Investing in volunteers could carry canals through the recession

The third sector could be vital as funds run short, but firms must invest to reap the benefits. Kaye Wiggins reports

 

A charity chairman has warned funding gaps for canal maintenance will be filled by voluntary workers during the recession.

Mike Palmer, head of Waterways Recovery Group, a voluntary organisation helping to restore derelict canals, said: “Suddenly, budgets are tight and British Waterways is using volunteers.

“If BW gets it right, the third sector could play a very effective role.”

But a cultural shift in the way companies work with volunteers is needed, Palmer said. “Waterway authorities like BW say they're good at partnerships, but they're not used to being partners with volunteers.”

 

The benefits of volunteers

 

Ed Moss, BW's national volunteering manager, insisted the company is waking up to the benefits of working with the third sector, and adapting its approach to accommodate this.

 

“Last year BW saved around £400,000 through ‘volunteer days’ when we worked with local groups on canal-based projects.

 

“Restoring canals is a challenge in a difficult economic climate, so we work with volunteers to manage what we’ve got and to extend it further.”

 

New practices

 

BW introduced a volunteer policy in September 2008. It includes health and safety provisions for voluntary workers and recognizes the need to train staff to work with them.

 

Moss said: “The importance of volunteers hasn't been recognised corporately until now. We need to get a clear grip on what’s happening across the country. Then we’ll be able to work with them more effectively.”

 

The third sector should never be used to replace paid staff, Moss insisted. “It’s about added value.

 

“Volunteers do things that BW would like to do but can’t afford to. Their professional expertise and physical labour make canals more sustainable in the long term.”

 

The cost

 

But working with volunteers can be a costly process, said Peter Mallon, communications officer for the Lancashire Wildlife Trust.

 

“We have a lottery-funded volunteer programme, so we actually spend money on bringing volunteers in and having systems to work effectively with them. They need tools, guidance and support.”

 

Far from cutting costs, setting up effective volunteering schemes requires investment to produce long-term money-saving results. If BW adopts this approach, it could be one of the recession’s most positive long-term outcomes for waterways. 

Birmingham: staying afloat

The effect of the recession on the property market has been widely publicised. Laura Lupton investigates how this has hit Birmingham's canalside developments 

Enormous funds and resources have been invested in Birmingham's canals over the last two decades. Modern waterside developments are central to this transformation, but they are not immune to the recession.  

Investment in the waterways carried the city through the last recession, and canals have added around £42.8m to the value of investments in the city. 

Jim Quinn, project coordinator for Birmingham City Council, says: "During the late 1980s  and early 1990s, developers stopped other projects so they could continue those in Birmingham. They saw the advantages of the waterfront projects." 

These properties are highly desired by people wishing to live in the city centre.

Karina Hill, director of Birmingham-based sales and lettings agency Centrick Property, says: "There are a lot of people coming to work in the city who want to live centrally. Canalside properties, especially with balconies, are among the most sought-after because of the impression of space." 

But owners of buy-to-let properties in Birmingham are among the worst-hit by falling house prices, according to a survey by property market website mouseprice.com.

Hill says: "This is because a lot of irresponsible buy-to-let investors couldn't finance their properties, and have had them repossessed. These make the property in the city very difficult to sell at a good value." 

But waterside construction is continuing. The Cube, a canalside landmark designed by Gherkin architect Ken Shuttleworth, is due to open at the Gas Street Basin in  2010. The development will offer apartments, designer shops and a boutique hotel.

Alan Chatham, director of the Birmingham Development Company (BDC), which owns and is developing The Cube, says: "The high design and specification of The Cube means we are confident that interest will remain."

But Kevin Harris, director of letting agency Places Birmingham, offers a word of caution. "Many major developers are failing to sell large sections of new properties. Some haven't even gone to market. Instead they rent the properties or sell them off to investors in blocks and at heavy discounts. Hopefully they will reach the rental market soon," he says.  

Lettings in the city remain high as people cannot get mortgages and do not want to buy, fearing property prices will fall.

Hill says: "If developers rented the empty properties instead of holding out to sell them, they would probably have a high demand. This would stop developments from lying empty.

"Selling waterside properties has gone in flows over the last year. In the long-term this isn't a problem as canalside property in the city centre will always be sought-after."

Birmingham's regeneration strategy will undeniably provide a long-term gain. The redeveloped areas are still vital to the economy, even if new property developments are suffering.

The desire to create high-quality leisure and tourism venues in the city was one of the key drivers behind the regeneration of Birmingham's canals. The Waters Edge and Gas Street Basin, with their hotels, bars and restaurants, are now central to the city's catering and hospitality industry.   

This transition has taken time. Declining commercial use of the waterways during the 1980s left them unattractive and run-down, but the canalside's proximity to the city's shops meant its commercial potential was clear.

Around £559m was invested in the area between 1985 and 2001, and £488m has been invested since. Much of the initial investment was from the public sector, with grants from the city council and the European Regional Development Fund. But since 2001, much of the funding has been private. 

Birmingham is an example of how thoughtful planning around ailing canals can enhance towns and cities. With developers planning to continue this during the recession, Birmingham shows that waterside regeneration can have positive, lasting effects.

Maintaining canals: who should pay?

The upkeep of canals will be a burden during the recession. Who will take responsibility for this, and what will it mean for developers? Kaye Wiggins reports

Over a thousand used drugs needles and bottles of methadone were found near the canalside in Burnley last month.

