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LEPs (Government and Political Context, State of the South West 2011)

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D.50 Following the change in government in May 2010, substantial changes have been made to the subnational government tier. Regional government structures such as Government Office for the South West, and the South West Regional Development Agency, are both in the process of closure. For a description of the former function and remit of these bodies, see State of the South West 2010, Government and Political Context.

D.52 The coalition government has identified new structures which will be responsible for driving subnational partnership working, which are covered in this section.

This section covers the detail of these structures available at the time of writing.

D.53 The Local Growth White Paper, published by the Department for Business Innovation and Skills (BIS) on the 28th October 2010, set out a new approach to local growth. There were three key themes to the paper:

  • Shifting power to local communities and businesses

  • Promoting efficient markets

  • Supporting investments to tackle barriers to growth

D.54 Local Enterprise Partnerships were one of the key proposals set out in the paper. LEPs will act as joint local authority-business bodies working to promote local economic development and growth.

D.55 Through the white paper, BIS invited Local authorities and business leaders to come together to form LEPs. In all, 24 such bodies were initially approved across England, although the number of LEPs has since grown to 31. Although a timetable is not currently available, LEPs have been encouraged to submit their proposals when they are ready to do so.  At the time of writing, LEP coverage is at 80% of the UK.

D.56 In the South West, two LEPs have so far been agreed. LEPs have been set up in the West of England, and in Cornwall and the Isles of Scilly.

D.57 The government envisages that LEPs will exist under business and civic leadership and are intended to promote a vibrant environment in which the private sector, including social enterprises, might thrive and generate new employment and increased prosperity.

D.58 A question remains over the relationship between LEPs and LSPs. Although Local Area Agreements are being abolished, and there is no mention of LSPs in the Local Growth white paper, the coalition government has proposed no major change to their status and role and continues to encourage joint working at local level.

D.59 The Regional Growth Fund was launched by the Department for Business, Innovation and Skills, also through the publication of the Local Growth White Paper, in October 2010.

D.60 The fund aims to stimulate enterprise and create long term private sector led economic growth and employment, and to help those areas and communities currently dependent on the public sector make the transition to sustainable, private sector-led growth and prosperity.

D.61 The fund is available to bids from the private sector, and public/private sector partnerships. LEPs for example can play a role in co-ordinating bids in the areas they cover. The first round of bidding to the Regional Growth
Fund ended on the 21st January 2011. Four hundred and sixty four bids were received with a combined total value of £2.78 bn. The second round of bidding opens on 12th April.


D.62 For the latest on the Regional Growth Fund, always refer to the Department for Business, Innovation and Skills website. A short summary of the bids received from the first round is available via the BIS website. Further summary information will be published in due course.

D.63 All regional government offices will be closed by 31 March 2011. BIS local is the title given to the presence that the Department for Business, Innovation and Skills will maintain across England to develop and maintain links between the department and those delivering its policies. Its role will be to:

  • Support the BIS ministerial team with briefings, updates, handling visits and generally acting as a conduit between BIS and local areas

  • Lead and develop relationships with Local Enterprise Partnerships and local government so they fully understand BIS national policy priorities, can help coordinate economic development, and can build capacity and capability amongst key partners and stakeholders

  • Provide intelligence to BIS

  • Coordinate government responses to ‘economic shocks’ including where major companies fail

  • To develop local understanding and buy-in to BIS policies by maintaining strong links with selected large businesses, key sectors and local business bodies

  • Provide local intelligence to BIS so that the department understands the impact of policies

  • Contribute to the development of new policies

D.64 The BIS Local office for the south west will cover the entire south west region and the south east region except Kent, Medway and East Sussex. You can find out more about the BIS Local offices by clicking on the link.