Exeter and Heart of Devon Economic Development Strategy

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					 Exeter and Heart of
  Devon Economic
Development Strategy


EHOD Economic Development Strategy Summary


1.           INTRODUCTION




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EHOD Economic Development Strategy Summary

1.           INTRODUCTION

1.1          This document provides a summary of the economic development strategy of
             Exeter and the Heart of Devon Economic Partnership. It provides a vision for
             the sub-region and working framework for the economic partnership and other
             key stakeholders.

1.2          The strategy is based on a detailed analysis of the economic characteristics
             and priorities of the sub-region and highlights the importance of the area as a
             major contributor to the economic performance of the wider South West.


1.3          Importantly, the strategy has been developed in the light of a comprehensive
             consultation process including face-to-face interviews with 25 key partners.
             Moreover, the draft strategy was circulated to approximately 300 stakeholders
             in the sub-region.

1.4          The consultation process generated widespread support for the strategy and
             reflected the positive approach of key players in the sub-region and region to
             work in partnership to achieve the aims of the strategy.


1.5          Exeter and the Heart of Devon (EHOD) is one of a number of sub-regional
             partnerships in the region. A key function of a sub-regional partnership as
             defined by the South West Regional Development Agency (SWRDA) is to
             produce strategies that demonstrate both how they will deal with the most
             important issues in their areas and how they can deliver within the framework
             of the Regional Economic Strategy. Moreover, SWRDA highlights that the
             partnerships provide an important consultative and strategic function in
             defining priorities for action including support from the RDA and other
             strategic agencies.

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1.6          Given that the strategy plays a critical role in translating the Regional
             Economic Strategy into the sub-regional context of EHOD, the action
             framework set out in this document clearly reflects the strategic economic
             objectives established by SWRDA.

1.7          There are a number of other fundamental reasons for the strategy including:

                  complementing and adding value to the existing range of economic
                   development, regeneration and related strategies and initiatives in the
                   South West region 1;

                  providing an integrated framework for effective partnership and joint
                   working not only between local authorities and public bodies
                   represented in the sub-region but also with stakeholders in the private,
                   community and voluntary sectors;

                  defining common goals and priorities for the economic development
                   and regeneration of the sub-region – providing a key input to future
                   policy development at both the local and regional levels. This strategy
                   will be important in shaping future regional economic and planning
                   strategies (including the Regional Spatial Plan). It will also provide a
                   strategic economic context for Local Development Frameworks and
                   local Community Strategies; and

                  facilitating the delivery of relevant regional economic development and
                   regeneration programmes and initiatives.


1.8          The strategy is deliberately ambitious but pragmatic. It sets out a range of
             long-term strategic objectives, which provide the challenge to all key
             stakeholders with an interest in the sub-region. The strategy is founded on
             the principles of:

                  sustainable development;

  Includes initiatives such as: Community Plans; Rural Renaissance; Coastal and Market Towns
Initiative; Devon Structure Plan; Strategic Plan Learning and Skills Council; Devon Rural Strategy;
South West Sustainable Farming and Food Delivery Plan; local Development Plans; local economic
development plans. Key plans and strategies are fully analysed in the main report.
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                  support for urban, rural and coastal enterprise;

                  promotion of innovation and research;

                  equality of opportunity for all;

                  economic diversity; and

                  a competitive skills base and diverse range of learning opportunities.

1.9          The vision for the sub-region is complemented by an economic development
             action framework for the period 2005 to 2008. This action plan builds on the
             previous sub-regional strategy for EHOD. Whilst the action plan aims to
             establish the mechanisms required to make a significant contribution to the
             strategic objectives, importantly it also provides a common sub-regional
             implementation framework for all key partners.

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2.1          This section provides a brief summary of the key economic, social and labour
             market characteristics of the sub-region 2. Coupled with the consultation
             process, this analysis is important in highlighting key economic development
             priorities for the sub-region and the constituent local authority areas.

2.2          The SWOT analysis set out in this Section provides a synopsis of the sub-
             region’s economic opportunities and challenges.

             PEOPLE AND SKILLS

2.3          In 2003 the population of the sub-region was approximately 434,000.
             Between 1991 and 2003, the total population of the sub-region increased by
             over 9% (37,300). The significance of population growth was most
             pronounced in areas, which have proved popular as locations for ‘in-
             migration’. These include Exmouth, Honiton, Cullompton, Tiverton, Dawlish
             and Teignmouth.

2.4          This trend of population increase is forecast to continue with the number of
             people living in the sub-region increasing by 50,000 over the next 20 years.
             Of these, approximately 30,000 will be of working age. Whilst this will provide
             an important driver for economic growth, it will be essential to match labour
             market growth with appropriate investment in the creation of new jobs and
             supporting infrastructure.

2.5          Overall, the skills and qualifications of the sub-region’s population compares
             reasonably well to the national average. However, whilst younger age groups
             are more likely to have higher qualifications, the percentage of 25 to 34 year
             olds with higher qualifications in EHOD is notably below the national average.
             This reflects the fact that:

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                  a significant proportion of young people migrate outside of the sub-
                   region to work . This is reinforced by low levels of graduate retention in
                   the sub-region; and

                  graduates, either with a permanent or term-time address in the sub-
                   region move out of the region to find graduate employment.

