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PEEL HOLDINGS £31 MILLION PUBLIC SUBSIDY FOR PORT SALFORD
 

Star date: 11th September 2012

HUGE PUBLIC SUBSIDIES FOR PEEL – IN RETURN FOR HOW MANY JOBS?

`wild claims and job figures that venture into the realms of fantasy…Like, the implication that Port Salford will wipe out two thirds of unemployment in the city…'

Yesterday Salford Council signed a £30million agreement with Peel Holdings for the development of Port Salford and its new infrastructure. Peel has also had almost one million Euros from Europe for its plans.

In return for near £31million of public grants and loans Port Salford is supposed to create jobs – but the figures vary wildly from just over 1,000 jobs to over 10,000 jobs. Like MediaCityUK was going to provide 15,500 jobs, yet again, this is all based on gobbledygook…

Full story here…


PORT SALFORD PART 2

Calculating jobs is all so easy…

AI = [GI x (1-L) x (1-Dp) x (1-S) x M] – [GI x (1-L) x (1-Dp) x (1-S) x M]

This is the simple equation that Amion Consultants, acting on behalf of Peel Holdings, has used to work out the amount of jobs that might be created at Port Salford, Peel's massive road, rail and Manchester Ship Canal project in Irlam.

The final figure is worked out by `employee per square metre' and then slapping in `net additional impact' (Al), `gross impact' (Gl), `leakage' (L), `displacement' (Dp), `substitution' (S) and `multiplyer' (M). It's all very scientific. Until you realise that virtually every document you look at regarding jobs at Port Salford comes up with a different figure.

This particular equation comes up with a total of 3,067 jobs for Phase 1 of Port Salford. Which is a bit of an increase from the Port Salford planning application from 2009, when there were only 1,170 jobs on offer. And slightly different from Peel's own website which states that the Port will generate "3,858 gross permanent jobs". The figures vary by over 2,500 jobs.

Does it matter? Very much so! Because Peel Holdings – one of the richest companies in the country, run by tax exile John Whittaker, the 29th richest person in Britain (who saw his personal wealth grow by £100million last year according to the Sunday Times Rich List) - is using Salford's poverty to gain million of pounds of public money and to destroy the Green Belt in the process.

Yesterday, Salford Council finally approved the agreement to hand over £30million of public money to Peel Holdings for the Port Salford scheme. Within that is a £4million grant from Salford Council, plus an £11million loan for infrastructure which is costing the Council £360,000 per year in repayments for the first five years.

Meanwhile, the Government's Department for Business Skills and Innovation's Regional Growth Fund is chipping in another £15million, and Europe's Trans-European Transport Network Executive Agency (TEN-T EA) has handed over a grant of 998,125 euros for viability studies.

When Salford Star first broke the story of the £30million grants last November (see here), the then Leader of Salford Council, John Merry, justified the payments in terms of jobs.

"This is great news for the city and puts us another step closer to creating 3,800 new jobs for the region" he said "We want to make a wide range of job opportunities available for the people in Salford and I am pleased that this conditional offer means we are getting closer to realising our vision."

According to the Amion equation, of 3,067 jobs it optimistically reckons will be created by Port Salford, only 730, mainly unskilled, low paid jobs will be created for Salford people. And if it pans out that there are only 1,170 jobs, as originally claimed, that would be only around 250 Salford jobs – for millions of pounds worth of investment.

But this is just the first phase of Port Salford that's not even been built yet. Peel Holdings is currently pushing for its future 100 hectare expansion into the Green Belt, with wild claims and job figures that venture into the realms of fantasy…Like, the implication that Port Salford will wipe out two thirds of unemployment in the city…

"If Salford residents with the relevant occupation were able to access the jobs created by the total Port Salford project then there is the potential for up to 63% of claimants within Salford (5,100) to find employment through the Port Salford project" states Amion's Port Salford: Employment, Gross Value Added and Business Rates Impact Paper.

Does anyone, even its authors, seriously believe that? Another wild, mad claim is that an expanded Port Salford, which would be three times the size of Phase 1, would have positive health impacts.

The same Amion `Impact Paper', almost weeping for Salford's working class, implies that Port Salford will bring down the area's shocking mortality rate through giving people what it calls `elementary occupations'.

"It can be seen that residents in the area around Port Salford have very poor average health levels" it states "It is widely acknowledged that economic deprivation has a major impact on health…"

It's also widely acknowledged that concreting over the Green Belt and letting loose 3,780 HGVs per day on the approach roads, plus freight trains thundering past, isn't good for people's health either. But that isn't mentioned.

Salford Council is currently (hopefully) opposing the intended expansion of Port Salford, during this month's `Core Strategy' Planning Inspector hearings at Swinton (see previous Salford Star article Part 1 – click here).

No doubt Peel will be rolling out these `Impact' papers, showing how 10,000 jobs will be created, if only it could concrete over the city's Green Belt.

Peel is using Salford's deprivation figures to squeeze public money and Salford's green heritage in return for jobs. The same arguments were used for MediaCityUK, when the hype suggested 15,500 jobs would be created. Hmmm. What was it? 16 jobs at the BBC for Salford people?

