British Talent Attraction Index

economicmodeling

First Annual

BRITISH TALENT

ATTRACTION INDEX


CONTENTS

3 Foreword

14 Job Openings Per Capita

4 Introduction

16 Net Migration

6 Talent Attraction Index Top 20

18 Highly Qualified Worker Growth

7 Top 10s: City Areas, and Town

and Rural Areas

20 Five Tips for Developing, Attracting,

and Retaining Talent in Your Area

8 Job Growth

22 Terminology and Methodology

10 Skilled Job Growth

23 Emsi Data

12 Skilled Job Competitive Effect

2

BRITISH TALENT ATTRACTION INDEX


FOREWORD

This report from Emsi is a really insightful contribution to understanding what’s going on in

the labour market in Britain. On one level we know that the jobs market is performing incredibly

well and very favourably against international bench marks. We have record employment,

with more than 32.7 million people employed in the period November 2018 – January 2019.

Unemployment at its lowest since 1975, with the percentage of those out of work dipping below

4% for the first time in 44 years – well below the EU average of 6.5%. And more vacancies than

at any time in 20 years. 1

However, these conditions are creating a very tight labour

market with some claiming we are at full employment. What

is certain, is that employers are struggling to fill the roles they

currently have available, with shortages in labour, skill and

talent all at play at the same time.

This means that businesses are having to enhance their

employee proposition, increase pay and invest in training their

staff to cope with this challenging situation. And with the

reduction in immigration over the next few years as a result of

Brexit, it is a situation that is likely to become even more acute.

The overriding value of this report is that it uniquely looks at

what’s happening in local labour markets. For the first time,

employers, recruiters and policy makers can see where jobs

growth is occurring and in what sectors. This will enable those

responsible for employment and job creation to think about

where they can find the skills for the roles they have available.

It will also allow those setting up new enterprises or seeking

new locations for their business to think about the sorts of

things that are crucial in deciding where they should establish

themselves to take advantage of local labour supply.

This report is timely, important and very much required. It also

demonstrates Emsi’s capabilities as as a leading provider of

Labour Market Insight.

I hope you enjoy reading it and using the content.

Kevin Green

Founder and CEO

What’s Next Consultancy

(Ex CEO of Recruitment and Employment Confederation)

1

https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/

employmentandemployeetypes/bulletins/uklabourmarket/march2019

BRITISH TALENT ATTRACTION INDEX 3


INTRODUCTION

As Kevin Green notes in the Foreword, the labour

market in Britain is currently very tight, with job

creation outstripping the number of available workers.

For employers, this means having to compete harder

to attract the right talent to sustain and grow their

business. For economic developers, it means doing

more to ensure that the businesses in their area are

getting the workers they need through targeted skills

strategies, by working closely with local education

providers and employers, and in seeking to make their

area a more attractive place to live and work to attract

talent from outside the area.

However, although we often talk about the “national” economy

or “Britain’s” labour market, we need to recognise that

these are in reality aggregates of multiple local economies.

Furthermore, each of these local labour markets will have

its own unique mix of industries, businesses, occupations

and skills, plus a variety of different factors that might make

it a good location for business to locate or relocate, and an

attractive place for people to live and work.

Part of the role of economic developers is to find out what

their area’s Unique Selling Points are, and to use them to attract

investment and talent into the area. Localised data can play a

big part in this, since it can be used firstly to identify how well

a local economy is currently doing in terms of attracting talent,

and secondly in giving a better understanding of the economic

and labour market factors that make the area special.

4

BRITISH TALENT ATTRACTION INDEX


What we have attempted to do in this short report is to

demonstrate some of the factors that localised data can identify,

by creating a Talent Attraction Index of Local Authorities

throughout the country. This uses a number of demand and

supply metrics to rank areas in terms of job creation, drawing in

new residents, and attracting a greater share of skilled workers

than other regions, during a five-year period, from 2012-2017.

