News Archives - North East Local Enterprise Partnership

By Michelle Rainbow, Skills Director of the North East Local Enterprise Partnership

From the start, we had the bold ambition at the North East LEP to become a national exemplar for skills, social mobility and inclusivity. It’s why we’ve consistently championed an ‘each and every’ approach which has been at the heart of the Strategic Economic Plan, ensuring no one is left behind. It’s been quite a journey.

When I first joined the North East LEP, the approach to skills and inclusion was very theoretical. One of my first jobs was to humanise the economic data and make it all about people and how we could get systems moving and stop those needing extra help from falling through the cracks. We needed something to be delivered through our partners to fix the systemic issues holding people back.

Our initial focus was on older workers, how to support people back into work, how to deliver digital inclusion, how to retain graduates within the region, how to become attractive to new investment in the region and how to have the right pipeline and skilled workforce for businesses to grow and thrive.

These were big challenges and we had to address them all.

Ten years is a long time for economic development and regional skills policy. Since 2014, we’ve seen many leaders come and go. Each new prime minister and secretary of state brought different policies and priorities, which meant working closely with the Department of Education (DfE) to navigate each change.

Establishing good working relationships with the DfE, other government departments, and partners within the North East was a priority from the start. We knew that to have a serious impact, we’d need a depth of trust enabling mutual challenges regarding how money should be spent.

We developed excellent relationships with further education colleges, schools, universities and independent training providers and it made a difference. People knew we were there to listen and were striving to do the right thing with the budgets, constraints and influence that we had. Similarly, we welcomed their honesty, commitment and equal ambition to deliver everything to the highest standards.

In time, our consistent approach to Skills partnership working and delivery led to the North East being chosen to pilot various initiatives, the most well-known being the Career Benchmarks, later rolled out more widely by the Gatsby Foundation, which initiated and funded the scheme. The success of this led to the government launching new statutory guidance for schools on how to deliver careers education with the Gatsby Career Benchmarks at the heart. This legacy is one the team and I are very proud of.

Having a genuinely strategic long-term plan and sticking to it meant we weren’t blown about too much by political headwinds. Being led by the evidence helped to steady the ship through the turbulence of the pandemic, the UK’s exit from the EU, and challenges facing the education landscape post-COVID. Having clear goals with a clear message was really helpful to everyone involved with strategy, policy, and delivery.

A hugely positive development as we move forward is that we will have scope and remit that we haven’t had to date.

You cannot disconnect things like employment and inclusion from health, housing and transport. While before we could go so far in economic development terms, through the new North East Combined Authority, we’ll be able to go much further and connect all these things up.

These significant step changes as we merge into the new combined authority and get more funding and powers are welcomed here and by our partners. I can’t wait to be part of the team to make this happen.

When the Strategic Economic Plan was first introduced by the North East LEP in 2014, no one could have foreseen the UK’s forthcoming exit from Europe – or the fact a global COVID pandemic would hit in 2020, needing simultaneous management by the Business Growth team. The LEP’s unique position between the business community and government placed our role very visibly to the fore. By Colin Bell, Business Growth Director.

Panic. In the early days of the Coronavirus pandemic there was panic everywhere, partly because of the threat to life, to business and fear of the unknown. At the North East LEP we knew how much the business community, more than ever, was going to need our support.

We used the panic to galvanise action. In the first instance, we concentrated on figuring out a remote provision. We immediately introduced a cloud-based phone system and video conferencing and before long we had an infrastructure allowing us to operate and respond as needed.

People were ringing up crying because they were going to lose everything. What was important then was how we coordinated as a Growth Hub network nationally to gather intelligence across the ecosystem and fed that evidence into government so they could rapidly respond to this quickly evolving environment.

We worked round the clock to gather data and get it to the right people. This included weekly reporting that fed into COBRA. Each week we were seeing responses from government based on the data we’d shared. It was a relief to see interventions like CBILS, the Coronavirus Job Retention Scheme, Bounce Back Loan Scheme and other provisions come to life to counter the issues facing business owners, as each one was announced.

Every day required a highly agile, adaptive way of working. Our focus had to be on creating a framework of support based on what the business community needed because the standard provision couldn’t meet people’s needs.

