Multimedia Mania/abacus-multimedia-mania.iso/dp/0049/00498.txt

Text File | 1993-07-27 | 29KB | 503 lines

$Unique_ID{bob00498}
$Pretitle{}
$Title{United Kingdom
Urban Regeneration}
$Subtitle{}
$Author{Embassy of the United Kingdom, Washington DC}
$Affiliation{Embassy of the United Kingdom, Washington DC}
$Subject{wales
million
development
pounds
water
industry
new
board
companies
urban}
$Date{1990}
$Log{}
Title:       United Kingdom
Book:        Wales
Author:      Embassy of the United Kingdom, Washington DC
Affiliation: Embassy of the United Kingdom, Washington DC
Date:        1990

Urban Regeneration

     A number of measures have been introduced to assist the regeneration of
urban areas which have become derelict as a result of industrial changes.
Grants are available to local authorities under the Urban Programme, to
encourage individual enterprise, help local companies, and improve sites and
buildings. In 1988-89 provision for the Urban Programme in Wales amounted to
36.6 million Pounds.

     Under the Urban Development Grant Scheme, introduced in 1982, 172 million
Pounds was invested by the private sector in difficult urban sites, with grant
aid amounting to 36 million Pounds. This scheme was replaced in April 1989 by
Urban Investment Grants, negotiated directly between private developers and
appraisers from the Welsh Office and Welsh Development Agency, and approved by
the Secretary of State on the recommendation on an independent panel.

     In 1986 the Welsh Development Agency set up a specialist unit to
research, identify and promote opportunities for urban regeneration in Wales.
It has established eight priority areas for appropriate action, which can
include planning and design, the provision of grants for town improvements and
investment in property development. Projects range from shopping centres and
street improvements to landscaping and tourism developments, with the emphasis
on establishing effective partnerships between public and private interests.
By the end of 1988 the unit had helped to bring a commitment of 50 million
Pounds of public and private investment to urban regeneration in Wales.

     The south Wales valleys are one of the main areas in Wales to have
suffered hardship from the decline of the traditional industries, and in 1988
a three-year programme, designed to improve economic, environmental and
social conditions in the valleys, was announced. It has since been extended
by a further two years. The programme covers an area of about 2,200 sq km
(860 sq miles) from Pontypool in the east to the Gwendraeth Fawr valley
in the west, with a population of about 700,000 (see map).

     The measures include expansion of the Welsh Development Agency's
factory building and urban regeneration programmes, increased expenditure on
the clearance of derelict land, extra regional assistance to industry and more
Urban Programme expenditure for projects in the valleys. New loan schemes,
training schemes and a technology development fund have been set up to help
new and small businesses in the valleys, and business teams have been created
in each valley to strengthen links between schools, commerce and industry. The
tourism industry is being encouraged with investment of some 56 million Pounds
in the Garden Festival of Wales at Ebbw Vale (see p 18), and the development
of the Rhondda heritage park (see p 18), among other projects. Improved
facilities are being created for music and the arts, and there will be further
investment in housing, hospitals and health centres.

     In 1987 the Government set up a development corporation to stimulate
and control the regeneration of the former docklands in the Cardiff Bay area
over a period of about ten years. A feature of the project would be a barrage
between Penarth Head and Queen Alexandra Dock, which would create a lake
extending up the Taff and Ely rivers to the city centre, surrounded by some
240 hectares (almost 600 acres) of land suitable for early development. In
addition to industrial, commercial and business development, the project would
provide for housing, shops and leisure activities.

     A partnership between Swansea City Council and British Urban Development
Ltd is considering establishing a mixed development of high technology
industry and housing - a 'computer village' - on an area of some 190 hectares
(470 acres) of land in Swansea. It would be the largest single development in
Wales, generating some 6,000 jobs over ten years and enabling people to carry
out sophisticated work programmes from their own homes through the use of
computer links.