The job figures for Media City were worked out using similar gobbledygook…

AI = [GI x (1-L) x (1-Dp) x (1-S) x M] – [GI x (1-L) x (1-Dp) x (1-S) x M]

Winston Smith wrote
at 14:30:41 on 14 September 2012
Michael, your words are misleading - the glib mention of jobs plus cascade of more jobs are not a *reality* in any sense of the word. At best it's no more than spin; just another pacifier, a sop to get people like you and a feckless, gullible council on board. If there really was any reality to these jobs, they'd be able to back it up with a full money back guarantee or some other legally binding contract (which they'll obviously never do). You calling it *reality*, with no guarantees just makes you a Peel mouthpiece.
 
Nachtschlepper wrote
at 11:52:38 on 14 September 2012
Has the "power of Peel" got to Michael Felse. Where are all those jobs promised at Mediacity? I have no objection to Peel developing whatever they want, but they must first seek our (the peoples) permission and they should pay for it themselves.
 
Michael Felse wrote
at 11:52:32 on 14 September 2012
Reality tells us the Barton incinerator is not good for our health. But jobs with a knock on effect of cascading into many local service support jobs is a reality that I will support. Labour has power in Salford to ensure new jobs come to residents and that our young residents have skill opportunities to enjoy working in these well paid jobs. The model of the BBC move did not have skilled young people ready locally to take on those MediaCity BBC jobs. We should learn from that and be ready to have the best skills in place; a responsibility of Salford Academies, Colleges, Universities and our Council.
 
mary ferrer wrote
at 11:49:46 on 14 September 2012
Mr Felse we were promised so much when the BBC came to Salford and we got so little,where are all the jobs we were told would be there for the residents, it never happened. All I am saying is don't hold your breath,I hope we do get loads and loads of jobs and our young people are given the opportunity to take up these jobs. But all I am saying we have heard it all before "promise us the earth and we get the crumbs"
 
Winston Smith wrote
at 22:24:20 on 13 September 2012
Bloody hell, Michael Felse, when did They get to you? Next you'll be telling us that the Barton Incinerator is necessary for our health
 
Michael Felse wrote
at 16:51:24 on 13 September 2012
Mary and all those opposed to job prospects I have to say the future of youth in Salford is paramount. If we take honesty on board we will accept that the vision of MediaCity was achieved by Peel. It gives us every reason to believe Port Salford will be an even bigger physical site to behold. All I ask is for the Council of Salford to get young people into training for these jobs, work with the colleges and ensure a pool of skills are ready to take these new jobs. This is a legacy Peel could give to Salford, just like their investment saw the iconic BBC come into Salford. Can we truly say the investment would have happened without the unique Power of Peel.
 
mary ferrer wrote
at 06:06:14 on 13 September 2012
Think we must just get used to the "Peel wants,Peel gets" attitude of this Council. We should be used to the great selling point of Jobs and the even greater letdown when there are no jobs,well not for the residents of Salford,only the "fat cats" It would be fantastic if all the promises came true,but like the BBC it didn't happen then and I hope I am wrong,but can't see it happening this time. I wonder how much peel have had from the public purse of the people of Salford over the years, and what we have had back????????
 
Sick of this Rip Off Hell City wrote
at 13:30:58 on 12 September 2012
Tom Nolan is quite right. EVERY job must be taken by British people , No exceptions . We've all had enough of the Great E.U. Rip Off. Let's get our own British people in these jobs .
 
Winston Smith wrote
at 11:09:54 on 12 September 2012
Peel's deals with the council are like a magic trick performed on an idiot - just concentrate on the shiny jobs and health baubles while we stuff you for millions and install a fucking massive incinerator on your doorstep - TADAH!
 
H.H. Corbett wrote
at 09:56:37 on 12 September 2012
With this Dead City being ripped off by Avaricious Peel, why do we even need this Peel Puppet Clowncil ? When Puppet Master Peel calls the tune , the Puppet Clowncil dances , throwing OUR money away in their excesses of fawning obsequiousness ..
 
tom nolan wrote
at 09:56:24 on 12 September 2012
so how many jobs will be filled by salford job seekers.. me thinks 90% will be taken by cheap immigrant labour....the project will happen so we need a guarantee that salford and manchester job seakers come 1st..
 
Joe O'neill wrote
at 06:58:12 on 12 September 2012
I only wish we had Cllrs within the city Council to fight some of these issues, i agree with the star that the figures over job creation are pure fantasy,within Salford the Green Party is still to small to fight these issues on mass instead i feel if peels extends further we must seek help to protest from Manchester, Bolton and Trafford.I hope to raise the issue later this week and take advice.of course we must seek investment and create jobs but not at any cost,Peel seem to be in control of the Labour Council not the other way around,they seem to be take away the fat from the city how long before all we have left is bone?
 
Brian F Kirkham wrote
at 06:58:04 on 12 September 2012
I'll believe it when I see it - Unless of course these jobs are coming along the way they are for Mediacity - Long term Through Host company transfers and academy traineeships.
 
Michael Felse wrote
at 06:57:54 on 12 September 2012
If our country is to create lasting jobs for young people we must embrace new job initiatives. I am pleased Salford is looking to getting a slice of the creative jobs cake. Power to Peel, but make sure it includes investment in community well-being in those streets where the workers are expected to come from and not end up as only profits for rich investors.
 
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