Two business parks in west Suffolk could be set to benefit from a £7million loan from the council to develop innovation centres at both sites.
A proposal to set up a £7m loan fund to enable development of two business centres on the enterprise zones of Haverhill Research Park and Suffolk Business Park has been recommended for approval.
West Suffolk councils says the loan would provide match funding to go with the grant applications that have been made by the developer for the capital cost of building both centres.
The result would make delivery of either or both centres more likely.
The report said: “It is clear from the evidence we have that the number of new businesses (start-ups) in west Suffolk are comparatively low, whilst at the same time we have higher survival rates for those businesses that do start.
“The quantity of physical spaces for businesses to start from is low and those start-up facilities we do have are generally oversubscribed.
“The benefits from this proposal include the development of a building that provides flexible space, enables west Suffolk to attract new businesses and innovation which stimulate growth and inspire our local communities.”
Developer Jaynic has applied to the New Anglia Local Enterprise Partnership (NALEP) for Suffolk Park and the Cambridge and Peterborough Combined Authority (CPCA) for Haverhill Research Park for grants to support construction of the business centres at both sites.
Both NALEP and CPCA will be taking the decision whether to provide funding by the end of March.
Both grant funding bodies have indicated that the provision of match funding by way of a loan from West Suffolk Council is an important factor in the decision making process for them.
The report concludes: “By the end of March 2019, [the council] will know whether either of the grant funding applications for Haverhill Research Park and/or Suffolk Business Park have been successful.
“In the event that both grant funding and loans are provided, the developer has confirmed an achievable delivery programme that could result in the business centres being constructed by this time next year.”
The council’s decision whether to approve the loan will be made on March 19.
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