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					 Learning and Skills Council Gloucestershire
 Co-Financing Action Plan - August 2001



 http://www.gloscc.gov.uk/lsc/contents.htm



 Contents
     1.    Introduction
     2.    Invitation To Comment
     3.    The Learning & Skills Council
     4.    The Role of LSC Gloucestershire
     5.    European Social Fund Objective Three
     6.    What Is Co-Financing?
     7.    LSC Gloucestershire‟s Commitment To Co-Financing
     8.    Socio-Economic Context in Gloucestershire
     9.    Proposed Interventions For Gloucestershire
                i. Existing ESF Objective Three Activity
                ii. Proposed LSC Gloucestershire Activities for Co-
                    Financing
     10.   Cross Cutting Themes croscut.htm
     11.   Match Funding
     12.   The Contracting Process
     13.   The Co-Financing Timetable


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The Role of LSC Gloucestershire
Gloucestershire is one of 47 local councils of the Learning and Skills Council. It has responsibility for
developing strategy and policy that will address local learning needs and work towards the achievement
of national targets. In addition to the funding of formal education and training, it also supports the
development of new and innovative learning initiatives within the County.
The proposals within this Co-Financing Plan are set out across four core themes and will offer a strategic
framework to help us, together with our partners, meet the learning and skill needs of Gloucestershire‟s
communities and businesses.
Communities
Gloucestershire is characterised by a relatively prosperous social and economic environment that is
approaching levels of full employment and has high educational attainment. This masks, however, a
number of pockets of acute deprivation within several wards where there are persistent levels of
unemployment, low educational attainment and poor access to services. This is further exacerbated by
surrounding areas of affluence.
Working with our partners and local communities LSC Gloucestershire aim to address the learning and
skills needs of these communities and put in place initiatives to help raise their skills base and improve
their chances to participate fully in the labour market
Accessibility
Increasingly individuals need to develop a range of key and generic skills to compete in the modern
labour market. Access to high quality learning and development opportunities which can help individuals,
particularly „hard to reach‟ groups such as ethnic minority communities, the unemployed, returners to the
labour market, disaffected young people and people with disabilities improve their ability to progress into
employment will be crucial.
LSC Gloucestershire will look to enhance the range of learning provision and introduce new and effective
ways in which to tackle existing barriers to learning and employment in the County.
Standards
At the heart of the LSC‟s remit is the challenge to raise standards and improve the skills base of the
country. As a County, Gloucestershire has a good record in terms of educational achievement for young
people achieving Level Two and Level Three qualifications. We are below the national average, however,
for adults achieving Level Three qualifications. If Gloucestershire is to build on this position and develop
as a competitive economy it will need to increase further the number of adults and young people
achieving at each Level, particularly Levels Three and Four.
LSC Gloucestershire will work with existing and new providers to develop initiatives that encourage
greater participation and attainment in learning among young people and adults at all levels.
Employment
Gloucestershire‟s economy is changing. It continues to have a significant manufacturing sector and an
important role in agriculture but these industries are contracting. Employment growth is taking place in the
service sectors including Business and Professional Services (BPS), Leisure and Tourism, ICT and New
Media. This is supplemented by smaller but consolidated advanced engineering and construction sectors.
The upskilling and development of the employed workforce will be central to Gloucestershire‟s ability to
sustain growth in emerging sectors and maintain the competitiveness of its mature industries.
LSC Gloucestershire aims to place learning at the centre of the competitiveness agenda. Together with
partners and the business community, we will establish a portfolio of initiatives that addresses the skill
needs of our key economic sectors, is responsive to our growing and dynamic SME sector and supports
start-up companies and individuals considering self-employment.
This plan will be part of LSC Gloucestershire‟s local strategic plan, which is in development and will set
out its strategy for learning and skills development in the County for the next three years.




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The Role of LSC Gloucestershire
Gloucestershire is one of 47 local councils of the Learning and Skills Council. It has responsibility for
developing strategy and policy that will address local learning needs and work towards the achievement
of national targets. In addition to the funding of formal education and training, it also supports the
development of new and innovative learning initiatives within the County.
The proposals within this Co-Financing Plan are set out across four core themes and will offer a strategic
framework to help us, together with our partners, meet the learning and skill needs of Gloucestershire‟s
communities and businesses.
Communities
Gloucestershire is characterised by a relatively prosperous social and economic environment that is
approaching levels of full employment and has high educational attainment. This masks, however, a
number of pockets of acute deprivation within several wards where there are persistent levels of
unemployment, low educational attainment and poor access to services. This is further exacerbated by
surrounding areas of affluence.
Working with our partners and local communities LSC Gloucestershire aim to address the learning and
skills needs of these communities and put in place initiatives to help raise their skills base and improve
their chances to participate fully in the labour market
Accessibility
Increasingly individuals need to develop a range of key and generic skills to compete in the modern
labour market. Access to high quality learning and development opportunities which can help individuals,
particularly „hard to reach‟ groups such as ethnic minority communities, the unemployed, returners to the
labour market, disaffected young people and people with disabilities improve their ability to progress into
employment will be crucial.
LSC Gloucestershire will look to enhance the range of learning provision and introduce new and effective
ways in which to tackle existing barriers to learning and employment in the County.
Standards
At the heart of the LSC‟s remit is the challenge to raise standards and improve the skills base of the
country. As a County, Gloucestershire has a good record in terms of educational achievement for young
people achieving Level Two and Level Three qualifications. We are below the national average, however,
for adults achieving Level Three qualifications. If Gloucestershire is to build on this position and develop
as a competitive economy it will need to increase further the number of adults and young people
achieving at each Level, particularly Levels Three and Four.
LSC Gloucestershire will work with existing and new providers to develop initiatives that encourage
greater participation and attainment in learning among young people and adults at all levels.
Employment
Gloucestershire‟s economy is changing. It continues to have a significant manufacturing sector and an
important role in agriculture but these industries are contracting. Employment growth is taking place in the
service sectors including Business and Professional Services (BPS), Leisure and Tourism, ICT and New
Media. This is supplemented by smaller but consolidated advanced engineering and construction sectors.
The upskilling and development of the employed workforce will be central to Gloucestershire‟s ability to
sustain growth in emerging sectors and maintain the competitiveness of its mature industries.
LSC Gloucestershire aims to place learning at the centre of the competitiveness agenda. Together with
partners and the business community, we will establish a portfolio of initiatives that addresses the skill
needs of our key economic sectors, is responsive to our growing and dynamic SME sector and supports
start-up companies and individuals considering self-employment.
This plan will be part of LSC Gloucestershire‟s local strategic plan, which is in development and will set
out its strategy for learning and skills development in the County for the next three years.



What is "Co-Financing"?
In the past, there have been problems in how we administer the European Social Fund. In particular
many providers have been unable to find the required match funding, which has meant that resources
available to the County were not utilised, resulting in valuable training or other provision not taking place.
In November 2000, the Government decided to introduce a system of Co-Financing, which already
operates in other Member States. It means channelling both ESF money and the required match funding
to providers in a single funding stream.
The Government identified seven agencies that would be eligible to apply to become Co-Financing
Organisations (CFOs):
           Learning and Skills Councils

           Employment Service

           Regional Development Agencies

           Connexions Service

           Higher Education Institutions

           Small Business Service

           Local Authorities
At present, Learning and Skills Council Gloucestershire is the only organisation to have been awarded
Co-Financing status in the County and we will be working in partnership with all the above organisations
to ensure that the needs of Gloucestershire are met.
Co-Financing will:
           Secure better value for money;

           Ensure that the ESF adds value to the delivery of Government
            Programmes;

           Promote greater coherence, co-ordination and targeting of provision;

           Reduce bureaucracy and administration for providers.
Gloucestershire LSC's Commitment to Co-Financing
LSC Gloucestershire is committed to the principles of Co-Financing, believing that it will offer a more
strategic approach to the use of ESF, simplifying the management and administration of ESF in the
County over the longer term. It is also committed to working with partners, potential providers and other
Co-Financing Organisations to try and ensure that all processes are open and transparent.
We welcome feedback from all parties both to this document and to discussions on Co-Financing in
Gloucestershire.



Socio-Economic Context in Gloucestershire
This section sets out the key socio-economic trends in the County and is discussed against LSC
Gloucestershire‟s four strategic „themes‟.

1 Communities
1.1 Priority Areas
Although Gloucestershire is often characterised as a wealthy County, there is evidence of acute
deprivation in certain parts of the County. Table One identifies the 20 most deprived wards in
Gloucestershire.
Table 1 - The twenty most deprived wards in Gloucestershire, 2000.
 Ward Name                         District                        Rank (out of 8414)
                                                                   1=most deprived
 Barton                            Gloucester                      518
 Westgate                          Gloucester                      718
 Matson                            Gloucester                      1033
 St Mark‟s                         Cheltenham                      1369
 Eastgate                          Gloucester                      1407
 Hester‟s Way                      Cheltenham                      1646
 Priors Park                       Tewkesbury                      1768
 Cinderford                        Forest of Dean                  1775
 Littledean                        Forest of Dean                  1888
 Podsmead                          Gloucester                      1893
 Brockworth Moorfield              Tewkesbury                      1895
 Awre                              Forest of Dean                  1936
 Linden                            Gloucester                      1937
 St Pauls                          Cheltenham                      2368
 Pittville                         Cheltenham                      2369
 Alvington & Aylburton             Forest of Dean                  2439
 Lydbrook                          Forest of Dean                  2512
 Brockworth Glebe                  Tewkesbury                      2634
 Eastington                        Stroud                          2730
 Innsworth                         Gloucester                      2892
Source – Indices of Deprivation 2000 (DETR)
Persistent blackspots such as Barton, Westgate, Hesters Way and Priors Park remain despite recent
injections of SRB funds. However, areas such as Littledean, Podsmead, Cinderford, Cam and Dursley
are also now facing problems of unemployment and poor levels of educational attainment.
Under this plan, LSC Gloucestershire will prioritise its Co-Financing activities on these communities.
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1.2 Unemployment
The national picture shows that unemployment in Gloucestershire is below the UK average but is
marginally above figures for the South West. In June 2001, unemployment in the County stood at 2.1%
Chart 1 – Unemployment in Gloucestershire compared to the South West
Source: Gloucestershire Economic Information – June 2001
Figures at a ward level, however, reveals a very different picture with a number of areas having
unemployment rates well above the national average. Indeed, seventeen of the County‟s most deprived
wards have unemployment rates that are greater than the national average.
Table 2 – Most deprived wards by unemployment in Gloucestershire (2000)
Ward Name                           District                            Ward unemployment
                                                                        rates for January 2001
Westgate                            Gloucester                          11.8%
Innsworth                           Gloucester                          8.3%
Matson                              Gloucester                          6.7%
Ruardean                            Forest of Dean                      6.1%
St Paul‟s & Stroud Central          Cheltenham & Stroud                 5.9%
St Mark‟s                           Cheltenham                          5.5%
Cinderford                          Forest of Dean                      5.4%
Eastgate                            Gloucester                          5.1%
Barton                              Gloucester                          4.9%
Dursley & Lydbrook                  Stroud & Forest of Dean             4.7%
Source: Gloucestershire Economic Information – January 2001
Despite a buoyant economy, a significant proportion of individuals have found difficulty in gaining
employment. 20% of the County‟s unemployed population have been out of work for a year or more.
Source: GLMIU 2001
Equally, there are signs that unemployment is increasingly affecting older workers; almost half of the
County‟s unemployed is aged between 35 and 60. Source: GLMIU 2001
This underlies the importance of individuals updating skills and ensuring they reflect the changing
demands of the local economy.
Table 3 –Unemployment by Duration in Gloucestershire in January 2001
Duration (Weeks)           No‟s Unemployed
1 – 8 weeks                2393
8 – 13 weeks               838
13 – 26 weeks              1312
26 – 39 weeks              612
39 – 52 weeks              362
52 – 260 weeks             1411
Source: Glos. Economic Information – Jan 2001
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1.3 Target Groups
Ethnic Minorities
Approximately 10,000 people of minority ethnic background lived in Gloucestershire at the time of the
1991 Census. This was likely to have reached 12,000 by 2001, growing at a rate of 1.9% per year,
compared to overall population growth of 0.2% nationally. In fact over 14,000 ethnic minorities now live in
the County. Source: Glos. City Council
Chart 2 – Gloucestershire minority Ethnic Population

Source – Glos. City Council
The labour market experience of Gloucestershire‟s ethnic minority communities continues to reveal higher
unemployment rates than their white counterparts.
¨ Ethnic minority male unemployment in Gloucester stands at 17% (120% higher than local white
population, 385% higher than County average, 200% higher than national average);
¨ Ethnic minority female unemployment in Gloucester is 14% (160% higher than local white population,
800% higher than County average, 500% higher than national average).
Source: Glos. City Council
There are equally poor comparison with regard to education, training and other services.
¨ 23% of the ethnic minority population have no qualifications;
¨ 1.6% on Government training courses (3.8% of total population);
¨ Disproportionate numbers permanently or temporarily excluded from school, especially people of mixed
heritage;
¨ Little participation in Work Based Learning in key sectors e.g. engineering, media and design.
¨ Lack of childcare provision (8 ethnic minority: 842 white registered childminders)
¨ 48% of local businesses do not know how to access the ethnic minority workforce.
Source: Glos. City Council
LSC Gloucestershire will actively seek to tackle the issues of persistently high unemployment and low
participation in education and training among the County‟s ethnic minority communities. This Co-
Financing Plan will aim to raise their skill base and participate fully in the labour market.
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Disabled
The Chart below compares the positions of disabled and able-bodied people against the Adult Learning
Targets.
Chart 3 – Adult Learning Targets (ALT) comparison.




Source: Prism 2000
Chart 3 reveals that disabled people in Gloucestershire are significantly less well qualified (against both
Adult Learning Targets) than able-bodied people. This may be partly due to their older age profile and
occupational profile. However, their qualification disadvantages will undoubtedly restrict their chances of
further development and promotion.
A recent study by Prism on behalf of The Link Group revealed that part-time employees (9%) are slightly
more likely than full-time employees (7%) and self-employed people (6%) to be disabled, but unemployed
people (33%) are by far most likely of all. (Source: Prism 2000)
Disabled respondents are significantly more likely to feel that barriers are preventing them from training
(88% of disabled people face one or more barriers, compared with 75% of able-bodied people). However,
the majority of disabled people, 86%, do not feel their illness is a barrier to training.
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Lone Parents
The number of lone parent families has increased significantly in recent years; however; many suffer
financial hardship and debt. A large proportion of lone parents are economically inactive, dependant on
benefits, and are also more likely to live in public sector housing. Many also lack qualifications and skills,
which significantly limits the kind of employment opportunities that are available to them.
Gloucester and Cheltenham have a higher proportion than both the regional and national averages of
lone parent households, which has increased significantly since the 1991 Census. Source: Economy of
Gloucestershire 2000
The main need of lone parents wishing to gain employment remains the provision of affordable and
accessible childcare facilities, which is more prominent in rural areas. The provision of education and
training opportunities for lone parents is also important, to enable them to improve their position in the
labour market and acquire the skills necessary to gain the kind of employment needed to ensure financial
well-being without benefits.
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Homeless
The Institute for Employment Research (IER) produced a report for the South West TECs on
homelessness in the region in late 1997. It identifies a range of reasons why people become homeless,
including unemployment, poverty, debt, mortgage arrears, relationship breakdown and a shortage of
affordable housing.
There are also significant barriers to employment faced by homeless people. Despite there being very
little information on labour market participation of the homeless, it is clear that few are likely to find
employment without assistance, due to the relationship of having a permanent address and finding work.
A higher proportion of homeless people have low levels of qualifications compared with the population as
a whole, and are also more likely to have low levels of literacy and numeracy. Source: Economy of
Gloucestershire 2000
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Ex-Offenders
The IER produced a report on ex-offenders in the South West. The report found that they are a
particularly disadvantaged group in relation to employment and training opportunities, as might be
expected. Ex-offenders generally experience high levels of unemployment and are more likely to become
long-term unemployed.
Although having a criminal record often leads to stereotyping from employers, analysis shows ex-
offenders often have lack of or low level skills, no relevant work experience (mainly among younger age
groups), and also suffer from low self-esteem and motivation.
Source: Home Office
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2 Accessibility
2.1 Low take-up of learning
The Indices of Deprivation 2000 use six domains to calculate the overall Index of Multiple Deprivation.
“The Education, Skills and Training domain measures education deprivation in a direct way as possible.
Lack of qualifications amongst adults and children of different ages in a local area predominantly measure
this. Indicators of children aged 16 and over who are not in full time education and the proportion of 17-
year olds that have not successfully applied for higher education have also been included. Both of these
measures are important aspects of area deprivation” (DETR, 2000).
Table Four reveals the ten most deprived wards in the County in terms of education. The figures reveal
consistencies in deprivation:-
Table 4 – Ten most deprived wards in terms of Education in Gloucestershire 2000.
Ward                       District           Rank of Education (out Position in Top 20 of
                                              0f 8414)                   County‟s most deprived
                                              1=most deprived            wards
                                                                          st
Barton                     Gloucester         180                        1
                                                                          th
Priors Park                Tewkesbury         363                        7
                                                                             th
Linden                     Gloucester         665                        13
                                                                             nd
Tuffley                    Gloucester         976                        22
                                                                          nd
Westgate                   Gloucester         1003                       2
                                                                             th
Podsmead                   Gloucester         1053                       10
                                                                          th
Eastgate                   Gloucester         1054                       5
                                                                          th
Cinderford                 Forest             1116                       8
                                                                          th
Hester's Way               Cheltenham         1368                       6
St Mark‟s                  Cheltenham         1458                       4th
Source – Indices of Deprivation 2000 (DETR)
Prism 2000, shows that in Gloucestershire, 35% of people had undertaken training, education or learning
within the last one to five years. However, what is more of a concern is that 48% of people in
Gloucestershire had not taken part in learning for 6 or more years.
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2.2 Barriers to Learning / Training
Rural Access
Communities living in rural areas within the County face many barriers in accessing learning and other
services. One in six people in the County do not have a qualification at all, and the fact that much of
Gloucestershire is rural presents fundamental difficulties for people wanting to travel to employment,
education or training. (Source: Practica 2001)
Table 5 shows that levels of service provision are worse in some of the more remote parts of the South
West, notably in parts of Gloucestershire. Access to local shops is worst in Gloucestershire where almost
17% of the population do not have access to a shop in the area in which they live.
Table 5 – Service Provision in Rural Areas, 1999
                        % population % population in % population % population in % population
                        in parishes      parishes         in parishes    parishes        living in
                        without a shop without a          without a GP without a         parishes
                                         village hall                    library         without peak
                                                                                         bus service
 Gloucestershire 16.8                    2.3              16.1           2.2             32.3
 South West             9.7              3.4              11.5           1.3             21.3
 Great Britain          4.4              1.6              5.3            0.7             9.1
Source: SWERDP 2000-2006
Provision of peak hour, 5-day a week bus services is also extremely poor, where Gloucestershire sees
over 32% of the population without a regular bus service. The lack of access to good public transport is a
critical factor in limiting the level of access that rural communities have in accessing Education, Training
or Employment (ETE). Source: SWERDP 2000-2006
These problems have been reflected in the Indices of Deprivation 2000, which identifies the Cotswolds,
Tewkesbury and Forest of Dean as suffering from levels of deprivation due to the lack of access to
services.
An investigation by the Rural Development Commission showed that 95% of rural parishes in
Gloucestershire have no nurseries. The lack of good quality, affordable and accessible childcare is
therefore a major issue facing parents and children living in rural areas. Source: GLMIU 2001
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Childcare
Having and bringing up a child or children is the most common cause of economic inactivity. Finding
affordable and quality childcare is a big issue facing many parents. For those families who have more
than one child, they are often financially better off if one of the parents (usually the mother) stays at home
to look after their young children rather than paying for childcare.
A full-time nursery costs around £477 a month, which takes a massive bite out of most salaries. Even a
part-time childminder can work out costly at around £4,500 a year. Source: GLMIU 2001
Lone parents face particular problems, as there is only one potential breadwinner, who is also the only
carer. Some lone parents will have had children before they had the opportunity to gain adequate or any
basic qualifications and work experience.
A recent report, by Gloucestershire Labour Market Information Unit (GLMIU), shows women are still far
more likely than men to take a career break to look after children or care for others. Also differences in
education, job segregation, stereotyping and working hours often become barriers to women‟s career
development/choices and earning capabilities.
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Training Costs
A number of studies looking at the take up of learning in the County have shown that the cost of training
in terms of money and time are proving to be significant barriers.
The report „Women Returners to the Workforce‟ by GLMIU in April 2001, reveals that two out of five
women (40%) felt that affordability of the training fee had prevented them from gaining training, compared
to 26% of men.
Four employer surveys undertaken by GLMIU identified two principle issues:- „can‟t afford time‟ and „can‟t
afford the cost‟ (GLMIU 2001). The studies recognise that for SME‟s, „time‟ and „cost‟ may be more of an
issue where absence of staff may be more severely felt than in larger organisations.
In Gloucestershire the main barriers to learning/training by individuals are that of „lack of time‟ (42%), and
„cost‟ (32%). An urban/rural dimension is also provided by a study undertaken by (Prism 2000), which
found that more rural residents (49%) state „lack of time‟ as a barrier to training than those living in urban
areas (39%).
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Basic Skills
The most common definition of Basic Skills is;
“The ability to read, write and speak in English and use mathematics at a level necessary to function and
progress at work and in society in general” (Basic Skills Agency, 1999)
In Gloucestershire, levels of literacy and numeracy are better than the national average. However, there
are variations in the levels of literacy and numeracy within the districts of Gloucestershire.
Table 6 shows the districts of Gloucester and Forest of Dean have the highest proportion of people who
have both low/very low levels of literacy and numeracy. Other district, that has low/very low levels of
literacy above the Gloucestershire average, is Cheltenham.
Table 6 – Population aged 16-60 with low/very low levels of literacy and numeracy, 1997
 District                     Low/very low literacy (%)            Low/very low numeracy (%)
 Cheltenham                   13.2                                 30.5
 Cotswold                     12.4                                 28.7
 Forest of Dean               14                                   32.9
 Gloucester                   14.5                                 33.7
 Stroud                       12.3                                 29.7
 Tewkesbury                   12.3                                 29.5
 Gloucestershire              13.1                                 30.9
Within the County 42,000 adults cannot read or write as well as an average 11-year old, and 99,000
adults are not numerically competent and do not understand maths as well as an average 11-year old.
(Source: GLMIU)
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3 Standards
3.1 National Learning targets
Overall, Gloucestershire‟s progress towards the National Learning Targets is encouraging. The County‟s
performance is above the national average for all of the targets. Gloucestershire has already achieved the
2002 Targets for:
¨ 16-year-olds getting 5 higher grade GCSEs;
¨ 16-year-olds getting at least 1 GCSE;
¨ 19-year-olds with a “level 2” qualification;
¨ 21-year-olds with a “level 3” qualification;
¨ Adults with a “level 3” qualification;
¨ Adults with a “level 4” qualification; and
¨ Small organisations (10-49 employees) recognised as Investors in People.
However, there is no room for complacency. The achievements of 11-year-olds reaching the expected
standard for literacy and numeracy, and medium and large organisations recognised as Investors in
People have not yet reached target levels.
LSC Gloucestershire must continue to raise attainment at all levels each year if we are to maintain and
improve our competitive position. This will depend on a sustained commitment by schools, colleges,
employers and others to ensure that everyone has the encouragement and opportunity to realise their full
potential.
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3.2 Impact of low attainment
A report by GLMIU entitled „Gloucestershire Community Profile‟ shows that in order for young people to
achieve their full potential in both employment and in further study, they will not only need broad
experience, but also a strong foundation in a range of core subjects (Source: GLMIU). Although
achievement is encouraging in some parts of the County, serious attention needs to be made to raise
levels of achievement in Gloucester, Cheltenham and the Forest of Dean.
It is essential that more focus is devoted towards securing a significant increase in achievements in the
core subjects, so that young people in Gloucestershire are able to fulfil their potential and make a
contribution to the economy and to society.
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3.3 Impact of standards
A report on basic skills in the workplace in Gloucestershire (GLMIU 2001) reveals that the impact of poor
basic skills not only has economic effects in terms of productivity and competitiveness, but also affects
individuals, their families and the wider community.
The cost to the County‟s economy and businesses of low levels of basic skills, varies between £48 to
£100 million per year (Source: GLMIU).
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4 Employment
4.1 Key Sectors
The Gloucestershire Community Profile report reveals that, of those employees in Gloucestershire who
were employed in 1998, 87% were concentrated in four industries;
¨ Manufacturing (including Advanced Engineering)
¨ Distribution, Hospitality and Catering
¨ Business and Professional Services (BPS)
¨ Public Administration, Education and Health
Chart 4 – Gloucestershire employees in employment by industry 1998




Source: GLMIU
By 2006 the Institute for Employment Research (IER) forecasts rapid growth in the Distribution,
Hospitality and Catering (26%) and Other Services (36%) sectors; A similar growth rate is expected in
BPS. However, a decline is anticipated in Gloucestershire‟s Manufacturing employment of 8.5% during
the same period.
LSC Gloucestershire will ensure education and training providers plan for expected demand in training
within these sectors, whilst continuing to support the manufacturing sector in maintaining its competitive
edge.
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4.2 Occupational Trends
The Economy of Gloucestershire 2000 reveals that the demand for labour has undergone dramatic
changes in recent years (and continues to do so), which has been driven by the rapid pace of
technological change in the workplace. This has led to growth in demand among employers for
„knowledge workers‟ i.e. managers and administrators, professional and technical staff, while at the same
time there has been falling demand for traditional skilled craft workers and unskilled employment.
Table 7 – Occupational structure of employment 2001, Gloucestershire, South West and UK
                                        Gloucestershire           South West          UK
 Major SOC Classification               %                         %                   %
 Managers & Administrators              12.8                      14.4                13.7
 Professional Occupations               11.7                      11.7                11.9
 Associate Prof. & Technical            14.6                      13                  13.3
 Clerical & Secretarial                 12.5                      12.4                13.4
 Craft & related occupations            11                        12.7                11.8
 Personal & protective services         8.2                       7.8                 7.2
 Selling occupations                    7.5                       8.2                 7.8
 Plant & Machine operators              8.9                       7.5                 8.5
 Other occupations                      12.5                      12.2                12.1
Source: Labour Force Survey Mar-May 2001 (includes self-employed)
Table 7 shows that, while broadly similar to the regional and national structures, Gloucestershire has a
higher proportion of Associate Professional/Technical and Plant & Machine Operatives (due to the
comparatively large manufacturing sector in the County) but lower proportions of Craft & related and
Selling occupations.
This trend in the nature of employment demand is likely to continue into the next decade. Source: GLMIU
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4.3 Self-Employment
The Labour Force Survey‟s most recent estimates state that 37,000 people are self-employed in
Gloucestershire (Autumn 98), which represents 13.3% of the workforce in employment. This figure for
Gloucestershire has fluctuated over the last few years, however, the forecast trend is for steady growth
through the next decade, to almost 60,000 by the year 2010, representing 20% of employment.
This growth in self-employment is expected to account for around half of all employment growth between
2000 and 2010. One of main reasons for this expected increase is the increasing level of contracting out,
especially in the rapidly growing IT sector.
With such growth expected, it is increasingly important to the economy that mechanisms are in place to
support the sectors learning and development needs. Currently the self-employed find it difficult to find
time for directed training and rely on self-tuition and on-the-job learning in order to develop the necessary
competencies to stay in business. Provision needs to become more flexible to respond to their needs.
Source: Economy of Glos. 2001-08-24
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4.4 Skills gaps in Gloucestershire
A study by Prism into the skills gaps within the workforce of Gloucestershire shows that Basic IT skills
(25%) continues to concern employers. Customer care/quality (18%) and sales and marketing skills
(17%) are equally significant areas where gaps exist (Prism 2000). These findings reflect trends identified
nationally in the Skills Needs in Britain Survey (1998).
Through a number of employer surveys undertaken by the GLMIU it is possible to look at skill gaps within
the County. The areas in which the employer surveys focussed are:
¨ Forest of Dean;
¨ Cotswolds;
¨ Tetbury; and
¨ Cam and Dursley.
It is evident that in the Cotswolds, Forest of Dean and Cam and Dursley, around half of the companies
were aware that there were skills areas that needed improving among their workforce.
In the Forest of Dean, Cotswolds and Tetbury, IT skills (general) feature as the main skills area that
needs improving. Whereas in Cam and Dursley, employers identify sales/marketing skills (48%) as the
main skills area that needs improving.
28% of employers felt that skill gaps did have a „very significant‟ effect on their business. It can be argued
that a higher percentage (55%) of larger firms (200+) thought that there were „very significant‟ effects of
skill gaps to their businesses, in comparison to smaller firms (18%). Furthermore, 54% of firms though
that the skills gaps had a „moderately significant‟ impact on the operation of their business.
It is evident that skills gaps within local businesses is having a very real impact on Gloucestershire‟s
economy to grow and main competitiveness regionally.
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4.5 Employment Forecasts
There will be a net increase of more than 19,000 new jobs in Gloucestershire by 2010. There will be a
significant shift from manufacturing to the Business and Professional Services (BPS) sector with:-
¨ 2,500 fewer jobs in Manufacturing
¨ 5,800 more jobs in Retail and BPS
¨ 2,100 more jobs in Distribution, Hotel and Catering
¨ 1,800 more jobs in Public Administration, Education and Health
¨ 1,700 more jobs in Construction
Training provision within the county will need to reflect this shift and in doing so become more
sophisticated and flexible towards the needs of businesses in Gloucestershire.
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4.6 SME's in Gloucestershire
SME's are the lifeblood of Gloucestershires economy, accounting for 99% of the business base. Within
this figure, the overwhelming majority of businesses employ fewer than 50 members of staff. It is essential
therefore, to the competitiveness of the County‟s economy that flexible provision is in place, which is
responsive and able to meet this segments learning and development needs.
Table 8 – Gloucestershire‟s Business Base
      Size         Chelt     Cotswold       Forest     Gloucester      Stroud Tewkes.          Total
1-49               2392        1827          1150         2111          227        1542       11249
50-99               85          54            53           119           86         41          438
100-250             51          20            43            66           40         18          238
250+                35          10            13            34           15         10          117
Totals           2563        1911       1259          2330        2368       1611         12042
Source: Business Link Gloucestershire 2000
LSC Gloucestershire, in partnership with key stakeholders from the business community, will develop a
package of initiatives, which can support the key economic sectors and nurture its thriving SME base.




Proposed Interventions For Gloucestershire
       Existing ESF Objective Three Activity
       Proposed LSC Gloucestershire Activities Under Co-Financing

Existing ESF Objective Three Activity
LSC Gloucestershire is seeking to address many of the policy fields and measures summarised in the
Objective 3 Programme. We have ensured that our proposals do not overlap with those projects already
operating and receiving funding. We are also holding discussions with other potential Co-Financing
Organisations (CFOs) such as the Employment Service.
In-depth mapping of existing ESF projects against priorities and measures has taken place. This has
produced information including client groups, geographical coverage and outputs. This detailed
information will enable LSC Gloucestershire and other CFO‟s in the County to map what activities already
are being supported by ESF in Gloucestershire, identify gaps in provision and help shape the formal Co-
Financing Plan, due for submission to GOSW in October 2001.
                                                           th
Below is a brief summary of projects as of August 24 2001, approved by GOSW under 200 - 2006
programme.
 Active Labour       5 projects are currently approved under this Policy Field in Gloucestershire.
 Markets             Its main activity area is flexible life and employability skills training. They will
                     target 978 beneficiaries and will cost ESF £2,268,806 between October
                     2000 – March 2003.
 Equal               3 projects are currently approved under this Policy Field in Gloucestershire.
 Opportunities       Its main activity area is capacity building for identified community groups.
                     Although one project is aimed at supporting schools and pupils at times of
                     crisis in order to avoid permanent exclusion. It will target 2198 beneficiaries
                     and will cost ESF £1,196,320 between January 2001 – July 2003.
 Lifelong Learning 3 projects are currently approved under this Policy Field in Gloucestershire.
                     Its main activity area includes ICT learning and childcare training in urban
                     and rural areas. They will target 1610 beneficiaries and cost ESF £769,528
                     between Jan 2001 – March 2003.
 Adaptability &      2 projects are currently approved under this Policy Field in Gloucestershire.
 Entrepreneurship Its main activity area is an advisory service to businesses in Agriculture and
                     Manufacturing. They will target 975 beneficiaries and cost ESF £1,081,000
                     between July 2000 – June 2002.
Proposed LSC Gloucestershire Activity Under Co-Financing
LSC Gloucestershire will be seeking to develop with its partners‟ potential interventions under the
following Policy Fields and Measures.
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POLICY FIELD 1 – Active Labour Market Policies
Regional Strategies:
To promote continuous learning as a way of life in the Region, in turn supporting the objective of
“Championing the learning culture”
LSC Gloucestershire Strategic Themes:
Communities, Accessibility and Standards
Measure 1: To provide advice, guidance and counselling to enable people to develop active and
continuous job search strategies and prevent them from moving into long term unemployment.
LSC Gloucestershire Priorities:
Unemployed, Deprived Communities, Manufacturing Sector
Proposed Action:
      To enhance Information, Advice & Guidance (IAG) through effective and where appropriate,
         innovative approaches. This may include early intervention and delivering IAG in newly created
         venues in deprived communities.
        To enhance the IAG available within schools & colleges to pre 16 young people looking at
         entering the labour market via mentoring relationships. This may involve linking a MA/FE student
         to a specific school/college in order to provide young people, particularly in deprived communities
         with poor participation rates, with an insight in to the experience of their peers.
     To provide immediate IAG to employers in key economic sectors that are threatening
         redundancies, offering support to those in need (in support of the Job Transition Service)
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Measure 2 - To improve the employability of the long-term unemployed, returners and young people of
working age through targeted intervention to enhance vocational and other key skills and removing
barriers to labour market entry
LSC Gloucestershire Priorities:
Unemployed, Deprived Communities, Ethnic Minorities, People with Disabilities
Proposed Action:
     To provide more effective initial assessment to account for behavioural and motivational aspects
         of young people, in order to maintain or increase their interest and motivation in the training
         environment.
     To remove barriers to Labour Market entry for black and minority ethnic young people by working
         with providers in the community
     To improve access to learning for people with disabilities by removing barriers to labour market
         entry
     To enhance Education Business Links activity to involve businesses working with schools in
         deprived communities to help improve their awareness and understanding of work, encouraging
         employability and motivation.
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POLICY FIELD 2 – Promoting Equal Opportunities For All and Social Inclusion
Regional Strategies:
To equip people with the skills and adaptability needed to underpin a modern, developing and inclusive
economy specifically meeting the needs of the Region.
To open up training, learning and employment opportunities to everyone who lives and works in the
Region.
LSC Gloucestershire Strategic Themes:
Accessibility, Communities and Standards
Measure 1 - To widen access to basic skills provision: through the development of innovative and
effective ways of promoting and providing basic skills, directed at those groups excluded from or under-
represented in the workplace
LSC Gloucestershire Priorities:
Unemployed, Deprived Communities,
Proposed Action:
     To deliver basic skills activity targeted at specific disadvantaged groups in the deprived wards:
         Ethnic Minorities, Rural Communities, Ex-offenders, and the Homeless.
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Measure 2 - To provide help to improve employability and try and remove barriers to labour market entry.
In particular, to develop local responses to assist individuals with disadvantages as identified in the labour
market who face the risk of exclusion
LSC Gloucestershire Priorities:
Unemployed, Deprived Communities, Key Sectors
Proposed Action:
     Enhance the Learning Gateway programme in order to increase retention and progression. This
         will be by providing support through the continuation of front-end Gateway provision.
     Enhanced support to help individuals (aged 18 – 24) progress onto mainstream programmes
         through customised training/learning such as WBL and GNVQ routes.
     Identify key barriers to individuals, in specific areas (deprivation wards), accessing jobs and
         provide training & development support to meet the needs of the individual.
     Support innovative actions to improve employment of disadvantaged groups in growth areas such
         as Care, Engineering, Tourism & Professional Services, encouraging employers to recognise the
         benefits of a diverse workforce
     Targeted support to lone parents, removing barriers such as access to childcare, which allows
         them the opportunity to access learning/training and increase their employability.
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Measure 3 - To combat discrimination in the labour market through individually tailored provision, in
particular to combat race and disability discrimination and improve the employability of these groups
LSC Gloucestershire Priorities:
Unemployed, People with specific learning difficulties
Proposed Action:
      Identify the barriers to training and employment for people with specific learning difficulties such
         as Dyslexia, Aspergers syndrome and Dyspraxia where awareness raising of employers and
         providers has proven impact on improved employability. Research into learning & development
         tools for both employers & employees.
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Policy Field 3 – Lifelong Learning
Regional Strategies:
To promote Lifelong Learning in the Region.
To widen participation in lifelong learning so that more people continue throughout their lives to develop
their knowledge, skills and understanding and improve their employability in a changing labour market.
LSC Gloucestershire Strategic Themes:
Communities , Accessibility, Standards and Employment
Measure 1 - Promoting wider access and participation in lifelong learning (especially for those groups
least likely to take part in lifelong learning activities and lacking basic and key skills)
LSC Gloucestershire Priorities:
Unemployed, Employed, Deprived Communities, Rural areas, over 50‟s
Proposed Action:
      To enhance the delivery of learning through new community based “Learning Venues” within
         disadvantaged areas and communities, which may include the provision of more basic skills
         tutors to deliver within these centres and on an out reach basis.
      To develop innovative learning programmes to encourage those over 50 to access basic, key,
         transferable and ICT skills.
      To support adult and community learning that encourages greater participation for those living in
         rural areas.
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Measure 2 - Improving employability through directing and supporting lifelong learning provision so that it
is responsive to the changing needs of business, especially to global challenges in the fields of IT,
Management and the Environment
LSC Gloucestershire Priorities:
Unemployed, Employed, SMEs, Key sectors, Areas affected by Foot & Mouth Disease (FMD)
Proposed Action:
      To develop a network of business learning groups for micro businesses and owner managers
         based on a format of peer support.
      Supporting activities that seek to address diversity in the workplace, particularly in the growth
         areas of Business & Professional Services, Care, Engineering, New Media and Leisure &
         Tourism.
      To offer customised vocational learning programmes to meet the specific needs of businesses
         affected by Foot and Mouth Disease (FMD).
      To develop creative ICT learning programmes for SMEs, ranging from basic IT skills to higher
         level IT skills.
      To support employees in key sectors using higher level skills, but without formal qualifications, to
         consider foundation degrees and other appropriate accreditation.
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Policy Field 4 – Adaptability and Entrepreneurship
Regional Strategies:
To deliver a workforce equipped for the sustainable growth industries of the Region.
To improve the skills base and adaptability of the employed labour force.
To increase the level of Entrepreneurship.
LSC Gloucestershire Strategic Themes:
Employment and Standards
Measure 1 - To update and upgrade employees‟ vocational skills, including basic and key skills
LSC Gloucestershire Priorities:
Unemployed, Employed, SME‟s, Key sectors and Rural areas
Proposed Action:
      To deliver NVQ‟s and Modern Apprenticeships for those aged 25+ in growth areas such as Care,
         Engineering, Tourism and Business and Professional Services.
      Develop company infrastructure within specific sectors, to train staff to become work-based
         assessors, and improve the attainment of NVQ‟s in the workplace
        Update the skills of employees in rural hotels / B&Bs through training in ICT, Food Hygiene,
         Customer Service, Management etc – rural recovery.
     To retrain redundant workers or those under threat of redundancy to provide them with the skills
         and support to progress directly into new employment, especially in Engineering and
         Manufacturing.
     To provide the opportunity for cross sector exchange and mentoring. This would focus on
         providing employees in the public, private and voluntary/community sectors with the opportunity
         to work in other sectors and environments and develop new skills.
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Measure 2 - To identify and meet emerging skills shortages, including higher levels
LSC Gloucestershire Priorities:
Unemployed, Employed, SME‟s, Key sectors, Rural areas
Proposed Action:
     To deliver Financial Management and Diversification skills to rural industries and rural SMEs
         affected by FMD
     Upskilling the workforce in the Care sector to meet industry requirements, utilising distance
         learning materials currently available.
     To support employers in growth industries to adapt to demographic changes taking place over the
         next decade and their impact on the labour market.
     To support the development of a foundation degree for Associate Professional and Technical
         skills required in the Business and Professional Services (BPS) sector.
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Measure 3 - To encourage Entrepreneurship of individuals and competitiveness of businesses,
particularly SMEs
LSC Gloucestershire Priorities:
Unemployed, Employed, SME‟s, Key sectors
Proposed Action:
     Develop a flexible and customised programme of management development activities for SMEs
         within Gloucestershire key sectors.
     Delivery of self-employment and Entrepreneurship skills to target groups including students
         leaving education, women returners and the unemployed.
     Building capacity of voluntary & community sector and private providers to evolve as independent
         businesses.
     Support the development of business mentoring schemes and collaboration between SME‟s,
         Further Education (FE) and Higher Education (HE) through Centres of Vocational Excellence
         (COVEs) and New Technology Institutes.
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Policy Field 5 – Improving the participation of women in the labour market
Regional Strategies:
To reduce the level of disadvantage faced by women in the labour market.
To open up training, learning and employment opportunities for all.
LSC Gloucestershire Strategic Themes:
Accessibility, Employment and Standards
Measure 1 - To improve access to learning and remove barriers to employment
LSC Gloucestershire Priorities:
Unemployed, Employed, Women
Proposed Action:
     Raise levels of motivation and achievement of young women in Science, Technology,
         Engineering and Maths in schools/colleges and develop specific programmes to encourage
         young women to consider careers in these areas. This priority also gives scope to develop
         Entrepreneurship programmes
     Develop the programme to re-engage and empower pregnant teenagers to consider Education,
         Training and Employment as a viable option after childbirth.
     Positive action to support women, aged 25 and over, to progress into non-traditional areas of
         employment such as Construction and Engineering. This may also include mobile ICT training
         programmes.
Measure 2 - To research into issues related to gender discrimination in employment such as pay,
segregation recruitment and progression
                                                                                       Return to top of Page
LSC Gloucestershire Priorities:
Unemployed, Employed, Women
    Proposed Action:
        Research into the barriers to employment faced by women in the labour market.
        Research into good practice of non-traditional gender employment, especially in construction,
          engineering and care.



    Cross Cutting Themes
    Equal Opportunities
    The National LSC has produced an Equal Opportunities Policy, which has four high level objectives:
            14. To develop the Council as an Equal Opportunities employer/organisation.
            15. To develop the Council as a champion of equality.
            16. To embed Equal Opportunities into all policies, programmes and actions.
            17. To report to the Secretary of State on progress towards equality.
The LSC will mainstream and integrate Equal Opportunities into all aspects of its work.
   LSC Gloucestershire is developing an Equal Opportunities Strategy and Action Plan, which will be subject
   to wide consultation in 2001/02. The principles, which underpin this, will apply to all areas of the Council‟s
   activity and will become a key part of our Co-financing operations.
   Organisations bidding for funds will be asked to supply details and evidence regarding their approach and
   implementation of Equal Opportunities and the LSC will apply due attention to this in project appraisal.
   Sustainable Development
   The LSC has been created to support the process of „maintaining high and steady levels of economic
   growth and employment‟ particularly in addressing the Secretary of State‟s objectives to „increase
   demand for learning for adults‟; and to „raise skill levels for national competitiveness‟.
   LSC Gloucestershire will seek to improve the environmental awareness and performance of providers,
   both by informing them of our objectives and seeking their assistance in achieving these. In addition we
   would seek to encourage proposals from providers, which include an active and positive approach to
   environmental sustainability and good practice.
   Information and Communication Technology
   LSC Gloucestershire will ensure that funded activities employ appropriate ICT in the provision and
   delivery of courses and other services.
   Gloucestershire seeks to be at the forefront of the knowledge society. To achieve this goal we recognise
   the importance of supporting employers in addressing ICT needs. We are also committed to working in
   partnership with South West regional organisations and colleagues in the South West LSCs.



    Match Funding
    LSC Gloucestershire has identified a range of budgets, which may contribute to match funding for Co-
    Financing. These include:
               Further Education

               Work Based Learning

               Adult & Community Learning

               Local Initiatives Fund

               Workforce Development

               Information, Advice & Guidance

               Education Business Link
The Contracting Process
Competitive Tendering
LSC Gloucestershire will invite a range of providers to put forward their proposals against our agreed
areas of responsibility. This will be an open competitive tendering process, which has been agreed
nationally and will apply to all LSCs.
A notice of the activities for which proposals are being sought will be as widespread as possible and we
will use a variety of media in order to reach the target audience (websites, local press, mailing lists,
established groups etc.).
Technical support, through a „hot line‟ will be given to organisations to clarify any Co-Financing issues,
which will ensure all providers and types of provision are given an equal opportunity to submit a
successful proposal.
The proforma used for the proposal will be written in plain English and will ensure that as a minimum,
details of the project objectives, provider capacity, timescales for delivery and costs are included. Only
proposals submitted by the prescribed deadline of noon on October 5th will be considered for funding
support.
As an overview the proposals accepted would be those that offer best value and deliver those impacts
required to achieve the set strategic objectives.
Q uality & Evaluation
The key challenge for LSC Gloucestershire is to raise standards and build consistency and rigor into
systems, which is complementary to inspection programmes.
LSC Gloucestershire will carry out reviews with providers with the aim of embedding a culture of
continuous improvement in all the provision of funds. Performance indicators will be applied across all
provision to assess the relative performance of provision and ensure quality is maintained across all
providers.
We will be establishing a Quality Improvement Programme, which will be available to new or aspirant
providers, especially those from the voluntary and community sectors, which will help them understand
LSC quality standards and set out an Action Plan to help organisations meet the new criteria.
Financial Monitoring and Audit
Organisations funded by the LSC are subject to regular review and audit. The organisations are required
to provide audited financial statements to ensure that funds provided have been used for the purpose
intended.
LSC Gloucestershire has the right to carry out audit of organisations that receive funding support. In
doing so it will follow national guidelines that meet National Audit Office (NAO) standards and working
practices.



Co-Financing Timetable
The proposed timetable to implement Co-Financing by LSC Gloucestershire with partners and providers
is as follows:
  rd
 3 September 2001           Consultation on CFO Plan begins
     th
 14 September 2001          Deadline for comments on plan
     th
 17 September 2001          Invitations to tender
  th
 5 October 2001             Deadline for proposals by noon
     th
 19 October 2001            CFO submit applications to GOSW
 November                   Selection of proposals
     th
 14 December 2001           Notification of approval from GOSW
     th
 19 December 2001           Contracts issued
  st
 1 January 2002             Co-Financing begins

				
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