Glasgow City Council . Kevin Rush Head of Economic Development Glasgow City Council.

Glasgow City Council

www.glasgow.gov.uk

Kevin RushHead of Economic Development




“Glasgow is the principal powerhouse of the Scottish economy; the cultural, sporting, engineering and academic heart of the country; and we’re now one of Europe’s top financial centres.

“We have a remarkable business tourism sector and we’re the number one retail destination in the UK outside of London. We have a highly educated workforce and, in recent years, Glasgow is the only major city in the UK where youth unemployment has fallen.”- Councillor Gordon Matheson


CHALLENGES• Health• Employment• Deprivation• Business Survival• A Glasgow Effect?


SUCCESSES• High skill level – 40% of population with

degree-level qualifications or above (Manchester – 32%, Birmingham - 25%).

• Highest wage rate per head of 10 biggest UK cities outside London.

• UK business startup hotspot• Educational attainment at all-time high• 80,000 new jobs in city between 1995 and

2008


Male Life Expectancy


Healthy Life ExpectancyLife Expectancy vs Healthy Life Expectancy* at Birth, Males , 1999-2000

Source: ISD Scotland

53.846.7 46.8 46.8 48.3 50.5 52.6 53.2 53.6 53.8 56.5 58.5

19.2

21.8 25.8 24.9 22.5 19.620.2 17.8 20.8 19.2

19.7 17.6

0

10

20

30

40

50

60

70

80

West of Scotland Council Area

Lif

e E

xpec

tan

cy a

t b

irth

HLE at birth Years of life with a LLI* defined as absence of Limiting Longterm Illness (LLI)


Life ExpectancyEstimates of male life expectancy, least and most deprived Carstairs quintiles, 1981/85 -

1998/2002 (areas fixed to their deprivation quintile in 1981)Greater Glasgow

Source: calculated from GROS death registrations and Census data (1981, 1991, 2001)

72.2

76.2

65.364.8 64.4

69.4

71.2

73.373.9

60

65

70

75

80

85

1981-1985 1988-1992 1998-2002

Es

tim

ate

d li

fe e

xp

ec

tan

cy

at

bir

th

Males -Dep Quin 1 (least deprived)

Males - Dep Quin 5 (most deprived)

Scotland Males


STRATEGIC PLAN5 Priorities:• Economic Growth• World Class City• Sustainable City• City that looks after its vulnerable people• A Learning City


WORLD CLASS CITY• Free entry to museums• Year of Glasgow – Commonwealth Games, MTV

Europe Awards, BBC SPOTY• Longer funding for 3rd sector• Fund 100 police officers• Anti-poverty strategy• Free access to sport facilities for certain groups


SUSTAINABLE CITY• District Heating systems• Affordable Warmth Strategy• Green Capital Bid• Strategic Plan for Cycling


A city that looks after its vulnerable people

• Guarantee all care leavers a job or college place and provide support to help them sustain it

• Alcohol – work with community planning partners (SOA)

• Carers’ Champion• Carers’ card


A LEARNING CITY• Rebuilding or refurbishing every Primary and ASL

school in the city• Increase Family Learning Centres• Extension of childcare• Improve quality of teaching & learning• Increase number of pupils studying science• Work with college principals to attract more

funding to the city


ECONOMIC GROWTH

The challenges

Glasgow City Council - Employment / Unemployment

• Glasgow’s employment rate suffered over the most recent recession - falling by 5.8% in comparison to a Scottish fall of 2.9%, and a UK fall of 1.5% over the same time period.

