APPENDIX 1 Cowdenbeath Area Economic Profile Report A report to Fife Council from GEN July 2010 GEN 4th floor, 137 Sauchiehall Street GLASGOW G2 3EW TABLE OF CONTENTS 1 INTRODUCTION ................................................................................................................ 4 CONTEXT ................................................................................................................................. 4 GEOGRAPHY ............................................................................................................................ 4 REPORT STRUCTURE ................................................................................................................ 5 2 ECONOMIC AND POLICY CONTEXT .............................................................................. 6 ECONOMIC CONTEXT ................................................................................................................ 6 POLICY CONTEXT ..................................................................................................................... 7 SUMMARY .............................................................................................................................. 10 3 BUSINESSES AND ENTERPRISE ................................................................................. 11 ISSUES AND CHALLENGES ....................................................................................................... 11 ASSETS AND OPPORTUNITIES.................................................................................................. 15 SUMMARY .............................................................................................................................. 18 4 PLACES AND ENVIRONMENT ...................................................................................... 20 ISSUES AND CHALLENGES ....................................................................................................... 20 ASSETS AND OPPORTUNITIES.................................................................................................. 23 SUMMARY .............................................................................................................................. 24 5 PEOPLE AND SKILLS .................................................................................................... 26 ISSUES AND CHALLENGES ....................................................................................................... 26 ASSETS AND OPPORTUNITIES.................................................................................................. 33 SUMMARY .............................................................................................................................. 34 6 SUMMARY ....................................................................................................................... 35 CONTEXT ............................................................................................................................... 35 BUSINESSES AND ENTERPRISE ................................................................................................ 35 PLACES AND ENVIRONMENT ................................................................................................... 36 PEOPLE AND SKILLS ............................................................................................................... 36 CONCLUSIONS ....................................................................................................................... 37 Report completed / submitted by: David Eiser Date: July 2010 1 Introduction This report sets out an economic profile of the Cowdenbeath Area, structured in line with the three themes of: business and enterprise; places and environment; and people and skills. 1.1 Context In its ‘Building Stronger Communities1 statement, Development Services explains how it will narrow the gap between the most and the least deprived communities in Fife. It highlights the need to improve skills, jobs and incomes, as well as securing an excellent quality of physical environment. 1.2 This Economic Profile Report sets out the needs of the Cowdenbeath area, examines what assets the Area can capitalise on, and identifies new opportunities which will benefit the community. A separate Action Plan identifies how the Cowdenbeath Area Committee and its partners will respond to these challenges. 1.3 Geography Throughout this report, the ‘Cowdenbeath Area’ is defined as the area covered by the Cowdenbeath Area Committee. It consists of three wards, (wards 7, 8 and 9) shown on the map below (Figure 1.1). The Area includes the settlements of Cowdenbeath, Kelty, Lochgelly, Cardenden, and Ballingry. 1.4 1Building Stronger Fife Communities Statement, Fife Council (2009) Figure 1.1: Map of the Cowdenbeath Area Report Structure 1.5 The report is presented as follows: Section 2 provides an overview of the wider economic policy context and the local policy context; Sections 3, 4 and 5 set-out the issues/ challenges and assets/ opportunities that the Cowdenbeath Area has within each of the three themes of: Business and enterprise; Place and environment; and People and skills Section 6 concludes. 2 Economic and policy context It is essential that the Regeneration Action Plan for the Cowdenbeath Area is grounded within the existing economic and policy context. This section sets out briefly the current economic context at Scottish level, and the key Fife-wide economic development and community regeneration policy. 2.1 Economic context The Scottish economy is beginning to emerge from the deepest recession since the 1930s (Figure 2.1). This has had a major negative impact on employment. Across Scotland, there were around 60,000 fewer jobs in 2009 compared to pre-recession levels of employment. The Scottish economy is not expected to return to growth until 2011, and the jobs lost during the recession are not forecast to have been replaced until post-2012 (Figure 2.2). 2.2 Future employment growth is anticipated to be driven by private sector employment in high value sectors. The recent report by the UK Commission for Employment and Skills, Towards Ambition 2020: Skills, Jobs and Growth in Scotland highlights the critical importance of having more and better skilled people to make this transition. At the same time, public sector employment is likely to fall – the March 2010 budget set out proposals to make £20 billion of savings in public expenditure through ‘efficiency savings’, scaling back spend in some areas, and public sector pay constraints. 