Subject: Economic Development, Culture, Sport and Tourism Committee 2005/06 scrutiny work programme

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1 Subject: Economic Development, Culture, Sport and Tourism Committee 2005/06 scrutiny work programme Report Number: 5 Date: 24 May 2005 Report to: Report of: Economic Development, Culture, Sport and Tourism Committee Director of Secretariat 1 Recommendation 1.1 That the Committee considers and agrees its scrutiny work programme for 2005/06. 2 Background 21. The Economic Development, Culture, Sport &and Tourism Committee was established by the Assembly at its Annual Meeting on 11 May The new Committee will take forward the economic development and culture, sport & tourism remits of the former Economic Development and Planning Committee (the planning remit will be taken forward by a new Planning and Spatial Development Committee, also established on 11 May). 2.1 At its inaugural meeting on 30 November 2004, the former Economic Development and Planning Committee agreed that it should be very focused and clear about what it wanted to do. The aim should be quality rather than quantity. Scrutiny work should be relevant to large numbers of Londoners; contain fresh information; include recommendations which are focused, realistic, achievable and measurable; and be designed to make a difference to the lives of the people that Members have been elected to represent. 2.3 The Committee also agreed that it should aim to be working on three scrutiny projects at any one time with clear proposals for the next three meetings ahead but with sufficient flexibility to allow it to switch or introduce new committee business to respond timely to any London events or unforeseen issues relevant to the Committee s remit. 2.4 At its last meeting in City Hall on 1 March, the former Economic Development and Planning Committee agreed its rolling work programme through to September. The Committee also discussed the potential number of Committee meetings to be held in 2005/6. Members City Hall, The Queen s Walk, London SE1 2AA Enquiries: minicom:

2 agreed in principle to hold eight meetings provided the work programme justified the additional meetings. Members were keen to ensure that the two additional meetings should only be held provided that key topics needed to be scrutinised, rather than to fill each meeting slot. After discussion it was agreed to ask officers to propose a schedule of eight meetings for the forthcoming year to the Committee s next meeting on 24 May with the proviso that if there was insufficient business to justify a meeting that meeting would be cancelled 2.5 The rolling work programme agreed on 1 March was as follows: 1 March hearing: new casinos in London work programme to July 2005 terms of reference for apprenticeships scrutiny 5 April apprenticeships scrutiny site visit 24 May 2005/06 work programme hearing: apprenticeships 12 July hearing: LDA (to be confirmed) 6 September hearing: tourism 15 November topic to be agreed 31 January topic to be agreed 14 March topic to be agreed 3 Scrutiny projects for 2005/ Members are invited to consider and agree scrutiny projects for 2005/06 from those detailed below (and from any scrutiny projects proposed by Members at the meeting), and to agree the year s work programme. 3.2 In addition to the Committee s ongoing scrutiny projects (London s night time economy, access to the labour market for the over 50s, new casinos, and apprenticeships), paragraphs 3.4 to 3.28 contain details of: ongoing programmed projects where a decision on focus needs to be taken: o LDA project monitoring (marketing & promotion, innovation, Creative London or London's film industry) o tourism (hotel accommodation or Outer London) ongoing non-programmed projects previously agreed by the Committee but not yet programmed: o childcare proposed new scrutiny projects: o London 2012 Olympic Games bid o The Thames Gateway 3.3 Members should: - 2

3 agree which LDA project to monitor agree which tourism option to scrutinise agree the Committee's approach to dealing with the London 2012 Olympic Games bid agree any other scrutiny projects to be undertaken this year agree the programme for scrutiny projects this year (there are five Committee meeting slots remaining for the year ahead: 12 July, 6 September, 15 November, 31 January and 14 March. If the Committee decides that additional meetings are required, two further meetings could be accommodated in mid-october and at the end of February) LDA project monitoring (ongoing programmed project) 3.4 The Committee agreed on 1 March to undertake a scrutiny on a LDA project at its meeting on 12 July. Following a meeting with the Chair, the LDA has produced a briefing paper on three areas: Marketing and Promotion; Innovation; and Creative London, to help the Committee identify a suitable LDA project to scrutinise. Members should decide on which of the projects outlined below to examine in detail: Marketing and promotion 3.5 Marketing and promotion has been identified as a key investment theme in the Mayor s Economic Development Strategy (EDS). The LDA s role is to ensure a coherent approach to the marketing and promotion of London and maintain its position as a top international destination for tourism, study and investment and as the principal gateway to the rest of the UK. The LDA has identified the following areas where it can add value to and build on the marketing and promotion of London: inward investment; international trade; higher education; tourism; and major events. Funding for marketing and promotion is included in individual project and programme budgets rather than standing alone. The EDS identifies the following objectives in marketing and promotion: ensure a coherent approach to marketing and promoting London; co-ordinate effective marketing and promotion activities across London; maintain and develop London as a top international destination and principal UK gateway for visitors, tourism and investment Innovation 3.6 Innovation (provisional 2005/06 budgets LDA 7.7m, ODPM 2.8m). The LDA s innovation programme comprises: Jumpstart, a two year and 5.4 million Euro programme led by the LDA London Innovation Unit, offering up to 50% of project costs with a maximum of for London-based Small Medium Enterprises (SMEs) to connect with Higher education Institutes (HEIs) or Research and Technology Organisations (RTOs), up to to inspire London s minority business communities to improve access and uptake of innovation and up to 1 million to strengthen and enhance new and existing networks to promote London as a centre for innovation and strengthen engagement of businesses in innovation; gateway2investment (g2i) is a new 3 year support initiative launched by the London Development Agency at the recent London Innovation Conference It will help drive the technology investment market place in London. The three year initiative aims to increase the number and accelerate the growth of early stage technology ventures in London. The programme offers: access to leading technology investors to help formulate business strategy and structure; workshop and services focused on raising the - 3