Specifically, we have used the following six categories:

• Job Growth

• Skilled Job Growth

• Skilled Job Competitive Effect

• Job Openings Per Capita

• Net Migration

• Highly Qualified Worker Growth

As you work your way through this analysis, you’ll find the

following:

P6. The overall Talent Attraction Index Winners, including a

heat map of Britain and the Top 20 areas.

P7. The Top 10 city areas, and the Top 10 town and rural areas,

with their change in ranking over a three-year period from

2015 to 2017.

P20 – 21. You’ll find some ideas of how data can be used

to improve talent attraction, retention and development in

your area.

P22. A rundown of the terminology and methodology that

we have used throughout this report.

P23. Details of Emsi data, including how it is produced and

what it can be used for.

Perhaps the most interesting aspect of the data in this report

is just how many areas outside London and the South East

are represented in the various categories. Whilst it is true that

the City of London remains dominant, there are a number of

surprising locations in each of the Top 10s, and it does give

rise to the question of whether some sort of rebalancing of

the workforce has been occurring, perhaps as things like the

cost of commuting, together with opportunities for working

remotely have meant that jobs are being brought to the

people, rather than people to the jobs.

Above all, this report shows the value of local data, and

the crucial part it can play in helping to understand local

strengths. We hope that you’ll find it of interest, and that it

might inspire you as you seek to attract businesses and talent

into your area.

P.8 – 19. On the even numbered pages, there are heat maps

and Top 10s for each of the six categories. On the odd

numbered pages, we focus on the winning areas in those

categories, giving a number of industry and occupation

insights related to their growth and prosperity.

BRITISH TALENT ATTRACTION INDEX 5


TALENT ATTRACTION

INDEX TOP 20

The runaway winner of this year’s Talent Attraction Index is the City

of London, mainly on account of the huge number of job openings

it has compared to its tiny population. For this reason it will probably

always be the overall winner, but what is really interesting is to see

many areas outside London and the South East, such as Bromsgrove,

Corby and Blaby, all making it into the Top 20.

TALENT ATTRACTION INDEX: TOP 20 AREAS

Area

City of London

Bromsgrove

Hackney

Tower Hamlets

Camden

Watford

Manchester

Welwyn Hatfield

South Cambridgeshire

Coventry

Greenwich

Southwark

Newham

Glasgow City

North West Leicestershire

Milton Keynes

Corby

North Warwickshire

Bristol

Blaby

Rank

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

Talent Attraction Score

169

155

152

145

140

140

137

134

134

131

131

131

130

130

126

126

125

125

121

244

6

BRITISH TALENT ATTRACTION INDEX


TOP 10s: CITY AREAS, AND TOWN AND RURAL AREAS

CITY AREAS

1 City of London

1

1

2 Hackney

3 Tower Hamlets

4 Camden

5 Watford

6 Manchester

7 Coventry

8 Greenwich

9 Southwark

10 Newham

2

3

4

5

7

9

10

12

27

2

3

5

6

7

10

13

17

23

TOWN AND RURAL AREAS

1 Bromsgrove

2 Welwyn Hatfield

3

4 North West Leicestershire

5 Corby

6

7 Central Bedfordshire

8

9

South Cambridgeshire

North Warwickshire

East Hertfordshire

Uttlesford

10 South Northamptonshire

1

2

3

5

7

11

27

38

39

57

7

8

12

20

32

60

71

79

92

104

2017 2016 2015

BRITISH TALENT ATTRACTION INDEX 7


JOB GROWTH

Beginning by looking at total job growth from 2012-2017,

we can see that the clear, if somewhat surprising winner is

Bromsgrove in Worcestershire. Whilst the City of London and

Hackney added more actual jobs (around 99,000 and 29,000

respectively), Bromsgrove saw a rise of almost 26,000 new jobs

over the five-year period, equating to an increase of 77%.