2.3 Figure 2.1: Scottish quarterly GVA growth, 2000 - 2009 Quarterly Scottish GVA growth Source: Scottish Government 2 1.5 1 -1 -1.5 -2 -2.5 -3 2009 Q3 2009 Q2 2009 Q1 2008 Q4 2008 Q3 2008 Q2 2008 Q1 2007 Q4 2007 Q3 2007 Q2 2007 Q1 2006 Q4 2006 Q3 2006 Q2 2006 Q1 2005 Q4 2005 Q3 2005 Q2 2005 Q1 2004 Q4 2004 Q3 2004 Q2 2004 Q1 2003 Q4 2003 Q3 2003 Q2 2003 Q1 2002 Q4 2002 Q3 2002 Q2 2002 Q1 2001 Q4 2001 Q3 2001 Q2 2001 Q1 2000 Q4 -0.5 2000 Q3 0 2000 Q2 Percentage growth 0.5 Figure 2.2: Scottish net employment change scenarios Forecast Scottish net jobs growth under three scenarios High scenario Central scenario Low Scenario Source: Fraser of Allander 80,000 60,000 40,000 20,000 0 2009 2010 2011 2012 -20,000 -40,000 -60,000 -80,000 -100,000 Policy context Fife Council Plan The Fife Council Plan 2007-11 sets out a Vision for Fife as ‘a truly great place to live, work and visit’. This Vision is underpinned by 8 key priorities (known as the ‘Big 8’). These are: 2.4 Improving educational attainment and achievement for all Making Fife the leading green council in Scotland Increase access to housing Improving local conditions for economic development Improving sport, leisure and cultural opportunities Targeting support to vulnerable people Improving community safety; and Becoming a top performing council. The Economic Strategy for Fife 2009 – 2020 The Economic Strategy for Fife 2009 – 2020 outlines a ‘new direction’ for the Fife economy that integrates sustainability, promotes inclusion and generates strong and stable economic prosperity. It sets out an aspirational vision for Fife in 2020. This vision is that Fife is: 2.5 The easiest place to do business – where a flexible business infrastructure and responsive services for new and growing businesses ensure that Fife is the location of choice for business investment from any industry sector; and A centre of excellence for renewable energy – where Fife’s strengths in providing an excellent business environment for renewable energy manufacturing, research and services have led to the region becoming a leader in renewable energy. In addition, the Vision sets out how Fife will become the first location of choice where people and businesses choose to invest, work, learn, visit and live. Fife will become more prosperous, more inclusive, adaptive to change, and more environmentally conscious. 2.6 To achieve the Vision, the Economic Strategy sets out six strategic objectives, shown in Table 2.1 below. 2.7 Table 2.1 Fife Economic Strategy Strategic Objectives Fife Economic Strategy Strategic Objectives 1 Increase the number of employees in medium and large enterprises by 10% (6,000 jobs) 2 80% of working age population in employment 3 Attract private sector investment through Invest in Fife of £550m 4 Double the amount of business expenditure in R&D to £36m 5 Grow Fife’s tourism revenue by 20% (£51m) 6 Increase the number of people employed in green jobs by 2000 (i.e. to grow the number of people employed by 2,000, not to grow the number of people employed by the year 2,000) To achieve these objectives, the Strategy identifies six ‘outcome themes’ which are: 2.8 Supporting the growth of dynamic businesses – including enhancing supply-chain procurement opportunities for Fife-based companies, and attracting more inward investment. Extending employment and skills opportunities – including the restructuring of Opportunity Centres to become a flexible network of seamless employability support services, improving the accessibility and targeting of employability services in deprived areas of Fife, widening opportunities for engaging those without work in activities that will move them towards training and employment; capitalising on training and employment opportunities afforded by major capital projects; and expanding locally-based degree level provision in Fife. Developing a modern business infrastructure – including the remediation of key employment land sites in Fife to stimulate inward investment and business expansion, stemming retail leakage outwith of Fife, and supporting renewable energy infrastructure projects. Improving our knowledge and research base – including the provision of support to stimulate innovation and growth in SMEs, and establishing a knowledge-transfer network between local companies and educational institutions across Fife. Growing business and employment in key sectors – including promoting the tourism economy and supporting tourism businesses, supporting renewable energy projects, and connecting niche sectors in Fife to city-region activities. Stronger communities through regeneration – including ensuring that renewable energy developments enhance the regeneration of deprived areas; supporting social enterprises as a key part of the local economy in priority areas; tackling inequalities through investing in town centres, developing business incubator units, and delivering the ‘Be your own boss’ programme in priority areas. Building Stronger Fife Communities Statement The Building Stronger Fife Communities Statement sets out how Development Services will narrow the gap between the most and least deprived areas of Fife, by addressing the causes of poverty (not just the symptoms). It focus on the ‘basic building blocks’ of society – skills, jobs and incomes – and also considers how town centres are supported to become ‘vital and vibrant’ centres of their communities. 2.9 The Statement describes how Development Services can play its part in improving local conditions for economic development by focusing on the three themes of: people and skills, places and environment, and businesses and communities: 2.10 Under people and skills, priorities are to support those furthest from the labour market as well as those ‘job ready’; introduce employers to the benefits of recruiting from priority groups; re-motivating low achieving 14-19 year olds on work skills and qualifications; encouraging a movement up the skill-ladder for those currently in entry level jobs; and valuing creativity to help deliver new sustainable businesses and support the local economy. 2.11 For places and environment, priorities include: tackling dilapidated properties; investing in town centre vibrancy and vitality; introducing quality landscape areas; developing image and identify for each community; and promoting sustainable lifestyles. 2.12 For business and enterprise, priorities include: providing accessible business start-up support through ‘Be Your Own Boss’, providing business incubation to encourage small business growth and entrepreneurship; expanding social enterprise’s role as a key part of the economy and job market; and supporting small town centre businesses. 2.13 Opportunities Fife Strategy Opportunities Fife is the partnership responsible for driving forward the employability and skills agenda in Fife. The Opportunities Fife Strategy 2009 – 12 outlines the partnership response to tackling unemployment and high levels of dependency on ‘workless benefits’, and focuses on partnership action to provide targeted support to connect people to learning, skills and jobs. 2.14 The overarching target for Opportunities Fife is to see a return to prerecession employment levels, and achieve an 80% employment rate by 2020. The Strategy identifies 10 priorities, which include: removing barriers to employment; enhancing skills levels and providing access to flexible training; maximising work opportunities through volunteering, social enterprise and business start-up, narrowing the gap in economic activity rates between the most and least deprived areas, and to promote sustainable employment and progression in the workplace. 2.15 Summary The economic climate during the past two years has been extremely challenging, and the Scottish economy has contracted by 6% since 2008. Although there are signs that Scotland’s economy is now poised to move out of recession, it will probably not be until 2012 before the jobs lost during the past two years have been completely replaced. The post-recession economy will look quite different, with a much higher proportion of the workforce employed in higher skilled occupations, and less reliance on the public sector as a source of employment. 