4 quality of your proposition before meeting investors; access to a wide range of self assessment, diagnostic and support tools and guidance on navigating the wide number of the technology networks in London. Creative London 3.7 Creative London (LDA 2005/06 budget 8m). Creative industries in London employ over half a million people, generate over 20billion in turnover and display one of the fastest growth rates of job creation than in any sector. In April 2004 the LDA established Creative London, to enhance London s reputation as a leading international center of creativity and to encourage further creative businesses to locate in London. Creative London supports a number of initiatives, including the development of ten creative hubs across London. The hubs provide flexible workspace, training, mentoring, exhibition, showcasing, marketing and networking facilities, and are planned for East London, Deptford/Greenwich, Islington/ Hackney/Tower Hamlets, Haringey/Wood Green, Camden/Kings Cross, Notting Hill/North Kensington, Ealing/Acton/White City, Brixton/Elephant and Castle, Croydon and the Lower Lea Valley. London s Film Industry 3.8 Within the creative industries, film and media generate many new jobs and businesses. Film companies spent 319 million in London on location work in the first six months of The LDA provided 3.2 million to establish Film London, a new strategic agency to encourage the future growth of the industry. Film London is a LDA joint initiative with the Film Council, Skillset and the GLA, and it supports film production, increasing audience numbers and promoting London as an ideal location to the world s film makers. 3.9 In August 2004 the LDA acquired the Three Mills Studio and associated property interests including the adjacent Sugar House Business Centre and Sugar House Lane properties (18.65 acres) for 23million (inc fees) as part of its strategic site assembly within the Lower Lea Valley. The studios are used for television and film productions and other related activities. The Committee could undertake a scrutiny to consider and evaluate the work the LDA is undertaking to encourage the future growth of the film industry. Tourism (ongoing programmed project) 3.10 Tourism is a key element of the London economy representing 10% of London's Gross Domestic Product with a market value of 15 billion and employing 350,000 people. Tourism has been hit hard in recent times but latest figures from Visit London show that there are signs of a recovery with growth in the numbers of overseas visitors The Committee agreed on 1 March to undertake a tourism scrutiny at its meeting on 6 September and officers were asked to prepare tourism scrutiny options for consideration by the Committee. Two tourism scrutiny options have been identified, Outer London Tourism and Hotel Accommodation, and these are outlined below. Hotel Accommodation 3.12 This year, the Capital s visitor economy is forecast to have its best performance since On the back of a 14% jump during 2004, overseas visits are estimated to rise by a further 3.5% to 13.85m and overseas visitor spending is estimated to increase by over 3% to 6.65bn in In contrast, domestic visits are estimated to remain flat and a decrease in - 4

