Bid for freeport submitted
LOW-TAX ZONE COULD SUPPORT 60,000 JOBS, BACKERS SAY
BUSINESS leaders and politicians say creating a low-tax freeport around East Midlands Airport could support 60,000 new jobs.
Supporters of the scheme on the border of Derbyshire, Leicestershire and Nottinghamshire have submitted their formal bid and should find out if they have been successful in a matter of weeks.
It would take in the airport which has seen unprecedented levels of commercial business during lockdown with new demand for pure cargo flights making up for much of the business lost from passenger travel.
Meanwhile surrounding warehouse and business parks such as the vast new Segro Logistics Park East Midlands Gateway, with its own rail freight terminal, have benefited from their proximity to the airport and the M1 and from being within a couple of hours’ drive of a huge chunk of the UK population.
The regional scheme could also take in energy company Uniper’s Ratcliffeon-soar Power Station plans in Nottinghamshire, and the East Midlands Intermodal Park (EMIP) in South Derbyshire.
Sectors that could benefit might include advanced manufacturing, automotive and logistics, including big employers such as Rolls-royce, Toyota and Bombardier.
The East Midlands’ bid for freeport status has been submitted to Government by a partnership led by the local enterprise partnerships that represent the cities of Derby, Nottingham and Leicester and their respective counties.
They have argued it would have unrivalled rail connectivity to all UK ports and bring significant investment to develop and drive innovation, alternative energy sources and green technologies.
They also say it could create close to 60,000 new skilled jobs for the East Midlands.
With Brexit causing expensive holdups in goods travelling between the UK and EU and even between the UK and Northern Ireland, ministers have said a full customs declaration would not be required to move goods into a freeport.
However some opponents fear they are designed to cut away regulations and help businesses pay fewer taxes which would otherwise support stretched public services such as the NHS and schools.
Some 10 freeports could be created under plans that have been championed by Prime Minister Boris Johnson and Chancellor Rishi Sunak.
Bids had to be in last Friday with decisions expected this spring and the first freeports opening later this year. Chosen sites would benefit from:
■ Becoming regional hubs for trade
■ Streamlined planning processes
■ Tax reliefs to help drive jobs, growth, and innovation
■ Simplified customs procedures and duty suspensions on goods
■ Fewer regulations
The East Midlands bid is backed by businesses, councils and the new East Midlands Development Corporation with support from universities, business groups, MPS and the Midlands Engine.
Clare James, East Midlands Airport’s managing director and a LLEP board member, said: “Assets like East Midlands Airport will have a key role to play in helping the Government fulfil its ambition of a “global Britain” especially as the country strikes trade deals around the world.
“As the port of entry and exit, we bring to the freeport bid, along with our road haulage and rail operating partners, the connectivity that is one of this region’s unique strengths.”
North West Leicestershire Tory MP Andrew Bridgen said: “Leaving the EU creates new opportunities for the UK to strengthen the union and become a hub for international trade and investment.
“Revitalising our port regions through an ambitious freeport policy is a key component of realising this vision and unlocking the deep potential of regions such as the East Midlands.
“We have the perfect logistical position for a freeport with the Airport supported by the East Midlands Gateway and superb road links both north to south and east to west.
“The airport is already a major trade hub, the UK’S busiest pure-freight airport, with more than 1,000 tonnes of cargo passing through every day and there is scope to at least treble that.”
Government support for freeports is a major opportunity for the East Midlands
Kevin Harris, LLEP