The Mayor of London and Chair of London Councils have welcomed £58m of new Government funding that his team will use to help create thousands of new jobs.
The money will be spent on developing schemes that will help the capital’s employers generate new jobs and provide Londoners with the skills to fill them. Providing the jobs and skills to support soaring population levels in the capital is crucial and the new funding is on top of a £236m ‘Growth Deal’ for London that was signed off with the Government last year.
The London Enterprise Panel, which is chaired by the Mayor, is at the heart of those plans and they will now consider where best to allocate the new funds, which have the potential to support up to 2,400 new jobs.
The Mayor of London and Chairman of the London Enterprise Panel, Boris Johnson, said: “This extra cash will deliver real change and new opportunities in communities across the capital. We’ve got some fantastic proposals in the pipeline that will not only reinvigorate our town centres and colleges, but help people to learn, earn and fill thousands of new jobs.”
Chair of London Councils, Mayor Jules Pipe said: “Boroughs are hoping to use the £20million for London’s high streets to build on existing programmes which help traders adapt to the changing needs of shoppers and the local community.
“They are also looking forward to the opportunity to invest in more affordable space for start-ups, so they have somewhere to set up and grow their business.
“All in all, this funding will help keep the economic lifeblood of London flowing, which will benefit everyone, while the £38 million will help young Londoners better prepare for the labour market.”
The Growth Deal for London runs for six years from 2015 to 2021. With the new funding in place the deal has the potential to generate a total of £190m of new public and private investment in London and up to 8,000 jobs.
Of the £58m announced today around £38m will be used to support colleges and further education in the capital. The remaining £20m will be used to support the creation of new jobs on the capital’s high streets.
The Government plans to make another £5bn of funding available nationwide over the period of the Growth Deal and London will be bidding for a share. Over 48 organisations have already bid for shares of the funding that was announced last year. The bids now being considered would help provide learning and skills across a variety of sectors including digital skills, science, engineering, health and child care.
The London Enterprise Panel is due to announce which organisations will receive that funding later this year.
Deputy Chairman of the London Enterprise Panel, Harvey McGrath, said: “The release of capital funding for London’s further education estate is a huge step forward in ensuring providers are delivering the skills that London’s residents and businesses need.
"We are now working with providers, London’s boroughs and businesses to build a pipeline of projects for the next three years, and look forward to discussing further years of funding through future Growth Deal funding rounds.”
Notes for editors:
The £58.1m expansion of London’s Growth Deal announced today means that the Deal is now worth £294.1m to London.
The new funding will provide:
• Funding beyond 2016/17 for the LEP’s programme of capital investment in colleges and skills facilities, helping Londoners gain the skills that employers need, including in growth sectors such as the digital and creative sectors.
• A competitive programme to continue the revitalisation and diversification of London’s High Streets and employment areas providing jobs, workspace and improved infrastructure.
This adds to the projects that were announced in July 2014, including:
• £55m for 15/16 and an indicative £65m in 16/17 for iinvestment in a competitive programme to improve colleges and further education facilities in London, supporting the London Enterprise Panel’s priorities for jobs and growth.
• Funding for an additional programme to raise levels of digital skills.
• Agreement that the Government and London Enterprise Panel will work together to explore how resources can best be used to help deliver apprenticeship opportunities in London.
• An increase in the Apprenticeship Grant to Employers from £1,500 to £3,000 for small to medium sized enterprises in London employing a young person aged between 16 to 24.
• Work to enhance the National Careers Service in London, including: extension of the National Careers Service face-to-face provision to disadvantaged 16 to 19 year olds not in employment, education or training supported by London’s European Structural and Investment and Youth Employment Initiative Funds; and Government working with London to help ensure local employer priorities are fed into the operations of the new National Careers Service providers.
• Pilot programmes to explore new ways to support hard to reach groups into sustained employment.