2.6          There is a relatively low level of young adults with high qualifications in EHOD
             and the sub-region is characterised by a low ‘staying-on’ rate at 16+. This is
             particularly the case in Exeter where staying-on rates and GCSE pass rates
             are low (43% compared to 53% in Devon). This reflects the significance of
             under-performance in education in parts of the sub-region and problems
             relating to low aspirations.

2.7          Recent research carried out for the Learning and Skills Council showed that
             levels of workplace training in Devon and Cornwall are insufficient to support
             the needs of the labour force. Consequently, it will be important for
             stakeholders in the sub-region to work closely with employers and small
             businesses to encourage and facilitate greater participation in workplace
             training. This is particularly important when one considers future skill
             requirements: it is anticipated that 43% of the total net increase in
             employment in Devon over the next 10 years will be accounted for by
             demand for professional occupations 3.

2.8          Seventeen of the 282 areas covered by the Indices of Deprivation 2004 in
             EHOD are in the top 25% of areas in England, with 11 of these areas in
             Exeter (concentrated in the city centre, Priory ward, Whipton and
             Mincinglake), five in Teignbridge (Newton Abbot and Teignmouth) and one
             was in Mid Devon (Tiverton).          The most pressing factors underlying
             deprivation in the sub-region are low incomes and poor access to services (in
             rural and coastal areas). In creating a more sustainable and prosperous
             economy, it will be essential that key regeneration initiatives are focused on:

                  coastal and market towns;

                  rural areas throughout the sub-region; and

    Section 3 of the main report provides the detailed analysis.
    Economic and Labour Market Projection: Warwick Institute for Employment Research, 2003.

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                  deprived and disadvantaged communities in Exeter.


2.9          Between 1991 and 2003, total employment in EHOD increased from
             137,400 to 177,400 (29%) 4. As a centre for employment, Exeter continues to
             provide the majority of jobs for people residing in the sub-region or travelling
             to work from beyond the area. However, other locations within the sub-region
             have experienced significant levels of employment growth over the past
             decade; most of it has arisen over the last five years and has been focused on
             locations surrounding Exeter (particularly to the east of the M5, Honiton,
             Tiverton and Newton Abbot).

2.10         In terms of employment structure, a number of key observations can be

                  service sector activities dominate the Exeter economy whilst
                   manufacturing is a more significant employer in the other three

                  the banking, finance and insurance sector in Exeter is becoming an
                   increasingly important source of employment in the City. Whilst public
                   sector jobs remain substantial, in 2003 the sector accounted for a
                   significantly lower proportion of total employment than that recorded in

                  the rate of employment growth in distribution, hotels and restaurants
                   (including retail) was greater in Exeter than the other districts. This
                   may reflect the growing importance of the City as a retail centre;

                  manufacturing is particularly significant in Mid Devon, accounting for
                   15% of total employment in 2003 (compared to 8% in EHOD);

                  agriculture and land-based activities are an important and crucial
                   source of enterprise and employment in the sub-region’s rural areas.

    Excluding self-employment.
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                  the sub-region's environmental assets are a critical resource to the
                   sub-region's economy, which are continually managed and enhanced
                   by farmers (in terms of land) - it is therefore crucial that a sustainable
                   and profitable agricultural industry is in place to ensure that
                   environmental assets remain so.

                  tourism is of fundamental importance to the EHOD economy. Overall,
                   approximately 10% of employment directly relates to tourism activity.
                   In some areas, particularly rural and coastal locations, the reliance on
                   tourism is significantly greater (for example, in East Devon
                   approximately 20% of total employment relates to the tourism industry).

2.11         Approximately 9.9% of the employees in the sub-region (over 17,500),
             work in knowledge based industries compared to 11.7% in the South
             West 5. Exeter alone accounts for nearly half of the sub-region’s stock of
             knowledge based jobs. Whilst this demonstrates the role of Exeter as the
             main commercial centre, it also highlights that the three rural districts are
             particularly poorly represented in terms of the knowledge-based sectors.
             Raising the proportion of knowledge-based jobs in the sub-region is a major
             theme to the economic development strategy. The University of Exeter has
             an important role to play in facilitating knowledge transfer to local businesses
             in EHOD and the wider region.

2.12         Rates of self-employment in the sub-region are above the national average,
             with high levels in the rural areas, particularly in locations most distant from
             Exeter (up to 35% in places). This reflects the prevalence and importance of
             small businesses: agricultural, tourism and other land based activities in these

             LABOUR MARKET

2.13         Analysis of commuting data highlights Exeter’s role as the key employment
             centre for the sub-region. Indeed in absolute terms, Exeter is the major
             centre for ‘in-commuting’ west of Bristol. Whilst the leading and growing role
             of Exeter for employment reflects the importance of the main urban area as a
             commercial business centre, there is a need to encourage more sustainable

  Organisation for Economic Co-operation and Development (OECD) definition of knowledge-based
industries includes telecommunications, computer and information services, business services, high-
technology industries and pharmaceuticals.
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             communities in the sub-region by supporting appropriate employment
             creation in the area’s market and coastal towns.