The council sent out a team of contractors to clear it up, but when they arrived at the site and realised it was British Waterways’ land, they turned back.

It’s a window on a major problem facing canals today: who should fund their upkeep.

Defra's much-publicised overspending of 2006-7, and rapid reining in of canals' funding since, has been compounded by the recession.

Not enough funds

As a result British Waterways has an annual budget deficit of £30 million for its task of maintaining canals at a "steady state", which includes routine repair and maintenance work and clearing up damage such as fly tipping, vandalism and abandoned vehicles as well as carcass removal.

It can only complete 85 per cent of this work each year, and users worry this will cause a gradual decline in the state of Britain's canals.

William Chapman, chair of campaign group Save Our Waterways (SOW), said: "There's not enough money to maintain the canals at the moment, and this will put private developers off canalside regeneration. I'm worried canals will go back to the bad old days of a few decades ago.”

Chapman points to a "Defra rash" that is spreading across the country. Areas needing repair are surrounded with orange plastic netting, but not dealt with due to a shortage of funds. The longer these sites are left unattended, he claims, the more costly the repair will be.

But funding to prevent can

als from sliding into disrepair is not forthcoming during a recession.

Local authorities

The funding gap should be filled by local councils spending more on maintaining canals, SOW thinks. "Canals contribute to local authorities' revenues through trade, tourism and higher property values.

"But British Waterways spends around £5m per year on services such as towpath maintenance, rubbish removal and waterside amenities, which councils have the resources to handle," Chapman says.

But Mike Palmer, chair of the Waterway Recovery Group, says canals don't rank highly in councils' budget priorities. "Local authorities' costs are going up in other areas, so they're unlikely to help British Waterways.”

This explains the Burnley case. A council spokesman said: "We didn't clear up the needles because we have a restricted budget, and it’s British Waterways’ land."

The government

Defra hopes its funding gap will be filled by an interdepartmental working group (IWG) of government ministers from the departments of health, education and communities. These departments benefit from pleasant, well-used canals and should pay towards their upkeep, Defra says. The strategy has so far failed to produce solid financial backing.

Should users pay?

Suggestions that canal users should pay directly for their maintenance have proved controversial. "Boaters and anglers keep the canals alive, and increased licence fees would drive them away," says David Padfield, campaign officer at IWA.

But SOW thinks users contributing is part of the solution. "Cyclists pay nothing and use the canals a lot. A national cycle permit for the waterways, even of just £10 per year, would raise a lot of money," says Chapman.

What next?

SOW and IWA will keep the pressure on the government to maintain canals despite tight budgets, hoping to maintain the success of recent regeneration projects and keep waterways an attractive prospect to developers.

"It doesn't matter where the money comes from, be it British Waterways or government departments, because it's all coming from the treasury," says Palmer.

"Every three or four years this argument crops up, that Defra should get help from the health, education and community departments because they benefit too. But it makes little difference to maintaining the canals, because it won't mean more money overall,” he says.

He thinks funding troubles will create a more efficient approach to maintaining the canals. “The really useful thing about the IWG is that it gets departments cooperating, and encourages 'joined-up' government that saves time and money.

"This, and not hard cash, is what will get canals through the recession."

Sarkozy canal plan to boost economy

By Menaha Thiru

Canals are high on the agenda in French president Nicolas Sarkozy’s economic stimulus plan.

He plans to build a canal system to join the Oise river to the high-capacity canal system in the north of France.

The European Union is giving £374m to the project, as part of a wider policy to make transport sustainable and environmentally-friendly throughout Europe.

The enhanced waterway system aims to increase waterborne freight in France by 25 per cent to 11.5 bn tonnes by 2012.

The plans for the French canals are the first stage in constructing the Canal Seine Nord Europe.

This waterway will extend from France into Belgium, Germany and Holland to encourage strategic trade between European cities and ports.

It is the first joint European waterway venture of its kind.

Development of the week: The Waterspace project

There are major plans to revitalise Daventry's centre by building a new waterway. Nadia Ghani reports

Look around Daventry and you will see a place in need of revitalisation. Development in recent years has not been strategic. The town consists of several disjoined areas and has no clearly-defined centre.

But the Daventry Waterspace project aims to modernise the town and give it a ‘beating heart’.

The plan is to build three mooring sites that lead into the town, on a new stretch of canal linked to the Grand Union.

The canal will be used to draw people towards the central site and developments will become progressively more commercial as they get closer to it. Shops, restaurants, bars, office space and housing will all be built around the central mooring point.

Chris Over, Daventry Council’s economic, regeneration and employment portfolio holder, says: “At present the town is structurally defined by a series of ring roads, underpasses and dual carriageways.

"The new masterplan shows what an important role the Daventry Waterspace can play in creating a thriving and sustainable town centre.

“This project plan will weld the town together to create cohesion, unity and a new heart.”

In conjunction with the new Waterspace there are plans to build a £30m educational academy. This would be close to the mooring basin at the centre of the town.

An £8.5m technology innovation centre called the iHub, close to the second mooring site, is also being planned. The council hopes both of these projects will establish the town as a centre for excellence.

Daventry Council estimates the project will bring at least 550 jobs and 250 new homes to the town. Over says: “Job losses are happening across the UK at the moment, and Daventry is no exception. It is very important that the Waterspace project provides a real employment benefit.

“The jobs that will be created, by the iHub innovation centre in particular, will be highly skilled jobs for a new high-tech era. We want to raise the bar for a bright and prosperous future. We want to put Daventry back on the map.”

