Regional Monitor The Metropolitan Region of Nuremberg Facts. Figures. Maps.

2006

metropolitan region of nuremberg SEE IT. FEEL IT. STAY. metropolitan region of nuremberg SEE IT. FEEL IT. STAY.

EUROPEAN METROPOLITAN REGION OF NUREMBERG (EMN) REGIONAL MONITOR 2006

Sources: Federal Statistical Office, Germany Federal Office for Building and Regional Planning Federal Employment Agency Federal Motor Transport Authority Bavarian State Office for Statistics and Data Processing GfK Marktforschung GmbH internal data and calculations Published by: European Metropolitan Region of Nuremberg City of Nuremberg – Mayor's Office Secretariat of the European Metropolitan Region of Nuremberg Rathausplatz 2 D – 90403 Nuremberg Edited by: Office for Urban Research and Statistics for Nuremberg and Fürth Unschlittplatz 7a D – 90403 Nuremberg Dr. Henning Schirner, Marco Beierlein, Roland Schmittfull co-operating with: Dr. Christa Standecker, City of Nuremberg, EMN Secretariat Dr. Thomas Goller, City of Bamberg, Harald Heinlein, Rural District of Neustadt a.d.Aisch-Bad Windsheim, Rainer Keis, Rural District of Bamberg, Frank Richartz, Rural District of Nürnberger Land Internet: http://www.mr-n.eu http://www.statistik.nuernberg.de E-mail: [email protected] [email protected] Information and orders: Nuremberg, Unschlittplatz 7a, Room 01 Telephone: +49 (0)911 231 2843 Fax: +49 (0)911 231 7460 ISBN 978-3-929922-64-9 Printed by: W. Tümmels, Buchdruckerei und Verlag GmbH & Co.KG Gundelfinger Strasse 20, D – 90451 Nuremberg Layout and design: Office for Urban Research and Statistics with kind support for Nuremberg and Fürth from: Unschlittplatz 7a TBN Public Relations GmbH 90403 Nuremberg Michael-Vogel-Str. 3 D – 91052 Erlangen

All rights reserved. In particular, this publication must not be translated, duplicated, recorded on microfilm/fiche or stored in electronic systems either in whole or in part without the publisher's express consent.

2 Metropolitan Region of Nuremberg, Regional Monitor 2006 Foreword

Since the Greater Nuremberg Area was acknowledged as a European Metropolitan Region in April 2005, no fewer than 31 self-administrated towns (not forming part of a district) and rural districts have undertaken a voluntary commitment to work together. Some 3.4 million inhabitants and 1.7 million gainfully employed persons earn a gross domestic product of approx. € 94 billion, making the region one of the large economic hubs in Europe. A metropolitan model of organisation was developed, with the Council (Rat) forming its democratic core. Comprising 46 district administrators and mayors, this is where decisions are reached on the strategies pursued by the metropolitan region. Around 400 stakeholders from across the metropolitan region work together in six specialised forums.

Skills, contacts and the awareness of particular strengths and potentials on the part of all those who are involved in the metropolitan region provide an important basis for the work that goes on in the Metropolitan Region of Nuremberg. At the same time, however, facts, figures and data are necessary as the starting point for tackling pending projects and strategy matters competently and for making the right decisions. This is all the more important in view of the fact that the Metropolitan Region of Nuremberg, in its existing form, is a new structural entity.

The Regional Monitor 2006 provides a reliable fund of information on structures and trends, on opportunities and problems. On the one hand, this brochure is a reference work describing the situation of the 31 authorities united in the core area and in the metropolitan cluster. On the other hand, however, it also offers indicators for taking stock of the region's position and information on development trends. Rather than setting out to award rankings, it shows interdependencies, strengths and risks. The data presented are accompanied by concise commentaries on the specific subject area covered and supplemented by easy-to-grasp diagrams and theme-related maps. Attention has been paid to providing a full set of information for all 31 urban and rural districts. This principle, however, comes with the minor drawback that it has in general not been possible to furnish data any more recent than 2004.

At this point, we expressly thank the German Federal Office for Building and Regional Planning as well as the Bavarian State Office for Statistics and Data Processing whose stock of data has played a major part in putting together this publication. Special thanks go to the staff of the Office for Urban Research and Statistics for Nuremberg and Fürth who, working with their partner organisations from the region, provided the concept and make-up of this brochure.

Still lacking is a comparison of metropolitan regions in Germany and Europe. This comparison is currently being produced within the Network of European Metropolitan Regions in Germany (IKM). There are also initiatives in METREX for a benchmark of European metropolitan regions. Its results will doubtlessly meet with great interest in a later brochure.

August 2006

European Metropolitan Region of Nuremberg

3 Metropolitan Region of Nuremberg, Regional Monitor 2006 Contents

Section Page

Foreword ...... 3

The European Metropolitan Region of Nuremberg (EMN)...... 5 Cooperation and area of influence – core and metropolitan cluster...... 7 Organisation of the Metropolitan Region of Nuremberg...... 8

1. Population and settlement structure ...... 10 2. Population structure and trends...... 12 3. Labour-market and social structure ...... 14 4. Employment ...... 16 5. Education and research ...... 18 6. Transport and connectivity...... 21 7. Corporate structure...... 24 8. Economic power ...... 26 9. Building and living ...... 28 10. Tourism and culture ...... 30

Facts and figures at a glance ...... 32

4 Metropolitan Region of Nuremberg, Regional Monitor 2006 The European Metropolitan Region of Nuremberg (EMN)

In its resolution of 28 April 2005, the German Conference of Ministers for Spatial Planning (MKRO) admitted the greater Nuremberg area to the circle of European metropolitan regions in Germany. This acknowledges the region's eminent status as a locomotive of economic, social and cultural development with international significance and connectivity.