We rapidly developed a plan and where support providers needed to deviate from the norm, we engaged with their funders to ensure this wouldn’t become problematic. As soon as we could, we doubled the number within the Business Growth team.

Securing over £7m of funding allowed us to breathe out for a short moment but even this was problematic. The money needed to be reallocated as grants for businesses to ensure they could continue to operate throughout the restrictions. To make the allocation fair we introduced funding rounds. Of course not everyone was successful and the need was so great, the website went down.

Regular communication was a priority and I found myself on BBC Radio Newcastle every week providing an update.

To complicate things further, the UK’s exit from Europe was well underway. At the Growth Hub, we knew businesses had woefully little time due to the deal being agreed so late.

Our answer to this unique combination of events was the introduction of a hugely successful virtual peer networks programme which drew money into the region and pulled companies together online to discuss challenges faced. Members of each Peer Network were able to put forward questions and issues and work with each other to develop practical solutions.

To complement this, we offered one-to-one support and guided businesses through the latest government support available to them as part of the COVID-19 recovery package.

This Peer Network programme led to 34 sector-specific networks being formed in the North East, catering for businesses in a range of areas, from leisure and hospitality to advanced manufacturing.

Looking back now, the majority of support was as much about mental resilience as business resilience. I know I speak for the whole of the Business Growth team in saying that while helping businesses navigate the dual storms of COVID and Brexit was a challenge, above all it was first and foremost a real privilege.

As the transition to the new North East Combined Authority (NECA) draws close, the increase in devolved responsibility requires a fresh look at governance mechanisms to ensure these are fit for the future and, as ever, a focus on unity so we achieve the best outcomes for the region. By Andrew Hodgson, former Chair of the North East LEP.

Learnings from the last twelve years at the LEP can help inform the future. A useful question to ask is how, despite some initial scepticism towards the North East LEP, we were able to achieve a significant level of local democratic legitimacy.
The answer lies in unity and collaboration.

In the early days of the LEP board, there was, at times, some heavy-duty challenge and debate from some strong personalities. Regardless of this, the decision-making always took us to the right place with the right outcomes in mind.

For everyone involved, the true measure of success was whether we were building a better platform for the future. This principle has existed in the North East LEP from day one and will hopefully continue into the next phase with NECA.

Throughout my time as chair, the rule was that every decision had to be unanimous, which required strategic thinking, partnership, negotiation and compromise.

This worked well – by considering what would benefit the region most, we transcended parochialism because we knew investment wasn’t a zero-sum game.

A good example of this was the decision to award £41,150,000 of Local Growth Fund money to the International Advanced Manufacturing Park (IAMP). Due to IAMP’s location, this funding went to just two of the seven local authorities within our geographical patch, which was politically sensitive.

Regardless, this motion was passed unanimously because we knew that by funding the right projects at the right time and in the right places, the whole of the North East would ultimately benefit.

Being seen as a standout region in doing our best for the next generation is an example of what can be done when politicians, business and the public sector work together in a collaborative way to a common goal.

This approach enabled us to build our influence as a regional voice in Whitehall. Whatever the message to be delivered, I was always clear that I was speaking with a unified voice on behalf of our political leaders and the business community, including all the membership bodies, with the wider community behind us.

I should highlight one area in which the North East is truly blessed. Beyond the façade of economic and political leadership, there are teams of executives working hard to shape and deliver our regional outcomes.

The quality and dedication of our executive teams is among the best I have seen globally, and we must leverage the accumulated knowledge that they have to build better solutions for the future.

Our region’s executives are not always given the platform they deserve, given the size and profile of other regions, but more than make up for it with their quality and clarity of performance.

The North East LEP has never been short of challenge, but equally it has never been short of support from the authorities, the business community and beyond.

As we look to the next phase of economic and social development, I hope NECA can stay brave and take big decisions that create the best chance of really making a difference and that people continue to unite behind it. And as always, the whole region is here to support and collaborate to do just that.