2.14         Earned Income levels are significantly lower in EHOD compared to the
             rest of the South West region. Indeed, this trend is evident for the majority
             of occupations. The following factors have to a greater or lesser extent
             contributed to the presence of low wages in the sub-region:

                  high levels of agricultural and related employment;

                  high levels of part-time and seasonal employment;

                  a relatively low proportion of knowledge based jobs;

                  lack of established reputation as a location for inward investment in
                   sectors required highly valued skills;

                  a high proportion of retired population (in-migrants); and

                  low aspirations     (including   educational   attainment    and   career

2.15         Reversing EHOD’s low-wage economy is the fundamental priority of this
             strategy. Closely coupled with the issue of low incomes is the acute problem
             of housing affordability. Indeed, the house price-wage ratio in the sub-
             region is substantially higher than the regional and national averages. This
             problem is generated not only by poor average wages but a buoyant housing
             market driven in large part by in-migrants to the area. The effects of this
             discrepancy include:

                  an exacerbation of deprivation and economic exclusion for key groups
                   and communities in the sub-region;

                  creating a greater degree of inequality in the sub-region;

                  generating shortages in the supply of labour and specific skills
                   (including key workers and those in elementary service jobs);

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                  pushing young people out of the area to locations where wages are
                   higher or where housing is more affordable; and

                  undermining the longer-term competitiveness of the sub-regional


2.16         Increasing the role and take-up of Information Communications
             Technology (ICT) in small and medium sized businesses is a key priority
             for increasing productivity in the sub-region. Despite the commercial
             advantages of simple ICT solutions, a large proportion of businesses in EHOD
             have not taken up these benefits. Indeed, it is estimated that 70% of
             organisations in the Heart of Devon do not use email or internet on a regular
             basis (56% in Exeter). Moreover, only 20% of micro-businesses (0-4
             employees) use ICT as an integral part of their operations.

2.17         ICT also has the potential to play a major role in increasing access to
             quality learning opportunities in the sub-region.

2.18         There is a high demand in the sub-region for a range of suitable and high
             quality employment sites and premises. The nature of demand reflects the
             diverse economic role of the sub-region. This includes demand for:

                  strategic sites for inward investment and strategic expansion,
                   particularly within Exeter, the Principal Urban Area, and Area Centres;

                  local employment sites to meet local and sub-regional demand from
                   existing Small & Medium Enterprises (SMEs) and some larger
                   employers; and

                  facilities for stimulating business start-ups, expansions and innovative
                   enterprises (including managed workspace).

2.19         Whilst the sub-region has a range of allocated sites and development
             proposals, many of these are constrained by unresolved infrastructure issues
             and/or by problems of market viability6. Supporting the provision of

  Section 3 of the main report provided a review of demand and supply trends (including the
identification of key sites in the sub-region).
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             appropriate land and premises and overcoming critical development
             constraints is fundamental to the future prosperity of the sub-region.

2.20         This will be critical in:

                    creating the right conditions for sustainable economic growth and
                     enhanced sub-regional and regional competitiveness;

                    providing opportunities to secure inward investment, particularly in
                     knowledge based industries;

                    addressing local economic need and stimulating local regeneration;

                    facilitating enterprising activity; and

                    influencing the sub-region’s settlement pattern, particularly in terms of
                     local balance between employment demand and labour supply
                     (encouraging more sustainable settlements).

2.21         A range of strategic and local transport infrastructure initiatives must be
             addressed to support the sub-region’s economic and social priorities.
             In strategic terms, the most critical priorities are to:

                    increase the expansion of air services to and from Exeter International
                     Airport including a connection to an international hub (supported by
                     implementation of on-site development plan);

                    reduce the peripherality of EHOD and South West Peninsula by
                     ensuring the upgrading of the A30 / A303 between Illminster and

                    improve frequency and reliability of Exeter-Paddington and Exeter-
                     Waterloo rail services;

                    ensure strategic developments planned along the A30 to the east of
                     Exeter are supported by co-ordinated transport investment and public
                     transport facilities (including surface access to Exeter International

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                   upgrade North-South routes including the A358;

                   promote significant investment in integrated transport initiatives both
                    within Exeter and in developing links between the City and the rest of
                    Devon and Cornwall.

2.22         Key local transport priorities include the need to:

                   maximise the opportunity presented             by   the   existing   railway
                    infrastructure (lines and stations);

                   produce integrated land-use and infrastructure delivery plan for
                    development proposals east of Junction 29 and Junction 30 of the M5
                    including surface access to Exeter International Airport;

                   improve accessibility in rural and coastal areas to employment/service
                    centres and to public transport hubs;

                   improve accessibility to key market and coastal towns to support
                    sustainable growth in local employment opportunities and to facilitate
                    the diversification of the tourism sector;

                   ensure traffic congestion does not become an inhibiting factor to
                    business performance or investment in the sub-region by introducing
                    mitigation measures;

                   develop additional opportunities for new bus Park & Ride and other
                    inter-modal facilities.

