Tag: SELEP (page 1 of 2)

Why has Seachange given a government department a year’s free rent?

Seachange Sussex have finally let their Hastings town centre offices – but have given the occupiers a year’s free rent.

In January 2018, Seachange Sussex announced that they had let their Havelock Road offices. These £7m offices, in Hastings town centre, had been virtually unoccupied for two years so Seachange must have breathed a big sigh of relief when the Department for Work and Pensions (DWP) agreed to let them. Continue reading

Queensway Gateway road: ‘negative reputation will continue longer term and be hard to recover from’.

The Queensway Gateway road (QGR) is now categorised as high risk in three different categories: delivery, financial and reputational.

This was revealed in a paper presented to the South East Local Enterprise Partnership (SELEP) Strategic Board meeting on 16 March 2018. The ‘Deliverability and Risk Assessment’ document [p63] lists all the projects in the SELEP area (East Sussex, Essex, Kent, Medway, Southend and Thurrock) paid for with Local Growth Fund money.

Each project is given a rating, from one to five, in each of the three risk areas – the QGR scores 5 in each area. There is an explanation [p72] of what each number means in the RAG (‘red, amber, green’) system used by SELEP. This is the explanation for a five in each area:

SELEP RAG rating chart

Let’s look at each of those areas in turn:

1. Delivery

‘Major issues have caused significant delays (more than 3 months); processes have been interrupted or not carried out correctly (e.g. planning permission has not been secured); or significant changes have had to be made to the aims and scope of the project. Project likely to under deliver forecast project outputs.’

‘Significant delay’

According to the QGR consultation report in 2014, the QGR was due to open around a year after the Bexhill Hastings Link Road. In fact, the BHLR opened in December 2015, well over two years ago, and the QGR is very far from finished:

Queensway Gateway, Nov 2017

A recent document from ‘Team East Sussex’ – the ‘local federated board’ for SELEP – puts the blame for delays on ‘judicial reviews’ and ‘poor winter conditions’. The first judicial review (based on air pollution), it should be remembered, was successful and the second failed when SeaChange altered the figures on air pollution, citing ‘methodological errors’ in the original planning application. SeaChange also blames higher than expected tenders for the final phase of work.  The Team East Sussex report puts the finish date for the road at December 2018.

 ‘Project likely to under deliver forecast project outputs’

At the consultation stage, SeaChange forecast that the QGR would support [p10] 1,370 jobs. It’s not clear how they managed to reach this figure. What is clear, is that other local SeaChange projects are simply not creating the jobs claimed for them. Enviro 21 (built by SeaChange’s predecessor, SeaSpace) promised 500 jobs but only created 24. North Queensway Innovation Park promised 865 jobs but is currently set to create none at all. Havelock Place, SeaChange’s office project in Hastings town centre, was supposed to create 440 jobs but has created 12. In the light of those projects, the prediction of 1,370 jobs for the QGR starts to look not just optimistic but utterly deluded.

2. Finances

‘A variance of over 10% against profiled financial forecast (total expenditure) or significant changes to project finances required (increases or decreases) due to poor or delayed delivery. ‘

Given that the QGR was forecast to cost £6m and is now predicted to come in at £12m, it’s fair to say that the variance against the profiled financial forecast is rather higher than 10%.

Hastings Observer 16 February 2018

3. Reputation

‘Challenges with project are undermining LEP credibility with public or key stakeholder. This negative reputation will continue longer term and be hard to recover from.’

In order to meet the 100% increase in cost of the QGR, £2m has been raided from the budget for walking and cycling in Hastings and Bexhill. This is certainly a serious reputational issue, although no councillor from Hastings Borough Council appears to have a word to say on the issue. In addition, as SeaChange’s projects continue to fail to deliver – either in terms of timing, cost, or promised benefits – so scepticism is growing locally about whether the company should be entrusted with huge amounts of public money to build endless white elephant projects.

North Queensway Innovation park: things go from bad to worse as one tenant pulls out

The sorry saga of the North Queesnway Innovation Park continues. We reported in September 2015 that SeaChange had finally found a tenant for the site. The fact that the tenant would be moving from elsewhere in Hastings, and creating no new jobs, did not dampen SeaChange’s excitement. Continue reading

North Queensway: has 865 jobs become just six?

And so the saga of the North Queensway ‘Innovation Park’ continues.  We were promised 865 jobs, but now a report from the South East Local Enterprise Partnership suggests the actual number to be created may be….six. Or is that a mistake, as SELEP claims?  Below, we winkle out the numbers.

Continue reading

Queensway Gateway road: ‘Project overspend is likely’

In July 2016, local group Combe Haven Defenders (CHD) sent out a press release demanding to know why SeaChange Sussex were forecasting that the cost of the Queensway Gateway road (QGR) would be only £6m, a £9m reduction on the original £15m predicted cost. Continue reading

East Sussex Strategic Growth Project: too good to be true?

The South East Local Enterprise Partnership (SELEP) agreed in January 2017 to allocate £8.2m of Local Growth Fund money to the East Sussex Strategic Growth Project (ESSGP). This is SeaChange’s next big project, and worth taking a look at in a bit of detail.
Continue reading

North Bexhill Access Road: has the cost-cutting begun?

Last year, we published an article questioning the anticipated cost of the North Bexhill Access Road (NBAR). According to funder the South East Local Enterprise Partnership (SELEP), the road was going to cost a total of £16.7m. Continue reading

Luddites and violent voices: SeaChange spindoctor’s view of opponents of ‘regeneration’

For several years, Tariq Khwaja, of TK Associates has been the public face of SeaChange Sussex. He’s been there at every ‘consultation’ and every Bexhill Hastings Link Road ‘construction exhibition’; he  is nearly always listed as the ‘spokesman’ for SeaChange in press releases (which he presumably writes); and he generally ensures that anyone who actually works for SeaChange – most notably director John Shaw – is almost entirely invisible, and hence utterly unaccountable. Continue reading

Havelock Place: £7m in public money, 16% occupied after two years, 12 jobs created

Nearly three years ago, then-Chancellor George Osborne and Hastings and Rye MP Amber Rudd visited Havelock Place, the then-uncompleted SeaChange project in Hastings town centre. According to SeaChange’s website, George Osborne said: Continue reading

The North Bexhill Access Road: the mystery of the money

Here’s a question.  How much will SeaChange’s North Bexhill Access Road (NBAR) cost – if it’s built – and where would the money come from?

It would undoubtedly be public money – it always is – but how much of it is a bit of a mystery. Continue reading

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