2.16 Fife’s economic and community development polices aim to respond to this agenda, and set the broader context within which the Cowdenbeath Area Action Plan must fit. Across these policies, the emphasis is on improving employment prospects through strengthening and diversifying the economy into key growth sectors (especially tourism and renewable energy), supporting business growth through the provision of appropriate infrastructure and support, addressing poverty and deprivation by improving skills and removing the barriers to employment, and improving the quality of the natural and built environment. These priorities are reflected in the actions identified for the Cowdenbeath Area later in this document. 2.17 3 Businesses and Enterprise Issues and challenges Key sectors Some 10,200 people are employed in the Cowdenbeath Area, with a strong reliance on public sector employment - 48% compared to one third nationally (Figure 3.1). This poses a significant risk given the likely reduction in public sector budgets over coming years. 3.1 The Cowdenbeath Area economy is still making a slow transition to a higher-value service economy, with only half as many people employed in finance, business services and other services compared to Scotland as a whole. 3.2 Figure 3.1: Employment by sector Employment by sector Scotland Source: ABI Fife Cowdenbeath Area Percentage workforce employed 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% se rv ic es O th er he al th & Pu bl ic co an d m Ba nk in g, fin an ce ta nd or sp an Tr ad m in is tra tio n, ed uc at io n in su ra nc e, io at ic un m re d an s te l ho tio n, bu tri is D et c ns nt s ra st au st on C M an uf ac t ru ur in ct io g n 0.0% The bubble chart below (Figure 3.2) shows how recent change (20068) in sectoral employment in Cowdenbeath Area compares to the national picture. Employment in public sector activities has grown much more strongly in Cowdenbeath Area than nationally. Service sector employment in Cowdenbeath Area has tended to decline, while increasing nationally. On the positive side, manufacturing employment has declined slightly less slowly in Cowdenbeath Area than across Scotland as a whole. 3.3 Figure 3.2: Sector employment, 2006-8 Key sector trends Source: ABI Banking, finance and 8% etc insurance, Employment growth in Scotland, 2006-8 6% Construction 4% Other services 2% -40% -20% 0% Distribution, 0%hotels and restaurants -2% 20% 40% 60% 80% Public administration,education & health -4% -6% Manufacturing -8% -10% Employment growth in Cowdenbeath Area 2006-8 Income The lack of higher value employment opportunities is reflected in lower average weekly wages, which range from £340-£360 in the Cowdenbeath Area, significantly below the Fife average of £455 and the Scotland average of £457 (Figure 3.3). Cowdenbeath Area has not been as successful as other parts of Fife in diversifying into new growth sectors. 3.4 Figure 3.3: Gross weekly income Average gross weekly income (2004) Source: NOMIS £500 £450 £455 £457 Fife Scotland £400 £350 £361 £341 £340 Lochgelly and Cardenden The Lochs £300 £250 £200 Cowdenbeath Key employers There are few large private sector employers in the area (Purvis Group and FFDR in Lochgelly, S M Bayne & Co in Lochore and Shell’s Mossmorran site are amongst the largest). However, the area is well represented by social enterprises, including Recycle Fife (employing 38 people), BRAG Enterprises (employing 14), Furniture Plus (employing 16), and others including Transfife and Living Solutions. These social enterprises now make a significant contribution to the area in terms of employment, and also in terms of contribution to social objectives. The area’s towns, particularly Cowdenbeath, benefit from a relatively high proportion of independent businesses and retailers, which contribute to a sense of business diversity. 3.5 Retail development The Fife Retail Capacity Study 2009 identifies capacity for an additional mid-size supermarket (5,000 sq m) in the area. The development of new retail capacity is seen as important in stemming retail leakage from the area, in other words in reducing the extent to which people travel outside of Cowdenbeath Area (and Fife) for shopping and leisure purposes. A number of potential sites have been identified for a new retail development (in Cowdenbeath and Lochgelly), although no firm decisions have been made as yet. The potential of new retail development poses both an opportunity and a threat – the opportunities relate to the new employment opportunities arising for local people, although the threat is that existing independent retailers may find it harder to compete. 3.6 Employment land The Fife Employment Land Audit 2008 identifies that the availability of employment land in the Cowdenbeath Area is highly constrained. Since its publication, the Council has responded by committing to service sites at Cowdenbeath town and Lochgelly, and making some land acquisitions. Furthermore, the Mid-Fife Local Plan identifies that two of Cowdenbeath’s key industrial sites (the 11ha Thistle Industrial Estate and 3ha Woodend Business Centre) are ageing and are in need of redevelopment. It is anticipated that future housing development in the town will cross-subsidise refurbished and improved business facilities, and this will be critical both to attract new business investment, but also to retain existing employers. 3.7 Business premises 3.8 The Area’s employment premises are also constrained. Fife Council manages a portfolio of 28 business units, all of which were occupied in 2009. However, the Area is generally better provided for in terms of incubator premises. A number of incubator units, small offices and business units are let by BRAG Enterprises in Lochgelly and Crosshill. In the medium term, the development of the Lochgelly Business Centre, including 21 offices in the town centre will benefit greatly as a result of the successful application of Fife HARCA (Housing Association Regeneration Alliance), a subsidiary of Ore Valley Housing Association based in Cardenden, to the Town Centre Regeneration Fund. A gap site in a prominent location on Main Street will be brought back to life through the development of a business centre that will support new business development and job creation in the town. The building itself is cutting edge in terms of its energy efficiency, the first of its type in Scotland. Enterprise Figures on business start-up are not available at small area level. Analysis of business start-up rates shows that business start-up rates are consistently lower in Fife than nationally (Figure 3.4). However, there is no real difference in business survival rates between Fife and Scotland as a whole (Figure 3.5). 