CD5 - Old Oak and Park Royal Inclusive Growth Programme 2025-26

1.1 On 27 March 2025, the OPDC board approved £8.939m expenditure on the OPDC Delivery Directorate programme to be funded from the 2025-26 revenue budget. This revenue budget is funded from the Greater London Authority (GLA) grant, and rental income from OPDC’s land and property assets.

1.2 The Delivery Directorate work programme covers the following activities:

1.3 Old Oak Development programme: Progressing plans for Old Oak (OO), including development of the Interim Business Plan (IBP), procurement of preferred partners for development and investment, full business case development work , further development of the illustrative masterplan along with the Infrastructure Delivery Plan and technical studies including planning legal and development advice.

1.4 Old Oak Land Acquisition: Continuing work on private land assembly at OO, including work on the Compulsory Purchase Order workstream, due diligence activities to support site acquisition and progression of a relocation strategy for those affected.

1.5 Strategic Delivery programme: A package of supporting activities that encapsulates work across the entire OPDC area. This includes early sites and project development, public realm projects, infrastructure, sustainability and decarbonisation as well as Meanwhile use scoping and development; and programme management support.

1.6 Inclusive Growth programme: In line with the OPDC’s Economic Vision, the Mayor’s Growth Plan and local economic development ambitions, the programme will include commissioning employer-led skills programmes, careers-based work with schools, the Creative Enterprise Zone, and work with Small and Medium Enterprises (SME’s) in Park Royal and surrounding areas.

1.7 Asset Management - Asset and property management of land and property purchased by OPDC. This decision seeks approval for expenditure for the package of work to deliver the Inclusive Growth (IG) programme for the financial year 2025-26.

2.1 The IG programme will be delivered by the OPDC Delivery Directorate. The overarching programme is formed of three workstreams as outlined in Table 1 with indicative budgets identified.

2.2 There will need to be some flexibility between the workstream allocations which will be managed by the Executive Director of Delivery, working closely with the OPDC Finance Team. The total budget for the programme will not be exceeded without further approval.

2.3 Table 1 IG Delivery workstreams and indicative 2025-26 budget allocations:

2.4 Further detail on each of the activities is summarised below:

Workstream 1: Affordable workspace and intensification

2.5 The funding in this workstream will provide loans to local SMEs to enable additional affordable workspace. The loan funding will deliver productivity and growth benefits, job creation, improved sustainability performance and responsible business practices within the local area.

2.6 Additional funding from Section 106 contributions will be sought and applied for via POAG, which alongside the funding identified here will support delivery of the OPDC’s developing Affordable Workspace and Social Value Delivery Plan.

2.7 An indicative allocation of £150,000 has been identified to this workstream.

Workstream 2: Business and community capacity building

2.8 The activities as part of this workstream will focus on business support, specifically capacity building within the local SME base. A number of proposed activities are planned: 

2.9 Tailored 121 support to local SME by a framework of business to business specialists to support business growth and start-up viability.

2.10 Programme of Creative Business Support for micro starts-up firms in Park Royal.

2.11 Contributions to Park Royal Design District and Park Royal Business Group to raise the profile of the area for inward investment purposes, to host business-facing events and host London Craft Week and the London Design Festival. 

2.12 Creative Enterprise Zone (CEZ) – OPDC contribution to the Park Royal and North Acton CEZ that has recently been re-accredited by the GLA.

2.13 A contribution to 1.5 full time equivalent posts within the LB Ealing Regeneration team.

2.14 An indicative allocation of £345,000 has been allocated to this workstream.

Workstream 3: Skills and Career-based education programme

2.15 As set out at its March 2025 Board meeting, OPDC is moving towards the delivery of a Skills for Inclusive Growth programme. The programme will involve bespoke commissions to develop pathways for local residents, particularly those from under-represented backgrounds, through training and into work in key current and future growth sectors. Early examples of identified initiatives for 2025-26 include:
• A programme of construction skills training
• Food and Drink Manufacturing skills
• Developing career pathways in film/tv
• STEM pathways into the knowledge-based economy

2.16 In addition, in order to provide young people with the knowledge, skills and networks they will need to transition into the labour market in the future, OPDC is funding Open City Education to deliver careers-based workshops in three local secondary schools (chosen by a criteria of percentage free school meals, percentage students from an under-represented background and per centage SEND) that will see industry professionals share their knowledge and career insights with students.

2.17 This workstream funding will also contribute towards OPDC’s Economic Development Strategy (which is being delivered by external consultants) and will build on OPDC’s Economic Vision and provide a detailed framework for OPDC to begin delivering its vision in a way that supports our ambitions for inclusive growth. It will contain a detailed evidence base to underpin the strategy’s rationale, priorities and programmes to ensure value for money for OPDC.

2.18 An indicative allocation of £200,000 has been allocated to this workstream.

3.1 The IG programme is focused around a series of principles and objectives as follows:
• Support local residents to improve their skills and progress into training and employment opportunities within the OPDC area (and beyond).
• Focus on breaking down barriers to traditionally under-represented groups accessing jobs, skills or business support provision.
• Develop good relationships and an understanding of the diverse communities and businesses in Old Oak and Park Royal.
• Support Park Royal and OPDC’s other major employment areas to be a good place for businesses and their employees – for example, providing key business skills training, including support to help them become more sustainable (e.g. improved environmental performance) and make Park Royal a more inclusive and sustainable place that is characterised by fair employment practices.
• Encourage delivery of an adequate supply of the right type of workspace for businesses to start-up, grow and thrive.
• Work with and support our existing business base and strengths.
• Support businesses to adapt to the challenges of climate change.
• Ensure that the right employment training and skills offer is in place, and encourage better pay and working conditions
• Build the capacity of business-led and other grass roots organisations.

