Romney Marsh Economic Impact

Assessment and Socio-Economic

Action PlanAction PlanChris Paddock

Regeneris Consulting

SSG - 12th October 2011

Our Work

1. Produce an impact study determining the nature, scale

and timing of socio-economic impacts arising from the

decommissioning of nuclear power stations in

Dungeness.

2. Prepare an action plan identifying a programme of 2. Prepare an action plan identifying a programme of

activity which can contribute to the sustainable

economic development of Romney Marsh.

Economic Impact of Dungeness A

• Currently 406 FTEs on site, compared to 434 in the last

year of power generation.

• Dungeness A accounts for 20% of all jobs in Lydd Ward

and 8% for the whole of Romney Marsh.

• A and B combined account for roughly 45% of jobs in

Lydd ward and around 20% of Employment of Romney

Marsh.

• Around 65% of employees live in Romney Marsh

(although this has dropped since 2004)

A Regional Impact

Employment Impacts

368

431

200

250

300

350

400

450

500

Direct Employment on Site (Headcount)

• lkjh

31

136

0

50

100

150

2005-6 2006-7 2007-8 2008-9 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate of

Annual

Value 2019-

2023

Estimate of

Annual

Value 2023-

2027

Estimate of

Annual

Value

after2027

Power Generation Defuelling Optimised Care and Maintenance Preparations Interim

Care and

Maintenance

Remaining

Care and

Maintenance

Preparations

Care and

Maintenance

Direct Employment on Site (Headcount)

Direct Employment on Site (employed by Magnox only) - Headcount Direct Employment on Site (including Agency and On Site Sub Contractors) - Headcount

Operation (to

Dec ‘06)

GVA Impacts

£17.5

£34.1

£10

£15

£20

£25

£30

£35

£40

£ million

• Dungeness B currently contributes c. £29m pa direct GVA this could increase with decommissioning

• Scaling up suggests that currently activity on A and B site could be worth over £80m in GVA (Direct and Indirect GVA)

£2.2£3.2

£0

£5

Avergae for 2010-11 Average 2011 to 2019 Average 2019-2023 Average 2023-2027 Average 2027 and Beyond

Last Financial Year Optimised Care and

Maintenance Preparations

Interim Care and

Maintenance

Remaining Care and

Maintenance Preparations

Care and Maintenance

Direct GVA Supported Total GVA Supported (Including Direct, Indirect and Induced)

Average

Other Findings

• Supply chain generally regional or national with no large contracts

awarded within the immediate vicinity (although some small to

medium.

• ....however, Dungeness A and B buy around £4.5m worth of goods and

services within a 60mile radius.

• Total GVA per head is between £50,000 and £70,000 compared to:

› Regional average – c.£40,000

› Retail Sector – c. £22,000

› Sports recreation and tourism – c. £16,000

› Crop and animal production – c. £4,000

Socio-Economic Background - Population

• Romney Marsh has an older population than Kent, SE and UK:

› 26% of residents are under 24 compared to 32% in the South East

› By 2026 one in three residents will be over 65

• Proportion with higher level qualifications below the national and

regional average.

• Romney Marsh is a ‘Remote Rural’ location made more isolated

by the fact that a relatively high proportion (24%) don’t have

access to a car.

• Persistent issues of unemployment and ‘hidden deprivation’ (i.e.

At sub-SOA level).

Education Deprivation

Business and Economy

• Employment base reflects the reliance on nuclear power and associated industries.

• Employment has decreased 6% post recession (compared to 2% in UK).

• Business base is shrinking albeit in line with • Business base is shrinking albeit in line with national/regional trends.

• Self-employment in Shepway is higher than national average but lower than Kent and the South East.

• Romney Marsh experiences significant daily out-migration.

Principles of the Socio Economic Plan

• Acknowledge the long term nature of the project

• Recognise the importance of young people to the future of Romney Marsh

• Communication of clear messages both internally and externally

• Deprivation - Acknowledge phenomena and challenges that exist beyond the statisticsbeyond the statistics

• Focus on Innovation and New Approaches

• Acknowledge the Need to Continue to Lobby for Dungeness C

• Recognise the importance of Ashford and Folkestone

• Ensuring there is Greater Recognition of Romney Marsh as a destination...

› ...but acknowledge functions of different places within the area.

Socio-Economic Strategy

• Building the FE Offer in Romney Marsh

• Travel to Work and Education

• Delivery of Enterprise Centre at New

Romney

Quick Wins (2012 - 2013) Longer Term Projects (2015

Onwards)

ESTABLISH AND

AGREE

CONSTITUTION

OF PARTNERSHIP

GROUP

Immediate (2011 -

2012)

VISIBLE INTERVENTIONS TO

SECURE PARTNER AND

COMMUNITY INVOVLEMENT

• Building the FE Offer in Romney Marsh

• Business Grant Programme

Medium Terms (2013- 2016)

PROJECTS THAT REQUIRE SOME

FRONT END WORK AND

DEVELOPMENT

BIGGER PROJECTS BUILD UPON

PREVIOUS MOMENTUM

Preparation Core Period of Delivery and ImprovementConsolidation of Socio-

economic Improvement

Significant Impact of

Decommissioning

• Travel to Work and Education

• Enterprise Education

• Self-Developed Projects Fund

• Town Centre Discount Project

• Youth Cafe

• Optimised Use of Family Inclusion

Centre

• Romney Marsh Food Project

Romney

• Improved Broadband Access

• Acknowledged FE Offer in New Romney

• Energy to Engineers

• Skills for Decommissioning

• Job and Experience Brokerage

• Enterprise Facilitation

GROUP

Responding and Preparing for the Impact of Decommissioning (2012 –

2016)

SPECIFIC INTERVENTIONS AIMED AT MITIGATING THE IMPACT OF

DECOMMISSIONING

• Delivery of ‘immediate

next steps’ as outlined

within the plan

• Undertake necessary

recruitment or

reorganisation of

resources

• Bid for funding

• Business Grant Programme

• Establish the Visitor Brand

• Response to potential growth in

Aviation and Health and Social Care

Sectors

• Expansion of Youth Café functions

• Community Garden

Headline Interventions

• A New Partnership Structure

› A new high level group to lead on issues related to economic

development and regeneration in Romney Marsh

• Priority Area 1: Supporting Local Employment

Opportunity:Opportunity:

› Reskilling for decommissioning and for other opportunities in

the region

› Improved adult education

› Better brokerage of job and work experience

› Better transport to work and education

Headline Interventions

• Priority Area 2: Supporting Diversification in the Local

Economy

› Highly targeted 1 to 1 ‘Enterprise Facilitation’

› Business Grant Funding

› Enhanced Enterprise Education in Schools and Adult

educationeducation

› Development of an improved Visitor ‘Brand’

• Priority Area 3: Helping Romney Marsh Remain a Great

Place to Live:

› Supporting Marsh Academy to develop as a strong community

hub

› Promote Involvement locally and civic pride