Agenda item

Isobel Woods (Head of Economy and Skills) presented the Economic Development Update and summarised the following points.

• The economy remained flat, with some growth in the service sector. Lower inflation had boosted wages, while unemployment remained below regional and national averages.

• Warwickshire Gross Domestic Product (GDP) had experienced both incremental growth and decline. Despite these fluctuations, the overall economic situation in Warwickshire remained relatively stable compared to January 2023.

• The service sector, particularly Information and Communication, had been replaced by Education and Social Work as the primary driver of monthly growth.

• The unemployment rate in Warwickshire was 3.3% which was lower than the rates in the West Midlands (4.5%) and the entire UK (3.7%).

Business and Economy

• Access to Finance, this had been the most active quarter so far for loans and grants, facilitating £2.5 million. This amount had further leveraged £2.8 million from the private sector. In addition, 55 new jobs had been created, with 160 more expected and 106 jobs safeguarded. The Apprenticeship Levy supported 98 apprenticeship opportunities. Within that funding offer, included the Local Communities Enterprise, witnessed significant loan activity. In the third quarter, 12 loans were issued, totalling nearly £900,000. This brought the years total to 42 loans with an additional 21 expected. The Digital Creative sector contributed to job creation, new product development and accelerated growth with12 applications received, resulting in a total award of £310,000. Efforts were underway to draw down on this funding before the end of the financial year.

• In November, the Business Support team announced plans to launch the Business Growth programs in Warwickshire. These programs, which complemented the efforts of local Districts and Borough Councils, went live in December 2023, and had received over 300 engagements.  In addition,22 business assists had been provided, and the team were on track to achieve their annual target of 100 assists by the end of the financial year.

Employment and Skills

• The Fair Chance Jobs Portal had been operational for six months and served as a dedicated space for employers to recruit inclusively. During that time, 58 employers had signed up, and approximately 28 job vacancies were posted each week with 220 people actively using the portal.

• Supported Employment Service, worked with a range of employers, including Fair Chance to help those with learning difficulties and autism to secure paid employment. Over the last twelve months, the programme had successfully supported 44 customers in obtaining paid work, 16 of those working independently and four customers who had embarked on apprenticeships.

• The Future Skills Fund engaged with industry which included discussions of the employment of a future skills officer as well as holding roundtable discussions which focused on construction and digital sectors. There was also the offer of salary support for those in the workforce aged 50 and over, looking at apprenticeships, with 58 entering work. ApprenticeshipLevy Support offered salary support for those who entered in apprenticeships and to assist with in-work training, with 15 apprentices progressing in their training.

• The Careers Hub had been in operation for six months, and officers highlighted the appendix showing the list of 52 schools in participation which was available for Members perusal. As part of the service, the Careers Hub assisted schools in self-assessment for the Gatsby Measure. Isobel Woods explained the benchmarks of the measure and discussed the average scores for Warwickshire schools, explaining that they had increased from 5.79 to 6.04, surpassing the national average of 5.50 since the Careers Hub began working with the schools.

• The national programme,Multiply Fund which promoted numeracy across the UK,had been active in Warwickshire since January 2023 and during the calendar year, 1719 people had been supported.  Agencies and providers collaborated to enhance numeracy skills and align them with practical life skills.

• The Business Centre improvements had been completed, were well-received by tenants and attracted new tenants. Occupancy was at 78% and was expected to rise to 84%.

• The Financial Times had published their FDI rankings in February 2024 as Warwickshire has been recognised.

• The results of the hashtag campaign, #WarwickshireChristmas conducted during the festive season garnered nearly 25,000 likes or shares on social media which bought local businesses together in towns and villages.

• Local Visitor Economic Partnership (LVEP) was an emerging partnership working with Districts, Boroughs, and partners in Coventry and Warwickshire to gain an economic understanding of visitor economy aligned to the Visit Britian campaign.

Isobel Woods welcomed questions and Members discussed the following points.

Councillor Martin Watson (Portfolio Holder for Economy) thanked Isobel Woods and her team on a very good report and reiterated that the Council was very supportive of businesses in Warwickshire. He supported the comments about the FDI rankings due out imminently as well as some further news about highspeed broadband across the County. Councillor Watson highlighted the excellent work being done with the employment services.

In response to a comment from Councillor Jonathan Chilvers, Isobel Woods agreed that emphasising environmentally friendly changes in the construction industry was important and future skills would need to be focused on. Isobel Woods went on to explain that this had already been recognised in the construction sector and was called Green Skills. This would be noted and would ensure that it was a visible response reflected in the constructions sector. Councillor Chilvers commented that there was an opportunity to work with the Council’s Property Development group around this.

In response to Councillor Chilvers secondary question about the Careers Hub and the student journey, Isobel Woods explained that the Council worked with school careers advisors and presented the school with a tailored package such as interviews, CV preparations and career days. Isobel Woods advised that a report could be prepared and presented at a future meeting documenting the students’ journey.

Councillor Chilvers suggested that it would be interesting to invite schools or students to a meeting to hear their firsthand responses to the Careers Hub and what we were doing as a Council. Councillor Fradgley supported this proposal.

Isobel Wood welcomed the idea stating that it would expose young people to local government and could be a positive learning opportunity for them.

The Chair noted the comments and advised this would need to be discussed at the next Chair and Spokes meeting to get the process moving forward.

Following a question from Councillor Bhagwant Pandher, Isobel Woods advised  there was no age limit on the 50 plus apprenticeships.

The Chair commented on the Nuneaton industrial Campus after a recent visit and shared his positive experiences.

The Committee noted the Economic Development Update.