4.1 Work on OO supports OPDC’s strategic objectives by helping to deliver 25,000 new and affordable homes and 56,000 new jobs, and with our new Local Plan in place. The OO development within the Opportunity Area is one of the largest single regeneration projects in London with the potential to deliver circa 8,000 homes and significant amounts of commercial space.

4.2 The Old Oak development, within the Opportunity Area, is the largest single regeneration project in London with the potential to deliver circa 8,000 homes and 2.5m sq. ft of commercial space. The Park Royal area is London’s largest industrial area and home to over 2,000 businesses and 40,000 employees – it will see significant change and regeneration as plans for OO and the wider Opportunity Area come forwards.

4.3 The IG programme brings together a package of OPDC’s projects into a single coherent programme that will deliver the OPDC’s Economic Vision by supporting local business growth and improve life chances locally by providing training and job opportunities.

5.1 The IG programme is managed by the Head of Inclusive Growth within the Delivery Directorate, reporting to the Director of Delivery.

5.2 Projects within the IG programme will prepare monthly dashboard updates including top risks and issues which will be reported to the Delivery Programme Board. These will be escalated to the appropriate board as necessary.

5.3 All contracts will be procured in accordance with OPDC’s Contracts and Funding Code utilising the agreed Contract Management Process.

5.4 Appointed consultants will report to a nominated Contract Manager in the OPDC Delivery Directorate. OPDC Contract Managers will provide regular monthly updates on progress, expenditure, risk and variations which will be managed in accordance with OPDC’s change control process. All new scopes of work, variations and call off agreements will be discussed and approved within the appropriate level of delegation.

5.5 Regular updates will be provided to the Delivery Programme Board as well as to OPDC Board and the Development Investment and Sustainability Committee.

7.1 Under Section 149 of the Equality Act 2010, as a public authority, OPDC must have ‘due regard’ to the need to eliminate unlawful discrimination, harassment and victimisation as well as to the need to advance equality of opportunity and foster good relations between people who share a protected characteristic and those who do not.

7.2 Under Public Sector Equality Duty it is a legal requirement for OPDC to have due regard in how their policies and decisions might impact affect EDI. The GLA Group Responsible Procurement Policy sets out the GLA Group’s plans, ambitions and commitments for ensuring socially, environmentally, and economically sustainable procurement to delivery improved quality of life and better value for money for Londoners. As part of its procurement strategy, OPDC will ensure that bidders set out how they will embed EDI and enhance the social value outcomes in their delivery by submitting an EDI statement and action plan. Compliance and performance against the EDI action plan will then be monitored as part of the monitoring and reporting process.

7.3 OPDC has developed a suite of strategic documents to ensure an equitable and inclusive approach to regeneration, including our Regeneration Strategy, which will underpin scheme development at Old Oak, and our Sustainability Charter, which aims to address deprivation and health inequalities and improve the quality of life for local people.

7.4 Additionally, OPDC’s Inclusive Growth programme seeks to actively address inequalities through targeted investment support for marginalised groups in line with our Equity, Diversity and Inclusion Strategy, reinforced by our emerging Economic Vision.

8.1 OPDC is committed to leading the way in social value, ensuring its planning, development and delivery activities deliver local skills and jobs, business benefits in a diverse, inclusive and sustainable way. It’s a place where responsible businesses and local people can learn, engage and embrace new ways of working and benefit from responsible and inclusive growth.

8.2 This budget will allow for the continued work on the IG workstream, this will help OPDC towards its goals of “leading by example in setting the highest standards of employment and delivering a range of diverse and inclusive jobs.”

8.3 Individual procurements that stem from this budget will have their own social values assessed as appropriate.

9.1 There are no other considerations that need to be considered in the taking of this decision.

10.1 No one involved in the preparation or clearance of this Form, or its substantive proposal, has any conflict of interest.

11.1 The OPDC Board approved the expenditure of £695,000 for FY25/26 for the Inclusive Growth programme. This decision form sets out more detail on how this £695,000 budget will be utilised and managed.

11.2 Individual workstreams will require the appropriate decisions, approvals, detailed scope and outcomes. Given the nature of the Inclusive Growth programme, flexibility will be required within these budget amounts and across the full Delivery Directorate budget to support OPDC’s objectives. Finance will work closely with the Delivery Team to track, monitor, challenge spend and ensure that total budgets are not exceeded.

11.3 The CFO is a member of the Programme Board which provides regular oversight.

12.1 The report above indicates that the decision requested of the Chief Executive Officer falls with the OPDC’s object of securing the regeneration of the Old Oak and Park Royal area and its powers to do anything it considers appropriate for the purpose of its objects or purposes incidental to those purposes, as set out in the Localism Act 2011.

12.2 In taking the decisions requested, the Chief Executive Officer must have due regard to the Public Sector Equality Duty, namely the need to eliminate discrimination, harassment, victimisation and any other conduct prohibited by the Equality Act 2010, and to advance equality of opportunity between persons who share a relevant protected characteristic (race, disability, gender, age, sexual orientation, religion or belief, pregnancy and maternity and gender reassignment) and persons who do not share it and foster good relations between persons who share a relevant protected characteristic and persons who do not share it (section 149 of the Equality Act 2010).

12.3 Any services the subject of the expenditure should be procured in accordance with the OPDC’s Contracts and Funding Code. OPDC Officers should ensure that appropriate contractual documentation is to be executed by any service provider engaged by OPDC before the commencement of any services subject to the expenditure requested under this decision form.

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