New Anglia LEP Investment Appraisal Committee
27th February 2019
9am-9.45am
The Boardroom, Norwich University of the Arts,
St Andrews House, St Andrews Street, Norwich NR2 4AE
Agenda
Committee Members
Lindsey Rix
Aviva
Cllr David Ellesmere
Ipswich Borough Council
Alan Waters
Norwich City Council
Sandy Ruddock
Scarlett and Mustard
Dominic Keen
High Growth Robotics
Tim Whitley
BT
John Griffiths
St Edmundsbury Borough Council
Exec Members
Rosanne Wijnberg
New Anglia LEP
Chris Dashper
New Anglia LEP
Iain Dunnett
New Anglia LEP
No.
Item
1.
Welcome
2.
Apologies
3.
Declarations of Interest
4.
Minutes of previous Meeting, 30 January 2019 (Confidential)
Reporting - Growing Places Fund
5.
Growing Places Fund Horizon Paper (Confidential)
Reporting - Growing Business Fund
6.
Growing Business Fund Performance Report
7.
Growing Business Fund and Small Grant Scheme - approvals
Items for Discussion
8.
Capital Growth Programme project call paper (Confidential)
9.
Changes to Norwich Area Transport Strategy Funding
10.
Any Other Business
Date and time of next meeting: Wednesday 27 March 2018. 9am-9:45am
Venue: Birketts Solicitors, Providence House, 141-145 Princes St, Ipswich IP1 1QJ
1
New Anglia Investment Appraisal Committee
Meeting Minutes (Unconfirmed)
30 January 2019, Ipswich Waterfront Innovation
Centre
Present:
Committee Members
Lindsey Rix (LR)
Aviva
Dominic Keen (DK)
High Growth Robotics
Cllr David Ellesmere (DE)
Ipswich Borough Council
Alan Waters (AW)
Norwich City Council
In Attendance
Rosanne Wijnberg (RW)
New Anglia LEP
Chris Dashper (CD)
New Anglia LEP
Iain Dunnett
New Anglia LEP
1
Welcome from the Chair
Lindsey Rix (LR) welcomed everyone to the meeting.
2
Apologies
Apologies were received from Tim Whitley, Sandy Ruddock and John Griffiths.
3
Declarations of Interest
Full declarations of interest can be found at http://www.newanglia.co.uk/about-us/the-board/.
Declarations relevant to this meeting: None
4
Minutes of previous meeting
The committee agreed the minutes of the previous meetings held on 13 November 2018 (telephone) and
21 November 2018 were a true account of the meetings held.
Matters arising from previous meeting: None
Reporting- Growing Places Fund
Growing Places Fund Performance Report
The quarterly Growing Places Fund performance report was presented to the committee. The
report was accepted as presented, with the following comments:
AW: Could the report include the type and value of jobs created and the numbers of affordable
5
houses built.
DE: Mapping of the delivery, showing the location of outputs across the region would be of benefit
to determining the impact of the programme.
Growing Places Fund RAG Rating (Confidential)
6
The committee was presented with an updated RAG rating report on the GPF programme.
Growing Places Fund Horizon Paper (Confidential)
The committee was presented with an updated Horizon report on current and potential investments
7
including forecast loan repayments and a further report on current and potential grants.
Growing Places Fund Historical projects (Confidential)
An updated list of all projects supported to date was presented to the committee.
8
Page 1 of 2
Reporting - Growing Business Fund
Growing Business Fund Performance Report
The Growing Business Fund monthly programme performance report was presented.
9
Growing Business Fund and Small Grant Scheme - approvals
The committee was presented with a complete list of the grant approvals for both the Growing
10
Business Fund and the Small Grant Scheme awarded during the 2018/19 financial year.
Items for discussion
VCSE Challenge Fund
ID presented a paper requesting a further 2 years of funding for the successful VCSE challenge
fund. It was noted that changes to the programme included a requirement for match funding by the
projects this time.
11
The IAC agreed to a further commitment of £500k grant funding from the Growing Places
Fund for the VCSE Challenge Fund, allowing a challenge fund of £250k per year. The IAC
also agreed that two LEP Board members are requested to sit on the VCSE appraisal panel.
