Transcript Leadership Team, Staff Briefing

Walsall Partnership
Consultation Event
8 February 2010
Resourcing of Public Sector
and its Response to the Recession
Paul Sheehan
Denise McLellan
Scale of the Challenge &
Underlying Causes of Decline
Economic Update
The region’s GDP per head fell below the UK
average in 1976 and has never regained that level
West Midlands GDP per head relative to UK (1971-1996)
105
100
Index (UK = 100)
UK = 100
95
90
85
80
In absolute terms, the regional economy has continued to grow (&
change), but the growth rate has not matched other regions
Sectoral Contribution to Regional GVA
2006
2005
2004
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
1993
1992
1991
1990
1989
Agriculture, hunting & fishing
Energy & water
Manufacturing
Construction
Distribution, hotels & restaurants
Transport & communications
Banking, finance & insurance
Public Administration, education & heath
Other services
0
10 000
20 000
30 000
40 000
50 000
60 000
Regional GVA
Notes : The sectoral breakdown provided is at the lowest level available
to produce a longer term time series comparison
70 000
80 000
90 000
100 000
Moreover, much of the region’s manufacturing base is skewed
towards low technology activities....
Proportion of Manufacturing FTEs to all FTEs
Sandwell
Walsall
Stoke on Trent
Herefordshire
Dudley
Worcestershire
Telford and Wrekin
Staffordshire




Shropshire
Wolverhampton
West Midlands
Birmingham
England
Warwickshire
Low-Technology
Medium-Low
Technology
Medium-High
Technology
High-Technology
Coventry
Solihull
-20%
20%
-15%
15%
Source: Annual Business Inquiry 2006
-10%
10%
-5%
5%
0%
5%
10%
15%
20%
Source: Labour Force Survey, 2007
2.0
0.0
London
4.0
South East
6.0
South West
8.0
East
10.0
East Midlands
12.0
North West
14.0
40.0
West Midlands
No Qualifications
North East
16.0
% of working age population with NVQ Level 4+
qualifications
18.0
Yorkshire &
Humber
West Midlands
North West
Yorkshire &
Humber
North East
East Midlands
London
East
South East
South West
% of working age population with no qualifications
Unskilled workers are relatively ‘immobile’ and act
as a ‘drag’ on regional performance
NVQ Level 4+ Qualifications
35.0
30.0
25.0
20.0
15.0
10.0
5.0
0.0