At the same time, an agreement was reached to prepare new "mission statements and action strategies for regional development in Germany" as the framework for shaping the concept of metropolitan regions. This was done in MKRO's resolution on 30 June 2006. Three mission statements – "Growth and innovation", "Providing services of general interest", "Preserving resources, structuring cultural landscapes" – mark out the main fields in regional planning policy.

The "Growth and innovation" mission statement covers the eleven European metropolitan regions in Germany with their interrelationships. They are regarded as growth poles which, by virtue of a metropolitan infrastructure in the fields of transport, research and science, trade fairs, of global players and successful small and medium-sized enterprises on the world markets, business clusters and creative environments, significantly strengthen German and Bavarian competitiveness. Technical jargon refers to four "metropolitan functions“:

• Innovator and competitor function: a high density of scientific and research institutes as well as the availability of high-quality cultural activities and creative environments.

• Gateway function: good connectivity as a result of a high-class transport infrastructure and broad range of options for exchanging goods, know-how and information (e.g. trade fairs, media, telecommunications infrastructure).

• Steering and controlling function: the concentration of political and economic decision-makers as well as control of international flows of money and information.

• Symbol function: a high level of historical, political, cultural as well as urban significance and fitting international renown.

5 Metropolitan Region of Nuremberg, Regional Monitor 2006 Mission statement “Growth and innovation”

6 Metropolitan Region of Nuremberg, Regional Monitor 2006 In the Metropolitan Region of Nuremberg, the above-mentioned functions are not concentrated on one core city but spread over an urban agglomeration and several key urban centres as well as rural areas that are intermeshed in many different ways. For instance, the agglomeration of Nuremberg – Erlangen – Fürth – Schwabach represents the region's business and transport hub. This is also where a particular concentration of the metropolitan functions is found. However, equally as striking are the pronounced nodes of business, science and culture in the other towns and rural districts. This polycentricity is the hallmark of and the strength of the Metropolitan Region of Nuremberg. In terms of the contribution the Metropolitan Region of Nuremberg makes to growth, it is among the topmost metropolitan regions in Germany, accounting for an increase in gross value of 17% (1996-2003). The metropolitan regions are constituted on the basis of their own self-defined geographical boundary, their particular organisational structure and their respective areas of cooperation. It is in this diversity of regional governance that the Metropolitan Region of Nuremberg has developed and successfully implemented its own model.

Cooperation and area of influence – core and metropolitan cluster

In the core area of the Metropolitan Region of Nuremberg (the dark blue areas on the map), twelve rural districts and eight self-administrated towns are closely interlinked. This territory more or less corresponds to the footprint of the integrated public transport system of the greater Nuremberg area (VGN). Outside this closely and diversely interlinked metropolitan core there are also dynamic growth poles, towns and business locations that form the region's metropolitan cluster (the pale blue areas on the map). Eight rural districts and three self-administrated towns cooperate within the metropolitan cluster. Selective cooperation arrangements aim to activate their potential as centres of innovation and hubs for specialised technology. However, development possibilities are also seen in boosting innerregional tourism throughout the entire region.

As shown on the mission-statement map, the Metropolitan Region of Nuremberg also includes so- called areas of stabilisation. For different reasons, these are less able to participate in growth and development processes. The stakeholders in the Metropolitan Region of Nuremberg are aware of the particular responsibility they share for these sub-regions.

7 Metropolitan Region of Nuremberg, Regional Monitor 2006 Organisational model of the Metropolitan Region of Nuremberg

Organisation of the Metropolitan Region of Nuremberg

In the Charter of the Metropolitan Region of Nuremberg signed on 12 May 2005 by representatives of local authorities, business, science, culture and administration, the game rules were agreed for metropolitan cooperation, with voluntary action being the key premise. Since then, 31 self-administrated towns and rural districts have joined together in the metropolitan region without government prescription and constraint. Subsidiarity and consensus are the underlying principles. At the democratic heart of the metropolitan region, the Council with (lord) mayors and district administrators of the local authorities, all members have equal votes (principle of equal footing) regardless of population numbers or economic strength. The central idea of "regional governance" is implemented by networking with stakeholders from business, science, culture and administration who, in a steering panel, share much of the responsibility for projects and strategies in the metropolitan region.

In six forums

• Business and infrastructure • Science • Transport and planning • Culture and sport • Tourism • Marketing subject matter and projects of metropolitan significance are initiated, handled and taken forward. Each forum is presided over by a management committee of political and specialist spokespersons as well as an executive secretary. Key subject areas are: development of an international marketing platform for the metropolitan region, business cluster policy, integration in transeuropean and transcontinental transport networks, a common development mission statement, the particular competences of rural areas in the metropolitan region as well as ways of boosting innerregional tourism. In line with the above-stated fields of work, this report's ten themed chapters set out a fundamental collection of data providing a basis on which to reach decisions with regard to metropolitan and regional strategies and projects.

