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Employment and Economy Background Paper

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Employment and Economy Background Paper Local Plan Part 2: Land and Planning Policies Employment and Economy Background Paper July 2018 Contents Page 1. Introduction 3 2. The Shape of Rushcliffe’s Economy 4 3. National, Regional and Local Context 6 4. Key Issues Relating to Employment Provision and Economic 9 Development Glossary 20 Appendix 1: Strategic Distribution of Employment Requirements 21 Background Paper, 2015 1. Introduction 1.1 The purpose of this background paper is to provide background information for the Local Plan Part 2, Land and Planning Policies (LAPP), in terms of employment and economic development. 1.2 The key planning issues and challenges relating to employment provision and economic development across Rushcliffe and the wider Housing Market Area are: To increase and support the economic growth; To provide good quality jobs needed for both existing and future residents of the Borough; To provide a suitable range of sites, buildings and infrastructure in order to support the significant housing growth within the Borough at the right locations, and the D2N2 Local Enterprise Partnership’s Strategic Economic Plan, especially in relation to job growth and diversification of the economy; Where appropriate, to protect important employment land and premises from other uses, balanced against need for new homes and other economic development; and To increase the skills of local people and training opportunities. 1.3 This Background Paper should be read alongside the earlier Greater Nottingham Employment Background Paper, June 2012, and the Strategic Distribution of Employment Requirements Background Paper, which is Appendix 1 to this paper. These contain labour market analysis and employment land (offices and industrial and warehousing) requirements for Rushcliffe Borough and the wider Housing Market Area. 3 2. The Shape of Rushcliffe’s Economy 2.1 Rushcliffe’s employment rate for 16-64 year olds (Apr 2017 – Mar 2018) was 81.4% compared to the average Nottinghamshire (77.4%) and England (75.2%) unemployment rates during the same period. 2.2 Rushcliffe’s unemployment rate for 16-64 year olds (June 2018) was 0.8% compared to the rate for Nottinghamshire (1.6%) and the United Kingdom (2.2%) average. 2.3 Unemployment in Rushcliffe has experienced an overall decline over the recent years: 2014 (1.2%), 2015 (0.8%), 2016 (0.8%), 2017 (0.9%), 2018 (0.8%). 2.4 The economic activity rate for Rushcliffe citizens aged 16-64 (Apr 2017 – Mar 2018) was 85.2% compared to that of Nottinghamshire (79.7%) and the England average (78.6%). 2.5 The proportion of Rushcliffe’s employed population in occupation group 1-3 (e.g. managers, directors, professional and technical) was 56% during April 2017 – March 2018, compared to the East Midlands (41.5%) and Great Britain (45.8%) average. 2.6 The proportion of Rushcliffe’s employed population in occupation group 8-9 (e.g. machine operatives and elementary) was 9.2% during April 2017 – March 2018, compared to the East Midlands (20.6%) and Great Britain (16.9%) average. 2.7 The average weekly pay (2017) for Rushcliffe citizens working full time is £670.10 compared to that of Nottinghamshire (£536.60) and the England average (£555.80). 2.8 Job density, which is an indicator of labour demand, was 0.69 in Rushcliffe during 2016. This is in comparison to the East Midlands (0.80) and Great Britain (0.84) average. 2.9 Rushcliffe has a very low percentage of citizens aged between 16-64 with no qualifications; at 2.9% (Jan – Dec 2017) compared to that of Nottinghamshire (8.2%) and the England average (7.6%). 2.10 Conversely, Rushcliffe also has a high percentage of citizens aged between 16- 64 who are educated to degree equivalent or above; at 46% (Jan – Dec 2017) compared that of Nottinghamshire (30.9%) and the England average (38.3%). 2.11 The number of business births in Rushcliffe during 2016 was 625. This is higher 4 than previous years 2006 – 2014 where the average was 506, however, 2015 had a total of 1,185 business births. 2.12 The South Nottinghamshire (Broxtowe, Gedling and Rushcliffe) Growth in Gross Value Added (GVA) per head of population was 2.1% in 2016 compared to the United Kingdom (2.7%) and East Midlands (2.8%). 5 3. National, Regional and Local Context National Planning Policy Framework 3.1 One of the National Planning Policy Frameworks (NPPF) 12 core planning principles is to: “proactively drive and support sustainable economic development to deliver the homes, business and industrial units, infrastructure and thriving local places that the country needs”. It states that every effort should be made objectively to identify and then meet the housing, business and other development needs of an area, and respond positively to wider opportunities for growth. Plans should take account of market signals, such as land prices and housing affordability, and set out a clear strategy for allocating sufficient land which is suitable for development in their area, taking account of the needs of the business community. 