Executive Board

23rd January 2017

 

Swansea Bay City Deal

 

 

 Designation.

Mark James, Chief Executive

Directorate

Chief Executives

Telephone No.

01267 224110

Author &  Designation

Mark James, Chief Executive

Directorate

Chief Executives

Telephone No

01267 224110

 

 

1.    BRIEF SUMMARY OF PURPOSE OF REPORT.

 

The purpose of this report is to:

-       Provide Members with an update on negotiations between UK Government and the Swansea Bay City Region in respect of the City Deal investment package

-       To seek Members’ approval to delegate to the Leader of the Council or the Chief Executive, authority to sign a City Deal agreement (Heads of Term) on the basis described in this report.

 

ANY DECISIONS REQUIRED, IF ANY

 

-       To delegate authority to the Leader of the Council or Chief Executive, to sign a City Deal agreement (Heads of Terms) on the basis described in this report.

 

2.    RECOMMENDATION(S)

It is recommended that Members support the above decisions.

3.    REASON(S)

To provide delegated authority to sign the City Deal agreement (heads of term) on the basis described in this report.  In this regard, it should be noted that the other three local authorities (Pembrokeshire County Council, Neath Port Talbot County Borough Council and the City and County of Swansea) are taking similar reports to their Cabinets and Councils at this time.

 

 

 

 

4.    BACKGROUND AND EXPLANATION OF ISSUES

 

Background

City Deals were first launched in 2011 and are led by UK Government. They present cities or city regions with an opportunity to take control of proposals that influence the growth of their economies. The Deals are bespoke arrangements designed to devolve ownership and responsibility for regeneration to the City region level.

 

The first ‘wave’ of City Deals were signed in July 2012 by eight core cities (Birmingham, Bristol, Leeds, Liverpool, Manchester, Newcastle, Nottingham and Sheffield), each having negotiated the devolution of certain powers with Central Government. This involves, for example, control over local transport, strategic planning, business support and skills provision. By July 2014, 20 further City Deals had been negotiated with a range of smaller English cities and city-regions. Scotland had their first Deal for Glasgow and Clyde Valley signed in August 2014.

 

In February 2016, the Swansea Bay City Deal proposal was put forward by the Swansea Bay City Region Board which was subsequently supported by the Chancellor of the Exchequer, who announced in his March 2016 budget that he was opening discussions with the region. In the Autumn 2016 Statement, the Chancellor recommitted the UK Government’s support for a City Deal for the Swansea Bay City Region.

 

The Swansea Bay City Deal - Update on current position

 

The Swansea Bay City Deal focuses on the benefits of digital infrastructure, the energy sector, smart manufacturing and innovation in life science for both urban and rural areas across the region. Since the original submission of the City Deal proposal to the UK Government in February last year, an intensive period of work has led to the submission of a detailed bid covering 11 specific projects in October of last year. The projects are summarised later in this report at Annex A.

 

Following the submission of the bid, there has been a series of discussions with both governments as well as engagement events with Assembly Members and others across the region. Mark James, as lead Chief Executive for the City Deal and Cllr Rob Stewart as lead Leader (Leader of Swansea City Council), also led a delegation of prominent private sector businesses including Fujitsu, Siemens Healthcare and Wavehub to meet with the Secretary of State for Wales in early December to demonstrate the strong commitment and confidence that the private sector have in both the City Deal proposal and the future of the region. A further meeting was held on the 17th January between the Secretary of State, Sir Terry Matthews and BT Wales.

 

Prior to Christmas, a “Challenge Session” was held with Welsh Government Ministers which produced their agreement in principle to what is proposed. Welsh Government has provided assurance that funding has been set aside for this Deal

That process will be repeated very shortly in Whitehall with the Secretary of State for Wales and other UK Ministers and their advisors. The team that will present to Ministers will be led by Mark James and Cllr Rob Stewart. The Leaders and Chief executives of all 4 authorities will also attend.  It is hoped that Whitehall will be in a position to sign the Deal by the end of February.