Other
12
Any Other Business
• None
Date and time of next meeting: Wednesday 27 February 2018. 9am-9:45am
Venue: Norwich University of the Arts, St Andrews St, Norwich NR2 4AE
Page 2 of 2
Growing Business Fund Performance Report
Programme Overview - What is the Growing Business Fund?
Launched in April 2013, the Growing Business Fund provides grants for businesses to enable growth, increased productivity and job creation:
Capital grants between £25,000 and £500,000 are provided at up to 20% of project costs for SMEs and up to 30% for Small Businesses located in an Assisted Area
Funding for the Growing Business Fund is provided on an annual basis by the LEP's Growth Deal
The fund is accessed through the New Anglia Growth Hub with Due Diligence undertaken by Finance East
What is the overall Programme Status?
Finance
Green
All the funding for 2018/19 has been allocated with the fund on course to spend the full allocation
Outputs
Green
Based on applications approved to date, the fund will over perform against the targets set
Delivery
Green
A steady pipeline of high quality applications is coming through, ensuring the fund is performing well overall
What are our key updates?
Membership of the Approval Panel has been widened to ensure that it has a breadth of knowledge regarding business types and needs
The pipeline of applications has shown a decline, however, a number of high quality applications are coming forward for support
The LEP is working with partners to improve the economic value of applications coming forward, with a greater focus on higher value job creation in key sectors
What is our financial position?
Financials (£ million)
Year
2013 to 2016
2016/2017
2017/2018
2018/2019
2019/2020
2020/2021
2021/22
Total
Profile Spend
£12.000
£3.536
£3.050
£4.096
£3.000
£3.000
£0.000
£28.682
Actual Spend
£11.999
£3.001
£3.049
£4.25
£22.297
Remaining Spend
£0.001
£0.535
£0.001
-£0.152
£3.000
£3.000
£0.000
£6.385
2018/2019 Expenditure Profile
2
1
0
-1
-
Q1-18/19
Q2-18/19
Q3-18/19
Q4-18/19
Quarterly Forecast
£1.024
£1.024
£1.024
£1.024
Quarterly Spend
£0.420
£1.742
£2.086
£0.000
Variance
£0.604
-£0.718
-£1.062
£1.024
What is our contribution to the Economic Strategy?
Actual to end
Outputs April 2018 to March 2019
Target
of December
Monthly Change
Shortfall
Notes
2018
Value of grants approved
£3,540,000
£3,031,901
£192,535
£508,099
On track to meet target
Value of private sector match approved
£14,160,000
£62,050,484
£770,139
-£47,890,484
Target exceed during July 2018
Number of New Jobs to be Created
354
295
6
59
On track to meet target
Value of grants claimed
£3,540,000
£4,251,917
£0
-£711,917
Target met
Private sector match funding drawn down
£14,160,000
£27,315,317
£0
-£13,155,317
Target met
Number of New Jobs Created
354
259.5
34.5
95
On track to meet target
What is the project status?
The following table shows grants approved by sector since the start of the programme in 2013/14
Number of
Projects
Grants
Private
Total Project
Sector
Approved
Approved
Match
Costs
Jobs to be Created
A - Agriculture, Forestry and Fishing
2
£180,000
£794,946
£974,946
46
B - Mining and Quarrying
1
£100,000
£1,654,600
£1,754,600
10
C - Manufacturing
109
£13,056,080
£86,580,217
£99,636,297
1450
E - Water supply, sewerage, waste management and remediation activities
3
£230,000
£998,000
£1,228,000
23
F - Construction
15
£1,086,486
£5,231,673
£6,318,159
142
G - Wholesale and retail trade; repair of motor vehicles and motorcycles
22
£2,280,502
£49,699,325
£51,979,827
342
H - Transportation and Storage
7
£588,614
£2,962,444
£3,551,058
85
I - Accommodation and Food Service Activities
4
£262,000
£1,052,138
£1,314,138
34.5
J - Information and Communication
9
£685,700
£3,409,616
£4,095,316
70
K - Financial and Insurance Activities
1
£30,000
£79,425
£109,425
3
M - Professional, Scientific and Technical Activities
17
£1,631,372
£11,466,472
£13,097,844
180.6
N - Administrative and Support Service Activities
19
£1,848,771
£10,067,136
£11,915,907
224
P - Education
1
£20,000
£102,191
£122,191
4
Q - Human Health and Social Work Activities
1
£31,580
£126,320
£157,900
3.5
R - Arts, Entertainment and Recreation
6
£432,439
£2,868,045
£3,300,484
47.5
S - Other Service Activities
2
£320,000
£4,737,413
£5,057,413
32
Total
219
£22,783,544
£181,829,961
£204,613,505
2697.1
What are the next steps?
