Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
BUILDING A SUSTAINABLE ECONOMY
TheJoint Economic Development Strategy for Bedfordshire and Luton
1
Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
Chair’s Introduction
The Bedfordshire and Luton Economic development Partnership (BLEDP) intends to transform the economy of Bedfordshire and Luton by providing leadership, confidence and integration to encourage its growth.
In adopting this Joint Economic Development Strategy (JEDS), the Partnership has set itself the stiff target of stimulating the local economy to create 50,000 additional jobs by 2021. This is double the number of jobs it has produced over the last few years. The vast bulk of these jobs will be created by private companies, but BLEDP members will play a key role in creating the conditions which will encourage new private investment in wealth generation and job creation. We will particularly target new jobs in the aviation, high tech manufacturing, and leisure and tourism sectors.
We want to reverse decades of relative under performance. Over the last 20 years, Bedfordshire and Luton has increasingly become a dormitory area for more successful neighbouring economies in Milton Keynes, Hertfordshire, Cambridgeshire and Northamptonshire. BLEDP wants to reverse this trend and to provide adequate new jobs for the expected increase in population under the Government’s Sustainable Communities Plan.
BLEDP recognises that creating new jobs in itself will not create healthy communities. We realise that it is important that the communities of Bedfordshire and Luton also need to regenerate their housing stock, their infrastructure and protect their environment if the area is to remain an excellent place to both live and work. BLEDP members will be carrying out many vital activities to fulfil these functions outside their work with the Partnership.
However, BLEDP itself is committed to providing the strategic leadership for the economic development and business support activities within the sub-region. We want to ensure that the work of our partners in these fields results in which the wholeis greater than the sum of its parts. In doing so, we will work closely with our regional partners such as the East of England Development Agency, the East of England Regional Assembly and the Government Office for the East of England to achieve these ends.
Agreeing the JEDS is only the first part of this process. BLEDP is now embarking on a series of Investment Plans to co-ordinate partners’ activities to turn the Strategy into reality. We welcome all who want to work with us to achieve these aims.
Derek Ludlow, MBE
Chair, Bedfordshire and Luton Economic Development Partnership
June 2005
Foreword
BLEDP was formed as an informal partnership in 1997. Its membership has grown and now includes all 5 major local authorities, the three universities, InterBusiness Group, incorporating the Chamber and Business Link, the Learning and Skills Council, the Further Education colleges and leading private companies such as LondonLutonAirport.
Since 2001, BLEDP has received substantial financial assistance from the East of England Development Agency (EEDA). BLEDP is now recognised by EEDA as one of nine Sub-Regional Economic Partnerships in the region. As such, BLEDP is assisting EEDA to implement its Regional Economic Strategy within Bedfordshire and Luton.
In 2005, BLEDP became a company limited by guarantee. This gives it the robust structure needed to make sensible decisions about future expenditure to meet the considerable challenges laid down in this Strategy. Its membership is not closed. Any organisations which feel they can contribute to the future economic well-being of Bedfordshire and Luton are welcome to apply to join the company.
It is likely that from 2006 onwards BLEDP will have considerable influence over all EEDA expenditure in the sub-region. We will seek align both EEDA and non-EEDA sources of funding to meet the challenges for the local economy posed by this Strategy, the Regional Economic Strategy and the Milton Keynes South Midlands Sustainable Communities Plan. We will do this through a series of Investment Plans which will give strategic guidance to all local investments in economic development and business support within Bedfordshire and Luton.
The central BLEDP Office is a small team and intends to remain so. BLEDP’s central roles are to provide
- the framework within which BLEDP’s partners can agree a common strategy and delivery plan, and
- the leadership to ensure those strategies and plans are carried out to the benefit of the population of Bedfordshire and Luton.
For more information about BLEDP and its activities, visit our web-site
Chris Barnes
Chief Executive Officer
BLEDP Ltd
WrestPark
Silsoe
Bedfordshire, MK45 4HS
01525 862999
June 2005
1
Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
Chair’s Introduction
Foreword
Vision
Background Information
Context
Strengths of the Local Economy
Opportunities to expand the local economy
Drivers for Change in the local economy
The Jobs Required
Indicative Forecasts of the Additional Jobs Required by 2021 above “Business as Usual” Expectations
The JEDS Objectives and Priorities
Growing and Diversifying the Local Economy
Growing Innovation and Entrepreneurship
Adapting and Accessing Skills and Education
Infrastructure Solutions for Growth
Growth and Community Development
A New Image for Investment
APPENDIX AA COMPARISON OF RES AND JEDS PRIORITIES
RES Goal 1 - A skills base that can support a world-class economy
RES Goal 2 - Growing competitiveness, productivity and entrepreneurship
RES Goal 3 - Global leadership in developing and realising innovation in science, technology and research
RES Goal 4 - High quality places to work and live
RES Goal 5 - Social inclusion and broad participation in the regional economy
RES Goal 6 - Making the most from the development of international gateways and national and regional corridors
RES Goal 7 - A leading information society
RES Goal 8 - An exemplar in environmental technologies and the efficient use of resources
APPENDIX B: MEASURING TARGETS
APPENDIX C: Sustainability Assessment
Introduction by BLEDP
Bedfordshire County Council Sustainability Assessment
Bibliography of Sources
Glossary of Acronyms and Terms
Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
Vision
The economy of Bedfordshire and Lutonhas great potential.Achievement of that potential will be determined largely by the businesses and communities of Bedfordshire and Luton.
