Decision Maker: Assistant Director of Finance & Chief Financial Officer, Director of Place
Decision status: Recommendations Approved
Is Key decision?: No
Is subject to call in?: No
********* is an SME business with a head
office based in Harrogate, with an additional 2 clinics, one based
in Morley, Leeds and the other based on the outskirts of Hull close
to Alanby. They are looking to set up a 3rd clinic to capitalise on
the demise of their main competitor in South Yorkshire and they
have been looking at various premises here in Doncaster as well as
Rotherham and Sheffield. They are looking to address the growing
enquiry demand within our region; to further develop partnerships
with the NHS locally, who want to contract out this specialist
service and trial new technologically advanced treatment methods,
to not only address the shortfall in current delivery, but to
support huge reductions in future rehabilitation timelines.
******** provide Intensive Outpatient Neurological Rehabilitation and launched the UK’s first Intensive Neurological Rehabilitation centre augmented with Robotics and Virtual Reality technology in April 2018. ******* was quickly recognised by the Financial Times, Google and leading European policy makers for technological innovation, leading digital change and challenging an industry sector with a disruptive business model in the field of rehabilitation.
Following the success of the Leeds clinic, **** decided to expand its services and open a second Intensive Neurological Rehabilitation Centre at its clinic in Hull, in December 2020.
There is a long-term plan for the Doncaster site, with a potential lease of 10 years with a 5 year break clause. The Doncaster site will initially start with a small workforce of up to 9 jobs being created in year one, although plans are being developed to expand the team by the end of year 3 to a potential team of 20, creating even more highly skilled jobs.
See attached Officer Decision Record for further details.
To award the following maximum grant to
******** in relation to the Business Investment Incentive Scheme:
Job Creation Grant £*****
Project Set Up Grant £******
A number of options were considered including
not offering the company any incentives, however the nature of the
investment would be good for Doncaster in terms of our vision to
support companies who are forward thinking and keen to bring state
of the art robotic technology to the city of Doncaster. This
company are challenging current methods of rehabilitation through
the use of robotics and have been able to evidence the methods they
are using, can massively reduce rehabilitation timescales.
***** will be the first company to bring the latest models of robotic equipment to the Doncaster site. This equipment will put Doncaster on the map for neurological rehabilitation technology. Sarah the company Director has been instrumental in developing a strong relationship with the global manufacturer and will be introducing the manufacturer to Mexborough hospital, who are keen to invest in the same equipment as part of a future working collaboration between the hospital and ******. It is intended ****** will offer the long-term outpatient care, following NHS patients being treated through in-patient provision. There will be various investments made by **** when landing in Doncaster to include:
5-10 years of business rates
5-10 years commitment to leasing a minimum of 3500sq ft of space to set up the new clinic
Creation of up to 20 highly skilled jobs within the first 3 years of landing in Doncaster.
Supply Chain opportunities for Doncaster companies The deal that we would like to offer ****** is: A Job Creation Grant of up to £**** has been agreed for 12 higher skilled jobs paying in excess of £****, with a further 8 jobs paying between £*******.
The total grant will be paid when the jobs have been created for a minimum period of 1 year and will be subject to the company providing written evidence of the staff appointed residing at a Doncaster postcode.
A maximum of a £**** grant towards the start-up costs of a neurological rehabilitation robotic clinic project, valued in excess of £****, offered as part of the Business Incentive Scheme. This offer will be subject to the company providing satisfactory evidence of the expenditure and will be given on a match funded basis subject to the maximum of £**** as per the scheme’s criteria.
The Cabinet report approving the overall scheme (key decision K1255 taken 15th October 2015) and amended by an Executive Decision taken on 16th March 2021, proposed a First Time Occupier Grant based on new business rates generated for the Council, Job Creation Grant ranging from £***** per FTE depending on salary and a maximum Project Start Up Grant of £****.
The company has certified the amount received in subsidy aid in the last 3 financial years. This amount, together with the aid sought from Doncaster Council is below the subsidy control limit of £*****
A legal funding agreement will be drawn up to reflect this ODR and will be signed off by DMBC Legal Department and signed by the Company.
The company is expecting to make the capital spend and renovations by (end of 2023).
The new jobs created will be claimed between the budget years of (2024/2025) with all claims
being made within 3 years of the agreement.
The project set up grant is expected to be paid within the (2023/2024).
Publication date: 09/11/2023
Date of decision: 09/10/2023