             SWOT ANALYSIS

2.23         Table 2.1 summarises the key opportunities and challenges facing the sub-

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                           Table 2.1 - EHOD Economy SWOT Analysis

                               Strengths                                          Weaknesses

             Enviable quality of life and environment             High house prices – low wages / shortage of
                                                                  affordable housing
             Relatively diverse economy
                                                                  Under-developed knowledge based
             Research        and      knowledge       based       employment structure
             infrastructure (Universities, Met Office, small
             firms)                                               Shortage of readily available land and
                                                                  premises for high quality and prestige
             Growing capacity for knowledge transfer and          occupiers.
             innovation (e.g. Innovation Centre Phase 1
             and Phase 2)                                         Shortfall of incubator and expansion facilities
                                                                  for high growth SMEs
             Strong service / office sector in Exeter
             (business & professional services)                   Shortage of appropriate sites and premises
                                                                  for indigenous industry and clear evidence of
             Competitive SME sector in outlying towns             market failure
             Excellence in vocational, HE academic and            Concentrations of urban, rural and coastal
             training facilities                                  deprivation including poor level of basic skills
             Largely well-qualified workforce.                    in places.

             Exeter International Airport – access from           Variable performance of school pupils and
             and gateway to Far South West and growing            low staying on rates for 16+
             gateway to international destinations.               Low take-up of basic and advanced ICT
             Culture of co-operation                              solutions

             Geographical variety and appeal                 to   Low level of graduate retention and loss of
             businesses, residents and visitors                   young qualified people to other centres of

                                                                  East-West      accessibility    reduced      by
                                                                  constraints of A30-A303

                                                                  Perception of congestion in Exeter

                                                                  Local bottlenecks around rural towns

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                         Opportunities                                         Threats

    Co-operation and strategy integration:                 Fragmentation without co-operation (including
                                                           training and business support)
            development and planning
                                                           Increasing congestion particularly M5/A30
            economic development & spatial planning
                                                           interchange and Airport surface access –
            sub-regional network of business support      negative impact on quality of life and
                                                           investment perceptions
            planning & delivery of vocational training
            employment and sector targeting               Increasingly unsustainable settlements and
                                                           local congestion
            graduate retention and skills sourcing
                                                           Piecemeal planning and delivery of business
            rural enterprise                              support and training services
            ICT
                                                           Loss of established businesses and poor
            Public sector engagement with                 survival rates without integrated workspace
             businesses                                    strategy
    Potential for strong sub-regional brand                Shortage of available premium development
    Complementary service role of Exeter with              may deter knowledge based inward investors
    rural enterprise and local industrial clusters in      Increasing loss of young people to higher
    the sub-region’s towns.                                wage locations
    Key development opportunities (e.g. Science            Agricultural and rural decline
    Park, Sky Park, key sites in major towns
    throughout sub-region)                                 Restructuring of tourism markets

    Universities and synergy with knowledge                Accessibility threatened without E-W and N-S
    based employers – catalyst for growth,                 investment (road and rail) - increased
    diversity and increased competitiveness.               perception of peripherality
    Plans for Innovation Centre Phase 2 and
                                                           Labour and skill shortages
    potential for Science Park linked to University
    of Exeter.                                             Lack of engagement with small businesses

    Emerging high value / knowledge based sector
    activities and emerging markets (e.g. Life
    Sciences, ICT, short-break tourism)

    Under-used capacity of suburban railway and
    station infrastructure.

    Public and private service sectors relocating
    from South East.

    Development of training and research centres
    of excellence.

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3.1          The Vision of this strategy is to:

             create a sustainable economic base which is founded on the sub-region’s
             diversity and its unrivalled high quality of life. The sub-region will provide a
             highly significant contribution to the growing economic prosperity of the South
             West. This will be facilitated by an integrated and cohesive partnership
             approach which maximises the economic potential and benefits arising from
             the inter-dependency between Exeter as the principal commercial and
             regional centre west of Bristol and the urban, rural and coastal areas of the

3.2          The strategic economic development framework set out below establishes the
             priorities which underpin the Vision for the sub-region. These priorities relate
             directly to the regional economic priorities established by SWRDA in the
             Regional Economic Strategy. The priorities are grouped under SWRDA’s
             three regional strategic objectives:

             (i)     To raise business productivity;

             (ii)    To increase economic inclusion; and

             (iii)   To improve regional communications and partnership.

3.3          Delivering the Vision requires a long-term commitment from all partners. The
             priorities set out below, provide a framework for co-ordinated partnership
             action for the next 3 years through to 2008, and falls within the regional
             economic strategy timescale (2004-2012).

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                      Strategic Economic Development Framework

    Strategic Objectives   Priorities 2005-2008

    1. To raise business      To secure EHOD as a regional leader for knowledge based service and
    productivity               research activities.

