Penzance Chamber of Commerce

Since January 2000, Cornwall has been defined as an Objective One area due to its economy being below the European average. As a result the Duchy has been eligible for grant aid from the European Commission's 'structural funds', which aim to revive local economies, with up to £300 million being available over a 7-year period.

The ambitions of Objective One have been set out in the Single Programming Document, which was prepared by a local partnership including major private, public and voluntary sector organisations. The SPD is a strategic framework for projects and proposals comprising 5 priority areas: small and medium sized business; transport, communication and large-scale physical improvements; education and training; revitalising communities; and increasing regional distinctiveness.

A year into the programme, the first successful applicants are being announced, including a new approach to Cornish waste by ReMaDe Kernow, a new £250,000 computer and business centre in Looe, and the occupation of a £3.5 million factory by the music and video retailer, Border Books. However there has recently been criticism against the processes of Objective One, the amount of 'red tape' involved in fund application, and the alleged unfairness of fund allocation.

Last month, the local fishing industry was enraged to learn that a Spanish-owned boat registered in Penzance had been paid £500,000 from the county's Objective One funds. Chief executive of the Newlyn-based Cornish Fish Producers Organisation, Nathan de Rozarieux, said that most fishermen applying for grants had to "jump through hoops" to gain funding. Following a complaint to the Fisheries Minister by Andrew George MP, it was later agreed that the money would be returned by the government.

Meanwhile, there has so far been a lower level of applications than was anticipated, with many organisations assuming that they are not eligible.

Chairman of Penzance Chamber of Commerce, Mike Waters, who is a member of the Priority Management Group that approves Objective One funding in the area of Learning and Skills development, told us: "Objective One is, in my opinion, the best and probably last chance for small and medium-sized enterprises in the County to really make a difference on a local and national basis. Most businesses are aware of Objective One, but a lot are unconvinced that it is applicable to them, therefore they have not bothered to pursue it."

Even those businesses that have assessed their eligibility have in many cases not prepared an application as, according to Mr Waters, "they lack the foresight to think of an innovative project, they lack the resources to be able to construct a bid, and they are so busy trying to keep their businesses going that they have not allocated sufficient time to consider how Objective One can help them."

A further criticism has been made that insufficient cash from the programme is making its way to the community. But according to the Objective One Partnership for Cornwall and Scilly, the county's Objective One programme is already well on track to hitting this year's spending target.

Objective One programme director Bill Bawden said: "The programme's rate of spend is really starting to accelerate as more and more approved projects come on stream and start to draw down their grant. Last September we had spent £4.2 million, by early November it was £6 million and now we're at £7.6 million, so the pace is beginning to pick up. I want to make a New Year's resolution to exceed our spending target for 2002 and I'm confident we'll do it."

"But we cannot afford to be complacent. It's essential that projects draw down their funding at the appropriate time because in 2003 we have to spend a further £49 million and if we hit that target we'll qualify for a performance bonus worth around £12 million. The watchword, of course, must always be quality, and we will never sacrifice quality for the sake of spend."

If Cornwall's Objective One programme exceeds its £25 million spending target this year, that 'overspend' can count against next year's target of £49 million. If spending targets are missed then the programme could be forced to hand back the shortfall to the European Commission for distribution to other structural fund areas in Europe.

According to the Objective One Partnership there are now 174 projects that have been approved or are recommended for approval, with a total value of more than £220 million. A further 95 projects are under appraisal, seeking a total of £55 million of Objective One funding.

Another criticism against Objective One concerns the amount of red tape involved, and the ongoing uncertainty about developments. Wishing to clarify the degree of ease or difficulty involved in application, we approached a selection of Penzance-based projects that have recently submitted bids. All concerned had begun the lengthy process several months ago, and in all cases were unwilling to comment because they had not yet received any kind of confirmation.

