Bill Boler Director, Under-served Markets Business in the Community

1. NATIONAL PLANNING FORUM ”Planning, Regeneration & Deprived Areas” 20 June 2006 Bill Boler Director, Under-served Markets Business in the Community

2. INVESTMENT IN UNDERSERVED MARKETS • The Underserved Markets project: Launched by the (then) ODPM and BITC to work with national investors to promote greater investment in the UK’s most deprived communities, using retail as a catalyst. • Pilot Objective: To test a model to promote private sector investment and address the barriers to converting market opportunities into viable business investment opportunities • Impact Objective: • improving access to products and services; • support of local and minority businesses; • increased employment and training; • the attraction of additional investment to the community; • built environment improvements;

3. INVESTMENT IN UNDERSERVED MARKETS PROJECT ELEMENTS: INVESTMENT IN UNDERSERVED MARKETS PROJECT ELEMENTS: • Working Group • Research Market Opportunities • Address challenges • Work with retailers, developers and local authorities on 4 Pilot Projects • Deliver learnings to DCLG for policy evaluation

4. Harlem Lesson

5. UK & Deprived Areas • Seacroft, Leeds • CastleVale, Birmingham • 12 Years • 8 Years

6. The UK: Why Retail? • Retail employment accounts for 11 % of all UK employment • Retail represents 17% of the UK economy • Retail jobs have grown by almost twice the rate (30%) of all jobs over the last 20 years

7. National Planning & Deprived Areas = For the purposes of PPS6, deprived areas are defined…typically as those within the most deprived 10% of ‘super output areas’

8. Planning & Deprived Areas • 1.5:to take account of Government objectives to promote social inclusion and to encourage investment to regenerate deprived areas, creating additional employment and an improved physical environment. (p 5) • 2.33, 2.53: to plan for investment in deprived areas by strengthening/identifying opportunities for growth of existing centres or, where appropriate, designating new centres (p14, 18) • 2.35: in assessing the need for further development to give additional weight to identifying a range of sites to serve deprived areas (p 15)

9. Planning & Deprived Areas • 2.44: when applying the sequential test (development in existing centres first, then edge, then out of centre) to give weight to those locations that best serve the needs of deprived areas (p 16) • 2.51: in assessing sites to give particular consideration to the potential for additional employment in deprived areas (p 18) • 2.56: with regard to access to local shops and services for deprived areas, to identify opportunities to strengthen existing centres/propose new centres to remedy deficiencies in provision (p 19)

10. Planning & Deprived Areas

11. What is “Regeneration” What is "obscene" under U.S. law ? • What exactly is “regeneration”? “I shall not today attempt further to define… But I know it when I see it…” JUSTICE STEWARTJACOBELLIS v. OHIO, (1964) U.S. Supreme Court

12. Regeneration Redevelopment Regeneration “Socio-Economic renewal for the benefit of disadvantaged communities and people” CHANGE + IMPROVEMENT

13. Retail Employment

14. Retail & Enterprise Local Area-based (Deprivation) Excluded Enterprise

15. Retail & Enterprise Every manager at the company is required to mentor a small business X days a year to better understand its needs. • Influence Credit Card Supplier for SME • does not charge monthly service fee • gives a free debit PIN pad • eliminated a $500 administrative fee • reduced a separate monthly fee Stores hold breakfasts for small-business members several times a year, often inviting one local company to make a presentation. Volunteer/Pro Bono professional technical and managerial assistance to small businesses ranging from marketing, inventory management to lease negotiations pilot a voucher scheme to ensure local independent traders fully benefit from the new shoppers its store will attract. Shoppers will be given vouchers if they can prove spending in both local shops.

16. Retail & Enterprise “When your lease is finished, they want to lease to Old Navy or a big company.” “Nearly 80% of small businesses in Harlem rent on a month-to-month basis, which makes them vulnerable to rising property values”

17. The Real “Clones”

18. Provide Competitive Offering Attract Additional Investment Increase Consumer Traffic Increase Disposable Income Increase Consumer Demand Increase Local business sales Increase Security Increase Local Jobs Increase Local Spending Evidence of local benefit • Castle Vale – Sainsburys • Unemployment:Life Expectancy: • 1993 – 26% Castle Vale people live, on average, • 2004 – 5.3% 7 years longer than they did in 1992 • 1,461 jobs created • 3,415 training places Education: • 1994 – 13% had 5 A*-C passes at GCSE • 2004 – 31% • Crime: • Total offences reduced by 36% since 2000. • In addition to the foodstore, the shopping centre now has Argos, Comet, TK Max outlets and Thomas Cook. • The manager of the Sainsbury’s store services on the board of the Sanctuary Community Centre adjacent to the site to ensure that Sainsbury’s continues to play a full role in the further regeneration of Castle Vale.

19. Planning & “Regeneration” • “Material Considerations” • “Best Value” • “Sequential Test” • “Preferred Partner”

20. Final Thoughts • How it is considering and locating in deprived areas • How it will provide increased local employment and training opportunities for targeted (local, umemployed, BME, etc) populations in need • How it will support local business development through increased customer presence and construction & operation contracts • How it will contribute to achieving a multiplier effect for the attraction and stimulation of increased economic activity • How it will support, through its community affairs strategies, neighbourhood partnership efforts to address local social issues, such as education, youth or health. Jane Jacobs, 1916-2006 “Cause you got to use what you got to get what you want!!” James Brown Hot Pants Pt 1 (1971)