                              To proactively promote investment in key competitive economic sectors
                               and provide knowledge-based jobs for the sub-region’s increasing

                                       o   ICT;
                                       o   Professional & business services;
                                       o   Biotech, medical & healthcare research;
                                       o   Environmental technology;
                                       o   Small scale advanced engineering;
                                       o   Tourism (e.g. short break, inbound and business)
                                       o   Knowledge based public sector activities;
                                       o   Arts and creative industries;
                                       o   Food and drink.

                              To further develop Exeter’s role as the main commercial and regional
                               centre west of Bristol.

                              To actively promote inward investment and re-investment in key
                               knowledge based activities.

                              To equip the labour force with the appropriate skills to meet the existing
                               and future requirements of employers through a joint workforce
                               development strategy and delivery framework, which is well integrated
                               with the sector, development and business support initiatives.

                              To maximise the role of Exeter University as a regional catalyst for
                               knowledge and technology transfer in supporting the development of
                               target sectors. In addition, define its role in delivering research based
                               business support.

                              To identify and realise new employment land and premises opportunities,
                               particularly to meet longer term strategic as well as existing business

                              To encourage increased employer investment in training to raise

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    Strategic Objectives     Priorities 2005-2008

                                To facilitate a focussed skills development programme in knowledge
                                 based industries7 and to address skill shortages in key sectors (e.g.
                                 tourism, engineering, construction).

                                To build on existing partnership models which support the establishment
                                 and growth of enterprises, which produce environmental products or use
                                 the environment as a key economic resource (e.g. coppice woodlands,
                                 biomass systems).

    2. To increase              To ensure a co-ordinated approach is taken to increasing average income
    economic inclusion           levels and reducing wage disparities within the sub-region.

                                To encourage partners to adopt common planning policies and to use
                                 planning mechanisms to increase the supply of affordable housing in the
                                 sub-region for those on low incomes and key workers.

                                To facilitate a network of more sustainable settlements throughout the

                                To enable sustainable enterprise to flourish.

                                To maximise access to a wide variety of skills training opportunities which
                                 can improve prospects for higher incomes. Priority should be given to
                                 those excluded from employment, those living in the sub-region’s most
                                 deprived communities and those living in rural locations.

                                To encourage the provision of a balanced and diverse portfolio of jobs to
                                 meet the varied need of workers in the sub-region.

                                To raise aspirations of young people in the sub-region, particularly those
                                 resident in the most disadvantaged rural, coastal and urban communities.

    3. To improve regional      To ensure the EHOD sub-region is successful as the South West’s most
    communications and           integrated and cohesive location for co-operation and partnership. In
                                 doing so, become the regional benchmark for best practice in joint
                                 working including:

  Organisation for Economic Co-operation and Development (OECD) definition of knowledge-based
industries includes telecommunications, computer and information services, business services, high-
technology industries and pharmaceuticals.
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    Strategic Objectives   Priorities 2005-2008

                               -   development and planning;

                               -   economic development, inward investment & spatial planning ;

                               -   sub-regional network of business support ;

                               -   planning & delivery of vocational training;

                               -   employment and sector targeting;

                               -   rural enterprise;

                               -   tourism promotion and development;

                               -   public sector engagement with local and regional businesses.

                                  To significantly increase the use of ICT in the core business activities
                                   of SMEs in all sectors.

                                  To maximise the role of ICT as a channel for increasing access to a
                                   wide range of learning opportunities.

                                  To improve the quality and reliability of strategic air, road and rail
                                   access to and from the sub-region.

                                  To improve the public transport accessibility of rural and coastal
                                   areas to transport hubs and centres of employment and services.

                                  To be proactive in planning and implementing traffic congestion
                                   mitigation measures in the Principal Urban Area of Exeter.

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4.1          The strategic delivery framework and key actions required to contribute to
             achieving the vision and strategic objectives is set out below.

4.2          It is important to stress that the action framework relates to the period 2005-
             2008. In most instances, taking the steps outlined in the action framework will
             require an integrated and partnership approach. The action framework builds
             on a range of key initiatives, some of which are already defined by key
             partners in the sub-region.


4.3          The delivery of the economic development framework is dependent on the
             ability of local, sub-regional and regional partners to agree collective priorities
             and to commit to the long-term implementation of these priorities. Clearly, a
             strong culture of co-operation and partnership is already established in the
             sub-region and this provides the foundations for a greater degree of joint

4.4          It is essential that the partnership focuses on priorities which warrant
             collective action, either in avoiding duplication or where planning and/or
             delivery of initiatives at the sub-regional level adds significant value.

4.5          In taking forward the economic development strategy, it will be important to
             build in a regular review of progress and to ensure that strategic objectives
             and associated actions continue to be justified. Furthermore, implementation
             of the actions will involve a more complex and involved process of partnership
             working, which will include commitment of human and financial resources.

