2/4/2008 - County council and Capita partnership launches new Enterprise Hub

A new job-creating initiative is being developed by Capita as part of their contract with Cumbria County Council.

The Enterprise Hub will develop long-term employment opportunities and growth within Cumbria by supporting existing agencies. Capita has committed to work with the county council, Cumbria Vision, West Lakes Renaissance and enterprise agencies to make sure current strategies and master plans deliver jobs on the ground in Cumbria. Through this approach, Capita is expanding business streams such as countryside management, starting a new planning consultancy and exploring new opportunities for consultancies in tourism, energy and sustainability.

Capita is also working closely with the University of Cumbria to develop knowledge transfer within their new faculties, assist the development of new training programmes and support their enterprise activity. 

The announcement comes alongside the county council and Capita's joint business plan for 2008/09, which will be presented to cabinet next week (April 8). The joint business plan lays out the strategic and operational targets for the coming year, as well as providing an annual report for 2007/8.

Capita will have created 650 new jobs in Cumbria against a target of 1000 jobs by 2009. Under the terms of the original contract however, Capita agreed to pay £1,000 for each job under the target. The paper being considered by cabinet therefore recommends that the county council accept an early payment from Capita of £350,000. 

Cllr Joan Stocker, Cumbria County Council's cabinet member responsible for finance, performance and resources, said: 

"The new Enterprise Hub is an exciting opportunity to deliver fresh jobs in Cumbria. Capita will be working closely with key players in the county to ensure that growth opportunities are exploited fully and long-term, sustainable jobs are delivered. The 650 new jobs Capita has created to date have already generated millions of pounds for the Cumbrian economy and the additional jobs will create further local benefit. But the time is now right to accept Capita's settlement of £350,000 for the shortfall below the 1,000 target. The county council had the option to accept a settlement in 2006, but the decision to extend the deadline until 2009 has been vindicated by the fact that 400 new jobs have been created in the last two years. Each of those jobs generates an average of £20,000 a year for the Cumbrian economy - so the decision not to accept a payment of £780,000 in 2006 has actually generated an extra £8m for Cumbria."

Capita Business Centre Director John Slee said:

"Over the last seven years Capita has doubled the size of its local business creating high-value jobs from organic growth particularly within areas such as property, highways, regeneration, a new ‘off site’ revenue and benefit unit and contract wins from a number of local clients. By the end of our 10-year contract with the county council, we will have created 650 new jobs. A lack of business opportunities in the market place nationally scaled down some of our original plans for Cumbria, including a 500-person contact centre. But in a general climate of economic decline, to deliver the local growth that we have is a real success story and has undoubtedly made a significant contribution to the local economy."

 

Notes for editors

Cumbria County Council and Capita’s 10-year business partnership runs until 2011.

Key achievements in the business partnership so far include:

- Building a new 500-seater Regional Business Centre

- Achieving cumulative efficiency savings of £7.7m

- Achieving over £7.5m in capital receipts

- Delivering a £60m capital programme

ENDS

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