3.8 Figure 3.4: Business start-up rates Business Birth Rate Source: ONS Business Demography 2008 60.0% 56.1% 52.3% 50.4% 50.0% 46.5% 47.1% 44.4% 44.0% 40.4% 40.0% 38.1% 37.7% Fife Scotland 30.0% 20.0% 10.0% 0.0% 2004 2005 2006 2007 2008 Figure 3.5: Business survival rates 3 Year Business Survival Rate Source: ONS Business Demography 2008 100.0% 93.4% 93.3% 90.0% 77.4% 76.7% 80.0% 70.0% 64.0% 62.8% 60.0% Fife Scotland 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 1yr 2yr 3yr Number of Years Looking forward The key growth sectors for Fife in coming years are anticipated to be renewable energy, tourism, creative and technical industries, and construction. Cowdenbeath Area has not yet capitalised significantly on the growth of the tourism or ‘green’ economies, although it has scope to do so through new tourism opportunities linked to the natural environment, and new specialist business premises at Westfield (described below). There may be scope to capitalise more effectively on opportunities elsewhere in Fife, by linking Cowdenbeath Area businesses into supply chain opportunities at Fife Energy Park, and by ensuring that the Area has a supply of high quality sites, premises and skilled people. 3.9 Assets and opportunities Promoting enterprise The Be Your Own Boss (BYOB) programme has been operational in deprived areas of Fife for several years, providing support to individuals who are interested in self-employment (40 clients were assisted by BYOB in the Cowdenbeath Area in 2008/9). In the Cowdenbeath Area, BYOB has been running a popular Business Club in the Lochgelly Miners Institute for several weeks, and there is appetite to roll this out in other community centres, especially Cowdenbeath town, if appropriate premises can be identified. BYOB is working closely with Ore Valley Housing Association to ensure that sole traders are made aware of the new business units being developed. 3.10 In other parts of Fife, BYOB is also embedded in Jobcentres, and is now exploring the possibility of establishing a presence within the Cowdenbeath Jobcentre Plus office. A wide range of other support exists to businesses in the area, including business start-up advice from Business Gateway (69 new businesses were assisted in the Cowdenbeath Area in 2008/9), the Fife Council Supplier Development Programme (which supports businesses to access public sector procurement opportunities, and which has 14 businesses registered from the Cowdenbeath Area); and the Fife Council Market Development Programme (to help companies enter new markets). The challenge here is to continue to raise the profile of these opportunities to the indigenous business base, and to maximise their uptake. 3.11 Developing a tourism niche Lochore Meadows Country Park is a key asset (described further in the section on Environment), and there is scope for the Park to make a more significant contribution to the local economy. Currently, most visitors to the Park are local, generating annual spend in the economy of around £3m. (In contrast, the Fife Coastal path, which attracts the same number of visitors, generates spend of around £22m). A key challenge is therefore to widen the Park’s appeal and maximise the Park’s economic contribution to local communities. 3.12 Other, related tourism developments are also underway. Proposals are now well developed for the restoration of the St.Ninians opencast coal site to the west of the M90 to be restored as dramatic and visually arresting public parkland. The restoration will encompass landscape scale public art, 10km of surfaced walkways, a water feature and interpretation. The concept, to be known as the Fife Earth Project, has the potential to become a major tourism destination for Fife (a recent economic impact assessment suggests that it could attract 150,000 visitors per annum), but, as with Lochore Meadows, the challenge will be to ensure that local communities experience an economic impact as a result. 3.13 The proposals for St.Ninians are closely linked to the allocation of 9ha of land immediately to the south, at Junction 4 of the M90, for tourism uses. Planning consent has already been granted for a hotel and chalet development, and several other proposals are being discussed. Other tourism projects in the pipeline include the expansion of the network of trails and facilities at Blairadam Forest, potentially to include a Sculpture Park, and scope to expand the path network around Benarty Hill and towards Kinrossshire. 3.14 The challenge with tourism developments is to ensure that they maximise their contribution to the local economy. To do this means ensuring that more visitors are attracted to the area from elsewhere. There is potentially scope to market all the attractions in a more co-ordinated way as part of this, possibly around the shared theme of nature or adventure tourism. It also means ensuring that visitors to new attractions are encouraged to visit and spend money in the Area’s towns and businesses. This will require appropriate signage and marketing to be developed. 3.15 It may also require supporting existing businesses, which often serve a local clientele, to make the transition to providing for tourists and visitors from elsewhere. Tourism has been identified as a key sector for Fife, and support for the sector includes a newly established Tourism Business Network. The network provides a forum for networking and information dissemination among tourism businesses, helping businesses to raise their profile and improve the quality of their offer. 3.16 In addition, six sub-area Tourist Associations are being developed across Fife. The Cowdenbeath Area will be covered by the Kirkcaldy and MidFife Tourist Association which is currently being developed. The Associations will play a critical role in deciding how the area is branded and marketed, and then bidding for resources from the Fife Tourism Partnership to realise the identified priorities. There is scope to raise awareness of tourism opportunities among existing Cowdenbeath Area businesses, help them respond to the demands of visitors, and to encourage them to become involved with existing partnerships and networks (both the Tourism Business Network and the Tourist Association). 3.17 Social enterprise: at the heart of business Social enterprises in Cowdenbeath Area contribute significantly to employment locally, as well as contributing to social well-being through environmental and community projects. Fife Council has until recently provided both strategic and operational support to the sector. The Government has announced significant changes in how support will be provided to the social enterprise sector from 2011, and this will see the Council play a more strategic, and less operational, role in supporting the sector. However, the Council and its partners have confirmed their continued commitment to ensure that the Area’s social enterprises receive the support they require to make a full contribution to the economy. 3.18 Capitalising on the renewable energy economy The Fife Economic Strategy identifies renewable energy as a key growth sector for Fife. In the Cowdenbeath Area, renewable energy has todate had less of a presence than in some other parts of Fife, but Ore Valley Housing Association is pursuing two ambitious renewable energy schemes. One of these is a community wind development at Dundonald near Cardenden. This wind development will be part-owned by the community, with profits being available to spend on local projects. The scheme is anticipated to go for full planning application in the next 12 months. The other is a combined heat and power scheme at Cardenden which will supply hot water to 1500 homes, and potentially, could also support commercial uses (e.g. agriculture requiring hot water as a heat source). 