 

It is anticipated that once the heads of terms are agreed, each project will need to produce further detail on the delivery and finances.

 

The City Deal for Swansea Bay

The Swansea Bay City Deal sets out a transformational approach to how the region will deliver the scale and nature of investment needed to support the area’s plans for growth. The Deal stems from the recommendations of the Swansea Bay City Region Economic Regeneration Strategy 2013-2030, which was endorsed by Carmarthenshire County Council’s Executive Board on 2nd December 2013. In turn, Carmarthenshire County Councils Economic Transformational Strategy 2015-2030 aligns with its aspirations.

 

The Swansea Bay City Deal involves a total investment of some £1.3 billion over a period of 15 years. This consists of £241m of central government funding to be split between the two governments. Some £360m of other public sector funding and £673m of private sector contributions will make up the total investment package.

 

This investment will deliver up to 9,465 new jobs for the region, contributing to an uplift in Gross Value Added (GVA) of £1.8bn which in turn will avoid a further two decades of jobless growth. The City Deal for the Swansea Bay City Region provides a once in a generation opportunity to further consolidate the region’s role in technological innovation and  to become lead innovators in developing and commercialising solutions to some of the most pressing challenges in the fields of life sciences, energy, smart manufacturing and digital networks in both urban and rural areas.

Key elements of the Swansea Bay City Deal

The City Deal proposal for the region consists of a package of 11 projects which are focused on 4 key strands, namely:

-       Internet of economic acceleration

-       Internet of energy

-       Internet of Life Science and Wellbeing

-       Internet of Smart manufacturing

A summary of the overall package is included in Annex A.

Whilst the County will benefit from all of the City Deal proposals, the following projects are being specifically lead by Carmarthenshire:

Life Science & Wellbeing Village

Total investment: £199.5m

City Deal funding: £40m

Match funding: £32m Carmarthenshire County Council; £127.5m private sector funds

Jobs created:  1853 direct jobs

Increase in GVA: £467m over 15 years

The Llanelli Life Science and Wellbeing Village aims to deliver transformational social and economic benefits through delivering the full scope of the Life Science and Wellbeing Village definition, namely the integration of business development, education, wellness initiatives, research and development and healthcare initiatives. The project will consist of the following aspects:

-       The Institute of Life Science in Llanelli will cater for latent Technology Readiness Level R&D with corresponding business start-up and incubation capability, whilst also offering larger commercially available office, laboratory and clinic space for growing indigenous companies and attracting companies new to the region.

-       The Wellness Hub will house leisure and sports provision, Well-Being promotion and community and Third sector groups, as well as being a central venue for local community activities in Llanelli. The Wellness Hub will have links to other areas of the village including the Life Science and Well being Centre for example for social prescribing and expansion of exercise referral schemes.

-       The Assisted Living Village will deliver supportive care out of hospital for patients who are fit for hospital discharge and provide high quality flats and houses for those that need longer term supportive care. These properties will be highly innovative, featuring assistive living technologies to promote independent living and quality of life.

-       The Life Science and Wellbeing Centre will be a multidisciplinary environment where services can be accessed to facilitate improvement in the wellness of the population and outcomes for those already within the health system. In conjunction with this, a network of training opportunities will be developed aimed at making a significant contribution to meeting the skills shortage in the area through integrated working with the on-site health and wellbeing provision between the private, public and third sectors.

 

Skills and Talent initiative

Total investment: £30m

City Deal funding: £10m

Match funding: £16m public funds, £4m private sector funds

The City Deal will be underpinned by the Skills and Talent initiative, being led by the SW Wales Regional & Skills Partnership, which will be a key component in ensuring that local people and businesses have the appropriate skills to benefit from each of the City Deal projects.

The delivery of the City Deal is highly dependent upon the attraction, creation and importantly the retention of skilled and talented people within the region. The Skills and Talent initiative will provide a regional approach to delivering skills focusing on specific sector skills required in order to meet the demand of the City Deal themes of ‘Digital, Life science and Wellbeing, Energy and Smart Manufacturing.  The project will provide the skills solutions for each of the four themes of the City Deal including:

 

-          Advanced skills: Leading innovation across the Four Internet themes of the Internet Coast proposal.  The advanced skills offer will support the new and emerging technologies contained within the constituent proposal bids.

