Decision

The Executive resolved as follows:

1. To agree that Appendices 7a to 7d the Executive report, are not for publication by virtue of Paragraph 3 of Part 1 of Schedule 12A of the Local Government Act 1972. It is considered on balance that the public interest would not be served by publishing information at this stage as this information would undermine the Council’s position.in future negotiations.
2. To note the progress made on the delivery of the Enterprise Zone Masterplan including supporting more than c2700 new jobs to the end of August 2026, with an updated job census due to be undertaken Q4 2026
3. To note the funding approved on 16 March 2026 by the Executive which outlined planned expenditure of £64.85m to year end 26/27 which remains within the overall estimated whole life Enterprise Zone budget capital cost of £87.49m. The current anticipated spend at the end of this financial year will now be £51.76m (see Appendix 7a, to the Executive report), with circa £13.09m carry forward into next financial year to progress works related to the Airport, Silicon Sands and other areas of the Enterprise Zone.
4. To note that the whole life cumulative expenditure estimate of £87.49m at present values to March 2041, results in an estimated whole life shortfall of £3.75m at today’s prices.
5. To note that the anticipated cost of Prudential Borrowing required to meet approved expenditure will exceed the net income from retained rates growth and lands sales income over the next five years and will require additional funding to be identified and to note that there is a risk that should development of the Eastern Gateway plots not proceed in line with the Delivery Plan then this will have a detrimental impact on the funding requirements so the position will continue to be monitored and kept under review.
6. To note the higher levels of financial risk associated with the overall whole life expenditure and income forecasts, given the length of the project and impact of external influences.
7. To note the potential for the Enterprise Zone to support more than 5,000 job opportunities across the Fylde coast and generate circa £2bn of cumulative Gross Value Added and achieve a whole life operating surplus.
8. To note the financial position of the scheme and its performance will continue to be monitored, and an annual update provided to Executive.
9. To approve a spend up to a total of £73.68m by end March 2029 inclusive of existing carry forwards. This will provide the relevant funding to commence initial implementation plans and site assembly for the delivery of Silicon Sands and remains within the overall anticipated Enterprise Zone delivery budget of £87.49m. It should be noted that a further update will be brought forward to the Executive for approval of the residual budget at the appropriate time.
10. To approve the approach in relation to the site assembly, investment and development of infrastructure within the Blackpool Airport Enterprise Zone, which is required to enable the development of Silicon Sands as set out in Section 6.
11. To agree to the disposal of land for the delivery of the technology exemplar data centre to Hochtief Data Centre Partner UK Ltd, following the recent procurement exercise and subject to agreeing detailed contract terms on the basis of the draft  Heads of Terms set out in Appendix 7d, to the Executive report.
12. To delegate to the Director of Place after consultation with the Cabinet Member for Economy and Built Environment to agree the final terms for the disposal of land outlined in resolution 11.
13. To request the Director of Place and Director of Finance / s151 Officer to explore all methods of mitigating the forecast cash flow shortfall as shown in Appendix 7a, to the Executive report, and seek any subsequent approvals that may be necessary.
14. To authorise the Head of Legal Services to enter into any legal agreements relating to the associated land property agreements, including construction contracts necessary to move the development forward on the Enterprise Zone, inclusive of the disposal of land to Hochtief for the delivery of the exemplar data centre.