The Liverpool City Region MAA

1. 1 The Liverpool City Region MAA Colin Hilton Chief Executive, Liverpool City Council Sheena Ramsey Chief Executive, Knowsley MBC

2. The business case • Why an MAA • The role of the MAA • The added value • What are the • Priorities • Resources • Governance • Performance monitoring

3. The Liverpool City Region – key facts • Population of 1.5 million • Forms core of wider economic zone of influence of over 2 million people • GVA of over £17bn, 539,000 jobs and 38,000 businesses

4. Our Vision - to be a thriving international city region by 2020. To achieve this we will need to accelerate growth and substantially close the productivity gap with the rest of the UK and; reduce worklessness across the Liverpool City Region, providing routes for people to move into work and progress in their jobs.

5. ….building on our recent renaissance Significant public and private investment that is transforming the look, image and confidence of the City Region Economic growth rates greater than comparator urban areas A growing business base Significantly enhanced cultural and tourism offer, underpinned by Liverpool 08. Transforming our housing stock

6. and our opportunities • A lasting legacy from Liverpool European Capital of Culture 2008 • An internationally significant knowledge base • £10bn investment in Liverpool and Wirral Waters • The Mersey Gateway crossing • Expansion of Mersey Ports and John Lennon Airport • Growth in global environmental technology

7. There are significant challenges we need to overcome…. • GVA gap • Currently £5,043 per capita with national levels • Business base • To reach national business density rates would require the number of businesses to increase by 75% and would take the City Region nearly 50 years • Low workforce productivity • And the gap is widening in absolute terms • Employment • Currently 68.1% compared with 74.4% nationally. To reach an 80% employment rate would require 108,000 additional people into jobs

8. Challenges – cont’d • Deprivation • 34.5% of SOAs in City region are inn most deprived 10% nationally • Skills • Significant numbers of people with low-level or no qualifications (20% with no qualifications) • Declining Population • Between 1981 and 2006 population fell by 10% to below 1.5million • Health • 47% of City Region’s SOAs are in most deprived 10% nationally for health • Poor national image and perception • Low quality housing stock

9. How we will deliver - New City Region Governance structure (1) • City Region Leaders have committed to developing a robust City Region governance structure. • It will consist of: • City Region Cabinet and 6 Policy Boards • Economy; • Employment and Skills; • Transport; • Planning and Housing; • Environment and Waste; • Safer, Healthier Communities • 2 cross cutting Boards: • Improvement and Efficiency; • Research and Information • Scrutiny Panel

10. New City Region Governance structure (2) Progress to date: City Region Cabinet and Scrutiny Panel • Endorsement of proposals through all 6 authorities in process • Cabinet to comprise 6 LA Leaders and private sector rep (Chairman of TMP), chair to be elected for 4 years • Cabinet to meet in shadow form from October 2008 • Associate members - Chairs of relevant Joint Boards and Leaders of “Associate” or neighbouring Local Authorities. Structured dialogue with regional agencies and Government • A gateway system will be used to assess what is kite-marked as a city region project or programme

11. New City Region Governance structure (3) Progress to date cont.: City Region Cabinet and Scrutiny Panel • Scrutiny Panel to scrutinise the work of the Cabinet and Boards and the effectiveness of the partnership with the Joint Boards. • Published annual work plan for the City Region Cabinet and the scrutiny panel. • A formal constitution will be developed for the City Region and it shall become incorporated as a legal entity by 2010.

12. New City Region Governance - The Employment and Skills Board (4) Proposed Membership • 6x Local Authority leader/Cabinet Member • 6x Private Sector • 1x Learning and Skills Council • 1x Jobcentre Plus • 1x North West Regional Development Agency • 1x Voluntary and Community Sector • 1x Unionlearn • 1x Health

13. New City Region Governance structure (5) Next steps • Cabinet established in shadow form, development of Constitution/legally incorporated body • Develop Cabinet work programme, kite marking system, dispute resolution process, scrutiny panel and review capacity • Establish new/revise existing Boards to meet needs of governance model commencing with key Boards to deliver MAA

14. Future MAA activity • Economic Development and Enterprise • Housing • Transport Supporting the economic growth of the City Region

15. Delivery and Implementation • Resources being considered/aligned • ABG/WNF • ESF and alignment of LSC and JCP+ through single Investment Framework • NWDA • LABGI • Delivery • Merseyside Information Service • Merseyside Improvement and Efficiency Resources • CES and additional partner resources • LSP capacity building Programme

16. Timetable and next steps • Individual Local Authority endorsement of MAA in October • Shadow cabinet in October and continued development of Boards • Development of remaining themes of MAA October – December • Targeting and performance March 09 • Negotiation January – March 2009 • Submission April 2009