3.19 Both these schemes provide an opportunity for the Cowdenbeath Area to capitalise on wider policy goals to pursue renewable energy. They will create employment and business supply opportunities both during construction and their operation, and the Housing Association is already working with local suppliers to ensure local benefit. 3.20 Developing a new green business cluster at Westfield A significant longer term opportunity exists at the Westfield Green Development site. The Westfield site itself occupies an area of some 390ha, and has been subject to opencast mining since the 1950s. A 65ha part of the site has been allocated as a Green Business Park. The masterplan for the site envisages a small wind farm and biomass plant (for which planning permission has been granted) which would sell energy to local businesses, as well as business space for uses including recycling, waste treatment, and renewable energy technologies. Realisation of these proposals could clearly generate significant benefits for the local area. A number of major barriers remain to be overcome including the considerable costs that will be involved in land remediation, and the fact that the Council has no stake in the land ownerships. This is a major opportunity for the area, but significant work will be required to move it forward. 3.21 Summary The Cowdenbeath Area economy is characterised by a reliance on the public sector (which employs almost 50% of the workforce) and relatively lowskilled manufacturing and distribution sectors, as the main sources of employment. The Area’s economy has been relatively slow to diversify into higher value service sector. This has an impact on average wages, which are £100 per week less in the Cowdenbeath Area than in the rest of Fife. On the positive side, the Cowdenbeath Area has a strongly performing social enterprise sector, and is witnessing the construction of new, high-quality business incubator premises at Lochgelly. 3.22 The challenges for the Cowdenbeath Area economy are to diversify the economy and in so doing to provide an additional 1,000 jobs for local residents. The Area has a number of key opportunities which could contribute towards this goal. In the short-term, the challenge is to stimulate local entrepreneurship, by maximising take-up of enterprise and business support activities available, and by continuing to support the Area’s social enterprise sector. 3.23 In the medium and longer term, the Area has a number of significant opportunities to build on. These include the potential to develop a cluster of tourism activity, anchored on Lochore Meadows and the landscape architecture project at St. Ninians, and incorporating improved facilities for visitors throughout the Area – including an improved network of paths and trails, and a wider accommodation and food and drink offer. Longer term, the opportunity to develop a regionally significant green business park at Westfield has the potential to create substantial jobs, and to help the Cowdenbeath Area capitalise on the green energy economy, which is a priority for Fife and Scotland. 3.24 4 Places and environment Issues and challenges The study area includes the towns of Cowdenbeath (population 12,000), and the former mining towns of Kelty (population 6,000), Lochgelly (6,000), Ballingry and Lochore (6,000), and Cardenden and Dundonald (5,000). 4.1 Town centres The town centres are generally well perceived within the local area, although, in keeping with the rest of the country, the recession has led to an increase in the level of vacant and redundant shop-front premises in most settlements. A key challenge will be how to work with landlords to either market these premises, secure funding for redevelopment, or convert to alternative (possibly temporary) uses. 4.2 Housing In partnership with Housing Associations, the area has already benefited from a range of new housing, including sheltered housing, and refurbishment of the existing housing stock. There is a perception that there is a shortage of housing in the Area and owner occupation in the area is 60%, significantly below the Fife average of 69% (Figure 4.1). This reflects some issues of housing affordability, and issues around the suitability of the housing mix in some settlements. The strategic allocations to build 375 houses in Kelty and Ballingry, and 1,700 in Lochgelly, will help to address these issues. The Home Ownership Improvement Scheme, which allows people who are struggling with mortgage payments to begin renting their property from a Housing Association, has helped many residents to keep their homes during the recession. However, there are fears that the shortage of homes, particularly for young couples and families, is worsening, and could become critical in the next few years as shortages feed through to increasing prices. 4.3 Figure 4.1: Housing tenure Housing tenure Owner Occupied Other Social Landlord Private Landlord Council Source: KnowFife/ Scottish Government Housing Statistics 120.0% 100.0% 18.4% 13.4% 6.0% 4.9% 9.5% 30.3% Percentage 80.0% 3.3% 6.0% 60.0% 11.0% 40.0% 68.5% 59.9% 62.6% 20.0% 0.0% Cowdenbeath Economic Area 2009 Fife 2009 Scotland 2008 Greenspace The recent Fife Greenspace Audit (2009) shows that the Cowdenbeath Area scores ‘reasonable’ on quantity and accessibility of its greenspace, but ‘poor’ in terms of the quality of greenspace, with many greenspace areas unfit for purpose, and characterised by anti-social behaviour (Figure 4.2). The forthcoming Fife Greenspace Strategy will set out how the Council intends to ‘create a strong network of life-enhancing greenspace’, but the priority within the Cowdenbeath Area is clearly on enhancing quality rather than increasing quantity. 4.4 Figure 4.2: Results of Fife Greenspace Audit Natural environment The Cowdenbeath Area benefits from a number of significant environmental assets. The 486ha Lochore Meadows Country Park is a significant asset for the area, attracting 536,000 visits in 2009. Reclaimed from former mine works, and opened in 1976, the Country Park is already well equipped for visitors, featuring a visitor centre, walking and biking trails, boating facilities, café, play area and outdoor education centre. 4.5 The recently prepared Development Plan sets out further aspirations for the Park, including improved catering facilities, a new visitor centre (feasibility study underway), new mountain bike trails (recently completed), canoe slalom facilities, camping facilities, and various biodiversity projects. Other assets include Blairadam Forest and Benarty Hill, where a growing network of paths is being developed in response to the Fife Core Paths Plan. There are also a number of community woodlands including the Leuchatsbeath Community Woodland which is now well established and will be an important greenspace provision for the northern extension of housing in Cowdenbeath. Scope to develop these assets for the benefit of local communities and businesses was discussed in the preceding section. 