New fund launched to help businesses in Greater Manchester’s everyday economy

A new fund that will help business and organisations in the everyday economy to trial innovative new ideas and improve the way they work has been launched by the Greater Manchester Combined Authority (GMCA).

The “foundational economy” or “everyday economy” refers to the parts of the economy people depend on for their daily needs, including adult social care, early education, childcare, retail, and leisure and hospitality, across the private, public and voluntary sectors.

The Foundational Economy Innovation Fund will provide grants to businesses and organisations for projects that trial innovative new ideas and ways of working over a period of up to 24 months. The fund aims to support a more prosperous Greater Manchester by helping these sectors become more resilient and profitable while improving the quality of jobs.

Businesses and organisations are being asked to come forward as part of an initial expression of interest phase, which aims to develop networks and “match” potential applicants with relevant partners. For more information and to express your interest visit the Foundational Economy Innovation Fund web page.

Projects should address one or more areas of opportunity where new ideas could make an impact: in helping businesses transition to net zero or reduce their energy costs, localising supply chains, developing new ways of working and adopting new technologies, or improving the way key services are delivered. If successful, these projects could be scaled up to support other businesses across Greater Manchester.

Cllr Bev Craig, leader of Manchester City Council and GMCA Portfolio Lead for Economy and Business, said: “Greater Manchester’s everyday economy provides the goods and service we all need to get by. But businesses and organisations within these sectors struggle to raise investment from the private sector, limiting their ability to innovate and evolve.”

In Greater Manchester, approximately 40 per cent of the workforce are employed in foundational economy sectors. To become a more prosperous city-region, Greater Manchester leaders want to increase resilience and the potential to grow profits in these sectors by directing investment to find new, innovative ways of working.

Directing investment to the foundational economy is a response to the Greater Manchester Independent Prosperity Review a report by a group of eminent economists on the current state, and future potential, of the city-region’s economy.

During the first phase, the fund will provide initial grants of up to £10,000 to businesses and organisations to develop their ideas and trial innovative ways of working. A second stage will provide 10 of those projects with £60,000 to further develop their ideas, with all funding recipients also joining a new innovation community which will offer support and advice to give projects the best chance to succeed.

The Foundational Economy Innovation Fund is one aspect of support available to businesses during this time and is designed to offer applicants the chance to try out and test ideas and innovations. The full range of support on offer during the current energy and cost of doing business crisis is provided by the Growth Company here.

Lou Cordwell, chair of Greater Manchester Local Enterprise Partnership (GM LEP), said: “We all depend on the foundational economy for our daily needs, and a significant proportion of the population in Greater Manchester are employed within it.”

By Mark Adair – Correspondent, Bdaily