4.6          Central to the refinement of the economic development strategy will be the
             engagement of the Local Strategic Partnerships (LSPs). Appropriate
             mechanisms may need to be put in place to ensure the LSPs are fully
             engaged (e.g. through twice yearly meetings). Furthermore, it may be

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             appropriate for the EHOD Partnership to consider wider engagement and
             consultation with other organisations not currently represented.

4.7          Table 4.1 sets out the action framework for the period 2005-2008. The actions
             have been grouped according to strategic themes consistent with the RDA’s
             Regional Economic Strategy and Corporate Plan.

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Table 4.1 – Economic Development Action Framework 2005-2008

STRATEGIC OBJECTIVES     ACTIONS (2005- 2008)                                                       KEY PARTNERS               OUTCOMES
& PRIORITIES                                                                                        (♦ - lead partners)
1. Raise Business
(a) Sector Development   Promote image of EHOD for investment and support and encourage             SWRDA (♦)                  Create 1,900
                         the development of key sectors                                             Local Authorities (♦)      additional jobs in
                              ICT and Creative industries                                          DTI                        knowledge-based
                              professional & business services;                                    University of Exeter (♦)   industries.
                              biotech, medical & healthcare research and development               FE Colleges
                              environmental technologies                                           Major employers in key
                              small scale advanced engineering;                                    sectors
                              inbound, short break and business tourism
                              food and drink

                         Produce and implement sector development project plans.

                         Agree specification, location and programme for Science Park –                                        By 2008, obtain
                         establish working group to take forward.                                                              planning permission
                                                                                                                               and agree finance plan
                         Ensure planning policies in Local Development Frameworks reflect                                      for Science Park.
                         vision and goals of economic development strategy, particularly
                         allocation of appropriate sites and policies, which support key sectors.

April 2005
EHOD Economic Development Strategy Summary

STRATEGIC OBJECTIVES    ACTIONS (2005 - 2008)                                                           KEY PARTNERS            OUTCOMES
& PRIORITIES                                                                                            (♦ - lead partners)
1. Raise Business
(b) Deliver supply of   Review quality and suitability of existing employment land                      SWRDA (♦)               At least 1 prestige high
appropriate sites and   allocation and proposals in the light of the economic development               Local Authorities (♦)   quality site to serve
premises for business   strategy.                                                                       Regional Assembly       Exeter PUA (fully
needs.                   consider need for public sector intervention if demonstrable market           Private Sector          serviced – access and
                             failure                                                                    University of Exeter    utilities), ready for
                         define joint site development and phasing framework to meet range             Enterprise Agencies     development by 2008.
                             of business and industrial activities for the period up to at least 2008   Business Link (♦)
                             (including priority sectors, SMES and local services)                      Developers & Property   Bring to market at
                         prioritise which additional land should be made available to help             Agents (♦)              least 4 employment
                             serve Exeter PUA, Newton Abbot, Tiverton, Cullompton, Crediton,                                    sites to serve sub-
                             Teignmouth/Dawlish, Exmouth, and Seaton/Sidmouth in the period                                     region’s market and
                             up to 2012                                                                                         coastal towns.
                         establish monitoring framework to measure take-up, location and
                             type of development / occupier, location and change of use for
                             alternative purposes
                         inform SWRDA of priorities and need (supported by initial project                                     Planning permission
                             appraisal).                                                                                        and development,
                         LAs to package together any funding bid                                                               finance and operation
                                                                                                                                package agreed for at
                        Encourage agricultural diversification and re-use of buildings for                                      least two 3, 500-sqm
                        rural enterprise: assess and identify opportunities, suitable occupier                                  locations of managed
                        types and the economic and planning implications. Use assessment to                                     workspace/ incubator
                        encourage a positive policy response in LDFs.                                                           units in the sub-region
                                                                                                                                by 2008.

April 2005
EHOD Economic Development Strategy Summary

STRATEGIC OBJECTIVES          ACTIONS (2005 - 2008)                                                          KEY PARTNERS                OUTCOMES
& PRIORITIES                                                                                                 (♦ - lead partners)
1. Raise Business
(c) Support Business Growth   Work with partners to secure adequate and consistent funding for               SWRDA (♦)                   Increase annual
                              the creation of an integrated business support, advice and training            Local Authorities (♦)       average business
                              framework across the sub-region                                                Business Link (♦)           start-up and survival
                                                                                                             Enterprise Agencies (♦)     rates by 15% by 2008.
                                                                                                             NFU (South West)
                              Establish effective co-ordination of sub-regional innovation and               Countryside Agency &        Development and
                              business support to ensure an integrated approach is adopted by key            Environment Agency          occupation of
                              players in developing and promoting a network of incubator, expansion          FBAS                        Innovation Centre
                              and science park facilities. Produce and implement project plan which          Learning & Skills           Phase II
                              also defines a hub and spoke network of incubation/workspace facilities        Council (♦)
                              and support which is also interlinked with the Innovation Centre and           Local FE Colleges
                              Science Park                                                                   Broadband providers
                                                                                                             and ICT companies (♦)
                              Establish sub-regional ICT working group to increase awareness of              Devon Rural Network         Target: 70% of all
                              economic benefits of utilising ICT in core business activities (including e-                               businesses in EHOD
                              working and e-learning).                                                                                   to make regular use of
                                                                                                                                         email/internet by 2008.
                              Develop and implement a "Rural Business Development and
                              Support Programme" under the auspices of the Rural Renaissance
                              Initiative of the South West Regional Development Agency.
                              The Bid will aim to improve rural business support and development
                              across the 3 Rural Districts of East Devon, Mid Devon and Teignbridge.
                              Exeter City Council will support the bid.

