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The Future Generations Report 2020 The Future Generations Report 2020 Let's create the future together Chapter 3 Progress against the well-being goals Future Generations Report 2020 www.futuregenerations.wales Future Generations Report 2020 Progress against the well-being goals: A Prosperous Wales The Vision – A Prosperous Wales in 2050 05 People’s perception of progress towards this goal 08 Challenges and opportunities for change 10 Ensure people can secure decent, fair work 1 0 Transition urgently to a low carbon society 14 which works within its environmental limits Ensure we use natural resources efficiently, 23 recognising the limits of the global environment Skills fit for the future Procure goods and services in ways that 24 support economic, social, environmental and 25 cultural well-being Support inclusive local economies 25 Recommendations 29 Resources 34 Future Generations Report 2020 www.futuregenerations.wales A Prosperous Wales Our economic system is broken. We have Underpinning these issues is the way our seen widening economic inequalities, current economic model prioritises profit especially as the very rich get richer, along over the well-being of people and planet. with increasing levels of insecurity, homelessness, in-work poverty, mental health The aspirations of the Well-being of Future conditions and loneliness. As trust in Generations Act aim to redefine our institutions declines, people turn inwards or approach to the economy. In the Act, this against each other; deepening divisions goal is defined as: within our society. An innovative, productive and low carbon society which recognises the limits of the Our planet is also on the brink of the sixth global environment and therefore uses mass extinction, as catastrophic climate and resources efficiently and proportionately ecological breakdown get closer and closer. (including acting on climate change); and In the last 40 years, humanity has gone from which develops a skilled and well-educated population in an economy which generates using one planet’s worth of natural resources wealth and provides employment each year, to using one and a half. We are on opportunities, allowing people to take course to be consuming three planet’s worth advantage of the wealth generated through by 2050. securing decent work. The Well-being of Future Generations Wales Act (2015) Future Generations Report 2020 03 www.futuregenerations.wales A Prosperous Wales One of the most progressive aspects of the Act, is that nowhere in the Welsh definition of prosperity will you find a mention of Gross Domestic Product or Gross Value Added – the measures by which the strength of an economy and often government and society are often defined. Our vision of prosperity looks to support people to develop skills and secure decent work, procure goods and “If the planet doesn’t survive, capitalism services fairly and locally, where the doesn’t do too well either.” foundational economy generates local wealth and employment, and where we move Rose Marcario, CEO Patagonia towards a low carbon society. Future Generations Report 2020 04 www.futuregenerations.wales The Vision – A Prosperous Wales in 2050 People in Wales will be supported to develop skills and secure decent work, while we move towards a low carbon society. We will sustainably manage our natural resources, and procure goods and services fairly and locally, with the foundational economy generating local wealth and employment. Economic and business practices will realign to what an economy should deliver: an equitable distribution of wealth and health A restored and safe natural world will meet and well-being, while at the same time, the needs of all, within the means of the protecting the planet's resources for future planet, and citizens will be actively engaged generation and other species. (A Resilient in their communities and locally rooted Wales, A More Equal Wales, A Healthier economies. (A Resilient Wales, A More Equal Wales, A Wales of Cohesive Communities, A Wales, A Healthier Wales, A Wales of Globally Responsible Wales) Cohesive Communities) Public bodies and businesses will be 'Fair Increased climate ambition and sustainably Work Wales' employers, incorporating 'fair managing our natural resources will reshape work' into their well-being objectives. Public our economy, driven by increased policy money will only be rewarded to those fulfilling action at home, and as markets are reshaped the definition and characteristics of fair, by the leadership of others. Industries will be decent work that embodies inclusivity and innovative and low carbon, with a growing equality. (A More Equal Wales and A Wales of ‘green economy’ in renewable energy, and Cohesive Communities) green technologies and environmental sustainability. (A Resilient Wales and A An increase in place-based working means Globally Responsible Wales) people will be working flexibly and more locally. Supported by a universal basic Sweden gives employees time off to be income, people will have more time to entrepreneurs under the ‘Right to Leave to pursue their interests, hobbies and personal Conduct a Business Operation’ Act; one of well-being. People will be able to spend a series of rights afforded to employees. more time in their local community, helping Sweden has become the ‘start-up capital’ to improve their own physical and mental of Europe and success stories include health, while also supporting local Spotify, Skype and Mojang, the company businesses. (A Healthier Wales, A Wales of behind Minecraft. Cohesive Communities, A More Equal Wales) The New Zealand Government published its first Well-being Budget in May 2019. It Working towards the principles of a ‘well- takes a different approach to measuring being economy’, Wales will ensure everyone success, based on a broader range of has enough to live in comfort, safety and indicators than just Gross Domestic happiness. Justice will be at the heart of Product and puts well-being at the heart of economic systems and the gap between the decision-making. richest and poorest greatly reduced. Future Generations Report 2020 05 www.futuregenerations.wales Job losses in some sectors will be offset by In practice, this will mean the way we value, job creation in others, such as energy, assess and resource skills will change. The meaning a just transition for people and economy will no longer be the sole driver of places. This is a central demand of gaining skills and learning. As more trade unions and a core commitment under organisations question their purpose beyond the Paris Agreement on Climate Change. (A making money and emerging generations More Equal Wales) demand jobs with purpose and better work- life balance, more jobs and skills demand will The principles of the circular economy will be focused on social, cultural and keep products and materials in use, designing environmental aspects of life. (A Resilient waste out of the system and gradually Wales, A More Equal Wales, A Wales of decoupling economic activity from the Cohesive Communities and A Wales of consumption of finite resources and Vibrant Culture and Thriving Welsh environmental damage. It will also mean Language) technologies will create communal wealth rather than concentrating wealth and My contribution to this vision is outlined ownership. (A Resilient Wales and A Globally through my work on my areas of focus, and Responsible Wales) set out in detail in Chapter 6. Finland is considering a four day working Copenhagen has pledged to become the week to boost productivity and cut world’s first carbon-neutral capital by carbon emissions. One study found that 2025. It is well on the way to reaching its if we spent 10% less time working, our goal and is one of the most bike-friendly carbon footprint would reduce by 14.6%, cities in the world, with 375km of cycle and if we cut the hours we work by 25%, tracks and several pedestrian/bike our carbon footprint would decline by bridges over the harbour. 36.6%. Thomas Rousing Future Generations Report 2020 06 www.futuregenerations.wales Our education and skills system will place Wales will establish a firm base of medium- creativity, problem-solving, equality and sized firms rooted in their communities, but diversity, communication and an ability to also capable of selling outside Wales. adapt to change at its centre, drawing on businesses, charities and others to support the The city of Rotterdam is striving to become a delivery of this within schools. (A More Equal circular economy, by factoring circularity into Wales and A Wales of Cohesive Communities) its tendering and procurement processes Everyone will have access to high-quality and and has entrepreneurs making innovative reliable digital connectivity. In rural areas, the products out of rubbish. rise in digital technologies will generate new employment opportunities. ‘Smart villages’, which focus on revitalising rural communities Pobl Group are working with Neath Port and services through digital and social Talbot Council and Swansea University to innovation, will be empowering local integrate innovative technology to develop communities and helping address challenges ‘Homes as Power Stations’, going beyond the such as local employment, sustainable concept of carbon-neutral homes towards business activity, local services, broadband overproduction of energy. connectivity and skills. For example, community carpooling initiatives using web platforms, managed by a local community Climate education has been added to the cooperative. (A More Equal Wales, A Wales of national curriculum
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