Narrowboat holidays booming

Canal-based holidays are reaching record levels this year as Brits scale down their foreign holiday plans. Good news for the industry, but will operators make the most of it? Holly Barder reports

Record bookings were taken during the first week of 2009 at UK Boat Hire. The company, part of ABC Leisure Group, enjoyed its best day of trading in almost 15 years on New Year’s Day.

At a time when most industries are reporting losses, canalboat holiday sales are booming.

Haley Shurmer, ABC’s marketing and sales manager, says: “More people are looking to holiday in this country because of the financial situation and the state of the euro.

“January’s been very good. We’ve had a lot of bookings already, and nearly three- quarters of our customers are new.”

Blue Water Holidays also announced unparalleled sales for the third week in January. Marketing manager Juliet Peters says: “We’ve been trading for 13 years and it was our best week to date. We were up five per cent on last year.

Nigel Richards, director of Waterways Holidays, sums it up when he says: “Sales are buoyant at the moment. If you’re in the euro zone, we now represent a cheap holiday.”

In a usually stable market, this increase in sales is unprecedented. Blue Water Holidays is attempting to make the most of it with early booking offers.

“The trend is to hold off and book as late as possible. Our message is to book now to get the best deals,” Peters says.

But it’s not just the economy that’s boosting canal holidays. Hoseasons’ product director, Sara Zimmerman, says the market is shifting and canal-based companies are adapting well.

“Narrowboat operators hate the comparison, but the design of static caravans and self-catered accommodation has come on leaps and bounds.

“Boating holidays have to keep up. The expectation from customers is there, and operators have looked at that and responded. They’ve said: ‘Let’s not just meet it. Let’s exceed it.’”

Other operators have decided to adopt a ‘wait and see’ policy. Adam Foskett, manager of Middlewich Narrowboats, says advance bookings are up 20 per cent on this time last year. But the company is not planning to alter its approach.

“We’re not looking to exploit the situation. We generate enough bookings with the marketing that we do, so we’ll probably just stay as we are,” Foskett says.

“We don’t want to look at building a new boat until we can be more certain about the rest of the season,” he says.

Zimmerman says this is a practical approach, rather than a failure to plan for the future. “A canalboat is a huge investment. Operators can’t just double their fleet because of demand. They have to take a longer view.

Canals vs the credit crunch

Nadia Ghani investigates how UK projects are weathering the gloom.

Canalside development is not immune to the effects of the worst economic downturn to hit the UK in 50 years. Although waterside locations usually hold their value relatively well during recessions, sev

eral large-scale projects have ground to a halt this month.

A lack of funding is the common issue and scare stories have been hitting the headlines. Projects still going ahead are looking for increasingly creative ways to ensure that investors remain interested.

In Scotland, the future of the £500m Falkirk Gateway looks uncertain. The multi-use development of a business village, retail park and marina had full planning permission and was ready to be built, but has been put on hold indefinitely. Two key retailers have pulled out and without their capital, the project cannot go ahead.

Niall McLean, project officer from Macdonald Estates, which is handl

ing the development, says: "We had lined up retailers that deal in things like electricals and homewares. This sector has been particularly affected by the downturn in the housing market. Many companies can no longer get credit and without credit they cannot invest. We have all the building blocks in place but until the market recovers and we have retailer confidence and funding, we cannot get the project off the ground."

Although the outlook at Falkirk is bleak, developers in the industry are used to the slow burn. Canal-based projects typically take several years to complete, so there is often flexibility with timelines.  This is being demonstrated in Exeter, where a £5m plan to transform the canal basin is being adapted due to a lack of funds. 

Plans to develop 14 affordable housing units and a new restaurant are going ahead, despite press speculation that all elements of the regeneration proposal have been put on hold.

The council is offering a two-year delay on two earmarked contracts, to give developers time to come up with the cash. It would not consider looking for alternative partners to take on stalled elements of the project, it has confirmed.

John Rigby, council director of economy and development, says: "It is unrealistic to think we could look for funding elsewhere. The market is stagnant, so speculating for business would be posturing.  We are affirming our co

mmitment to the project, by extending the 'sold' position on the development sites for our partners, Sutton Harbour Developments and Millhouse Property."

The Bedford to Milton Keynes Waterway project (BMKW) is trying to be dynamic in the  face of economic uncertainty. The proposal to cut £24km of new canal, linking the Grand Union to the Great Ouse, is expected to cost £200m. So far only ten per cent has been raised.

But BMKW's project managers are confident that their plan contains imaginative solutions that will incite investment even in difficult times. These include building part of the new canal through a registered flood plain, to remove the flooding risk and make the land fit for developments.

Richard Wood, the project's senior implementation officer, says: "During a recession it is critical to show how a waterway project can provide added value for developers. We have come up with effective solutions that work with the environment to provide long term, strategic opportunities that will be attractive even during a downturn." 

BMKW is looking for ways to continue without raising funding. A deal being negotiated with construction firm Balfour Beatty would see the company make the first cut of the canal in exchange for use of land needed for a road construction.

Wood says: "If you want to make things happen when funds are scarce you have to be prepared to think laterally and come up with solutions…The Balfour Beatty cut is not yet a done deal but it is backed by councillors and road contractors. There is a clear benefit for both parties."

But funding isn't always scarce. A £500,000 grant from the East Midlands Development Agency means the Ashby Canal Restoration Trust in Leicestershire can start restoring the canal, and seek involvement from developers.

