England's Regional Development Agencies
MISSION STATEMENT:
Transforming England's regions through sustainable economic
development
THIS WEBSITE WAS LAST UPDATED ON 13 FEBRUARY
2006
1
Introduction
2
History
3
Regional Economic
Strategies
4
Guidance
to RDAs on Regional Economic
Strategies 2005
5
Finance & Governance
6
New RDA Tasking Framework and Corporate Plans
7
Delivery
8
RDA Stakeholder
Survey
9
Government Offices
10
Regional
Chambers
11
RDA
Boards
12
Index of Links & Guidance
Introduction
The eight
Regional Development Agencies (RDAs) set up in the English Regions
are non-departmental
public bodies.
Their primary role,
along with a ninth RDA, the London Development Agency,
is
as strategic drivers
of regional economic development
in their region.
The
RDAs aim to co-ordinate regional
economic development and regeneration, enable the regions
to improve their relative competitiveness and reduce the imbalance
that exists within and between regions.
Under the
Regional Development Agencies Act 1998, each
Agency
has
five
statutory
purposes, which are:
- To further
economic development and regeneration
- To promote
business efficiency, investment and competitiveness
- To promote
employment
- To enhance
development and application of skill relevant to employment
- To contribute
to sustainable development
The RDAs' agenda includes regional regeneration, taking forward regional
competitiveness, taking the lead on regional inward investment
and, working with regional partners, ensuring the development
of a regional skills action plan to ensure that skills training
matches the needs of the labour market.
Map and
gazetteer of the
Regions
History
The RDAs were established
under the Regional Development Agencies Act
1998, and were formally launched in
eight English regions on 1 April 1999. The ninth, in London, was
established in July 2000 following the establishment of the Greater
London Authority (GLA). Responsibility for sponsorship of the RDAs moved
from the former DETR to the DTI in 2001.
Regional Economic
Strategies
The 1998 Act
required the RDAs to develop a strategic vision for each of
their regions, and issued statutory and non-statutory guidance to the
Agencies on the formulation of these Strategies.
The guidance encouraged RDAs to formulate clear priorities for
seeking to improve regional economic performance, and to identify
strategies for achieving them. The aim was to help to ensure that
regional opportunities are fully exploited, and that those responsible
for economic decision-taking are working effectively together,
with common goals and accepted priorities for regional development.
RDAs are obliged to review
their strategies in full every three years, and the current
versions can be viewed on their
websites.
Guidance to RDAs on Regional Economic
Strategies 2005
Guidance Document
Guide to Improving the Economic Evidence Base supporting Regional
Economic and Spatial Strategies 2005
Government Departments'
Strategic Policy Documents relevant to Regional Economic
Strategies:
Department for Culture, Media & Sport
Department for the Environment, Food & Rural Affairs
Department for Education & Skills
Department for Transport
Department of Health
Department of Trade & Industry
Department for Work & Pensions
HM Treasury
Home Office
Office of the Deputy Prime Minister
Finance
& Governance
Since April 2002,
the RDAs
have been financed through a Single Programme budget (the "Single
Pot"). This replaced the
funding programmes that existed previously, through which each
contributing Government Department's allocation was made. Money
from the contributing Departments (DTI, ODPM, DfES, DEFRA and
DCMS and UKTI)
is
pooled into one single budget. The funding, once allocated,
is available to the RDAs to spend as they see fit to achieve the
regional priorities identified in their regional economic strategies
and the challenging targets set by them in their Corporate Plans.
The framework in which
this funding is dispersed to the RDAs and the rules of
accountability on expenditure are set out in the
Financial Memorandum and Management Statement. In line with
HM Treasury guidance and various funding regimes, RDAs are
required to appraise projects using the Single
Programme Appraisal Guidance. They also need government
approval for setting up any special purpose vehicles to achieve
certain objectives.
