Dorset Economic Growth Strategy SWOT

STRENGTHS

WEAKNESSES

Overall High level of business start ups.
High level of business survival after 5yrs
(conurbation in line with England Ave.)

A mixed sector composition.

Dorset's distinctive environment makes
Tourism an important part of the
economy.

Voluntary community sector plays an
important role in the economy.

46% of Dorset businesses are 1 O+yr old,
indicating stability.

GVA across Dorset rose by 3% between
2008-2010 (2% nationally)

Employment rate as at Sept 2012 was
74.9% (70.9% for England). North Dorset
Highest at 80%.

Unemployment rate at Sept 2012 was
4.9% and remains consistently below the
national level (England 8.1 %).

Accommodation food service and art,
entertainment recreation see a 4%
increase in employment during the
summer.

Dorset has a higher proportion of people
with NVQ 1, 2 3 level qualifications
compared nationally, although 2.2% less
holding an NVQ level 4.

The skills gap of employees in 2011 was
below the national average, except for
skilled trade occupations.

Dorset has three main ports (Poole,
Weymouth and Portland) providing
passenger and commercial ferry
services.

Low level of business start up in
Weymouth Portland area.

Resident GVA per head is low in Rural
Dorset.

Weymouth Portland has a low
competitive index value. All others are
close to UK ave.

Weak supply chain due to the rural
nature of Dorset. Unlikely to change in
the foreseeable future.

A large proportion of the workforce is
employed in small businesses (esp.
Rural areas).

Between 209-2012 the number of
businesses fell by 2%, This was highest
in Weymouth Portland (5.6%) and
Bournemouth 3.9%).

Unemployment is significantly higher in
Urban areas (Bournemouth 7%, Poole
5.6%) compared to rural areas (3.9%).

Average work-based earnings in rural
Dorset are 10% below the national
average. Poole Bournemouth are 7%
below.

Higher level of job vacancies in Dorset
(3.1 %) compared to England (2.4%) in
2011. 34% of vacancies were deemed
hard to fill due toa skills shortage (21 %
nationally).

of land available for

development is partly

by the degree of

protection within the

Availability
commercial
constrained
environmental
County.

With the exception of Bournemouth,
house prices in Dorset are 25% above
the national average.

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Dorset Economic Growth Strategy SWOT

STRENGTHS

WEAKNESSES

Overall High level of business start ups.
High level of business survival after 5yrs
(conurbation in line with England Ave.)

A mixed sector composition.

Dorset's distinctive environment makes
Tourism an important part of the
economy.

Voluntary community sector plays an
important role in the economy.

46% of Dorset businesses are 1 O+yr old,
indicating stability.

GVA across Dorset rose by 3% between
2008-2010 (2% nationally)

Employment rate as at Sept 2012 was
74.9% (70.9% for England). North Dorset
Highest at 80%.

Unemployment rate at Sept 2012 was
4.9% and remains consistently below the
national level (England 8.1%).

Accommodation food service and art,
entertainment recreation see a 4%
increase in employment during the
summer.

Dorset has a higher proportion of people
with NVQ 1, 2 3 level qualifications
compared nationally, although 2.2% less
holding an NVQ level 4.

The skills gap of employees in 2011 was
below the national average, except for
skilled trade occupations.

Dorset has three main ports (Poole,
Weymouth and Portland) providing
passenger and commercial ferry
services.

Low level of business start up in
Weymouth Portland area.

Resident GVA per head is low in Rural
Dorset.

Weymouth Portland has a low
competitive index value. All others are
close to UK ave.

Weak supply chain due to the rural
nature of Dorset. Unlikely to change in
the foreseeable future.

A large proportion of the workforce is
employed in small businesses (esp.
Rural areas).

Between 209-2012 the number of
businesses fell by 2%, This was highest
in Weymouth Portland (5.6%) and
Bournemouth 3.9%).

Unemployment is significantly higher in
Urban areas (Bournemouth 7%, Poole
5.6%) compared to rural areas (3.9%).

Average work-based earnings in rural
Dorset are 10% below the national
average. Poole Bournemouth are 7%
below.

Higher level of job vacancies in Dorset
(3.1 %) compared to England (2.4%) in
2011. 34% of vacancies were deemed
hard to fill due to a skills shortage (21 %
nationally).

Availability
commercial
constrained
environmental
County.

of land available for

development is partly

by the degree of

protection within the

With the exception of Bournemouth,
house prices in Dorset are 25% above
the national average.

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Bournemouth has a 1 Gigabit fibre
broadband network (1 OOx faster than the
UK average)

15% of employee jobs are in Human
health social work activities

There is above average employment in
Accommodation food services, and
Finance insurance.

51 % of all employees work in knowledge
intensive businesses

18% of working age people are self-
employed (15% national average). This
rose by 2.2% (double that for England)
between 2010-2012.

OPPORTUNITIES

Sector clusters develop knowledge

2

Rail is an under-used mode of transport,
with growth constrained by service
provision and infrastructure. Large areas
of Dorset are without railway access.

