Coronavirus delivery plan - Updated: February 2021 - Humber LEP
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Contents 2 Introduction 3 Support for businesses 6 Support for people 11 Infrastructure investment 14 Wider actions 15 For further information please go to Key used in this document * Subject to bid outcome www.humberlep.org/coronavirus ** Subject to expected Government funding HEY Hull & East Yorkshire only
Introduction Introduction 3 As we update this Delivery Plan, at the start of However, there are grounds for some optimism. Before The first two months of 2021 have seen our work with February 2021, England is in a third national the pandemic struck, the Humber was making good industry to develop a plan for decarbonising the Humber lockdown and many businesses are again closed. progress. We had recently experienced record industrial cluster get under way, and the development of employment levels. Over recent years, our region had an ambitious consortium bid for a Humber Freeport. Although at the time of writing we do not know when our welcomed a series of major business investments, from economy will be able to fully reopen, the ongoing rollout international R&D centres to new manufacturing, and We are also continuing to deliver and fund services that of vaccines gives us hope that it will be possible for the had become established as the UK’s leading hub for the are supporting people and businesses across the Government to ease restrictions again in the months growing offshore wind sector. The Energy Estuary had Humber through the pandemic, and working with our ahead. a bright future ahead in making an essential contribution partners on the Humber Economic Resilience Group to to the UK’s goal of achieving net zero carbon emissions share information and co-ordinate the local economic In the meantime, the scale of the economic challenge response. The key measures are set out in this plan. ahead of us grows by the day. by 2050. The coronavirus pandemic has not changed the long- Ahead of the transition to new LEP arrangements on Some businesses have had little to no revenue for the Humber on 31 March, we are also working to almost a year, surviving on savings, Government grants term potential of the Humber economy or its strategic importance to the UK. ensure a smooth handover to our successor and loans that will eventually have to be repaid. The organisations – the new Hull & East Yorkshire LEP and proportion of people claiming unemployment support Throughout the lockdowns and national and regional the Greater Lincolnshire LEP – so that this work can rose from 4.0% in March 2020 to 6.6% in October, but restrictions, work has continued on business continue. is higher in Hull at 9.5%. Unfortunately, we are likely to investments and public infrastructure projects that will see many more business closures and people made help to transform our future. As they come to fruition, We welcome feedback on this plan and want to work unemployed in the months ahead. they will also now help to stimulate our economic with organisations across the region to deliver it. You recovery from this crisis. can contact us at covid19@humberlep.org and visit our Analysis by Hatch for the Humber LEP shows that, website at www.humberlep.org/coronavirus for the based on an estimated 14.4% loss of Gross Value The strategic vision the region set out together in the latest information. Added (GVA) in 2020 (compared with 11.3% nationally), draft Humber Local Industrial Strategy – for more clean the region would need to treble its historic growth rate growth and new manufacturing linked to our ports – is By continuing to work hard together, we aim to ensure of 1% over the last nine years in order to recover lost still the right one. We, and organisations across the that our economy emerges from this crisis in the best ground by 2030 – an enormous challenge even without region, are still working towards it. possible shape for the future. maintaining social distancing and other restrictions.