8 Metropolitan Region of Nuremberg, Regional Monitor 2006 1 Population and settlement structure

Of just under 3.4 million people living today in the metropolitan region on an area totalling some 19,000 km² (2.5 million of these in the core territory covering 13,100 km²), about 2.2 million are at home in the 20 rural districts and 1.2 million in the 11 self-administrated towns. 750,000 people alone live in the agglomeration of Nuremberg / Erlangen / Fürth / Schwabach. At 191 inhabitants per km² in the region's core territory, population density is well above the Bavarian average of 175 inhabitants per km². The metropolitan region exhibits a polycentric network of several agglomerative clusters around the major towns and cities. Between them, urbanised hinterland areas have developed that extend as far as the margins of areas with only a low level of concentration or very thin populations. The Nuremberg / Erlangen / Fürth / Schwabach area has a population density of over 1,000 inhabitants per km² compared with fewer than 100 inhabitants per km² in the rural districts of Ansbach, Weissenburg-Gunzenhausen or Neustadt a.d.Aisch - Bad Windsheim. In recent years, population development in the region has taken an altogether positive course, this growth being attributable solely to in-migration. All urban and rural districts in the core territory show positive migration balances, an indicator of the region's appeal as a place to learn, work and live. Development in the rural districts within the northerly metropolitan cluster has been less favourable; in the period from 2000 to 2004, the population was seen to fall by 0.6%. A glance at the graph below shows a new trend: the towns have benefited more than the rural districts in recent years from positive population development, a trend that can probably be expected to continue in the future too (cf. Chapter 2). With a high percentage of forest and recreation areas, the region ensures a high quality of life. Residential areas and areas taken by transport and traffic in the metropolitan region account for a share of about 11% of the total area of land. Almost half is used for agricultural purposes, and one third is under forest. Agriculture and woodland even account for about 40% of the City of Nuremberg. Agriculture is most dominant in the rural districts of Ansbach and Neustadt a.d.Aisch - Bad Windsheim. Although a thinner population density is typical of the areas outside the agglomeration cores, large numbers of commuters in the employment hubs, attractive residential locations, the emergence of new business clusters and a strengthening of tourist areas dominate the picture found in the region's rural countryside just as much as the village and small-town structures that can naturally still be encountered.

9 Metropolitan Region of Nuremberg, Regional Monitor 2006 Demographic development up to 2004 Reference year 2000 = 100

Built-up areas as a percentage share of overall surface in 2000

Population and settlement structure

10 Metropolitan Region of Nuremberg, Regional Monitor 2006 2 Population structure and trends

The Metropolitan Region of Nuremberg ranks among the winners of long-term population trends. Proceeding from the average population projection coordinated by central government and the federal states (Länder), a growth rate of 2.1% can be expected by 2020. However, some areas will grow faster than others; some may stagnate or even see a decline. The core territory of the metropolitan region is expected – this in all cases being based on facts identifiable today and resultant forecast assumptions – to show above-average growth of just below 3% (the equivalent of 71,000 inhabitants or the present population of Bamberg or Bayreuth). In some of the metropolitan network's northerly urban and rural districts, today's findings suggest that a slight decline in population must be expected; on the other hand, the positive forecasts for the towns of Coburg, Hof and Würzburg point altogether to a moderate rise in the population. The "out to the country" migration pattern of the past may in future turn into a "back to the city" scenario: the metropolitan region's conurbation areas are expected to attract more migrants than the rural districts.

Demographic change is one of the main challenges the future holds in store. It can be said with certainty that the natural development in population will remain negative in virtually all towns and rural districts. Without opening up the region to younger migrant groups who see a perspective here for family a n d work, the hitherto positive demographic trend will therefore turn around into a declining overall population.

The ratio of young people or senior citizens to the total working population points to the specific infrastructure needs (education, care, help) for these groups. In general, the share of young persons is higher today in the rural districts and the share of senior citizens higher in the towns. However, demographic change has also reached the urban hinterland; in the longer term, the effects of an ageing population will even be more pronounced in the rural districts. The share of senior citizens over 65 in the hinterland will increase by over 20% by 2020, with the ageing process taking a somewhat more moderate course in the towns. The number of children and adolescents will fall in all urban and rural districts. A decline of about 13% is thought likely, whereby here too the rate of decline will be less in the towns.

Demographic development up to 2020 Reference year 2004 = 100

11 Metropolitan Region of Nuremberg, Regional Monitor 2006 Demographic development 2004-2020 in absolute terms Demographic development 2004-2020 in percentage terms

Overall population Young people and senior citizens Households

12 Metropolitan Region of Nuremberg, Regional Monitor 2006 3 Labour-market and social structure

In June 2006, 135,954 persons were registered as unemployed in the Metropolitan Region of Nuremberg. Of this figure, the core area accounted for 97,384, the area of the metropolitan cluster for 38,570 persons. This corresponds to an unemployment rate of 7.8% (core 7.5%; cluster 8.6%) which, with the exception of southern Bavaria and the regions in Baden-Württemberg, is thus significantly below the jobless rates in the West German federal states. Compared with the previous year’s figures, unemployment has fallen at a rate above the average level (by 1.2 percentage points; Bavaria -1.0, Baden-Württemberg -0.7, West Germany -0.8). Within the region, however, there are wide differences in terms of area and structure.

As a result of different commuter, employment and qualification structures, the towns must cope with higher unemployment than the rural districts. For instance, the rural districts of Erlangen-Höchstadt, Neumarkt i.d.Opf., Neustadt a.d.Aisch - Bad Windsheim or Kitzingen are at the bottom end of the scale at rates of between 4.1 and 5.1%; by contrast, at rates of 11.0% and higher, unemployment in the towns of Hof, Coburg, Amberg, Fürth and Nuremberg is more than double. However, in towns with structural advantages, such as the university city of Erlangen with the Siemens headquarters, and also in Ansbach, Schwabach and Würzburg, unemployment remains well below the average urban level.

