The South Coast Marine Cluster: Marine Inward Investment Evidence Study
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The South Coast Marine Cluster: Marine Inward Investment Evidence Study June 2017 Wavehill Ltd. • Wales office: 21 Alban Square, Aberaeron, Ceredigion, SA46 0DB (registered office) • West England office: 217 Paintworks, Arnos Vale, Bristol, BS4 3AH Contact details: Tel: 01545 571711 Email: [email protected] Twitter: @wavehilltweets More information: www.wavehill.com https://twitter.com/wavehilltweets © Wavehill Ltd. This report is subject to copyright. The authors of the report (Wavehill Ltd.) should be acknowledged in any reference that is made to its contents. Authors: Andrew Engeli Anna Burgess Dareece James Any questions in relation to this report should be directed in the first instance to Andrew Engeli ([email protected]) Date of document: 29th June 2017 Version: Final Client contact: Julia Stuckey [email protected] The South Coast Marine Cluster: Marine Inward Investment Evidence Study Acknowledgements We would like to thank the many individuals who gave their time to assist in the evaluation, including Julia Stuckey, Mark Pemberton, Alex Clothier, Thomas Clenaghan, Jim Grant, Sheldon Ryan, Steven Rice, Eifion Jones, Anthony Payne, Kevin Forshaw, and the other members of the SCMC partnership, all of whom were important in the writing of this report. This evaluation would not have been possible without all of these contributions. We would also like to thank the generosity of the senior decision makers in the companies interviewed for workstream three, whose time and patience answering our detailed question contributed enormously to enriching the portrait of the SCMC as a vibrant and diverse home for Marine and Maritime related activities. List of abbreviations SCMC South Coast Marine Cluster MMS Marine and maritime sector i The South Coast Marine Cluster: Marine Inward Investment Evidence Study Contents Table of tables ....................................................................................................................... iii Table of figures...................................................................................................................... iv 1 Introduction ................................................................................................................... 1 1.1 The South Coast Marine Cluster (SCMC)..................................................................... 1 1.2 Defining the Marine and Maritime Sector (MMS) ...................................................... 2 1.3 Our methodology ........................................................................................................ 4 1.4 The workstreams ......................................................................................................... 7 2 Mapping the SCMC ........................................................................................................ 9 2.1 Location of businesses across the SCMC .................................................................... 9 2.2 Density of MMS activity across the SCMC ................................................................ 15 2.3 Mapping the prevalence of CRM data across the SCMC .......................................... 17 3 Demography................................................................................................................. 20 3.1 MMS related business demography ......................................................................... 20 4 Employment ................................................................................................................. 26 4.1 Overall ....................................................................................................................... 26 4.2 Sub-sectoral employment ......................................................................................... 28 5 GVA Contribution ......................................................................................................... 36 5.1 Overall ....................................................................................................................... 36 5.2 Direct, indirect and induced ...................................................................................... 38 6 Workstream 3: a deep dive into selected ‘strategically important businesses’ in the SCMC ............................................................................................................................ 40 6.1 Methodology ............................................................................................................. 40 6.2 Profiles of the SIB ...................................................................................................... 40 6.3 Markets, growth, and barriers .................................................................................. 42 6.4 Purchasing and supply chains ................................................................................... 43 6.5 Research and Development ...................................................................................... 46 6.6 Recruitment and Skills............................................................................................... 47 6.7 Challenges and opportunities ................................................................................... 47 6.8 Collaboration with partners and HE beyond R&D .................................................... 48 7 Public/private sectors: defence and HE/RI .................................................................. 50 7.1 The defence sector in the SCMC ............................................................................... 50 7.2 Higher Education and Research Institutions: Key facts and figures ......................... 51 8 The SCMC partnership: the view of the stakeholders ................................................. 56 8.1 Scope of action .......................................................................................................... 58 8.2 The SCMC .................................................................................................................. 59 8.3 The Future of the SCMC ............................................................................................ 62 Appendix 1 ............................................................................................................................... 64 Appendix 2 ............................................................................................................................... 65 ii The South Coast Marine Cluster: Marine Inward Investment Evidence Study Table of tables Table 1.1: Selected GVA estimate comparison with Wavehill estimate for total UK-wide GVA ........................................................................................................................................ 5 Table 3.1: Location quotients for SCMC subsectors ................................................................ 23 Table 3.2: LQ of subsector by LEP ............................................................................................ 25 Table 4.1: Ratio of business sizes, SCMC/UK ........................................................................... 29 Table 4.2: LQs (employment basis) for LEPs by subsector ...................................................... 31 Table 4.3: Employment-based sub-sector LQ greater than 1 .................................................. 35 Table 6.1: SIC code based classification and MMS subsector of sample of strategically important businesses ................................................................................................... 41 Table 6.2: In what year was company established in SCMC? .................................................. 41 Table 6.3: Primary markets ...................................................................................................... 42 Table 6.4: Accessing external finance ...................................................................................... 46 iii The South Coast Marine Cluster: Marine Inward Investment Evidence Study Table of figures Figure 1.1: The geography of the South Coast Marine Cluster (SCMC)..................................... 1 Figure 1.2: Illustration of the supply chain for offshore renewable energy.............................. 3 Figure 2.1: Postcode based mapping of all businesses identified as MMS-related in the SCMC ...................................................................................................................................... 10 Figure 2.2: Postcode mapping of MMS-related business location, Cornwall and Scilly Isles.. 11 Figure 2.3: Postcode mapping of MMS-related business location, Dorset ............................. 12 Figure 2.4: Postcode mapping of MMS-related business location, Heart of the Southwest .. 13 Figure 2.5: Solent ..................................................................................................................... 14 Figure 2.6: Heatmap of MMS related businesses across the SCMC ........................................ 16 Figure 2.7: Postcodes reflected in SCMC-supplied CRM data ................................................. 18 Figure 2.8: Proportion of MMS businesses included in SCMC CRM data capture .................. 19 Figure 3.1: SCMC business demography as proportion of UK total ........................................ 20 Figure 3.2: Marine and maritime businesses as proportion of all businesses, SCMC 2012-2016 .....................................................................................................................................