The name of the North East Local Enterprise Partnership (LEP) has always told the story of its purpose. From the very beginning, our efforts have centred on cultivating knowledge and fostering connections. Our goal has been to orchestrate a unified response to the region’s needs, one that is grounded in solid evidence and collective action, says Helen Golightly, Chief Executive.

Unlike the regional development agencies before us, LEPs were formed without large teams or pots of funding. The very business model meant that the only way we were ever going to make an impact was by working across the region and through partnerships.

When we first launched, there was some scepticism and mistrust of LEPs. In fact, in the early days, the North East LEP was criticised for being inward-facing, needing more scrutiny, and spending public money without transparency. Whether justified or not, that perception had to change. If not, failure was inevitable.

The people-focus of the Strategic Economic Plan was fundamental to this step change.

We had to create a living, breathing Strategic Economic Plan and publicise it widely so that every single one of our key stakeholders understood the plan, what we were collectively trying to achieve, and how they could play their part in it. They had to be able to align their own business plans to it. The region needed to own the Plan and buy into it.

It needed to be something that people wanted to read, and when they did read it, find it useful rather than the document languishing online and never seeing the light of day. The North East Strategic Economic Plan had to allow stakeholders to see what sector opportunities there were in the North East, where the jobs would be, and enable leaders to monitor whether the supply and demand for skills were right.

It took a while to get the communications right and work out how best to engage with people on this.

We moved from big, weighty documents to concise, focused reporting, with ongoing engagement through briefings, events, newsletters and digital media. When stakeholders across the public, private and third sectors started to tell us they were aligning their strategic plans with the region’s plan, we knew we were finally making headway.

Making music together

Our leadership role has been about facilitation. I’ve always seen the job of the North East LEP as a little like being an orchestra conductor.

Whatever the playbook of the time, our job has been to identify the best musicians and partners, work out how best to unite them and keep them on the same page to deliver a stellar performance.

Our regional orchestra has played some nice tunes. I’d go so far as to say our business growth, skills and green energy successes are symphonies in their own right.

The right people at the right time

One of the North East LEP’s strengths has been knowing where to turn when, due to our oversight and understanding of the region and its key personalities. Our commitment to hearing diverse perspectives has seen us engage across the board, not just at an executive level.

We also brought the right people into the organisation who we could trust to be our ambassadors. Everyone in the LEP, not just the senior team, was recruited because they wanted to help us live our values of making a difference, being better together, thinking bigger, and doing the right thing. They are all the biggest champions of our region.

Our leadership role worked because at no point did we ever say we knew best. We never had a predetermined plan and never paid lip service.

When we needed to bring the region together, for example, during the COVID pandemic, EU Exit and refreshes of the economic plan, our focus was very much on gathering as many views as possible and listening closely. We reached out to experts in individual sectors because they were the ones experiencing challenges first hand and we needed to understand their perspectives closely.

The realities of political engagement

The devolution process itself has required a lot of input. The North East LEP can take some small credit for providing continuity during the occasionally turbulent process leading up to this and avoiding fractures at an economic and transport level.

Working in a political environment and with central government can be challenging. Over the years, we’ve had to take our time and find ways to bring people on the journey with us.

I’m proud that our team has always been able to forge deep relationships and create safe spaces where people can trust each other and take part in constructive debate. Our relationships with the civil service are seen as best in class and have generally led to better decision-making, funding and outcomes for the North East.

It’s been a privilege to work with our colleagues at the local authorities to prepare for the forthcoming transition to the North East Combined Authority, helping to make this as smooth as possible. It’s a fitting time to hand over the reins, knowing this commitment to partnership working will remain front and centre going forward.

I am very proud of my time as the Chief Executive and the positive impact we’ve made, as well as the foundations we’ve laid for the next iteration of economic development.

From its inception, the North East LEP has ensured that the voice of the business community has been integral to decision making. This remains a priority as we begin a new era with the establishment of the new North East Combined Authority, says Chair Lucy Winskell.

Cast your mind back to the early days of the North East LEP. Tasked with creating the blueprint for improving the regional economy that would become affectionately known as our Strategic Economic Plan (SEP), we were fortunate to have a solid foundation to build upon, as we took the baton from some great people and projects at One North East.