TOP 10 LOCAL AUTHORITIES IN TERMS

OF JOB GROWTH, 2012-2017

Bromsgrove 25,790

Watford 17,120

Hackney 29,110

Welwyn Hatfield

21,590

South Cambridgeshire

18,470

North Warwickshire

10,710

Sevenoaks 11,560

City of London 99,180

Newham 20,890

Peterborough 20,880

0%

20% 40% 60% 80%

Percentage job growth, 2012–2017

Data: Emsi 2019.1

Occupation; numbers are jobs added

8

BRITISH TALENT ATTRACTION INDEX


BROMSGROVE, WORCESTERSHIRE

Job growth

77%

Skilled job growth

49%

Skilled job competitive effect

7,000

Job openings per capita

Net migration

Qualified workers growth

14%

4,300

26%

TOP 5 HIGHEST GROWTH JOBS IN BROMSGROVE

Focus on Job Growth Winner:

Bromsgrove

Elementary storage occupations

Fork -lift truck drivers

Managers and directors in storage and warehousing

Bromsgrove is probably not the place that most of us would have named

had we been asked which area of the country has seen the biggest job

growth over the last few years. Yet not only has the area seen huge job

growth (25,790 new jobs, equating to 77% growth), but it is also second

only to Watford in the growth of skilled jobs (8,700 jobs, equating to 49%

growth). Where has this come from? As the industry data below shows,

there has been huge growth in Logistics and ecommerce, with an extra

11,900 jobs (2,079%), as well as Business Services, which has grown by

4,300 jobs (516%). It is also worth noting just how much this growth has

given Bromsgrove a huge comparative advantage in these sectors, as

demonstrated by the rise in LQ (Location Quotient – see page 22 for more

details about this metric, how it is calculated and what it means).

Data: Emsi 2019.1

Large goods vehicle drivers

Stock control clerks and assistants

Occupation

820%

633%

332%

393%

513%

INDUSTRY CLUSTER FOCUS

LOGISTICS AND ECOMMERCE

BUSINESS SERVICES

BUILDING SERVICES

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

2,079%

11,900

0.8 to 7.9

516%

4,300

1.7 to 4.6

131%

1,900

1.2 to 1.6

BRITISH TALENT ATTRACTION INDEX 9


SKILLED JOB GROWTH

Watford and Bromsgrove are clear winners in terms of the

proportionate rise in skilled jobs, with almost 50% and 49% growth

respectively. Perhaps unsurprisingly, City of London has seen the

biggest absolute growth, adding over 80,000 jobs. Interestingly,

skilled job growth is not confined to London and the South East.

Rather, there is a decent spread across the country, with the East

of England, West Midlands, East Midlands, and North East all being

represented in the Top 10. It is also worth noting that Hackney and

South Cambridgeshire have also seen high growth, much of which is

down to their high concentration and growth in STEM occupations,

which you can read more about in our Focus on the Demand for

STEM Jobs and Skills Report. 1

TOP 10 LOCAL AUTHORITIES IN TERMS

OF SKILLED JOB GROWTH, 2012-2017

Watford

Bromsgrove

Hackney

South Cambridgeshire

City of London

North Warwickshire

Greenwich

Blaby

Welwyn Hatfield

North Tyneside

80,460

4,340

9,560

6,490

8,760

8,960

14,470

22,710

15,960

8,730

0% 10% 20% 30% 40% 50%

Percentage growth in skilled jobs

Data: Emsi 2019.1

Occupation; numbers are jobs added

1

https://www.economicmodelling.co.uk/wp-content/uploads/2018/12/STEM-Report_vWEB.pdf

10

BRITISH TALENT ATTRACTION INDEX


WATFORD, HERTFORDSHIRE

Job growth

Skilled job growth

Skilled job competitive effect

Job openings per capita

Net migration

Qualified workers growth

900

9%

18%

34%

50%

12,700

Focus on Skilled Job

Growth Winner: Watford

In terms of numbers, much of Watford’s skilled job growth

has come through the expansion in Commercial Services,

which has added almost 20,000 new jobs between 2012 and

2017, including a doubling of jobs within the Accounting,

bookkeeping and auditing activities; tax consultancy, sector.

