THERE has been much brouhaha about the proposed location of the Government’s new Green Investment Bank.
This financial institution is being established to accelerate investment in the green economy and it is expected to invest £3 billion in such schemes over the next three years. Some might say that the creation of another new bank can hardly be the priority in the current climate of bail-outs and bonuses.
However, the Green Investment Bank does seem to be an innovative and genuine attempt by the Government to fund much-needed growth in projects that benefit sustainability. Initial priority sectors will be energy and waste. It is hoped that this will give the UK a critical advantage internationally in this growing economic sector.
The number of jobs actually located within the Green Investment Bank itself is relatively small.
There are likely to be between 50 and 70 employed by the bank but the profile attached to it has meant an unholy scramble in the competition to find it a home. The competition was launched last month by the Department for Business Innovation and Skills.
No fewer than 32 areas have thrown their hats into the ring ranging from the big cities such as London, Leeds and Edinburgh to smaller communities like Durham, Torbay and Bicester.
You would expect Derby to have submitted a bid and, of course, we have done so. Marketing Derby has co- ordinated a skilled team of public, private and non-governmental organisations, all backed by the city’s three MPs.
Our pitch is simple: we are a central, compact, professional business city with innovation in our DNA.
We believe that Derby offers the Government a choice that is both pragmatic (easy access to the Green Investment Bank’s potential staff and business customers) and symbolic (we are not a traditional financial centre or even one of the usual suspects for government locations).
So, what are our chances? I think they are pretty good. Let me explain why. First consider the Government’s stated intent to rebalance the economy. This means it is not likely to be looking to put any more public sector employment into areas already over dependent on the taxpayer for jobs. In my view, based on a quick glance at the list of 32 areas bidding, I would say this must rule out about 20 of them, all of whom have a significant national and regional civil servant and quango presence in the past.
Access to a sufficiently large professional talent pool has been identified as the key criteria for the Green Investment Bank. Again, this must rule out areas that are geographically isolated or with too small a travel-to-work area. By my book this rules out a further ten bidders. Which leaves two: Derby (of course you will not be surprised) plus one other (I’ll leave you to hazard a guess).
By my maths, this takes our odds up from 3% to 50% which feels so much better. With 2.1 million people living within our travel to work area, most major cities within 90 minutes, 50,000 new graduates within an hour plus a saving to the taxpayer of some £19 million if Derby is chosen, I’d like to think our case will be well received.
Published in Business Weekly, Derby Telegraph, Wendesday 8th February 2012.
