Hull partnerships creating enteprise in the Yorkshire and Humber region

The Hull Enterprise Partnership is aimed at pre-start up businesses to provide support, including free business workshops, one-to-one mentoring and support with funding applications for local employers in the private and social enterprise sector and people considering self employment. The project is delivered through a city-wide partnership of four voluntary and community sector organisations including the nationally recognised social enterprise charity, the Goodwin Development Trust.

Over the last three years, the council and its partners have developed the capacity to deliver major integrated regeneration programmes, working together to develop an economic vision and strategy for Hull.

Creating jobs

For example, the St Stephen’s development in the centre of the city has created 1,268 new jobs against its target of 2,500. Postcode analysis reveals that 80 per cent of the jobs created went to local people and 68 per cent of jobs went to those in target areas.

In addition, the Acorn Fund has provided £5.25million in funding since it was established, and this will be boosted in 2009/10 by a Working Neighbourhood Fund (WNF) grant of £500,000 per annum over two years (with the possibility of a third year). There has been a 93 per cent survival rate over 12 months for businesses supported by the Fund, and 87 per cent overall for the life of the Fund.

Prior to 2002, Hull was a city that had faced economic decline for decades. Problems including negligible physical regeneration and investment, a workforce lacking basic skills and a low number of people qualified to degree level had a real impact on enterprise and business development in the city. It underperformed in terms of business creation and unemployment figures were historically higher than the national average. These factors, in conjunction with job losses in the manufacturing sector, meant the city faced challenging times.

Looking forward

However supported by Hull Forward, the city’s economic development company and One Hull Business Forum, the business arm of Hull’s local strategic partnership, Hull City Council has risen to the challenge in a focused and competitive way. The partnership is well established, robust and flexible to anticipate and react to economic change. Whilst having specific roles playing to individual strengths, each partner focuses on a shared objective – to drive enterprise in the City, whatever the sector, field or business.

Hull City Council’s Acorn Fund, launched in October 2004, offers grants and loans to encourage business start-ups and growth in young businesses. It supports proposals where there is a funding shortfall or the applicant is unable to obtain finance from conventional sources.

The Local Work Guarantee is a new project which helps unemployed people to access long-term jobs linked to training and pays wage subsidies to employers participating in the scheme. The project will help 1,500 people to gain short-term employment over the next three years, with 900 of these expected to secure a long term employment contract.

World Trade

Hull’s World Trade Centre is the UKs first and gives businesses in the city and wider region access to specialist information and services to help them address international markets. Since its official opening in June 2008, the World Trade Centre has had over 330 enquiries, 69 of which have been received directly through the World Trade Centers Association network from Mexico, Nigeria, Poland, Italy, Ireland, the United States and Japan. The Centre has also recently hosted delegations from India and Qatar. Since opening, the World Trade Centre has assisted 109 local businesses.

The new high street in St Stephen’s has created a vibrant community in the city centre, providing a wealth of cultural, retail, leisure, employment and training opportunities. It has also introduced new brands, new architectural accreditation, new people visiting the city and investor visits. The scheme is home to the acclaimed Hull Truck Theatre Company and a new music school, the Albemarle Music Centre for Hull’s young people.
The development has also delivered signficant new retail and leisure opportunities, including 50 new retail units and leisure facilities that include a cinema, restaurants, children’s play centre, casino and a 120-bed hotel. VAT registration figures show year-on-year increases in the number of companies being established with 4,865 registrations in 2008 against 3,980 in 1998.

Xing Health

One of the success stories of the partnership is Xing Health, set up by local residents Simon Long and Phil Benson. As students, Simon and Phil struggled to get anything healthy to eat while on campus. That was until they went to study in America where they were introduced to a smoothie bar. They loved the freshly made smoothies so much they became passionate about making the same healthy choices available to their friends back in the UK.

After graduating in summer 2006 they raised £12,000, partly by working the summer in a pea factory but also receiving support from the John Cracknell Youth Enterprise Bank and the University’s Knowledge Exchange Graduate Entrepreneurship Fund. They bought a mobile cart and began trading at outdoor events and a university sports centre. They learned firsthand what products students liked, what prices they were prepared to pay and how to get their attention.

Their reward was permission from the students union to build a flagship smoothie bar in the main union building. They now have smoothie outlets in Hull, Liverpool and York. With the trend towards healthy living, they have plans for further expansion in the future.

Enterprise champions

Hull City Council intends to continue the wide promotion of success stories throughout the city, championing enterprise and the wide resurgence of the pioneering spirit in Hull today to encourage others. There are a growing number of individuals who are regularly acclaimed and encouraged to talk about their journey; they act as ambassadors for success in the city and as motivators to other up-and-coming entrepreneurs.

As well as real enterprise, Hull has clearly demonstrated promise for the future, optimism for good fortune and a winning spirit that is as infectious as it is inspirational.

Impressed by the winners of the Yorkshire and Humber region? Find out more about Enterprising Britain 2009.