Councillors and officials in Sheffield are celebrating a deal set to bring 1,200 jobs to the city after working on it for a year.
Clipper Logistics has signed a 10-year lease on Sheffield 615, a giant warehouse on Shepcote Lane in Tinsley owned by Logicor, and will run it for PrettyLittleThing, part of online fashion firm Boohoo.
The Star understands £1m of taxpayers’ money from the Business Investment Fund was used to sweeten the deal. It compares to £12m of BIF funding for McLaren and £5.5m for Boeing, both firms are building factories on the Sheffield-Rotherham border.
Sheffield City Council is also set to help train warehouse staff.
John Mothersole, council chief executive, said: “This is a brilliant addition to the city’s jobs market. Our logistics offer is strong and that is why Clipper Logistics have decided to base its Boohoo and Pretty Little Thing operation here.
“It is especially pleasing after the sadness around Polestar UK, which previously occupied the site. We have worked closely with those affected to help them through this difficult period.
“Clipper Logistics has signified a long-term commitment to the region with this deal which brings yet another multi-national company with a global reach and reputation into our city.
“It follows many months of constructive work involving council officers and the lead cabinet member and will bring a range of competitive, highly-valued jobs to the local economy.”
Mazher Iqbal, cabinet member for business, said: “It’s great news after months of negotiations. Clipper has said they are here for the long term.”
The authority also helped with finding the site and planning matters, he added.
Gareth Morgan, senior business development manager at Sheffield City Region, said: “Our logistic sector is built upon Sheffield City Region’s location at the heart of the UK’s transport network, and benefits from excellent availability of labour as well as positive working relationships with the city region, local authorities and partners.”
“Companies such as ASOS, DHL and Amazon have already chosen to locate their distribution centres here and we look forward to welcoming further inward investment.”
Steve Parkin, executive chairman of Clipper Logistics, said: “The new contract with Pretty Little Thing represents one of the Company’s most significant contract wins and is demonstrative of our ability to deliver cost-effective solutions for retailers of any scale. We are delighted to have been awarded this contract with one of the fastest-growing online retailers, and look forward to working with the PLT team over the years ahead.”