LABOUR MARKET INTELLIGENCE PACK - JANUARY 2021 - West of England Combined Authority

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LABOUR MARKET INTELLIGENCE PACK - JANUARY 2021 - West of England Combined Authority
LABOUR MARKET INTELLIGENCE
PACK

                         JANUARY 2021
LABOUR MARKET INTELLIGENCE PACK - JANUARY 2021 - West of England Combined Authority
Introduction
This document collates evidence about the labour market
in the West of England, highlighting the current challenges
posed by the COVID pandemic as well as identifying longer-
term issues. The analysis looks at the characteristics and    Contents
spatial distribution of the labour force, and business and
employer demand. It covers both short and long term           This document is split into the
Labour Market Intelligence and provides interpretation        following sections:
around the available data.

Geography                                                     Section                Page
The document refers to the West of England region. This is    Business Environment   4
taken to mean the West of England Local Enterprise
Partnership area, which is made up of four unitary
authorities:                                                  Unemployment,          12
                                                              Employment and
▪ Bath and North East Somerset                                Redundancy
▪ Bristol
                                                              Current Labour         23
▪ North Somerset                                              Market Demand
▪ South Gloucestershire

                                                                                                2
LABOUR MARKET INTELLIGENCE PACK - JANUARY 2021 - West of England Combined Authority
Summary
This section summarises results from the rest of the report.

Business Environment                                                        Current Labour Market Demand
▪     The West of England has a broad sector base with a variety of         ▪ Job posting data indicates that levels in December were slightly
      businesses based in the region.
                                                                              below those seen pre-pandemic, with a fall seen in November,
▪     The West of England has some specialist industries that make up a       although December 2020 postings were up 85.30% on the year low of
      larger proportion of employment than the UK average, such as            April 2020. There has been a shift in the type of jobs advertised. Gains
      Civil Engineering, Education and Knowledge Creation, Creative,          in recent months were partly driven by strong increases in postings in
      Financial and Legal Services, and Digital. The impact of the            both the IT and human health and social care sector.
      economic downturn caused by the COVID pandemic is expected to
      vary between sectors.                                                 ▪ The most frequently demanded jobs advertised December 2020
                                                                              were: Programmers and software development professionals (790),
Unemployment, Employment and Redundancy                                       Nurse (493), Care workers and home carers (427), Managers and
                                                                              proprietors in other services (358) and Sales related occupations (290).
▪     As of December 2020 5.0% of working age population in the West
      of England were claiming unemployment benefits (36,840
      residents). This is broadly in line with levels seen in October and   ▪ Thematic areas of skills demand:
      November 2020.                                                        (1) Science, Technology, Engineering and Mathematics (STEM) subjects –
                                                                                these are the basis of many technological jobs
▪     The Labour Force Survey confirms unemployment is rising in the        (2) Digital/ technology skills – these are applicable both within the
      South West region, with males and females seeing similar increases
      in rates between the Jan – March and Sept -Nov time period. Males         important and resilient IT, creative and digital sectors, as well as in
      saw consistently higher rates of unemployment both nationally. The        a variety of other jobs.
      region saw a lower unemployment rate than England as a whole, at
                                                                            (3) Specific vocations – training for specific jobs currently in demand
      4.2% regionally compared to 5.3% nationally.
                                                                                (based on evidence), for example warehouse operatives and HGV
                                                                                drivers, care workers, teachers and nurses.

    Sources: See corresponding later sections.                                                                                                       3
LABOUR MARKET INTELLIGENCE PACK - JANUARY 2021 - West of England Combined Authority
BUSINESS
ENVIRONMENT
LABOUR MARKET INTELLIGENCE PACK - JANUARY 2021 - West of England Combined Authority
Businesses in the West of
England
Business concentration                                                                  Business size
There are 46,275 businesses in the West of England. That                                Individuals in the Labour Market are often unaware that
is 400 businesses per 10,000 residents. This is below the                               78% of businesses in the West of England have fewer than five
UK average and in the middle of comparator areas.                                       employees. The results below are similar to those for the UK
                                                                                        overall (78.5%)
Number of businesses per 10,000 people (2020)
                                                                                        Employee size of businesses in the West of England (2019)

                                London                                          593

        Cambridgeshire and Peterborough                                   432

                                     UK                               412

                        West of England                              400

                    Greater Manchester                              369

                          West Midlands                       311

                   Sheffield City Region                    280

                   Liverpool City Region                    277

                            Tees Valley                    261

                                                                                                                                                                        5
                                           Source: ONS Annual Population Survey via NOMIS; Office for National Statistics (ONS) Business; Activity, Size and Location
LABOUR MARKET INTELLIGENCE PACK - JANUARY 2021 - West of England Combined Authority
Volume employers in the region
The West of England has some volume employers with over 1,000 employees, including:

                                                                                      6
LABOUR MARKET INTELLIGENCE PACK - JANUARY 2021 - West of England Combined Authority
Employment by sector
In 2019, the largest employing           Employment by sector (% of total) (2019)
sectors within the West of
England LEP were:

•    Wholesale and retail trade;
     repair of motor vehicles and
     motorcycles (14% of all jobs
     in the region)

•    Human health and social
     work activities (13% of all
     jobs in the region)

•    Professional, Scientific and
     Technical Activities (11% of
     all jobs in the region)