Professional Services have also grown significantly, especially

in the Activities of head offices sector (Watford is home to a

large number of head offices of prominent companies), which

has doubled over the period. Also noteworthy is the job growth

in the Creative cluster, which has nearly tripled in size, being

driven in part by the development of the 80-hectare Warner

Brothers studio complex at Leavesden.

TOP 5 HIGHEST SKILLED GROWTH JOBS IN WATFORD

Advertising accounts managers and creative directors

Advertising and public relations directors

Taxation experts

Air-conditioning and refridgeration engineers

Chartered and certified accountants

Data: Emsi 2019.1 Occupation

162%

163%

132%

120%

108%

INDUSTRY CLUSTER FOCUS

CREATIVE

PROFESSIONAL SERVICES

COMMERCIAL SERVICES

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

161%

900

0.6 to 1.1

127%

3,400

1.5 to 2

78%

19,700

4.5 to 5.6

BRITISH TALENT ATTRACTION INDEX 11


SKILLED JOB

COMPETITIVE EFFECT

As we mentioned on page 6, the City of London is in many ways

in a league of its own, and you can see that amply demonstrated

here, where it has a skilled job competitive effect of about twoand-a-half

times as much as the second and third placed areas,

Camden and Tower Hamlets. What the figure means, is that

between 2012 and 2017, 53,000 more skilled jobs were created in

the area than can be explained by national growth trends and the

existing mix of occupations. Or to put that another way, the area

has added 53,000 skilled jobs that are the result of competitive

factors specific to the locality.

TOP 10 LOCAL AUTHORITIES IN TERMS

OF SKILLED JOB COMPETITIVE EFFECT, 2012-2017

City of London

Camden

Tower Hamlets

Hackney

Southwark

Manchester

Watford

Milton Keynes

South Cambridgeshire

Bristol

20,240

19,990

17,390

17,190

14,300

12,750

10,610

10,510

8,560

53,000

0

20,000 40,000

Skilled job competitive effect, 2012–2017

Data: Emsi 2019.1

Occupation

12

BRITISH TALENT ATTRACTION INDEX


CITY OF LONDON

Job growth

Skilled job growth

Skilled job competitive effect

Job openings per capita

Net migration

827

27%

29%

943%

53,000

Qualified workers growth

10%

Focus on Skilled Job

Competitive Effect Winner:

City of London

With a population of just over 5,000, the City of London can feel a bit

like a ghost town at the weekend. Yet come Monday morning, over

460,000 people come into the area to work, making it one of the most

remarkable places in the country. In fact, it is one of only four areas of

the country where there are more jobs than residents (Westminster,

Camden and Watford being the others). The last few years have seen

huge job growth in the area, with almost 100,000 new jobs, including

80,400 skilled jobs being added between 2012 and 2017. Much of this

growth has come from four particular industry clusters, with Financial

and Legal Services (20,900 extra jobs); Professional Services (19,800);

Digital (17,500) and Business Services (15,000) all seeing large gains.

Marketing and sales directors

IT and telecommunications professionals

Programmers and software development professionals

Management consultants and business analysts

Sales accounts and business development managers

Data: Emsi 2019.1

TOP 5 SKILLED COMPETITIVE EFFECT JOBS

IN THE CITY OF LONDON

Occupation

49%

46%

44%

38%

37%

INDUSTRY CLUSTER FOCUS

BUSINESS SERVICES

DIGITAL

PROFESSIONAL SERVICES

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

178%

15,100

1.5 to 2.5

85%

17,500

1.9 to 2.2

63%

19,800

3.1 to 3.2

BRITISH TALENT ATTRACTION INDEX 13


JOB OPENINGS

PER CAPITA

Technically, the real winner of this category is the City of London.