25% of households can not afford
housing without some form of subsidy.
(Bournemouth residents are least able to
afford housing).

In Bournemouth, Weymouth and
Portland 25% of households do not own
a car.

The A31/A35 is a critical access route to
the wider regional national network but
suffers severe capacity issues and is
single carriageway for much of its length.

The A350 north-south primary route is
largely unsuitable for the traffic it carries.

Large areas of Dorset that are
environmentally protected are a
significant constraint to providing new
infrastructure.

Large parts of rural Dorset suffer from a
poor communications infrastructure,
which impacts on business growth.
(Superfast Broadband project)

Growth undermined by the loss of public
sector jobs, particularly in DCC.

Below average level of productivity in
output per hr and GVA per resident.

Productivity gap between conurbation
and rest of Dorset is widening,
Exaggerated by the Financial services
and manufacturing sector in
Bournemouth and Poole.

THREATS

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transfer networks and better economies
of scale.

Some business growth particularly in
Professional, scientific technical
sectors, as well as in increase of
Agricultural businesses in the rural
Dorset.

Significant potential to growth the Green
Knowledge economy by ethically
exploiting land natural resources

Customer demand for green products will
increase, as a result of the EU 2020
target commitment and regulatory
challenges.

(Engineering manufacturing,
Bournemouth Uni)

Population has grown by 6% over the
last 5yrs. It is expected to increase by
8% over the next decade and focus in
Bournemouth Poole.

23% of Population are over 65yrs old
(16% in England). Christchurch is 30%.

Strategic employment sites include
Bournemouth Airport, Dorset Green
Energy Centre, as well as Key
regeneration sites in Bournemouth,
Poole, and Dorchester. This can help
facilitate clusters of economic activity
based on sectors.

The overall amount of land available for
new employment purposes appears quite
high, although not all is immediately
available.

3

High public sector employment in West
Dorset (28%) and Weymouth Portland
(29%). DLEP is same as England at
21%.

71 % of public sector employment is filled
by female workers.

Public sector sustains private sector
employment 100 FTE public sector jobs
support 34 FTE private sector jobs.

Reluctance in the voluntary community
sector to bid for public sector contracts.

Greatest number of job losses in Public
administration and defence.

GVA fell in 3 sectors between 2008-2010
(i.e. Construction 11 %, Info Comms
7%, Business services 3%.

Under employment due to reliance on
part-time working. 39% of employees are
part-time compared to 32% nationally.

Lack of productivity of Young people.
2011 NEET level was 5.7%, compared to
6.1 % nationally.

Resident based earnings are significantly
higher than work-based earnings
(particularly in North Dorset).

Estimated requirement for 260-296ha of
employment land over 2011-2013 (72%
demand is in Poole Bournemouth).
With 277ha estimated to become
available. The potential shortfall will be
particularly noticeable in Bournemouth
Poole.

The number of households is forecast to
increase by 16% from 2011-2031 .

Dorset needs to provide1 0,007 additional
units of affordable housing a year to
meet demand (particularly in the
conurbation).

Rural areas are particularly reliant on the

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car. Although community transport has
seen an increase in users, the continued
provision is likely to come under pressure
due to cut backs.

Source:

Local Economic Assessment for Bournemouth, Dorset and Poole - March 2013

Note:

Low GVA sectors are: Health & social services, education, Agriculture, Forestry &
fishing).

Dorset Urban areas are: Bournemouth, Poole, Christchurch, Weymouth and
Portland.

Dorset Rural areas are: East, North, West and Purbeck.

Dorset LEP Growth Strategy Priorities

A. Growth, Productivity Competitiveness

A 1. Support supply chain development of sector specific clusters

A2. Support local businesses to exploit potential new markets and development of
high growth sectors.

A3. Promote development which best fits with the varied structural nature of the
economy in terms of its conurbation core and satellite settlements/self contained
towns; ensuring development space is made available where needed

A4. Ensure that the strategies for housing and transport are linked to the requirement
of economic development and employment, identifying the potential constraints on
business growth in the conurbation in particular.

A5. Fully exploit the opportunities for investment in skills, and infrastructure

B. Business formation and self-employment

B 1. Support to small businesses in bidding to deliver services previously provided by
the public sector

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B2. Support business development in higher value sectors such as knowledge
intensive industries and specialist sectors for which the sub-region demonstrates
certain competitive advantages

B3. The provision of appropriate business support services to help business start-
ups, nurture the growth of small enterprises and to reflect the high level of self-
employed people, as well as continuation of existing business support services

B4. Provision of high speed broadband and digital connectivity to enable an
enterprise culture to grow, particularly in target sectors such as the media

B5. Develop innovative financing models to provide financing support to small
business seeking to grow

B6. Broker support for skills development, including apprenticeship development.

c.The Knowledge-intensive sector (including the Green Knowledge
Economy)