Enterprise Zones

     Three of the 25 enterprise zones which have been set up in Britain since
1981 are situated in Wales. The zones, which were planned to last for ten
years, are intended to regenerate private sector industry in the designated
areas by removing certain tax burdens and relaxing or speeding up the
application of certain statutory and administrative controls. The three Welsh
zones are in Delyn (Clwyd), the Lower Swansea Valley, and Milford Haven
Waterway (Dyfed).

     The Delyn zone, designated in 1983, comprises 118 hectares (293 acres)
and is centred on three largely redundant textile mills. The Lower Swansea
Valley zone was first designated in 1981 but was extended to a total of 314
hectares (775 acres) in 1984; much of the land has been reclaimed from past
dereliction and neglect. Milford Haven Waterway zone, designated in 1984,
consists of 13 separate sites on both sides of the Waterway, a deepwater
estuary; together, the sites total 146 hectares (362 acres). The enterprise
zone at Swansea has over 200 firms and 4,500 people work there; the Delyn zone
has 120 firms, providing 2,500 jobs; and the Milford Haven zone has 125 firms,
employing 2,000 people.

New Towns and the Rural Economy

     Economic development in Wales has also been helped by the new towns
programme and by schemes of assistance to rural industries. Cwmbran (Gwent)
was designated in 1949 to provide housing near an already existing industrial
area; it has also succeeded in attracting many new industries, and its
population grew from 12,000 in 1949 to about 49,000 in 1988. In June 1988 the
town's development corporation was wound up, in line with the Government's
policy to dissolve such corporations once their objectives have been
substantially achieved.

     The second Welsh new town, Newtown in Powys, was established in 1967 to
help to stem the rural depopulation of mid-Wales. Its population grew from
5,500 in 1967 to nearly 11,000 in 1988. Responsibility for Newtown was
transferred to the Development Board for Rural Wales, which was set up in 1977
to promote social and economic development in mid-Wales. As the population of
Newtown has now almost reached its target level, the Government is reviewing
the timetable for winding up the Board's new town responsibilities.

     The Development Board for Rural Wales operates in Powys and in the
districts of Ceredigion in Dyfed and Meirionnydd in Gwynedd. It aims to create
a thriving and self-sustaining economy through the provision of factories,
advisory services, enterprise training, financial incentives to industry and a
social development programme. The Board also acts as an agent for the Welsh
Development Agency, particularly in the provision of business advisory
services and discretionary grants.

     A notable company whose expansion has been helped by the Board is Laura
Ashley, one of the fastest-growing British clothing companies, with a
significant export business. Its headquarters are in Carno, to the west of
Newtown, and it has now opened factories in Newtown, Machynlleth, Welshpool
and Llanidloes, and is the largest private sector employer in the area, with
1,200 employees.

European Community Funding

     In addition to funds from central government, Wales has benefited from
financial assistance from European Community sources. Since Britain joined
the Community in 1973, Wales has received approximately 500 million Pounds
in grants under the European Regional Development Fund towards infrastructure
projects which assist economic development; 85 million Pounds under the
European Social Fund towards employment, training and job creation schemes;
and 420 million Pounds under the European Agricultural Guarantee and Guidance
Fund. In addition, 500 million Pounds in loans has been provided by the
European Coal and Steel Community and 520 million Pounds by the European
Investment Bank.

     Recent significant support from the Community includes up to 108 million
Pounds of aid for the period 1977 to 1991 from the European Regional
Development Fund for a programme to assist in the improvement of the economic
infrastructure in the predominantly rural counties of Dyfed, Gwynedd and
Powys. Similar programmes for the industrial south of Wales and Clwyd are
being considered by the Commission.

Production and Construction Industries

     For most of the 1970s and 1980s the production industries (mining and
quarrying; manufacturing; gas, electricity and water) and the construction
industry in Wales underwent a decline in employment, as they did elsewhere
in Britain. Between 1973 and 1988 the number of people employed in the
coal and steel industries, two of the largest sectors in Wales in terms of
output and employment, fell by 79,000 to 28,500. This created considerable
problems for the Welsh economy, although by the late 1980s the decline in
employment had largely come to an end.

