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BUSINESS PLAN2013-2016

CONTENTS

3

FOrEwOrd 4

ExECUTIvE SUmmAry 6

INTrOdUCTION: LiverpooL vision’s purpose and ambitions 10

mArkET CONdITIONS 12

ImPACT 14

ACTIvITIES 16 business growth and enterprise 18Creative and digitaL 20marketing LiverpooL 22internationaL and investment 24area investment 28 the internationaL FestivaL For business 2014 32supporting deLivery 34

rESOUrCES 36

GOvErNANCE 38

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FOrEwOrd: mayor oF LiverpooL

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as mayor of Liverpool my priorities are creating jobs and attracting investment into this great city. that is the key to securing a prosperous future for our communities. Liverpool vision is focused on making it happen.

i have been closely involved in directing vision for more than ten years. over that time it has played the key role in transforming the city centre and returning the city to the world stage. this business plan sets out how it will continue the transformation over the next three years.

the document recognises the economic challenge we face, but sets ambitious targets and shows how they will be achieved using the resources available, through a range of carefully prioritised activities. each activity is important, but i want to highlight one here: the international Festival for business 2014, which powerfully demonstrates Liverpool’s changing position on the national and international stage. as the key delivery body, iFb 2014 is the centrepiece of vision’s work in this business plan period. it will be the biggest business event in the country since the Festival of britain in 1951. throughout June and July next year businesses from around the world will come together in Liverpool to share ideas, to learn from each other and to trade. in June this year we will stage aCCeLerate 2013, a major event in its own right, with a first class line up of speakers; this will mark the start of the one year countdown to the iFb 2014, and the latest step in our long term plan to reconnect our great city with the world. turning vision into reality is what we do.

Joe Anderson

mayor oF LiverpooL

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ExECUTIvE SUmmAry

7

introduCtion: LiverpooL vision’s purpose and targets

Liverpool vision is the arm’s length economic development company for the City of Liverpool; it is a wholly owned subsidiary of Liverpool City Council. working closely with the mayor and Liverpool City Council, vision the company is designed to deliver bespoke business facing services, generating new jobs and business growth, and attracting investment.

this business plan sets out vision’s intentions for 2013/16. in this period the challenge is to help the Liverpool economy grow more quickly, at a time when national growth is forecast to be modest. vision will deliver the following key direct outputs:

• 5,400 jobs created

• 540 businesses created

• 2,200 business assists

• £500m of private sector investment attracted

the total impact of vision’s activities will be much greater than the direct outputs. the company is creating an environment for growth, generating a long term impact in both the supply and demand sides of the economy. vision also plays a huge role in transforming perceptions of Liverpool, by communicating positive messages about the city to local, national and international audiences, reaching many hundreds of businesses and opinion formers.

aCtivities

The International Festival for Business 2014

Liverpool is staging the biggest business event in the country for generations: the international Festival for business 2014 [iFb 2014]. working with partners and an internationally renowned event management company, vision is leading the development and delivery. the Festival will be staged in June and July 2014 and is set to attract 250,000 visitors. it will be a global showcase of the best of uk industry, connecting businesses to new markets, products and partners. it will play an important role in achieving the uk government’s targets to double exports by 2020 and rebalance the economy.

one year before the iFb 2014, vision will stage aCCeLerate 2013, britain’s first festival dedicated to high-growth businesses. the day will see 1,000 delegates gather at aCC Liverpool for a two-session conference with a first class line up of speakers. it will help continue the transformation of national and international perceptions of Liverpool as a place to do business, and will be a staging post for iFb 2014.

Business Growth and Enterprise

the business growth and enterprise team in vision is focused on helping existing businesses expand and entrepreneurs to start new ventures. it includes specialists in creative and digital, iCt and start-ups, giving it the ability to help a wide range of clients with different needs. the team’s work with existing businesses is focused on delivering the Liverpool element of the merseyside business support programme [mbsp], part funded by the european regional development Fund [erdF]. the programme began in summer 2012 and will run until the end of 2014, generating lifetime outputs of approximately 1,000 new jobs, more than 750 jobs safeguarded and more than 1,500 business assists. the team’s start-up managers work with individuals and groups on the modular i’m Liverpool i’m business programme. this is boosting Liverpool’s start-up rate, which is crucial if the city is to expand its business base to match its population.

Creative and digital

Liverpool has an international reputation for excellence in creative and digital industries, and vision has a track record in proving cost effective business support for the sector, through merseyside aCme. the team plays a key role in developing the sector, creating a significant number of jobs and businesses each year, including through facilitating access to international markets. the sector has great potential for growth and plays an important role in projecting a positive, vibrant and modern image for the city around the world. this helps makes the sector much more important to Liverpool than it is to some of the other uk core cities.

Opposite: production line, at Jaguar Land rover, halewood.

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International and investment

vision is leading the delivery of Liverpool’s international strategy, in partnership with the private sector, ukti, the Lep, Liverpool Chamber, the universities and aCC Liverpool. the objectives of the strategy are to generate jobs and investment by helping local companies to increased exports and by attracting international companies to Liverpool. vision’s work on this raises Liverpool’s profile as an ambitious, modern and business friendly city, by developing networks and promoting investment opportunities. Liverpool’s key target markets are London and the south east, China, the usa, india, and germany, with some engagement planned with emerging economies. this activity will continue to boost the city’s investment pipeline and will lead to an increasing number of successful inward investment cases.

Area Investment

the core purpose of the area investment team is to generate investment into the established priority areas of the city centre and north Liverpool. it will do this by working with existing businesses, networks and facilitators to create an environment that encourages investment and job creation. the City Centre strategic investment Framework and the north Liverpool and south sefton strategic regeneration Framework set out how this will be achieved, backed by annual delivery plans. the team co-ordinates and monitors the delivery of the strategic frameworks, leading the delivery of certain key projects, supporting partners in the delivery of others, working with businesses to create conditions for growth and supporting vision’s investment promotion function.

marketing Liverpool

marketing Liverpool is a new division of Liverpool vision and the city’s destination marketing organisation. its purpose is to help generate investment and job creation in Liverpool by boosting perceptions of the city as a place to invest, visit, work, live and study. a significant part of this involves changing and forming perceptions nationally and internationally, as well as locally. marketing Liverpool’s priorities include: delivering agreed marketing services for Liverpool and the city region, focused on the visitor economy initially, carried out in partnership with staff seconded from the Lep; managing the Liverpool Fund to support major events; continuing to develop the it’s Liverpool brand, as the city’s overarching place brand; managing Liverpool’s ‘city dressing’, ensuring an attractive welcome at key gateways and points in the city centre; and providing effective corporate marketing and communications support to vision and Culture Liverpool.

