Agenda item

·                 Update on the delivery of the UK Shared Prosperity Fund Anglesey (2022/2026)

To submit a report by the Head of Regulation and Economic Development.

·             UK Government Funding – Holyhead : A culture and heritage driven transformation

To submit a report by the Head of Regulation and Economic Development.

It was agreed that the following items be considered as one item.

·         Update on the delivery of the UK Shared Prosperity Fund Anglesey 2022/2026

·         UK Government Funding – Holyhead: A culture and heritage driven transformation

The reports of the Head of Regulation and Economic Development was presented for the Committee’s consideration.

The Leader of the Council and Portfolio Member for Economic Development said that the UK Shared Prosperity Fund (SPF) was administered by Gwynedd Council as the Regional Lead Authority and the Delivery Partners monitored and regularly reviewed progress, expenditure and compliance.  He noted that grant funding has supported projects across the Island which was highlighted within the report.

He further referred to the UK Government Funding : Holyhead and noted that the Council were successful in securing funding from UK Government under the LUF Programme which will come to an end in May 2026.  He noted that there has been significant improvement to the town of Holyhead which supported projects that is highlighted within the report. 

In considering the report, the Committee discussed the following main matters:-

·     Concerns were expressed that the SPF grant will change in Wales from May 2026 with 70% capital and 30% revenue.  The Leader responded that numerous meetings have been undertaken as to the concerns of the future of the SPF grant funding.  He noted that the UK Government expects local authorities in Wales, Scotland and Northern Ireland to be able to administer projects whilst changes to the formula of funding.  The matter has been raised in the Welsh Affairs Committee in Westminster and in the Senedd as to the frustration to the difference in funding that is to occur in England.  He further said that the 22 Local Authorities in Wales have put pressure on both Governments that the aims of the SPF grant funding are unpractical to achieve at the same aims as the previous funding.  The changes to the formula of funding will inevitably result in the loss of employment associated with the SPF grant funding.  Members considered that a letter should be sent to the UK Government expressing deep concerns to the formula of funding in Wales.  Further questions were raised whether there is any clarity as to when the grant funding will be available and whether the Authority will need to seek the assistance of other bodies rather than the current partner organisations i.e. Menter Môn and MônCF.  The Chief Economic Development Officer responded that the grant funding for 2026/2027 will £3.1m in revenue and £1.1m in capital.  He noted that constant monitoring is undertaken with the partner organisations who administer the projects and feedback is received as to the number and nature of employment opportunities that have been created due to the grant funding which will be reported back to the UK Government.  Further questions were raised whether the grant funding will be required to be returned if the businesses  cease to exist.  The Chief Economic Development Officer responded that the original application for the SPF funding highlighted the estimated number of jobs the projects would attract.  The Leader said that there is a suggestion by the Welsh Government that the grant funding should be shared regionally through the CJC’s. He noted that Wales will receive £86m less grant funding as the funding has been earmarked for the Trailblazer Community Grants which this Authority does not qualify for such funding.  The Chief Executive said that lobbing of both Government has been undertaken that the funding formula is unfair in Wales.  He noted that the lack of funding will inevitably put pressure on statutory services.    

·     Questions were raised as to what assurance can be that the projects within the LUF funding will be completed.   The Chief Economic Development Officer responded that the LUF funding will come to an end in 2026.  There are a few projects that has received significant investment by Welsh Government will be completed i.e. HSBC site and the former Crown Restaurant project.  He noted that work will commence to attract capital funding but will be dependent on external funding.  The Leader said that the projects within the LUF funding will be completed and it hoped that the improvements to the building in the town of Holyhead will create employment opportunities within the businesses that will be located in the town.   

·     Reference was made that following the conclusion of the SPF Programme in September 2026, the SPF Team of the Authority plans to undertake a high-level evaluation to capture the impact of the SPF funding across Anglesey and to provide an accurate reflection of the positive difference the investment had made to communities on the Island.  Questions were raised as to whether the SPF Team can give information as to the difference the investment has made to each Ward on Anglesey.  The Chief Economic Development Officer responded that details of specific ward can be afforded to elected members.

The following recommendations as regard to both items were as follows:-

·       Update on the delivery of the UK Shared Prosperity Fund Anglesey 2022/2026

It was RESOLVED to:-

·     note the successful delivery of Anglesey’s UK Shared Prosperity Fund and the positive outputs achieved between 2022 to 2026;

·     note the implementation of Anglesey’s UK Shared Prosperity Fund in line with UK Government guidance;

·     recognise the on-going role of the Council in managing the  delivery of the funding on the Island, as well as supporting local delivery partners.

·     That a letter be sent to the UK Government on behalf of the Council, outlining its concerns and to request that they reconsider the recent changes to the Local Growth Funding as regards to capital and revenue funding grant formula in Wales which will have an impact on revenue funded post and services on Anglesey.

·     That a letter be sent to Welsh Government on behalf of the Committee, highlighting concerns as regards to clarity and implications of the CJC’s future decision-making role in relation to the Local Growth Funding. 

·       UK Government Funding – Holyhead: A culture and heritage driven transformation

It was RESOLVED to:-

·     note progress in the delivery of the UK Government funded Programme for Holyhead;

·     note the role of the Council in supporting the Programme’s Delivery Partners and the successes achieved to date;

·     note the delivery of the outcomes and outputs agreed with UK Government;

·     note the completion of projects to date and the expected completion dates of the remaining projects.