-          Under/Postgraduate Expansion: providing increased productivity through greater graduate skills application across the Four themes

-          Further/Higher Education: delivering skills for new roles within the theme sectors, through Foundation Degree, programmes, Apprenticeships and Higher Apprenticeships.  Delivering innovation will include new blended learning approaches. 

-          Continuing Professional Development: ensuring the region’s skills across the themes remains at the forefront of professional practice.

-          Apprenticeships: support the integration of apprenticeship opportunities throughout the Skills and Talented Future Generations project.

-          Skills facilities development: creation of sector-specific facilities to support the development of new emerging skills/roles and the creation of a step-change in capacity across the region.

-          Schools engagement to influence curriculum development and delivery to ensure the adequate supply of young people with the right skill set.

-          Careers engagement to enthuse young people and influence career decisions.

 

 

Creative Digital Cluster – Yr Egin

Total investment: £24.3m

City Deal funding: £5m

Match funding from other sources: £19.3m (University of Wales Trinity St David’s)

Jobs created: 203 new jobs created

GVA increase:  £91m over 15 years.             

Yr Egin will create a digital and creative industry cluster within Carmarthen, joined by S4C as the key anchor tenant and approximately 28 other digital and creative media SMEs as tenants. The centre will create a clustering effect which will create major and positive change in the creative and digital economy of Wales. This development will also contain business accelerator facilities, incubation, as well as shared spaces for interaction between each of the tenants, driving entrepreneurial development.

 

 

Governance arrangements

The Swansea Bay City Deal is a partnership between 8 organisations and the private sector, including the 4 local authorities of Carmarthenshire, Pembrokeshire, Neath Port Talbot and Swansea; Abertawe Bro Morgannwg University Health Board; Swansea University; Hywel Dda University Health Board and the University of Wales Trinity St David’s.

Utilising the existing statutory framework, the local authorities will establish a joint committee which will have ultimate responsibility for the City Deal investment package (please refer to Annex B for proposed structure).

The establishment of the Joint Committee is linked to the Welsh Government’s local government reform agenda in the context of a push towards a greater regional working on economic development, transport and strategic planning.  The proposed Joint Committee therefore represents a good vehicle for both the City Deal and wider local government collaboration. 

 

On behalf of the wider partners, the Authority has instructed Geldards Law firm to provide advice to the Authority and associated partners on the constitution of a joint committee.  This work has commenced and will ultimately result in a joint committee agreement for the governance of the Swansea Bay City Deal.  Until which point, the Joint Committee will be established in shadow form.

 

Beneath the Joint Committee, individual themes will have their own governance boards to reflect the skills and experience required to oversee delivery. The private sector will play a prominent role at all levels of governance.

A delivery team will be appointed, reporting directly to the Joint Committee, and will be responsible for:

-       Supporting and enabling the joint committee to function effectively

-       Monitor delivery and impact at a project and theme level

-       Ensure financial probity

-       Develop a strategic communications plan and support individual projects in communicating to stakeholders and local citizens.

The Welsh Government has been asked to make funding available to support the delivery team. This will need to be matched in cash by the four local authorities, the Universities, the Local Health Boards and potentially other partners. Initially, it is proposed to fund any Council contribution (circa £25,000 per annum based on current City Region Board agreement) from within existing resources. 

The Funding Package

As noted above, the City Deal will invest £1.3bn into the Swansea Bay City Region. The Deal will consist of £241m of central government funding to be split between the two governments. Some £360m of other public sector funding and £673m of private sector contributions will make up the total investment package. Welsh Government has provided assurance that funding has been set aside.