Governance

Liverpool vision is the arm’s length economic development company for the City of Liverpool, a wholly owned subsidiary of Liverpool City Council, limited by guarantee. the vision advisory board is composed of mayor Joe anderson (Chairman), Councillor malcolm kennedy, Councillor wendy simon and Councillor nick small. it also includes a representative of the private sector and the Chief executives of the City Council and Liverpool vision. the board sets the Company’s business plan and budget, and receives quarterly reports on performance against the business plan. members of the advisory board also form a finance sub-group to advise on financial, audit and risk management issues.

the advisory board meets four times each year, supported by regular meetings between the mayor and the Chief executives of vision the City Council. vision staff work closely with colleagues in the City Council on programme management and individual projects.

resources

the three year budget in this business plan has been prepared to maximise cost efficiencies and minimise the use of company reserves.

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OPErATIONS 12/13 Actual 13/14 Budget 14/15 Indicative Budget 15/16 Indicative Budget

£000s

Income 3,160 2,949 2,949 2,949

Expenditure 3,100 2,821 2,981 3,046

Surplus/(deficit) 157 128 (32) (97)

PrOGrAmmE 12/13 Actual 13/14 Budget 14/15 Indicative Budget 15/16 Indicative Budget

£000s

Income 5,249 5,029 1,514 1,250

Expenditure 5,626 5,085 1,670 1,406

Surplus/(deficit) (377) (56) (156) (156)

TOTAL 12/13 Actual 13/14 Budget 14/15 Indicative Budget 15/16 Indicative Budget

£000s

Income 8,409 7,978 4,463 4,199

Expenditure 8,629 7,906 4,651 4,452

Surplus/(deficit) (220) 72 (188) (253)

rESErvES 12/13 Actual 13/14 Budget 14/15 Indicative Budget 15/16 Indicative Budget

£000s

Balance B/F 1,208 988 1,060 872

Surplus/(deficit) 220 72 (188) (253)

Balance C/F 988 1,060 872 619

reserves

the table below sets out the effect that the budget will have on vision’s reserves.

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INTrOdUCTION: LiverpooL vision’s purpose and ambitions

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working closely with the mayor and Liverpool City Council, Liverpool vision is designed to deliver bespoke business facing services, generating new jobs and business growth, and attracting investment.

this business plan sets out vision’s plans for the three financial years of 2013-16. the company’s long term ambitions remain constant from its previous business plan, although the details have been refined. vision intends that the outcome of its activities by 2016 will support the mayor’s vision for Liverpool to become a 21st Century global City and the preferred choice for investment and job creation. specific activities will ensure that:

1. Liverpool is a european capital of enterprise and growth

2. Liverpool is a major international investment location

3. Liverpool has an international reputation as england’s leading cultural and visitor destination outside London

4. Liverpool’s mayoral development Zones have achieved high growth rates

this document examines vision’s operating environment, sets out challenging targets and a summary of the key activities it will undertake, supported by information about resources, reporting and governance arrangements. the plan shows continuity of purpose from previous years, and that vision has adapted to changing circumstances. it has been developed through working with private and public sector partners and has been approved by the mayor.

Opposite: planned exhibition Centre, aCC Liverpool.

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mArkET CONdITIONS

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The economy

the uk economy remains stagnant, in the aftermath of the

two recent recessions. it grew by only 0.2% in 2012 and

by 0.3% in the first quarter of 2013. evidence and analysis

suggests that it will remain fragile in the year ahead. the

european economy as a whole is likely to experience

ongoing stress, and the eurozone seems increasingly

vulnerable. this directly affects Liverpool’s performance

and prospects.

the Liverpool economy suffers from long term issues: it

has a higher proportion of public sector employment and

fewer private sector businesses and jobs than it should, for

a city of its size. whilst the impact on the city of the initial

‘credit crunch’ in 2008 was relatively modest. (Largely due

its limited exposure in the sectors most severely affected),

its performance against most key economic indicators

declined significantly in 2010/11. in that period the

number of businesses in Liverpool declined by 880, despite

the closure rate reducing – against the national trend.

Liverpool’s business density rate declined from a peak of

326.9 per thousand residents aged 16+ in 2008, to 307 in

2011, compared to the Core Cities average of 366.

there are grounds for optimism, however. official sources

show that business numbers increased by 225 in 2011/12, at

a higher rate than the Core Cities average (1.7% compared

to 1.4%), although lower than the national average (2.6%).

other sources show that this growth continued into 2012/13.

the business start up rate is now growing strongly and the

reduction in business density can partly be explained by a

significant increase in the Liverpool population. although

there are approximately 600 fewer businesses now than

there were in 2008, there are still many more than there

were in 2005. the latest figures (which relate to 2011)

show that Liverpool’s total economic output, measured

in gross value added [gva] now stands at £9.15bn. this

is the largest it has ever been. employment in most of

the key sectors is now going up. vision’s Foundations for

growth survey shows that an increasing proportion (79%)

of Liverpool businesses are confident that they will grow in

the next five years, fewer expect to make further cuts to the

number of permanent staff and 53% expect to take on new

staff. expectations of growth in the next two years vary by

sector: confidence is high in the hotel and restaurant sector

(55%), business services (51%) and other services (57%).

manufacturing (34%), construction (39%) and transport (39%)

all report much lower levels of confidence in growth.