However, because its job openings per capita are so astronomical

(942% compared to a national average of 10%), we have left it off

the map and the chart, treating it as a bit of a law unto itself. The

next placed area, Westminster, also has more jobs than residents,

as do Camden and Watford, but what is really interesting here is to

see the likes of North Warwickshire, Shetland Islands, and Craven

– Britain’s happiest place according to a 2017 ONS survey 1 – all

making it into the Top 10.

TOP 10 LOCAL AUTHORITIES IN TERMS

OF JOB OPENINGS PER CAPITA, 2012-2017

Westminster 45,530

Camden 30,580

Watford 12,040

North Warwickshire

8,510

Bromsgrove

15,740

Shetland Islands

1,370

Welwyn Hatfield 16,470

Islington 13,730

Tower Hamlets 29,640

Craven 4,010

0

10% 20% 30%

Average job openings per capita, 2012–2017

Data: Emsi 2019.1

Occupation; City of London censored

1

https://www.theguardian.com/uk-news/2017/sep/26/

yorkshire-dales-craven-happiest-uk-ons-hertsmere-london

14

BRITISH TALENT ATTRACTION INDEX


WESTMINSTER, LONDON

Job growth

Skilled job growth

Skilled job competitive effect

Job openings per capita

Net migration

-1340

10%

10%

31%

13,214

Qualified workers growth

13%

Focus on Job Openings

Per Capita Winner:

Westminster

TOP 5 JOB OPENINGS FOR WESTMINSTER

Sales and retail assistants

Property, housing and estate managers

Management consultants and business analysts

Think Westminster and the word Government will

automatically come to mind. But is it growing or shrinking?

According to our data, the period 2012-2017 saw an extra

9,500 jobs created in the Government industry cluster,

making a rise of 17%. But there has also been strong growth

in a number of other clusters. For example, Health and Care

has added 6,900 jobs (33% growth). And in terms of absolute

job growth, Professional Services has seen the biggest rise,

with an increase of 14,500 jobs (26% growth), largely driven by

growth in sectors such as Business and other management

consultancy activities (42% growth); Activities of head offices

(38%); and Public relations and communication activities (13%).

Data: Emsi 2019.1

Cleaners and domestics

Kitchen and catering assistants

Occupation

8,420

6,020

6,020

5,450

5,730

INDUSTRY CLUSTER FOCUS

HEALTH AND CARE

PROFESSIONAL SERVICES

GOVERNMENT

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

33%

6,900

0.3 to 0.4

26%

14,500

3.3 to 3.1

17%

9,500

1.7 to 2.2

BRITISH TALENT ATTRACTION INDEX 15


NET MIGRATION

How many people would have placed Coventry at the top of

the table on net migration in Britain? Probably not many, and yet

according to the data, Coventry is indeed the number one place

in the country for net migration between 2012 and 2017, with

growth of nearly 29,000. The presence of a number of other areas

may also come as a surprise. For example, Central Bedfordshire

and Aylesbury Vale have both seen around 14,000 new people

coming into their areas. Herein lies the beauty of data to

challenge our preconceived ideas and assumptions, replacing

them with solid evidence.

TOP 10 LOCAL AUTHORITIES IN TERMS

OF NET MIGRATION

Coventry 28,650

Tower Hamlets 26,500

Cornwall 25,480

Edinburgh

Glasgow

Camden

Islington 14,600

Liverpool 14,210

Central Bedfordshire 14,080

Aylesbury Vale 13,860

21,680

20,440

25,300

0

10,000 20,000 30,000

Data: ONS Local Area Migration Indicators; 5-year net flows

Net migration, 2012–2017

16

BRITISH TALENT ATTRACTION INDEX


COVENTRY, WEST MIDLANDS

Job growth

Skilled job growth

Skilled job competitive effect

Job openings per capita

Net migration

Qualified workers growth

6%

11%

13%

2,400

33%

28,600

Focus on Net Migration

Winner: Coventry

Being sent to Coventry is one of those strange English idioms

that no-one is quite sure of the origins. What we can be certain

of, however, is that in recent years lots of people have gone

to Coventry, which has seen phenomenal growth of around

11% between 2012-2017, compared to 3.7% for the nation as

a whole. In terms of age breakdown, the data shows that the

highest growth has been in the 25-29 years category (36%

growth) followed by 30-34 years (24%), 19-24 years (22%) and

5-9 year (22%), likely indicating that there are a lot of young

families going there. In terms of ethnicity, growth in White

British has been 7% (compared to 2% for the rest of the

country), whilst growth in White Non-British or Irish has been

27% and Black African 28%.