Funding proposals

The structure of the deal in terms of financing will be based on a 15 year programme. The four local authorities will be asked to borrow the required sum (each Local Authority will fund its relevant projects) and the funding will be drawn down as projects develop over a period of 5 years. The capital borrowing (in respect of the Government funded element) will be re-paid as Government funds are received over the 15 year period.  The exact level of borrowing and the structure and terms of the borrowing is yet to be confirmed however it will be calculated based on the amount required per relevant local authority (please refer to Annex C) and will be agreed based on the principles of the Prudential Code. The cost of any external borrowing will be the responsibility of the relevant authority. There will be an opportunity for the additional Business rate income to be utilised to support part of the revenue implications of these projects, Welsh Government has indicated that it is supportive of this approach.

Additionally, we are currently looking at alternative proposals for investment of which equity options are being explored to support the projects. Again, Welsh Government has indicated that they are supportive of this approach Further details will be brought before Members once further detail is available.

Each of the individual projects will be subject to individual business case which will detail the financing arrangements.  

Conclusion

To conclude, the City Deal provides a once in a generation opportunity to increase prosperity and opportunity within the region. The City Deal proposals will harness digital hyper connectivity, life science, smart manufacturing and renewable energy technologies to create 9465 jobs and £1.8bn additional GVA.

The region’s GVA has fallen from 90% of the UK average to 77% over the last three decades with low productivity, high economic inactivity and poor health just some of the key challenges facing the region. Without the City Deal proposals, closing the gap will be extremely challenging.

 

5.    OTHER OPTIONS AVAILABLE, AND THEIR PROS AND CONS

The City Deal is a unique opportunity for Carmarthenshire and the wider region. There are currently no alternative options of this scale, particularly with the current situation around Brexit and EU funds.

 

 

 

 

6.    IMPLICATIONS:

 

1. POLICY AND CRIME & DISORDER 

The Swansea Bay City Deal is a good example of working in partnership with other Councils, government and the business community. It shows how collaboration and joined up thinking can achieve more.

Our vision in Carmarthenshire is for a Carmarthenshire that enables people to live healthy and fulfilled lives by working together to build strong, bilingual and sustainable communities. This will contribute to our Integrated Community Strategy Outcomes of:-

·         People in Carmarthenshire are Healthier

·         Carmarthenshire has a stronger and more prosperous economy.

This also supports our Corporate Strategy. Providing secure well paid jobs and training opportunities for local people is central to everything we are trying to achieve. In the past too many young people have been forced to leave Carmarthenshire to get jobs. Working across all sectors- public, voluntary and private-we want to increase prosperity for everyone in the county. The focus point of our Corporate Strategy for the economy was to ensure long-term economic and social benefits for Carmarthenshire through the Swansea Bay City Region, creating jobs and growth and developing training opportunities.

The Well-being of Future Generations (Wales) Act 2015.

The City Deal is a good example of the 5 ways of working promoted by the Act and will make a significant contribution to the 7 well being goals.

The City Deal is a 15 year programme which provides an opportunity to address persistent challenges such as climate change, poverty, inequality, jobs and skills in a transformational and preventative way.

It is also an opportunity for the 4 authorities to demonstrate how they are using the five ways of working to maximise their contribution to the well-being goals required under the Act, through a major public investment programme.

2. LEGAL 

Utilising the existing statutory framework, the local authorities will establish a joint committee which will have ultimate responsibility for the City Deal investment package (please refer to Annex B for proposed structure). The Authority has instructed Geldards Law firm to provide advice to the Authority and associated partners on the constitution of a joint committee.  This work has commenced and will ultimately result in a joint committee agreement for the governance of the Swansea Bay City Deal.  Until which point, the Joint Committee will be established in shadow form.

 

3. FINANCE 

The structure of the deal in terms of financing will be based on a 15 year programme. The four local authorities will be asked to borrow the required sum (each Local Authority will fund its relevant projects) and the funding will be drawn down as projects develop over a period of 5 years. The capital borrowing (in respect of the Government funded element) will be re-paid as Government funds are received over the 15 year period.  The exact level of borrowing and the structure and terms of the borrowing is yet to be confirmed however will be calculated based on the amount required per relevant local authority (please refer to Annex C) and will be agreed based on the principles of the Prudential Code. The cost of any external borrowing will be the responsibility of the relevant authority. There will be an opportunity for the additional Business rate income to be utilised to support part of the revenue implications of these projects, Welsh Government has indicated that it is supportive of this approach.