Policy considerations

the uk government remains focused on reducing the

national deficit by scaling back public spending and

encouraging private sector growth. Local government is

undergoing fundamental change and there are serious

questions as to what extent it will be able to provide

non-statutory services by the end of this business plan

period. the public resources available to help the private

sector generate job growth will continue to reduce, as will

the number of public sector jobs in Liverpool, over the

long term. Liverpool City Council and the Liverpool City

region Local enterprise partnership [Lep] are working

to understand the full implications of this, to maximise

opportunities for efficiencies and to develop new

investment models.

Opposite: princes dock, planned Liverpool waters development.

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ImPACT

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vision sets targets for its ‘key direct outputs’ on a rolling

three year basis. Those for 2012/15 were published in

the previous business plan. Performance against them

has been good, as will be set out in the 2012/13 annual

review. This has allowed vision to increase its targets

for 2013/16. The chart below illustrates this.

the key direct outputs are a robust measure of vision’s

impact in terms of its core priorities of generating jobs,

businesses and investment. the total value is much greater,

however, as the outputs and vision’s work overall create

an environment for growth and act as a catalyst for further

investment, generating long term impact in both the

supply and demand sides of the economy. vision also

plays a huge role in transforming perceptions of Liverpool,

by communicating positive messages about the city to

local, national and international audiences, reaching many

hundreds of businesses and opinion formers. delivering

the City Centre strategic investment Framework and the

north Liverpool and south sefton strategic regeneration

Framework will attract the next generation of investment

into those established priority areas.

in the period of this business plan vision is set to:

• facilitate approximately 40 international business

delegations to Liverpool from established and

emerging markets, helping to attract inward investment

and local companies to win more international trade.

• stage targeted events attended by thousands

of businesses

• attract approximately £1.47m of erdF for

2013-15 (£800k for the merseyside business support

programme [mbsp] and £670k to help Liverpool

businesses increase exports), plus further resources

through bids that will be developed within the business

plan period

• deliver significant social impact as a consequence of

boosting the number of jobs, and through seeking

optimum social value through its procurement

vision carries out specific impact assessment work on major

projects and reports performance quarterly. in the period

of this business plan it will explore opportunities to quantify

the total impact of its activities, direct and indirect, working

with partners.

kEy dIrECT OUTPUTS 2012/13 2013/14 2014/15 2015/16 Total

2013/16 TArGETS

Jobs created 1,500 1,800 2,100 5,400

Businesses created 150 180 210 540

Business assists 500 700 1,000 2,200

Private sector investment (£m) 120 160 220 500

2012-15 targets

Jobs created 531 1,246 1,058 2,835

Businesses created 120 171 62 353

Private sector investment (£m) 57 119 118 294

Opposite: planned royal Liverpool university hospital.

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ACTIvITIES

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vision has a three year programme of activities designed

to deliver maximum economic impact. the activities are

planned in detail for 2013/14, but largely at the headline

level for 2014/16, as it is necessary to retain flexibility

whilst maintaining focus on achieving the ambitions. the

programme will be adjusted during the year, informed by

the review of 2012/13 and quarterly performance reviews.

these adjustments will be made in consultation with

the advisory board and partners, and reflected in future

business plans. the activities are presented in the following

pages, under the following headings:

• business growth and enterprise

• Creative and digital

• international and investment

• marketing Liverpool

• area investment

• the international Festival for business 2014

• supporting delivery

Opposite: everyman theatre, re-development due for completion autumn 2013.

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business growth and enterprise

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the business growth and enterprise team was established

in its current form during 2012/13, designed to help existing

businesses expand and entrepreneurs to start new ventures.

the team includes growth managers focused on particular

parts of the city, plus specialists in creative and digital, iCt

and start-ups. the staff costs are in part supported by the

european regional development Fund [erdF], which also

supports specialist consultancy for the programme. work is

ongoing to identify funding for similar activity in 2015

and beyond.

the team’s work with existing businesses is focused on

delivering the Liverpool element of the merseyside business

support programme [mbsp], supported by the erdF. the

programme began in summer 2012 and will run until the

end of 2014, generating lifetime outputs of approximately

1,000 new jobs, more than 750 jobs safeguarded and more

than 1,500 business assists.

the new www.liverpoolvision.co.uk/businessgrowth website

provides flexible access to support and is very popular.

vision also uses funding from the erdF to commission

specialist business support from external providers,

complementing the capacity in its core team. this secures,

for example, tailored advice to help local businesses

provide more low carbon and retrofit services. these

contracts ensure continued quality of specialist provision.

vision will adopt this approach wherever appropriate and

cost-effective.

as the mbsp covers the city region, vision will also

work with partner local authorities and providers to gain

maximum efficiencies from the funding, including by

providing seminars and workshops for businesses across

local authority borders, where appropriate.

boosting Liverpool’s business start-up rates is fundamental

to driving growth. start-up managers work with individuals

who demonstrate the willingness and capacity to develop

their own business, or with groups of new businesses on

the modular i’m Liverpool i’m business programme. the

indications are that vision’s work has begun to make a

significant difference, with the latest figures showing that

the start-up rate is increasing.

the team is supporting both aCCeLerate 2013 and

iFb 2014 by playing an active role in developing the

content, (including the programme of fringe events),

promoting sponsorship opportunities and helping local

businesses prepare to gain the maximum benefit. the

Festival will help the team generate greater outputs than

would otherwise have been the case. this is reflected in the

target outputs given below.

the team also provides support to colleagues handling

investment cases and works closely with marketing

Liverpool to ensure that its activities have the maximum

reach into the business community.

impaCt

• more than 2,000 jobs created

• more than 1,000 jobs safeguarded

• more than 400 businesses created

budget

£959k for 2013/14 (£290k from vision’s core programme

budget, with £498k from the erdF), plus £171k for start

up activity.

timesCaLe

ongoing; the mbsp runs until the end of 2015.

Lead direCtor

bernice Law

boosting LiverpooL’s business start-up rates is FundamentaL to driving growth

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Creative and digitaL

Top: Liverpool sound City Left: Liverpool sound City Conference. Right: milky tea digital animation.