A wide range of agencies, partnerships and networks involving the private, public and voluntary sectors will also play important roles.
We also believe that by working together in the Bedfordshire and Luton Economic Development Partnership we can make a significant contribution to economic growth, social progress and the protection of the environment.
To that end, we have adopted the vision in the Regional Economic Strategy (RES) as a shared vision for the local economy of Bedfordshire and Luton. We will seek to create,
“a leading economy founded on our world class knowledge base and the creativity and enterprise of our people, in order to improve the quality of life of all who live and work here.”
To support this vision, we will seek to achieve the goals identified in the Regional Economic Strategy with particular emphasis on:
- Increasing the number of jobs available;
- Improving the skills of local residents;
- Providing the right infrastructure for economic growth;
- Ensuring the local economy is sustainable environmentally and socially, and
- Encouraging broad participation in the local economy.
We hope you share this vision.
1
Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
Background Information
1
Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
Themain purpose of the Bedfordshire and Luton Economic Development Partnership (BLEDP) is to ensure the economic development and business support activities of its members are co-ordinated strategically through a Joint Economic Development Strategy (JEDS).
The previous JEDS was adopted in 2000. Since then, the Partnership has, amongst many other things:
Developed a network of Enterprise Centres across the sub-region to encourage a more entrepreneurial business culture;
Expanded the provision of training for new business people;
Begun the process of co-ordinating the provision of business support services by BLEDP partners to improve the ability of local businesses to access them and increase their positive impact on the local economy;
Provided a forum and a focus for all local organisations with an interest in economic development and business support to exchange views and collaborate more strategically;
Developed a more integrated approach to foreign direct investment with Invest East of England;
Set up an Employment Support service to assist companies undergoing restructuring and local employees facing redundancy to return to the workforce as soon as possible;
Supported the Central Innovation Network of innovative companies;
Encouraged the development of premises suitable for innovative companies at PrioryBusinessPark (Bedford), Butterfield (Luton) and Cranfield;
Worked with two major centres of R and D to increase the local economic impact of technology transfer;
Developed the concept of an Enterprise Hub to bring innovators and entrepreneurs close together;
Brokered a bid for Investing in Communities funding to improve the ability of locally disadvantaged communities to participate fully in the local economy;
Ensured the Regional Economic Strategy takes account of local economic issues by holding a successful sub-regional workshop;
Successfully lobbied for improvements to the local transport infrastructure – A421, M1, Luton Eastern Corridor, Dunstable Northern bypass etc.
The JEDS has been revised now for several reasons.
- The continuing restructuring of the local economy means new priorities.
- The revision of the Regional Economic Strategy (RES) for the East of England by the East of England Development Agency (EEDA).
- The opportunities created by the government’s decision to allow the expansion of LondonLutonAirport.
- The economic challenges posed by the proposed major increase in the number of dwellings in Bedfordshire and Luton as part of the government’s Sustainable Communities Plan.
The Panel for the Examination in Public of the draft Milton Keynes and South Midlands Sub-Regional Strategy recognised that any housing growth for the Bedford/Kempston area is dependent on the provision of jobs to kick-start the local housing market. This is less true for Luton Dunstable. There the housing growth needs to be used to regenerate the local economy and physical fabric. Either way, BLEDP wishes to assist the Office of Deputy Prime Minister to fulfil the targets of the Sustainable Communities Plan and ensure that all residential growth is balanced by a growth of the number of economic opportunities in the sub-region.
Unless otherwise stated clearly in the text, this revised JEDS refers to BLEDP activities in its widest sense and is not limited to those undertaken directly by the Partnership Office or funded by BLEDP.
The JEDS will be supported by a series of medium term InvestmentPlans to guide BLEDP activities and funding for the next 3-5 years. This will turn the Objectives and Priorities of the JEDS into specific points of action. The Plan will identify for each Action Point the lead partner, the supporting partners, the resources that will be contributed by the BLEDP partners directly and the resources which will be sought outside the Partnership. TheseInvestment Plans will supplement the JEDS and be revised more frequently by BLEDP in consultation with its partners.
For more information about BLEDP, visit the BLEDP website – This will give more information on the activities either undertaken directly by the BLEDP office or funded by BLEDP. However, BLEDP partners also undertake activities which do not require BLEDP funding which are in support of the JEDS.
1
Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
Context
Strengths of the Local Economy
1
Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
Bedfordshire and Luton has an increasingly diverse economy. Recent growth in the services sector has more thanoffset job losses in the manufacturing sector.