5 spending predicted. Overall, total visitor numbers are expected to reach 27.35m and spending is likely to be 9.35bn in The huge increase in visitors since 2004 has led to a rise in demand for hotel accommodation in London. Compared to the rest of the UK, hotels in London are significantly outperforming their regional rivals. Average daily rates are above 100, while occupancy levels are running close to 75% The LDA has carried out research into hotel development and the conditions around which supply can be increased. This work highlights a number of barriers that they are working to overcome such as market information, planning and quality initiatives The LDA has not conducted any specific evaluation work on the quality of hotel accommodation in London. However, tourists and the tourist industry have raised concerns about the significant number of poor quality hotels, which may impact on London s potential to attract repeat visitors. Both the Mayor s Tourism Plan and the LDA s Action Plan highlighted the need to address the issue of poor quality accommodation in London The LDA is aiming to improve the quality of the small to medium sized visitor accommodation product in order to enhance the visitor experience of London. They are establishing an Accommodation Quality Programme in partnership with Visit London, DCMS, Visit Britain, 33 London Boroughs, AA and RAC, to ensure that 80% of all visitor accommodation in London is quality assessed by the National Quality Assurance Scheme, the AA or the RAC by If this option was selected for the Committee's tourism scrutiny project, the Committee could focus on the quality, standard, accessibility and affordability of hotel accommodation to establish what affect this is having on the number of visitors and the quality of their experience in London. The scrutiny could: raise the awareness and profile of accommodation quality, standard, accessibility and affordability as issues affecting visitor perceptions of London and as a result, the future visitor economy; look at the partnership working between the LDA, Visit London, London Boroughs and other stakeholders regarding accommodation issues and the LDA s Accommodation Quality Programme; ascertain what are the experiences of visitors to London and what improvements could be made regarding quality, standard, accessibility and affordability of accommodation in London. Outer London Tourism 3.18 Tourism in London is a huge generator of jobs and wealth and is a key part of the City s economy accounting for around 10% of GDP. Total tourism spending in London amounts to 15bn p.a. However, the vast majority of that visitor activity and spend takes place in a few square miles of Central London The LDA has developed sub-regional strategies to disperse these economic benefits to outer lying areas and relieve central areas with high visitor volumes. To date, the LDA has launched Tourism Strategy and Action Plans for the following sub regions: - 5

6 South London (launched 22 September 2004) East London (launched 28 September 2004) West London (launched 1 March 2005) North London (launched 28 April 2005) The remaining strategy, for the Central London sub-region, is under development The LDA has Sub Regional managers who work on the following: to deliver the London Tourism Action Plan by developing a local programme of activities that is based on local needs and characteristics, e.g. East London Tourism Development Strategy; to encourage the wider dispersal of visitors and the economic benefits of tourism by embedding sub regional product in Visit London marketing campaigns, e.g. the Festival Month campaign; to promote a consistent application of tourism policies across London Boroughs and share best practice, e.g. Visitor Information Provision; To encourage and support the development and delivery of local tourism plans, e.g. North London Marketing Action Group If this option was selected for the Committee's tourism scrutiny project, the Committee could test the LDA on how well it is meeting its tourism dispersal objectives, even though the four Tourism Strategies have not been in place for very long. This could include testing the LDA regarding its: engagement with the boroughs and other stakeholders to deliver these strategies, action plans, local tourist plans and programme of activities; sharing of best practices across London; and, joint working with Visit London on their funding and marketing strategy to promote more tourism in outer London, which would encourage a wider dispersal of visitors and economic benefits outside of central London. London 2012 Olympic Games Bid (proposed new project) 3.22 The decision as to which city will host the 2012 Olympic Games will be announced by the International Olympic Committee (IOC) in Singapore on 6 July Should London be awarded the Games it is expected to lead to major improvements in the economic, housing, transport, sporting and environmental character of the Thames Gateway leaving a substantial legacy for a new community in some 3,600 new homes as well as facilities for the rest of London. Should London not win the bid the Mayor has said that many of the proposals to improve transport and regenerate parts of East London will still take place, but at a slower pace Members suggested this scrutiny topic at the 1 March meeting, and it is proposed that the Committee should use part of the 12 July meeting to consider the impact of this critical IOC decision (either way) on regeneration proposals in the Thames Gateway and the implications of this for the Committee s work over the coming year. Preparatory work for this meeting will also be of use for the Assembly Plenary meeting on 13 July should the Assembly decide this is an opportunity to question the Mayor on the issues for London should the bid succeed or fail. - 6

7 Childcare (ongoing non-programmed project) 3.24 Having children has more impact on women s employment rates in London than in the UK as a whole 54% of women with children in London are in paid employment compared with 65% nationally. The issue is even more acute for Inner London. The Government s target to increase employment rates of lone parents to 70% (London rate currently 39%) will exacerbate the childcare situation. Support for the childcare sector also offers a source of sustainable local employment opportunities and provides viable opportunities for social & community enterprise formation. 30,000 new childcare workers are needed in London by 2006 to meet the need for an additional 90,000 places (DfES estimate) this is a direct link to LDA tier 3 target of people into jobs The Mayor launched London s Childcare Strategy Towards affordable good quality childcare for all in November 2003 acknowledging that affordable accessible childcare is important to all who work and live in London. As the lead RDA on Childcare, the LDA is working to create more affordable childcare places across the Capital and to close the childcare gap. The Committee may undertake a scrutiny to look at issues around the provision of childcare across London, focusing on LDA s childcare work. As this work is still in the early stages of development, the Committee has agreed to considered this issue later in the year when LDA s childcare schemes and initiatives reach a more advanced stage. Thames Gateway 3.26 Thames Gateway is London s biggest regeneration and development opportunity. The Mayor published the Thames Gateway Development and Investment Framework in April This includes a target of 91,000 new dwellings to be built in the area during the period A legitimate scrutiny topic for the Committee would be to assess housing delivery in the Thames Gateway, including consideration of the relationship between housing and other sectors, particularly transport and infrastructure. It is considered that the Committee would need to hold two hearings to do justice to this complex topic. GLA Corporate Plan 2005/ Appendix A to this report contains extracts from the Mayor's objectives in the GLA Corporate Plan 2005/08 relevant to the Committee's economic development and culture, sport & tourism remits Members may wish to refer to this in selecting potential scrutiny projects for 2005/06. 4 Strategy implications 4.1 This report relates to the Committee s programme of meetings and inquiries, some of which may be relevant to the Mayor s strategies and will assist the Assembly in fulfilling its wider role of investigating issues affecting Londoners. - 7