     The chief industrial areas are in south Wales, in the counties of Mid,
South and West Glamorgan, and Gwent, where most of the steel industry
and all but one of Wales' coalmines are located, together with numerous
newer industries, However, north Wales is attracting a considerable amount
of new industry, particularly in the north-east around Wrexham and Deeside,
and increasingly in the north-west, with the improved communications
afforded by the upgrading of the coastal road, the A55 (see p 20). Light
industry has also been attracted to the towns in the rural areas in mid- and
north Wales.

Manufacturing

     Wales continues to account for about a third of steel production in
Britain. The plants are located mostly in industrial south Wales; the main
products are steel sheet and strip tinplate. In recent years the industry
has undergone extensive restructuring and modernisation aimed at improving
productivity and reducing costs. There has been large-scale investment; for
example, in 1986 a hot strip mill was refurbished at Port Talbot at a cost of
171 million Pounds, and 50 million Pounds has been invested in the Trostre
tinplate works at Llanelli. The steelworks at Llanwern (Gwent) and Port
Talbot are among the most modern and efficient in Europe, and both have
received substantial investment in continuous casting facilities. In
September 1988 the British Steel Corporation became a private company,
British Steel plc, under the British Steel Act 1988.

     Aluminium manufacture increased in importance in Wales following the
construction, with government assistance, of a major smelter in Anglesey
between 1968 and 1970. A 40 million Pounds rolling mill, the biggest of its
kind in Europe, was inaugurated in Swansea in 1978.

     More recently there have been developments in diverse areas of
manufacturing as investors from overseas have been attracted by a number of
factors, such as a skilled labour force, modern infrastructure, government
incentives (see p 9) and the spacious environment which Wales offers. Recent
major projects include the expansion by the United States company, Ford
Motors, of its engine plant, at a cost of over 600 million Pounds, creating or
safeguarding 2,500 jobs in Bridgend and Swansea. Some 3,500 people will be
employed on construction and installing new plant, while many jobs supplying
services will be generated. In 1989 Robert Bosch of the Federal Republic
of Germany announced investment of 100 million Pounds in a car component
production plant at Miskin, north-west of Cardiff, which will employ over
1,200 people and generate a further 1,500 jobs among its British suppliers.
The United States company Hoover moved its European headquarters in 1988 from
west London to Merthyr Tydfil, where its factory produces all its washing
machines and dishwashers for Europe, employing 2,250 people.

     Electronics has been one of the main growth sectors, with many new
high-technology businesses being established. Inmos operates two plants at
Newport, employing 1,000 people. Nimbus Records Ltd was one of the first
manufacturers of compact discs when its factory in Gwent began production
in 1984. Other companies that have expanded rapidly include Race Electronics
and the AB Electronic Products Group, a leading manufacturer of electronic
components to a wide range of industries and one of the largest private sector
employers in Wales. The consumer electronics industry has developed
particularly strongly in Wales, with several major factories producing
colour television sets, video recorders, microwave ovens and other products.
The manufacture of components for these products is developing rapidly.

     Over 20 Japanese companies have operations in Wales, the biggest regional
concentration in Europe, employing more than 5,000 people; among the companies
are Sony, Panasonic, Brother, Sharp, Hitachi and Aiwa. Companies from other
parts of the world making inward investments include Dow Corning and Mitel
from North America, and L'Or*eal and Staedtler from elsewhere in Europe. The
job opportunities arising from these new projects and expansions have
substantially offset the losses in iron, steel and coalmining.

Construction

     The construction industry employed some 43,000 people at the end of
1988. An extensive factory building programme is in progress (see p 11) and
there has been considerable expansion in private house building. Urban
regeneration programmes, such as the development of Cardiff Bay (see p 12)
and the construction of the site for the garden festival at Ebbw Vale (see
p 18), will provide many jobs for the industry over the coming years. A new
world trade centre is being built in Cardiff.