But Mr Waters, who is also a member of the Penzance Regeneration Steering Group that has been working on the submission of an Objective One bid to greatly enhance the prosperity of the town and its inhabitants, told us: "I do not consider that there is too much red tape as it is only by submitting a detailed and well constructed bid that the PMGs (Priority Management Groups) can undertake an effective appraisal. The red tape situation will be eased shortly for those wishing to obtain relatively small grants (under £10,000) as a number of organisations are obtaining co-financing. This enables organisations such as Cornwall Enterprise to obtain Objective One money to double their own pot, which can then be used to authorise bids using a simpler format."

Among other projects currently pursuing Objective One funding are the Combined University for Cornwall at Penryn, and the extensive redevelopment of Penzance town and harbour. Yet with media attention being absorbed in such large-scale projects, smaller organisations continue to assume that Objective One is not appropriate for them - despite small and medium-sized enterprises being a specific focus for the programme.

According to Mr Waters, "all types and sizes of business have an equal chance of their applications being accepted, provided that they meet the criteria and their bid is constructed correctly. The advantage that larger businesses have had up to now in this regard is that they often have the spare capacity to be able to allocate an individual or group to put the bid together. But IAPs (Integrated Area Planning groups attached to District Councils) have facilitators whose job it is to help small businesses and groups construct their bid. There are also a number of consultants out there that can also help.

"The key to any bid is that it should be innovative, increase a businesses growth that it would not otherwise be able to achieve, and provide additional long-term employment, thereby increasing prosperity," he said.

Among the umbrella funds which are available to small businesses without having to worry about lengthy Objective One applications are the Small Business Grant Scheme which offers grants of up to £3000, the Cornwall Business Growth Fund which makes available interest-free loans of up to £50,000, and the Cornwall Food and Drink Partnership Scheme which offers grants for 50% of total project costs. Further details about sources of funding and other Objective One information can be found on the Objective One website.

The Laundry celebrates its 10th anniversary

Ten years ago Niki Dowrick started The Laundry linen washing service with just one large customer, and has since built up a clientele of 700 Cornish businesses, along with her partner Dennis Dowrick who joined the firm five years ago.

From their humble beginnings working from a pair of converted garages in St Mary's Place, The Laundry quickly expanded, which required a move to Long Rock Industrial Estate, and then to an even bigger unit within a year. Similarly, their collection and delivery service, which was initially facilitated with a Mini, soon required the space of a Mercedes Sprinter van which now visits customers all over Cornwall, from Land's End to Looe.

Among The Laundry's clients are hotels, guest houses, holiday parks and nursing homes, who continue to be delighted with the quick turn-around service laundering bed linen, table cloths, blankets and rugs. Among the more unusual items that the Penzance-based firm have been asked to clean are sails and altar cloths, and The Laundry specialise in cleaning fine linen.

With an ever expanding customer base, The Laundry are currently installing more equipment to satisfy clients' needs, on which point Dennis and Niki would especially like to thank Mike Williams of Lloyds TSB for his help and support.

The Laundry are a company who can be trusted, with 80% of new business stemming from recommendation, and a firm pledge to only accept work that they can perform to the highest standards - a point confirmed by the fact that they have retained all of their original customers who are still trading.

The Laundry are the only specialised service of their ilk in the area, and are always there to help. To find out more, call Dennis or Niki on 01736-330500.

West Cornwall Chambers organise major business event

Ten thousand businesses throughout Cornwall are to be invited to a business event being held at the Cornwall Business School in Pool in October. The event is being organised by the West Cornwall Group of Chambers of Commerce, and promises to be a great opportunity for everybody in business to listen to professional speakers, gain useful business advise, and exchange ideas and product information with other firms.

The free-to-enter event will be organised in the form of a networking forum where businesses can meet each other for their mutual benefit. The venue will be zoned into different business sectors, including Construction and Building Services, Leisure and Tourism, Business Services, Professional Services, Manufacture, Engineering and Technical Services, Computing and Communication, and Training.

