Sustainable Community Strategy - Coventry Partnership

1. Economy, learning, skills and employment
A prosperous Coventry with a good choice of jobs and business opportunities for
all the cityʼs residents
1.1 This theme aims to develop Coventryʼs
economic potential so that the city becomes more
prosperous and so that people living and working in
the city can benefit from this increased wealth.
Coventry has a young and growing population and it
will be important to ensure that there are enough
jobs and business opportunities for existing
residents, including children and young people
currently in education in Coventry, and those
attracted to live in the city in the future.
1.2 To be prosperous, Coventry will need to plan to
develop and attract businesses that will be
successful over the next twenty years. It will be
important to ensure that local people are able to
take up opportunities and that they are able to
develop the skills to access jobs and progress to
those jobs requiring higher or new skills.
Where are we now?
1.3 Coventryʼs economy is undergoing rapid
change. Decline of traditional manufacturing in the
city and loss of some of its most famous companies
have been successfully balanced with population
growth, new investment and new types of jobs.
1.4 The economy is diversifying and growing and
changes to the types of jobs in the city are set to
continue. The city's excellent communications and
the improved rail access to London, now one hour
from Euston with regular trains, along with the
development of the two airports means that
Coventry is well placed to benefit from the
expansion of the London and South East economy
and from central government relocation
programmes.
1.5 Current economic policies.
The city has a policy of increasing market
confidence and prosperity in the north of the city and
ensuring that local people benefit from increased
employment opportunities. Recent developments
include the Ricoh Arena and Pro-Logis. A further
policy aim is to increase business activity in the city
centre by developing the retail and leisure offer and
by attracting more office-based employment. Future
developments include Swanswell and the Friargate
project at the railway station.
1.6 Worklessness.
Employment levels have risen, but not as much as
desired due to recent high levels of redundancies,
which have slowed net employment growth. Rates
of worklessness had been rising between 2004 and
2007, with a rise in the numbers claiming Job
Seekers Allowance during this period, although it is
now beginning to fall sharply. The proportion of
young people who are not in education, employment
or training tends to fluctuate month-on-month and is
currently at 7.2% (January 2008). Evidence shows
an optimistic picture for young city residents at age
16, but there are concerns about retention of 17-
year-olds in employment.
1.7 Skills.
Evidence suggests that the proportion of working
people who have qualifications at National
Vocational Level (NVQ) level 2 or above is rising.
However, 27% of 16 to 24-year-olds do not achieve
this level of qualification. Furthermore, 45% of Job
Seekers Allowance claimants are seeking
elementary jobs , which may indicate a lack of skills
and/or aspirations. Economic change is leading to a
demand for a more highly skilled labour force and
making more traditional skills redundant.
1.8 Business formation.
Coventry has traditionally had a relatively low level
of business formation. The city is currently
benefiting from the Local Enterprise Growth Initiative
and early indications are encouraging, with an
increase in the number of VAT-registered
businesses in the city.
What things will we need to tackle?
1.9 To achieve jobs-led growth, increase average
household income and ensure that local people can
benefit from increased prosperity in the city, we will
need to reduce levels of worklessness, including the
number of young people not in education,
employment or training (NEETs). We need to
increase skills levels and encourage life-long
learning for adults and young people. We also need
to attract new businesses into the city and develop
those already here, and increase entrepreneurship.
1.10 We will need to encourage the diversification of
the local economy and plan with sufficient flexibility
to ensure that the city can meet the needs of future
businesses, and that new jobs are created.
Innovation and design will be key to the
development of Coventryʼs local economy.
We should therefore aim to maximise the benefits to
the local economy from our two universities and
encourage graduates to remain in Coventry.
We will need to create a more enterprising culture in
the city and increase the motivation and aspirations
of local people, breaking the cycle of unemployment
by improving job retention. It will also be important
to improve the image and appeal of Coventry, boost
pride in the city and transform and extend the city
centre.
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