Regeneration: a green and derelict land

August 01, 2001

Business-led boost for countryside.

HRH The Prince of Wales has challenged all businesses to play a full part in the economic and social regeneration of the countryside. He was speaking at the launch on July 24 of a new BITC Rural Action Campaign, which focuses on three rural regeneration themes:

• building enterprising communities, especially helping new entrepreneurs and community leaders;

• strengthening market towns;

• supporting local sourcing, by creating market demand for locally produced foods.

The campaign is led by a group of companies covering food manufacturing, banks and brewers – including HSBC, Sainsbury’s, ScottishPower, Spar and Consignia. They will also pioneer a ‘rural impact assessment’ to test the the effect that their current policies and practices have on rural communities. Contact Graham Russell, BITC, on 0117 923 8750 (http://www.bitc.org.uk)

Northern Rock responds to Foot and Mouth.

One company reacting to the needs of the rural community following the Foot and Mouth epidemic is Northern Rock. As the largest financial institution in north east England, the company announced in early June that it is setting aside a £1.2 million fund to help support rural communities in the North East and Cumbria, with a focus on projects that:

• help small rural services, such as village halls and community centres;

• offer advice on welfare services and other types of provision for communities hit by the epidemic;

• regenerate the local rural economy.

The Foundation, with an annual budget of £10.5 million, may prolong its present aid package into 2002 as part of its ongoing Urban and Rural Regeneration programme. Contact Fiona Ellis, Northern Rock Foundation, on 0191 284 8412 (http://www.nr-foundation.org.uk)

Tesco promotes days out.

The supermarket, Tesco, recently took on the guise of travel agent, using its marketing capabilities to promote tourism in the countryside. In association with the East of England Tourist Board, the company issued a million leaflets through its stores during June to boost the tourism industry. Each of the ‘Great Days Out’ leaflets featured 150 special offers for visitors to attractions and events in the region. Contact Fiona Mason, Tesco, on 01992 6322 222 (http://www.tesco.com)

Outcomes are proof of money well spent.

A two-year study of the Barclays’ community renewal programme, Sitesavers, concludes that a new set of indicators focusing on the outcomes of regeneration projects- not just inputs and outputs – is needed. Prove It!, published on July 11 by the New Economics Foundation, recommends a selection of ‘social energy’ performance measures, such as the confidence, trust and connections in communities, by which the long-term impact of projects ought to be judged. Contact Sanjiv Lingayah, NEF, on 020 7407 7447 (http://www.neweconomics.org)

London set for economic revamp.

Business representative bodies, the London Chamber of Commerce, CBI and TUC, are all backing the objectives of a new economic development strategy for the capital. Launched by the London Development Agency on July 17, the strategy sets four principal objectives: economic growth; knowledge and learning; diversity, inclusion and renewal; and sustainable development. Key action points include new initiatives to deliver local jobs and redevelopment around the City fringe, possibly with an Urban Regeneration Company. Contact Anita Williams, LDA, on 020 7680 2042 (http://www.lda.gov.uk)

Tackling financial exclusion.

Representatives from the UK’s leading financial institutions met residents from disadvantaged communities on June 13 to discuss financial inclusion. Co-ordinated by the Joseph Rowntree Foundation, the meeting highlighted the importance of national institutions linking up with local organisations to provide community-tailored solutions. According to a report released by the Foundation that day, an estimated 1.5 million British households make no use of high street banks, with a further 4.4 million on the margins of financial exclusion. The report argues that no single policy can act as a panacea for financial inclusion, but solutions need to be developed at local levels.

Meanwhile, a report by the New Economics Foundation – The state of community development finance – published on July 11, says over £500 million in capital is controlled by community banks that provide financial services for those currently excluded by the high-street banks. Contact David Utting, JRF, on 020 7278 9665 (http://www.jrf.org.uk) or NEF on 020 7407 7447 (http://www.neweconomics.org)

Comment

After the devastation caused by the foot and mouth crisis, it was inevitable that pressure would mount for a business initiative to help rural areas. And it’s true they have long been the poor relation in the regeneration family. Billions have been pumped into inner city areas over past decades, with debatable benefits (though of course rather more people live there than in the sparse countryside). Interesting to note, therefore, that the government is pursuing a different tack to inner city regeneration: Treasury minister, Paul Boateng MP, confirmed during July that plans for a tax credit scheme for deprived neighbourhoods are being worked up, apparently delayed to broaden their scope.

Meanwhile for the rural areas, a business leadership team is calling on all companies to rally round. It’s hard not to feel pessimistic, if only because the business case is not apparent. Some firms do sell to whole regions or country wide, and they have joined in, with some notable exceptions. But ask most BITC member companies, and it’s a fair bet only a small percentage could identify a direct interest in the rural agenda. That’s not to say they can’t help at the margin, like Tesco and tourism, or Barclaycard extending its sponsorship of the FA Premier League to promote a tourism website, to attract international football fans to visit the UK.

Indeed supermarkets make an interesting special case, along with their suppliers (interesting, incidentally, to see Lord Haskin from the major supplier, Northern Foods, has accepted a poisoned chalice to become the prime minister’s rural affairs co-ordinator). Is more local sourcing really viable? It runs counter to the whole cost-cutting trend of recent years. One small suggestion: why not adapt a cause-related marketing idea and offer local/regional produce with a cost mark-up if necessary, and see if consumers will pay a premium to save the countryside?

 

Comment

After the devastation caused by the foot and mouth crisis, it was inevitable that pressure would mount for a business initiative to help rural areas. And it’s true they have long been the poor relation in the regeneration family. Billions have been pumped into inner city areas over past decades, with debatable benefits (though of course rather more people live there than in the sparse countryside). Interesting to note, therefore, that the government is pursuing a different tack to inner city regeneration: Treasury minister, Paul Boateng MP, confirmed during July that plans for a tax credit scheme for deprived neighbourhoods are being worked up, apparently delayed to broaden their scope.

Meanwhile for the rural areas, a business leadership team is calling on all companies to rally round. It’s hard not to feel pessimistic, if only because the business case is not apparent. Some firms do sell to whole regions or country wide, and they have joined in, with some notable exceptions. But ask most BITC member companies, and it’s a fair bet only a small percentage could identify a direct interest in the rural agenda. That’s not to say they can’t help at the margin, like Tesco and tourism, or Barclaycard extending its sponsorship of the FA Premier League to promote a tourism website, to attract international football fans to visit the UK.

Indeed supermarkets make an interesting special case, along with their suppliers (interesting, incidentally, to see Lord Haskin from the major supplier, Northern Foods, has accepted a poisoned chalice to become the prime minister’s rural affairs co-ordinator). Is more local sourcing really viable? It runs counter to the whole cost-cutting trend of recent years. One small suggestion: why not adapt a cause-related marketing idea and offer local/regional produce with a cost mark-up if necessary, and see if consumers will pay a premium to save the countryside?

COMMENTS