Despite the previous year's altogether gratifying balance for the metropolitan region, resolving structural and regionally specific problems on the employment market remains on the agenda – as everywhere in Germany. Unemployment is higher than average among young persons in the self- administrated towns/cities of Fürth, Nuremberg, Amberg as well as in the areas of the metropolitan cluster with the exception of the rural district of Kitzingen and the city of Würzburg; poor qualifications (cf. Chapter 5) and job-market related problems on finishing apprenticeships and entering regular employment are characteristic of this development.

When unemployment benefit and social security were amalgamated after 1 January 2005, it became possible to show the actual number of persons receiving tax-funded assistance (under SGB II – Social Security Code) more aptly. 187,204 persons in the metropolitan region (i.e. 5.5% of the total population) receive means-tested benefit payments under SGB II. In the towns, this share is about 8.9% or, as in the case of Nuremberg, Hof and Coburg, even significantly over 10%. In spite of falling unemployment, this number of benefit recipients has constantly risen; in the overall region, this figure increased by 18,756 between June 2005 and June 2006.

Development of unemployment rate (in relation to total number of civilian persons gainfully employed)

13 Metropolitan Region of Nuremberg, Regional Monitor 2006 B enefit recipients under SGB II Per 1,000 inhabitants 2006-06

Unemployment rate 2006-06 Year-to-year comparison

Unemployment rate (under SBG II + III) Persons living in and depending on the resources of a communal household

14 Metropolitan Region of Nuremberg, Regional Monitor 2006 4 Employment

The rate of employment (number of persons employed per 1,000 inhabitants aged 15 to under 65) is an important indicator of a region's potential to provide jobs for the population living there. The employment rate in the metropolitan region (526, this figure being derived from 517 in the core area and 553 in the area of the metropolitan cluster) is just above the average levels for Bavaria or Germany, with the commuter-strong urban employment hubs showing the highest rates.

As everywhere in Germany, employment figures have been down for a period of four years. Not yet available for use in this report, the employment figures for 2005, however, altogether reveal a slight upward trend. The graph shows a significantly more favourable development in the rural districts than in the towns. In a long-term comparison of the last 20 years, the rural districts have been able to increase their employment potential by about 8 percentage points. With the exception of Ansbach (up 4.0% since 2000), Erlangen (up 0.2%) and Coburg (up 1.8%), the region's self-administrated towns have had to accept employment losses.

About 60% of persons employed work in the service sector (commercial, clerical, public order, security, social welfare, healthcare, cleaning); this rate more or less corresponds to the average levels found in Bavaria and in Germany as a whole. The university towns and service centres, such as Bayreuth, Erlangen, Fürth, Nuremberg, Coburg, Hof and Würzburg, stand out in this context with rates of just under 70%.

An important indicator for future-proof, modern service structures is the employment rate in knowledge-intensive, business-related services (law consultancy, business consultancy, architect firms, engineering bureaus, technical testing companies, advertising, trade-fair organisers, assessors etc.). As the services and products involved permit little room for standardisation, this is where staff skills and qualification levels are all-important. Accounting for a percentage of 12.1%, only the service hub of Nuremberg comes close to the rates of the other German metropolitan cities. High percentages are also shown for the towns of Fürth and, at a somewhat lower level, for Erlangen, Bamberg and Würzburg.

The development of employee qualifications also plays a crucial part with regard to the efficiency of companies in these segments and for the economy in general. The percentage of employees holding college or university degrees is exceptionally high, particularly in the Siemens and university city of Erlangen (over 23%); Nuremberg (10.9%) and Würzburg (9.2%) also show above-average rates. Compared with the rates for Bavaria and for Germany overall, the region has some catching-up to do in this field.

Development of gainfully employed persons subject to social security contributions at their place of work, reference year 1987 = 100

15 Metropolitan Region of Nuremberg, Regional Monitor 2006 Number of gainfully employed persons subject to social security contributions at their place of work per 1,000 inhabitants, aged 15 to 65 years, 2004

Change 2000-2004 in %

Employment 2004 Distribution of gainfully employed persons in 2003

16 Metropolitan Region of Nuremberg, Regional Monitor 2006 5 Education and research

Education is one of the top-priority issues of the future. In the face of global competition, investment in education and research is an important prerequisite for economic and technological progress not only in respect of future opportunities for the individual but also for a country like Germany with few raw-material resources. 85,450 students are enrolled at the metropolitan region's universities, higher education institutions and universities of applied sciences, 56,100 of them at the towns and cities with higher education institutions in the core area and 29,350 at higher education institutions and universities in the metropolitan cluster. In relation to the number of inhabitants, the region is therefore well above the Bavarian average: in Bavaria there are 20 students for every 1000 inhabitants, in the metropolitan region the figure is 25.3 students (22.4 in the core area; 33.5 in the cluster).

In terms of school pupil numbers, there is a bright and a dark side. One quarter of all school-leavers come out of school with a qualification allowing them to enter university or higher education institution. This is also a good level in comparison with the Bavarian and national average. However, in view of a lack of schools offering education to an advanced level in some parts of the region, the full potential is doubtlessly being left untapped. This is demonstrated by the different percentages of urban and rural pupils leaving school at advanced level (with baccalaureat or 'Abitur'). However, it must be noted in this context that the high levels in the towns and cities can be explained to a large extent by pupils commuting in from rural communities or, as in the case of the rural district of Bamberg, through compensation for the absence of grammar schools (advanced-level secondary schools) by a special-purpose association with the city of Bamberg.