Source: ONS Business Register and Employment Survey via NOMIS                       7
LABOUR MARKET INTELLIGENCE PACK - JANUARY 2021 - West of England Combined Authority
Regional Specialisms & Growth Areas
 The West of England has some specialist industries, which employ more
 people in the region proportionally than the national average. The                             Sector Specialism       National jobs growth %
 adjacent table highlights the sectors where we have employment
 specialisms, alongside whether these sectors are growing or shrinking             Vehicle and Defence Technology                +2%
 nationally. This helps us understand where there are growth
 opportunities, and where there may be a future skills demand; or if a             Civil Engineering                             +6%
 current specialism is at risk due to industry contraction. This is
 particularly relevant during the current pandemic where COVID has                 Utility                                       -3%
 altered or accelerated certain trends.
                                                                                   Education and Knowledge Creation               0%
 Key points:
                                                                                   Government                                    +4%
 •    Civil Engineering is a strength and is growing nationally, as is creative.
      Both are strong contributors to GVA.
                                                                                   Local Environmental Services                  +6%
 •    The West of England has fewer people in professional services than
      the UK average, although London skews this data and it is still a            Creative                                      +4%
      significant contributor to the region’s GVA.
                                                                                   Property Development                          -1%
 •    Given its engineering specialisms, the West of England could have
      opportunities in both Precision Technology and Maritime sectors,             Construction Products and Services            -1%
      which it currently has a below average number of employees in.
                                                                                   Financial and Legal Services                  -8%
 For more information, see appendix ‘Regional Specialisms’

Source: EMSI ‘Strength Finder’ Tool, based on ONS ASHE and BRES Data                                                                    8
Wages in specialist areas
                                                                                       National jobs                      Difference to West of
Most of the West of England LEP’s specialist                                        growth % (2018- Average Wage (West of England Average Full-
industries pay more than the regional average,
                                                            Sector Specialism                 2019)        England, 2019) time Wage (£31,183)
reflecting their highly skilled nature and
competitiveness.                                            Vehicle and Defence
                                                            Technology                           2%                £41,196                  24%
Only Government and Creative have an average
                                                            Civil Engineering                    6%                £38,094                  18%
salary lower than that of the regional average.
                                                            Utility                             -3%                £45,500                  31%
Creative’s reliance on freelancer workers could             Education and
potentially mean this underestimates wages in the           Knowledge Creation                   0%                £31,411                   1%
sector – it is likely that with these included, the
average wage would be higher.                               Government                           4%                £29,110                  -7%
                                                            Local Environmental
                                                            Services                             6%                £31,481                   1%
                                                            Creative                             4%                £30,872                  -1%

                                                            Property Development                -1%                £31,611                   1%
                                                            Construction Products
                                                            and Services                        -1%                £37,857                  18%
                                                            Financial and Legal
                                                            Services                            -8%                £36,591                  15%

Source: EMSI ‘Strength Finder’ Tool, based on ONS ASHE and BRES Data                                                                  9
Future Trends: Pre-pandemic Predictions
          Shape of the UK Labour Market 2017 – 2027
          Working Futures provides a comprehensive and detailed model of the UK labour market and skills needs. It projects the future size and shape of the labour
          market by considering employment prospects by industry, occupation, qualification level, gender and employment status.

                                               Areas of growth                       Areas of Decline                      Impact of COVID
          Sectoral trends in employment        • Business Services including         •   Distribution                      • Areas of growth are still considered
                                                 professional and scientific         •   Manufacturing                       accurate
                                               • Health & Social Care                •   Finance and Insurance             • Distribution and construction are no
                                                                                     •   Construction                        longer likely to decline in the short
                                                                                     •   Public Admin                        term, due to policy and demand
                                                                                                                             changes
          Occupational trends                  • Caring and professional service     • Secretarial Occupations             • Growth in caring and professional
                                               • Corporate managers and              • Plant, Process and Machine            service is likely accelerated
                                                 directors                             Operatives                          • Declining areas could experience
                                               • Business and public service         • Skilled Metal and Electronic          accelerated decline, although the
                                                 associate professionals               Trades                                future of manufacturing remains
                                                                                                                             uncertain
          Replacement Demand – natural         Replacement demand amongst all                                              • In the immediate future,
          churn and movement within            occupational groups is expected to                                            replacement demand is expected to
          sectors.                             generate 7 times more job                                                     be less strong than predicted
                                               opportunities than growth                                                   • Economic downturn and extensive
                                                                                                                             uncertainty make it less likely for
                                                                                                                             individuals to leave their work and
                                                                                                                             seek new employment

                                                                                                                                                           10
Source: Working Futures 2017 - 2027
Impact of COVID and recovery by sector

▪         Recovery has occurred in all sectors, though output in most remains down on February’s level.
▪         After the deepest initial fall, accommodation and food recovered strongly until August, fell again in October and November.
▪         Arts, entertainment and recreation and other services both continue to see depressed output.