(d) Develop a skilled and     Produce and implement joint workforce development plan -                       SWRDA(♦)                    Specific targets and
adaptable workforce           identifying needs, gaps and priorities for training, skills development and    Learning     &     Skills   outcomes to be
                              promoting learning. The four objectives are to:                                Council (♦)                 produced for each
                              1. enable and encourage employers to invest in the development and             Learning Partnerships       project aimed at
                                 training of their workforce and themselves                                  Local FE Colleges           raising skills levels.
                              2. ensure local public and private Training Providers have the capacity        Local Schools
                                 and flexibility to meet the skills and learning development needs of        Devon County Council
                                 individuals and employers                                                   (♦)
                              3. measurably improve the skills levels of the workforce and potential         Devon Rural Network

April 2005
EHOD Economic Development Strategy Summary
STRATEGIC OBJECTIVES        ACTIONS (2005 - 2008)                                                       KEY PARTNERS               OUTCOMES
& PRIORITIES                                                                                            (♦ - lead partners)
                                workforce, with a particular focus on supporting excluded groups
                            4. raise the skills and learning expectations, motivation and aspirations
                                of workers
                            Actions to include a focus on encouraging:
                             better leaders and managers for businesses and organisations of all
                                sizes and sectors
                             delivery of up-to-date forward thinking, universal personal and
                                business development information advice and guidance services
                             improved reading, writing and number skills (improving skills for life)
                                for the quarter of the population with problems
                             a step change in the attitude of sections within the workforce to one
                                of a ‘Can Do’ culture
                             a removal of barriers to learning and training for individuals and

                            Formalise the working relationships between EHODEP                                                     Target: 2 COVEs
                            and the EHOD Learning Forum. Work together to identify                                                 proposals to be
                            opportunities / need for centres of excellence and Centres of                                          committed for the
                            Vocational Excellence (COVEs) e.g. retail, tourism &                                                   EHOD sub-region
                            catering, engineering, health & care, financial & business                                             by 2008.
                            management, ICT and continue support for the Exeter
                            Construction Centre, Sowton, Exeter.
(e) Ensure EHOD is a        Develop sub-regional innovations and business support strategy              University of Exeter (♦)   Specific PR
leading sub-region in the   based on an integrated network of incubator, expansion and                  Local businesses.          targets/outcomes to be
South West for innovation   science park facilities. Define lead role of University of Exeter in        SWRDA (♦)                  agreed as part of
and knowledge-based         technology and knowledge transfer and R&D – particularly in respect         Local authorities (♦)      strategy and project
businesses.                 of target sectors.                                                          Met Office and/or other    plan
                                                                                                        regional champions
                            Establish a Knowledge Working Group, to facilitate the development
                            of new knowledge transfer initiatives and opportunities for innovative
                            enterprise including:
                             identifying people to champion innovation and raise the profile of the
                             working with the University of Exeter to expand programme for
                                graduate employment and joint working with local SMEs (e.g. STEP
April 2005
EHOD Economic Development Strategy Summary
STRATEGIC OBJECTIVES             ACTIONS (2005 - 2008)                                                      KEY PARTNERS             OUTCOMES
& PRIORITIES                                                                                                (♦ - lead partners)
                                     and KTP)

2. Increase Economic
(a) Increase economic            Replicate the Blackdown Hills Rural Partnership approach. Produce          Countryside Agency       Project specific targets
participation to stimulate       and implement project plan which:                                          Local Authorities /      to be identified in 2005
employment and business           promotes the approach to cover other rural parts of the sub-region       LSPs(♦)                  plans for a percentage
start-ups in areas of greatest      (Local Product Strategies)                                              Forestry Commission      increase in business
need.                             focuses on support for sectors and activities that produce               Business Link            start-ups in rural areas
                                    environmental products or use the environment as a key economic         Enterprise Agencies      by 2008.
                                    resource.                                                               (♦)
(b) Support the regeneration     Facilitate support to increase the provision of affordable housing         Local Authorities (♦)    LDF/Structure Plan
of communities in greatest       by:                                                                        SWRDA                    Targets
need.                             working closely with local planning authorities to establish             FE Colleges & Schools
                                     mechanisms for securing developer contributions to increase supply     LSPs
                                     of affordable housing                                                  Voluntary Sector (♦)
                                  lobbying for the funding of key transport improvements (e.g. on          Major Employers
                                     transfer of employment sites to housing.

