We have undertaken extensive work for various clients on the resources available for economic development in a time of austerity. We offer targeted advice to developers and public sector sponsors weighing the relative merits of new funding streams such as the regional growth and growing places funds, new taxation and borrowing powers including tax increment financing and business rates supplements, and existing grants and breaks to maximise the potential growth and return on development.
Mott MacDonald has developed the Transparent Economic Assessment Model (TEAM) – a versatile tool designed to assist in this area of work. TEAM calculates the economic impact of proposed infrastructure intervention and policy measures, in the public and private sector, providing a cost-effective solution to the challenge of assessing the economic impact and benefits of major infrastructure, investment or change projects.
This is a major step forward in project appraisal and TEAM has been designed specifically by experts in economics, economic development and regeneration and is in line with HM Treasury Green Book principles and Homes and Communities Agency additionality guidelines. The tool measures the potential stimulus to economic activity (eg net additional jobs, salaries, and gross value added, as well as net present value calculations) by estimating the consequential employment, salary, gross value added (GVA) and investment benefits that would not otherwise have arisen.
Our expertise in economics, economic development, economic research, urban regeneration and urban planning is being applied around the world. Our multisector portfolio includes projects related to road and rail infrastructure, health service reconfiguration, aviation, telecommunications, regeneration, urban planning, environment, climate change, tourism and leisure and education.
TEAM has been applied to a number of Mott MacDonald projects that assess the economic impact of policy interventions and has received excellent customer feedback. It is innovative and original in design and excels at delivering significant value to clients at relatively low cost. TEAM has enabled clients to demonstrate the high return of their activities, capturing impacts that had previously been neglected.
Key examples of our projects
Norwich Northern Distributor Road and Postwick Hub: Economic impact assessments
- Postwick Hub had a negative BCR, however the economic benefits of the project, as estimated by TEAM, were integral to the scheme being successful at public inquiry.
- Outputs NDR – 5230 jobs, £1B GVA over 30 years, £966M investment.
Walsall College Business and Sports Hub: Economic impact assessment (including a business lifecycle to measure returns to education)
- Findings from TEAM were the basis for a successful bid for £10M funding from the Skills Funding Agency.
- Outputs – 466 jobs, £61M GVA, 3,240 apprentices trained over 30 years.
Merthyr Tydfil MBC: Economic case support to funding bid document
- Model outputs and findings have led the client to be successful in drawing down £27M regeneration funding, and repeat business.
Lochaber marine tourism: Economic development report
- Using TEAM, a study was carried out looking at potential for further development to six settlements across the Scottish Isles.
- Outputs – increase in tourism over the first five years leading to a projected increase in jobs per settlement.