Food firm chief in snub to enterprise zone

WHEN Prime Minister David Cameron launched the latest wave of low tax, low regulation enterprise zones, he said it was part of a strategy “to make Britain the best place in the world to start and grow a business”.

Yesterday, one leading industry veteran David Salkeld, the chief executive of food group Symington’s, revealed that he had changed his mind about creating 100 jobs in the Leeds Enterprise Zone, because he found the development process to be “too slow, too expensive and too cumbersome”.

He has now decided to establish the factory in another part of Leeds. The precise location will be announced soon.

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Mr Salkeld said: “There were better options outside the enterprise zone. We didn’t see any benefit to being inside the enterprise zone.”

Symington’s, which has sites in Leeds and Bradford, and employs around 600 people, stressed that it still aims to concentrate its business in Leeds. A spokesman said it was fully committed to its site at Thornes Farm, which is inside the enterprise zone, where it has 100 staff.

The enterprise zones, which are bring run by the Local Enterprise Partnerships, were established by the coalition Government to encourage new and expanding businesses to grow.

In Yorkshire, there are enterprise zones covering parts of Leeds, South Yorkshire and the Humber. By locating in an enterprise zone, firms can claim business rates relief, and benefit from a ‘can-do’ attitude to planning, which aims to save businesses time and money.

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A spokesman for the Leeds Enterprise Zone confirmed that no new businesses had actually moved into the zone since it was established in April last year.

However, the spokesman highlighted the fact that the Leeds Enterprise Zone had started with largely undeveloped sites and no empty buildings. Around 40 to 50 jobs are expected to have been created in the Leeds Enterprise Zone by the spring, when work is completed on Watershed Packaging’s new manufacturing base at Thornes Farm.

The spokesman added: “We are also talking to four or five companies who are at different stages in the cycle of development.”

A Leeds city council spokesman said the enterprise zone is offering a range of benefits and support to companies with plans to expand in Leeds, such as simpler and quicker planning approvals; access to support for funding and recruitment; and access to quality sites.

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The spokesman said the zone’s successes included the new link road through the Logic Leeds development site, funded by the council, which is ‘timetabled’ by Muse Developments to start in February. Symington’s has also received approval to expand its current premises.

Since April, a number of companies have located or expanded in the Sheffield City Region Enterprise Zone. Ellbee, which is one of the UK’s biggest makers of uPVC and aluminium windows, doors and shower enclosures for the caravan and holiday home, DIY, and home improvement markets, created 60 jobs in Barnsley when it moved to the Shortwood and Ashroyd Business Parks.

The AMP Technology Centre in Rotherham has attracted 10 new occupiers, and one firm which has expanded, in serviced office and workshop space.

The Evolution@AMP site which is also in Rotherham, has attracted three hi-tech firms – X-Cel Superturn, Sarclad and Xeros.

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X-Cel Superturn has won a contract to supply precision gaskets and sealing rings in connection with a major subsea contract.

The contract, set to be worth around £6m a year for three years, means X:Cel Superturn has expanded its operations into a new 10,000 sq ft facility at the Evolution development at the Advanced Manufacturing Park (AMP) which is part of the Sheffield City Region Enterprise Zone.

James Newman, the chairman of the Sheffield City Region LEP, said: “For growing businesses looking to make significant investments in plant and machinery, our enterprise zone offers a package of benefits that cannot be matched – exclusive tax incentives, simplified planning, superfast broadband and excellent transport links.”

In December, the Humber Local Enterprise Partnership announced that the first business had moved in to the Humber Enterprise Zone. Cablescan has moved its UK operations to the BAE Systems site in Brough.

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The move from its Beverley facility to the enterprise zone will enable Cablescan, which employs 40 people, to manufacture and develop high performance electrical cable assemblies and control panels for aerospace, space, defence and commercial use.

Cablescan expects to create 10 jobs at its new site. A spokesman confirmed a number of other firms were interested in moving into the Humber Enterprise Zone.

A Department for Communities and Local Government spokesman said: “All enterprise zones have put in place their key processes and set up simplified planning regimes to accelerate development – £95m of private sector investment has already been secured; £160m of government funding directed towards infrastructure costs; and 1,300 jobs have been created in just five months.”

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