Peter Williams, project officer for Ashby Canal Restoration, says: "In a downturn receiving a grant like this is a vote of confidence. We will now be able to restore the first stretch of the canal, and we hope this will be an incentive for developers to get involved. This kind of cash injection shows that the project is happening and that it is worth investing in."

He chairs local meetings to keep the project at the forefront of residents' and businesses' minds. He has also set up a canal restoration lottery scheme. Tickets are sold locally, to raise funding for and awareness of the project.

Williams urges those with financial worries to look for opportunities to drive awareness. "It pays to do all you can to make sure people know what you're doing. You never know where funding might come from."

Grantham awaits River Trent link update

By Nadia Ghani

Grantham Canal could become a rural leisure destination, if a Green Infrastructure Study reveals that it could be connected to the River Trent.

The study’s results will be made public on 2 March. If they are positive, the Grantham Canal Partnership hopes there will be greater possibility of capturing private sector funding, which is needed to restore the canal.

Mike Stone, chairman of the Grantham Canal Society, said: "While the area is very rural, there are opportunities for the service industry. There could be business openings for caravan parks, angling clubs, cycling tour operators and pubs."

Stone said the canal will act as a "green buffer" between urban areas, preserving an area of “natural rural delight”.

He estimates the restoration of the entire 33-mile stretch may cost anything up to £40m.

The Grantham Canal Partnership has been campaigning to restore the stretch, which was once a major commercial route in the area, since 1997.

British Waterways recycles to offset dredging costs

By Nadia Ghani

British Waterways has offset the high cost of dredging for the first time by recycling waste created in the process.

Silt and debris that was dredged from the Brookfoot Lock near Halifax has been blended with green waste from Bradford City Council’s household rubbish plant.

The treatment created a soil substitute, which can be sold off to construction companies.

The waste would normally have been scrapped as landfill or sent to a dredging lagoon.

Although other companies have utilised this process in the past, it is a first for BW and comes at a time when funds are in short supply.

This financial year, BW has spent £4.5 million on dredging.

Tracey Garrett, marketing manager at BW Yorkshire, said:

“Due to the current economic climate, British Waterways has limited funds available and the dredging of the canals is expensive.

“Being able to create something out of the dredging process that can be sold off is a key opportunity.”

BW also highlighted the environmental benefits of using this process. Recycling material is far more energy efficient than creating refined soil from scratch using virgin materials.

Gavin Beat, BW’s waste management surveyor, estimated that 106 tonnes of carbon had been saved.

Kirkintilloch contracts going to tender

By Carolyn Wilson

Major construction contracts for new canalside developments in Kirkintilloch, Scotland, will go to tender in the next couple of months. They are expected to create 1,000 jobs.

One contract is for the town's proposed arts and culture centre after the project received a £1.7m grant from the Scottish Arts Council. It hopes to see the project finished by 2011.

Another is for the development of a six-storey block of flats, in the now lucrative area behind the town's 44-berth marina.

Duncan Hamilton, project director for development scheme the Kirkintilloch Initiative (KI), said: "These canalside flats will be at the top end of the market. Businesses are starting to see that sites next to the £2m marina are key areas for development."

Sandra Adams, KI project organiser, said: "Although we are not in a good economic climate there are still new pockets of business that we can tap into."

KI is also looking for a marketing company to promote the redevelopment. The canal, which runs through central Kirkintilloch, has previously been promoted as "the tool for business, in a town of two halves."

The town’s continued growth is largely due to a £56m investment in 2007. This was secured by Lottery grants and by selling land owned by the NHS and East Dunbartonshire Council.

Canalside projects have boosted business in Kirkintilloch by 75 per cent during the last two years. Eleven projects, including two new canalside schools, are scheduled for completion by 2015.

Council to rule on Essex marina

By Stephen Harris

A council verdict on proposals to build a new marina in Essex is expected in the next few weeks.

Roydon Mill Estate, a holiday park near Harlow, has submitted plans to turn a 32-acre lake into a marina connected to the Stort Navigation and River Lee.

A spokesman for Roydon Mill Estate said: “The application is going through the statutory consultation. We have met with the district and parish councils and they have guided the process.”

A spokeswoman for Epping Forest District Council said 18 March would be the most likely date for a decision.

The estate estimates the marina will cost £1.5m and aims to complete work by 2010. It anticipates using local labour in the construction process.

It would create moorings for up to 315 boats as well as a new lock, workshop and fuel storage facilities.

The plans are part of a multi-million pound redevelopment of the park. Work has already begun to turn it into a five-star resort, replacing caravans with log cabins and building a restaurant and entertainment complex.

New roads open up canalside land for business

By Susie Sell

Large tracts of land beside the Manchester Ship Canal will be opened up for development following the approval of Peel Holdings’ Western Gateway Infrastructure Scheme.

The £25m scheme involves the building of new roads that will provide a link to currently inaccessible canalside land. The roads will also connect to the proposed £100m Port Salford multimodal freight terminal.

Peel hopes that the scheme will facilitate the development of sites on each side of the canal.

The plan is part of Peel’s wider Ocean Gateway scheme, which will involve a series of developments along the canal between Liverpool and Manchester. Peel claims this will bring jobs, investment and environmental improvements to the area.

Scarisbrick marina ready to open

By Kaye Wiggins

A canal enthusiast is about to open his second waterway development.

Entrepeneur Alan Mawdsley’s £2m Scarisbrick Marina will open at the end of March. It will include moorings for 200 boats, a new footpath bridge, an office and café.

