MM - Wider Economic Benefits and Business Case Development 2016
1. Assess and understand the wider economic impact
of local development to help unlock infrastructure
funding and support economic growth.
Our specialist team will support you throughout the scheme
lifecycle - from strategic definition to delivery. By engaging with
you early in the process, we use data and analysis to support
business cases and assist project development. At the end of the
project, we can assess the impact your intervention has made on
local economic growth.
We apply market-leading tools and engage our multi-disciplinary
expertise to help you in the development and delivery of key
infrastructure schemes. We support local regeneration and
economic growth to achieve wider social and economic benefits.
Building the case
for local economic
growth
2. Our market-leading capabilities and tools will help
you to deliver.
• Our Transparent Economic Assessment Model
(TEAM) provides the hard evidence to secure
funding for infrastructure improvement schemes
across the UK
• The Total Impact (TI) model captures the
economic activity supported by an organisation
• Our Investment Sifting and Evaluation Tool
(INSET) enables us to conduct a multi-criteria
assessment, weighting and prioritisation process
to help you to select an appropriate investment
option
One-team approach
We engage with a wide
range of stakeholders
to ensure all aspects of
scheme development are
explored and to enable
us to create a bespoke
solution tailored to your
specific requirements.
Our economists and
analysts work alongside
our transport planners
and modellers to develop
suitable, affordable and
achievable transport
development schemes.
We pride ourselves on
helping our clients to
deliver.
Multi-disciplinary
experience
Our local experts
apply multi-disciplinary
experience gained from
working on some of the
largest, most critical
transport infrastructure
development schemes
in the UK. Leveraging
our global knowledge
and skills, we help you
to develop the best
solutions tailored to your
local needs.
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Connecting your world
Whatever your needs or ambitions and wherever in
the world you are, we can align the right combination
of expertise.
Working with us you get the advantage of size and
stability that come from a US$2bn organisation.
We employ over 16,000 people, delivering projects
in Africa, Asia Pacific and Australasia, Europe, the
Middle East, North and South America, and South
Asia. But you get the kind of openness, friendliness
and personal commitment you might associate with a
much smaller business.
We understand the important role
of transport in local communities.
By developing local transport
infrastructure, we enable long-term
economic and social regeneration
for the benefit of local businesses,
residents and investors.
Enabling
economic growth
We have unrivalled knowledge of government
policies and practices. Whatever the challenges of
your project, we have the in-house experience and
specialist expertise to give you the analysis that helps
you to achieve scheme success.
3. Define the opportunity
We research, identify and
plan the opportunity by
applying our specialist
knowledge and
management systems.
We apply our cross-
sector knowledge to
ensure the end solution
meets the full scheme
requirements.
1. Deliver a winning
business case
Our project feasibility
assessments and
evidence of wider
economic benefits
ensure a successful
and robust business
case is developed.
3.
Understand the impact
Our economists and
analysts conduct an
economic impact
assessment to
understand the full socio-
economic benefits to be
achieved by improving
infrastructure. Our
evidence helps ambitious
projects to become
reality.
2.
4.
Secure investment
We help you define the
strategic requirements
and specific needs of the
project by considering
the economic, social and
environmental impacts
of the infrastructure
improvement schemes.
By assessing project
feasibility, we ensure that
schemes are achievable
and deliverable.
5.Focus on delivery
With experienced
project managers, we
ensure the scheme is
supported during the
implementation phase.
We ensure scheme
delivery by our active
involvement during the
project pre-feasibility
stage to ensure the
scheme will be a
success.
We help to guide you from project
inception to scheme delivery.
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Our specialist
skills and sector
knowledge assist
you at five key
stages of scheme
development
4. Unlocking scheme funding
to support development in
a heritage city
Opportunity
Local commuters and visitors to Chester faced
regular journey delays as a result of congestion
across the city’s bus routes and roads. The proposed
bus interchange will relieve road congestion in
Chester and improve linkages between pedestrian
walkways and cycle ways.
Solution
We conducted a range of economic and social
impact assessments to quantify the impact of
potential improvement plans for Chester’s transport
network. By applying our TEAM model, our
economists and analysts were able to demonstrate
the wide range of social and economic benefits that
a new transport interchange would bring to Chester,
once the bus station moved from its current location
and allowed development land to be unlocked.
Outcome
By building a strong business case, we were able
to support Chester and Cheshire West Council to
secure investment from the Local Growth Fund.
We identified the major benefits to be gained by
developing a large brownfield site, which will enable
further socio-economic regeneration in the area.