Twelve years have passed since then and the LEP’s people, capabilities and knowledge have continued to grow and develop, and we have seen many of those initial projects (plus many more) come to fruition.

We’re about to move into a new era of regional governance, but again, we have so much to build on as our region continues to evolve.

As with any period of change, I have spent some time looking back at the LEP’s achievements, and I am proud at how diverse and far reaching they have been.

We have been successful, despite hugely competitive funding rounds, in bidding for the Getting Building Fund and the Local Growth Fund, along with establishing the North East Investment Fund, using both Regional Growth Fund and Growing Places resources to create a long-term legacy fund.

We have helped guide the strategic investment of circa £500m from European Funding to support our economic plan, making sure that this complemented and added value to regional funds.

£270m of Local Growth Funding has enabled delivery of a range of strategic capital projects across the region, creating over 11,100 new jobs, 34km of new and improved cycleways, 14km of new roads and 420,000sqm of new and refurbished commercial floorspace.

In 2020 the North East LEP was awarded £47m from government’s Getting Building Fund for local infrastructure projects to support the region’s recovery from the Coronavirus pandemic.

Six of the 20 public and private sector-led projects were included in a ‘Commercial Property Investment Fund’ pilot initiative that has since led to the launch of the regional Commercial Property Investment Fund, replacing the North East Investment Fund. This just shows how the North East LEP has been able to act quickly in times of market need to support organisations, from the smallest size up.

We have been able to support the region’s cultural sector, from the Auckland Castle ‘Welcome Building’ to The Sill, Northumberland National Park’s visitor centre on Hadrian’s Wall.

In our urban areas we have supported fantastic new community facilities including the Eagles Arena on Scotswood Road, the Beacon of Light in Sunderland and NUCastle in Newcastle city centre, all of which are engaging our young people, building their confidence, aspirations and offering employment support.

Let’s not forget the excellent work carried out through the Enterprise Zones, a £155m infrastructure investment programme to date, which, with the Local Growth Fund, has benefited key regional assets such as the International Advanced Manufacturing Park, the District Energy Centre at Newcastle Helix and Northumberland Energy Park – all central to growing sectors of our economy and attracting business investment.

It hasn’t all been about funding – the commitment of the board to partnership working has been exemplary. The strength and commitment of the Local Authority Leaders has been commendable. With their talented finance directors and economic regeneration directors, what a team effort it has been.

There has been exceptional value from the representatives from higher and further education and the voluntary sector, all of which are equal voices on that board. The fact that we have attracted national operators from the private sector has demonstrated a real vote of confidence in our leadership. Throughout the years constructive debate and diverse perspectives have enabled us to succeed even in the most challenging times.

Not every opportunity ended up with a win for our region – not being awarded North East England Freeport status in 2021 hit us hard, despite submitting an incredibly strong, innovative and collaborative bid. But even in our disappointment, we learned from this process and used it to help us secure funding for investment zones and a collaborative green super port.

I’ve been to some very unglamourous places in my time – supporting the creation of routes where future roads ‘might’ go, and visiting disused pits to discuss heat pumps and mine energy – but all these things are critical for the future, and it has been my pleasure to champion and support them.

Our Business Growth team has had some incredible achievements. Its Scaleup North East programme, initiated because insight showed it would have a disproportionate impact on productivity and job creation, has helped us become one of the regions with the highest scaleup rates, having previously had the lowest.

The Skills team has been equally influential. Thanks to its pioneering work through North East Ambition, the North East LEP is firmly on the map as an international exemplar in career guidance.

It’s a fact that the North East LEP has always been regarded nationally as one of the highest performing LEPs in the country. We have consistently worked within our budgets and achieved a lot with a very lean team, because we have recruited the best. We have had a key role working with other pan-regional bodies such as NP11 and Transport for the North and been an influential voice within the LEP Network.

The LEP Board in the early days will become the Business Board of the new Combined Authority and I have the privilege of continuing as interim chair until the mayor and cabinet have the opportunity to review interim working arrangements.

What has been made abundantly clear is that the views of business will continue to be integral to all decision-making. Critically, throughout the transition to this new authority, I am confident and excited about the future of our region and I am sure, like the LEP did 12 years ago, the new North East Combined Authority will continue to build on solid foundations and seize every possible opportunity for our region to thrive.