                                            National monthly GVA change for various sectors from February 2020
    120

    100

     80

     60

     40
                                                                                                                                          Accomodation & food

     20

      0
              2020 FEB                                          2020 MAY                               2020 AUG                               2020 NOV

                             Wholesale, retail & motors         Other services   Accomodation & food              Financial & insurance
                             Arts, entertainment & recreation   Manufacturing    Construction                     Baseline

    Source: ONS GDP estimates, November 2020                                                                                                             11
UNEMPLOYMENT,
EMPLOYMENT
AND
REDUNDANCY
Claimant Count
                                                                             Percentage of Working Age Residents Claiming Unemployment
As of December 2020 5.0% of working age population in the
West of England were claiming unemployment benefits
                                                                                                  Related Benefits
                                                                  7.0
(36,840 residents). This is broadly in line with levels seen in
October and November 2020.
                                                                  6.0
There are now 21,065 more claimants in the West of England
than there were in February 2020, before the effects of the
pandemic hit.
                                                                  5.0

The rate in the West of England remains below the national
rate of 6.4% for December 2020. Bristol has the highest rate of
                                                                  4.0
claimants within the LEP, at 6.2% of the working age
population.

                                                                  3.0
December 2020                 Count     % of working age

B&NES                           5,000                   4.0
                                                                  2.0

Bristol                        19,615                   6.2

N.Som                           5,680                   4.6       1.0

S.Glos                          6,540                   3.7
                                                                  0.0
West of England                36,840                   5.0         September December March 2019 June 2019 September December March 2020 June 2020 September
                                                                       2018       2018                           2019     2019                         2020
England                     2,234,335                   6.4            Bath and North East Somerset      Bristol, City of                 North Somerset
                                                                       South Gloucestershire             West of England                  England

                                                                                                                                                         13
Labour Force Survey Unemployment
 The Labour Force Survey (LFS) provides estimates on
 unemployment in line with ILO definitions, which can provide a
 more robust picture of unemployment than the claimant count. It                        Labour Force Survey: Percentage Unemployment Rate
 is only available at South West level.                                  6

 The LFS unemployment rate has been steadily rising since the
 start of the COVID pandemic both nationally and in the South
 West.                                                                   5

 The SW region rate was consistently lower than the national rate for
 the two ears before COVID, and was 0.8 percentage points lower in
                                                                         4
 January to March 2020. This gap has closed since the pandemic, but
 widened again in the September – November period.

 Male and female rates have increased similarly between Jan- March       3
 and September – November, with increases of 1.0 and 0.8 percentage
 points respectively.
                                             South    South   South
            England    England    England     West     West    West      2
Date          male      female       total    male   female    total
Mar -May         4.3        4.1        4.2     4.0      3.4      3.7
2020
Apr - Jun       4.4        4.0        4.2      4.5      3.3     4.0      1
2020
May -Jul        4.6        4.1        4.4      4.7      3.7     4.2
2020
Jun -Aug        5.1        4.1        4.6      5.3      3.4     4.4      0
2020                                                                    Jun 2018-Aug   Oct 2018-Dec   Feb 2019-Apr   Jun 2019-Aug   Oct 2019-Dec   Feb 2020-Apr    Jun 2020-Aug
Jul -Sep        5.4        4.5        4.9      5.3      3.3     4.3         2018           2018           2019           2019           2019           2020            2020
2020                                                                                             England male             England female           England total
Aug -Oct        5.5        4.8        5.2      5.5      3.6     4.6                              South West male          South West female        South West total
2020
Sep -Nov        5.6        5.0        5.3      4.8      3.6     4.2                                                                                                          14
2020                                                                    Source: ONS, Labour Force Survey
Unemployment remains highest in areas with high
unemployment pre-covid

                                                  15
All areas have seen a rise in the number of
claimants

                                              16
Indices of Multiple Deprivation –
employment and education
Indices of multiple deprivation (IMD) are widely-used datasets within                                                Employment
the UK to classify the relative deprivation (essentially a measure of
                                                                                                                                                           LSOAs in top
poverty) of small areas. Multiple indices of deprivation are provided,          Local Authority                                       LSOAs in top 20%
                                                                                                                                                           10%
reflecting types of deprivation, which can compiled into a single score
of deprivation.
                                                                                Bath and North East Somerset                                           5                   1
The employment and education indices are particularly interesting from a
                                                                                Bristol, City of                                                      65                  33
labour market perspective.
                                                                                North Somerset                                                        20                  13
Employment                                                                      South Gloucestershire                                                  4                   0

Every local authority in the West of England LEP has some lower super
output areas that fall in the top 20% most deprived nationally, in terms of
                                                                                                                      Education
employment deprivation. Bristol has the significant majority, although
North Somerset also has a relatively high number.                                                                                      LSOAs in top        LSOAs in top
                                                                                Local Authority
                                                                                                                                       20%                 10%
Education

Every local authority in the West of England LEP has some lower super           Bath and North East Somerset                                          11                  7
output areas that fall in the top 20% and top 10% most deprived                 Bristol, City of                                                      59                  40
nationally, in terms of education deprivation. Bristol has the significant      North Somerset                                                        12                  7
majority at both levels.
                                                                                South Gloucestershire                                                 18                  6
Deprivation by ward, showing how many LSOAs fall into the most
deprived by ward level, is available in the appendix.
                                                                              Source: Indices of Multiple Deprivation , how these indices are calculated can be found
                                                                              here
                                                                                                                                                                   17
Salaries over time
  Salaries in the West of England LEP are slightly higher than
  the national average. In 2020 the West of England average                                             Median Earnings, £ per annum
  salary was £26,662 for all workers, 2.3% higher than the national           29,000
  average.
                                                                              28,000
  For full-time workers, the average salary was £32,442, and for
  part time it was £11,790.
                                                                              27,000
  Full-time working males earned, on average, £7,413 a year
  more than full-time working females.                                        26,000