Impact on the Humber Introduction 4 £ £ The coronavirus pandemic has had an unprecedented impact on economies around the world. While the initial economic impact on the Humber of the UK-wide lockdowns and restrictions that began on 23 March 2020 is now becoming clearer, the implications 16% 1 in 2 1,100 6,400 businesses closed businesses businesses with less businesses with one will be felt for years to come. suspended trading plan to reopen this than one month’s cash to three months’ cash The Humber’s critical industries – including the ports, month reserves reserves energy generation, oil refining, chemicals production, agriculture and food manufacturing – have operated throughout, serving the nation with power, food and essential goods. So too have businesses providing essential services such as care, food retail and telecommunications, and many other businesses found a way to adapt to keep 19,965 105,000 24,700 35% increase in people people furloughed people receiving Self of the working trading, whether by implementing social distancing in factories or introducing homeworking on a scale never claiming out of work Employed Income population receiving seen before. benefits (May 2019- Support support May 2020) However, a great many businesses were forced to temporarily close for periods of time, and across the Humber over 105,000 people were placed on furlough. 24% 47% 86% 17% 18-24-year-olds average fall in people fall in commercial estimated loss of GVA furloughed vs. 15% in their workplaces property transactions in 2020 from single Data sources: overall (56% nationally) (Jun 2019-Jun 2020) lock-down (15% HMRC, DWP, ONS and Hatch estimates and analysis nationally)
Responding to the economic crisis Introduction 5 Organisations across the Humber came together to The Humber LEP also worked with partners to launch support businesses and residents through the coronavirus pandemic. the Humber Jobs Fuse service, matching people with vacancies, and a support portal for businesses to offer 196 help to the local emergency response – backed up by offers to help with PPE and other key In the first phase, the Humber emergency response warehousing capacity donated by two local businesses. was co-ordinated through two groups working closely supplies via the LEP’s portal together: The Humber Business Growth Hub kept local • The Humber Local Resilience Forum (LRF), a multi-agency partnership made up of representatives organisations up to date with over 100 different sources of Government and local support, and has so far informed Government of over 650 issues raised by 3,130 from local public services, the emergency services, items of PPE donated via the central individual firms. local authorities, the NHS, the Humber LEP, hub Environment Agency and others. It has been At the local level, in addition to their role in managing enabling a systematic, planned and co-ordinated approach to responding to all aspects of the Covid-19 response in the area, strengthening local resilience the public health emergency, Humber local authorities had by September issued over 17,900 Government grants totalling over £200m to businesses and – as 3,000 Easter Eggs donated and distributed through multi agency collaboration. partners in the Humber Business Growth Hub – had responded to thousands of business enquiries. to key workers and food banks • The Humber Economic Resilience Group (HERG), convened by the Humber LEP and including business membership and support organisations and local Despite the unprecedented economic impact coronavirus had on our economy during this time, 14,037 authorities, co-ordinated the economic response. businesses across the Humber stepped forward to help enquiries handled by the Growth Hub HERG helped more businesses find support and the emergency response – donating PPE equipment 26th March to 31st December 2020 guidance, redirected local resources to help and food to those most in need, innovating to rapidly businesses most in need, and gathered intelligence on the economic impact of the crisis to share with local decision-makers and Government. manufacture new PPE equipment to address supply shortages, and working hard to support the communities they serve, including keeping essential 120 Growth Hub grants, worth £332,980, businesses open. As part of this, HERG brought together OneHumber made to support SME home working week – a programme of over 30 free events organised This help from businesses complemented the by 17 organisations at the beginning of June 2020 that enabled hundreds of businesses to come together and share knowledge to support them to rethink and rebuild exceptional work done by people in our local NHS and care services, local authorities, emergency services, military, charities and other organisations, together with 1,561 together. countless individual volunteers, to keep us as safe as participants in 66 Growth Hub possible in extraordinary times. coronavirus recovery webinars