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Liverpool has an international reputation for excellence

in creative and digital industries, and vision has a track

record in proving cost effective business support for the

sector, through merseyside aCme. the team helps create

a significant number of jobs and businesses each year, and

plays key role in developing the sector, including through

facilitating access to international markets. the sector has

great potential for growth and plays an important role in

projecting a positive, vibrant and modern image for the city

around the world. this helps makes the sector much more

important to Liverpool than it is to some of the other uk

core cities.

music and related businesses are a priority, within the

sector as a whole. vision provides expert support to help

them grow, based on many years of experience. the team

works closely with Liverpool sound City, which is focused

on a three day industry conference and music showcase

in may. this helps sell Liverpool as a business and leisure

destination to industry leaders and allows local businesses

to pitch to international contacts. the concept is being

rolled out internationally, with sound City new york and

sound City athens (georgia).

Liverpool now has an impressive range of innovative digital

business working in games, design, animation, and app

development. the city’s games development community is

more vibrant than ever and will be boosted by the opening

of the studio school in september 2013. vision is providing

specialist support for games companies, particularly those

that have emerged in the aftermath of the closure of the

sony development presence in the city.

vision has played a large part in the development of the

Liverpool digital strategy and the plan to deliver superfast

broadband in the Commercial district. the team will be

supporting the delivery of these agendas in this business plan

period. staff are also working with a newly formed national

network of digital clusters in the uk, led by tech City, and on

improving digital inclusion as part of the ‘Feel good Factory’

programme, which is part of the technology strategy board’s

delivering assisted Lifestyles at scale initiative.

the overall aim is to develop further an internationally

competitive sector through providing:

• specialist advice through mentoring, one to one

sessions and workshops.

• ongoing support for baltic Creative and the cluster of

businesses in the baltic triangle.

• a masterclass and seminar programme

• support for the kin2kin network programme, which

successfully generates work for Liverpool businesses

impaCt

• 390 jobs created

• 80 businesses created

• £10m of investment generated

• improved digital inclusion

• key messages about Liverpool as a vibrant business

and cultural destination projected to national and

international markets

budget

£200k per year

timesCaLe

ongoing

Lead direCtor

bernice Law

LiverpooL now has an impressive range oF innovative digitaL business working in games, design, animation, and app deveLopment

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marketing LiverpooL

ISSUE ONE I SUMMER 2012

In this issue

A MAN WITH A PLANWhat Mayor Anderson Did Next

THE WONDER STUFF

Creating Alternative Universes

THE LEAVING OF LIVERPOOLCruise Terminal Success

OPEN FOR BUSINESSGolf As An Economic Driver

Why the car in front is from Liverpool

FORWARD THINKING

Top: City dressingLeft: branding and design for Liverpool Literary Festival. Centre: marketing for it’s LiverpoolRight: it’s magazine, produced by marketing Liverpool

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marketing Liverpool is a new division of Liverpool vision

and the city’s destination marketing organisation. its

purpose is to help generate investment and job creation

in Liverpool by boosting perceptions of the city as a place

to invest, visit, work, live and study. a significant part of this

involves changing and forming perceptions nationally and

internationally, as well as within Liverpool.

marketing Liverpool’s priorities in this period are:

• delivering agreed marketing services in Liverpool

and the city region: this will be focused on the visitor

economy sector, initially, and thereafter broader place

marketing for the other key growth sectors. this will be

carried out in partnership with staff seconded from the

Lep, governed by a service level agreement.

the priorities will include:

- management of the visit Liverpool website and

associated activity

- overseas and domestic marketing

- events and festivals marketing

- managing Liverpool Convention bureau activity,

including managing the relationship with

aCC Liverpool

• managing the Liverpool Fund, a revolving fund

designed to support major events, and ensuring

that they are designed and delivered to achieve

the maximum impact on visitor experience and

perceptions of the city

• developing and implementing an increasingly

commercial strategy for vision, supported by

developing strategic partnerships with key private

sector organisations

• Continuing to develop the it’s Liverpool brand, as the

city’s overarching place brand, and through working

with partners to promote its values and relevance to a

range of local, national and international audiences

• managing Liverpool’s ‘city dressing’, ensuring an

attractive welcome at key gateways and points in

the city centre, branded consistently and changing

regularly

• providing effective corporate marketing and

communications support to vision and Culture

Liverpool, starting at the design stage of each activity

• iFb 2014 presents an unprecedented opportunity to

promote Liverpool and the city region as a place to do

business. the recent agreement that marketing Liverpool

will deliver place marketing on behalf of the city region

provides a major opportunity to maximise this

marketing Liverpool will boost the impact of every vision

business area, in terms of key direct outputs in the short

term and transforming perceptions of the city in the

longer term.

budget

£150k per year

Lead direCtor

Chris brown

its purpose is to heLp generate investment and Job Creation in LiverpooL by boosting perCeptions oF the City as a pLaCe to invest, visit, work, Live and study.

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internationaL and investment

Top: signing of the co-operation agreement at the india launch of iFb 2014.Left: Lord mayor of the City of London david wootton at the Liverpool in London office. Centre: greeting delegates to the iFb 2014 india launchRight: vision works closely with the mayor’s office and City Council to provide a professional and efficient service to potential investors

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vision is leading the delivery of Liverpool’s international

strategy, in partnership with the private sector, ukti, the

Lep, Liverpool Chamber, the universities and aCC Liverpool.

the objectives of the strategy are to generate jobs and

investment, by helping local companies to increase exports

and by attracting international companies to Liverpool.

vision’s work on this agenda raises Liverpool’s profile as an

ambitious, modern and business friendly city, by developing

networks, promoting investment opportunities and

identifying key targets.

in an increasingly global economy, international trade

drives economic growth. Fostering it is a priority for the

city. the number of potential markets is large and growing,

however. Liverpool must prioritise its efforts, as developing

relationships with new markets is a long term job and

resources are limited. Liverpool’s key targets are London

and the south east, China, the usa, india, and germany,

with some engagement planned with emerging economies.

this is consistent with the priorities identified by partners,

particularly ukti, Liverpool Chamber and respected

economists, such as goldman sachs. vision leads on

delivering this strategy.