When further details of the investment are known, a full business case appraisal of the individual projects will be completed which will include the detailed funding proposals. This will be subject to a further report.

 

4. ICT

Future IT requirements will be realised once governance structures are                              established.

 

5.RISK ASSESSMENT 

Each project will carry its associated risks which will be mitigated throughout the             application and delivery process. A detailed risk analysis will be undertaken for all projects.

 

6.STAFFING 

Project specific teams will be appointed to deliver. Carmarthenshire County Council is currently leading on the secretariat role for the City Deal.

 

7.PHYSICAL ASSETS 

At this stage none. This will be made clearer once projects are at a further             developed stage.

 

 

FEEDBACK FROM CONSULTATIONS UNDERTAKEN

 

1.    SCRUTINY COMMITTEE & DATE

A report on the City Deal went through the political process in February 2016. In addition, a Members seminar on the City Deal was held on the 27th July 2016.

 

2. LOCAL MEMBER (S)  TO BE NAMED AND COMMENTS INCLUDED, IF ANY

 

3. COMMUNITY TOWN COUNCIL(S) 

 

4. RELEVANT PARTNERS

 

5. STAFF SIDE REPRESENTATIVES

 

7.    OTHER ORGANISATIONS

 

 

8.    LIST OF BACKGROUND PAPERS USED IN THE PREPARATION OF THE REPORT

 

Title of Document

File Ref No.

Where available for public inspection

The Internet Coast

N/A

Swansea Bay City Region website

www.swanseabaycityregion.com

 


ANNEX A

 

INTERNET OF ECONOMIC ACCELERATION

The Vision for the region is to establish a coherent connected region, placing it at the forefront of digital innovation and maintaining critical infrastructure fit for purpose for the 21st Century digital age. Specifically this strand will deliver the following investments:

Digital Infrastructure

Lead / Partners / Joint Partners:

Joint Partners: Neath Port Talbot CBC, CC Swansea, Pembrokeshire CC, Carmarthenshire CC, Swansea University, University of Wales Trinity St David (UWTSD), ABMUHB & Hywel Dda

 

Funding:   

Investment requested from City Deal - £25m

Match funding from other sources - £30m        

Total Project Value - £55m

 

A regional state of the art digital infrastructure will be implemented to support each of the City Deal strategic themes and projects. The project will:

-       Create digital infrastructure including gigabit fibre and next generation wireless networks  that will enable  innovation  and entrepreneurship within the region

-       Expansion of the provision of 4G and Wi-fi capabilities to benefit both urban and rural areas of the region

-       Development of digital infrastructure for key sectors including energy, manufacturing and life sciences

Swansea City & Waterfront Digital District

Lead / Partners / Joint Partners:

Lead: CC Swansea

Partners: Swansea University and University of Wales Trinity Saint David (UWTSD)

 

Funding:

Investment requested from City Deal - £50 m

Match funding from other sources - £118.2m

Total Project Value - £168.2 m

 

The Swansea City and Waterfront Digital District will capitalise on the next generation connectivity available within the region, developing a vibrant and prosperous City Centre that facilitates the growth of high value ICT and digitally enabled sectors, and act as a key driver for the regional economy. The project will include: incubation space and co-working areas for start-ups and small businesses, alongside global enterprise; a new City Centre Business District and a Digital Square and Arena.

Creative Digital Cluster – Yr Egin

Lead / Partners / Joint Partners:

Lead: University of Wales Trinity Saint David

Partners: Carmarthenshire County Council, S4C

 

Funding:

Investment requested from City Deal - £5m

Match funding from other sources - £19.3m      

Total Project Value - £24.3m

 

Yr Egin will create a digital and creative industry cluster within Carmarthen, joined by S4C as the key anchor tenant and approximately 28 other digital and creative media SMEs as tenants. The centre will create a clustering effect which will create major and positive change in the creative and digital economy of Wales. This development will also contain business accelerator facilities, incubation, as well as shared spaces for interaction between each of the tenants, driving entrepreneurial development.