The marina, on the Leeds-Liverpool canal, will be used as a base for boat owners touring the UK’s canal network.

Architectural and planning consultant Graham Salisbury from Graham Anthony Associates, which is in charge of the development, said: “Marinas are very much a niche market, where developments are going well despite the economic climate.

“The construction and manufacturing industries are struggling at the moment. But the leisure industry is still going strong.”

Mawdsley decided to fund the development privately after realising the potential for profitable canalside leisure developments. He also owns the nearby Fettlers Wharf marina on the Rufford branch of the canal, which he opened in November 2003.

£4.5m workshop conversion to open in Stourport

By Katie Barker

A four-year redevelopment scheme on Stourport Canal will be finished next month.

The conversion of a Victorian workshop into a restaurant, offices and a heritage information centre marks the last stage in the £4.5m project. It is due to open on 1 April.

Interviews have been carried out this week to find a tenant for the restaurant, and the new owners will be announced next week.

The restoration of the Stourport canal basin won an outstanding achievement award in the 2008 Waterways Renaissance Awards.

It also won a historic environment award for its improvements to the 18th and 19th century buildings, locks and basins surrounding the canal.

Glasgow canal festival seeks business support

By Stephen Harris

Organisers of Glasgow’s canal festival are seeking local businesses to fund this year’s event.

The city council was a key financial supporter of the 2008 celebrations but will not be reprising the role this year.

Glasgow Canal Regeneration Partnership, which includes the council and waterside regeneration company Isis, is now looking for alternative funding.

Gillian Lang, spokeswoman for the council, said: “It was always the intention for us to take more of a back seat in subsequent years, letting the local community take ownership of the festival.”

Brian McGraw, group manager for the council’s development and regeneration services, said: “We are trying to get people motivated about the canal’s regeneration, but we can’t maintain that level of commitment in the current economic climate.”

Last year’s festival was organised by Glasgow Canal Regeneration Partnership with the Waterways Trust Scotland and local housing associations.

Additional support came from drinks company Diageo. Activities included canoeing and kayaking, boat trips, exhibitions and live music.

The first festival was organised in October last year to promote the canal’s proposed development.

Masterplans for sections of the Forth and Clyde were approved by the council in December and it is hoped construction will begin later this year.

The scheme involves plans for 700 private and social rented homes at Maryhill Lock while and commercial and industrial properties at Speirs Wharf Lock.

Nominees for Waterways Renaissance Awards 2009

The finalists for the 2009 Waterways Renaissance Awards have been announced.

There are 28 nominees in ten categories. Among them is the £40m Irwell City Park project, providing waterside spaces along an 8km stretch of the Manchester Ship Canal and River Irwell.

Other nominees include Clydebank’s Animating the Canal venture, Lincolnshire’s water railway and the Bude Canal regeneration project.

A Lancashire initiative to create heritage walks for visually impaired people has also been nominated.

John Ferry, manager of last year’s winning project at Hemlington Lake in Middlesborough, said: “We attracted a much wider audience after winning, and it has put us in good stead for the future.

"The award helped us to gain more funding and we have now extended the lake.”

This year’s nominees were chosen by an independent assessment panel comprising waterway, conservation and regeneration experts.

The winners will be announced at an awards ceremony on 31 March.

By Jamie Stuttard

Exeter canal basin plans get go-ahead

By Mark Wilding

Authorities are going ahead with plans to redevelop Exeter canal basin, despite worries that the project is losing momentum. Exeter City Council has committed to infrastructure improvements and Devon County Council will submit a planning application for a watersports centre in the next few weeks.

There were claims the project was under threat after a developer put plans for a hotel on hold. But Exeter councillors have since agreed to provide £850,000 in funding and Devon County Council has secured over £2.5m for the watersports centre. It will submit a bid to Invest in Devon for a further £1m of funding in three weeks time.

Whitbread proposal prompts interest from developers

By Menaha Thiru

A planning decision that allows Whitbread to build a Premier Inn on Walsall Waterfront has prompted other businesses to consider buying property there.

Councillor Mike Bird, chairman of the development control committee, said: “It is very positive news that the hotel is coming to Walsall, especially at a time when the construction industry is on its knees.

"This is an anchor to allow the rest of the development to go ahead and provides concrete evidence that businesses are interested in coming to Walsall Waterfront.”

There had been fears that plans to develop Walsall Waterfront would be abandoned due to the credit crunch.

The Waterfront project includes Urban Splash’s £180m development comprising housing, shops and offices.

Whitbread plans to start construction of the Premier Inn this year. The 120-bed hotel will sit between Wolverhampton Street and the town arm of the Walsall Canal.

Travel agents failing boat holiday companies

By Holly Barder

Narrowboat holiday operators could increase business if travel agents had more confidence to sell their packages, according to a major self-catering holiday company.

Hoseasons has started taking its sales staff out on boats in the hope they will be more inclined to promote this type of holiday.

The company’s head of sales, Zena Calderbank, said: “If travel agents don’t know enough about a specific market, they tend to shy away from it.”

“We are training them to be able to say that a canal-boat holiday is a great way to spend a weekend. It’s in the UK and it’s different.”

Sales of canal-boat holidays are booming in the economic downturn and Hoseasons hopes to take advantage of that.

Government injects £750,000 into Caldon Canal development

By Susie Sell

A housing development along the Caldon Canal is to receive a government cash injection to help carry it through the recession.

Work began at City Waterside, North Staffordshire, last year but plans to create 2,500 canalside homes have slowed considerably in recent months.

