Shaping the Economic Development Strategy Local Economic Assessment – The Evidence Housing Services Forum - March 2011 Ephraidge Rinomhota Snr Economic Research Officer Economic Development

Local Economic Assessment Evidence - Housing Services Forum What Will Be Covered The Local Economic Assessment Industry Structure Economic Performance The Labour Market Employment Land Housing, Jobs and Growth Infrastructure Future Growth Prospects Summary

Local Economic Assessment Evidence - Housing Services Forum Local Economic Assessment Legal duty from April 2010 A comprehensive & robust diagnosis: –Understanding local economic conditions & impact on residents & business –Identify strengths, weaknesses, challenges/threats & opportunities –Identify the local economic geography & linkages to wider economy –Local constraints to economic growth & employment & risks to delivering sustainable economic growth. NB. The need for Local Economic Assessments was endorsed by the Coalition Government.

Local Economic Assessment Evidence - Housing Services Forum MK Economy- Key Statistics Population – 240,985 (2010) and 305,000 in 2033 Households – 101,363 (2010) Working Age Population (16 – 64/5 yrs) 159,300 Number of Businesses – 10,971 (2008) Employment – employees – 142,620 Employment – employees – 137,240 (2009) Employment – self-employed – 11,300 (7.5%) (2009) Employment Rate – 72.5% (June 2010) Economic Activity Rate – 80.4% (June 2010) GVA - An economy worth £6.9 billion (2008) Unemployment (claimants) – 5,874 (January 2011) Unemployment Rate (claimants) – 3.7% (January 2011) Young people in leaning – 6,500 (83.6% of the cohort) in January 2011

Local Economic Assessment Evidence - Housing Services Forum MK Economic Functional Area - The South East Midlands

Local Economic Assessment Evidence - Housing Services Forum Strategic Location of Milton Keynes

Local Economic Assessment Evidence - Housing Services Forum MK Population Source: MKC & ONS

Local Economic Assessment Evidence - Housing Services Forum Population by Age Group, MK and England, 2009 Source: NOMIS

Local Economic Assessment Evidence - Housing Services Forum Industry Structure, MK Source: NOMI

Local Economic Assessment Evidence - Housing Services Forum Knowledge-Based Economy Source: ONS

Local Economic Assessment Evidence - Housing Services Forum Employment By Size Band, MK 2008 Source: NOMIS

Local Economic Assessment Evidence - Housing Services Forum GVA – MK and the South East Midlands Area Source: NOMIS

Local Economic Assessment Evidence - Housing Services Forum Occupational Structure, MK, SE and England Source: NOMIS

Local Economic Assessment Evidence - Housing Services Forum Skills of the Residents, MK, South East & England, 2009 NVQ4NVQ3NVQ2NVQ1 Other Qualification No Qualification Milton Keynes South East England Source: NOMIS

Local Economic Assessment Evidence - Housing Services Forum Commuting Patterns, MK, 2001 and 2008 MK 2001 MK 2008 In 38,000 Out 22,000 In 53,000 Out 18,000 Net In – 16,000 Net In – 35,000 Source: ONS

Local Economic Assessment Evidence - Housing Services Forum Unemployment rate, (Claimant Count) MK, SE, & UK 2000 to 2011 Source: NOMIS

Local Economic Assessment Evidence - Housing Services Forum Unemployment & Job Vacancies, MK, January 09 to January 2011 Source: NOMIS

Local Economic Assessment Evidence - Housing Services Forum Employment Land By Use Type Source: MKC

Local Economic Assessment Evidence - Housing Services Forum Population, Households and Employment, MK, Source: NOMIS & MKC

Local Economic Assessment Evidence - Housing Services Forum Housing Completions Source: MKC

Local Economic Assessment Evidence - Housing Services Forum Infrastructure – Transport Source: MKSM Transport Report

Local Economic Assessment Evidence - Housing Services Forum Projected GVA Growth 2010 to 2030 Source: CE

Local Economic Assessment Evidence - Housing Services Forum Summary Local Economic Assessment The MK Economy – The Evidence The SWOT Analysis Areas for Intervention Thank You.

Housing Services Forum Milton Keynes Economic Development Strategy Pam Gosal Head of Economic Development 3 March 2011

Local Economic Assessment Legal duty from April 2010 A comprehensive & robust diagnosis: Understanding local economic conditions & impact on residents & business Identify strengths, weaknesses, challenges/threats & opportunities Identify the local economic geography & linkages to wider economy Local constraints to economic growth & employment & risks to delivering sustainable economic growth

Local Economic Assessment Evidence - Housing Services Forum Local Economic Assessment - conclusions Diverse and competitive knowledge based economy Economic regeneration Skills and learning Business support Marketing MK Infrastructure

Local Economic Assessment Evidence - Housing Services Forum MK ED Strategy extensive consultation Setting Priorities MKELP Board MKELP Advisory Committee TOG MKC DMTs Economic Development and Enterprise Select Committee Internal MKC Staff CLT LEA Public consultation Economic Development Strategy 21 th February – 11 th March 2011 – Organisational Consultation In agreement with partners sign off in April 2011

Local Economic Assessment Evidence - Housing Services Forum MK ED Strategy Consultation – partnership approach Local context – what is the current position in MK, economic trends and issues Long Term Economic Vision – where do we want to be in 2034 National Context – how MK fits into governments national agendas Key Priorities – what are our key priorities and how they fit into the LTEV and other key documents Measuring Economic Performance – what are we going to measure so that we can see that the work we are doing is helping the economic situation in MK Action Plans – what are the objectives that will address the each priority and who is doing what to deliver these objectives and what are the gaps

Local Economic Assessment Evidence - Housing Services Forum MK ED Strategy Key Priorities Diverse and competitive knowledge based economy. Create an environment that will foster business and employment growth within a diverse, more knowledge based and competitive economy by encouraging innovation, enterprise and skills improvement. (Supports LTEV Pillars 1,2 & 3; Foundation 1) Economic regeneration. Improve access to training and job opportunities, especially for those with no or low skill levels, to provide greater opportunities for individuals to obtain sustainable employment. (Supports LTEV Foundation 1 & Underpinning 2) Skills and learning. Improve the overall skills and qualifications profile of the resident population through education and training provision, to ensure that the skills of the resident population are able to meet the needs of employers, especially in relation to higher level skills and the development of the University Centre Milton Keynes. (Supports LTEV Pillars 2, & 3; Foundations 1& 2) Business support. Encourage business growth through focused interventions such as support for innovation, start-ups and ensuring an appropriate range of commercial space is available. (Supports LTEV Pillar 1 & 3; Foundations 1 & 2) Articulating a compelling MK Offer. Promote Milton Keynes as a premier location for inward investment and as a visitor destination. (Supports LTEV Pillars 1,2 & 3; Foundations 2 & 4; & Underpinning 1) Enabling infrastructure. Create, maintain and improve the appropriate infrastructure for growth, especially in relation to transport and digital infrastructure. (Supports LTEV Pillars 1,2 & 3; Foundations 2 & 3)