Research by the Open University and the British Chambers of Commerce shows that 73% of UK organisations are facing skills shortages.

Michelle Rainbow, Skills Director at the North East Local Enterprise Partnership (North East LEP) explains how workplace learning can help businesses overcome shortages, and shares details of support on offer for businesses in the North East.

Evidence tells us that, nationwide, businesses are finding it difficult to recruit the skilled staff they need. And we know this is an issue for firms here in the North East as well.

How can businesses take practical steps to overcome these problems?

The recommendations given by the Open University and the British Chambers of Commerce include exploring how apprenticeships and higher technical qualifications – including T Levels – can help you plug skills gaps and create a culture of lifelong learning in your business.

For businesses based here in the North East, there is good news: we have free, expert support on offer to help you find out how apprenticeships and T Levels could work in your business, and free tools and resources you can use to put them in place.

If you’d like to take advantage of this offer, your first step should be to sign up to two events which are coming up next week, during National Apprenticeship Week 2024.

Firstly, on Tuesday 6 February, we will be holding a free webinar where you can find out about Early Connect: a Department for Education project for apprenticeships which is being piloted in three English regions – including here in the North East. It’s a brilliant opportunity to get extra, practical support with delivering apprenticeships and advertising your vacancies to young people. You can sign up to attend the webinar here.

On Thursday 8 February, our focus will be on T Levels, which can be a way for your business to attract tomorrow’s workforce. You’ll hear from organisations which are already offering T Level industry placements, we’ll tell you about the free support on offer and you’ll leave with tools and resources for your business. Make sure you sign up for this webinar here.

If you’ve been struggling to address recruitment and retention within your business, there is help on offer. Don’t miss out on support for your business.

Find out more and sign up to attend Why an apprenticeship makes good business sense on Tuesday 6 February here.

Sign up to be at How businesses are attracting top talent through T Levels on Thursday 8 February here.

“Today’s announcement from Nissan reinforces the company’s commitment to the North East, and signals a new future for car manufacturing in our region.

“Not only will it protect thousands of existing jobs at its world leading manufacturing plant, it paves the way for more and better jobs as the company accelerates its transition to full electrification by 2030. Nissan’s commitment to manufacture future electric versions of the Qashqai, JUKE, and LEAF models follows a £1bn investment by Nissan and its partners to build a new electric vehicle hub – EV36Zero – which will create a world-first EV manufacturing ecosystem in Sunderland.

“The automotive sector in the North East, and the wider advanced manufacturing industry that supports it, is key to the future success of our region’s economy. Thanks to the adoption of new smart technology across the sector, we’re creating a workforce that is equipped with the skills needed for the jobs of the future. That’s helping to attract investment into the North East and position the region as one of the world’s leading hubs for green energy and advanced manufacturing.

“As a pioneer in electric vehicles, Nissan’s continued investment in the North East means we can capitalise on the huge economic opportunities provided by the transition to electrification. It also means as a region, we can play a leading role in government’s ambition to reach net zero by 2050.”

The North East has been selected to receive up to £7.5m of new investment to drive local innovation and business growth, building on the region’s existing strengths in digital technologies.

Under the Launchpad programme, businesses and researchers can apply for competitive grants and business support for innovation projects that focus on the development of new digital technology that could drive growth in the North East economy.

Colin Bell, Business Growth Director at the North East Local Enterprise Partnership, which is coordinating the programme in the North East in partnership with Innovate UK, said: “We know we have strong digital tech clusters operating in the North East and this new programme will give them access to the finance and support they need to develop and bring to market new software, immersive technologies and artificial intelligence applications.

“The focus of the North East Launchpad is on tech which, once developed, has the potential to drive growth and job creation in other sectors of our economy, from offshore and subsea engineering through to the creative industries.”

The competition opens on 30 October 2023, and interested organisations are invited to sign up for a competition briefing event to find out more.

Grant funding starts from £25,000, with up to £1 million for projects that provide exceptional impact to the digital technologies innovation cluster in North East England, consisting of Northumberland, Tyne and Wear, and County Durham.

