Councillor Ruth Gordon, Cabinet Member for Placemaking, and Local Economy, approved the acceptance of significant grant funding to support employment and skills initiatives, and allocated substantial funds to create new workspace for small and medium-sized enterprises (SMEs) in the borough. The meeting also saw the approval of the Opportunity Haringey Workspace Fund, which will support three specific projects aimed at increasing affordable creative, music, and community co-working spaces.

UK Shared Prosperity Fund People and Skills Grant

Councillor Gordon approved the acceptance of £807,302 in UK Shared Prosperity Fund (UKSPF) revenue funding from Central London Forward for the period of April 2024 to March 2025. This funding will directly support Opportunity Haringey, the council's Inclusive Economy Framework, specifically focusing on Theme 3: Good Work and Skills. The grant will be delivered through a collaboration between Haringey Learns and Haringey Works, aiming to provide enhanced employment and skills provision for Haringey residents.

The UKSPF People and Skills element was introduced following the cessation of European Social Fund monies. This funding is distributed by the Greater London Authority (GLA) to sub-regional partnerships, with Haringey being part of the Central London Forward (CLF) partnership. The approved plan for the funding outlines an intention to deliver employment support to residents furthest from the labour market, aligning with the goals of Opportunity Haringey to foster an inclusive and resilient economy with well-paid work.

The decision to accept the grant was made to enable the council to continue delivering vital employment support to residents who are unemployed or economically inactive. It will also support the restructuring of services and the introduction of new working methods. An alternative option of not accepting the funding was considered, but rejected due to the ongoing employment challenges faced by Haringey's residents and the council's reduced ability to support those furthest from the job market. Commissioning delivery through sub-contracting was also considered but deemed less favourable due to the potential for increased contract management and reduced direct support for residents.

The allocated funds are expected to support a range of activities, including intensive one-on-one casework, employability sessions, employer information sessions, job clubs, CV support, and in-work support. The programme will prioritise individuals facing significant labour market challenges, such as young people, those not in education, employment, or training (NEETs), residents with disabilities or health conditions, Black, Asian, and Minority Ethnic residents, lone parents, and those over 50. The hub and spoke delivery model will ensure tailored support is delivered in community locations across the borough.

The funding is output-related, with targets for starts receiving support, people moving into employment, and those gaining good work jobs. A good work job outcome is defined as employment offering a minimum of 16 hours per week, expected to last at least four consecutive weeks, and paying at least the London Living Wage without the use of zero-hours contracts.

The report also highlighted the programme's contribution to the council's Climate Change Action Plan, with signposting to environmental sustainability courses, embedding carbon literacy principles, and providing career guidance linked to green sector opportunities, particularly in construction and retrofit.

Opportunity Haringey Workspace Fund

Councillor Gordon also approved the allocation of up to £3.9 million from the Opportunity Haringey Workspace Fund to support three specific projects aimed at creating affordable workspace in the borough. This fund is a key priority of the Opportunity Haringey inclusive economic framework and aims to have a catalytic effect by supporting new and expanding workspace projects that have a funding gap.

The decision delegates authority to the Director of Placemaking and Housing to undertake further due diligence, negotiate, and agree the terms and final funding agreements for the recommended projects. Subject to satisfactory completion of this due diligence, the following projects will receive funding:

• Wood Green affordable creative workspace: This project aims to create much-needed affordable creative workspace in Wood Green, with forecast outputs including over 2,500 square metres of new workspace, supporting 350 jobs and 160 businesses, and bringing in over £0.8 million in additional funding to the borough.
• Tottenham affordable music studios workspace: This project will create affordable music studios in containers in Tottenham, strengthening the music industry in the area. Forecast outputs include over 125 square metres of new workspace, supporting 25 jobs and 15 businesses.
• Tottenham affordable community co-working workspace: This project will establish an affordable community co-working space in Tottenham to support existing and new residential communities. Forecast outputs include over 1,250 square metres of new workspace, supporting 250 jobs and businesses, and bringing in £0.7 million in additional funding to the borough.

The fund was established in recognition of the high demand for workspace among SMEs and the significant role workspace plays in supporting economic growth, inclusive economy, and regeneration, particularly for Haringey's creative economy. The council has sufficient capital funding, including relevant external grants and council match funding, to support these projects.

The funding panel assessed applications based on strategic priority alignment, clear funding gap, track record, deliverability, impact, and value for money. The recommended projects were chosen because they support Haringey's creative economy and SME sector, are investment-ready, meet eligibility requirements, and collectively bring in additional investment to the borough. The funding agreements will include clawback rights for grants and call-in rights for loans to ensure the workspaces remain operational long-term.

Alternative options considered included directly awarding the funding without an open call, but setting up the fund was deemed preferable. Returning funding drawn down for feasibility studies was also considered, but the establishment of the fund was seen as more beneficial for investing in employment space for inclusive economic growth. The funding sources include grants from the City of London Corporation and the Department for Levelling Up, Housing and Communities (DLUHC), as well as loan funding from the council's Productive Valley Fund and/or Opportunity Investment Fund.