Liverpool in London

London is one of the key markets in the world economy

and the most important in the uk. it provides major

opportunities for Liverpool. the “it’s Liverpool in London”

project, managed by vision, will continue to play a key role

helping to take advantage of this. the office provides a

cost effective base in the capital for Liverpool businesses.

its client list is growing steadily and feedback has been

excellent. it also helps to project key messages about

Liverpool to target businesses and individuals through its

growing network of contacts and vibrant event programme.

this helps maximise the value of marketing Liverpool’s

campaigns. the project will also play an important role in

promoting iFb 2014 to London and international audiences

much more effectively and efficiently than would otherwise

be possible. Funding has been secured to continue

operation until 2014, with the potential to extend

beyond that.

Liverpool in China and the USA

the Liverpool-China strategy is an important part of

the overall international strategy. the relationship with

shanghai is central to this, especially following Liverpool’s

presence at world expo 2010; the benefits from this include

ongoing inward investment from China into Liverpool’s

higher education sector, and from sam-wa into the peeL

international trade Centre in wirral, with strong interest

from Chinese companies in taking out tenancies in the

building. vision manages the “it’s Liverpool in China” office

in shanghai and is strengthening the relationship with a new

memorandum of understanding between mayor anderson

and the new mayor of shanghai, focused on promoting

iFb 2014. Liverpool super port and post panamax terminal

project will also be used to strengthen cooperation

between Liverpool and shanghai. the two cities will place

their respective trade and investment support agencies

at the disposal of each other’s companies, to maximise

the trade and investment links. vision also manages the

“it’s Liverpool in China business Club”, which regularly

attracts more than 60 Liverpool businesses keen to increase

engagement with China.

the usa still represents the largest source of Fdi and most

valuable export market for the uk. vision contracts with

an experienced representative in the usa, on a flexible

basis. the iFb 2014 festival director, alongside directors

from peel holdings and the university of Liverpool will

promote the festival at events in boston and atlanta in may

2013. the events will involve specially selected business

audiences and will be a crucial part of the international

marketing programme for the festival. the trip will also

involve meetings with mayors from several cities in the usa,

including inviting them to the global Leaders summit

of iFb 2014.

in an inCreasingLy gLobaL eConomy, internationaL trade drives eConomiC growth. Fostering it is a priority

26

Top: Liverpool’s relationship with shanghai is an important part of the international strategy.Left: Cologne, twin city with Liverpool. Centre: boston, venue for iFb 2014 usa event. Right: brazil, key emerging market

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Liverpool in India, Germany and emerging markets

engagement with india is becoming increasingly important

for Liverpool: the indian launch of the iFb 2014 took place

in January, at the Confederation of indian industry summit –

india’s biggest business event – in uttar pradesh. working

closely with ukti, vision and its private sector partners will

use the links forged on that visit to develop Liverpool’s

relationship with hundreds of indian businesses. this will be

vital for the success of iFb 2014 and will begin to transform

the scale of Liverpool’s trade with india.

Liverpool has strong cultural links with germany, including

through the longstanding twinning arrangement with

Cologne. establishing commercial relationships is the next

step. germany is one of the uk’s main competitors for Fdi,

but the very strength of its economy means it should be

a priority market in the drive to help Liverpool companies

boost their international trade. Liverpool Chamber is a

particularly important partner in this, given the significant

role of chambers of commerce in german business culture.

the plan for 2013/14 is to use iFb 2014 to generate more

significant engagement with the german market.

there are many opportunities to develop trading links and

promote Liverpool in emerging markets, including brazil,

russia and the ‘next 11’ countries. vision will prioritise these

and engage with them as far as possible.

Investment

vision’s work in key markets over the last two years has

generated a substantial and growing pipeline of investment

cases. the key task for 2013/14 is to bring some of these to

a successful conclusion, as well as continuing to develop the

pipeline. vision works closely with the mayor’s office and

City Council to provide a professional and efficient service

to potential investors. this involves developing bespoke

propositions for individual clients, identifying an appropriate

package of support, potential premises and information

about the city’s labour market and quality of life. the team

prepare tours for clients and showcase potential premises

and sites. the team also plays an important role in handling

international business and civic delegations, forming

relationships and helping generate further potential

inward investment.

impaCt

• approximately 2,100 jobs created and £400m of

investment generated, over three years

• increased profile for Liverpool in a key market, as an

ambitious, modern, city where businesses can thrive.

• Liverpool will be on the shortlist of many senior

figures in high profile organisations as a place to

invest and do business.

• increased numbers of Liverpool companies doing

business in key markets.

• increased international visitors to Liverpool, plus

stronger civic and cultural links.

• Long term and mutually beneficial relationships

developed in key markets

budget

a total of £451k for 2012/13, of which £181k is for

Liverpool in London.

timesCaLe

ongoing throughout the business plan period.

Lead direCtor

bernice Law

28

area investment

Top: Liverpool one.Left: Liverpool waterfront. Right: hope street, one of the great streets.

29

the core purpose of the area investment team is to

generate investment into the established priority areas of

the city centre and north Liverpool, working with existing

businesses, business networks and facilitators to create

an environment that encourages investment and job

creation. the City Centre strategic investment Framework

[siF] and the north Liverpool and south sefton strategic

regeneration Framework [srF] set out how this will be

achieved, backed by annual delivery plans. the team

co-ordinates and monitors the delivery of the strategic

frameworks, leading the delivery of certain key projects,

supporting partners in the delivery of others, working with

businesses to create conditions for growth and supporting

vision’s investment promotion function.

