Local Enterprise Partnerships

 
  and civil society infrastruture
research.
Date: 6 December 2010
Version: Final
 

Local Enterprise Partnerships

  and civil society infrastructure
A report by Capacitybuilders

This report considers the results of research conducted by Capacitybuilders which shows
that only a minority of local support providers are currently involved in developing Local
Enterprise Partnerships

Data collected through Capacitybuilders’ latest survey of local support providers shows
that only 15% of infrastructure organisations have been approached to become involved in
proposed Local Enterprise Partnerships. However, the vast majority of respondents
indicated that they would like to be.

Failure to engage with the voluntary and community sector will result in Local Enterprise
Partnerships missing out on a vital element of local economies. According to the National
Council for Voluntary Organisations, in 2007/8 the sector contributed a total of £32.8 billion
to the UK economy (The UK Civil Society Almanac 2010, NCVO).

Capacitybuilders 77 Paradise Circus Birmingham B1 2DT

T +44 (0)121 237 5100 E info@capacitybuilders.org.uk www.capacitybuilders.org.uk
 

What are Local Enterprise Partnerships?

The Coalition Government has asked local authorities and businesses to organise
themselves into Local Enterprise Partnerships (LEPs) across ‘natural economic areas’.
Their primary aim will be to stimulate economic growth – a role that was previously the
responsibility of Regional Development Agencies.

A natural economic area is not defined by a set of imposed administrative boundaries,

such as regions or council borders, but incorporates a less tangible mix of business
patterns, housing markets and commuting zones. Public and private sector
organisations have been working together to develop LEP proposals based on these
criteria.

A joint letter from the Secretaries of State for Business, Innovation & Skills, and
Communities and Local Government in June 2010 stated that:

‘[LEPs] will want to work closely with universities and further education colleges, in view
of their importance to local economies, and with other relevant stakeholders.’

There was no explicit requirement for LEPs to involve representatives from the
voluntary and community sector, despite the significant economic contribution these
organisations make. In September, a follow-up statement made by the Communities
Minister suggested that the Government would welcome the involvement of voluntary
organisations in negotiations around developing LEPs. However, it appears that it will
be up to voluntary and community organisations themselves to make sure that the
sector’s voice is heard.

 
 
 

How many LEPs are there?

Of the 56 proposals submitted, 24 LEPs were approved in late October. The remaining
LEPs have met with government officials to discuss their proposals and will re-submit
their bids over the next month or two.

Capacitybuilders’ research suggests that there is a fairly high level of awareness of

LEPs among local support providers, with two thirds of respondents (67%) knowing of a
proposed LEP that will cover their local area. However, respondents were less sure
when it came to knowing about the purpose and proposed remit of LEPs. As Figure 1
below demonstrates, 37% of infrastructure organisations felt ‘very’ or ‘quite’
knowledgeable of the purpose of LEPs, while 62% felt they had a lack of knowledge.

Figure 1 Knowledge of Local Enterprise Partnerships among

support providers

1% 6%

21%
Very knowledgeable

Quite knowledgeable
31%
Not very knowledgeable

Not at all knowledgeable

Don't know / Not

applicable
41%

 
 
 

Voluntary and Community Sector involvement in LEPs

Data collected by Capacitybuilders suggests that only a small proportion of support

providers have been approached to become involved in LEPs. However, findings from
the survey also suggest that there is a large amount of enthusiasm and willingness on
behalf of infrastructure organisations to engage with them.

The vast majority of respondents to the survey (85%) said they would be interested in
becoming involved in the LEP in their area – with nearly half (49%) stating that they
were ‘very interested’.

Figure 2 Interest among support providers in becoming

involved in LEPs

6%
3%
6%
Very interested

Quite interested

49% Quite disinterested

Not interested at all

36% Don't know / Not

applicable

 
 
 

Example of where sector involvement has worked

Greater Birmingham Local Enterprise Partnership is one of the 24 LEPs that has
already been given the green light by Ministers. It is also an example of a LEP involving
a representative from the voluntary and community sector in its planning.

The Chief Executive of BVSC in Birmingham, Brian Carr, became involved in the
consultation process for the Greater Birmingham LEP as a result of relationships he had
built up through previous work on the Local Strategic Partnership.

Brian was invited to a LEP consultation event where he was able to speak with people
directly about the contribution the voluntary and community sector could make to the
overall aims of the LEP. He felt at this early stage it was important not to be too
prescriptive about what the sector would or would not do, rather it was an opportunity to
outline the type of offer voluntary and community groups could bring and the benefits
this would have.

He acknowledges the key role that BVSC is playing to ensure that sector issues are
being considered by the LEP. However, there was also recognition that acting as a
gateway between the sectors is difficult for any one organisation and that there might be
a better way to accomplish this.

Even though the formation of Greater Birmingham LEP has been approved by the
Government, final membership has yet to be settled. While there is uncertainty for
BVSC and other sector organisations in the greater Birmingham area, they feel they are
in a good position to work constructively with the new LEP.

The introduction of LEPs marks a substantial shift in approach to stimulating economic

growth. Therefore it should not come as too much of a surprise to find that it is taking
some time for public and private sector organisations to get to grips with this new policy
context. If voluntary and community sector organisations want a seat at the table then it
appears they still may have time. It is up to them to put together a strong case for full
involvement in their Local Enterprise Partnership.

 
 
 

Further information

For further information about this research please contact Richard Davey,
Policy Officer, Capacitybuilders.
E: Richard.davey@capacitybuilders.org.uk