80+

70-79

60-69

50-59

40-49

30-39

19-29

10-18

0-9

CHANGE IN POPULATION DEMOGRAPHICS

IN COVENTRY FROM 2012 TO 2017

2012

2017

25,000 0 25,000 25,000 0 25,000

INDUSTRY FOCUS

Female

Male

Data: Emsi 2019.1 Demographics

PROFESSIONAL SERVICES

CIVIL ENGINEERING

BUILDING SERVICES

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

161%

3,800

0.6 to 1.2

107%

1,800

0.5 to 0.9

51%

1,600

0.7 to 0.9

BRITISH TALENT ATTRACTION INDEX 17


HIGHLY QUALIFIED

WORKER GROWTH

Again the data may well surprise us, this time showing

Corby in Northamptonshire as being the top area in terms

of proportionate growth in people with a higher education

qualification. Just to put this in perspective, whereas the

country as a whole has seen a rise of 17% over the five-year

period, the rise in Corby was around 66%. Another interesting

aspect of the data is that growth has not been confined to any

particular area, but has been seen in places as far apart and as

disparate as Barnsley, Teignbridge, Dover and Liverpool.

TOP 10 LOCAL AUTHORITIES IN TERMS

OF HIGHLY QUALIFIED WORKER GROWTH

Corby 5,060

North West Leicestershire 9,250

Dover 7,560

Dartford

8,250

Havering

13,820

Shepway

6,280

Liverpool 32,020

Barnsley 12,430

Teignbridge 8,390

Cannock Chase 4,390

0

20% 40% 60%

Data: Emsi analysis of ONS Annual Population Survey via Norris

Percentage growth of higher educated working age, 2012–2017

18

BRITISH TALENT ATTRACTION INDEX


CORBY, NORTHAMPTONSHIRE

Job growth

Skilled job growth

Skilled job competitive effect

Job openings per capita

Net migration

8%

11%

18%

4,360

940

Qualified workers growth

66%

Focus on Highly Qualified

Worker Growth Winner: Corby

Once known as “Little Scotland”, due to the influx of workers coming

from Scotland to find work at the town’s British Steel plant, Corby

has in recent times seen a huge influx of migrant workers from the

EU, and London commuters. Not only has this swelled the population

of Corby by about 10%, but it has also served to rapidly change the

qualification demographics of the area. As you can see from the chart,

which shows change between 2003-2017, the number of people

in the area with no or low qualifications has fallen during that time,

whilst the number of people with a higher education qualification has

increased significantly. Whereas the number of people in the town

with a higher education qualification was around 14% in 2003, by 2017

it had grown to around 29%.

INDUSTRY FOCUS

Population

CHANGE IN CORBY’S QUALIFICATIONS PER

WORKING AGE POPULATION FROM 2003-2017

40,000

30,000

20,000

10,000

0

2006

Data: Emsi analysis of Annual Population Survey

2010

2014

2018

Any higher education Intermediate qualifications No or low qualifications

HEALTH & CARE

PLASTICS & VULCANISED PRODUCTS

COMMERCIAL SERVICES

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

Growth

Extra Jobs

LQ change

74%

900

0.4 to 0.6

73%

400

3.3 to 4.9

65%

1,200

0.8 to 1.1

BRITISH TALENT ATTRACTION INDEX 19


FIVE TIPS FOR DEVELOPING, ATTRACTING,

AND RETAINING TALENT IN YOUR AREA

Using Data to Develop, Attract

and Retain Talent

We mentioned in the introduction that the high employment/

low unemployment economy we are experiencing right now

means that employers and economic developers are having to

work harder to develop, attract and retain skilled talent in their

area. Workforce development is a dynamic, complex process

at the best of times, requiring good short and long-term

planning, as well as constant fine-tuning. But in our current

tight labour market it is even more crucial that it is properly

thought through, with the involvement of all local stakeholders,

including economic developers, skills agencies, the business

community, and education providers.