Revision of guidance and support provided by the Growth Hub is currently taking place, with a focus on high value activity, both terms of jobs and business growth
The Growth Hub are now targeting 1,300 SMEs that may benefit from grant support, to unlock business growth and increase productivity
9
Growing Business Fund Approvals (April 2018 - December 2018)
Grant
Match
Total
Jobs
Broadway Colours Ltd (2)
£40,000
£160,700
£200,700
4.0
Panel Graphics (2)
£64,414
£290,872
£355,286
4.0
Computer Service Centre
£265,800
£1,446,200
£1,712,000
25.0
Renvale Limited
£184,552
£1,510,977
£1,695,529
10.0
Warren Services Ltd. (4)
£32,000
£176,000
£208,000
2.5
Food Forensic Limited
£36,980
£219,220
£256,200
6.0
Omega Ingredients Ltd (3)
£40,000
£160,000
£200,000
2.0
Advanced Engineering (UK) Ltd
£98,600
£394,400
£493,000
6.0
Pecksniff's Bespoke Fragrances and Cosmetics Ltd
£202,500
£1,822,500
£2,025,000
14.0
Gnaw Chocolate Limited
£25,330
£101,319
£126,649
2.0
Ponders End Investments PLC
£179,239
£928,354
£1,107,593
36.0
BCMZ PrecisionEngineering Ltd
£74,500
£298,000
£372,500
4.0
Netmatters Limited
£37,500
£337,500
£375,000
4.0
Glowcroft Ltd
£38,742
£161,716
£200,458
3.0
LDH La Doria
£500,000
£41,100,000
£41,600,000
99.0
Mirus Aircraft Seating Ltd (2)
£140,000
£596,400
£736,400
7.0
Vanilla Electronics (2)
£39,994
£159,976
£199,970
2.0
TBI Manufacturing Ltd (2)
£69,500
£278,807
£348,307
4.0
DB Sheet Metals
£60,000
£328,750
£388,750
3.0
Zedbox UK Ltd
£120,000
£485,000
£605,000
6.0
Westover Vets Ltd
£126,000
£1,317,000
£1,443,000
12.6
Optima Stainless Ltd.
£264,900
£1,133,600
£1,398,500
14.0
Condimentum Limited
£391,350
£8,643,193
£9,034,543
25.0
Spectra Packaging Ltd
£74,486
£297,944
£372,430
4.0
Stephen Walters and Sons Ltd
£118,049
£472,195
£590,244
2.0
£3,224,436
£62,820,623
£66,045,059
301.1
10
Small Grant Scheme Approvals (April 2018 - December 2018)
Grant
Match
Total
Jobs
Clerkin Civils Ltd.
£20,630
£82,521
£103,151
2
Mitra Innovation
£3,301
£29,714
£33,015
Alpha Inclusion Ltd.
£5,150
£20,600
£25,750
Polstead Joinery (2)
£6,090
£24,360
£30,450
2
Prosynth ltd.
£5,920
£23,680
£29,600
Niagri Engineering Ltd.
£14,793
£59,174
£73,967
2
Captain Fawcett Ltd.
£5,249
£21,000
£26,249
1
OpenContact Direct Marketing Ltd.
£3,861
£15,449
£19,310
WeType Ltd.
£2,000
£8,000
£10,000
2
3 Norfolk Square Ltd.
£5,544
£12,937
£18,481
Purple Line Ltd.
£21,600
£86,400
£108,000
Storacall Technology Ltd. t/a X-on
£24,958
£99,833
£124,791
2
Attwells Solicitors LLP
£7,020
£16,380
£23,400
Insight Ecology Ltd.
£3,083
£12,335
£15,418
Needham Fabrications Ltd.
£20,422
£81,688
£102,110
Joseph Read Lighting Ltd.