Following the results of the PISA Study, Bavaria is the only one of Germany's 16 federal states that manages to measure up to the top group of countries in all areas of competence. This being so, the chances of developing the resources that are necessary to provide the individual and society with a promising future are greater in this region's school and education system than they are elsewhere. All the same, social and regional differences remain. Taking all school leavers together who come out of general or vocational schools (e.g. specialised secondary schools) with a general certificate of education, the share of pupils leaving school without any certificate of general secondary school education oriented to the world of work ('Hauptschulabschluss') accounts for 7.5%; the 10% mark is only exceeded in Fürth and Nuremberg and in the rural districts of Ansbach and Coburg. The below-average share of pupils leaving school with university-entrance qualification in the rural districts is obviously influenced heavily by the regional differences in the school forms offered. Here, the share of pupils attaining a middle-level school- leaving certificate is correspondingly higher.

In addition to the 48,627 pupils leaving school with a general certificate of education, almost exactly the same number of young people (46,482) goes through a course of vocational training. Given the differences in the vocational colleges from one district to another, regional comparisons are hardly realistic in this case or only possible to a limited extent. At all events, however, the high share of school- leavers failing to complete vocational training successfully must be seen as a warning signal. 30% of vocational students in the core area of the metropolitan region and 25% of students in the cluster give up training or come out of it without taking a final examination. Adding to this the share of school-leavers without a certificate of general secondary school education ('Hauptschulabschluss') (7.5% on average), the risk forecast can not only be regarded as less favourable for the young people concerned but also from the aspect of the growing need for qualified persons in trade and industry.

17 Metropolitan Region of Nuremberg, Regional Monitor 2006 Students at universities, higher education institutions and universities of applied sciences broken down by subject groups

18 Metropolitan Region of Nuremberg, Regional Monitor 2006 Students in the European Metropolitan Region of Nuremberg (EMN)

Student total in EMN (winter semester 2005/2006) 85,454 Percentage from abroad 9.5% Students per 1,000 inhabitants 25.3 by comparison: per 1,000 inhabitants in Bavaria 20.0 per 1,000 inhabitants in Germany 23.8

Student total in EMN core 56,101 Percentage from abroad 10.4% Students per 1,000 inhabitants 22.4

Student total in the EMN metropolitan cluster 29.353 Percentage from abroad 7.9% Students per 1,000 inhabitants 33.5

Students in EMN by education institution type Universities 61,482 Higher education institutions 1,455 University of applied sciences 22,517

Students in EMN by subject groups (selection) *) Law, economics and social science 31,300 Foreign languages and cultural studies 19,684 Mathematics, natural sciences 16,801 Engineering 12,282

Graduations (graduation year 2004) 10,294 Percentage from abroad 7.2% At universities 5,756 At higher education institutions 300 At universities of applied sciences 4,238

*) including students at departments outside the EMN territory

In addition to law, economics and social sciences as well as foreign languages and cultural studies, the subjects of mathematics, natural and engineering sciences represent a significant focus of teaching and research at the four universities, five higher education institutions and nine universities of applied sciences. In ten special research areas and five DFG (German Research Foundation) researcher groups as well as numerous interdisciplinary centres and graduate colleges (research training groups), the higher education institutions and universities make a significant contribution to achieving advances in science and technology and to the transfer of practically relevant research results to the region's businesses. In addition, the non-university large-scale research and development institutions play an outstanding part in primary research and in practical transfer projects – the most prominent being the three Fraunhofer Institutes in Erlangen and Würzburg. In this area too, cooperation with regional business and science is diverse and fruitful.

Patent applications are an indicator of the region's innovative strength. The region of Middle Franconia belongs to the top five regions in Germany with the most patent registrations. The region also comes well up the list on a European-wide comparison; measured against patent density (number of patents per employee), Middle Franconia takes 5th place among all regions in the EU25 (Eurostat: Science and Technology 4/2006).

19 Metropolitan Region of Nuremberg, Regional Monitor 2006 School leavers (2004) with university-entrance qualification in %

Students

S chool pupils School leavers in relation to the place of education - with a general certificate of education - with a vocational certificate of education 20 Metropolitan Region of Nuremberg, Regional Monitor 2006 6 Transport and connectivity

Following the eastward enlargement of the European Union, the Metropolitan Region of Nuremberg has once again assumed a central position in the overall European economic area. The gateway function to Central and Eastern Europe plays an important part economically, not only on account of the region's traditionally strong orientation towards foreign trade but also in the light of its long-standing historical ties. Short distances to other German hubs and access to the international rail links between Paris – Prague – Warsaw, London – Brussels – Vienna – Budapest – the Balkan states, Stockholm – Hamburg – Rome, Berlin – Zürich – Milan, the region, with Nuremberg as its transport hub, takes a preferred position.

Nuremberg International Airport is an important pillar in the metropolitan region's infrastructure. The airport offers direct flights to about 60 destinations, including 19 of Europe's major business hubs. Centrally located with direct underground railway link to Nuremberg city centre and to the exhibition centre, the airport has developed into a dynamic provider of jobs, employing some 4,050 members of staff at the airport site (including 930 at the company operating the airport). 2005 closed with passenger numbers up 10% at over 3.8 million air travellers. In terms of cargo handled, the airport ranks sixth among Germany's airports with an annual freight volume of over 80,000 tonnes.

Nuremberg forms a hub in Germany's and Europe's motorway and high-speed rail network. The Main-Danube canal links southern Germany's largest trimodal logistics centre – GVZ bayernhafen Nürnberg – with the Rhine and Danube riparian states and the international waterways. Connection to the Trans-European Networks (TEN) of road, rail and waterway interlinks these infrastructures for multimodal transport chains. The next expansion phase is expected to see Deutsche Bahn's (German Railways) container terminal move to the GVZ freight centre at the end of 2008.

