By Marcus Leach

As part of the Budget last week, Chancellor George Osborne announced that a total of 21 new Enterprise Zones would be created in English towns and cities to stimulate local economies by offering incentives for the start of new private sector businesses within them.

Four of them have already identified the areas where the zones will be created. One is Royal Docks in Newham, London with Liverpool Waters and Manchester Airport the sites of the two in the North West.

Other sites will be in Sheffield and Leeds, Birmingham and Solihull, the Bristol area, the Black Country, Derby and Nottingham, Teeside and the North East.

The Recruitment and Employment Confederation (REC) has welcomed the designation of the new zones as an indication of the Government taking action to back enterprise and plan for growth through the creation of new job opportunities but urged for lessons to be learned from the previous Enterprise Zone programme.

“This is a welcome announcement. Temporary jobs will be key in the development of the zone and this kind of work is a powerful means for unemployment and job-seeking candidates to gain an insight into the world of work or a new industry and at the same time provide employers with a local staff pool that can be flexibly deployed," Jes Ladva, the REC’s London Regional Director said.

Commenting on the Manchester and Liverpool locations, Keith Gallagher, the REC’s North West Regional Director, said:

“This is obviously excellent news for Manchester and Liverpool, both of which have seen a marked decrease in new business start-ups in recent years. The REC has consistently challenged the Government, most recently through an open letter to the Chancellor, to provide a raft of measures in the Budget which will deliver tangible incentives to businesses and generate job creation.

“So with this announcement, the North West now has double reason to celebrate the Government’s pro-enterprise, pro-growth agenda.”

The Government has now also launched a competition to identify a further 10 Enterprise Zones in England by July.