C 1. Develop strong links with the Dorset's universities and colleges to support
innovation and new business development

C2. Develop a map of research and development facilities which can form the basic
of innovation and new business developments

C3. Continue work on the development of a 'green knowledge' cluster/specialism in
the area, focusing on skills needs, transforming existing business activity (Iow carbon
practices)

C4. Developing a strategic approach to the skills needs for key knowledge intensive
sectors

C5. Support innovation and knowledge transfer through well supported business
networks

C6. Promoting green procurement and building local capacity to implement low
carbon construction solutions

C7. Supporting industries to address skills Shortages and skills gaps and work with
local providers to align training with business needs and attracting/retaining
graduates in the local economy

C8. Measures to retain and attract graduates

Cg. Addressing the issue of affordable housing which may act as a barrier to
recruiting young people and attracting new skilled migrants into the area

C10. Faster and more extensive broadband and ICT infrastructure to ensure that
knowledge -intensive sectors, such as creative industries, are able to prosper.

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D. Rebalancing and Public Sector Employment

01. Aligning the skills of displacement workers, including decommissioned MoD
staff, with the needs of the economy through retraining and talent retention
programmes.

02. Building on the work of Dorset Procurement to maximise the opportunities for
local suppliers to benefit from the combined purchasing power of pubic bodies in
Dorset.

03. Support 'green' procurement criteria which may serve to promote opportunities
for local suppliers and green practices

E. Voluntary and Community Sector

E1. Funding for voluntary and community sector support services such as those
provided by CVS.

E2. Effective representation of the sector in the local decision making structures to
increase its ability

E3. Ongoing support in terms of training and skills development, including specialist
funding advice, which is provided at sufficiently low cost to be accessible to
organisations.

E4. Greater willingness and capacity to bid for public sector contracts and service
provision; and overcome recruitment constraints, both of employees and volunteers.

F. Demographic Challenge

F1. Develop and understanding of the business sectors that may benefit from an
ageing population and ensure that these sectors (e.g. care sector) are equipped with
the skills required for their development and expansion.

F2. Seek to retain the key skills of the younger retired or about to retire population
through flexible working and part-time employment opportunities, including
involvement in the voluntary and community sector and mentoring programmes.

F3. Work with employers to anticipate and address their replacement demand needs

F4. Address the barriers to inward migration of young skilled workers such as
affordable housing.

G. Affordable housing

G1. Continue to increase the supply of housing in sustainable locations with good
access to services and facilities including good schools.

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G2. Planning strategies need to support the provision of different housing (type, size
and tenure) that reflects housing needs, including those required to support a
prosperous economy.

H. Skills gap and the low wage economy

H1. Address the relative underperformance in higher level skills attainment levels

H2. Improving the supply of skills needed in the economy, including management,
customer services, skilled trades and specialist skills required by particular sectors.

H3. A better understanding of skills demand and supply to inform future provision of
skills development

H4. Gauging where future skills development will be required to meet economic
growth opportunities, for instance in creative industries

H5. Addressing the impacts on an aging workforce and the potential loss of skills in
the workforce through retirement

H6. Ensuring better collaboration between employers and providers to ensure the
alignment of skills provision to meet needs.

I. Infrastructure

11. Effective partnership working between public agencies, local authorities and the
private sector to delivering infrastructure in light of a more constrained financial
climate.

12. Mapping out the key infrastructure priorities, identifying deliver mechanisms and
quantifying gaps in funding

13. Securing funding for better infrastructure development supporting economic
growth.

14. Improving Digital connectivity and broad band access to support enterprise and
the growth of target sectors such as creative industries and the green knowledge
economy.

J. Employment Land

J1. A long-term strategic approach towards the retention of. sufficient suitable land
and premises for employment uses when preparing development plans and
determining planning applications.

J2. Exploring new opportunities for employment land with communities as part of
emerging development plans.

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J3. Continued measures to improve/overcome the infrastructure, access and
environmental factors which constrain potential employment land through joint
strategies (e.g. Local Transport Plan)

Proposed Flagship Activity

Flagship Activities / Priorities Addressed
1 / Creation of a Digital Media Village / A1, 82, 84, H4, 14
2 / Clustering of care sector / A1, F1
3 / Green Enerqv Cluster / C3, A1, H4, 14
4 / 8usiness Support Service provision / A2, 81, 83, 84, 85,C5, D1, E1, E3,
E4, F2, F3, H3
5 / Improved Transport Links / A4, C9, 11, J3
(A31, A35, A350)
6 / Employer, Skills provider and schools / A5, 82, 86, C1, C2, C4, C7, C8, D1,
collaboration / E3, F2, F3, F4, H1, H2, H3, H4, H5,
H6.
7 / Superfast 8roadband rollout / 84,A2,C10
8 / Public sector engagement / C6, D2, D3, E4, 11, 12, 13, J2, J3.
9 / Construction/Housing / C9, E2, G1, G2, J1, J2, J3

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