City centre

Liverpool city centre is at the heart of the city region’s

economy; it contributes more than half of Liverpool’s

economic output and almost half of its jobs. the ambition

is that over the next 10-15 years its transformation will

continue, delivering the six priority projects identified

in the siF, improving infrastructure and developing the

neighbourhoods. the priority areas of work will be:

• siF: producing the 2013/16 delivery plan and 2013/14

action plan, and co-ordinating and monitoring its

implementation, including by identifying funding for

projects and working towards the creation of a co-

ordinated funding regime

• key projects: supporting lead partners and

coordinating the delivery of key siF projects that

deliver economic outputs, including kings dock,

Copperas hill, Liverpool bio innovation Centre, pall

mall exchange, waterfront Connections and a review

of traffic movement and connectivity in the city centre

• investment into distinctive neighbourhoods: supporting

partner efforts to encourage investment, develop the

strengths of the distinct city centre neighbourhoods,

supporting their destination marketing and investment

propositions and maximising their contribution to

economic growth and job creation. this will involve

working with, for example, the new knowledge Quarter

mayoral development Zone board, the waterfront

business partnership and the bid Company in the

Commercial district. vision’s role will be defined and

focused around specific economic purposes

and outcomes

• great streets: producing strategic action plans,

working with partners, identifying and managing

growth opportunities and creating an environment for

investment and job growth, with an immediate focus

on the strand Corridor, dale street / water street and

Lime street

• green infrastructure plan for the city centre: developing

an action plan and coordinating its delivery. phase one

will focus on the knowledge Quarter

• st george’s transformational project: initial scoping

work leading to commissioning a masterplan

• governance: establishing governance arrangements to

oversee the delivery of the siF, including setting up and

leading the steering group; leading and supporting

project delivery groups; monitoring, coordinating

and reporting progress to the mayoral development

Corporation board, and engaging with the local

business community

North Liverpool

the north Liverpool and south sefton area is an economic

opportunity of national significance. there has been

considerable progress over the last two years in realising an

ambitious plan for the area, shared by public, private and

community partners. key milestones have been achieved

in progressing the development of major projects. the

area is immediately adjacent to Liverpool city centre, with

seven kilometres of underused waterfront extending north

to the port of Liverpool and sefton’s main office district.

this offers significant potential for growth, reinforced by the

development of the port of Liverpool with a post panamaX

facility, the delivery of a green infrastructure, plans to deliver

new business floorspace and develop the environmental

technology sector in the area, and to build the retail,

cultural and visitor offer. the ambitious vision for the area

is presented in the north Liverpool and south sefton srF.

LiverpooL City Centre is at the heart oF the City region’s eConomy; it Contributes more than haLF oF LiverpooL’s eConomiC output and aLmost haLF oF its Jobs

30

Top: visualisation of the stanley dock developmentLeft: everton Library. Centre: visualisation of the post panamax facility. Right: visualisation of the rejuvenated everton park

31

the priority areas of work will be:

• srF: completing the delivery plan for 2013/14,

including having it agreed by the Liverpool and

sefton councils

• environmental technologies: developing a proposition

to investors focused on supporting and attracting

business in the sector to remain in, or move to, the

north Liverpool City Fringe area, working with partners

• governance: coordinating and supporting the new

structures, including the north Liverpool partnership

steering group, the officer support network and

several delivery focused steering groups and project

management teams

• everton park: supporting the City Council in

developing the park, providing a new gateway to

north Liverpool, and leading on the delivery of the

destination hub, including project development and

securing funding

• site and premises acquisitions and development:

supporting the City Council in the process of acquiring

and developing sites to provide new commercial floor

space, including by identifying appropriate delivery

routes, partners and potential occupiers, and sourcing

finance. the focus will be on pumpfields and

sandhills / bankhall

• property fund: coordinating the development of a

financial incentives package, working with the City

Council, the homes and Communities agency

and Chrysalis

• rgF2 City Fringe programme: coordinating and

supporting the City Council’s management of the

programme, including the eldonians Low Carbon hub

and stanley dock development

• beautiful north: leading the delivery of the “it’s

Football” project and supporting programme

activities overall

• greenprint for growth: monitoring and promoting

the delivery of projects, including contributing to

rgF2 funded public realm projects in the City Fringe /

gateway area

• other key projects and initiatives: supporting the

progress of key projects led by partners, including

the housing renewal programme, anfield stadium

redevelopment, project Jennifer, everton Library,

imagine anfield and L2 port expansion

impaCt

• 900 jobs created as direct outputs over three

years, including 580 through the rgF ii City Fringe

programme

• the city centre will begin the next phase of its

continued transformation. over 15 years, delivery of

the projects in the siF should create more than 30,000

jobs, 15,000 of which will be during the construction

phase. the siF will lead to £1.8bn of private sector

investment matched with £1.1bn from the public

sector, contributing £740m of net additional gva to

the city region. the city centre residential population

will be increased by at least 10,000

• the foundations for the long term regeneration of

north Liverpool will be laid; the business plan period

will see significant improvements to perceptions

of the area; its environment will be materially

improved and private investment will begin to flow;

performance against economic indicators will begin

to improve

• the team’s work will boost the impact of other

business plan activities, focused in the priority areas

budget

£100k per year

timesCaLe

ongoing throughout the business plan period; detailed

actions are set out in the delivery plans for the siF and srF.

Lead direCtor

ian mcCarthy

32

internationaL FestivaL For business 2014

Top: prime minister david Cameron at the iFb 2014 launch.Left: Lord green addresses the iFb 2014 London launch audience. Centre: Liverpool vision Ceo max steinberg, prime minister david Cameron and mayor of Liverpool Joe anderson. Right: Charles morgan promoting iFb 2014

33

impaCt

• the transformation of Liverpool’s international

reputation as a place to do business, leading to a

substantial boost inward investment over the

long term

• the transformation of local perceptions about

enterprise as a career choice, leading to a

significantly increased business start-up rate

• £100m of foreign direct investment into the uk

• increased exports for Liverpool and uk companies,

contributing to meeting the government’s target to

double exports by 2020

• 250,000 visitors, generating £22m of visitor spend

• increased outputs across all vision business areas

budget

the total revenue cost of iFb 2014 will be approximately

£12m, over three financial years (2012-15), plus capital

costs of around £3m. vision has secured a contribution

of £5m from the uk government, on behalf of the city

region, and is seeking to maximise private sponsorship,

with some support from other public sources, including

european funds. given that the whole company will be

assisting with the Festival, parts of other programme

budgets will also support iFb 2013, without contributing

to the £15m costs.

over the three financial years of 2012-15 vision is

allocating around £1m from its programme budget, and

will fund aCCeLerate 2013 and 2014, plus associated

staff costs.

timesCaLe

ongoing to the end of 2014/15, with a legacy

programme in 2015.