£11,215
£56,349
£67,564
Agricultural & Mechanical Services Ltd t/a Agrimech
£6,100
£24,400
£30,500
2
Pump Street Chocolate Ltd.
£25,000
£100,000
£125,000
R&B Plastering (2)
£2,171
£8,685
£10,856
1
Edmund & Sedgwick Ltd.
£1,815
£7,260
£9,075
My Sofa Covers Ltd.
£2,000
£8,320
£10,320
Abate Ltd (2)
£13,975
£55,898
£69,873
Richard Western Ltd.
£2,372
£21,348
£23,720
R&S Budds Ltd.
£9,468
£37,876
£47,344
Global Plant Genetics Ltd
£1,705
£3,979
£5,684
TSI Structures Ltd
£23,100
£92,400
£115,500
Asams Ltd (2)
£14,461
£33,743
£48,204
Screenworks Ltd
£11,489
£45,955
£57,444
Cargo Secure Ltd
£25,000
£125,000
£150,000
1
Canham Consulting Ltd
£2,388
£9,555
£11,943
Lark Technology Group Ltd
£6,464
£25,856
£32,320
2
Prosynth Ltd (2)
£1,597
£6,388
£7,985
BD&H (4)
£22,900
£91,600
£114,500
2
Griffith Elder & Co Ltd
£24,600
£98,400
£123,000
2
Dodman Ltd
£3,680
£14,720
£18,400
EV Driver
£3,284
£13,158
£16,442
Jordan Leisure Systems
£3,200
£12,800
£16,000
1
Norwich Gas Electric Oil & Water Ltd
£8,452
£33,808
£42,260
Sharing Parenting
£1,086
£4,346
£5,432
Real Bodies Health & Fitness Ltd
£9,088
£36,353
£45,441
2
Exo Environmental (2)
£1,123
£4,492
£5,615
2
Torros Ltd
£11,010
£44,040
£55,050
2
Dunhams Washrooms Systems
£24,072
£96,289
£120,361
TTV Industrial Ltd
£25,000
£152,756
£177,756
Padgate Consulting Ltd.
£2,911
£11,644
£14,555
1
Bevan Davidson International Ltd
£7,300
£29,200
£36,500
6
Developing Experts
£25,000
£105,000
£130,000
2
Food Innovation Solutions
£13,538
£54,152
£67,690
2
Indigo Swan Ltd
£7,073
£28,296
£35,369
6
RKE Engineering Ltd
£7,750
£31,000
£38,750
Cornelius Group
£6,302
£25,208
£31,510
2
3 in One Services
£13,550
£54,200
£67,750
11
Small Grant Scheme Approvals (April 2018 - December 2018)
Grant
Match
Total
Jobs
Keronite Group Ltd
£19,882
£79,529
£99,411
2
RD Castings Ltd
£5,642
£22,572
£28,214
CW Logistics Ltd
£20,048
£80,193
£100,241
3
Black Shuck Ltd
£4,705
£18,820
£23,525
Liquid 11 Ltd
£10,053
£23,458
£33,511
2
Coffee House No 5
£11,156
£44,627
£55,783
2
Merxin Ltd
£14,901
£59,607
£74,508
Plandesci Ltd
£4,295
£17,180
£21,475
Diamond Garage LTd
£24,300
£56,700
£81,000
Smart Refinish Ltd
£9,000
£21,000
£30,000
Libra Scale Ltd
£25,000
£124,500
£149,500
2
Crafted Media Ltd
£4,652
£18,610
£23,262
4
Import Export Support LTd
£4,900
£19,600
£24,500
Diss Coverings (Mary Gibson)
£2,679
£10,717
£13,396
1
MD Controls Ltd
£4,229
£16,918
£21,147
1
Excite Solutions Ltd
£6,258
£25,032
£31,290
2
MacRefresh Ltd
£11,500
£46,000
£57,500
2
B&B Skip Hire Ltd (2)
£24,573
£98,295
£122,868
Dhotel Patisserie Ltd
£3,763
£15,052
£18,815
Cox's Boatyard Ltd
£6,000
£24,000
£30,000
STR Service Centre
£24,559
£100,000
£124,559
KVT Business Case
£2,230
£8,920
£11,150
1
Alex Stanlake Animation & Design
£1,483
£5,933
£7,416
Flameskill Ltd.
