Economic Development Milton Keynes Council www.milton-keynes.gov.uk/council-business/ Milton Keynes: Local Economic Assessment January 2011 Table of Contents Page Chapter 1 Introduction ................................................................................................. - 4 - Chapter 2 Milton Keynes Economic Functional Area................................................ - 6 - Key Findings.............................................................................................................................................. - 6 - 2.1 The Milton Keynes Natural Economic Geography .............................................................................. - 7 - 2.2 Commuting Patterns.......................................................................................................................... - 10 - 2.3 MK Shopping Catchment Area.......................................................................................................... - 11 - 2.4 Functional Housing Market for MK.................................................................................................... - 13 - 2.5 South East Midlands Local Enterprise Partnership...........................................................................- 13 - 2.6 The Rural Economy........................................................................................................................... - 13 - Conclusions............................................................................................................................................. - 13 - Chapter 3 Business and Enterprise .......................................................................... - 14 - Key Findings............................................................................................................................................ - 14 - 3.1 Industrial Structure ............................................................................................................................ - 15 - 3.1.1 Business Units ........................................................................................................................... - 15 - 3.1.2 Employment by Sector in Milton Keynes ................................................................................... - 16 - 3.1.3 Sector Profile of MK Industries ..................................................................................................- 19 - i. Banking, Finance, Insurance .................................................................................................- 19 - ii. Retail, Distribution, Hotels and Restaurants.......................................................................... - 20 - Tourism ...................................................................................................................................... - 20 - iii. Public Administration, Education and Health ....................................................................- 20 - iv. Transport and Communications ........................................................................................ - 20 - v. Manufacturing ........................................................................................................................ - 21 - vi. Other Services...................................................................................................................- 21 - The Voluntary and Community Sector in Milton Keynes............................................................- 21 - Social Enterprise ........................................................................................................................ - 22 - vii. Construction....................................................................................................................... - 22 - 3.2 Enterprise and Innovation ................................................................................................................. - 23 - 3.2.1 Industry Location Quotient......................................................................................................... - 23 - 3.2.2 Business Registrations and Survival Rates............................................................................... - 23 - 3.2.2 Business Deregistration............................................................................................................. - 25 - 3.2.3 Net Business Change ................................................................................................................ - 25 - 3.2.4 Registered Stock at Year End ...................................................................................................- 26 - 3.3 Business Needs ................................................................................................................................ - 27 - 3.3.1 Business Needs Survey 2010....................................................................................................- 27 - Conclusions............................................................................................................................................. - 29 - Chapter 4 Economic Performance ............................................................................ - 30 - Key Findings............................................................................................................................................ - 30 - 4.1 Gross Value Added ........................................................................................................................... - 30 - 4.2 Knowledge Based Industries............................................................................................................. - 33 - 4.3 Earnings ............................................................................................................................................ - 35 - Conclusions............................................................................................................................................. - 36 - Table of Contents Chapter 5 People and Communities.......................................................................... - 37 - Key Findings............................................................................................................................................ - 37 - 5.1 Milton Keynes Population.................................................................................................................. - 38 - 5.1.1 Population by Ward.................................................................................................................... - 41 - 5.2 The MK Labour Market...................................................................................................................... - 41 - 5.2.1 Working Age Population in MK ..................................................................................................- 42 - 5.2.2 Self Employment........................................................................................................................ - 43 - 5.2.3 Occupational Structure .............................................................................................................. - 44 - 5.3 Job Vacancies in Milton Keynes ....................................................................................................... - 45 - 5.3.1 Job Vacancies by Occupation ...................................................................................................- 46 - 5.3.2 Job Vacancies by Industry......................................................................................................... - 46 - 5.3.3 Job Density ................................................................................................................................ - 46 - 5.4 Learning and Skills............................................................................................................................ - 46 - 5.4.1 Qualifications ............................................................................................................................. - 46 - Conclusions............................................................................................................................................. - 49 - Chapter 6 Economic and Social Exclusion .............................................................. - 50 - Key Findings............................................................................................................................................ - 50 - 6.1 Unemployment .................................................................................................................................. - 51 - 6.1.1 Unemployment by Gender.........................................................................................................- 53 - 6.1.2 Unemployment by Age and Ethnicity MK .................................................................................. - 54 - 6.1.3 Ward Unemployment ................................................................................................................. - 55 - 6.1.4 Long Term Unemployment ........................................................................................................- 55 - 6.1.5 Young People not in ‘Education, Employment or Training’ (NEET) .......................................... - 56 - 6.2 Social Exclusion ................................................................................................................................ - 58 - 6.2.1 Benefits Trends.........................................................................................................................