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Regeneration: Liverpool

Volume 455: debated on Wednesday 10 January 2007

To ask the Secretary of State for Communities and Local Government how much her Department spent on regeneration projects in Liverpool in each year since 1997; which projects received more than £5 million; what assessment she has made of the effectiveness of each project; and what funding she has allocated for future regeneration projects in Liverpool. (104402)

Since 1997, Liverpool has seen significant improvements in housing, infrastructure and economic and social development. Last year (2005-06) through New Heartlands, the Housing Market Renewal (HMR) scheme, there were in excess of 1,300 new homes constructed and over 1,600 homes refurbished in Liverpool. There was also an additional £10.5 million of private sector funding invested within the Liverpool pathfinder area, of which £4.2 million went specifically into HMR projects.

Liverpool John Lennon airport, one of the fastest growing airports in the UK, received European objective 1 funding towards increasing terminal capacity and improving passenger and public transport facilities. The airport is a key economic driver in the regeneration of the area, and direct on and off-site employment at the airport has risen from 500 employees in 1997 to 2,350 in 2005.

Under the 2000-06 Programme of European objective 1 funding in Merseyside, over 1,700 projects have been approved, in excess of 37,000 jobs have been created and over 6,000 business start-ups have been assisted.

Social improvements are demonstrated by the city’s progress towards narrowing the gap against key national floor target indicators. Particular progress has been made in education, housing and liveability, which has seen the gap reduce from 11.3 in 2003-04 to 8.6 in 2004-05. Furthermore, the overall Liverpool employment rate has increased at a higher rate than the UK average, 1.3 per cent. compared to 0.3 per cent.

In addition, GVA growth in Liverpool (1998 to 2003) outstripped the national average rate. Liverpool has also seen a significant expansion in knowledge-based employment and benefited from substantial private sector investment in its tourism infrastructure.

The total funding Communities and Local Government has invested in Liverpool for regeneration projects since 1997 is in excess of £670 million. Additionally Liverpool is also eligible to benefit from a further £393.3 million which Communities and Local Government has invested into the wider Merseyside region. The European objective 1 programme (2000-06) also provides a further £910 million for investment in Merseyside and Liverpool will benefit from this investment.

We do not hold the total figures of regeneration spend for Liverpool in every funding stream since 1997 on an annual basis. However, the following table details the main regeneration funding since 1997, available directly to Liverpool or from which Liverpool can benefit.

Regeneration funding

New Deal for Communities:

10-year scheme: £62 million in Kensington, Liverpool (ends 2010)

Neighbourhood Renewal Fund:

£167.76 million 2001—eight including a residual NRF allocation

Community Empowerment Networks

£6.1 million over six years 2001 to 2007 paid to CVS as Accountable Body. £519,185 in final year paid through Safer, Stronger Communities Fund

Neighbourhood Element/Cleaner Safer Greener Element

£4.7 million 2006-10 for Neighbourhood Element. £2.1 million 2006-08 Cleaner Safer Greener element. Both paid through the Safer Stronger Communities Fund

Housing Market Renewal Pathfinder

£184 million 2004-08 covering inner Liverpool, South Sefton and Birkenhead/Tranmere in Wirral. Paid in two tranches, £86 million in the first and £98 million in the second

Liverpool Housing Action Trust

£260 million 1992 to 2005

Liverpool Vision URC

£167.8 million 1999-2007. Funding from English Partnerships (£63.5 million) and North West Development Agency (£104.3 million)

English Partnerships (Merseyside)

£85.1 million on major strategic investment projects and HMR-related activity up to 2008

NWDA (Merseyside)

£56.2 million on major strategic investment projects

Single Regeneration Budget

£68 million 1999 to 2007 (NWDA)

European money is routed via Government Office for the North West on behalf of Whitehall departments, and during the period specified the following major projects, administered on behalf of Communities and Local Government, received grant funding in excess of £5 million. Additionally, three European projects valued at over £5 million, administered on behalf of DTI and DFT, also benefited Liverpool.

