Youth Entrepreneurship Strategy an Action Plan for Wales 2010-15
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Youth Entrepreneurship Strategy An Action Plan for Wales 2010-15 yes Contents Ministerial Foreword ...............................................................................................1 1. Introduction ....................................................................................................2 2. Building on success: future challenges and opportunities ...........................3 3. Delivering the Action Plan .............................................................................7 i. Engaging: Promoting the value of entrepreneurship to create opportunities and develop young people .........................8 ii. Empowering: Providing young people with entrepreneurial learning opportunities ...........................................12 iii. Equipping: Supporting young people to create and grow businesses ..........................................................................16 4. Measuring success .........................................................................................20 Annex 1: Background ............................................................................................21 Annex 2: Action Plan Summary ............................................................................22 ISBN- 978 0 7504 5810 8 WAG10-10640 WAG_2621 © Crown copyright 2010 www.BigIdeasWales.com Ministerial Foreword The Youth Entrepreneurship Strategy (YES), launched in 2004, has achieved important gains for Wales. More young people in Wales now want to set up their own businesses and the proportion actually doing so is significantly ahead of the UK average. The Strategy aims to boost young people’s entrepreneurial confidence so they can play a full and effective part in the economy and Leighton Andrews AM Ieuan Wyn Jones AM community. As such, it remains important for the Minister for Children, Deputy First Minister & Education and Lifelong Minister for the Economy success of individuals, businesses and society. Learning & Transport Learning gives our population the skills and aspirations to drive a successful economy designed to increase the impetus and bring even containing highly-competitive and innovative more impressive results. This is made all the businesses that generate good quality jobs more urgent by the current economic downturn and sustainable prosperity for all. Enhanced and the number of young people who are entrepreneurship among young people is unemployed or economically inactive. essential if we are to boost our performance and create opportunities. We are fortunate in Wales because our relatively small size allows us to bring people together The Strategy has made significant progress to share expertise and best practice and use towards its targets and won recognition for our networks to develop solutions to common good practice from the European Commission. problems. Such collaboration and partnership Over the past five years YES has directed between different organisations and between the development of new and exciting the relevant departments of the Assembly entrepreneurship material for the curriculum, Government is what will bring ultimate success. brought entrepreneurs into the classroom and It is especially important that those who supported graduate businesses. The Third guide, support and influence young people Mission Fund has been introduced into Higher embrace the culture change needed to embed Education Institutions, and partner organisations, entrepreneurial thinking and skills in their such as Careers Wales, have integrated learning or employment experiences. entrepreneurship into the support they give young people. The Welsh Assembly Government thanks all partners who have contributed to the Economic Renewal: a new direction development of this Action Plan. We look highlights the importance we place on youth forward to delivering it with you. entrepreneurship. Building on what has been achieved to date, the new Action Plan has been 1 1. Introduction The Youth Entrepreneurship Strategy (YES) draws The entrepreneurial journey of young people together the different dimensions of the Welsh progresses from increased awareness, Assembly Government’s Economic Development to embracing positive attitudes, learning and Education policies. It aims is to equip young entrepreneurial skills and eventually practicing people aged 5-25 with entrepreneurial skills and these, whether in business or in employment. attitudes to raise aspirations so they can fulfil The skills, knowledge and experience they gain their potential whatever choices they make in along the way are valuable assets in all areas of their future working life. their lives, whether they set up in business or YES was launched in 2004 to provide a structure work in a public or voluntary sector organisation, and focus for entrepreneurship education in a multi-national company or one of Wales’ Wales. Details are provided as background in many small and medium-sized enterprises. Annex 1. The new YES Action Plan will refer Young people need dynamic entrepreneurial to the term entrepreneurship in a holistic way qualities to fulfil their potential, whatever to build skills and prepare young people for the life-path they select. future. This term includes all enterprise activity An important strength of YES is the collaboration and all types of business, profit, not-for-profit or and support of partners across Wales. The new social enterprise. Action Plan was therefore developed with The Action Plan in the original Strategy covered this very much in mind following an extensive the period 2004-09. This new Action Plan further consultation process during 2009-10. The input progresses this agenda to 2015, delivering on the of key stakeholders has been critical in shaping One Wales commitment to “create and develop this document. links between entrepreneurship and education”. It is crucial that the public, private and voluntary It builds on what has been achieved and delivers a sectors take ownership of the vision itself and key action within the new Economic Development actions agreed. Success ultimately depends policy Economic Renewal: a new direction. on genuine commitment and collaboration by The Vision below identified in YES, still remains all stakeholders. at the heart of the Action Plan for 2010-15: The Assembly Government will be the lead “To develop and nurture implementation body but, recognising the self-sufficient, entrepreneurial need for collaborative delivery by numerous young people in all communities agencies and organisations, our work will be across Wales, who will guided by a YES Action Plan Panel comprising key stakeholder representatives. A summary of contribute positively to actions are listed in Annex 2. economic and social success.” 2. Building on success: future challenges and opportunities The impact of the actions of the YES Strategy to date Since the launch of the Youth Entrepreneurship Strategy (YES) in 2004 we have been encouraged by progress made on changing attitudes and start up rates amongst our graduates. Changing Attitudes Young people under 25 have higher aspirations in comparison to the average 16-64 age group. to work for themselves and be their own boss, (Wales Omnibus survey) Desire to work for yourself and be your own boss 70 60 50 40 30 Percentage Percentage 20 10 0 Sep 04 May 05 Nov 05 Mar 06 Sep 06 Mar 07 Sep 07 Mar 08 Sep 08 Mar 09 Sep 09 Mar 10 16-24 year olds 16-64 year olds 3 Early Stage Entrepreneurship and Start Ups The Global Entrepreneurship Monitor In the Global Entrepreneurship Monitor Special Report: A Global Perspective on (GEM) Report 2009 the rate of early stage Entrepreneurship Education and Training 2008 entrepreneurship in Wales for those aged highlights the importance of Schools, Further 18-24 is 4.3%, higher than the UK average and Higher Education Institutions in providing a of 3.4%. foundation for entrepreneurship. Early Stage Entrepreneurial Activity (TEA) 16-24 Age Group 7% 6% 5% 4% 3% Percentage of TEA Percentage 2% 1% 0% 2004 2005 2006 2007 2008 2009 Wales UK Whilst the average level of total early-stage International Good Practice entrepreneurial activity for graduates in the UK At the 2008 European Charter for Small is 7.3%, the level of graduate entrepreneurship Enterprises Conference, YES was voted one in Wales is 8.5%, this ranks Wales 3rd, after the of the top ten good practices in Small and East of England (9%) and the West Midlands Medium Enterprises policy “most beneficial (8.9%) (GEM 2009) to implement.” Portugal, Norway, Iceland and The Higher Education - Business and Community Albania are now looking at the Welsh model and Interaction Survey (HEBCIS) 2010 reports that elements within it, with a view to introducing Higher Education Institutions in Wales make within their own countries. up 5% of UK Higher Education population, but generate 10% of all UK graduate business start-ups and 9% of active firms lasting 3 years or more. Future Challenges Despite the significant achievements made over the past five years we need to recognise that there is still a great deal to do. The economic downturn has hit young people that for the three months to April 2010, the hard and in some areas of Wales, nearly half the rate of economic inactivity amongst people unemployed are under 25 years old. Over a five of working age in Wales stood at 23.9%. year period the rate of youth unemployment has Although this is down from 24.2% in the same increased by almost 50%. Youth unemployment period a year earlier, it is significantly higher than in Wales is higher than