Leeds and Sheffield zones will spark business growth, says Cameron

Ministers believe the new zones, along with others in Birmingham and Bristol, could create more than 24,000 jobs by 2015.

Proposals for a total of 21 enterprise zones were originally set out in the Government’s Plan for Growth published by Chancellor George Osborne alongside the Budget in March.

They will benefit from discounts on business rates, new superfast broadband, lower levels of planning control and the potential to use enhanced capital allowances.

Today’s announcement comes as the Government is under fire over the sluggish performance of the economy, with official figures this week showing that growth slowed almost to a standstill in the second quarter of 2011.

David Cameron said he hoped the roll-out of the enterprise zones would “spark business growth around the country”.

“I am determined that we should drive growth in every town, city and community in the country. For too long our economy has been dependent on just one corner of the country and too few industries,” the Prime Minister said.

“It is our dynamic businesses large and small that are on the frontline of our economic recovery and we are committed to do all that we can to ensure that they can thrive.”

Following today’s announcement Prime Minister David Cameron visited Bristol with Greg Clark, Minister for Decentralisation and Cities.

Mr Cameron visited Bristol’s creative quarter, Paintworks, where he met business leaders and the Local Enterprise Partnership board.

Paintworks - developed from the derelict remains of a former paint factory - houses media and creative companies and will fall within the boundaries of the 173-acre new Enterprise Zone.

The Prime Minister also visited one of Bristol’s most famous exports, Aardman Animations, where he met Wallace and Gromit creator Nick Park and Aardman co-founder and member of the Local Enterprise Partnership David Sproxton.

Mr Cameron ended his visit at the derelict site of a former Royal Mail sorting office, next to Temple Meads station.

The new Enterprise Zone will be called the Temple Quarter and will take in Temple Meads station itself, where a number of buildings will be redeveloped, the existing Temple Quay office park, the former railway site alongside Temple Meads, and a strip of land along Bath Road which includes Paintworks.

Mr Cameron said: “There is a great opportunity in Bristol which could bring 80 new businesses and 4,000 new jobs by 2015.

“You can see how badly it needs to happen, looking here behind me. I’m a big fan of Bristol but this is not just a good advert for the city, it’s a great opportunity for new businesses. New employment is great for the city and the country as a whole.

“What we are saying is we will cut the bureaucracy, we will cut the rates, we will help you with broadband, if you (businesses) bring the wealth and jobs and come to Enterprise Zones like this.”

The Enterprise Zone will give both established and new creative businesses access to superfast broadband, along with business support services.

Colin Skellett, chairman of the Local Enterprise Partnership, said: “David Cameron and Greg Clark came to see the site for themselves and to hear from members of our board just how we believe we can achieve the ambitious target we have set ourselves - £1 billion of private sector investment over the next five years and almost 100,000 jobs by 2030.

“We are confident we can deliver our part of the bargain as long as the Government helps us by removing obstacles to growth.”

Tony Burke, assistant general secretary of Unite, said: “The lacklustre economic policy of the coalition has taken another turn for the worse by the dusting down of the failed Thatcherite enterprise zone policy.

“This policy is no answer to the economic strategic coherence that the now abolished regional development agencies provided.

“This return to ad-hoc, Elastoplast economic tinkering is a sign of desperation by the coalition and further reinforces the case that Business Secretary Vince Cable has no overall plan to boost manufacturing industry and job creation.”