£16,372
£38,200
£54,572
Armour Engineering Ltd.
£2,256
£9,028
£11,284
1
OneSite Building Products Ltd.
£6,600
£15,400
£22,000
1
Petrotech UK Ltd
£10,381
£41,526
£51,907
1
DFC Precision Engineering Ltd.
£23,837
£95,348
£119,185
1
Slim Glass Ltd.
£8,000
£32,000
£40,000
Adaptainer Ltd
£6,384
£25,534
£31,918
1
Elmdale Welding and Engineering Supplies
£9,600
£38,400
£48,000
£860,097
£3,431,244
£4,291,342
74.00
12
New Anglia Local Enterprise Partnership - Investment Appraisal committee
Wednesday 27th February 2018
Agenda Item 9
Growth Deal: Funding Changes within Norwich Area Transportation Strategy (NATS)
Transport Packages
Author: Jonathan Rudd
Summary and Recommendation
The Investment Appraisal Committee is requested to:
1. Approve the reallocation of Growth Deal funding within the NATS A11 Corridor Package;
a. utilising a £395,000 underspend from the A11 Daniels Road Junction Improvement
and Scheme Development toward the Wymondham to Hethersett Cycle Link.
b. a further £100,000 from the A11 Daniels Road Junction for an extension to the
Wymondham to Hethersett Cycle link, part of a bid toward the Transforming Cities
Fund.
2. Recommend to the LEP Board the Transfer of £415,000 from the NATS A11 Corridor
Package (underspend on A11 Daniels Road Junction) to the NATS City Centre Package
to balance an overspend on the Dereham-Guardian Road Junction and Roundhouse Way
Transport Interchange.
Background
Prior to the Growth Deal capital programme, the Department of Transport delegated
responsibility for allocating funding for capital transport projects to the Norfolk and Suffolk
Local Transport Body (LTB), an unincorporated entity. The LTB was subsequently subsumed
into the LEP as a sub-committee of the LEP Board with the LEP executive responsible for
managing local capital transport projects. The LTB operated a two-stage approval process
which incorporated DfT requirements; an initial assessment as part of the appraisal on new
projects prior to Growth Deal Programme entry and a further approval of constituent schemes
on completion of the design stage involving a proportionate Business Case.
On 21 Nov 18, the LEP Board agreed to amalgamate the Local Transport Body and Board
into a single forum with greater emphasis on developing and implementing the Integrated
Transport Strategy Delivery Plan. This included the transfer of responsibilities for reviewing
projects, approving and recommending investment decisions to the Investment Appraisal
Committee (IAC).
The Norwich Area Transportation Strategy (NATS) is a Growth Deal project, approved by the
LEP board in 2015. It was originally promoted as a city-wide collection of schemes, but at the
1
31
request of Government it was divided into two separate packages; one for the City Centre and
a second for the A11 Corridor.
The two NATS packages have proven difficult to deliver, with significant delays incurred
through a mixture of land purchase, planning permission, difficult design and public
consultation. Costs for the City Centre package have also risen. In its feedback to NCC
following a rejected application for additional funding toward the NATS City Centre package,
the LEP reiterated the possibility of covering the cost overrun from the likely underspend in the
NATS A11 package and stated that “the LEP Board would be happy to receive a formal
proposal to this effect”.
A formal proposal was submitted to the LTB on 23 Feb 18, to balance an underspend on one
scheme (Daniels Road Junction Improvement) and overspend on another (Guardian Road
Junction Improvement). The LTB recommended to approve the transfer of £350,000 from the
NATS A11 Corridor Package to the NATS City Centre Package. On 21 Mar 18 the LEP Board
approved this transfer of funds between packages. The current composition and funding
allocation for the two NATS Packages is as follows:
NATS City Centre Package (£7.350M) - principally to improve connectivity and
accessibility within the core retail and business district by removing through traffic from the
city centre, but retaining access to car parks, businesses and other premises. The
package comprises of:
o Phase I; Chapelfield North scheme (pre-Growth Deal),
o Phase II (£2M); Golden Ball St, Westlegate, All Saints Green, Ber Street &
Finkelgate
o Guardian Rd Junction (£1.9M); with A1074 Dereham & A140 Sweetbriar.
o Roundhouse Way Bus Interchange (£0.45M); Northwest of A11 junction.
o Phase III (£2.6M); Prince of Wales Road, Rose Lane and Agricultural Hall Plain.
o Salhouse Road Bus Rapid Transit (£0.4M).