Covid-19 adaptation Support for businesses 6 Objective: To ensure businesses can access the guidance and support required to enable them to trade where possible, and to make necessary adjustments to ensure their longer term viability Issues to address How the LEP will add value • Social distancing impact Existing delivery New delivery Future options • Lower & uncertain demand • Comms to raise awareness Starting in 2020/21 • Some sectors may take of guidance and support • £1-3k consultancy / minor longer to recover – • Liquidity equipment grants for SMEs advocate extended/bespoke • 1:1 Growth Hub advice via Growth Hub (£143k visitor support • Supply chain disruption • Growth Hub #GrowMySME economy + £358k general) • Redundancies • Ongoing exploration of webinar programme • Modification of Humber High supply chain development Partner delivery • Growth Hub #GrowMySME Street Challenge Fund to and innovation opportunities support city/town centre • Business intelligence and grants for consultancy • Many SMEs are fully adaptation comms led by HERG • Humber Jobs Fuse – leveraged and will need • Growing Hull & East recruitment/redundancy targeted support to maintain • Range of Government- Yorkshire capital grant support cashflow whilst honouring backed financial support scheme (£1.5m over 18 months) HEY their loan covenants • Range of membership • Supply Chain Network organisation services (part-funded by Growth 2021+ Hub) • Growth Hub support package • Local authority grants, for Visitor Economy SMEs advisors and city/town • Regulator engagement (specialist advisors and centre reopening plans through BBfA Humber workshop/events series)
Start-ups Support for businesses 7 Objective: To encourage and support the increased creation of new businesses, and provide ongoing support for start-ups to improve longer term survival rates Issues to address How the LEP will add value • Lower than average start- Existing delivery New delivery Future options up, scale-up and survival Starting in 2020/21 • Resources on Growth Hub • Partnership to provide a rates in the Humber website • New Growth Hub start-up “welcome package” for new • Likely increased interest in advisors (3) businesses • Growth Hub ICT Business starting businesses Start Up Grants of £1,000 • Programme of start-up • Partnership to promote • Shortage of start-up support for businesses under 12 webinars and peer support entrepreneurship and in some areas months old sessions entrepreneurial skills at all ages Partner delivery • Pre-start support not • Start-up toolkits and digital currently eligible under resources • Partnership approach to • Advisors in some local Growth Hub contracts graduate enterprise authorities, Hull Central • Marketing campaign to Library, e-Factor & Sirius encourage start-ups • Proactive identification and support of potential high- • Start-up Loans & support • Promotion of new start-ups growth start-ups (Acorn Fund, BEF, SULCO) in partnership with media • New Enterprise Allowance 2021+ (DWP) • Continue the above if funding is available HEY • Peer support (FEO)
SMEs: Business advice and funding Support for businesses 8 Objective: To ensure Humber SMEs can access impartial business advice and appropriate funding options to support their growth and productivity Issues to address How the LEP will add value • Existing lower than average Existing delivery New delivery Future options growth rates Starting in 2020/21 • Core Growth Hub advice • Potential to explore • Limited take-up of and signposting service • Peer Networks Programme alternative funding alternative finance structures and sources in • Growth Hub #GrowMySME • EU Transition Support the future • Limited availability of programmes (business • Growing Hull & East support for productivity growth, finance & ICT) – Yorkshire capital grant improvements general & specialist scheme (£1.5m over 18 advisors, workshops, grants Partner delivery months) HEY and sector, scale-up & 2021+ • Advisors in local authorities, supply chain development e-Factor & Sirius • Renewal of core Growth Hub • Business Loan Fund (for capacity ** HEY • Range of support available capital activity) • Extension of #GrowMySME from membership • Growing the Humber capital business growth and finance organisations, consultants grant programme (fully programmes to June 2023, & Government agencies allocated) and ICT to March 2022 • Northern Powerhouse • Humber Enterprise Zone • New & refurbished managed Investment Fund workspace HEY
SMEs: Workforce support Support for businesses 9 Objective: To support Humber SMEs to upskill, reskill and expand their workforces Issues to address How the LEP will add value • Lower than average skills Existing delivery New delivery Future options levels in the region Starting in 2020/21 • Humber Jobs Fuse – • Devolution could provide • Need for upskilling to support to promote • New Growth Hub workforce additional resources and support digitalisation and vacancies and respond to development advisor greater flexibility over how productivity improvements redundancies budgets are used to support • Leadership & Management, upskilling and reskilling • Likely displacement of • Skills Support for the Digital and 50+ skills workers in the recession Workforce (SSW) support (subject to outcome • Many existing SME Programme – fully funded of recent ESF calls)* programmes are ESF- • Leadership & management upskilling training and funded, so their skills gap • 50% expansion of existing development (funded by continuation/replacement Partner delivery SSW contract Humber ESF) will depend on the 2021+ successor to European • Range of commercial training • Growth Hub #GrowMySME services available funds workforce development • Extension of Growth Hub • Skills for Growth programme workshops & grant funding workforce development (Hull) to engage with workforce advisor role HEY • Kickstart Scheme development consultants • Women in the Workforce Intermediaries (subject to outcome of ESF • DWP & JCP call)