17. Discussion

18. Employment and Skills Sheena Ramsey Knowsley MBC

19. Employment and Skills Scale of the Challenge: • LCR employment rate of 68.1% compared to 74.4% nationally • Almost 175,000 residents claiming out of work benefits; 50% claiming a benefit for 5+ years • More than one in three (37%) working age adults without NVQ level 2 qualification • Deeply entrenched nature of worklessness and communities disconnected from the economy • Low aspirations – families and young people • Too many young people are NEET (11.2%) compared to NW average (9.5%)

20. Employment and Skills Key Issues: • Complex landscape – funds, targets, delivery agencies • Diverse but fragmented range of provision • Multiple management and governance arrangements • Links between services need strengthening • Some duplication, we need more effective use of resources • Residents and employers face a confusing range of options • From 2010 new planning arrangements for young people and adult skills provision

21. Employment and Skills Our Approach: • Strengthening employer representation and demand for skills • Delivering an integrated package of services based on a continuum model of employment and skills provision • Working collectively to align and co-commission mainstream resources at the local level • Adding value to the core offer using discretionary funding (ESF, ERDF, NWDA, Area Based Grant) • Changing provider behaviour • Acting as a test bed for new Government initiatives

22. EMPLOYER ENGAGEMENT & DEMAND EMPLOYER ENGAGEMENT & DEMAND CITY REGION CITY REGION MERSEYSIDE MERSEYSIDE LOCAL LOCAL Sectors Sectors Major / Volume Recruitment Major / volume recruitment An SME Programme An SME programme Existing support to businesses + better integration EMPLOYER ENGAGEMENT & DEMAND Existing support to businesses + better integration Business champions for specific areas Business champions for specific areas CITY REGION Information, advice, guidance Information, advice, guidance MERSEYSIDE Local Local Pre Skill building Skill building Information, Information, Pre employment targeting, targeting, Transition Transition LOCAL employment and and Diagnosis Diagnosis Retention Retention outreach & outreach & into work into work support progression progression Signposting Signposting support engagement engagement Sectors Major / volume recruitment NEIGHBOURHOOD RENEWAL NEIGHBOURHOOD RENEWAL LOCAL AUTHORITY DISTRICT LEVEL An SME programme LOCAL AUTHORITY DISTRICT LEVEL NEIGHBOURHOOD / WARD / LSOA NEIGHBOURHOOD / WARD / LSOA Integrated with housing market renewal, local investment, Existing support to businesses + better integration Integrated with housing market renewal, local investment, neighbourhood renewal neighbourhood renewal Business champions for specific areas BUILDING STRATEGIC AND OPERATIONAL CAPACITY Information, advice, guidance Local Pre Skill building Information, targeting, Transition employment and Diagnosis Retention outreach & into work support progression Signposting engagement NEIGHBOURHOOD RENEWAL LOCAL AUTHORITY DISTRICT LEVEL NEIGHBOURHOOD / WARD / LSOA Integrated with housing market renewal, local investment, neighbourhood renewal The Employment and Skills Continuum

23. Employment and Skills Our Proposals (1): • Establish LCR Employment and Skills Board by April 2009 • Secure legal status by 2010 • Develop an Employment and Skills Strategy by June 2009 • Agree shared priorities, common framework of targets • LCR commissioning plan informs Government and local contracting arrangements • Recognised as the joint ESF co-financing plan post 2010 • Join up provision on the ground • Simplify delivery arrangements • Geography - LCR is a single area for JCP commissioning • Align commissioning cycles, contract practices, reporting mechanisms

24. Employment and Skills Our Proposals (2): • Work with Government to shape the way future contracts operate in our area and to co-commission bespoke services, eg: • Flexible New Deal • Skills Accounts trials and their further development • Additional provision for Incapacity Benefit “stock” clients • No wrong door approach to information, advice and guidance for people in work and seeking work

25. Employment and Skills Our Proposals (3): • Improve data sharing • Better access to non disclosure DWP data, GIS • Agree memorandum of understanding with JCP for data asks • Signpost employer vacancy information to skills brokers • Share provider performance data • Stimulate employer demand • Engage employers in the design of route ways to employment for local residents and curriculum development for young people • Track the employer journey from recruitment to retention and career progression to support supply side interventions • Use Board Members to champion the Local Employment Partnership and Skills Pledge

26. Employment and Skills Our Offer to Government: • Joint investment • Strategic Investment Framework c£80m (2007-2010) • £17m additional ESF • Review where Area Based Grant, European and NWDA funding can support these proposals • Articulating employer demand • Strong private sector voice on Board • Public sector represents 40% of employer base • Proactive engagement with existing business infrastructure eg Chambers, Employer Coalition, sector networks

27. Employment and Skills Outcomes and Targeting: • Adding value by simplifying the offer to individuals and employers • Prioritisation by geography and client group • Accelerated programmes of intervention to meet specific LCR needs • Minimise duplication or displacement • Work in progress to quantify outcomes; this must be set in the context of the current economic downturn • Employment rate • Reduction in out of work benefit claimants • Increasing skill levels

28. Discussion