Energy and Water Supplies

Coal

     Wales produces about 0.7 per cent of British deep-mined coal and 9.6 per
cent of opencast production. In recent years improved efficiency and a
doubling of productivity in the coalmining industry have resulted from a
number of factors, including increased investment accompanied by the closure
of many collieries and a large reduction in manpower; the industry employed
some 8,000 people in Wales in 1987-88. There are two main coalfields, in the
south and in the north-east. The southern coalfield, with six remaining
collieries, is the larger, producing all of Britain's anthracite and
significant quantities of low-volatile steam coals. Output from the south
Wales mines amounted to some 5 million tonnes in 1987-88.

     British Coal has invested substantially in the modernisation of its Welsh
collieries, and has installed heavy-duty equipment capable of obtaining higher
output from fewer coalfaces. A new mine is being considered on Britain's last
remaining deposit of prime coking coal, at Margam in West Glamorgan. The
project, for a hillside drift mine, which would employ nearly 850 miners and
400 people during construction, would involve 100 million Pounds of
investment. The colliery would provide a long-term source of supply to the
British Steel plants at Port Talbot and Llanwern. An agreement has been
reached with the Union of Democratic Mineworkers for flexible six-day working
so that coal can be produced on up to 300 days a year, taking advantage of the
new mining technology which is capable of sustained high performance.

Oil

     Wales has three oil refineries, representing about one-fifth of Britain's
oil refining capacity: one at Pembroke (Texaco, with an annual distillation
capacity of 9.1 million tonnes); and two at Milford Haven (Gulf Oil, 5.1
million tonnes, and Amoco/Murco, 5 million tonnes).

Electricity

     Power stations in Wales include two nuclear power stations, at
Trawsfynydd and Wylfa (both in Gwynedd), coal-fired plants at Aberthaw (South
Glamorgan) and Uskmouth (Gwent), a number of small hydro-electric plants and
pumpled-storage stations at Ffestiniog and Dinorwig (both in Gwynedd). The
pumpled-storage station at Dinorwig, which is the largest of its type in
Europe, began operating in 1983 and has an average generated output of
1,728 megawatts (MW). When Dinorwig is required to generate electricity (at
periods of peak demand), up to 6.6 million cubic metres (1,450 million
gallons) of water flow from a mountain reservoir, passing down within the
mountain, to drive the power station turbines. Its quickest response rate
(1,320 MW in 10 seconds) is faster than any other pumped-storage station
in the world.

     Research work in connection with the assessment of wind power has been
in progress on a former coal-fired power station site at Carmarthen Bay
(Dyfed) since 1982. The Central Electricity Generating Board (CEGB) has four
machines in operation, including both horizontal-axis and vertical-axis
turbines, and plans to construct a further two turbines: a vertical-axis
machine with maximum generating capacity of 500 kW and a horizontal-axis
machine with maximum generating capacity of 330 kW.

     A demonstration wind farm is proposed on a site at Capel Cynon in Dyfed,
as part of an expanded government programme to investigate the economic
viability and environmental acceptability of wind energy. Funded by the
Department of Energy and the CEGB, the park will have a generating capacity'
of 8 MW, and consist of 25 vertical- or horizontal-axis turbines. Each of the
machines will have an output of 300 to 500 kW and an estimated operating
life of 25 years, producing enough electricity each year for about 5,000
people. It is hoped that the wind farm will be fully operational by spring
1991.

     The Department of Energy and the Severn Tidal Power Group (a private
sector consortium) have completed a 4.2 million Pounds study of the technical,
financial and environmental viability of a tidal energy barrage in the Severn
estuary, where the exceptionally high tidal range makes it one of the best
potential sites in the world for large-scale electricity generation from tidal
power. The Centre for Alternative Technology, a voluntary body, has a
permanent working demonstration of various applications of renewable energy
sources, such as solar panels, windmills, biofuels and water power, at its
site in a former quarry at Machynlleth (Powys), and attracts more than 50,000
visitors a year.