Large businesses Support for businesses 10 Objective: To support large businesses to grow, reinvest and recruit, and to encourage the development of local supply chains Issues to address How the LEP will add value • Exposure to global Existing delivery New delivery Future options decisions and Brexit impact Starting in 2020/21 • Relationship approach • More structured joint • Skills shortages, • Additional Key Account engagement with large • Business Loan Fund recruitment issues and Management capacity for businesses reduction in apprenticeships • Humber Jobs Fuse – foreign-owned businesses • Apprenticeship/T level support to promote • New Growth Hub workforce placement matching service vacancies and respond to development advisor using new funding redundancies mechanisms Partner delivery • Humber Enterprise Zone • Local authority key account incentives management • Single Conversation 2021+ • Bespoke training and approach to planning on • Extension of the above* recruitment response to major developments • New Growth Hub major investments • Supply Chain Network consultancy framework*
People in work Support for people 11 Objective: To support people in work to progress, upskill and retrain where necessary to maximise the current and future workforce Issues to address How the LEP will add value • Low skills and low pay levels of Existing delivery New delivery Future options Humber workforce in comparison to Starting in 2020/21 national data • SAP data analysis and • Apprenticeship / T Level • Maximisation of government financial workshops provided to • Leadership & Management, matching service to support mechanism influence skills provision, Digital, Mental Health,50+ maximise levy funding • Unspent Apprenticeship Levy linking to growth sectors. skills support and Women in • Use of UKSPF to address This work will contribute to the Workforce (subject to • Low levels of digital new training needs confidence/competence is some the national Skills and outcome of recent ESF business organisations Productivity Board calls)* • Maximise contributions • from the AEB under the Physical and mental health • Current ESF programmes • Growth Hub Workforce flexibilities developed to e.g. SSW Development Adviser Partner delivery support the Hull and East (Apprenticeships, • Local Digital Skills Riding Combined Authority • T level roll out from Sept 2020 Traineeships and T levels) Partnership pilot • Lifetime Skills Guarantee – • Institute of Technology – new level • Bidding for DWP Mid-Life four/five provision access to free level 3 MOT pilot Jan 21 working • training for adults Higher and Degree level with NCS, PHE (via Active apprenticeships delivery Humber) and MaPS • Roll-out of Digital and • Action to improve workplace health Technical Skills Bootcamps • CITB/ECITB training packages • Green Energy Skills Prog
People seeking work Support for people 12 Objective: To support those looking for work by minimising individuals’ gaps in employment, upskilling longer term benefit claimants and encouraging employers to consider a more diverse workforce Issues to address How the LEP will add value • Rise in unemployment, including Existing delivery New delivery Future options youth unemployment and people aged 50+; likely impact on female • CEC careers programmes, Starting in 2020/21 • Funding for extension of workforce linking careers to Humber Humber Jobs Fuse to full • Leadership & Management, • ESA, people with disabilities, physical sectors for young people Digital, Mental Health, 50+ skills matching service, working with and mental health conditions and entering the workforce this year, support and Humber Youth existing & new partners other disadvantaged groups supporting high quality careers Employment Support (subject to education • UKSPF funds to deliver • Low skills levels including digital outcome of ESF calls / bids to interventions to targeted groups exclusion, skills and confidence • ESF current programmes e.g. ESF Reserve Fund) e.g. supporting people with YEI, Springboard, Community • New Growth Hub workforce disabilities, health conditions Grants & SSU development advisor promoting and other priority groups. Partner delivery • Humber Jobs Fuse – careers Apprenticeship, Traineeship • Lobby for more flexibility with • JCP - Youth Hubs and Employment advice/promotion of vacancies subsidies and T levels provider use of AEB. Hubs • Signedup Skills – Humber • Funding for extension of Local • DWP/DfE ‘Plan for Jobs’ initiatives Opportunities Portal access to Digital Skills pilot and subsidies - Kickstart, JETS, jobs, training and Restart, apprenticeship opportunities • Lifetime Skills Guarantee – • NCS adult career advice access to free level 3 training • 50% Increase of Skills Support for adults from April 21 • Health and wellbeing sector action to for the Unemployed and address barriers to work Community Grants ESF • Roll-out of Digital and Technical contracts Skills Bootcamps
