In addition to the existing URC model the Government announced its intention in 2007 to promote the concept of City Development Companies (CDCs) which was later rebranded as Economic Development Companies (EDCs).
The concept is for these vehicles to drive economic growth and regeneration within a determined urban, rural or coastal area or sub region, focusing on areas of deprivation.
Like URCs, these companies are not being established on a statutory basis and do not have statutory powers. These will remain with the partners. The companies will be driven and shaped by Local Authorities and the RDAs in conjunction with other partners (which may include the Homes & Communities Agency) and the Government.
Key features include:
- EDCs are specialist economic development bodies, and are not limited to urban regeneration activities.
- EDCs are local authority wide or cover a group of local authorities within a local area or sub region. They are not limited to certain sites or zones, nor restricted by political geography.
- EDCs are not limited in number or confined to certain locations or types of Local Authority, such as urban or rural, town or city.
- EDCs are not mandated or established by Government. Local Authorities may establish EDCs should they chose to do so, with the support of RDAs and other key partners such as the Homes and Communities Agency.
- EDCs do not bring with them additional resources or tools for intervention. Their rationale is to deliver economic development better by applying specialist professional and organisational skills and capabilities to economic development activities.
URCs and EDCs fit closely within the Government’s devolution agenda and policy on local economic development following the review of sub-national economic development and regeneration (SNR).
For further information on EDCs visit the Department for Communities and Local Government website (www.communities.gov.uk). |