3.2 The NPPF (paragraph 161) states that local planning authorities should use their evidence base to assess the needs for land or floorspace for economic development, including both the quantitative and qualitative needs for all foreseeable types of economic activity over the plan period, including for retail and leisure development. The existing and future supply of land available for economic development and its sufficiency and suitability to meet the identified needs should also be assessed. 3.3 The NPPF (paragraph 22) states that planning policies should avoid the long term protection of sites allocated for employment use where there is no reasonable prospect of a site being used for that purpose. Land allocations should be regularly reviewed. Where there is no reasonable prospect of a site being used for the allocated employment use, applications for alternative uses of land or buildings should be treated on their merits having regard to market signals and the relative need for different land uses to support sustainable local communities. 3.4 The NPPF (paragraph 51) states that local planning authorities should normally approve planning applications for change to residential use and any associated development from commercial buildings (currently in the B use classes) where there is an identified need for additional housing in that area, provided that there are not strong economic reasons why such development would be inappropriate. Local Enterprise Partnership 3.5 A Local Enterprise Partnership (LEP) has been established for Derby, 6 Derbyshire, Nottingham and Nottinghamshire (D2N2). The LEP’s vision is to make the D2N2 area one of the strongest and most resilient economic regions in the UK. Its strategic priorities are Business Support & Access to Finance, Innovation, Employment & Skills, Infrastructure for Economic Growth, and, Housing & Regeneration. The role of the Local Plan Part 2 will be to help ensure appropriate land and premises are available to support these strategic priorities. D2N2 Local Enterprise Partnership Strategic Economic Plan 3.6 Every action proposed in this Strategic Economic Plan (SEP) is aimed at achieving a target creating an additional 55,000 private sector employee jobs in D2N2 by 2023, shifting the balance to more private sector jobs. 3.7 The SEP is based on five strategic themes under which there are specific actions. The strategic themes are: Business Support and Access to Finance Innovation Employment and Skills Infrastructure for Economic Growth Housing and Regeneration 3.8 The SEP is already committed to supporting the delivery of strategic sites along the A46 corridor within Rushcliffe, with the ambition to deliver 3,500 homes and 200 jobs. In addition, under Infrastructure and Economic Growth theme, they are proposing to unlock housing and employment growth at the strategic allocation East of Gamston/North of Tollerton, and in the longer term investigate the feasibility to assess the role of a fourth Trent Crossing. Rushcliffe Corporate Strategy 3.9 One of the three key themes of the Rushcliffe Corporate Strategy is delivering economic growth to ensure a sustainable, prosperous and thriving local economy. It aims to achieve economic growth through a number of strategic tasks, including the operation of a growth board at a strategic level, and at West Bridgford, Bingham, East Leake and Radcliffe on Trent. The purpose of the Growth Boards, which have been set up, is to provide support for the development of existing and future businesses. In addition, a further strategic task contained within the Corporate Strategy is to contribute towards economic growth in the Borough, through: Facilitating the building of new industrial units; Delivering the ‘Growth Deal’ projects (A46 corridor: Cotgrave, Land North of Bingham, RAF Newton); and Unlocking employment sites in the Borough. 7 3.10 In the past year, the Borough Council has provided new business units at former Cotgrave Colliery, and at Cotgrave town centre. It is actively seeking further opportunities to provide additional business units across the Borough, in particular at key settlements. Local Plan Part 1: Rushcliffe Core Strategy 3.11 The Local Plan Part 1: Rushcliffe Core Strategy was adopted in December 2014. Spatial objective iii. of the Core Strategy is to ensure economic prosperity for all, by providing for new office, commercial, residential and other uses at sustainable urban extensions, and to a lesser extent in other sustainable locations across the Borough. Spatial objective v. of the Core Strategy
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