To help navigate this, here are five simple ideas for economic

developers, about how you can use the kind of data we have

shown throughout this report to develop, attract and retain

new talent in your area.

1 Become more familiar with your area’s

industrial mix

Many economic development strategies tend to focus on

developing and growing industries that have a high-profile

nationally, rather than on those that necessarily define the

area’s economy. Digital, for instance, is important, but it is

not equally vital in all areas, and it may be that there are more

significant sectors in your region that you would do well to

concentrate on. In the first instance, become more familiar

with your area’s mix of different industries and how they are

projected to grow, as this will give you more of a steer on

where your focus and your interventions should be.

20

BRITISH TALENT ATTRACTION INDEX


2 Identify your area’s particular strengths

On the focus pages throughout this report, you will see that

we have included data on the top industry clusters in the

area, including the LQ figure, which is a metric denoting the

comparative advantage an area has in that industry over other

regions (see the Terminology and Methodology page for

further details). By identifying the industries that really make

your area unique, you will be far better placed to understand

which employers you should be talking to, which sectors

should be prioritised in your planning, and what the most

pressing needs are in your community.

4 Use the data to work with local education

providers

In an ideal world, the supply of people with certain skills

would equal the demand for people with those skills. In reality,

however, this often doesn’t happen, and we are left with

what is known as the skills gap. One of the main causes of

this is the sheer challenge of employers communicating to

education providers what it is they need. Yet if you have used

data to better understand what it is employers in your area

are demanding, you then have a powerful way of starting a

conversation with local education providers about what these

skills needs are, and how they can help fill the gaps through

their training, apprenticeships and upskilling.

3 Understand local industry workforce

requirements

Having identified the industrial mix in your community, and

particularly its niche sectors, you can now work to understand

their workforce requirements. Emsi data not only enables you

to focus on occupations in your area – including current job

numbers, job growth, and projected growth – but it can also

do this for each industry. For instance, you might find that your

area has a particularly significant logistics and ecommerce

sector. But what are its skills needs over the coming years?

Our data can help you identify this, giving you the lowdown

on projected growth for each occupation category, so that

you can better understand and work with employers in that

industry to ensure that there is a ready supply of talent.

5 Use the data to promote your area

The more you know about the sectors and skills that define

your area, the better placed you will be to promote it as a

place to live and work. In our focus on Coventry, for instance,

we saw that the Civil Engineering industry cluster has grown

by 1,800 jobs (107%) between 2012 and 2017. Our projections

show that growth in the cluster is set to continue over the next

few years, albeit at the slower rate of 8.3%. This gives a great

opportunity for the Local Authority and the LEP to promote

the area, for example to universities that specialise in the kinds

of occupations that are employed in the sector, which include

Design and development engineers, Production managers and

directors in manufacturing, and Chartered surveyors.

BRITISH TALENT ATTRACTION INDEX 21


TERMINOLOGY AND METHODOLOGY

How have we calculated the Talent Attraction Index?

The six categories we’ve explored were each measured, as set out below. To construct the index, we standardised each measure, and then

added them together for each area. Once complete, we rescaled so that an average score is 100 and a score one standard deviation above or

below the mean is 15 points away.

How have we measured the six categories?

Job growth: The percentage job change for all workers in an area

from 2012-2017 (note: we have excluded Temporary employment

agency activities (SOC 7820) from our calculations, as employment

agencies often include jobs that are in other areas of the country).