4.6 Community venues The area is generally well-served by community venues, some of which are being renewed. A new community centre will be built in Benarty in 2011/12, bringing together three existing centres. Longer-term plans are also being developed to develop a community centre in Kelty, which the community is taking forward. The Lochgelly Centre is about to undergo a major £2.4m programme of refurbishment. On reopening in late summer 2011, the building will house a new community library, as well as continuing to act as a hub for community arts events and learning, including exhibitions, performances and workshops. 4.7 Assets and opportunities Improving town centre high streets Several of the area’s town centres have benefited from significant investment to improve shop fronts. Fife Council’s shopfront improvement programme has been operational in Lochgelly, Cowdenbeath, and Kelty, offering grants to businesses of up to £1,000 to improve shopfronts and access to specific retail training. Take-up has been significant, with over £36,000 of grants taken up in the past two years, making a real difference to the appearance of the towns, and it may be possible to roll-out the programme to other settlements, including Benarty and Cardenden. However, many of the towns are affected by the poor appearance of redundant or vacant buildings, and it is often difficult to have any influence over this, where these buildings are in private ownership. Working with private landlords to market premises and make premises available for appropriate uses will be a key challenge. 4.8 Other specific opportunities include the emerging plans to develop a public square and area of public realm in central Cowdenbeath town (part funded through previous developer contributions as part of another scheme), and the Town House in Lochgelly, a listed building currently occupied by the Council, but which will become vacant once the new Lochgelly Centre is completed. 4.9 The Lochgelly Charette Lochgelly has been allocated as a Strategic Land Allocation within the Fife Structure Plan 2006-2026. A Strategic Design Framework sets out aspirations for the town, which include 1,700 new homes (of which 5% will be ‘affordable’), 25ha of business land, community facilities, a new primary school and health centre, improvements to Lochgelly rail station and improved park and ride facilities. This significant opportunity, which has the potential to double the size of Lochgelly, has culminated in the town’s selection as one of only 11 projects selected to take part in the Scottish Sustainable Communities Initiative (SSCI). The Lochgelly ‘Charette’ as it is known is a high-profile initiative nationally, aiming to deliver well connected and pedestrian-friendly settlements that represent ‘best practice’ in town centre regeneration. The key challenges here are to ensure that local people and businesses benefit, both during construction, and also as a result of new business activity. 4.10 Central Park Cowdenbeath: long-term regeneration potential In the longer-term, Cowdenbeath FC would like to re-locate to a new site within the area. To do this, the Club will need to realise the development value of its existing land asset in Cowdenbeath town centre. The Local Plan envisages a predominantly residential use for the town centre site once it has become vacated, with some ancillary retail and/or commercial uses also permitted. This could significantly contribute to the vibrancy and sustainability of the town centre, although this is very much a long-term opportunity, following the possible relocation of the Football Club. 4.11 Summary The Cowdenbeath Area consists of a number of small and mediumsized towns – Cowdenbeath town, Lochgelly, Kelty, Ballingry, Lochore, Cardenden and Dundonald. The towns are the lifeblood of the Area, and play a key role in influencing the perception of the Area held by people elsewhere. Recently the Area’s town centres have struggled during the recession, but they benefit from a good range of community facilities. The Area’s housing offer is broadly good but suffers from a lack of diversity, and a shortage of provision for families and young people – and this influences the Area’s ability to attract and retain young people to live. 4.12 Lochgelly has been selected to be part of a high-profile government initiative to create a sustainable community. As a consequence, plans are being made that will double the size of the town by 2025, and create new schools, community facilities and business opportunities. This is a significant opportunity for the Area as a whole. In other towns, the challenge will be to ensure that town centres enhance their role as hubs for their local communities, and improving the physical appearance of town centres will be an important part of this. In Cowdenbeath town there is a specific opportunity to develop the Central Park area following the relocation of the football club, although there remain a number of uncertainties around the timescales and practicalities of how this will happen. 4.13 The Cowdenbeath Area benefits from a good quality of natural environment, with particular assets including Lochore Meadows, Blairadam Forest and Benarty Hill. There is scope to enhance the quality of the visitor experience at some of these assets, and also to further improve the quality of local greenspace within each of the Cowdenbeath Area settlements. 4.14 5 People and Skills Issues and challenges Population The population of Cowdenbeath, Lochgelly and the Lochs was 39,000 in 2008 (Figure 5.1). 61% of the population are of working age, which is slightly below the equivalent figure for Fife (62% of population working age) and Scotland (63%). In contrast, the Area has a slightly higher proportion of its population who are children, young people or over 65 than the national average. The area is experiencing some out-migration of its working age population, and anecdotal evidence suggests that people have been leaving the Area to take advantage of better employment opportunities elsewhere. 5.1 Figure 5.1: Population Population (2008) Source: KnowFife 16000 14000 12000 10000 Children 16-19 Pensionable Age Working Age population 8000 6000 4000 2000 0 Cowdenbeath town Lochgelly and Cardenden The Lochs Unemployment The Area is still affected by the legacy of mine closures, with around 1,900 people, 7% of the working age population, claiming Jobseekers Allowance (Figure 5.2). This JSA claimant rate is significantly higher than the rate in Fife (4.8%) and Scotland (4.5%),and indicates both a lower skills profile among the Area population, and a relative shortage of employment opportunities. 5.2 The number of people out of work and claiming jobseekers allowance in Cowdenbeath Area has almost doubled since the recession, up from 1,000 people in mid-2008 to January 2010. 5.3 This rate of increase in unemployment is slightly higher than the rest of Fife (Figure 5.3), and this is indicative of the population’s slightly lower skills profile, which is where the majority of jobs have been lost from. Relative to the rest of Scotland however, Cowdenbeath Area has not seen such a large increase in the claimant count since the recession. Almost one third of the JSA claimants in Cowdenbeath Area are young people aged 16-24, which is similar to the proportion in Scotland as a whole, and emphasises the importance of providing adequate employment opportunities to this group. 