Lead direCtor

ian mcCarthy

major business and cultural events have played a significant

role in Liverpool’s recent re-emergence on the international

stage: the city’s year as european Capital of Culture in 2008,

its award winning presence at the shanghai world eXpo in

2010, becoming the first european city to host the global

entrepreneurship Congress and staging the spectacular

‘sea odyssey’ street theatre event in 2012 were all major

successes. Liverpool is both on and part of the world stage

once again.

that is why Liverpool is the natural choice to stage the

iFb 2014, the biggest business event in the country for

generations. it will be staged in June and July 2014 and

will be a global showcase of the best of uk industry. it

will connect businesses to new markets, products and

partners, and will play an important role in achieving the

uk government’s targets to double exports by 2020 and

rebalance the economy.

vision developed the iFb 2014 concept, building on

the recommendation from Lord heseltine and sir terry

Leahy in Rebalancing Britain, their independent report

commissioned by the prime minister, and working with

partners to secure government support. vision became

responsible for leading the delivery of the Festival, on behalf

of the city region and the uk, and has made good progress

to date: it has established the delivery arrangements,

including procuring an internationally renowned commercial

partner, developed the content concepts and has begun to

sell it to the world.

on 27 June 2013 - one year before the iFb 2014 - vision

will stage aCCeLerate 2013, britain’s first annual festival

dedicated to high-growth businesses. the day will see

1,000 delegates gather at aCC Liverpool for a two-session

conference with a first class line up of speakers includes

Jimmy wales, doug richard and martha Lane Fox. the

main events will be supported by a fringe programme over

four days, helping a wide range of businesses accelerate

their growth. aCCeLerate will take place one year later,

as part of iFb 2014.

this is an unprecedented opportunity to transform national

and international perceptions of Liverpool as a place to do

businesses, to generate trade for local businesses and to

develop further a sustainable enterprise culture in the city.

the scale of the opportunity is matched by the scale of the

workload for vision and its partners. the project is guided

by an influential steering group and managed by a project

director leading a small dedicated team in vision, working

with staff across the organisation and the commercial event

partner. progress is being monitored weekly, with regular

reports to the mayor.

34

SUPPOrTING dELIvEry

35

marketing and Public relations

in addition to its programme activities, marketing Liverpool

also provides corporate marketing and public relations

services for vision itself. its objective is to help each

business area deliver maximum impact against its targets;

the team aim to do this by providing expert advice at the

design stage of any specific activity, and then through

appropriate marketing, graphics and public relations advice

during delivery. the result is to strengthen the impact of

activities across the business.

market Intelligence

effective delivery depends upon business activities being

informed by high quality intelligence, gathered and

analysed in a timely manner. vision needs to understand

the Liverpool economy, including an up to date picture

of the size and nature of the business base, its strengths,

weaknesses and trends, along with how it compares with

other cities nationally and internationally. historically,

vision has been able to commission significant pieces of

research, but it has gradually moved to more efficient and

flexible methods in the last two years. this involves the

use of some formal datasets and formal research, working

increasingly closely with the research and statistics capacity

at the City Council and other partners. much greater use is

being made of intelligence from local businesses, gathered

by vision staff. a new quarterly intelligence report will be

launched in quarter one of 2013/14, designed to present the

latest picture from a range of pertinent market sources in an

accessible format. the intention is to increase awareness of

and exposure to the latest intelligence, to shape

ongoing delivery.

Human resources and organisational development

vision has a highly motivated and flexible team of staff. the

company is focused on providing the skills and structures it

needs to deliver its business objectives, in an increasingly

fast moving operating environment. this involves

developing ever greater flexibility, as the pace of change

picks up and resource levels reduce.

individual staff members are working across team and

organisational structures to deliver specific projects; an

increasing proportion of management is carried out using

a matrix approach. vision is supporting staff in a number of

ways, including by providing time management training and

new systems to reduce duplication, and improve efficiency

and communication. For example, a new online staff

performance management system is being implemented

in quarter one. staff are consulted about key issues and

planned changes in a number of ways, including through a

formal staff Consultative Committee.

vision has recently achieved a workplace wellbeing

Charter, reflecting the active focus placed on providing

a positive and supportive working environment.

management and staff will continue to work together

to identify opportunities for further improvement, whilst

ensuring a diverse workforce and equality of opportunity.

Information Technology and data Protection

the demands on vision’s it systems are increasing each

year, reflecting the changing nature of the business,

increased working with partners and the capabilities of the

existing hardware. the potential to refresh the it capacity

will be explored during 2013/14, including considering

moving to a ‘cloud’ server function. a review of it security

was completed in early 2013, with external expert support.

this concluded that there are no significant security risks

and recommended a number of steps to improve

processes further.

a new client relationship management system was

introduced in early 2013, greatly enhancing vision’s capacity

to engage with business efficiently and effectively. this will

be rolled out across the business during 2013/14.

36

Cost Base

vision receives core operational and programme funding

from Liverpool City Council. in recent years the scale of the

economic challenge facing the city and the ambition of the

City Council, has required the investment of more resources

than the company received in core funding. this has been

achieved by using the core funding to attract additional

resources from external sources, and through the use of

significant contributions from vision’s accumulated reserves.

this use of reserves is not sustainable and must cease

during the period of this business plan. the established

target is to bring expenditure broadly in line with income.

having delivered large scale efficiencies over the last

three years, principally by reducing the core staffing

establishment during 2011-12, vision will be looking to

reduce costs still further, by reviewing supplies and services

contracts, staffing and premises costs.

