LDO will simplify the

planning system

Improved access point

for the scheme off A5127

Delivering Phase 1

Freehold or leasehold opportunities

To suit individual occupier

requirements

Support and advice to access

funding will be made available

Seeking expressions of

interest from occupiers

and investors


Thank you. Any questions?