The greater Nuremberg integrated public transport system (VGN) provides public and commuter transport services throughout the entire core area of the metropolitan region. Regional awareness has doubtlessly also been developed and boosted through the integrated public transport system that was set up in 1987. Of the 2.5 million inhabitants in the core region, 2.2 million live in the area served by the integrated transport system. Each year, some 190 million people use public transport on an area of 11,500 km². In terms of the area covered, this makes VGN Germany's third largest integrated public transport system. Expansion of the network's present 540 routes must concentrate primarily on the completing the suburban railway system (‘S-Bahn’).

Intersection between important motorways, railway routes and inland waterways

Non-stop flights to and from Nuremberg (business destinations)

21 Metropolitan Region of Nuremberg, Regional Monitor 2006 6

The Trans-European Transport Network (TEN-T) is required to ensure the free movement of persons and goods in the EU. Proceeding from current funding, these networks are scheduled for completion by 2020. 30 priority axes and projects are in the pipeline, of which three axes will run through the Metropolitan Region of Nuremberg (see map below). This involves an extension of the North-South railway axis between Berlin, Nuremberg, Bologna, Rome and Palermo (project no. 1) as well as the West-to-East railway axis between Dresden, Nuremberg, Prague, Vienna, Budapest, Sofia and Athens and the axis via Brasov/Bucharest to Constanta on the Black Sea (project no. 22). Extension of the Rhine/Maas-Main- Danube inland waterway is classified as a further priority project (project no. 18). The significance of these projects to the metropolitan region must be seen against the backdrop of an expected increase in EU freight traffic by over two thirds in the period up to 2020. Goods traffic in the new Central and Eastern European member states is expected to double transport volume.

Economic development in the region is greatly determined by the mobility of the people working and living here. The major employment hubs are dependent on in-commuters. Commuter flows in the metropolitan region exhibit a uniform pattern (cf. map on page 23): all self-administrated towns are regional employment centres with positive commuter balances. The share of in-commuters among employees who are liable to pay social security contributions and work there accounts for between 52% (Nuremberg) and 70% (Bamberg) in the towns. All rural districts in the core area have more out- commuters travelling into the towns than employees commuting from the towns to businesses in the hinterland. The highest out-commuter rates are recorded for the rural districts of Fürth and Bamberg. In- commuters and out-commuters more of less hold the balance only in rural districts of the northerly metropolitan cluster that are characterised to a lesser extent by urban employment centres; in 2004, the rural districts of Wunsiedel and Lichtenfels even showed positive commuter balances.

Encountered in all of Germany's major economic regions, this familiar picture, however, is also showing new trends. On the one hand it has for years been possible in the towns to observe an increasing trend towards out-commuters travelling into the outer-lying rural districts. On the other hand, businesses settling in the rural areas have created new jobs for the people living there. Many companies benefit in the suburban area from low site-related costs while at the same time enjoying good or even better transport links than is the case in towns. A further reason is the proximity to the urban labour and sales markets.

22 Metropolitan Region of Nuremberg, Regional Monitor 2006 Commuter balance per 1,000 gainfully employed persons subject to social security contributions by place of work (2004)

Average number of car minutes to nearest motorway junction (2003)

In- and out-commuters in 2004 23 Metropolitan Region of Nuremberg, Regional Monitor 2006 7 Corporate structure

The 140,000-plus companies in the metropolitan region come from a diverse range of sectors and tend to be medium-sized in nature. One fifth of businesses employing just under 40% of all workers liable to pay social security contributions belongs to the manufacturing industry; given the prominence of the building industry and trades, these business groups are almost twice as numerous in the rural districts than they are in the towns. Over a third of businesses operate in the fields of commerce and transport as well as in the hospitality trade; about 22% of employees work in these sectors. 44% of businesses belong to the service sector, with an emphasis on business services as well as on banking and insurance, chiefly in the cities of Nuremberg, Erlangen, Bayreuth and Würzburg.

Over 90% of all businesses have a payroll of less than 50 people; on average, businesses have 8 employees (Bavaria and Germany on the whole: 7). However, the fact that over a third of wage and salary earners (some 400,000) work in around 530 of the region’s companies demonstrates the indispensable part that is played by the large companies in terms of the region's economic power and its jobs. Global players of international standing from industry and services, as well as "hidden champions" among small and medium-sized enterprises with world-wide leading products are characteristic of the region as a host to business.

Altogether, the metropolitan region is marked by an increasing share of people working in hi-tech and cutting-edge technology as well as by an expanding knowledge-based service sector. However, the pressure to adapt coming from the process of globalisation and unbridled structural change is bringing about a necessity for new strategic development concepts. For years, fields of competence have been defined in a network of business, politics and science that gives the region its particular strengths and which must be classified as potential locomotives for global growth. These core competencies will continue to be strengthened and taken forward as parts of Bavaria's cluster policy. The metropolitan region has its particular strengths in the clusters of transport and logistics, information and communications, medicine and healthcare, energy and the environment, new materials, automation and production engineering, automotive engineering as well as in the field of innovative services. These areas provide all of the prerequisites for well-functioning business clusters with a suitably high number of companies, ancillary suppliers, cooperation arrangements with renowned higher education and research institutions, qualified personnel and very good IT and transport infrastructures.