                                 Facilitate support for actions aimed at raising household incomes                                   Increase the number
                                 by:                                                                                                 of households earning
                                  working closely with partners to ensure comprehensive take-up of                                  more than £15,000 per
                                     benefits                                                                                        annum.
                                  securing access to training for remote and disadvantaged
                                     communities (ICT, transport, childcare provision, outreach services
                                  the use of special initiatives to raise the career and income
                                     aspirations of young people, particularly in areas of greatest need.
3. Improve sub-regional
communications &
(a) Promote EHOD sub-            Promote high profile landmark developments to increase ‘visibility’ of     SWRDA (♦)                Attract 1 major inward
region to attract new            sub-region (e.g. redevelopment of Princesshay, Skypark, Science Park,      DCC                      investment relocation
businesses, employees and        and the World Heritage Coast).                                             Local Authorities (♦)    to EHOD by 2008
investment.                                                                                                 South West Tourism (♦)
April 2005
EHOD Economic Development Strategy Summary
STRATEGIC OBJECTIVES         ACTIONS (2005 - 2008)                                                      KEY PARTNERS               OUTCOMES
& PRIORITIES                                                                                            (♦ - lead partners)
                                                                                                        Large employers (local
                                                                                                        and inward investors)
(a) Promote EHOD sub-        Demonstrate importance of the natural environment: produce and
region to attract new        implement a project plan that demonstrates to external organisations the
businesses, employees and    importance of the sub-region’s natural environment both as an existing
investment (continued)       economic resource, a potential asset for future growth and as a key
                             contributor to quality of life (for businesses, employers, residents and
                             visitors alike).

 (b) Improve the strategic   On-going lobbying for:                                                     Highways Agency(♦)         Effective lobbying
communications                commitment to A303 / A30 improvements (Honiton to Ilminster) and         Network Rail(♦)            campaign undertaken.
infrastructure to support       north-south improvement                                                 Train Operating
business needs.               improvement to frequency and reliability of Exeter-Paddington and        Companies(♦)
                                Exeter-Waterloo services                                                Local Authorities(♦)
                              commitment for maximising use of existing rail network (and              SWRDA(♦)
                                stations) in the Exeter Travel to Work area                             Exeter International
                              expansion of international destinations and scheduled flights from       Airport(♦)
                                Exeter International Airport
                              improvements to the A376 to make Exmouth more accessible as a
                                business and visitor location
                              improvements to the rural bus network to increase access to
                                employment, training, local services and transport hubs

                             Produce integrated land-use and infrastructure delivery plan for
                             development proposals east of Junctions 29 and 30 of the M5 including
                             surface access to the Airport.

(c) Conserve & enhance the   Support environmental oriented enterprises: Produce and implement          South West Tourism (♦)     Increase the average
sub-region’s environmental   project plans that support the establishment and growth of enterprises     Countryside Agency         annual occupancy
and cultural capital to      producing environmental products or using the environment as a key         Environment Agency         rates of tourist
provide major benefits to    economic resource (e.g. biomass systems, coppice woodlands, arts and       Hotel owners and local     accommodation by
tourism and the wider        crafts                                                                     Chambers of                10% in the period up
economy.                                                                                                Commerce.                  to 2008
                             Promote tourism offer: that maximises economic benefit and supports        SWRDA
                             the promotion of the area for investment. Produce and implement            NFU (South West)
                             project plans which assist in the promotion of the sub-region’s tourism    Local Authorities / LSPs
April 2005
EHOD Economic Development Strategy Summary
STRATEGIC OBJECTIVES           ACTIONS (2005 - 2008)                                                      KEY PARTNERS               OUTCOMES
& PRIORITIES                                                                                              (♦ - lead partners)
                               offer and products and focuses on increasing the variety and quality of    (♦)
                               accommodation and attractions, range of activities and other initiatives
(c) Conserve & enhance the     that will extend tourism season e.g.:
sub-region’s environmental      market site opportunities for new high quality hotel developments
and cultural capital to            (including Exeter)
provide major benefits to       promote the ‘icon’ status of the East Devon World Heritage Coastal
tourism and the wider              Site and support the creation of new World Heritage interpretation
economy (continued)                centres at Exmouth and Seaton.
                                support initiatives to increase numbers of ‘off season’ and ‘shoulder
                                   season’ visitors
                                food & drink, arts & crafts
                                agriculture & forestry
                                business tourism, conference capacity
                                improve signage to key tourism destinations along major routes into
                                   the sub-region.

(d) Improve the way the        Establish a delivery framework: EHOD Economic Partnership to               Local Authorities / LSPs
region and sub-region works.   establish with partners a delivery framework to implement the Strategy     (♦)
                               and deliver identified economic development projects throughout the        SWRDA (♦)
                               sub-region                                                                 Regional Assembly (♦)
                                                                                                          GOSW (♦)
                               Measure economic impact: Strengthen the integrity and profile of the       Private Sector
                               sub-region through on-going research to highlight and measure its
                               contribution to the regional economy, and to demonstrate the linkages
                               between Exeter and the rest of the sub-region.

April 2005