Centre of Excellence in Next Generation Services (CENGS)

Lead / Partners / Joint Partners:

Lead: Neath Port Talbot CBC, CC Swansea, Carmarthenshire CC & Pembrokeshire CC, Swansea University, University of Wales Trinity Saint David, ABMUHB, Hywel Dda Health Board

Partners: TATA & Swansea University (SPECIFIC project)

Funding:   

Investment requested from City Deal - £23m

Match funding from other sources - £32.5m

Total Project Value - £55.5m

 

The CENGS project will provide a data analytics capability to turn world class data into commercial systems and solutions. The Centre will bridge the gap between research and innovation and the ability to launch, develop and grow commercial opportunities Focusing on the themes of life science and energy, the core objective is to transition ‘ideas’ into private sector jobs creation and wealth generation.

Skills and Talent initiative

The City Deal will be underpinned by the Skills and Talent initiative, being led by the SW Wales Regional & Skills Partnership, which will be a key component in ensuring that local people and  businesses have the appropriate skills to benefit from each of the City Deal themes.

The delivery of the City Deal is highly dependent upon the attraction, creation and importantly the retention of skilled and talented people within the region. The Skills and Talent initiative will provide a regional approach to delivering skills focusing on specific sector skills required in order to meet the demand of the City Deal themes of ‘Digital, Health and Wellbeing, Energy and Smart Manufacturing.

INTERNET OF ENERGY

The vision is to establish the region as globally significant in the area of energy production and storage whilst addressing the challenges of fuel poverty and energy security for current and future generations.

Specifically this strand will deliver the following investments:

Homes as Power Stations

Lead / Partners / Joint Partners:

Lead: Neath Port Talbot CBC, CC Swansea, Carmarthenshire CC, Pembrokeshire CC.

Partners: Swansea University

 

Funding:

Investment from City Deal - £15m

Match funding from other sources - £502.1m 

Total Project Value - £517.1m

 

The project will create a new industry based around innovative and sustainable energy generation, combined with storage and efficiency. New technologies developed will be applied within the region, allowing homes and buildings to generate, store, and release their own energy. The project will also address fuel poverty, which remains a persistent challenge for many communities across the region.  Also a focus on broadband Internet connections and smart metering, and the potential for links to a local authority led ESCO (Energy Supply Company).

Pembroke Dock Marine

Lead / Partners / Joint Partners:

Lead: Milford Haven Port Authority

Partners: Marine Energy Pembrokeshire (META), Offshore Renewable Energy –Catapult (MEECE) and Wave Hub Ltd (SPDZ)

 

Funding:

Investment Requested from City Deal – £28m

Match funding from other sources – £48.3m

Total Project Value - £76.3m

 

The project will involve the development of a marine energy test area utilising the deep port of Milford Haven, an energy engineering centre of excellence, and a wave energy demonstration zone. By creating a cluster of resources, knowledge, and capabilities, Pembroke Marine will accelerate technology development, enhancing the sector’s success and ensuring continued investment and development in other test sites on a regional, Welsh and UK scale.

 

 

 

INTERNET OF LIFE SCIENCE & WELLBEING

The vision is to place the region at the forefront of life science innovation and to be recognised as a destination of choice for global investment and enterprise in the field of life sciences and well being.