• Similarly, Glasgow’s youth unemployment rate suffered significantly – increasing by 11.5% more than the UK average, and 10.3% more than the Scottish average

Employment Rates

Date Glasgow Scotland UK

2008 65.5% 73.5% 72.1%

2009 62.6% 71.9% 70.5%

2010 62.1% 71.0% 70.1%

2011 63.8% 70.7% 70.0%

2012 59.7% 70.6% 70.6%

Youth (16-24) Unemployment Rates

Date Glasgow Scotland UK

2008 15.0% 13.6% 15.0%

2009 16.5% 16.8% 18.8%

2010 22.1% 18.6% 19.3%

2011 23.7% 21.5% 21.0%

2012 32.4% 20.7% 20.9%


YOUTH EMPLOYMENT• Post-recession, Glasgow’s youth employment rate had a higher recovery than

the UK and Scottish averages

• Similarly, the overall employment figure has increased by 3.6% in the last year (Scotland +0.4%, UK +0.7%)

2012 2013 % change

Glasgow 34.0 41.4 7.4

Scotland 53.2 52.6 -0.6

UK 49.7 49.8 0.1


YOUTH UNEMPLOYMENT• Glasgow’s youth

unemployment level fell by 7.9% between 2012 and 2013 – a full 7.8% more than the Scottish average, and 7.1% more than the UK equivalent.

Youth (16-24) Unemployment Rate

10

15

20

25

30

35

2008 2009 2010 2011 2012 2013

Date

Rate

Glasgow

Scotland

UK

2012 2013 % change

Glasgow 32.4 24.5 - 7.9

Scotland 20.7 20.6 -0.1

UK 20.9 20.1 -0.8



School Leaver Destinations• 89.2% of Glasgow’s

school leavers in 2012/2013 journeyed into a positive destination – gap has closed consistently over last 5 years

• But, follow up report in February is less positive. More school leavers drop out of positive destination than rest of Scotland

Glasgow School Leaver Destinations 12/13

31%

27%

8%

19%

4%

11%

Higher Education

Further Education

Training

Employed

Other Positive Destination

Negative Destination


Business SustainabilityCity 1 year survival rate (%)

3 year survival rate (%)

Aberdeen 96.7 68.4Birmingham 95.9 62.4Edinburgh 96.0 63.5Glasgow 95.3 60.3Liverpool 95.6 63.1Manchester 96.6 61.7


Economic Development challenges

• Youth unemployment going in right direction – but still too high

• Long term youth unemployment the real issue• Underemployment a major issue• Business sustainability lower in Glasgow than

anywhere else in UK• School leavers fall away after initial positive

destinations


ECONOMIC GROWTHGlasgow Guarantee

• Worth £8million per year

• Commonwealth Apprentice Initiative – focus on school leavers

• 50% wage subsidy for employers for 1 year

• Commonwealth Jobs Fund – 18-24 and 50+

• Commonwealth Graduate Fund – unemployed/underemployed

• Commonwealth Youth Fund – 16-19 year olds

• 5000 young people into work or apprenticeships since 2009


ECONOMIC GROWTH• Co-operative Council• Science Expo• Glasgow Living Wage• Urban Wireless


ECONOMIC GROWTH – GLASGOW CITY DEAL

• First of its kind in Scotland• Glasgow City-Region• Aims for £1bn investment• Three strands:

– Infrastructure Fund– Labour Market– Private Sector Growth


Resources spent on employability support (16-24 year olds) and business growth (2013/14) – GCC and ALEOs

24.8

1.60

5

10

15

20

25

EmployabilitySupport - 16-

24

BusinessGrowth

2013/14 (£m)


Solutions - Business Support• Shift focus from start-up to stay-up

– Increase business sustainability support– Account management

• Glasgow Enterprise Board– Charged with increasing business base

• Business mortality particular issue in Glasgow– Business Transfer Loan Fund

• Supporting business incubation– Series of incubators across city (ESpark, Digital Enterprise

Glasgow etc.)– Need for greater post-incubation support

• Asking more of businesses we support


Solutions - Employability• GCC Youth Employment Review• Mapping of services• Strategic interventions – not all delivering

same thing• Glasgow Guarantee review – getting young

people, employers involved


Youth Unemployment• Is employability the answer?• Should we do more to stimulate growth?• Do we ask enough of businesses we support?• Is long-term unemployment/underemployment

the real issue?• Resources not the issue. But in the right place?• Do we involve the right people in service design?


[email protected]

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Glasgow City Council . Kevin Rush Head of Economic Development Glasgow City Council.

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