The Launchpad programme is funded by Innovate UK, part of UK Research and Innovation. It is designed to build on innovation clusters around the UK that have significant growth potential and to deliver jobs, growth, and higher productivity, supporting the Government’s levelling-up agenda.

The North East Launchpad has been developed jointly by the North East Local Enterprise Partnership (North East LEP) and Innovate UK, and tailored to the region’s needs and circumstances. The projects will contribute to the creation of more and better jobs in the North East, particularly in sectors which have been identified as areas of opportunity, including green industries, advanced manufacturing, retail and town centre renewal.

Successful applicants can receive grant funding for projects, alone or with collaborators, as well as additional support from Innovate UK and local providers as part of management of the local cluster.

Innovate UK CEO Indro Mukerjee said:“Innovate UK is building strong regional partnerships across the UK to support local innovation and commercialisation. Our new Launchpads will help to attract further private sector R&D investment into innovation clusters, growing local economies and delivering societal and economic benefits to local communities.”

Dr David Dunn, CEO Sunderland Software City & Dynamo North East, said:“The announcement of the Launchpad in the North East is a huge opportunity for businesses to drive forward their ideas embrace the opportunities in emerging markets. The digital tech focus is a real recognition that the region is building a strong tech led economy.”

Estelle Blanks, CEO of Innovation SuperNetwork, said: “We already have a critical mass of innovative technology driving market growth in key sectors across the North East. The Launchpad is a welcome opportunity that will help accelerate collaboration across the cluster and the rate and volume of digital innovation taking place in the region, delivering social and economic value to the region.”

To find out more about the North East digital technologies Launchpad competition, and to sign up for a local stakeholder engagement session, visit www.iuk.ktn-uk.org/programme/launchpads.

The North East Local Enterprise Partnership’s Chief Executive, Helen Golightly OBE, has commented on today’s regional labour market statistics, released by the Office for National Statistics (ONS).

The release includes data for the North East statistical region for the three-month period of May to July 2023. The region includes the North East LEP area and Tees Valley.

Helen Golightly OBE, Chief Executive of the North East Local Enterprise Partnership (North East LEP), said: “Despite a rise in the headline unemployment rate in the latest figures, the North East labour market continues to perform well, with both our employment and economic inactivity rates significantly improved on a year ago. That’s testament to North East businesses, who have performed remarkably, even in the face of wider uncertainty.”

The May to July employment total in the North East region was more than 49,000 higher than in the same period of 2022. The working age employment rate increased by 2.7 percentage points over the year, from around 71.4% to 74.1%, the largest increase among the nine English regions. The rise in employment was accompanied by a decrease of about 55,000 in the number of working age economically inactive people, who had been absent from the labour market a year earlier. The number of unemployed people in the North East increased by just over 9,000 in the year.

Helen Golightly continued: “The longer term figures give us cause for cautious optimism, but we need to keep a close eye on the latest figures to see whether the increase in unemployment is short term volatility or the start of a less positive trend. We know businesses are facing significant headwinds – including inflation, which is likely to remain high, and the expectation of further interest rate rises.

“As a region where retail is a hugely important sector, we also know the difficulties faced nationally by Wilko will be echoed for others in the industry, and the recent news of job losses and store closures will create a big hole in many of our regional high streets. It’s a reminder of how important it is to continue to support our local town centres and to focus on building the right environment for businesses to succeed, both now and for the long term.”

Further labour market analysis can be found on the North East Evidence Hub.

Category: News

Helping business navigate the dual storms of COVID and Brexit was a challenge and a privilege

Local democratic legitimacy born from a united front to the North East’s challenges

Success from engagement – how partnership working has always underpinned the North East LEP’s work and outcomes

Continued aspirations for the North East – how the North East LEP’s work will live on in the new world

Free support to tackle your business’s recruitment and retention issues

Lucy Winskell OBE, Chair of the North East LEP, responds to the announcement Nissan plans to invest up to £3bn in electric vehicle production in Sunderland

North East chosen for government funding to drive innovation and business growth in digital technologies

North East LEP reaction to ONS regional labour market statistics