World class economy
Key issue include:
- Supporting and growing our high technology businesses and increase high value employment.
- The need for Oxfordshire to continue to secure inward investment to help existing businesses to 'go global'.
- The need to provide the best possible business support to grow existing businesses.
- Improving infrastructure, in particular transport to reduce congestion.
- Increasing the supply of affordable housing.
- Raising educational attainment, improving workforce skills and encouraging lifelong learning.
- Local regeneration initiatives.
- Improving the sustainability of rural economies.
Current position
Oxfordshire's economy has sustained continued growth and stability over an extended period and is recognised as an economic powerhouse within the South East and UK and also on the world stage. It has an exceptional concentration of research and development (7.9% of the workforce compared with 2.9% for the South East) with world renowned establishments such as the critical triangle of universities, hospitals and medical research leading to high technology spin offs, and the Diamond Synchrotron on the Harwell Science and Innovation Campus. In the South East Plan and the Regional Economic Strategy, Oxford city and central Oxfordshire is seen as a regional hub - a centre of economic activity and a Diamond for Investment and Growth. The county as a whole has strong sectors in tourism, motorsports (Banbury is a sub regional hub and other areas in north Oxfordshire), and publishing industries.
In terms of gross value added (GVA) Oxfordshire performance ranks in the top 10% for the UK, having increased more than Cambridgeshire but significantly less than Berkshire since 1995. Oxfordshire GVA per head has been consistently above the South East average.
Military
The armed forces are the largest employer in the county with 30,000 military personnel at bases in Bicester, Abingdon, Benson, Brize Norton, Shrivenham and Didcot. These bases have special needs, for example changes to employment are expected over the medium term, and these have been reflected in our planning.
Rural economy
The county's market towns depend largely on small businesses to provide the shops and services that communities need.
Oxfordshire is the most rural county in the South East and its pleasant rural landscape, the high quality of its built environment and culture make it a place where businesses want to operate and people want to live and work. Farming plays a vital role in the economy with 78% of the land in Oxfordshire under agricultural management.
Our county is varied and offers visitors and residents a number of unique rural and urban attractions. We work with partners to promote strong tourism brands (for example Oxford, Cotswolds and Bicester Village) which highlights the energetic and cosmopolitan city of Oxford, our bustling market towns, picturesque rural communities and areas of outstanding natural beauty.
Our many historic rural towns and villages provide access to a wide range of goods and services and a base for both established and new businesses from thatching to software engineering and local retail, fi nancial services and distribution. Business is everywhere in the county from isolated rural parishes to high tech business parks near our major road and rail routes.
Culture and leisure
High quality cultural, sport, leisure and recreational activity is a key factor in making Oxfordshire a good place for business. They provide employment and improve the quality of life of everyone in the county. There are more than 70 festivals, world class museums and heritage attractions including the Ashmolean and Blenheim Palace; high quality theatre, art galleries and sporting events and access to the countryside, parks and rivers.
As global competition intensifies, maintaining growth and prosperity becomes more and more challenging and we need to focus on economic regeneration - particularly:
- Urban renaissance of Oxford's West End.
- Developing the Southern Oxfordshire Science Vale as an international centre for innovation and enterprise. The Science Vale is an area of economic growth in southern central Oxfordshire whose future is defined by four points - Harwell science and innovation campus, Milton Park, Didcot and Grove.
- Developing the Bicester economy with greater emphasis on a high value, high wage, and high tech economy to keep pace with planned housing growth.
- Developing the Banbury economy by attracting mid and high-tech industries.
Workforce skills
Although the county has the highest concentration of degree level qualifications of any county (at the time of the Census 2001 survey, around 28% people aged 16 to 74 in Oxfordshire had a degree or higher, the highest proportion of any county in England), a significant proportion of the working age population are without qualifications and are therefore ill equipped to meet the needs of businesses operating in very competitive markets. Despite this high percentage of graduates and the low rate of unemployment, the county has 30 areas within the worst 10% in England on education, skills and training deprivation and three areas in Oxford ranked within the worst 1% in England on this measure.
According to the 2005 National Employer Skills Survey, Oxfordshire employers were more likely to have recruitment issues and skills gaps than in either the Milton Keynes, Oxfordshire and Buckinghamshire area as a whole or across the South East region.
Educational attainment in our schools is a cause for concern with performance not as strong as in comparable areas of the country. There is a need not just to raise GCSE performance in schools, but for all young people in the county to aspire to share in the sense of opportunity which its economy provides.
Investment in transport and housing infrastructure lags behind the pace of economic development. This has contributed to increasing levels of congestion and shortages of affordable housing. The lack of affordable housing is especially a problem for those in essential service jobs not sharing in the high wage economy.
Traffic congestion nationally and locally is getting worse. As the population grows it is likely that congestion around the county will continue to worsen unless action is taken to address it. Taking into account national and local travel trends and levels of committed and expected future development, growth in all traffic on Oxfordshire roads is predicted to be over 25% over the period to 2026 - well above the national average of 18%.
Oxfordshire is a mostly rural county and for many the car is (and for the foreseeable future will continue to be) the predominant mode of travel. However a significant minority do not have access to a car, affecting their ability to reach services and employment. The county's road network is well-developed, and provides car users with direct links to all major destinations. However, for those people who do not have access to a car for all or part of the time, getting to key destinations can be far from easy.
Improvements to the railways such as East-West Rail, improvements to Oxford Station as well as smaller schemes at local stations (for example Grove) have the potential to improve public transport services. Enhancements to bus infrastructure will have a similar impact. The county council has secured funding from Government for a major project called 'Access to Oxford', including improvements for rail, bus and general road traffic, which is to be delivered in 2013-2015.
The need and demand for affordable housing (social, rented and intermediate) is high in Oxfordshire as it is throughout the South East region and beyond. However, lack of land and the desire to protect the county's unique historical, environmental and cultural heritage will inhibit our ability to satisfy demand.
Oxfordshire is in a strong position to sustain economic growth. There are some things that Oxfordshire has right and should treasure - the balancing of economic and environmental interests and the links between universities, science, innovation and entrepreneurism.
We pledge to
- Collaborate across public, business and voluntary sectors to build on Oxfordshire's economic success.
- Create the conditions for everyone to have access to jobs.
- Ensure that educational attainment and skill levels are amongst the very best in the country so we provide a well qualified, motivated workforce to meet the needs of business.
- Grow the economy whilst achieving a sustainable balance between jobs, housing and the environment.
- Tackle traffic congestion across Oxfordshire, particularly on trunk roads and around market towns, Oxford city and other hot spots.
- Reduce the gap between the best and the worst off by targeting our work appropriately.
How we will measure success
By 2030 we expect:
- Education and skills levels to have risen well above the national average.
- GVA (gross value added) to be in the top 10% nationally.
- The ratio of housing supply to demand and the quality and affordability of housing to be improved.
- Those who are of working age but not in work, full time education or training and those not actively seeking work, to be the lowest in the country.
- Oxfordshire to be known throughout the world as a centre of science and innovation excellence.
- Journey times on Oxfordshire roads to be within the most reliable 10% in the country.
- Access to services and facilities by public transport, walking and cycling to have improved.
Our priorities for action
Details of action planned for the medium and longer term are set out in the accompanying delivery plan.
Key partnerships to develop the theme
- Oxfordshire Economic Partnership
- Learning and Skills Partnership
- Housing Partnership
- Environment Partnership
- District Local Strategic Partnerships