     The Electricity Act 1989 provides for the privatisation of the
electricity supply industry in Great Britain. The South Wales Electricity
Board and the Mersey and North Wales Electricity Board, the two area boards in
Wales, will, like their ten counterparts in England, become distribution
companies with the obligation to supply in their areas. The non-nuclear power
station assets are to be divided between two generating companies, National
Power and PowerGen, and a transmission company, while the nuclear stations
will remain in the public sector.

Water

     From 1974 until 1989 river management, water supply, sewerage, and sewage
disposal in Wales were the responsibility of the Welsh Water Authority and the
Severn Trent Water Authority. The Water Act 1989, which provided for the
privatisation of the water and sewerage industry in England and Wales,
significantly changed the water industry in Wales. The water supply, sewerage
and sewage disposal functions of the water authorities were transferred to new
limited companies. A new body, the National Rivers Authority (NRA), assumed
responsibility in England and Wales for the control of water pollution, water
resource management, flood defence, fisheries and navigation.

     The areas covered by the new companies are defined by river catchment
areas and do not follow the national border with England. Accordingly, Welsh
Water (Dwr Cymru Cyfyngedig) includes parts of England on the northern and
southern border with Wales, while Severn Trent Water, most of whose area is in
England, includes the upper Severn Valley in mid Wales. Similarly, the NRA
operates through a regional structure, based on the areas of the former water
authorities and almost identical with the areas served by the new companies.
There are also two statutory water companies which supply water in Wales; like
the other 27 water companies, which operate wholly in England, they will be
able, if they wish, to convert to plc status.

     The largest hydro-electric pumped-storage scheme in Europe, at Dinorwig,
Gwynedd, began operating in 1983. Dinorwig has its 400 kilovolt substation
deep underground in the Elidir mountain in Snowdonia, and the 11 km (6.8
miles) of cable needed to connect Dinorwig to the national grid are also run
underground. Environmental factors were taken into account in the design of
the project.

     Water resources consist mainly of rainfall stored in upland areas and
distributed to the heavily populated valleys and lowland areas. Many Welsh
rivers (see p 25) are also used to provide abstractions for drinking water.
A substantial proportion of the water resources of Wales are used to supply
the Midlands and the north-west of England.

Service Industries

     The service industries experienced an overall rise in employment of
77,000 in the period 1971-88. Some 575,000 people were employed in service
industries in Wales in December 1988, accounting for 65 per cent of
employment, compared with 58 per cent in 1980 and 48 per cent in 1970. The
most marked growth has been in the financial and business services, and
leisure services. There has been a relative shift away from employment in
transport, communications and distributive services.

     In December 1988 the major service sectors in Wales had the following
numbers of people in employment (excluding the self-employed); banking,
insurance, finance and business services, 72,000; retail distribution, 92,000;
wholesaling, hotels and catering, and repairs, 89,000; public administration,
defence and sanitation services, 87,000; education, health, personal and other
services, 193,000; and transport and communications, 42,000.

Financial Services

     Wales is developing strongly as a financial services centre. In addition
to the local companies in this sector, and the large offices of the major
accountancy firms, a number of companies have made significant inward
investments. Chemical Bank was one of the first to locate its operations in
Wales, and in recent years it has been followed by the Trustee Savings Bank
(see p 11), National Provident, which is creating 500 jobs in Cardiff, and the
merchant bank Rothschilds. As well as generating many jobs in its own right,
the financial sector is providing considerable support for the industrial
revival of Wales.

Tourism

     The tourism industry in Wales has expanded substantially in recent years,
and it is estimated that it employs more than 90,000 people. The culture,
language and heritage of Wales, combined with its fine natural assets, make
it attractive to many tourists, especially those who enjoy outdoor holidays
(see pp 23-4 and 30-2).