  Males in the West of England LEP also earned slightly more
                                                                              25,000
  than the national average (3.1%). This is was true for females
  also, but to a lesser extent (0.7%)
                                                                              24,000

                                                                              23,000
                   Median Salary West of
                   England LEP, Difference
                                                                              22,000
Date               to National Average         Female           Male
            2014                        1.5%            1.2%           2.0%
                                                                              21,000
            2015                        3.7%            1.5%           3.0%
            2016                        1.3%            -0.3%          3.2%   20,000
                                                                                        2014          2015            2016   2017          2018         2019       2020
            2017                       -2.4%            -3.2%          1.9%
                                                                                                   West of England LEP              Bath and North East Somerset
            2018                       -0.8%            -0.1%          1.3%
                                                                                                   Bristol, City of                 North Somerset
            2019                        0.1%            0.0%           1.5%
                                                                                                   South Gloucestershire            England
            2020                        2.3%            -0.9%          1.4%
                                                                                                                                                                   18
                                                                               Source: ONS, ASHE
Zero-hours contracts
The number of people in zero hours contacts increased in the South West
region between the April-June 2019 and April-June 2020, from 83,000 to
93,000*. This is broadly in line with increases at a UK level.
                                                                                    Percentage or people on 0 hours contacts, April to June
These numbers equate to 3.6% of female and 2.8% of males working in 0
hour contracts.                                                            6.0

In terms of age, 16-24 year olds are the most likely to work on 0 hours
                                                                           5.0
contracts, comprising of 9.9% of those employed in this age group.

Such employees are vulnerable during recessions as employers can           4.0
more easily reduce these employees hours to 0.

*Rounded to nearest thousand due to sample size                            3.0

                                                    2020                   2.0
                                     In employment on
                                          a zero-hours    Percentage of
                                              contract people on a zero-   1.0
                                 -         (thousands)    hours contract
A-E Production, including
agriculture                                        47                4.4   0.0
F Construction                                     32                3.1
G Wholesale and retail                            119               11.3
I Accommodation and food                          237               22.6
J-M Information, finance,
professional                                       56                5.3
N Admin and support services                       65                6.2
O Public admin                                     20                1.9
                                                                                                                      2019   2020
P Education                                       101                9.6
Q Health and social work                          207               19.7
R,S,T+H Transport, arts, other
                                                                           Source: ONS Zero-hour contract analysis, based on LFS
services                                          167              15.9                                                                   19
Total                                           1,052             100.0
Furlough

▪ 13.7% of the UK workforce were estimated to remain on
  furlough leave through the Coronavirus Job Retention
  Scheme (CJRS), based on the most recent ONS Business
  Impact of Coronavirus Survey, reflecting the dates between
  14 to 27 December 2020. This period coincided with the
  introduction of tier 4 restrictions for certain areas.

▪ As of 31 December 2020, 60,800 West of England
  employees were estimated to be on furlough, representing
  around 11% of those eligible.

▪ Recent Government analysis estimates that 90% of
  employees who left the CJRS in the UK between April and
  July this year were still on their original payroll in August.
  The below table shows the percentage of employees
  remaining on their original payroll for different sectors in
  the UK.

Source: HMRC Coronavirus statistics, CRJS statistics: secondary analysis, ONS Business insights and impact on the UK economy (14 Jan)   20
Self Employed Income Support
Scheme – Tranche 2
The SEISS supports self-employed individuals and is run in tranches,
with windows within which individuals can apply for grants. Due to                                                    Claim by sector, South West
the way data is received, it is only possible to conduct sector
analyses on individual tranches of the SEISS. This analysis looks at
tranche 2, for which claims were accepted between the                                                             Unknown and other
17/08/2020 and 19/10/2020.                                                       Wholesale and retail trade; repair of motor vehicles…

As of 30 October, 2,034,000 claims had been made to the SEISS                                             Transportation and storage
tranche 2. 39,700 of these were in the West of England LEP.                                                     Real estate activities
Claims by sector is available at a South West level.                         Public administration and defence; compulsory social…

Construction is the largest sector in terms of both number of                         Professional, scientific and technical activities
claims and the total value of claims. The South West construction                                             Other service activities
sector contributed slightly less to the total number of claims than
the England average (31% of claims compared to 35% of claims).                                                          Manufacturing
                                                                                                     Information and communication
That said, in terms in the total financial value of claims, the South
West construction sector contributed more than the England                                   Human health and social work activities
average (42% of total value of claims compared to 38%).
                                                                                                    Financial and insurance activities
Other sectors with a high number of claims are:                                                                             Education

▪   Administrative and support service activities                                                                        Construction

▪   Other services                                                                               Arts, entertainment and recreation
                                                                                                     Agriculture, forestry and fishing
▪   Transport and storage
                                                                                        Administrative and support service activities
▪   Wholesale and retail trade, repair of motor vehicles                                  Accommodation and food service activities
Many claims are not categorised by sector and fall into Unknown                                                                           0%   5%     10%     15%    20%    25%     30%    35%   40%
and other, which reflects the broad nature of self-employed work.
                                                                                                         England propotion of total claims          SW proportion of total claims
    Source: HMRC Self Employed Income Support Scheme Statistics, November 2020
                                                                                                      Data up to 30/10/2021
                                                                                                      Covers only Tranche 2 claims
                                                                                                                                                                                          21
Self Employed Income Support
Scheme by gender
                                                                                            Number of claims and average claim value, by gender
Males make up a greater proportion of Self Employed Income Support                                                                                                                       £
                                                                              Claims
Scheme (SEISS) tranche 2 claimants than females – for the West of
England LEP, males comprise of 68.7% of claims to the October
September 2020.                                                                14,000                                                                                              3,500