8 5 Legal implications 5.1 Under S.59 of the Greater London Authority Act 1999 (the Act) the Assembly shall keep under review the exercise by the Mayor of the statutory functions exercisable by him and for that purpose may investigate and prepare reports about actions and decisions of the Mayor and staff of the Authority, matters relating to the principal purposes and statutory functions of the Authority and any other matters which the Assembly considers to be of importance to Greater London. 5.2 To facilitate its purpose, the Assembly has powers under S.61 of the Act to require the attendance of witnesses and the production of documents. 5.3 Under S.55 of the Act the Assembly may establish committees for the purpose of discharging its functions and under S.54 may arrange for any functions exercisable by it to be exercised on its behalf by a committee or sub committee of the Authority or by a single member. 5.4 Where the Assembly decides to do so, the Assembly may submit a proposal to the Mayor. 6 Financial implications 6.1 Any costs arising from this proposed programme can be met from within the 2005/06 Scrutiny Programme Budget. Background documents: Economic Development & Planning Committee work programme: Report 5 to ED&P 30 Nov 2004: Economic Development & Planning Committee work programme: Report 5 to ED&P 1 March 2005: Contact Officer: Richard Linton

9 appendix A ED&P 2005/06 work programme report 24 May 2005 extracts from the Mayor s Corporate Plan 2005/8 Implementing the Culture Strategy Culture Strategy team work with the London Cultural Consortium and other key players to implement Mayor s Culture Strategy Develop a series of campaigns and promotions to showcase London s cultural institutions and creative industries Continue work to diversify the boards of London s key cultural institutions under GAIN report In partnership with Film London implement and monitor action plan to make London more film friendly and promote network of film festivals in London Celebrating London s diversity and creativity Work with partners to develop a programme of events and festivals that contribute to the profile of London as a centre of cultural and creative diversity and extend support for smaller festivals and events that celebrate cultural and religious diversity and promote equality Implement an agreed programme of 4 th plinth public art commissions on Trafalgar Square Work with LDA to deliver initiatives to promote creative industries. Sport Work with LDA to complete Wembley Stadium and secure long term future of Crystal Palace Work with Sport England and sports organisations to develop a programme of activities encouraging participation in sport Co-ordinate the work on London s Olympic and Paralympic Bid to ensure London makes an effective case to IOC. Regeneration and renewal Work with LDA to develop sub-regional economic development plans which contribute to Mayor s Economic Development Strategy Sponsor and support Mayor s Sustainable Development Commission Work with LDA to ensure links are made between neighbourhood renewal programmes and work of LDA Work with LDA regarding the impact of regeneration funding on BME communities Tourism Monitor implementation of 3 year action plan for tourism Work with Visit London and LDA to deliver a strategy to attract a wide range of major world and national events to London Work with LDA, Visit London and stakeholders to improve physical access for visitors to London and work towards co-ordinated and accessible information about access to tourist facilities as mainstream provision - 9

10 Research and develop proposals for a culture card with aim of introducing a London Culture Card featuring promotions to London s institutions Childcare Work with LDA and partners to deliver Mayor s childcare strategy Ensure Mayor s strategies and policies address issues affecting children and champion interests of children across all policy areas identified in Mayor s Children and Young People s Strategy Tackling skills gap Ensure Mayor s priorities are progressed through Regional Skills Partnership particularly with regard to refugees, asylum seekers, women, single parents and BME communities Supporting women in London s economy Develop and progress a programme of work on women in London s economy including issues faced by women from BME communities Anti-discrimination at work Work with LDA to deliver an effective anti-discrimination campaign aimed at London s employers including work to influence the construction sector Wages Work with LDA to establish a Living wage Unit to monitor cost of living and levels of wages and salaries in London - 10

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