5.4 Figure 5.2: JSA claimant count Fife Scotland Cowdenbeath Area JSA Claimant count, Apr07 - Jan10 Source: NOMIS 8.0 1,877 claimants 7.0 6.0 5.0 1,135 claimants 4.0 3.0 2.0 1.0 -0 9 9 ec D 09 ct -0 O Au g- Ap r -0 9 Ju n09 8 -0 b09 Fe 8 ec D 08 ct -0 O Au g- Ap r -0 8 Ju n08 7 b08 -0 ec Fe 7 D ct -0 O 07 Au g- Ap r -0 7 Ju n07 0.0 Figure 5.3: Claimant count since the recession JSA Claimant count (July 2008 = 100) Source: NOMIS 200 Fife Scotland Cowdenbeath Area 180 Index (July08 = 100) 160 140 120 100 -0 9 Ap r -0 9 M ay -0 9 Ju n09 Ju l-0 9 Au g09 Se p09 O ct -0 9 N ov -0 9 D ec -0 9 Ja n10 b09 M ar Fe 8 n09 Ja 8 -0 ec -0 D 8 -0 ct N ov 08 O 08 Se p- Au g- Ju l-0 8 80 Deprivation As a result of lower than average employment and lower than average incomes of those in work, levels of income deprivation are higher in Cowdenbeath Area than in Fife as a whole or across Scotland (Figure 5.4). In Cowdenbeath Town, 20% of the population are income deprived, rising to 24% in Lochgelly and Cardenden and 27% in the Lochs. This compares to 16% across Fife and 17% across Scotland. Furthermore, all Cowdenbeath Area wards have experienced a more rapid increase in income deprivation between 2004-9 than nationally. 5.5 Figure 5.4: Income deprivation 2004 2009 Proportion population income deprived, 2004 and 2009 Source: SIMD 30 Percentage population 25 20 15 10 5 0 Cowdenbeath Lochgelly and Cardenden The Lochs Fife Scotland Skills The Cowdenbeath Area has a relatively low skills profile. In each of the three Cowdenbeath Area wards, over 40% of the population have no qualifications, compared to just over 30% in Fife and Scotland. In each of the three Area wards, a lower proportion of the population has O Grade Plus than nationally. 5.6 Figure 5.5: Skills profile Population skills profile Source: Census 80 10 The Lochs Lochgelly and Cardenden Cowdenbeath town Scotland 20 Fife 30 The Lochs 40 Lochgelly and Cardenden 50 Cowdenbeath town Percentage adult population 60 Scotland Fife 70 0 Percentage adults with no qualifications Percentage adults with O Grade Plus School attainment Figure 5.6 shows school attainment. At S4, the proportion of pupils achieving level 3 or better in the Cowdenbeath Area is only slightly below the Fife and national averages. However, the proportion of pupils achieving Level 5 or better is around 20% in each of the three Cowdenbeath Area wards, significantly below the 30% in Fife and 34% across Scotland. 5.7 Figure 5.6: School attainment School qualifications Source: SQA/ KnowFife Cowdenbeath 30 20 10 0 By end of S4 - % of the roll achieving 5+ awards at SCQF level 3 or better- 2006 Scotland Scotland 40 Fife 50 The Lochs 60 Lochgelly and Cardenden Percentage of the roll 70 The Lochs 80 Lochgelly and Cardenden Cowdenbeath 90 Fife 100 By end of S4 - % of the roll achieving 5+ awards at SCQF level 5 or better- 2006 Health A combination of higher than average unemployment and a lower than average skills profile feeds through to higher rates of ill-health. Residents of the Cowdenbeath Area are more likely to report being in ill health (Figure 5.7), and experience slightly higher levels of alcohol misuse (Figure 5.8) than across the rest of Fife. There is also a higher mortality rate in each of the three wards than nationally (Figure 5.9). 5.8 Figure 5.7: Proportion of residents not in good health Percentage residents not in good health Source: census 2001 16 14 13.7 12.7 12 11.2 Percentage 10 10.2 9.5 8 6 4 2 0 Cowdenbeath town Lochgelly and Cardenden The Lochs Fife Scotland Figure 5.8: Alcohol misuse Hospital admissions for alcohol misuse - rate per 10000 population- 2001 - 2004 Source: KnowFife 100 90 85.97 Rate per 10,000 population 80 70 60 72.46 72.27 61.89 50 48.52 40 30 20 10 0 Cowdenbeath Lochgelly and Cardenden The Lochs Fife Scotland Figure 5.9: Mortality All cause mortality rate per 1000 population all ages- 2007 Source: KnowFife 12 11.7 11.5 11.5 11.3 11 Mortality rate 10.8 10.5 10.4 10 9.5 9 8.5 8 Cowdenbeath Lochgelly and Cardenden The Lochs Fife Scotland Crime There is a feeling that the Area benefits from a strong community spirit and good community engagement, and crime rates (vandalism) in Cowdenbeath Area are on a par with the rest of Fife (Figure 5.10). 5.9 Figure 5.10: Vandalism Vandalism rate per 10000 population- 2005 - 2006 Source: KnowFife 300 292.7 Vandalism cases per 10,000 population 290 286 280 274.1 270 260 250 252.9 240 230 Cowdenbeath town Lochgelly and Cardenden The Lochs Fife Looking forward As the Scottish economy emerges from the recession and the employment rate improves, the ambition of the Fife Economic Strategy to return to and improve pre-recession levels of employment will look more realistic. The emerging economy will be more reliant on skilled positions, and it will be increasingly competitive for individuals who have been out of work for some time, and young people in particular, to access many of the new opportunities. Support to upskill and retrain will be essential to maintain the competitive position of the workforce, and to help attract new employers to the area. 5.10 Assets and opportunities Upskilling and reskilling for employment The Opportunities Fife Strategy is responsible for driving forward the employability and skills agenda across Fife. Opportunities Fife provides employability support to individuals, helping them to overcome barriers linked to low motivation, lack of skills, childcare and transport. The focus is on partnership action to provide targeted support to connect people to learning, skills and jobs. The target for Opportunities Fife is to see a return to prerecession employment levels. Opportunities Fife aims to engage the hardest to reach groups, provide intensive support to young people, enhance skills levels, and provide access to flexible training. It aims to tackle worklessness by raising awareness of opportunities through volunteering, social enterprise, business start-up and other routes. 5.11 Data from 2008/9 shows that some 230 clients in the Cowdenbeath Area access support, with 66 of these progressing into employment, and 39 progressing into training. Local people are engaged onto Opportunities Fife programmes at Opportunity Centres, and through door-knocking initiatives and other outreach. People can then be supported through a range of training and skills programmes (including New Deal, Get Ready for Work, Skillseekers), as well as holistic support provided by Development Workers. 5.12 The key issue is whether the Cowdenbeath Area communities are making enough of these opportunities, and whether more can be done to increase uptake. Training outreach is delivered from a number of centres across the area. Adam Smith College for example delivers courses from a range of locations including Bowhill Outreach Centre (Cardenden), BRAG Enterprises (Lochgelly), Kelty Outreach Centre, and the Lochgelly Miners’ Institute. The Lochgelly Miners’ Institute, which was officially opened in early 2009 and was commended by RICS (Royal Institution of Chartered Surveyors), now provides a range of training and learning opportunities, delivered by Adam Smith College and the Fife Women’s Technology Centre, and is being used by over 100 people per week. 5.13 However, there is also a sense that the Area would benefit from having a higher outreach presence in some towns, particularly in Cowdenbeath town which seems to have fewer venues available for engaging local people in learning, training and employability activities. Brunton House in Cowdenbeath no longer acts as an Opportunity Centre, and as yet, there are no plans to identify a replacement Opportunity Centre in Cowdenbeath. 