This is likely to be driven by the sectors males are more likely to work
                                                                               12,000                                                                                              3,000
in, such as construction, which also operates with a high volume of self-
employed people.
                                                                               10,000                                                                                              2,500
The average claim made to the scheme is also higher for males than
females. The greatest difference is in South Gloucestershire, which
has the highest average male claim and lowest average female claim,             8,000                                                                                              2,000
£3,100 and £2,000 respectively.

                                                                                6,000                                                                                              1,500

                                          Average Number of        Average      4,000                                                                                              1,000
                            Number of       claim     claims          claim
LA                         claims male       male    female         female
                                                                                2,000                                                                                              500
Bristol, City of (UA)           12,100     £2,700        5,000       £2,000

                                                                                       0                                                                                           0
Bath and North East                                                                        Bristol, City of (UA)   Bath and North East   North Somerset UA South Gloucestershire
Somerset UA                      4,100     £2,900        2,200       £2,100                                           Somerset UA                                   UA

North Somerset UA                4,600     £2,900        2,400       £2,100
                                                                                   Number of claims male           Number of claims female   Average claim male   Average claim female
South Gloucestershire UA         6,500     £3,100        2,800       £2,000

Data up to 30/10/2021                                                             Source: ONS Self Employed Income Support Scheme Statistics, November 2020
                                                                                                                                                                                   22
Tranche 2 only
CURRENT
LABOUR MARKET
DEMAND
Job postings
▪ According to burning-glass analysis tool, there were 12,840 unique                       Job Postings Over Time (West of England)
  job postings advertised in the West of England in December 2020,            18000
  up 85.30% on the year low of April 2020,suggesting recovery in              16000
  terms of available jobs. This is slightly below the levels seen
                                                                              14000
  before the pandemic.
                                                                              12000

▪ The impact of changes in number of jobs available as a result of            10000

  lockdown measures and social distancing became visible in April,             8000
  with significantly fewer jobs advertised. This has risen in last few         6000
  months and is now broadly in line with pre-crises levels.                    4000

                                                                               2000
▪ Comparing the type of jobs advertised by industry, the recovery
                                                                                  0
  has in part been driven by increases in the number of postings in
  IT jobs, as well as human health and social care. Moderate
  recoveries have also been seen in most sectors, although many
  are not yet at pre-pandemic levels.                                                 Top Occupations in December 2020 (West of England)
                                                                              ▪   Programmers and software development professionals (790)
   Job postings levels and associated analytics are highly sensitive to the   ▪   Nurse (493)
   web-scraping tool used. Sensitivity analysis has been undertaken and,
   although levels differ between tools, trends over time are similar –       ▪   Care workers and home carers (427)
   analysing trends rather than totals is therefore advised.                  ▪   Managers and proprietors in other services (358)
                                                                              ▪   Sales related occupations (290)

Source: Labour Insight (BurningGlass)                                                                                                    24
Remote working
Remote working has slowly being growing as in the last few years, in line with economic predictions of a more digitally connected
workforce. This trend has been accelerated by COVID. The graph below shows job postings from West of England LEP based employers
that are remote roles (excluding recruitment agencies, as they may post remote jobs from other regions). This growth has largely been
driven by Professional Service Occupations, including computer programmers, sales professionals and finance.

                                         West of England Job postings including word 'remote'
1,200

1,000

 800

 600

 400

 200

   0

                                                                                                                              25
Source: Burning Glass
Skills demand
•       IT skills feature in the top ‘hard skill’ demands from job adverts.   Skills demanded (December 2020)                        % of postings
        These skills are transferable and are useful in both the IT
        industry itself, as well as in other industries.                      Customer Service                                              14.3%
                                                                              Teamwork / Collaboration                                      14.0%
•       Financial skills (budgeting and accounting) and healthcare
        related skills are also frequently demanded. Other business           Budgeting                                                     10.4%
        related skills are also frequently demanded, such as business         Teaching                                                      10.0%
        development, project management and stakeholder
        management.                                                           Project Management                                              8.7%
                                                                              Sales                                                           7.4%
•       Customer service and teamwork / collaboration are the most
        frequently demanded skill, at 14.3% and 14.0% of adverts              Accounting                                                      5.2%
        respectively.                                                         Software Development                                            5.1%
•       The skills that feature most frequently align with some of the        Business Development                                            4.9%
        more resilient sectors to the COVID economic downturn, such           Customer Contact                                                4.8%
        as ‘Information and Communication’ , ‘Energy Production’ and
        ‘Finance and Insurance.                                               Cleaning                                                        4.7%
                                                                              Stakeholder Management                                          4.5%
•       ‘Soft’ and general employability skills are frequently required
        in vacancies. This highlights their importance for those out of       Software Engineering                                            4.4%
        work                                                                  Key Performance Indicators (KPIs)                               4.4%
•       Many skills fall somewhere in the middle between hard and
        soft. For example, Project Management is a frequently sought          Working With Patient And/Or Condition: Mental Health           4.3%
        after skill, which draws on a combination of soft skills and hard,
        subject specific knowledge.                                           Microsoft C#                                                   4.3%
                                                                              JavaScript                                                     4.2%
•       Note: Web-scraping data (Labour Insight) gives us an indication
        of skills demand from job adverts. Given that jobs with higher        Python                                                         3.8%
        turnover (for example, hospitality) recruit more often due to         Administrative Support                                         3.8%
        churn in roles, this should be treated indicatively only.
                                                                              SQL                                                            3.7%
                                                                               * Out of a total of 12,840 postings