Number of companies by industries in 2003

24 Metropolitan Region of Nuremberg, Regional Monitor 2006 Average number of employees per company (2003)

Number of companies

Corporate structure 2003

25 Metropolitan Region of Nuremberg, Regional Monitor 2006 8 Economic power

With a gross domestic product (GDP) of over € 94 billion, the Metropolitan Region of Nuremberg is one of the most powerful economic areas in Germany and Europe. Of this figure, € 71 bn is earned in the core area and € 23.4 bn in the metropolitan cluster. As a measure of work productivity, the GDP per employed person is just under € 57,000 in the core area of the metropolitan region, making it above the overall German average (€ 55,500), but a little below the level for Bavaria (€ 60,000). Peak values are reached in the Quelle mail-order town of Fürth (€ 72.000 per employed person), the Siemens city of Erlangen (€ 62,200) and the rural district of Erlangen-Höchstadt with its business centre in Herzogenaurach (€ 61,000). The 5-year period from 1999 to 2003 (more recent figures were unfortunately not available at the time of going to press) saw GDP in the region rise 8% (core: 9.1%, cluster: 3.6%). In particular, the urban and rural districts outside the urban agglomeration of Nuremberg were able to achieve strong growth rates of 10 to 15% (such as the rural districts of Bamberg, Amberg-Sulzbach, Erlangen-Höchstadt, the town of Amberg with levels of over 15%). The long-term comparison from 1990 onwards (see graph) also reflects the above-average growth in GDP in the rural districts.

In the areas with higher-than-average GDP, the purchasing-power indices are also shown to be at the upper end of the scale (cf. map). In the conurbation areas of Nuremberg / Erlangen / Fürth / Schwabach and the bordering rural districts, purchasing power is well above the average figures. The city of Erlangen reveals outstanding figures (index 127; € 22,412 € per inhabitant) also by national comparison, Schwabach and the rural district of Fürth also have high spending capacities. Outside the Nuremberg conurbation area, only the towns are above the average index value of 100.

In terms of local or regional-authority debt per inhabitant, the picture tends to be the reverse. Here, the towns are known in general to be heavier in debt than the rural districts: the city of Bamberg and also Coburg are relatively low in debt.

Turnover and investment in the manufacturing industry represent a cornerstone of the region's economic power. € 61 billion (47 billion of which in the core area) were turned over in the region's industry in 2004, the heavyweights being in Nuremberg and Erlangen. However, top results with high productivity are also being achieved at other locations; with well over € 500,000 per employed person, the city of Bayreuth ranks first (e.g. B.A.T. cigarette production); Amberg, Fürth and the rural district of Forchheim also show very high turnover productivity levels per employee. Northern Bavarian industry has a traditionally strong hang towards foreign trade, with turnover abroad accounting for just under 40% of business done; in some places (Erlangen, Forchheim) the figure is almost 70%.

Gross domestic product Reference year 1990 = 100

26 Metropolitan Region of Nuremberg, Regional Monitor 2006 Gross domestic product per person employed in EUR (2003)

Purchasing power per inhabitant in relation to German average (2005)

Gross domestic product Turnover in manufacturing industry

27 Metropolitan Region of Nuremberg, Regional Monitor 2006 9 Building and living

Housing stock in the metropolitan region rose by 9.9% in the ten-year period following 1995 (Bavaria: 11.4%; nationally: 9.4%). This means that today 1.54 million dwellings are at the disposal of the region's 3.38 million inhabitants (without dwellings in residential homes); this corresponds to average occupancy of 2.2 persons per dwelling (the tendency in the towns being towards 1.9; in the rural districts towards 2.4). The long-term comparison (see graph) shows that the increase in the number of dwellings was much higher in the rural districts than it was in the towns. This may be regarded as an indicator of the unabating suburbanisation of the rural areas. It has also been possible to detect this trend in the recent period since 2000 despite a weakening in town-to-hinterland migration that has been observed for a number of years. The sum of new dwellings completed from 2000 to 2004 per 1,000 dwellings in the base stock from the year 2000 was higher across the board in the rural areas than it was in the towns, particularly in the rural districts of Neumarkt (77 new buildings per 1,000 dwellings), Forchheim (65 per 1,000), Ansbach (60 per 1,000) and Bamberg (59 per 1,000) as well as in Kitzingen (54 per 1,000) and Hassberge (49 per 1.000). By comparison, housing construction in the towns stagnated at a low level, with rates of between 20 and 30 newly constructed dwellings per 1.000 existing dwellings.

Viewing building-land turnover as an indicator of building-land activity to be expected in the future, the picture is not so clear. High land turnover (measured as the area of land sold ready for development per hectare of settlement area) in some rural districts (Ansbach 65 m² per ha; Fürth 86 m²; Kitzingen 60 m² or Coburg 63 m²) can be seen alongside land turnover figures of an equally high proportion in a number of towns (Ansbach, Erlangen, Fürth). However, conclusions for future building activity in towns and in the country cannot be drawn from these indicators.

The areas of emphasis are clearer to pinpoint in commercial building activity. In this field, it is possible to establish a concentration on the urbanised settlement areas. In all towns and cities in the metropolitan region, the sum total of commercially used floor space completed since 2000 (floor space in multi-storey commercial buildings) in relation to settlement area is significantly higher than in the neighbouring rural districts. In the last five years, commercial building activity has been shown to be particularly intensive per settlement area in Amberg, Erlangen, Nuremberg, Fürth and Würzburg.

However, if the increase in commercially used floor space is viewed not under the aspect of land take but from a business perspective, the familiar pattern emerges in which more money has been invested in commercial sites in urban hinterland. The map on the right shows that in the period from 2000 to 2004, commercial building investment was higher per business in the rural districts than it was in the towns and cities.

