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West Midlands Local Industrial Strategy

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West Midlands Local Industrial Strategy West Midlands Local Industrial Strategy May 2019 1 Contents Foreword 04 Executive summary 07 Strategic opportunities 17 An inclusive, clean and resilient economy 39 The five foundations of productivity Ideas 43 People 50 Professor Lord Bhattacharyya Infrastructure 60 Business environment 68 The Local Industrial Strategy for the West Midlands builds on Places 73 the heritage of the region’s manufacturing, research and technology sectors. Implementation 81 The strategy sets out how the West Most recently the National Automotive Midlands will take advantage of Innovation Centre and the UK the incredible skills, infrastructure Battery Industrialisation Centre were and innovation of our region. direct results of his advocacy. In that spirit, we dedicate this strategy Professor Lord Bhattacharyya to the life and achievements of was a constant champion of the Professor Lord Bhattacharyya, founder West Midlands and a key figure in of WMG at the University of Warwick. its industrial renaissance. It is our He was personally responsible profound hope that this strategy will for bringing millions of pounds of build on his vision and achieve his investment to the West Midlands. ambition of making the West Midlands Professor Lord Bhattacharyya a world leader in manufacturing, played a key role in the renewal of technology, innovation and skills. Jaguar Land Rover and the West Midlands’ automotive sector. 2 3 Industrial Strategy West Midlands Local Industrial Strategy Foreword The West Midlands is undergoing a renaissance. Our collective national and local In partnership with the government, The West Midlands is a global force They provide the real-life testing ambition is for the West Midlands the West Midlands aims to drive growth and a major part of the UK economy, needed to get new medicines from Local Industrial Strategy to and meet government’s national generating £99bn of GVA — five the lab to patients. They provide demonstrate this approach in action Future of Mobility Grand Challenge. per cent of UK output. The region modern components and materials through our collaborative national, The region’s research strengths across is growing fast, with output up 27 to global supply chains in a wide regional and local leadership. its universities – and its leadership in per cent over the past five years. A range of industries. The region’s Developed locally and agreed with battery industrialisation – are well- record number of people are in work digital creative businesses create established. This Local Industrial and the lowest number are out of games played across the world. government, this Local Industrial Strategy sets out the priorities to Strategy shows how partners will work. Productivity is increasing too, Universities and commercial research combine these strengths with at twice the rate of the UK in 2017/18. increase the productivity of the West and development centres across the Midlands and our national economy. manufacturing expertise and world- Carbon emissions have reduced by region are central to the UK. They class supply chains in towns such 18 per cent over the last five years. It belongs to the West Midlands and are developing the skills, products has been developed in collaboration as Darlaston, Walsall and Bloxwich. The West Midlands is large and diverse, and processes the UK will need with hundreds of businesses, civil The country’s first Future Mobility consisting of three interlinked but tomorrow, as well as being major society organisations and citizens. Zone — between Birmingham, distinctive economic areas. Its cities, employers and core to the future of Solihull and Coventry — will host many towns and rural areas are home the towns and cities that host them. But it also marks a change in the way the testing of new technologies. to communities with very different government is working to support Shared leadership to support the region. It represents the next Other priorities — ranging from health- characteristics. All share a long history care innovation to modern services of creative design, manufacture and the delivery of the national phase of long-term partnership and modern Industrial Strategy builds on important foundations set and creative content — show how the production. Doing things differently region is looking towards shaping and leading the way is what defines The modern Industrial Strategy sets in place since 2010. These include the previously agreed City Deals, Devolution future markets. This Local Industrial the West Midlands. This is a legacy that out a path to increasing productivity Strategy also makes clear how the survived the industrial restructuring and earning power across the country. Deals, Strategic Economic Plans, work across the Midlands Engine and recent region will boost productivity across the of the 1970/1980s and is now the It formed a partnership of innovators, Industrial Strategy’s five foundations engine of current and future success. packages to support delivery on local job creators and world-class businesses ambitions on skills and housing. and maximise the impact of major Firms across the region have been positioning the United Kingdom to public and private investment over supplying components and assembling seize the global opportunities of Focus the coming years. High Speed 2 will vehicles from the first bikes to today’s the new industrial revolution. And The West Midlands aims to continue soon start to strengthen the region’s autonomous pods. They built the it acknowledged the vital role of growth and success, while ensuring a connectivity. Coventry is the UK’s City world’s first production line and ambitious local business and civic more inclusive and balanced economy, of Culture in 2021. Birmingham will host now create virtual worlds for testing leaders to deliver prosperity. where all communities and residents the Commonwealth Games in 2022. new products based on real data. benefit and no one is left behind. 4 5 Industrial Strategy West Midlands Local Industrial Strategy Evidence led, inclusive and forward looking Executive Summary This Local Industrial Strategy and its supporting documents published locally are based on a This Local Industrial Strategy comes at a pivotal time in the West robust evidence base developed Rt Hon Greg Clark MP Midlands’ history. by independent commissions Secretary of State for Business, The West Midlands is in renaissance: This Local Industrial Strategy and research over the last three Energy and Industrial Strategy output is up 27 per cent over the past demonstrates how the West Midlands years. Led by the West Midlands five years. Productivity increased is forging its future and building an Combined Authority with Local last year at twice the rate of the UK inclusive and balanced economy. Enterprise Partnerships, it has been average. High Speed 2 will further Together with the supporting co-designed with the involvement strengthen the region’s connectivity documents published locally, it shows of over 350 organisations. with national markets – 90 per cent of the West Midlands is taking action Collectively, we have worked with which are already within a four-hour to continue growth in productivity national and local leaders and with drive. The West Midlands, working and earning power for all. Andy Street a wide range of businesses, sector with partners in the Midlands Engine, It also makes clear how government Mayor of the West Midlands groups and the civil society sector is also a growing international force: is backing these efforts, working as part of a public consultation foreign direct investment projects in partnership with local leaders, during the autumn of 2018. have trebled since 2011. Carbon business and stakeholders across emissions have reduced by 18 per It is not a strategy set in stone the region to help realise the cent over the last five years. and will continue to evolve as the West Midlands’ potential. economy changes, working together with the communities and businesses Seizing opportunities for the future of the West Midlands, including Cllr Ian Ward them fully in its implementation. Leader of Birmingham City Council and West Midlands Combined Authority Building on its distinctive strengths `` ensure all communities can contribute Portfolio Holder for Economic Growth – from transport innovation to data- to and benefit from economic driven health and life sciences and prosperity whilst protecting and globally competitive supply chain firms enhancing the environment; investing – this Local Industrial Strategy sets out further in social infrastructure; the steps the West Midlands will take to: measuring progress; and `` drive growth by strengthening `` designing actions using a balanced the foundations of productivity; set of inclusive indicators. Jonathan Browning contributing towards the Grand Led by the Mayoral Combined Challenges; and taking advantage Authority, working with Local Enterprise Chair of the Coventry & Warwickshire of market driven opportunities in Local Enterprise Partnership Partnerships and local authorities, this mobility, data-driven health and Local Industrial Strategy marks the and Chair of the West Midlands life sciences, modern services, Combined Authority’s Strategic next stage of the West Midlands’ long- creative content, techniques term partnership with government. Economic Development Board and technologies; and 6 7 Industrial Strategy West Midlands Local Industrial Strategy It is built on strong foundations. Driving growth: Future of Mobility `` develop an innovative and integrated
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