The Regional Development Agencies are funded by six Government
Departments. Following the Spending Review 2004 the planned
contributions are:-
|
|
|
|
|
|
|
|
£M |
2004-5 |
2005-6 |
2006-7 |
2007-8 |
|
|
Trade and
Industry |
234 |
463 |
476 |
483 |
|
|
Office of
Deputy Prime Minister |
1,511 |
1,568 |
1,633 |
1,676 |
|
|
Environment
Food and Rural Affairs |
46 |
72 |
73 |
74 |
|
|
Education and
Skills |
42 |
43 |
44 |
45 |
|
|
UKTI |
13 |
13 |
13 |
13 |
|
|
Culture Media
and Sport |
2 |
6 |
6 |
6 |
|
|
Totals 1 |
1,847 |
2,163 |
2,244 |
2,297 |
|
|
|
|
|
|
|
|
|
1 Totals
do not sum due to rounding |
|
|
|
|
|
|
Source - HM Treasury – July 2004 |
|
|
|
|
|
Subsequently, with the agreement of the RDAs, the ODPM changed the
profile of its contribution to reduce its allocation by £26m in
2005-2006 and increase it by £14m in 2006-2007 and £12m in 2007-2008.
Together with
the RDAs, the Government has reviewed the allocation of the total
RDA Single Pot to ensure that each RDA has the funding it needs over
the next three years to continue to deliver success in the regions.
RDA
Allocations: 2005-08
The budgets of each RDA for the next
three years have now been agreed as follows:
|
Total RDA Allocations by Region |
£ million |
£ million |
£ million |
|
|
2005-2006 |
2006-2007 |
2007-2008 |
|
|
|
|
|
|
Advantage West Midlands |
272 |
284 |
291 |
|
East of England Development Agency |
129 |
134 |
138 |
|
East Midlands Development Agency |
156 |
163 |
167 |
|
London Development Agency |
373 |
391 |
400 |
|
North West Development Agency |
382 |
400 |
409 |
|
One North East |
240 |
251 |
258 |
|
South East England Development Agency |
157 |
163 |
167 |
|
South West of England Development Agency |
153 |
159 |
164 |
|
Yorkshire Forward |
295 |
310 |
316 |
|
Totals |
2,157 |
2,256 |
2,309 |
The
allocation of the RDA Single Pot between the individual RDAs is
determined in large part by a formula, which is agreed between DTI
and the RDAs and reflects the economic situation in each region.
The formula
uses a series of indicators as a proxy for the needs of each region,
including the needs of businesses in the region. The most up to
date data is used and a system of weightings applied to the
indicators to take account of existing funding commitments made by
the RDAs.
The weighting
of the indicators that lie behind the formula do not impact on how
each RDA determines what its priorities should be, in light of the
Regional Economic Strategy for the region and the requirements set
by Government through a Tasking Framework (see below).
Priorities are reflected in each RDA’s Corporate Plan, which sets out how RDAs
intend to use the money they have to deliver further economic growth
in their region. RDA Corporate Plans covering 2005-2008 were
approved by Ministers in July 2005.
RDA
Efficiency Plans
The Regional
Development Agencies have each produced an Efficiency Plan setting
out how they will strengthen their focus on delivery and provide
value-for-money.
In the
Spending Review 2004, RDAs committed to achieve annual efficiencies
of at least 2.5% a year in the period up to 2007-08. At least half
of these efficiencies will be cash-releasing. They will allow
resources to be recycled to priority programmes.
The Department
and RDAs has produced a Efficiency technical note setting out we
will achieve these 2.5% efficiency targets.
RDA Efficiency
Plans: Measurement Methodology
New RDA Tasking Framework and Corporate Plans
As set out in the
Devolving Decision Making Review published in
March 2004, the Government has been keen to ensure that the tasking
framework for the RDAs was more closely aligned to the priorities
identified in Regional Economic Strategies (RESs) as well as the
Government's high-level Public Service Agreement (PSA) Targets. This
reflected one of the recommendations made by the National Audit
Office in a report,
Success in the Regions, published in November 2003.