European objective 1 (2000-06), Communities and Local Government projects over £5 million grant

£

Project name

Total cost

ERDF1 grant

Kings Waterfront Redevelopment—Phase 2

131,100,000

45,962,000

Liverpool Neighbourhood Renewal Programme

32,000,000

16,000,000

Liverpool South Parkway

32,000,000

10,823,000

Merseytram Pre Development Costs Lines 1, 2 and 3

20,876,258

10,438,129

NWDA—Edge Lane Acquisitions

20,839,336

10,419,668

Centre For Tropical and Infectious Diseases (CTID)

24,100,828

9,000,000

New Anfield—Stanley Park Regeneration

24,631,214

9,000,000

Edge Lane Improvement Scheme

27,750,000

8,262,000

Airport Development Phase III

21,500,000

7,852,646

Cruise Liner Facility Construction and Operation

16,856,502

7,089,540

The Liverpool Canal Link

16,848,330

6,739,332

Capital of Culture Phase 3

14,844,183

5,126,713

Museum of Liverpool

31,831,000

5,000,000

Liverpool Airport Phase IV Development

12,500,000

5,000,000

Sentinel and Unity (Sentinel Office/Mixed Use Development)

26,605,891

5,000,000

£

Project name

Total cost

ESF2 grant

LNRP Measure 27

12,000,000

6,000,000

LNRP Measure 26

11,600,000

5,800,000

LNRP Measure 25

11,200,000

5,600,000

1 European Regional Development Fund.

2 European Social Fund.

During the 1994-99 programme, £8 million of ERDF grant was allocated to the Liverpool Airport Development Phase 2.

Additionally, the following table details the funding granted to wider Merseyside projects, which will also benefit Liverpool.

£

Project name

Total cost

ERDF grant

Special Investment Fund 2

99,039,000

36,000,000

Extension to ERDF Project 00/41 By the Addition of the Liver

26,700,000

20,000,000

Business Growth and Development for Greater Merseyside

30,037,256

12,007,746

Merseyside: Growing with confidence

15,000,000

6,000,000

Make It Merseyside

13,290,000

5,296,000

£

Project name

Total cost

ESF grant

GMLSC—Merseyside Measure 15

29,200,000

14,600,000

GMLSC—Merseyside Measure 14

24,807,237

11,113,642

LSCGM 2005-08 Measure 4

30,030,030

10,000,000

LSCGM 2005-08 Measure 12

30,030,030

10,000,000

GMLSC Measure 4

29,948,000

9,840,000

GMLSC Measure 12

26,998,770

8,854,629

LSCGM—Merseyside 2005-08

13,000,000

6,500,000

In respect of European investment, of the funding that remains to be formally approved under the 2000-06 programme, around £24 million has been allocated for future regeneration projects in Liverpool, although the projects earmarked to take up this funding have yet to be formally appraised and approved.

A further €468 million of European Competitiveness, Phasing-in funding, has been allocated to the whole of Merseyside for the 2007-13 Programming period, of which €281 million is ERDF and €187 million is ESF. At this stage it is not possible to estimate what proportion of the funding will be invested in Liverpool.

In terms of evaluation, each of these European projects have been subject to detailed and rigorous appraisal prior to funding being agreed. After that, during the implementation phase, they are subject to performance monitoring by the responsible agencies and in many cases audit. In addition, the programmes themselves are subject to review and evaluation, in order to ensure they are yielding the outputs and outcomes expected. The effectiveness of each European Programme as a whole is also reviewed at its halfway stage through a comprehensive ‘Mid-term Evaluation’ and on closure through an ‘Ex-post Evaluation’.

All other programmes are subject to monitoring and evaluation to review the effectiveness of the investment, for example, Communities and Local Government have not long concluded an evaluation of the URC, Liverpool Vision.