URL: https://democracy.kent.gov.uk/ieDecisionDetails.aspx?ID=3033

Decision Maker: Cabinet Member for Economic Development and Coastal Regeneration

Outcome:

Is Key Decision?: Yes

Is Callable In?: Yes

Purpose: Proposed Decision: To approve up to £6m of Kent and Medway Business Funds (KMBF) being made available to No Use Empty (NUE) Commercial scheme to still achieve the outcomes of the KMBF schemes in terms of boosting employment and economic growth within Kent, as well as generating income for KCC, both through interest payments/management fee and increasing business rate growth.   Reason for Decision   A decision is required to:   Agree up to £6m from the Kent & Medway Business Loan Fund (KMBF) being made available for No Use Empty (NUE) to administer short term secured loans to support specific NUE Commercial projects which would provide wider economic and employment opportunities and benefits as well as generating income, through interest payments. The value of an individual loan under this proposal is likely to be more than the £600k cap on loans which are administered by the KMBF team; and   agreement of the Section 151 officer or the Cabinet Member for Finance as appropriate for approval to spend: and   agree that delegated authority be given to the Corporate Director for Growth Environment and Transport to take appropriate actions, including but not limited to, entering into legal agreements (loan agreements and legal charges), consider and approve requests which may require consent and discharge of legal charges, as necessary to implement this decision.   ·      Background   Business Units NUE funded a pilot project - The Tridax Business at Honeywood Parkway, Whitfield, Dover, creating 24 new business units (completed December 2023) using KCC Treasury Investment funds. The project has been an immense success. NUE are seeking to borrow KMBF funds to support further NUE commercial projects to support the creation of additional high quality commercial/workspace in Kent to meet the needs of local firms.     Options   (a)  Do optimal – to proceed as planned with KMBF funds which will reduce the call on KCC funds (Treasury Investment funds and/or Capital Programme) for the creation of new business units.   (b)  Do maximum – to proceed as planned with Treasury Investment funding which will reduce the funding available for new build residential homes if up to £6m of the £28m was ring fenced for the creation of new business units.   Framing Kent’s Future 2022-26: https://www.kent.gov.uk/about-the-council/strategies-and-policies/framing-kents-future   Priority 1Levelling Up Kent - Our commitment is to support the Kent economy to be resilient and successfully adapt to the challenges and opportunities it faces over the coming years.    Securing Kent’s Future: https://democracy.kent.gov.uk/documents/s121235/Securing%20Kents%20Future%20-%20Budget%20Recovery%20Strategy.pdf   The decision does not place any additional financial burden on KCC as KMBF-NUE will be delivered with external funds and generate an income stream.   Kent & Medway Economic Framework: Action Area 4: Supporting the conditions for growth by responding to local need for workspace.    

Content: Proposed Decision: To approve up to £6m of Kent and Medway Business Funds (KMBF) being made available to No Use Empty (NUE) Commercial scheme to still achieve the outcomes of the KMBF schemes in terms of boosting employment and economic growth within Kent, as well as generating income for KCC, both through interest payments/management fee and increasing business rate growth.   Reason for Decision   A decision is required to:   Agree up to £6m from the Kent & Medway Business Loan Fund (KMBF) being made available for No Use Empty (NUE) to administer short term secured loans to support specific NUE Commercial projects which would provide wider economic and employment opportunities and benefits as well as generating income, through interest payments. The value of an individual loan under this proposal is likely to be more than the £600k cap on loans which are administered by the KMBF team; and   agreement of the Section 151 officer or the Cabinet Member for Finance as appropriate for approval to spend: and   agree that delegated authority be given to the Corporate Director for Growth Environment and Transport to take appropriate actions, including but not limited to, entering into legal agreements (loan agreements and legal charges), consider and approve requests which may require consent and discharge of legal charges, as necessary to implement this decision.   ·      Background   Business Units NUE funded a pilot project - The Tridax Business at Honeywood Parkway, Whitfield, Dover, creating 24 new business units (completed December 2023) using KCC Treasury Investment funds. The project has been an immense success. NUE are seeking to borrow KMBF funds to support further NUE commercial projects to support the creation of additional high quality commercial/workspace in Kent to meet the needs of local firms.     Options   (a)  Do optimal – to proceed as planned with KMBF funds which will reduce the call on KCC funds (Treasury Investment funds and/or Capital Programme) for the creation of new business units.   (b)  Do maximum – to proceed as planned with Treasury Investment funding which will reduce the funding available for new build residential homes if up to £6m of the £28m was ring fenced for the creation of new business units.   Framing Kent’s Future 2022-26: https://www.kent.gov.uk/about-the-council/strategies-and-policies/framing-kents-future   Priority 1Levelling Up Kent - Our commitment is to support the Kent economy to be resilient and successfully adapt to the challenges and opportunities it faces over the coming years.    Securing Kent’s Future: https://democracy.kent.gov.uk/documents/s121235/Securing%20Kents%20Future%20-%20Budget%20Recovery%20Strategy.pdf   The decision does not place any additional financial burden on KCC as KMBF-NUE will be delivered with external funds and generate an income stream.   Kent & Medway Economic Framework: Action Area 4: Supporting the conditions for growth by responding to local need for workspace.     As Cabinet Member for Economic Development and Coastal Regeneration I agree to:   (a)       AGREE to up to £6m from the Kent & Medway Business Loan Fund (KMBF) being made available for No Use Empty (NUE) to administer short term secured loans to support specific NUE Commercial projects which would provide wider economic and employment opportunities and benefits as well as generating income, through interest payments. The value of an individual loan under this proposal is likely to be more than the £600k cap on loans which are administered by the KMBF team; and   (b)       DELEGATE to the Corporate Director of Growth, Environment and Transport in consultation with the Section 151 officer or the Cabinet Member responsible for Finance for approval to spend: and   (c)        DELEGATE to the Corporate Director for Growth Environment and Transport to take appropriate actions, including but not limited to, entering into legal agreements (loan agreements and legal charges), consider and approve requests which may require consent and discharge of legal charges, as necessary to implement this decision as shown at Appendix A.    

Date of Decision: October 6, 2025