    Source: Burning Glass                                                                                                                    26
Transferrable and commonly sought
Skills
 From the evidence available, demand appears to be             Top Occupations Advertised
 strong for individuals with technology skills, as well as
 skills in finance and business.
                                                              Occupational Family                 Job Postings
 Many more traditional, more vocational roles also
 experience demand, such as those in healthcare,
 teaching assistants and education professionals and          Software Developer / Engineer                           705
 carers. Key areas of high-demand skills include:
 (1) STEM subjects – these are the basis of many              Registered General Nurse (RGN)                          387
     technological jobs.
 (2) Digital/technology skills – these are applicable both    Project Manager                                         316
     within the important and resilient IT, creative and
     digital sectors, as well as in a variety of other jobs
     such as finance and investment roles.                    Office / Administrative Assistant                       295
 (3) Specific vocations – training for specific jobs
     currently in demand (based on evidence), for             Caregiver / Personal Care Aide                          230
     example warehouse operatives and HGV drivers,
     care workers, teachers and nurses.
                                                              Teaching Assistant                                      200

                                                              Care assistant                                          195

Source: Emsi Economic Modelling
                                                                                                                 27
Apprenticeships
Adverts with the word ‘apprenticeship’ experienced a spike in postings leading up to July in the years 2017, 2018 and 2019, in line with
the end of the academic year. In 2020, we have seen the opposite happen, with a downward trend in postings. This has started to
reverse in the months since August, with increases in postings seen every month since.
Sector groups have highlighted the difficulties they are facing regarding keeping on current apprentices, hiring new ones, and the trade
offs between both.
(Note – totals are not comparable to other job postings slides, as a different software is used to obtain apprenticeship postings).

                                                                                                                                 28
Source: Emsi Economic Modelling
APPENDIX
Regional Specialisms
                                                                                                        Location                GVA      National
The West of England has some specialist                                          Sector                 Quotient   % of GVA   Quotient   Change %
industries, which employ more people
                                                                   Vehicle and Defence Technology         1.75      2.79%       1.73       2%
proportionally than the national average, as show
by the Location Quotient (LQ). For example,                        Civil Engineering                      1.45      4.89%       1.30       6%
Vehicle and Defence Technology has an LQ of 1.75,                  Utility                                1.4       1.61%       0.78       -3%
meaning this industry is 1.75 larger than the UK                   Education and Knowledge Creation       1.38      2.74%       1.04       0%
average for an area of the same size.                              Government                             1.36      6.00%       1.36       4%
Looking at this alongside the proportion of GVA                    Local Environmental Services           1.21      0.71%       1.20       6%
these industries deliver, we can see some areas of                 Creative                               1.19      1.72%       0.71       4%
specialisation that deliver a significant proportion               Property Development                   1.14      6.38%       0.84       -1%
of the GVA, for example:
                                                                   Construction Products and Services     1.14      0.21%       1.01       -1%
•   Civil Engineering                                              Financial and Legal Services           1.1       9.80%       0.97       -8%
                                                                   Printing and Publishing                1.08      1.14%       1.15       -7%
•   Education and Knowledge Creation
                                                                   Digital                                1.07      4.98%       0.93       -6%
•   Creative                                                       Health and Care                        1.07      8.44%       1.00       2%
•   Financial and Legal Services                                   Sports and Leisure                     1.05      1.15%       0.65       3%
                                                                   Metalworking Technology                1.04      0.56%       1.32       4%
•   Digital
                                                                   Passenger Transport                    1.03      0.64%       1.09       -1%
                                                                   Food and Beverage                      1.02      4.89%       0.87       2%
                                                                   Automotive Services                    1.01      1.85%       0.96       -2%
                                                                                                                                         30
Source: EMSI ‘Strength Finder’ Tool, based on ONS ASHE and BRES Data
Employment Rate – Time Series
• The employment rate has remained broadly stable since
  March 2017.
                                                                                  Percentage of West of England LEP residents aged 16-64
• Males have a consistently higher employment rate than                                            currently employed
  females, but the gap has decreased in size since March 2017.               84

• The impact of COVID does not appear to be showing in the                   82
  employment rates. This is possibly due to sample size and
  the fact that it is a ‘year to date’ measure so could flatten
                                                                             80
  trends.

                                                                             78
                                                     Male 16-
Date (12 months to)                Residents 16-64         64 Female 16-64
Apr 2016-Mar 2017                               78       80.7         75.2   76
Jul 2016-Jun 2017                             78.2       81.2         75.3
Oct 2016-Sep 2017                             78.5       81.7         75.3   74
Jan 2017-Dec 2017                             78.6       82.1         75.1
Apr 2017-Mar 2018                             78.1       81.5         74.6
                                                                             72
Jul 2017-Jun 2018                             78.9       82.2         75.5
Oct 2017-Sep 2018                             78.4       81.1         75.6
Jan 2018-Dec 2018                             79.1       81.6         76.5   70
Apr 2018-Mar 2019                             79.5       82.5         76.4
Jul 2018-Jun 2019                             79.4         82         76.7
Oct 2018-Sep 2019                             79.7       82.3           77
Jan 2019-Dec 2019                             78.8       81.3         76.3
Apr 2019-Mar 2020                               79       80.7         77.2                   Residents 16-64   Male 16-64   Female 16-64
Jul 2019-Jun 2020                             78.6       80.9         76.2
Oct 2019-Sep 2020                             78.7       80.7         76.6
 Source: ONS Annual Population Survey
                                                                                                                                           31
Claimants Aged 16-24
As of December 2020 there were 7,405 claimants aged
between 16—24; 4.8% of the population in that age                           Percentage of residents 16-24 claiming unemployment related
cohort.
                                                                                                       benefits
This is broadly in line with the rates in October and           8.0
November 2020, however, represents an increase of 161%
from March 2020 - equating to an additional 4,565 young         7.0
claimants.

All four unitary authorities in the West of England have seen   6.0

a spike in the number of young claimants; ranging from 3.3%
of the cohort in Bath and North East Somerset to 6.4% in        5.0
North Somerset
                                                                4.0
Despite the sharp increase in ‘young’ claimants, the rate in
the West of England and the four unitary authority remains
                                                                3.0
below the national rate of 7.2%.

December 2020                Count          % of age group      2.0

B&NES                          1,065
                                                         3.3
                                                                1.0
Bristol                        3,760
                                                         5.2
N.Som                          1,155                            0.0
                                                         6.4    July 2018     November       March 2019    July 2019       November       March 2020    July 2020    November
S.Glos                         1,425                                            2018                                         2019                                      2020
                                                         4.8
West of England                7,405
                                                         4.8            B&NES      Bristol       North Somerset        South Gloucestershire     West of England    England
England                     429,185
                                                         7.2
                                                                                                                                                                    32
Claimants Aged 50+
As of December 2020 there were 7,740 claimants aged
50+; 3.9% of the population in that age cohort.                                Percentage of residents 50+ claiming unemployment related
                                                                                                         benefits
This is broadly in line with the rates seen since May 2020,      6.0
however represents an increase of 117% ‘older’ claimants
since March 2020, equating to an additional 4,165 people.

                                                                 5.0
All four unitary authorities in the West of England have seen
a spike in the number of ‘older’ claimants; ranging from 2.6%
of the cohort South Gloucestershire to 5.4% in Bristol.
                                                                 4.0
The rate of ‘older’ claimants in the West of England remains
below the national rate of 5.0%; however the rate in Bristol
exceeds the national rate.
                                                                 3.0

 December 2020            Count           % of age group
                                                                 2.0
 B&NES                            1,215                    3.5

 Bristol                          3,575                    5.4
                                                                 1.0
 N.Som                            1,505                    3.4

 S.Glos                           1,445                    2.6
                                                                 0.0
                                                                   July 2018    November      March 2019     July 2019      November       March 2020      July 2020    November
 West of England                  7,740                    3.9                    2018                                         2019                                        2020
                                                                           B&NES      Bristol     North Somerset       South Gloucestershire      West of England      England
 England                       532,030                     5.0
                                                                                                                                                                         33
Employment Rate
  • In the year to September 2020, the employment rate for the
                                                                                            Employed        Rate
    West of England was 78.7%; higher than the national rate at      Group
    76.0%.                                                           All - aged 50+          179,500        44.1

  • Working age males had an employment rate of 80.7%, 4.1           All - aged 16-24         84,500        61.0
    percentage points greater than the rate for working age
    females.                                                         All - aged 16-64        584,800        78.7

  • COVID is expected to reduce the employment rate, but the
                                                                     Males - aged 50+         91,900        47.4
    sample size of the Annual Population Survey as well as its
    ‘year to date’ measurement of the data is thought to be
    stopping this showing significantly at a regional level          Males - aged 16-24       47,100        60.0

  • Time series analysis and local authority analysis available in   Males - aged 16-64      306,300        80.7
    the appendix
                                                                     Females - aged 50+       87,600        41.2

                                                                     Female - aged 16-24      37,400        62.2

                                                                     Females - aged 16-64    278,500        76.6

Source: ONS Annual Population Survey 2021                                                              34
Employment Rate – Oct 2019- Sept
 2020

                                                                             West of Bath and North                          South
Group                                                                    England LEP East Somerset Bristol, City of Gloucestershire   England

Employment rate - aged 50+                                                      44.1            43.3           45.8            44.3        42.7

Employment rate - aged 16-24                                                    61.0            60.6           55.0            65.7        53.1

Employment rate males - aged 50+                                                47.4            48.3           48.1            47.0        47.0

Employment rate males - aged 16-24                                              60.0            63.1           55.4            59.5        52.8

Employment rate females - aged 50+                                              41.2            38.6           43.5            41.9        38.8

Employment rate females - aged 16-24                                            62.2            58.0           54.4            72.7        53.4

Employment rate - aged 16-64                                                    78.7            79.7           75.8            81.6        76.0

Employment rate males - aged 16-64                                              80.7            84.5           76.8            82.6        79.5