Life Science & Wellbeing Village

Lead / Partners / Joint Partners:

Lead: Carmarthenshire County Council

Partners: ARCH Partners/Private sector investment consortium (additional partners including Coleg Sir Gar)

 

Funding:

Investment requested from City Deal - £40 m

Match funding from other sources - £159.5 m

Total Project Value - £199.5 m

The Llanelli Life Science and Wellbeing Village aims to deliver transformational social and economic benefits through delivering the full scope of the Life Science and Wellbeing Village definition, namely the integration of business development, education, wellness initiatives, research and development and healthcare initiatives. The project will consist of the following aspects:

-       The Institute of Life Science in Llanelli will cater for latent Technology Readiness Level R&D with corresponding business start-up and incubation capability, whilst also offering larger commercially available office, laboratory and clinic space for growing indigenous companies and attracting companies new to the region.

-       The Wellness Hub will house leisure and sports provision, Well-Being promotion and community and Third sector groups, as well as being a central venue for local community activities in Llanelli. The Wellness Hub will have links to other areas of the village including the Life Science and Well being Centre for example for social prescribing and expansion of exercise referral schemes.

-       The Assisted Living Village will deliver supportive care out of hospital for patients who are fit for hospital discharge and provide high quality flats and houses for those that need longer term supportive care. These properties will be highly innovative, featuring assistive living technologies to promote independent living and quality of life.

-       The Life Science and Wellbeing Centre will be a multidisciplinary environment where services can be accessed to facilitate improvement in the wellness of the population and outcomes for those already within the health system. In conjunction with this, a network of training opportunities will be developed aimed at making a significant contribution to meeting the skills shortage in the area through integrated working with the on-site health and wellbeing provision between the private, public and third sectors.

 

 

 

Life science & Wellbeing campus network

Lead / Partners / Joint Partners:

Lead: CC Swansea

Partners: ARCH partnership (ABMUHB, Swansea University, Hywel Dda UHB, Private Sector)

Partners/Private sector investment consortium

 

Funding:

Investment requested from City Deal - £15 m

Match funding from other sources - £30 m

Total Project Value - £45 m

 

The ‘Life Science and Wellbeing Campus network’ will build upon the successful Institute of Life Science initiative, providing a world-class integrated research & business incubator/park secondary/tertiary clinical, research and trials environment, and skills development centres. Life science innovation hubs and satellite sites will be created across the region, in hospital and primary care settings. This will strengthen the region’s capacity to commercialise research, attract additional inward investment, and further increase the export of high value services and goods, such as medical devices.

 

INTERNET OF SMART MANUFACTURING

The vision is to place the region at the forefront of smart manufacturing, supporting SMEs to harness the opportunities associated with the digital manufacturing revolution.

Specifically this strand will deliver the following investments:

Factory of the Future

Lead / Partners / Joint Partners:

Lead: Swansea University/Industry Consortium          

Partners: Wider Supply/Value Chain Industry Partners         

 

Funding:

Investment requested from City Deal - £10m

Match funding from other sources - £13.5m

Total Project Value - £23.5m

 

The Factory of the Future initiative will support SMEs to invest in leading edge technologies and harness the opportunities associated with the digital manufacturing revolution. The project will have:

Two physical hubs: one for fundamental research for the initiation, development and demonstration of technology solutions outside the daily constraints of industry, and one for applied research translating fundamental work into applications in the factory.

Four physical spokes: these will be themed regional technology demonstration and application spokes. The hubs and spokes will be equipped with state of the art equipment. The hubs and spokes will be operated by experts supported by world class academic and industrial researchers.

Steel Science

Lead / Partners / Joint Partners:

Lead: Neath Port Talbot CBC and Swansea University

Partners: Industry Partners

 

Funding:

Investment requested from City Deal - £20 m

Match funding from other sources - £60 m

Total project value - £80 m

 

The Centre will address the current and future challenges of sustaining primary steel-making capacity in the region and the UK, building upon the region’s centres of excellence and industrial capabilities. In doing so, it will place the region at the cutting edge of low carbon production and the utilisation of locally generated waste products such as chemical and raw materials feedstock. Steel technologists will be co-located with academic and research staff from Swansea and key UK partner universities supporting knowledge flow. This is a model that could be exported to all developed economies ensuring a vibrant, sustainable and profitable steel sector with regional and national product specialisms.


 

ANNEX B

 

 

 

 

 

 

ANNEX C