SOLACE (NI) /CCMA Workshop

Economic Downturn Challenge for Local Government

Peter McNaneyChief Executive

Belfast City Council

3 November 2010

“Time present and time pastAre both perhaps present in time

future.And time future contained in the

past.”

T S EliotFour Quartets

Bad Times.. Industrial decline since the 1950s

A period of civil unrest known as

‘The Troubles’ began in 1969

Government by ‘direct rule’ from

London

Economic slowdown and a

migration away from Belfast to

surrounding areas from the 70’s

Devolved government: re-

established 8 May 2007

New investor confidence in NI

Turkey

MEXICO

SOUTH KOREA

UKRAINE

RUSSIA

ITALY

TAIWAN

INDIA

JAPAN

The Good Times Huge physical progress: major

infrastructure programme throughout 1990s & ongoing

€5 billion of investment & 35,000 new jobs in last decade

Third fastest growing economy in UK

GVA up 99% in 10 years Lowest unemployment on record

4.1% Tourist Boom - 6.9 million visitors

in 2008, spending £324million New landmark developments:

Victoria Square, Cathedral Quarter, North Foreshore, Titanic Quarter

Laganside

Place shaping BelfastCivic Renewal

City Hall 1906£13m refurbishment

Open June 2009

Ulster Hall 1862£7.5m refurbishment

Open May 2009

Belfast Instituteof Technology

£20mUlster Museum£12m refurbishment

Open Sept 2009

Belfast Central Library 1888£60m new build

Open 2011

Visitor numbers for Belfast 1994-2008

  1994 1999 2007

Visitor 600,000 1.6m 6.9m

O/N Visitors 200,000 500,000 1.4m

Day Trippers 400,000 1.1m 5.6m

Spend £40m £110m £313.3m

Rooms 900 1,500 7,522

Jobs 4,000 7,000 17,231

% of NI Tourism 17% 22% 57%

Building a Better BelfastRate Base over last 5 years

Industrial down 17m Retail/office up 35m Application value over 1m – continues to rise Notional value of construction work making

1 billion Big increase in dwellings until this year Crane count 26

Economic Downturn…..

Impact on Belfast….

Unemployment rate doubled

Increase in vacant properties in the City Centre

Retail and residential lead developments frozen

ROI recession impacting on Retail Sector

£1m square ft of Vacant City Centre Office Space

Falls in property values

Growing tension between City Centre and ‘Out of Town’ Development

We live in Challenging and Uncertain times

How should we respond?

Like an ostrich?

How should we respond?

Or like a Chameleon?

What is the most important quality in coping with change?

Belfast City Council Response

City Leadership – Capital Investment

INVESTMENT CYCLE

What we can do ourselves

Other steps taken….

New Corporate Plan (2011-2015)

Economic Downturn Task Group and Action Plan

Framework to Tackle Poverty and Inequalities.

Improvement and Efficiency programme

- Service improvement

- Deliver ‘More for less’

- Demonstrate VFM

What next for Belfast?

City Investment Framework

Integrated Economic Development Strategy

Asset Management & Rationalisation programme

• Total Place Approach

- integrated service delivery at local level

• Exploring alternative funding mechanisms

Invest in Hope, Aspiration & ‘Can Do’

“The sense of danger must not disappearThe way is certainly both short and steep

However gradual it looks from hereLook if you like but you will have to leap

Tough minded men get mushy in their sleepAnd break the by-laws any fool can keep

It is not the convention but the fearThat must be made to disappear.”

W H AudenLeap before you look