Decision details

RE19 0018 - Inward Investment Business Incentive Scheme Grant - Thornhill Group Ltd

Decision Maker: Director of Regeneration and Environment

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: No

Purpose:

To offer Thornhill Group Ltd:
- A Job Creation Grant of £4300 for 11 new full time permanent jobs, these will be skilled with an average salary of £25k per annum. The total grant will be paid when the jobs have been created for a minimum period of 1year and will be subject to the company providing written evidence of the staff appointed residing at a Doncaster postcode.
- Speculative Business Rate Grant up to £91,205 which is the approximate new business rates.
- Project set up costs grant of £5000 in respect of racking, broadband and communications.
The Cabinet report approving the overall scheme (key decision K1255 taken 15th October 2015), proposed a Job Creation Grant ranging from £100 to £500 per FTE depending on salary and a maximum Project Start Up Grant of £5k.
The company has certified the amount received in state aid in the current and two previous financial years. This amount, together with the aid sought from Doncaster Council is below the state aid De Minimis limit of €200,000. DMBC will notify the company in writing of the final amount of aid provided in Euros and British Pound Sterling (BPS) for the purpose of recording aid.
DMBC programmes team will be monitoring the Business Incentive grant to ensure meet the terms of the grant relating to job creation. A legal document still has to be drawn up but will be very similar to other legal documents currently used by DMBC relative to other similar schemes.
BOX

Decision:

To award the following grants to Thornhill Group Ltd –
New Business Rates Grant - £91205 approximately
Job Creation Grant - £4300
Project Set up Grant - £5000
To offer a grant of up to £100,505 in recognition of the additional Business rates generated once the newly constructed units in question are brought into rating along with the creation of 11 new jobs. Project set up costs include contribution towards new racking, broadband, telephones and IT.
The ODR seeks authority to make a decision based on the terms of the application and subject to a payment schedule to be determined in line with the guidance conditions.

Alternative options considered:

A number of options were considered including not offering the company any incentives. However Steering Group members felt that the nature of the investment would be good for Doncaster in terms of the new investment.

Publication date: 15/10/2019

Date of decision: 09/04/2019

Accompanying Documents: