For many of us the names Northern Powerhouse and Midlands Engine are familiar, as are the elected mayors who control both these organisations.
Less familiar maybe is the name the “Great South West”. This has been established in response to the abolition of Local Enterprise Partnerships and forthcoming changes to local government. Importantly, however, this is now seen as an essential tactical change to the way in which the region presents and markets itself to Government and both national and international markets.
The organisation has been up and running for a couple of years. Very recently, it has come of age with a major conference which has just been held in Exeter. This was the moment for showcasing the progress it has made and to present a “state of the local economy “ report on where we are now.
The event attracted huge interest with 500 of the most significant business and institutional representatives from across the region in attendance (and a long waiting list for any cancellations). Invited guests included many senior politicians, a large number of our newly elected MPs, representatives from Whitehall but significantly national Captains of Industry.
The initiative covers a large part of the SW Peninsula from Cornwall and the Isles of Scilly to Devon, Somerset, Dorset and Bournemouth. The total area represents an economy worth £81 billion. It is home to 133,000 businesses being 5% of the U.K.’s total. It has experienced one of the highest business growth in the UK over the last five years. There is a total population of 3.14 million people. Current economic activity is driven by high value and export rich manufacturing companies – worth an estimated £8 billion per annum and employing over 100,000 people. The area has low unemployment and supports around 1.4 million jobs, currently 78% of working age residents are employed. Despite pockets of persistent low productivity and deprivation, the general background to economic activity is one of sustained growth.
The Great South West has decided to target certain sectors rather than cover every aspect of business. They have selected energy, food security and defence as key sectors for growth.
Food security is a key component of our region as a major food producer. It is leading on the deployment of new technologies such as the latest advances in precision farming, robotics and the use of satellite imagery to record, chart and manage progress. The region has 20% of England’s farm with over 20,000 agricultural holdings It also has a significant marine industry with the largest fish market based in Brixham.
Energy security is also recognised as a vital part of the great potential for this region. In accordance with this latest report, the Great South West could provide up to 11% of the U.K.’s 2035 low carbon electricity capacity and unlock up to £10 billion of GVA and 175,000 jobs in the process. This would be delivered through Floating Offshore Wind in the Celtic Sea, the new nuclear facility at Hinckley Point C, the latest advances in geothermal heat and power, the latest advanced advances in hydrogen and greenfield production, opportunities for tidal power in the Bristol Channel and the whole range of emerging wave and tidal technologies.
In presenting our regional achievements, reference was also made to some of the latest developments, such as the commencement of construction at the U.K.’s first GiGA factory hub just outside Bridgwater. Major new Investments in critical minerals including Europe’s largest concentration of lithium in Cornwall. The defence industry (also a major backbone to the regional economy) which is led by the largest naval base in Western Europe in Plymouth. This has been reinforced by the new Free Port, which is attracting investment into some of our marine industries. This is complimented by national level defence assets in Dorset which are playing a leading role in next generation NATO programmes and creating high quality engineering jobs and innovation across the sector.
So why is this initiative important to northern Devon?
Our region is home to two of the priority sectors – food and energy. There is now formal recognition of the need for the GSW to be a national leader in developing successful and thriving farms and food products. Also the importance of powering the U.K.’s energy industry as a producer of clean energy power where we have an abundance of opportunities.
At the event, there was a keynote speech from Sarah Jones MP who is the Industry Minister. She emphasised the importance of clean energy and recognised the influence that the South West can bring to developing leading technologies. It is also clear that the Government are fully in support of the floating offshore programme, as we enter into some detail negotiations regarding the Celtic Sea. She promised that government would adopt a longer-term approach to policy-making, to allow businesses to plan ahead. She also committed to better joined-up delivery through a (long awaited) partnership approach by all departments of government. She acknowledged that, for too long, there has been a disconnect here such as that between the Department of Business and Trade and the Department of Transport, as evidence by the debate in respect of the upgrade to the A30/303 (the Stonehenge issue). She also confirmed the introduction of a new series of support measures including the establishment of GB Energy (to drive through the green revolution), the establishment of the National Wealth Fund, the reforming of the broken planning system and to resolving blockages in the National Grid. Interestingly she also rolled out a “Skilled England“ programme unlocking local growth and recognised the importance of tourism as a backbone to the regional economy.
All good stuff and easy words at the beginning of a new Government. Time will tell whether this is just more Whitehall rhetoric. What is clear, however, is that the Great South West Project is something to take very seriously.