The government’s Homes and Communities Agency (HCA) will invest £750,000 in the scheme to ensure work continues throughout the economic downturn.

Paul Spooner, regional director of the HCA, said: “The credit crunch has not helped housing developments in the area. But we have got much of the infrastructure in place.

“We are particularly keen to ensure that flagship housing developments like City Waterside do not fall victim to the slump.”

The HCA will receive a percentage of the profit when the homes are sold. It will invest £36.9m in housing developments across north Staffordshire between 2009 and 2011, to ensure they stay afloat during the recession.

Defra turns to canals in fight against climate change

Government canal policy could be influenced by a new report on how waterways can lessen the effects of climate change.

Research due out at the end of March will examine how canals have been used across Europe. Defra will use it to establish strategies that could be copied or adapted in the UK.

John Manning, policy adviser at the Inland Waterways Advisory Council (IWAC), which commissioned the study, said: “We expect the report to cover issues such as transport, energy production, flood prevention and biodiversity.”

Jan Brooke, the environmental consultant conducting the research, said: “We want to learn lessons from other countries and find initiatives that might be appropriate here in the short and long term.”

A Defra spokesman said: “We’re serious about the issue of climate change and there is great value in this information. Any forward-thinking ideas will inform future policy.”

By Stephen Harris

Record revenue for canal festivals

The festivals market is enjoying an annual increase. Jamie Stuttard looks at the UK towns which are turning to their waterways to utilise this trend.

Canalside festivals are an emerging money-making opportunity across the UK, with several British Waterways regional boards reporting increased applications to host the events. Many begin as small-scale local activities and expand to become widely popular events, which local trade relies on.

The two-day canal festival at Kirkintilloch, near Glasgow, generated £380,000 last year. Since starting in 2000 it has become a regular addition to the Scottish canal calendar.

David Gear, manager of the festival, said: "It brings a lot of money into the local economy. It's also a great way of introducing people to the region. Soon after the event, tourism remains above average.

"In 2006, the festival attracted 9,000 people. We made a growth plan for the event and within two years it trebled in size. Last year, an estimated 27,000 people attended the event."

Kirkintilloch Canal Festival's popularity has led Edinburgh to consider hosting a similar event. British Waterways Scotland has provisionally set this June as the date for the first Edinburgh Canal Festival. It is looking at the example of the capitals arts celebrations, which can bring an extra 1.5 million visitors to the city.

The Banbury canalside Folk Festival, in Oxfordshire, also expects to generate increased tourism this year. Ann Sewell, events manager for Banbury Town Council, said: "We've had more interest this year than we have in the past. I think the recession has made people look inwards. Instead of traveling miles for a day out, they look closer to home.

"It is the biggest day of the year for trade. It's a good celebration for locals, and a way to attract new people to the area."

The Linslade Canal Festival in Bedfordshire enjoys similar success. The town, which has a population of 12,000, is expecting approximately 5,000 non-local visitors to attend the one-day event this summer.

Donna Hughes, the town council's leisure and promotions manager, said: "To many people in the surrounding area, the canal festival really puts Linslade on the map. Local shops can see their profits go through the roof. Many of our arts and crafts shops rely on the event."

The Crick Boat Show in Northamptonshire aims to attract families and industry insiders. Last year exhibitors made around £1m from show-generated sales, and a further £2m from sales leads.

Chris Stanley, communications manager at South East Waterways, said: "Much of the local accommodation is booked far in advance of the event, and shops, pubs and restaurants enjoy increased trade." The show has expanded in recent years to allow for more visitors and boat moorings.

The increase in canalside events runs parallel to the booming UK festivals market. In 2008, there were more than 50 new festivals, and over 500 in total. This year, the UK festival industry will be worth £900m.

Website eFestivals has added the Middlewich Folk & Boat Festival, Cheshire, to its line-up, and this year has listed the canal festival in Kirkintilloch alongside events such as Glastonbury and Bestival.

As canal festivals become better known and more widespread, they will undoubtedly obtain a bigger presence.

Book celebrates 'rejuvenated' canals

By Jamie Stuttard

A guide book celebrating a 'new era of waterways' claims interest in canals is at an all-time high.

Cool Canals: Slow getaways and different days aims to encourage more adventurous canalside trips.

Author Martine O'Callaghan said: "Investment in the inland waterways over the past few years has rejuvenated the canals and they are continually attracting new visitors."

Half of Britain's population is estimated to live within five miles of an inland waterway.

O’Callaghan hopes Cool Canals will inspire a new generation to explore them.

The book will be published in March. Two further canal titles are planned for 2010.

New focus for Oxford tourism

By Kaye Wiggins

Canals may become the focal point for tourists in Oxford, after regeneration work began this week.

The £25,000 project to renovate a city-centre stretch of the canal is the first in a series of plans to clean the waterways and create waterside parks and wildlife corridors.

Bob Price, leader of the city council, said: "This is the start of a new type of tourism in Oxford. Instead of walking around the busy streets to visit the colleges, tourists could reach them by strolling or boating along the waterways.

“This will take them to attractive parts of the city that they wouldn't normally see.

"Until now, the canalside has been neglected. The stretch we've started working on had dustbins from the college scattered around, and had been left to grow wild."

The scheme will dredge the canal, relay the towpath and plant greenery alongside the waterway.

West end project

It is part of a scheme worth more than £100m to regenerate Oxford's west end. While other parts of the project are struggling in the recession, the canal plans are going ahead.