People in education Support for people 13 Objective: To maximise the education and skills levels of people in education or training to support people into good jobs with positive career prospects Issues to address How the LEP will add value • Covid disruption to learning delivery Existing delivery New delivery Future options will require significant support Starting in 2020/21 interventions • Apprenticeship Working • Apprenticeship Hub / • GCSE English and Maths Group seeking Government • New Growth Hub workforce matching service achievement levels low policy flexibilities development advisor • UKSPF to fund specific • No of people qualified to Level 4+ (apprenticeships, • CEC work to raise English and Maths support • traineeships and T levels) Employer understanding/use of awareness of Humber within existing providers Apprenticeship Levy sectoral opportunities (to • Work Experience – Partner delivery • Relaunch of Skills Pledge 2021) increasing capacity of • Institute of Technology SMEs to provide • National Skills Fund – right • Partnership work with the • Range of higher and degree level placements for schools and to retrain/apprenticeships Humber Outreach apprenticeships colleges (approved – programme • A ‘Plan for Jobs’ - employer subsidies starting imminently) for apprenticeships and traineeships • Growth Deal Skills Capital and Lifetime Skills Guarantee • Graduate Internship ESF Programme Programme – Hull • Health and wellbeing sector action to address barriers to education and University commencing training delivery 20/21
Infrastructure investment Infrastructure 14 Objective: To support investment that improves the quality of infrastructure in the Humber and supports continued employment in the construction sector Issues to address How the LEP will add value • Coronavirus disruption to Growth Deal Getting Building Fund HEY Other activity construction schedules Under construction during 2020/21 Starting in 2020/21 • Feasibility funding for • Congestion, transport • River Hull flood defences • Hull and East Yorkshire Ferriby/Melton Parkway network resilience and Highways Resilience station • Cleethorpes and Grimsby access to employment Programme regeneration • Single Conversation • Availability of sites and • RaisE Business Centre and process for major • Stoneferry Road corridor premises Innovation Hub, Goole developments highways improvements • Flood risk • Ings accelerated housing • Project pipeline • A180 improvements delivery development • Housing market renewal • Delivering Housing Growth • Wawne 2 accelerated • Ongoing partnership activity • City and town centre in Hull 2 with local authorities, housing delivery regeneration • Priory Park road upgrade Transport for the North and • Hull & East Yorkshire Cycle Partner delivery Environment Agency to • Humber High Street Route Delivery Programme progress major projects • All projects are delivered by Challenge Fund Phase 1 partners, alongside their • • Brough Relief Road Ph. 3 Managed workspace wider capital programmes programme (Beverley and • Skills capital projects Hull)
Strategic opportunities Wider actions 15 Below are some of the priority wider actions we are taking in 2020/21 to deliver on the strategic opportunities outlined in the draft Humber Local Industrial Strategy. Clean Growth • Working with CATCH and industry partners on the Humber Cluster Plan, a roadmap for decarbonising the Humber industrial cluster, which could lead to new Carbon Capture & Storage and hydrogen production • Working with the offshore wind sector to develop a prospectus for the next stage of its development in the Humber and supporting implementation of the agreed actions Ports & Manufacturing • Responding to the Government’s Freeport consultation and contributing to the Humber Freeport bid consortium • Supporting the Supply Chain Network through the Growth Hub Knowledge Economy • Supporting the expansion of C4DI in Hull through our Growth Deal (currently under construction)
Foundations of productivity (1) Wider actions 16 Below are some of the priority wider actions we are taking in 2020/21 to support the foundations of growing the Humber economy, as outlined in the draft Humber Local Industrial Strategy. Ideas • Supporting the Spark Fund, Aura Innovation Centre and Flood Innovation Centre delivered by the University of Hull through the Humber ERDF programme People • Growth Deal investment in new training facilities for construction, engineering, process industries and energy • Partnership activity to deliver the Employment and Skills Strategy Infrastructure • Ongoing Growth Deal investment
Foundations of productivity (2) Wider actions 17 Business Environment • Ongoing delivery of the Humber Business Growth Hub, Growing the Humber grant programme and Business Loan Fund • Growth Deal investment in new business space in North East Lincolnshire • Support for a range of business support activities and the Northern Powerhouse Investment Fund through the Humber ERDF programme • Partnership work with regulators and planning authorities through Better Business for All Humber and the Single Conversation Places • Growth Deal investment in priority city and town centre locations through the Humber High Street Challenge • Growth Deal investment to enable new housing in Hull • Growth Deal investment in Grimsby and Cleethorpes regeneration projects • Working with local authorities to support Town Deal proposals for Grimsby, Scunthorpe and Goole
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