Employment rate females - aged 16-64                                            76.6            74.8           74.6            80.5        72.4
Source: ONS Annual Population Survey;
Note: All data relates covers the 12 month period up to September 2020
                                                                                                                                      35
Indices of Multiple Deprivation –
education deprivation
Local Authority District name (2019)   Ward                           LSOA in Ward 20%   LSOA in Ward 10%

Bath and North East    Somerset        Combe Down                                    1                    1
Bath and North East    Somerset        Keynsham North                                1                    0
Bath and North East    Somerset        Keynsham South                                1                    0
Bath and North East    Somerset        Peasedown                                     1                    1
Bath and North East    Somerset        Radstock                                      1                    0
Bath and North East    Somerset        Southdown                                     1                    1
Bath and North East    Somerset        Twerton                                       4                    4
Bath and North East    Somerset        Westfield                                     1                    0
Bristol, City of                       Ashley                                        2                    0
Bristol, City of                       Filwood                                       9                    7
Bristol, City of                       Frome Vale                                    1                    1

Bristol, City of                       Hartcliffe and Withywood                     12                 12

Bristol, City of                       Henbury and Brentry                           3                    2

Bristol,   City   of                   Hengrove and Whitchurch Park                  5                    2
Bristol,   City   of                   Hillfields                                    3                    1
Bristol,   City   of                   Horfield                                      1                    0
Bristol,   City   of                   Knowle                                        3                    3
Bristol,   City   of                   Lawrence Hill                                 7                    5
Bristol,   City   of                   Lockleaze                                     2                    2
Bristol,   City   of                   Southmead                                     5                    3

                                                                                                     36
Indices of Multiple Deprivation –
education deprivation cont.
Local Authority District name (2019)   Ward                            LSOA in Ward 20%   LSOA in Ward 10%

Bristol, City of                       St George Central                              2                  0
Bristol, City of                       Stockwood                                      2                  2
Bristol, City of                       Stoke Bishop                                   1                  0
Bristol, City of                       Windmill Hill                                  1                  0

North Somerset                         Weston-super-Mare Central                      2                  1

North Somerset                         Weston-super-Mare Mid Worle                    1                  0

North Somerset                         Weston-super-Mare Milton                       2                  0

North Somerset                         Weston-super-Mare South                        6                  6

North Somerset                         Weston-super-Mare Winterstoke                  1                  0
South Gloucestershire                  Dodington                                      1                  0
South Gloucestershire                  Emersons Green                                 1                  0
South Gloucestershire                  Kings Chase                                    2                  1
South Gloucestershire                  Oldland Common                                 1                  0
South Gloucestershire                  Parkwall                                       2                  2
South Gloucestershire                  Patchway                                       3                  1
South Gloucestershire                  Rodway                                         3                  0
South Gloucestershire                  Staple Hill                                    2                  1
South Gloucestershire                  Thornbury South and Alveston                   1                  0
South Gloucestershire                  Yate Central                                   1                  0
South Gloucestershire                  Yate North                                     1                  1

                                                                                                    37
Indices of Multiple Deprivation –
employment deprivation
                                                                                           LSOA in
Local Authority District name (2019)   Ward                            LSOA in Ward 20%   Ward 10%
Bath and North East Somerset           Combe Down                                     1          0
Bath and North East Somerset           Southdown                                      1          0
Bath and North East Somerset           Twerton                                        3          1
Bristol, City of                       Ashley                                         2          0

Bristol, City of                       Avonmouth and Lawrence Weston                  5          2
Bristol, City of                       Bishopsworth                                   1          0
Bristol, City of                       Brislington East                               2          0
Bristol, City of                       Brislington West                               1          1
Bristol, City of                       Central                                        2          2
Bristol, City of                       Easton                                         1          0
Bristol, City of                       Eastville                                      2          0
Bristol, City of                       Filwood                                        7          4
Bristol, City of                       Frome Vale                                     2          1
Bristol, City of                       Hartcliffe and Withywood                      11          9
Bristol, City of                       Henbury and Brentry                            2          1
Bristol, City of                       Hengrove and Whitchurch Park                   3          1
Bristol, City of                       Hillfields                                     2          1

                                                                                            38
Indices of Multiple Deprivation –
employment deprivation cont.
Local Authority District name (2019)   Ward                    LSOA in Ward 20%   LSOA in Ward 10%
Bristol, City of                       Horfield                               1                  0
Bristol, City of                       Knowle                                 2                  2
Bristol, City of                       Lawrence Hill                          7                  6
Bristol, City of                       Lockleaze                              2                  0
Bristol, City of                       Southmead                              4                  1
Bristol, City of                       Southville                             1                  0

Bristol, City of                       St George Central                      2                  0
Bristol, City of                       Stockwood                              2                  2
Bristol, City of                       Stoke Bishop                           1                  0
                                       Weston-super-Mare
North Somerset                         Central                                6                  5
                                       Weston-super-Mare
North Somerset                         Hillside                               2                  2
                                       Weston-super-Mare Mid
North Somerset                         Worle                                  1                  0
                                       Weston-super-Mare
North Somerset                         Milton                                 3                  0

                                       Weston-super-Mare
North Somerset                         North Worle                            1                  0
                                       Weston-super-Mare
North Somerset                         South                                  7                  6
South Gloucestershire                  Kings Chase                            1                  0
South Gloucestershire                  Patchway                               1                  0
South Gloucestershire                  Staple Hill                            2                  0

                                                                                            39
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