Jobs boom continues in Enterprise Zones

Posted on 30 March 2016 · Posted in News

Nearly 2,000 jobs have been attracted to England’s 24 Enterprise Zones in the 3 months to September last year alone – boosting employment to record levels.

Northern Powerhouse Minister James Wharton said that with 3 new Enterprise Zones and a Zone extension announced at the Budget, the scheme was destined to go “from strength to strength”.

Created 4 years ago, Enterprise Zones offer tax incentives and business rate discounts to companies who locate on them.

Today’s figures show that in the 3 months to September last year, Enterprise Zones reported 1,918 jobs – a 9% increase on the previous quarter.

It means that in 4 short years, Enterprise Zones have been responsible for attracting nearly 24,000 new jobs.

Northern Powerhouse Minister James Wharton said:

“Once again, we are seeing proof that Enterprise Zones are delivering real, tangible benefits, with jobs and companies showing significant growth.”

“In just four years, nearly 24,000 new jobs have been attracted to Enterprise Zones across the country – with jobs growth in the Northern Powerhouse even higher than the national average.”

“But we want to go even further, and the announcement of 3 new Enterprise Zones and a Zone extension in the recent Budget means this programme will go from strength to strength.”

New Enterprise Zones announced at Budget

Enterprise Zones were launched in April 2012 and are central to the government’s plans to rebalance the economy, offering world-class infrastructure and top-class growth incentives.

They cover a range of key sectors including aviation, manufacturing, renewable energy and life sciences.

The Chancellor last week announced the further expansion of the programme with the creation of 3 new zones in Cornwall, the Black Country and Leicestershire, and an extension to the existing Sheffield zone as part of the Budget.

This will see:

  • creation of a new marine renewable energy cluster at the MarineHub in Cornwall
  • creation of a new science and innovation focused cluster in Loughborough and Leicester
  • creation of a new waterfront development for business services growth in Brierley Hill in the Black Country
  • extending the advanced manufacturing offer of the Sheffield Enterprise Zone

Enterprise Zones have now attracted £2.4 billion of private investment and more than 600 new businesses across a range of key industries including the automotive, aerospace, pharmaceutical and renewable energy industry sectors.

What are the benefits of locating on an Enterprise Zone?

Businesses basing themselves on Enterprise Zones can access a number of benefits:

  • business rate discount worth up to £275,000 per business over a 5-year period
  • generous enhanced capital allowances (tax relief) worth millions to businesses making large investments in plant and machinery
  • 100% retention of business rate growth for the Local Enterprise Partnership, to enable them to fund development on the Enterprise Zone