Whanganui & Partners economic development manager Jonathan Sykes.
Whanganui & Partners has had its budget cut by about 35% and has scrapped programmes such as Amplify business grants and its Dragons’ Den-style competition as it shifts its focus.
The economic development agency, formally a council-controlled organisation (CCO), was brought in-house by Whanganui District Council in July as part of cost-saving measures.
Jonathan Sykes was chief executive reporting to a board under the old model, but is now economic development manager, reporting to council chief executive David Langford.
Other staff remain employed under the same terms.
Whanganui & Partners’ annual budget is now around $1.7 million, down from $2.6m.
Sykes said the organisation would now focus more on wider economic initiatives, rather than being “deep in the detail of every single business”.
“We have a really capable business community here, and there are other organisations that can support that activity too.”
Areas of focus for the agency included energy, export opportunities and Whanganui’s Unesco City of Design designation, he said.
“We have taken a fresh look and approach and reduced the number of projects.
“Everything we’re doing is bigger - making sure there is bigger bang for buck, essentially.”
Sykes said there had been a reduction in the agency’s advertising budget so it had to be smart when promoting Whanganui.
“This is about people around the rest of the country seeing us.
“Our relationship with Tourism New Zealand, for example, has got to work much harder.”
The agency will give out event grants totalling $224,000 for the 2024/25 year.
It has also got $180,000 in central government funding for local events through the Ministry for Business, Innovation and Employment (MBIE).
“We’ve worked with a number of local events in putting their applications forward to a panel at MBIE. [Our funding] was the third-highest out of 28 regions in the country.
“An event could only access it through their regional tourism organisation or council. For Whanganui, that’s us.
Sykes said a big opportunity for Whanganui was the reopening of the Sarjeant Gallery in November.
“With our role as the regional tourism organisation, we are working with the gallery on the promotional side to tell a cohesive story to the rest of the country, and even internationally.
“From a broader perspective, we are making sure this isn’t just about the Sarjeant Gallery itself. This is a huge catalyst for lots of other benefits for the wider economy.
“The Sarjeant will be open every day and there will be opportunities, particularly for businesses in the CBD.”
Another project was a potential offshore wind farm in the South Taranaki Bight, with four companies looking at that opportunity, he said.
“Our role is making sure we are connected to them and they are connected to the local business community.
“If it does go ahead, it’s going to be of huge economic value. It’s a massive project, and with it would [come] hundreds of jobs.”
Sykes said aside from the energy itself, there was operation and maintenance.
“These wind turbines are projected to last 30 to 35 years.
“There will be requirement for upkeep and a lot of people with knowledge and skills to do it.”
Langford said the transition in-house had been completed.
“Staff are now employees of the council rather than the Whanganui & Partners company.
“The team has done a fantastic job of getting on and delivering that service for the community.”
Business Whanganui chief executive Helen Garner said economic development was key to sustainable regional growth and prosperity.
“We believe that having a dedicated resource to focus on this is essential for Whanganui,” she said.
“As always, we are committed to collaborating with agencies and other stakeholders to achieve our shared goals of economic prosperity for the region.”
A report from Langford earlier this year said bringing Whanganui & Partners in-house would result in initial cost savings of $118,000 per year.
Sykes said the agency remained “big on regional and national relationships”.
“At times, it might seem like we are not very visible in Whanganui, but we are representing Whanganui somewhere else.
“We are definitely not hiding away in the office.
“There have been nuts-and-bolts [matters] to deal with that comes with moving people over, but the mantra from the council was that everything should look the same.”
There had been a decade of sustained economic growth in Whanganui but there was a lot more work to be done, Sykes said.
“The big thing that connects all of our projects is increasing the productivity of the Whanganui economy.
“Part of that is about attracting high-value industries and high-value skills.
“These are the spaces we are really concentrating on now.”
Sykes will continue to present reports to the CCOs and economic development committee.
The committee has added an independent chairman (Paul Bayly) and an independent member (Andrew Turner).
Mike Tweed is a multimedia journalist at the Whanganui Chronicle. Since starting in March 2020, he has dabbled in everything from sport to music. At present, his focus is local government, primarily Whanganui District Council.