Budget

the three year budget in this business plan is based on

the fundamental assumption that core funding will remain

at a consistent level throughout that period. it has been

prepared to maximise cost efficiencies and minimise the use

of Company reserves. the programme budgets have thus

been further prioritised, resulting in a reduction by £565,000

from 2012/13, to prevent further use of reserves beyond a

viable minimum.

the budget includes significant funding from external

sources – principally from the erdF, rgF and City deal; this

reflects the priority given to maximising resources. it does

not include commercial income targets at this stage; an

appropriate strategy will be developed during the financial

year and the budget adjusted accordingly.

maximisation of External Funding

vision aims to maximise the amount of funding it attracts,

from all private and public sources, including european. it

targets potential sources to bid for funds; to match its core

resources where required, aiming to effectively double its

financial capacity and enable the organisation to expand

and evolve its current core services . For example, its

current programme is partly matched against erdF.

Commercial Strategy

the recent establishment of marketing Liverpool within

Liverpool vision provides the opportunity to develop a

consolidated, coordinated, commercial strategy for the

Company during the next financial year. this approach will

be much more efficient and sustainable than the recent

focus on allocating income generation targets to individual

budget holders; it has the potential to reduce the call on

City Council resources in future years.

the income generation strategy used during 2012/13 has,

however, led vision to change its approach to contracting

for major pieces of work. vision has started to shift the

balance in how it deals with risk and reward when working

with the private sector: the arrangements established with

the event delivery partner and the sponsorship partner

for iFb 2014 involve concessionary contracts, with a profit

sharing arrangement in place with the event delivery

partner. the contracts run until september 2014, so it

will be some time before the commercial profits via this

mechanism can be achieved and evaluated.

the Liverpool in London office has delivered an early

success story in adopting a more commercial approach, by

reducing its call on City Council funding by implementing a

sponsorship / membership scheme.

moving to a more commercial approach for vision as

a whole will take time, however, and as the contractual

arrangements run for several years it is not appropriate to

include income assumptions in the budget at this stage.

Savings

the budget does not include savings against the core City

Council allocation at this stage. it is anticipated, however,

that over the period of this business plan the increasingly

commercial approach outlined above will begin to generate

profitable income, reducing the company’s reliance on City

Council funding.

Careful prioritisation and increased efficiencies have made it

possible to reduce the programme budgets by £565,000, to

get annual income and expenditure in line. vision will seek

to make further efficiencies by continuing to review regularly

its internal structures, contracts and use of information

technology.

Financial management

vision’s finance function seeks continual improvement.

Finances and procurement are managed through financial

regulations that were refreshed during 2011/12 and 2012/13,

and an up-to date set of financial control procedures,

developed with advice from the auditors. standard terms

rESOUrCES: FinanCe

37

and conditions were implemented in late 2011/12 to

minimise the vision’s exposure to risk.

a new reporting structure and suite of financial

management reports was developed and implemented

at the start of 2012/13. this ensures that budget holders,

management and governance structures have up to date

and accessible information to inform decision making. the

company is subject to an annual internal and external audit.

Formal oversight of finance, audit and risk management is

through the advisory board, advised by a finance sub-group

chaired by Councillor nick small, involving City Council

officer support and attended by vision’s external auditors.

Cost Base

Liverpool vision is the mayor of Liverpool’s economic

development company, limited by guarantee; it is a wholly

owned subsidiary of Liverpool City Council.

OPErATIONS 12/13 Actual 13/14 Budget 14/15 Indicative Budget 15/16 Indicative Budget

£000s

Income 3,160 2,949 2,949 2,949

Expenditure 3,100 2,821 2,981 3,046

Surplus/(deficit) 157 128 (32) (97)

PrOGrAmmE 12/13 Actual 13/14 Budget 14/15 Indicative Budget 15/16 Indicative Budget

£000s

Income 5,249 5,029 1,514 1,250

Expenditure 5,626 5,085 1,670 1,406

Surplus/(deficit) (377) (56) (156) (156)

TOTAL 12/13 Actual 13/14 Budget 14/15 Indicative Budget 15/16 Indicative Budget

£000s

Income 8,409 7,978 4,463 4,199

Expenditure 8,629 7,906 4,651 4,452

Surplus/(deficit) (220) 72 (188) (253)

rESErvES 12/13 Actual 13/14 Budget 14/15 Indicative Budget 15/16 Indicative Budget

£000s

Balance B/F 1,208 988 1,060 872

Surplus/(deficit) 220 72 (188) (253)

Balance C/F 988 1,060 872 619

reserves

the table below sets out the effect that the budget will have on vision’s reserves.

38

the Liverpool vision board is composed of two directors:

mayor Joe anderson (Chairman) and Councillor malcolm

kennedy. the board sets the Company’s business

plan and budget, and is supported in carrying out its

functions by a small advisory group including two other

Councillors, a representative of the private sector, and the

Chief executives of the City Council and Liverpool vision,

respectively. members of this broader advisory group also

form a finance sub-group to advise the board on financial,

audit and risk management issues.

Advisory Board members

J anderson, mayor of Liverpool

Cllr m kennedy

Cllr w simon

Cllr n small

d wade smith

g Fitzgerald (City Council Chief executive)

m steinberg (Liverpool vision Chief executive)

Company Secretary

i J mcCarthy

registered Office10th Floor the Capital 39 old hall stLiverpool L3 9pptel: +44 151 600 2900Fax: +44 151 600 2970

Company no: 06580889

managing the relationship between vision and

the City Council

the relationship between vision and Liverpool City Council

is fundamental to vision existence and successful operation.

it is managed through the following mechanisms:

• advisory board governance: both company directors

are elected representatives, advised by other

Councillors, supported by vision and City Council

officers. the advisory board meets four times each

year, aligned to the corporate business planning

reporting cycle

• an annual service agreement with the City Council

Chief executive, specifying vision’s role and targets

• City Council select committees: vision presents its

business plan and a mid-year performance report

each year to the regeneration and employment select

committee; reports on other issues are provided to

other Committees as necessary

• the vision Chief executive has regular meetings with

the mayor of Liverpool and the City Council

Chief executive

• vision’s business planning and finance staff meet with

representatives of the City Council regeneration

programmes and Finance teams each month

• staff from vision and the City Council work together

closely on a large number of individual programmes

and projects

• staff from vision’s area investment team meet with staff

from the City Council regeneration development and

planning team each month

GOvErNANCE