NATS A11 Corridor Package (£3.825M) - focussed on the A11 corridor, to connect
Norwich city centre to growth areas in the south west including at the Norwich Research
Park, University and Hospital cluster, Cringleford, Wymondham and Hethersett:
o Part 1 (£2.175m);
UEA Bus/Transport Interchange upgrade,
Eaton Centre to Newmarket Rd south slip Rd cycle facilities,
Toucan crossing on Newmarket Rd between poplar Ave & Unthank Rd,
Cycle link extension from Hethersett to Wymondham (off-carriageway),
A11 North slip road - Cringleford cycle track,
Scheme Development.
o Part 2 (£1.65M); Junction improvement at A11 (Daniels Rd) & Outer Ring
(Newmarket & Mile End Roads).
1.
Reallocation of Growth Deal funding within the NATS A11 Corridor Package.
Introduction. The Highways Team at Norfolk County Council (NCC) has requested the
reallocation of a £495,000 between schemes within the NATS A11 Transport Package for the
following reason:
Delivery of the Wymondham - Hethersett Cycle Track is forecast to cost £395k more
than the initial forecast, and a planned extension to the scheme seeks £100k of local
match to support a bid to the Transforming Cities Fund.
2
32
Delivery of the A11 Daniels Road Junction Improvement is now forecast to cost £750k
less than the previous forecast.
£175k allocated to Scheme Development is no longer required for the remaining
elements of the package.
Good progress is being made on delivery of the Wymondham - Hethersett Cycle track with 2
of the 4 construction phases now complete, with construction underway on the remaining 2
phases. All works funded by Growth Deal are planned to be complete by the end of March
2019.
The cycle path has required construction works outside a large number of dwellings, which all
require bespoke accommodation works to ensure it does not cause flooding to private
properties or hinder access. This proved significantly more complex, costly and time
consuming to construct, the which was only determined during detailed design. Delays in
construction over the winter period and significant traffic management in the form of temporary
traffic lights and associated resourcing have also proved expensive.
Delivery. Work to the A11 Daniels Road / Outer Ring Road (ORR) scheme to increase A11
capacity will now involve amendments to existing signal-controlled junctions. Traffic modelling
highlighted additional gains to be made by amending the signal-controlled junction at Colman
Road / South Park Avenue and installing staggered pedestrian crossings at locations on Mile
End Road / Colman Road between South Park Avenue and Daniels Road roundabout.
This scheme was presented at the December 2018 Norwich Highways Agency Committee
(NHAC) meeting and approval was given to consult on these proposals. This is currently
underway. Subject to approval at the NHAC meeting, construction work would start in late
summer-2019. An estimate for these works indicates a total spend of approx. £900k, and
thereby a saving of £750k against the Growth Deal budget.
Funding. Part of the saving from the A!! Daniels Road Junction improvement to be transferred
to the Wymondham - Hethersett Cycle Track, as follows:
Scheme
Growth Deal
Forecast Cost
Variance
Allocation
Scheme development
£175k
£0
-£175,000
A11 Daniels Road / Outer Ring Road
£1,650k
£900k
-£750, 000
Wymondham - Hethersett Cycle Route Phases 1-4
£1,300k
£1,695k
+£395k
Wymondham - Hethersett Cycle Route Phase 5,
0
£100k
+£100k
(supporting bid to Transforming Cities Fund)
Remainder:
-£430k
Link to Economic Strategy. These transport packages were incorporated into the Growth
Deal before publication of our Economic Strategy for Norfolk & Suffolk. The Key benefits are
as follows:
Daniels Road Junction. Aims to reduce delays experienced by bus passengers and
general traffic on Newmarket Road (A11) and ensure the ring road remains sufficiently
free flowing. This will benefit all modes of transport on this key corridor linking the city
centre with the radial routes to the south-west of Norwich where growth is planned at
housing and employment sites in Cringleford, Hethersett and Wymondham, as well as
further afield at Thetford.