Skilled job growth: The percentage change in skilled jobs in

an area between 2012-2017, with skilled jobs being defined as

occupations that typically require a Level 3 or above qualification.

Skilled job competitive effect: An indication of how much

change in skilled jobs in an area cannot be explained by national

trends, but is down to a unique competitive advantage the area

has. It is calculated by comparing the total regional growth in

skilled jobs between 2012-2017, and subtracting national growth

for the same occupations over the same period.

Job openings per capita: The number of new jobs created by

industry growth and by the need to replace workers exiting the

workforce; this measure takes the number of job openings in an

area from 2012-2017, and divides it by the working age population.

Net Migration: The contribution of net migration to an area’s

population growth from 2012-2017, including domestic and

international migrants. Sourced from ONS Local Area Migration

Indicators.

Highly qualified worker growth: The percentage change in

the number of working age residents with a higher education

qualification. This measure was constructed by Emsi analysis and

modelling of the ONS Annual Population Survey, sourced via Nomis.

Other terms

Industry Clusters: To make analysis of the 586 4-digit Standard

Industry Classifications (SIC) much easier, we have grouped them

into 49 coherent economic clusters, based on a number of shared

characteristics, such as industries that tend to co-locate in the

same areas; which have a similar workforce; and which have supply

chain connections.

Location Quotient (LQ): The proportion that an occupation

or industry makes up within a local or regional labour market,

compared with the proportion the same occupation or industry

makes up in the national economy. The nation is given a

benchmark of 1.0, and so any occupation or industry with an LQ

over about 1.2 can be seen as a regional specialism.

22

BRITISH TALENT ATTRACTION INDEX


EMSI DATA

Emsi provides the most detailed and localised labour market

intelligence available in the UK, which in turn creates a robust

base upon which to create uniquely localised and detailed

employment projections. We bring together different data

sources to create a robust composite dataset that provides

detailed labour market intelligence on hundreds of industries

and occupations at the lowest geographic levels. By joining

together these datasets, we can provide unique insights into

the relationship between industry trends and associated

occupational requirements.

We build the data from 9 different government data

sources, each describing different aspects of the labour

market that in isolation only tell part of the story or contain

inherent weaknesses, but when modelled together provide

a more holistic and robust view of the labour market. This

combination – some 20 million data points added each year

– provides the platform for employment projections to be

created that describe locally-specific employment trends, and

which are updated annually as more up-to-date data is made

available through the government sources.

Combining data from these sources creates something

entirely unique, allowing gaps in individual sources to be filled

in, providing employment projections at a level of detail that

makes labour market data useful to a broad range of local,

regional, and national organisations.

Linking this with skills and competency intelligence helps

to understand shifts in training priorities associated with a

changing labour force. Emsi data together delivers not only

depth in terms of local detail, industry detail, and occupational

detail, but applications in a range of different directions,

with data on demographics, age, educational attainment,

competency, earnings and staffing patterns. All data are

reported in current (SIC 2007 / SOC 2010) classifications.

Our data includes consistent series back to 2003 and projected

forward to 2027 and are updated annually. We deploy them

through our online data tool, Analyst, as well as through custom

consulting, to help economic strategists, workforce planners,

and further and higher education institutions to investigate the

current and projected labour market.

While we have the knowledge and capability to tackle any of

the leading labour market intelligence sources – such as those

produced by the ONS and UKCES – our own data’s power

lies not only in its granularity, but in its accessibility. Because

of the work we do to process, prepare and validate our data,

Emsi can answer complex labour market queries from our data

in high volume and at high speed.

BRITISH TALENT ATTRACTION INDEX 23


Developing, Attracting and Retaining Talent

Successfully attracting talent to your community requires a good

understanding of your area, businesses, and people.

Our aim is to give you the insight that will help you understand your

area better, so that you can establish a better strategy for developing,

attracting and retaining the talent you need.

Contact us now

info@economicmodelling.co.uk

01256 614 885

www.economicmodelling.co.uk

Similar magazines