Price says: "The bigger west end regeneration project is difficult to get off the ground without credit, but the canal scheme is doing well because it's more accessible financially.

“There's also more funding available for environmentally-friendly schemes like this.”

British Waterways and Oxford city council are working closely with an Oxford-based canal partnership on the scheme. Its members include narrowboat owners, community organisations, preservation trust, ramblers and the civic society.

Profile: Isis Waterside Regeneration

British Waterways’ development company is attempting to find new ways of riding out the recession while sticking to its founding principles. Stephen Harris reports.

Losing half your staff, including your chief executive, would be a tough blow for any business. This is what happened to Isis last September. The recession forced the waterside regeneration company to scale back its operation, closing two of its offices and putting many of its schemes on hold.

Activity has slowed down, but it hasn’t stopped completely. Glasgow City Council approved Isis’s masterplan for redeveloping Speirs Wharf and Maryhill locks at the end of 2008. And work on the Granary Wharf complex in Leeds is due for completion in a few months’ time.

British Waterways is a stakeholder in the company, and 50 per cent of profits are reinvested in the canal network. But public-private ownership is not the only thing that makes Isis different from most developers: its sustainability manifesto guides its work and requires every project to put the needs of the community first.

“We try to engage residents and get them excited about our plans,” says Glasgow project manager John Sherry. “At Maryhill we organised a festival with local businesses, as well as trips for primary school children. Some didn’t know the canal existed. Through public consultation we realised how important the canal was as a green corridor, rather than a waterway though an industrial area, and we’ve used that in the design.”


Model of good practice

Glasgow City Council, seeking a better way to connect with British Waterways, has been keen to work with Isis since its launch in 2002. “It’s a model of good practice,” says regeneration services group manager Brian McGraw.

“Isis had real enthusiasm for the Speirs Wharf project and delivered much more than we expected. Inevitably there will be disagreements with a developer, but they were always able to sort things out. Even when there were problems with the initial plans, they were very respectful and appreciative.”

Isis also tries to be different when it comes to design. For inspiration, the team turned to Europe, visiting the canals of Amsterdam, Copenhagen and Malmo. Contracts are often awarded through competitions, and Isis has worked with firms ranging from the highly-regarded Make to the “quirky and personable” FAT.

Proposals: how Granary Wharf in Leeds will look

Learning from mistakes

Isis doesn’t always get it right, says its planning and regeneration manager Chris Breslin. “In Brentford in London, our planning application was unsuccessful because we didn’t follow our own rulebook. There was too much on the site and we didn’t make enough of the waterside location. But you have to be big enough to learn from your mistakes. Now we’re trying to engage more closely with communities and rebuild trust.”

During a recession it’s difficult to predict the future, but financial constraints don’t hold back Isis’s ambition. In Glasgow, construction should begin later this year and there is talk of a watersports centre and another festival. It is hoped a masterplan for Tottenham Hale Wharf in London will be finished within nine months.

And in Warwick Bar in Birmingham, Isis is attempting a new approach. “We’re trying to develop the area by encouraging designers and photographers to base themselves in our buildings,” says Breslin. “We may have put down some of our tools, but we’re still looking at growing our sites.”

Isis Waterside Regeneration is owned by:
• British Waterways, which has a 50 per cent stake
• Igloo, the regeneration fund of Morley Fund Management
• Muse Developments (formerly AMEC Developments)

Timeline
• October 2002 – Isis Waterside Regeneration is formed
• January 2006 – The company’s first scheme is launched at Islington Wharf, Manchester.
• March 2007 – Work begins on the Granary Wharf development in Leeds
• September 2008 – Chief executive Mark Ryder leaves the company following large cutbacks
• December 2008 – Glasgow city council approves Isis’s masterplan for Speirs Wharf and Maryhill locks

Council seeks developer for port site

By Mark Wilding

A crucial site in a multi-million pound canalside redevelopment scheme is now open to commercial ventures.

Stroud District Council is looking for a developer to invest £7.9m in Brimscombe Port.

The site was previously earmarked for industrial use, but the council is keen to see an employment-led commercial venture and will work with developers to make sure planning permission is granted for this.

The Heritage Lottery Fund will provide £12m for the regeneration of the Cotswold canals if a developer for Brimscombe Port is found.

The council became the lead partner for the Cotswold regeneration in December and has invested £2.3m in the scheme.

Dave Marshall, marketing officer at Stroud district council, said: "This is a cracking development opportunity to produce a real flagship scheme."

More than one party has expressed interest, but a decision has not yet been made.

Brimscombe Port was once the largest UK inland port, used for moving cargo from the Thames to the Severn.

It became an industrial site but in recent years has become increasingly run down. It is hoped the re-development will provide jobs and rejuvenate the area.

Safeguarding heritage: it's a lottery

The role of canals in Britain's industrial heritage makes them a national treasure and an attractive prospect for developers. But history can be a stumbling-block for those hoping to modernise the waterside. Striking a balance between old and new is crucial to developers' success, as Kaye Wiggins and Mark Wilding report.

Canals are cherished for their historic significance. One of the Industrial Revolution's great legacies, they often pass through heritage sites. They're also at the forefront of a number of regeneration projects.

As a result, developers in the canal sector are more likely to face opposition from the heritage lobby. Different priorities can result in disagreements which, in the worst cases, lead to litigation. The delays involved in reaching an agreement, if possible, are costly.