Accordingly, the DTI, working in
partnership with the RDAs and other Government Departments,
coordinated the development of a new approach to tasking, which came into effect from April 2005. The objective of the New RDA
Tasking Framework is to help Departments and the RDAs to work on
regional priorities in a way that also serves national interests
more effectively.
The
New RDA Tasking Framework requires each RDA to show in its
Corporate Plan for 2005-08, how, in support of its statutory role
and responsibilities, it will address the priorities identified in
the Regional Economic Strategy for its region and contribute to the delivery of the
Government’s PSA Targets on Regional Economic Performance,
Sustainable Development and Productivity/Rural Productivity and
through these to the delivery of a range of other PSA Targets, set
out at Annex A to the New Framework.
Corporate Plans provide full
details of how the RDAs
will allocate their budgets
to deliver progress in meeting the objectives
set
for the Agency by the Regional Economic Strategy, and how this activity
will contribute to
the
targets that the RDAs have been set. The
Corporate Plans
cover three year periods corresponding to the Spending
Reviews.
Regional Economic Indicators
UK Trade & Investment
Innovation Group
Small Business Service
Delivery
Up to March
2005, the RDAs' funding
was
tied to a framework of challenging targets. The RDAs' progress towards achieving five output milestones was
monitored and reported biannually.
Mid-year
results for 2002-2003
End-year
results for 2002-2003
Mid-year
results for 2003-2004
End-year results for
2003-2004
Mid-year
results for 2004-2005
End-year results for
2004-2005
Mid-year results for 2005-2006
RDA Stakeholder
Survey
In July
2003, the DTI published the results of regional surveys
of stakeholders' perception of the RDAs.
The surveys were conducted by MORI Social Research Institute,
the independent research organisation.
The timing
of the survey (fieldwork took place in March and April 2003) is
significant as it marks one year after the RDAs were given increased
funding and flexibilities to address regional priorities through
their Single Pot funding mechanism.
The survey provides
a benchmark against which RDAs can review stakeholders' perceptions
of their performance in improving the economic development of
regions.
The results
are positive showing that although the RDAs are relatively new organisations
their stakeholders were generally satisfied with the RDAs' performance
and felt that they were addressing the right priorities. The majority
of stakeholders thought that RDAs had been successful at developing
coherent Regional Economic Strategies and working effectively
as lead partners to deliver regional initiatives. The surveys
also highlighted the need for RDAs to work harder to communicate
clearly what they were trying to achieve and to better publicise
their activities.
To view the
MORI reports on each region's results, please click on the relevant
link below which will direct you to the Government Office website
where the reports are held.
A report summarising
the findings for the RDA network is also available below, which
is marked as "National Results"
Advantage
West Midlands results
East
of England results
East
Midlands results
London
results
One North East results
North
West results
South East results
South
West results
Yorkshire
Forward results
National
Results  (335Kb)
Government Offices
The
Government
Offices (GOs)
in
the regions support and work with the RDAs and other stakeholders
to deliver regional and national policy objectives. The GOs also
have the responsibility of being the eyes and ears of Government
Departments in the regions, in particular reporting on the performance
of the RDAs to parliament through ministers.
Regional
Chambers
RDAs are accountable
to Ministers and Parliament, but there
are
also arrangements
in place to ensure that the RDAs are responsive to regional views
and that they give an account of themselves to those with an interest
in their work. To achieve this, regional chambers were formally
designated under powers in the Regional
Development Agencies Act 1998.
The Government expects
the relationship between the RDA and its Chamber to be one of
partnership and co-operative working.
RDA
Boards
Board Members
Index of Links & Guidance
Government
Departments' Strategic Policy Documents relevant to RES
Financial Memorandum
Management Statement
Single
Programme Appraisal Guidance
Corporate Plan
Guidance
New RDA Tasking Framework
RDA Websites
|