     Castles and historic places are among the main attractions for tourists
in Wales. The monuments are the responsibility of Cadw: Welsh Historic
Monuments, which is charged with the conservation and promotion of properties
in its care (see p 24). Increasingly there are tourist attractions based on
exploration of the country's industrial past, and narrow-gauge steam railways
continue to draw many visitors. Wildlife parks, leisure centres and harbour
developments have been established recently, and the many cultural events
include traditional folk and music festivals, such as the eisteddfodau (see p
30).

     The Wales Tourist Board promotes Wales as a holiday destination and
encourages the provision and improvement of tourism amenities and facilities.
In 1988-89 the Board approved 240 projects, assisting them with over 4 million
Pounds, and generating a total capital investment of 22.7 million Pounds. An
estimated 780 jobs were created as a result. In addition, the Board is to
spend 8.7 million Pounds over next the five years on 17 development programmes
in resorts, historic towns and tourist centres across Wales, supporting some
73 million Pounds of public and private sector investment and creating an
estimated 2,000 new jobs.

     The Board places particular emphasis on attracting more overseas
visitors; although Wales has a large share of domestic tourism, it has only
4 per cent of the overseas visitor market in Britain. Some 11 million domestic
tourist trips (holidays, business trips and visits to friends and relatives)
were made to Wales in 1988, representing 9 per cent of such trips in Britain.
Expenditure by domestic visitors in 1988 was 625 million Pounds; overseas
visitors spent an estimated 115 million Pounds, while it is estimated that a
further 375 million Pounds was generated by day visitors.

     The Board has prepared a development strategy, to be implemented over a
period of five years, in consultation with the tourism trade, local government
and other agencies, in order to assess the strengths and weaknesses of Wales'
tourism resources. It aims to identify the potential for future development
with a view to meeting market demands, maximising job creation and extending
the season.

     To improve facilities for tourism, the Board is tackling the shortage of
large hotels, helping to upgrade traditional resorts, and marketing the south
Wales valleys as a tourist region. It is assisting the development of
facilities at the country's water amenities, encouraging the market for day
visitors and widening the base for rural tourism.

Holiday Accommodation

     There have been considerable improvements over recent years in standards
of holiday accommodation. In the service sector in 1971 there were only 2,290
rooms with private bathrooms in Wales, whereas by 1986 the number had risen
to almost 12,800. In 1987 a classification scheme for hotels and other
serviced accommodation was introduced by the Board, based on facilities
offered, and a quality grading scheme for caravan, chalet and camping parks.
Private investment of over 40 million Pounds to improve hotels, inns and
public houses in the south Wales valleys has been announced. Many farms are
now taking the opportunity to offer facilities for tourists.

Business Facilities

     With the completion of the St David's Hall conference centre, Cardiff
has joined the group of major British cities that can provide modern and
extensive facilities for the numerous conferences (both domestic and
international) that take place in Britain. A World Trade and Exhibition
Centre is being built in the city, supported by 3 million Pounds of urban
development grant.

Rhondda Heritage Park

     The first stage of the planned heritage park in the Rhondda valley in
Mid Glamorgan, a visitors' centre, was opened in July 1989. The park is
scheduled for completion in 1993, and it is hoped that an estimated 250,000
visitors a year will visit the restored colliery and re-created mining
village. Over 2 million Pounds of government urban programme funding will be
spent to develop it over the first three years.

Garden Festival Wales

     Garden Festival Wales, to be held in 1992 at Ebbw Vale, will be a major
national tourism and leisure event. It is an important part of the valleys
programme, which aims to improve the economic, social and environmental
conditions of the south Wales valleys (see p 12). The public and private
sectors are to invest 56 million Pounds in the project, which is expected to
attract over 2 million visitors. In the longer term, the site will serve as
a focus for economic growth in the area.

CEGB Dinorwig/National Museum of Wales

     A major new attraction is being developed by the National Museum of Wales
and the Central Electricity Generating Board in Snowdonia. With assistance
from the Wales Tourist Board, an exhibition and associated underground tour is
to be established at the National Museum of Wales' centre, Oriel Eryri, in
Llanberis, which will link up with the Dinorwig pumped-storage power scheme
(see p 16).