The Castle View development on the Lancaster canal corridor is the latest to fall victim to this. After planning permission was granted, English Heritage made the decision to lodge an appeal with the government, prompting a review.

The secretary of state for communities and local government, Hazel Blears, has called a public inquiry into the £150m comprehensive redevelopment scheme. This unusual step is only taken "if planning issues of more than local importance are involved," according to the Government Office for the North West.

"The people of Lancaster feel very strongly about their canal, and the right kind of development could be hugely successful," says William Palin, secretary of SAVE Britain's Heritage.

The scheme, proposed by Centros Miller, would demolish over 30 buildings, 18 of them within canalside conservation areas. It has been branded incompatible with Lancaster's historical architecture.

Lancaster City Council, well aware of this issue, launched its most extensive public consultation ever when handling Centros' application.

"There were ten site notices and we went on the local radio station to invite residents to put their comments in writing. We had around 500 letters of objection, so we amended the original plans, but it's still been called in for review by the government," says Mark Cassidy, deputy development control manager at Lancaster City Council.

The heritage lobby is gearing up to fight the developer. "Canals are not shopping streets. Good schemes use what's there as a starting point, rather than a problem to be got rid of. They should look at the context of the waterways, the landscaping and the green spaces," says Palin.

Even if Centros wins the inquiry, it may still need a compulsory purchase order and face a second public inquiry.

David Lewis, senior associate at Centros and head of the scheme, says: "We are extremely disappointed about the decision. The high cost of a public inquiry and the delay it will cause puts at risk the whole regeneration of Lancaster's city centre."

A fierce battle has raged over similar issues in Jericho, Oxford. Developer Spring Residential bought a canalside plot for £4.2m, but two applications to build luxury flats on the site failed following opposition from the Jericho Living Heritage Trust (JLHT).

The Trust claimed the development would overshadow St Barnabus Church. Other opponents described the canal as an important element in Oxford's industrial past.

JLHT is now planning to buy the site from Spring Residential. It hopes to use it for a development that will "protect Jericho's heritage," according to trustee Stephanie Pirrie.

The dilemma of reconciling old with new is a potent one for canalside developers. It makes building working relationships with heritage groups a demanding prospect.

The need for such groups to acquire funding creates an opportunity for developers. The Heritage Lottery Fund (HLF) has awarded more than £90m in funds to over 190 inland waterway projects.

Groups applying for grants need to secure additional funding for their projects. For this reason, heritage groups can be keen to work with the commercial sector.

Tony Crosby, policy advisor at HLF, says: "Our main aims are about conservation of heritage, education and participation, but one of the things that brings added value to a project is economic impact. Projects have to provide some sort of additional funding.

"While our funding cannot be used to provide private gain, the commercial sector is a good source of partnership funding."

When it works, a balance of the old and the new can prove highly successful. Conservation groups working with the commercial sector can achieve mutually beneficial results.

Planners working on the Manchester, Bolton and Bury canal have successfully found a balance between new development and safeguarding heritage. The canal will soon be at the heart of a £600m urban village - which must, according to Salford City Council's planning guidance, be sensitive to the area's industrial past.

"The city's regeneration is not just about creating new buildings but also breathing new life into its heritage," says Derek Antrobus, Salford council's planning boss.

"We don't want a pastiche, we don't want new build that's rendered to look old," says John Fletcher, chair of the Manchester, Bolton and Bury canal society. "Canals should be restored for their regenerative benefits. But new build should complement the old, and not challenge it.”

This has already been achieved successfully in Castlefield, Manchester. Many of the older canalside buildings have been modified. The warehouses are used as radio studios, cafes and apartments, and the stables are now pubs.

The Bude canal regeneration project is another example of success. Redevelopment was initiated by the Bude Canal Society, whose members were concerned about the canal's long-term future.

Economic development was not one of the project's original aims. It became necessary when a bid for Heritage Lottery funding was granted on the basis that this would be one of the outcomes of redevelopment. Plans for craft workshops and office space were then built into the scheme.

The economic benefits and possibilities for wider regeneration are demonstrated by the Kennet & Avon Canal project, which received £25m from the HLF.

After a five-year restoration project the canal now brings in £26m for the community annually and provides employment for 100,000 people.

Terry Kemp, trustee of the Kennet & Avon Canal Trust, said: "Nationally there is a firm understanding of the principles involved in achieving the right balance of three elements: heritage, commercial and usage. Inevitably, pressure from various partners will shift this balance.

"Our view is that by using negotiation and debate with an understanding of all sectors you can move forward. There has to be compromise."

In this week's issue

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About us

Canal Business is a weekly magazine for the canal development sector, published by PMA Group.

It was created by postgraduates from the Magazine Journalism Course, March 2009.

Contact us

Editor
Stephen Harris
swjharris@hotmail.com

Deputy/online editor
Mark Wilding
mark_wilding@hotmail.co.uk

News editor
Susie Sell
susiesell@hotmail.com

Deputy news editor
Nadia Ghani
nadiaghani83@hotmail.co.uk

Features editor
Katie Barker
k.j.barker@hotmail.co.uk

Deputy features editor
Holly Barder
holly.barder@live.co.uk

Chief sub-editor
Kaye Wiggins
kaye.wiggins@gmail.com

Production editor/sub
Jamie Stuttard
jamie.stuttard@googlemail.com

Reporter
Laura Lupton
lauralupton@me.com

Reporter
Menaha Thiru
menaha7@yahoo.co.uk

Reporter
Caz Wilson
carolyn_wilson@hotmail.co.uk