Our study identified £60M of economic benefits that
could be realised over 60 years by implementing the
development scheme for a cost of £21M.
The scheme is now under construction and is
expected to open in spring 2017.
£60MEconomic benefit over 60 years
£21MDevelopment scheme cost
Project
Chester Bus Interchange
Client
Cheshire West and
Chester Council
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Project
Finningley and
Rossington Regeneration
Route Scheme (FARRRS
II) (renamed The Great
Yorkshire Way)
Location
Doncaster, UK
Client
Doncaster Metropolitan
Borough
Expertise
Transport planning,
economic benefit
assessment
A route to economic
success
Opportunity
Improved access at Robin Hood Airport Doncaster
Sheffield (RHADS) will increase the airport’s footfall
and improve economic activity in the local area. The
new road scheme reduces journey times and relieves
local congestion, leading to wider environmental and
economic benefits for the city-region.
Solution
Using TEAM, we calculated the economic impact of
the proposed road through the new jobs and Gross
Added Value (GVA) that could arise on development
land along its route. We also assessed the indirect
(supply chain) and induced (consumption) effects
linked to economic development activity along
the route. As a result, TEAM was able to clearly
demonstrate how the route could generate £2101M
of GVA over the appraisal period.
Outcome
Our insight highlighted the main economic benefits
that the scheme offered and identified many non-
quantifiable benefits, such as improved accessibility
to South Doncaster’s growing tourism economy.
Improved accessibility would also improve commuter
journeys, retain local graduate-level talent, and
improve opportunities for small and medium-sized
businesses to grow and prosper. The input of our
market-leading skills and expertise enabled the
scheme to receive a grant from Sheffield City Region
Investment Fund for £9.1M towards the capital cost of
Phase II.
Our support of Phase II follows on from a successful
Regional Growth Fund bid, which we drafted to
secure funding for Phase I based on the employment
effects.
“Our sincere thanks to Mott
MacDonald who have done a great
job with the FARRRS planning
application and the contractor
procurement”
Neil Firth
Doncaster Metropolitan Borough Council
Location
Chester, UK
Expertise
Business case
development, economic
social impact assessment
5. We identified a potential £35bn worth of
benefits to the North by maximising the
role of the North of England’s freight and
logistics sector.
On behalf of the Transport for the North, we
produced the Northern Freight and Logistics
Report, which highlights the major role for the
freight and logistics sector to play in supporting
and rebalancing the UK’s economy.
Multi-skilled team
Our diverse team of transport planners, transport
modellers, economists, and market researchers
supported the delivery of this report.
Market-leading tools
By applying TEAM, we identified a potential
£35bn worth of user and non-user benefits, an
additional £13-20bn of wider economic benefits,
and up to 38,000 new jobs for the Northern
economy.
£35bnPotential worth of benefits
38,000New jobs created for the
Northern economy
Building the case for local economic growth | Mott MacDonald | 9
Creating a gateway to
economic growth
Opportunity
Over 1.3M passengers pass through Cardiff Airport
each year. With passenger numbers increasing,
Cardiff Airport’s importance as an international
gateway to the Cardiff Capital Region and wider
South Wales is also continuing to grow. The railway
connecting Rhoose Cardiff International Airport rail
station to the centre of Cardiff, and other cities in
the region, is essential to support the increasing
number of passengers travelling to the airport
and surrounding Enterprise Zone. Transport for
Wales commissioned Mott MacDonald to consider
potential options for improving rail access to Cardiff
Airport, to support the growing tourism industry,
as well as improving connectivity for commercial
users associated with the Enterprise Zone and local
residents.
Solution
Our team of expert analysts assessed the economic
development potential associated with options
to improve the rail access at Cardiff Airport. We
identified the potential benefits for a range of
scheme options, and developed a number of
solutions to mitigate possible scheme risks. We
took account of previous studies and engaged with
scheme stakeholders by conducting consultation
workshops and interviews in order to understand
the ways in which transport infrastructure influences
economic development in the area.
Outcome
The aim of the project is to provide Transport for
Wales with the best option to improve the airport’s
rail access. By understanding the wide range of
socio-economic constraints and benefits to localised
development, we have provided robust evidence
to support the business case development. Our
transport modellers identified the requisite level
of passenger demand to support the scheme
business case. Improvements to rail access at
Cardiff Airport will support the region’s growing
tourism and commercial industries, and better
access to the surrounding Enterprise Zone will help
stimulate growth of local businesses. Rail access
improvements will help ensure access to Cardiff
Airport is built to withstand a growing future demand.
