South East England Development Agency (SEEDA)

Knowledge-based business clusters will provide new opportunities for entrepreneurs throughout the South East

Southampton, Isle of Wight, Brighton & Hove, North Oxfordshire and Newbury named as first Hub locations

Entrepreneurs and business start-ups received a major boost today when the South East England Development Agency (SEEDA) announced the launch of five "Enterprise Hubs" - the first phase in its programme to create a network of business clusters across the South East.

Spearheaded by "Business Champions" - each of whom is a leading figure in his or her own industry - the SEEDA Enterprise Hubs are business-led networks providing flexible workspace for new companies and with strong links to universities.

HThe first five SEEDA Enterprise Hubs are being launched in Southampton, the Isle of Wight, Brighton & Hove, North Oxfordshire and Newbury. Between them, they will provide up to 250,000 sq. ft of new, flexible workspace. This initiative has already doubled the amount of flexible workspace under development in the South East. SEEDA's goal, through the Enterprise Hubs, is eventually to create 1,000,000 sq. ft. of workspace for small, growing businesses.

The SEEDA investment in these Hubs totals £9 million over five years. As well as providing, together with local partners, the physical infrastructure for business incubation and clustering, each Hub will have its own Director and support staff.

With a strong focus on nurturing innovation and technology transfer, the Enterprise Hubs will enable entrepreneurs to benefit from direct links with the region's universities and other academic and research institutions. Businesses in the Hubs will also have access to business advice and to public and private-sector sources of finance.

Announcing the launch of the first five SEEDA Enterprise Hubs, Chairman of SEEDA, Allan Willett, said: "SEEDA is determined to promote enterprise and champion the cause of small, growing businesses. One of the most effective ways we can do this is through the Enterprise Hubs.

"At present, about half of all business start-ups in the UK fail in the first five years. SEEDA aims to raise the survival rate to 80% or more. That is why we are establishing a network of 30 Enterprise Hubs across the South East, to help up to 600 new start-ups every year. We want them to succeed and build strong, durable businesses.

"Our Enterprise Hubs programme builds on 'Best Practice' in clustering and incubation. We looked at projects linked to Oxford and Sussex Universities, as well as examples in the United States. We have created a model which allows for local variations, will meet the needs of businesses and communities, and will build strong clusters of companies able to compete effectively in the international market."

Chief Executive of SEEDA, Anthony Dunnett, explained that the Enterprise Hubs will address specific local issues by generating new employment and business opportunities in industries with long-term growth potential. For example, the Hubs on the south coast will stimulate new investment in creative industries and in high value-added engineering sectors."

Another theme of the SEEDA Enterprise Hubs is "social enterprise" - the encouragement of community-based initiatives and cooperatives, Mr Dunnett added. Also, each Hub will have a different focus, depending on the corner of the economy it serves. The Isle of Wight Hub, for example, will create a cluster of businesses in composites manufacturing. Linked to Portsmouth University, the Hub - based at St Cross Business Park in Newport - will include research facilities and a science centre.

"We have an excellent Business Champion to head up the Isle of Wight project", Anthony Dunnett explained. "Paul Rudling is the Managing Director of SP Systems, a world leader in the field of lightweight structural composites and carbon-fibre technologies. With his wealth of experience, he will give strong leadership to the Isle of Wight Enterprise Hub."

Another high-profile Business Champion is Simon Fanshawe, media personality and Chairman of Surf FM, who heads the Brighton & Hove Enterprise Hub for SEEDA. This Hub will develop and support innovative new businesses in new media and creative industries, as well as electronics and advanced engineering.