Wymondham to Hethersett Cycle Path. Will provide dedicated off-carriageway cycle
facilities to the Wymondham growth area. It will tie into the existing cycling provision at
Queens Road Hethersett, which forms part of the longer distance route connecting with
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the Blue Pedalway and will provide a link between the residential areas of Wymondham
and Sprowston to the north of Norwich City.
2. Transfer of £415,000 between NATS Packages.
Introduction. The Highways Team at NCC has requested the reallocation of a £415k of funds
between the two NATS packages for the following reason:
Delivery of the Guardian Road junction improvement, part of the NATS City Centre
Package, is now likely to require a further £120k more than the previous forecast of
£2.25M.
The Roundhouse Way Bus Interchange is forecast to cost an additional £295k
Conversely, delivering the Daniels Road scheme within the NATS A11 Package is forecast
to release £430k of I GD allocated funding.
NCC initially raised the likely overspend on the Guardian Road junction back in October 2017,
and the possibility of covering the cost through virement from the NATS A11 was discussed. A
formal proposal was submitted via the LTB on 23 Feb 18, who recommended to approve the
transfer of £350,000 from the NATS A11 Corridor Package to the NATS City Centre Package.
This transfer was approved by the LEP Board on 21 Mar 18.
Delivery. The Guardian Road scheme was significantly more complex than first envisaged,
with additional costs related to drainage, utilities and traffic management. The revised junction
is performing well, with queues largely eliminated at all times of the day. Journey times have
been reduced and congestion has been eased considerably. Positive feedback has been
received from a wide range of stakeholders. Accounts are being finalised and a funding
shortfall of £120k is forecast.
Work on the Roundhouse Way Bus Interchange started on 18 Feb 19 and will complete mid-
May 2019. There were significant delays in negotiating a successful transfer of land to NCC
from a consortium of land owners, and the final costs for design and legal fees were higher
than anticipated. The presence of a gas, electricity cables and ducting at the site, which only
became clear at an advanced stage of design, required changes and an amendment to the
planning permission, adding resource time and associated cost. Due to concerns raised by
the nearest residents and a need to minimise environmental impacts, additional costs were
needed to move trees within the site, as well as undertaking additional landscaping and other
mitigation measures. Additional costs are calculated as £295k.
Funding. The saving from Daniels Road Junction scheme in the NATS A11 package to be
reallocated to the NATS City Centre Package to meet the increased costs of both Guardian
Road Junction and Roundhouse Way Bus Interchange as follows:
Scheme
Growth Deal
Forecast Cost
Variance
Allocation
Guardian Road Junction
£2,250k
£2,370k
+£120k
Roundhouse Way Bus Interchange
£400k
£695k
+£295k
Saving A11 Daniels Road / Outer Ring Road
£415k
£0
-£415k
Link to Economic Strategy. These transport packages were incorporated into the Growth
Deal before publication of our Economic Strategy for Norfolk & Suffolk. The Key benefits are
as follows:
Guardian Road Junction. This scheme will improve connectivity and access within
Norwich; reduce congestion and journey times for businesses and commuters, improve
bus reliability and conditions for pedestrians and cyclists, and bring forward growth.
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Roundhouse Way Transport Interchange. Provides significant benefits to public transport
users travelling to the Norfolk and Norwich University Hospital (NNUH), University of East
Anglia (UEA) and the Norwich Research Park (NRP) from the A11 corridor, as its avoids
the need to travel into the city centre and back, saving around 25-40 minutes per journey,
Summary and Recommendation
The Investment Appraisal Committee is requested to:
1. Approve the reallocation of Growth Deal funding within the NATS A11 Corridor Package;
a. utilising a £395,000 underspend from the A11 Daniels Road Junction Improvement
and Scheme Development toward the Wymondham to Hethersett Cycle Link.
b. a further £100,000 from the A11 Daniels Road Junction for an extension to the
Wymondham to Hethersett Cycle link, part of a bid toward the Transforming Cities
Fund.
2. Recommend to the LEP Board the Transfer of £415,000 from the NATS A11 Corridor
Package (underspend on A11 Daniels Road Junction) to the NATS City Centre Package
to balance an overspend on the Dereham-Guardian Road Junction and Roundhouse Way
Transport Interchange.
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