Project
Cardiff International
Airport
Location
Cardiff, UK
Client
Transport for Wales
Expertise
Business case
development,
economic social impact
assessment
Supporting the Northern
Powerhouse’s growth
plans
Interventions identified in the report:
• Increasing network capacity for freight
to, from and within the North on railways
and waterways
• Addressing pinch-points on the road
network, particularly considering the
pivotal role played by the M62
• Developing strategically located freight
interchanges or distribution centres
(Multimodal Distribution Parks), which are
well connected by rail and waterways
• Delivering growth for Northern ports by
improving connectivity to and from these
hubs and enabling shipping lines to offer
more
The strategy set out in the report recommends
support to reduce the cost of freight transport,
expand the global market share for the North
in the logistics sector and attract inward private
investment into the Northern Powerhouse area
and the UK as a whole
8 | Mott MacDonald | Building the case for local economic growth
6. 10 | Mott MacDonald | Building the case for local economic growth
Evidencing
economic impact
Project
30 James Street Hotel
Location
Liverpool, UK
Opportunity
Liverpool is a major tourist destination and renowned
for its historic links to RMS Titanic. The 30 James
Street Hotel is the former home of the White Star
Shipping Line, owners of the RMS Titanic, and a
key part of the hotel’s attraction is its unique styling
and décor based on the iconic Titanic. With an
average occupancy at over 90% the hotel makes a
substantive contribution to tourism and heritage-led
tourism in Liverpool.
Solution
To understand and quantify the impact of 30 James
Street Hotel on the Liverpool City Region economy,
we applied our Total Impact (TI) model and wider
economic benefit analysis. Our evidence of the
economic impact of 30 James Street Hotel on the
City Region identified the additional visitors attracted
to Liverpool by the unique hotel and the additional
economic productivity they support as their
expenditure flows through the local economy.
Outcome
Our evidence was used by Signature Living to
demonstrate the wider economic impact of the
hotel on Liverpool and its growing tourism industry.
We identified 66 jobs in tourism were supported
by the 4,700 annual guests staying at the hotel.
Through the multiplier effects of the hotels operation,
the economic footprint of the hotel in the city is
substantial with over 80 jobs and £4.4M of GVA
supported. We placed these findings within the wider
story of the region’s successful visitor economy and
Liverpool’s heritage-inspired regeneration of recent
years.
£4.4MGross Value Added (per annum)
Bringing policy and
investment together
Opportunity
The wide range of projects to consider, combined
with a multitude of complex funding streams, made
decision-making to award project funding a difficult
exercise in the Liverpool City Region (LCR). We
helped the LCR to develop an evidence-based
approach to selecting, organising and prioritising
transport projects. By identifying projects suitable
for funding and engaging in early application
preparation, LCR were able to create a pipeline of
projects ready for funding.
Solution
We carried out multi-criteria assessments on projects
proposed by Partner Authorities. The assessments
categorised projects according to their suitability to
apply for funding. Before being prepared for business
case development, WEBTAG and economic and
social analysis is conducted to package the projects
by size, mode, and other key details.
Outcome
Our experts have played an integral role in shaping
the future of transport investment in the LCR by
supporting the development of the Transport
Investment Pipeline. The proactive approach to
scheme development means that the LCR can
prepare projects for funding applications in advance
of award availability. The process has also ensured
that transport funding across the LCR is coordinated
thereby maximising effeciency and capitalising on
synergies. We are now enabling the LCR to capitalise
on new funding opportunities.
Project
Liverpool City Region
Transport Investment
Pipeline
Location
Liverpool City Region
Building the case for local economic growth | Mott MacDonald | 11
A Transport Plan for Growth:
The LCR’s new Local Transport Plan
articulates the City Region’s strategic
direction for transport, both to those within
the transport industry and to partners
in health, housing, land-use planning,
education and economic development.
The Transport Investment Pipeline offers a
flexible, live shortlist of schemes that can
respond to socio-economic and political
change and new funding opportunities in
pursuit of City Region objectives.
Client
Signature Living Ltd.
Expertise
Total Impact Model
Client
Merseytravel and
Liverpool City Region
Partner Authorities
Expertise
Policy and strategy
development,
economic and social
analysis, transport
scheme development,
transport scheme
appraisal
7. Need help developing a scheme business case?
Want to understand the socio-economic impact of your project or operations?
Call us, we’ll listen.
Stephen Cox Chris Hardwick
+44 (0)151 482 9916 +44 (0)151 482 9924
stephen.cox@mottmac.com chris.hardwick@mottmac.com
Engineering. Management. Development.
mottmac.com