There has been strong job growth outside the main conurbations in places such as the A1 corridor in east Bedfordshire.
Bedfordshire and Luton is an excellent location with good and improving connectivity with the rest of the UK and Europe.
28 million people - half of the country's population – are within 2 hours by road and rail of Bedfordshire, proving a major attraction for companies running regional or national business operations.
Good north-south routes such as the M1 and A1 and the east coast, west coast and Midland Mainline railways provide ready access to London, the Midlands and the North.
The development of Thameslink 2000 is to increase capacity on Midland Mainline and link directly to continental Eurostar services.
At the end of 2004, LondonLutonAirportprovided employment for an estimated 8,000 people with a further 2,500 employed as a result of the airport’s presence. Itcurrently serves 7 million passengers per annum, flying 54 routes to 49 destinations, providing a major international gateway to the sub-region. All these figures are expanding. Care will be needed to ensure that the airport continues to expand with minimal impacton both the local and the global environments.
Cranfield airport provides good facilities for executive jet aircraft and the potential to develop this activity.
Broadband availability is recognised as a key ingredient in providing good conditions for modern businesses. Broadband choices will be available in most parts of the sub region by April 2005, including rural areas ‘out of reach’ of enabled exchanges.
Unemployment rates in Bedfordshire are marginally lower than the regional average and well below the national average.
The age of Luton’s workforce is significantly below the regional average, giving employers more choice in an ageing labour market.The age of Bedfordshire’s workforce is also lower than the regional average.
NVQ Level 4/5 qualifications are above regional and national averages in the Bedford area.
Strong higher education infrastructure is in place with the University of Luton, CranfieldUniversity and De Montfort University in Bedford.
Unilever, BAE Systems, Nissan, Insys andthe Millbrook Proving Ground provide a good and growing R and D base outside the academic sector.
The skills of the local workforce are being improved by better co-ordination from training providers.
Nearly all of the post 16 learning provision in Luton is classified as excellent by OFSTED and the Adult Learning Inspectorate.
The training infrastructure in the FE sector in Beds and Luton is among the best in the UK, with several recognised Centres of Vocational Excellence (CoVEs) in many key sectors.
Business start-up rates have improved recently although the sub-region remains behind the average annual start-up level for the East of England.
Enterprise Centres are open and in operation in Bedford and Luton with a further centre in Mid-Bedfordshire opening in 2005 to serve the rural areas. South Bedfordshire is partly served by the Learning Warehouse in Leighton Buzzard, with plans for a further centre in Houghton Regis.
UnileverSciencePark, CranfieldTechnologyParkand Luton’s ButterfieldTechnologyPark will provide additional attractive, modern, out-of-town environments for businesses.
Bedfordshire possesses some very attractive countryside with the Chilterns Area of Outstanding Natural Beauty in the south and the Greensand Ridge and Ouse Valley Areas of Great Landscape Value in the middle and northern parts of the sub region. In addition, Bedfordshire and Luton have an extensive Green Infrastructure of assets such as parks, open space, biodiversity and built environment.
Bedfordshire is a leading employer in countryside and Green Infrastructure development and management. Employers include Bedfordshire County Council, National Trust, RSPB, Wildlife Trust, Woodland Trust, Bedfordshire Trust for Conservation Volunteers and 4 local environmental charitable trusts.
1
Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
Opportunities to expand the local economy
1
Building a Sustainable Economy
BLEDP Joint Economic Development Strategy 2005
LondonLutonAirport has emerged as the key asset of the sub-region. The planned expansion will create large economic and employment benefits in Luton and Bedfordshire.
Growing awareness of the oxford2cambridge arc (O2C) and Bedfordshire and Luton’s location at its heart should improve inward investment opportunities and increase the transfer of new ideas to economic activity through initiatives such as the Central Innovation Network.
Bedfordshire’s share of the proposed improvements to the national transport infrastructure announced in 2003 was the best in the country. Some of the key schemes are:-
Following work on the first part of the A421 improvement, the rest of it will become a dual carriageway to provide a first class east west link between the A1 and the M1.
The M1 will be widened to 4 lanes in each direction through the county.
A new Dunstable northern bypass will be built from the A5 to the M1, with extensions to the A6 and the A505 linked to proposed new housing developments.
The Luton Eastern corridor from the M1 (junction 10) to the airport will be dualled.
In addition, the Thameslink 2000 project will substantially increase capacity on the rail links between Bedford, Luton and central London, as well as link effectively into continental “Eurostar” services at Kings Cross/St Pancras.
Urban growth plans for 45,800 new dwellings within Bedfordshire and Luton(and 56,500 in total) by 2021 provide opportunity to redress the historic under investment in local transport infrastructure, particularly with regards to east-west communications in the sub-region. 26,300 of these new dwellings will be in Luton and South Bedfordshireand 19,500 around Bedford and Kempston.