Development in the number of dwellings Reference year 1995 = 100

28 Metropolitan Region of Nuremberg, Regional Monitor 2006 Number of dwellings constructed (2000–2004) per 10,000 inhabitants

Floorspace constructed in 2000–2004 in square metres per company (2003)

Building land Residential areas Commercial areas Commercial floorspace constructed in non-residential buildings per settlement area (2000)

29 Metropolitan Region of Nuremberg, Regional Monitor 2006 10 Tourism and culture

Of all German metropolitan regions, the European Metropolitan Region of Nuremberg features a unique combination of urban business hubs, important national parks and valuable cultural landscapes. Famous old-town quarters visited by tourists from all over the globe, such as in the World Heritage town of Bamberg, Rothenburg ob der Tauber, Dinkelsbühl, Coburg or Nuremberg are just as much evidence of this as are the expansive national parks of the Steigerwald Forest, Hassberge national park, Fichtelgebirge mountains, Franconian Switzerland and Veldenstein Forest, the Franconian Forest or the recreational areas around the New Franconian Lake District and the Franconian Alb.

The region attracts large numbers of visitors: well over 5 million guests (without day-trippers), one fifth of them coming from abroad, brought the hotels and inns over 11 million overnight stays in 2004. The map shows that the exhibition and congress city of Nuremberg was not the only one to benefit from this. The rural district of Ansbach with Rothenburg, Dinkelsbühl and Feuchtwangen attracted more than half a million guests, with a share of just under 40% coming from abroad. The rural districts of Weissenburg- Gunzenhausen, Neustadt a.d.Aisch - Bad Windsheim, Bayreuth, Kitzingen und Lichtenfels also recorded a high number of overnight stays, both in absolute terms as well as in relation to population figures. The tourism infrastructure is impressive: 2.540 hotels and inns with 100,200 beds ensure the well-being of their guests. Following Nuremberg with just under 13,000 beds at the disposal not only of private tourists but primarily also of business and congress visitors, high bed capacities are available in the rural districts of Ansbach with over 8,000 beds and Bayreuth with 7,200 beds. Guests can wine and dine in the region at over 12,000 restaurants, guest houses, cafés etc. This means that for every 10,000 inhabitants, there are 43 hotels and hospitality businesses, a density that well exceeds the German average (32 businesses per 10.000 inhabitants).

The cultural sights are no less attractive than the appeal of the region's scenic beauty. The Metropolitan Region of Nuremberg can be described with the picture of a cultural landscape which, in addition to highlights of truly international appeal, is characterised mainly by the many facets of its regional diversity. Examples include the World Heritage town of Bamberg, also home of the world-famous Bamberg Symphonic Orchestra; the Wagner Festival in Bayreuth; the Ansbach Bach Week and, making world-wide guest appearances, the Windsbach Boys' Choir; Nuremberg's Three-Company State Theatre is of cross-regional significance, giving guest performances all over the world; the museum landscape is dominated by the internationally eminent Germanic National Museum in Nuremberg. And not least, the mediaeval Old Towns in Rothenburg, Dinkelsbühl, Nuremberg or Coburg attract guests from all corners of the globe.

Development of overnight stays Reference year 1995 = 100

30 Metropolitan Region of Nuremberg, Regional Monitor 2006 Total number of overnight stays (2004)

Accomodation capacities July 2004

3.500 beds

Tourism

31 Metropolitan Region of Nuremberg, Regional Monitor 2006 Facts and figures at a glance

Attribute Unit Period EMN core EMN cluster EMN Bavaria Germany

Area sq. km 2004 13,100 5.945 19,046 70,549 357,050 Inhabitants Number 2004 2,503,145 877,179 3,380,324 12,443,893 82,500,849 Inhabitants per sq. km Inh./sq. km 2004 191 148 177 176 231 Demographic development Per cent 2000 to 2004 1.1 - 0.6 0.7 1.7 0.3 Company total Number 2003 105,344 36,201 141,545 589,026 3,353,838 Share of companies in secondary sector Per cent 2003 19.3 20.8 19.7 19.2 18.5 Share of companies in tertiary sector Per cent 2003 80.7 79.2 80.3 80.8 81.5 Persons employed (rounded to next 100) Number 2004 1,253,700 466,500 1,720,200 6,338,000 38,868,000 Share of persons employed in primary sector Per cent 2004 2.8 3.2 2.9 3.0 2.2 Share of persons employed in secondary sector Per cent 2004 29.9 32.4 30.6 29.6 26.4 Share of persons employed in tertiary sector Per cent 2004 67.3 64.4 66.5 67.4 71.3 Total number of employees paying nat. insurance Number 2003 873,086 328,077 1,201,163 4,333,297 26,954,686

Employees paying social security contributions in Per cent 2003 7.1 4.1 6.3 7.1 7.6 knowledge-intensive business service professions High-qualification employees paying nat. insurance Per cent 2003 8.4 5.3 7.6 8.9 9.2 Unemployment rate (all civ. persons gainfully employed) Per cent 200606 7.5 8.6 7.8 6.4 10.5 Gross domestic product at reference-year prices € million 2003 70,892 23,363 94,255 375,950 2,164,870 Gross domestic product per employed person € 2003 56,777 49,.751 54,857 59,533 55,908 Purchasing power per inhabitant € 2005 18,237 17,049 17,929 18,843 17,631 Export share Per cent 2004 39.8 36.1 39.0 45.0 39.9 Share among school leavers of persons leaving school Per cent 2003 19.8 21.0 20.1 19.1 23.6 with university entrance qualification Students at universities, higher education institutions, Number 2005 22.4 33.5 25.3 20.0 23.8 universities of applied sciences per 1000 inhabitants Living space per inhabitant sq. m. 2004 41.8 43.1 42.1 42.0 40.0 Overnight stays per 1000 inhabitants Number 2004 3,245 3,678 3,357 5,919 3,846

32 Metropolitan Region of Nuremberg, Regional Monitor 2006