5.14 Summary The Cowdenbeath Area population of 39,000 is characterised by a lower skills profile than elsewhere in Fife. A higher proportion of adults have no skills, and a lower proportion of adults have high level skills. This results in higher levels of deprivation and poor health, and a higher rate of worklessness, in the Cowdenbeath Area. The Jobseekers Allowance claimant count has risen steadily since the recession and now stands at 1,900 people. At 7% of the working age population, this claimant count rate is higher than in Fife (4.8%) or nationally (4.5%). 5.15 The critical challenge is to continue efforts to upskill and reskill across all ages. Maximising uptake of existing opportunities, through awarenessraising and community outreach, will be critical. 5.16 6 Summary Context The economic climate during the past two years has been extremely challenging, and the Scottish economy has contracted by 6% since 2008. Although there are signs that Scotland’s economy is now poised to move out of recession, it will probably not be until 2012 before the jobs lost during the past two years have been completely replaced. The post-recession economy will look quite different, with a much higher proportion of the workforce employed in higher skilled occupations, and less reliance on the public sector as a source of employment. 6.1 Businesses and enterprise The Cowdenbeath Area economy is characterised by a reliance on the public sector (which employs almost 50% of the workforce) and relatively lowskilled manufacturing and distribution sectors, as the main sources of employment. The Area’s economy has been relatively slow to diversify into higher value service sector. This has an impact on average wages, which are £100 per week less in the Cowdenbeath Area than in the rest of Fife. On the positive side, the Cowdenbeath Area has a strongly performing social enterprise sector, and is witnessing the construction of new, high-quality business incubator premises at Lochgelly. 6.2 The challenges for the Cowdenbeath Area economy are to diversify the economy and in so doing to provide an additional 1,000 jobs for local residents. The Area has a number of key opportunities which could contribute towards this goal. In the short-term, the challenge is to stimulate local entrepreneurship, by maximising take-up of enterprise and business support activities available, and by continuing to support the Area’s social enterprise sector. 6.3 In the medium and longer term, the Area has a number of significant opportunities to build on. These include the potential to develop a cluster of tourism activity, anchored on Lochore Meadows and the landscape architecture project at St. Ninians, and incorporating improved facilities for visitors throughout the Area – including an improved network of paths and trails, and a wider accommodation and food and drink offer. Longer term, the opportunity to develop a regionally significant green business park at Westfield has the potential to create substantial jobs, and to help the Cowdenbeath Area capitalise on the green energy economy, which is a priority for Fife and Scotland. 6.4 Places and Environment The Cowdenbeath Area consists of a number of small and mediumsized towns – Cowdenbeath town, Lochgelly, Kelty, Ballingry, Lochore, Cardenden and Dundonald. The towns are the lifeblood of the Area, and play a key role in influencing the perception of the Area held by people elsewhere. Recently the Area’s town centres have struggled during the recession, but they benefit from a good range of community facilities. The Area’s housing offer is broadly good but suffers from a lack of diversity, and a shortage of provision for families and young people – and this influences the Area’s ability to attract and retain young people to live. 6.5 Lochgelly has been selected to be part of a high-profile government initiative to create a sustainable community. As a consequence, plans are being made that will double the size of the town by 2025, and create new schools, community facilities and business opportunities. This is a significant opportunity for the Area as a whole. In other towns, the challenge will be to ensure that town centres enhance their role as hubs for their local communities, and improving the physical appearance of town centres will be an important part of this. In Cowdenbeath town there is a specific opportunity to develop the Central Park area following the relocation of the football club, although there remain a number of uncertainties around the timescales and practicalities of how this will happen. 6.6 The Cowdenbeath Area benefits from a good quality of natural environment, with particular assets including Lochore Meadows, Blairadam Forest and Benarty Hill. There is scope to enhance the quality of the visitor experience at some of these assets, and also to further improve the quality of local greenspace within each of the Cowdenbeath Area settlements. 6.7 People and skills The Cowdenbeath Area population of 39,000 is characterised by a lower skills profile than elsewhere in Fife. A higher proportion of adults have no skills, and a lower proportion of adults have high level skills. This results in higher levels of deprivation and poor health, and a higher rate of worklessness, in the Cowdenbeath Area. The Jobseekers Allowance claimant count has risen steadily since the recession and now stands at 1,900 people. At 7% of the working age population, this claimant count rate is higher than in Fife (4.8%) or nationally (4.5%). 6.8 The critical challenge is to continue efforts to upskill and reskill across all ages. Maximising uptake of existing opportunities, through awarenessraising and community outreach, will be critical. 6.9 Conclusions The past 2-3 years have been a difficult time for all local economies. However, the Cowdenbeath Area has suffered disproportionately because of a lack of economic diversity, and a continued reliance on sectors of the economy which are in decline. 6.10 Looking forward however, the Area has some significant opportunities. These include the potential to diversify to take advantage of the green economy, and to capitalise on existing opportunities to stimulate the visitor economy. Ongoing activity to develop Lochgelly into a sustainable community will help to raise the profile and image of the Area and provide job opportunities locally. 6.11 If these opportunities are combined with ongoing efforts to improve skills, enhance the local housing offer, and stimulate entrepreneurship and aspirations amongst the local population, then the future for the Cowdenbeath Area could be very positive. However, none of these opportunities will be realised on their own, and there is a critical need for targeted and proactive intervention to ensure that they are realised. 6.12