Each zone will be centred on specially designed racks to hold business cards for 'buyers' and 'suppliers'. A visitor will be able to place their cards in the racks and remove cards for businesses they wish to network with.

The advice element of the day will include three activities: presentations by keynote speakers, workshops for visitors to have individual meetings with suppliers, and a small selection of exhibitions by local traders. The workshops to be held on the day will encompass a diversity of topics of interest to business people including accounting, advertising and publicity, banking, independent financial advice, computing and IT, Customs and Excise, education and training, employment services, the European Market, financing, health and safety, marketing, Objective One, property and valuation, security and crime prevention, support schemes, and taxation.

Broadband Penwith

BT Retail has won a bid to bring broadband technology to thousands of rural businesses. BT, one of the South West's largest private sector employers, had already pledged to upgrade four of its Cornish telephone exchanges with ADSL broadband technology as part of the £12.5 million ACT NOW project.

BT's total investment in the project will exceed £3 million. The Objective One programme is contributing £5.25 million to the project.

Carleen Kennedy, deputy Objective 1 programme director said: "The partnership is working hard to allow businesses across Cornwall to take advantage of broadband technology as soon as possible, but it does take time to get the infrastructure and support package in place."

In Brief

The Mayor's Charity Concert will be taking place again this year, on Friday 12 April and Saturday 13 April at St Johns Hall. Tickets are available from the Town Clerk's Office priced £5.
Sure Start Lescudjack, a community charity which supports young people in Penzance, are looking to recruit co-optees, particularly those with skills in business, public and voluntary sectors, finance or law. For an informal chat about these voluntary posts, please contact Carol Bosworth on 01736 786214.
For more information on Objective One, spend a moment online at www.objectiveone.com
The government has launched a new community chest fund of £400,000, which is available in sums of between £50 and £5000 to start or help small community and volunteer projects. Find out more by telephoning 01736-330045.
Chamber press officer Richard Gallahad was last week successful in his application for the post of media co-ordinator for the Save The Children fund.

Join the Chamber

The Chamber of Commerce represents the interests of local business with the County, District and Town Councils, Government agencies and public bodies. It actively campaigns on issues affecting the business community as well as issues affecting the community as a whole. This requires finances and direct involvement by committed people, and deserves the support of every business in the region.

Our Chairman is coordinator of the West Cornwall Group of Chambers and the Cornwall Business Partnership. He is a member of the Priority Management Group 3, which approves Objective One funding in the area of Learning and Skills development, and also a member of the Penzance Regeneration Steering Group that has been working for the last 18 months on the submission of an Objective One bid to greatly enhance the prosperity of the town and its inhabitants. Other members represent the Chamber on such bodies as the Police Consultative Committee and Tourism Committee.

All businesses have problems from time to time, and it has been proved that representation from a Chamber Officer on behalf of the member concerned can greatly enhance the prospect of a satisfactory conclusion. With major issues, such as the Penzance Regeneration Project, West Cornwall Hospital, Objective One and so on needing input from the business community there has never been a better reason for all businesses to become Chamber members - The greater our membership, the bigger our voice. JOIN NOW!

Contributions to Focus pages

These pages exist to promote the work of our members, and we invite participation from all involved with the Chamber. We are also happy to publish material from anyone else with an interest in the development of Penzance. Please send your articles no later than the first Thursday of the month to feature in the forthcoming issue, or contact the Press Officer, Penzance Chamber of Commerce, 16 Fore Street, Goldsithney, Cornwall TR20 9HD to arrange an interview or Email Press Officer.

Forthcoming Meetings

The next monthly Chamber Meeting will be held on Tuesday, March 5th 2002 at the Queens Hotel, The Promenade, Penzance at 7.30pm.

The Voice of Business in West Cornwall

Chamber Monthly News - February 2002

Is Objective One reaching its objectives?