Agenda Document Pack - Ayrshire Economic Joint Committee - 15/01/2024
North Ayrshire Council · 15 January 2024
Back to Ayrshire Economic Joint Committee — 15 January 2024 and its agenda
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North Ayrshire Council, Cunninghame House, Irvine KA12 8EE Ayrshire Economic Joint Committee A Special Meeting of the Ayrshire Economic Joint Committee of North Ayrshire Council will be held remotely on Monday, 15 January 2024 at 14:30 to consider the undernoted business. Meeting Arrangements - Fully Remote This meeting will be held remotely in accordance with the provisions of the Local Government (Scotland) Act 2003. Where possible, the meeting will be live-streamed and available to view at https://north-ayrshire.public- i.tv/core/portal/home. In the event that live-streaming is not possible, a recording of the meeting will instead be available to view at this location. 1 Declarations of Interest Members are requested to give notice of any declarations of interest in respect of items of business on the Agenda. 2 Ayrshire Growth Deal (AGD) Community Wealth Building Change Request Submit report by the Executive Director (Place) (North Ayrshire Council) on the summary mid term review of the Ayrshire Growth Deal (AGD) Community Wealth Building (CWB) Programme and seeking approval to extend the programme by one year (copy enclosed). 3 Ayrshire Skills Investment Fund (ASIF) Governance Submit report by the Chief Executive (North Ayrshire Council) seeking approval of the detailed governance arrangements for the Ayrshire Skills and Investment (ASIF) sub-committee of the Ayrshire Economic Joint Committee (AEJC) including the Terms of Reference and Standing Orders (copy enclosed). 1
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North Ayrshire Council, Cunninghame House, Irvine KA12 8EE Webcasting Please note: this meeting may be filmed/recorded/live-streamed to the Council's internet site and available to view at https://north-ayrshire.public- i.tv/core/portal/home, where it will be capable of repeated viewing. At the start of the meeting, the Provost/Chair will confirm if all or part of the meeting is being filmed/recorded/live-streamed. You should be aware that the Council is a Data Controller under the Data Protection Act 2018. Data collected during the webcast will be retained in accordance with the Council’s published policy, including, but not limited to, for the purpose of keeping historical records and making those records available via the Council’s internet site. Generally, the press and public seating areas will not be filmed. However, by entering the Council Chambers, using the press or public seating area or (by invitation) participating remotely in this meeting, you are consenting to being filmed and consenting to the use and storage of those images and sound recordings and any information pertaining to you contained in them for webcasting or training purposes and for the purpose of keeping historical records and making those records available to the public. If you do not wish to participate in a recording, you should leave the meeting. This will constitute your revocation of consent. If you have any queries regarding this and, in particular, if you believe that use and/or storage of any particular information would cause, or be likely to cause, substantial damage or distress to any individual, please contact dataprotectionofficer@north-ayrshire.gov.uk. 2
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North Ayrshire Council, Cunninghame House, Irvine KA12 8EE Ayrshire Economic Joint Committee Sederunt North Ayrshire Council Councillor Marie Burns Councillor Joe Cullinane Councillor Anthony Gurney Craig Hatton Russell McCutcheon Neale McIlvanney Louise Kirk East Ayrshire Council Councillor Douglas Reid Councillor Iain Linton Councillor Maureen McKay Councillor Stephen Canning (sub) Councillor Barry Douglas (sub) Councillor William Lennox (sub) Eddie Fraser David McDowall Graham Saunders South Ayrshire Council Councillor Martin Dowey Councillor William Grant Councillor Bob Pollock George Hunter Theo Leijser Mike Newall Others Simon Fraser, Spirit Aerosystems Jane Martin, Scottish Enterprise Angela Cox, Ayrshire College Paul Zealey, Skills Development Scotland Chair: Apologies: Attending: 3
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AYRSHIRE ECONOMIC JOINT COMMITTEE MEETING – 15 JANUARY 2024 Report by North Ayrshire Council AYRSHIRE GROWTH DEAL COMMUNITY WEALTH BUILDING PROGRAMME PURPOSE 1. To present the summary mid term review of the Ayrshire Growth Deal (AGD) Community Wealth Building (CWB) Programme and to seek approval to extend the programme by one year. RECOMMENDATIONS 2. It is recommended that the Ayrshire Economic Joint Committee: (i) Approves the project change request proposal to extend the programme by one year, noting that the proposal has been supported by the Scottish Government. BACKGROUND 3. The aim of the AGD CWB Programme is ‘to develop an Ayrshire approach to Community Wealth Building that enhances wealth, ensures fair and meaningful work, and creates successful places throughout the region’. The programme seeks to develop resilient, inclusive local economies, with more local employment and a large and more diverse business base. The programme focuses on support to businesses around the themes of procurement, employment, ownership and assets. 4. The programme has three key elements to support achievement of the aim: • CWB Business Locality Officers: based within each local authority who work with local enterprises to facilitate CWB across the region; • CWB Fund: a £1 million fund to support place-based activity and the work of the CWB Business Locality Officers; • Fair Work Ayrshire: a dedicated service that works across the Ayrshire region to support employers to adopt Fair Work principles. 5. The programme commenced in April 2021 with an original timescale of three years and an anticipated completion date of March 2024. The overall programme budget is £3 million, funded entirely by the Scottish Government. Two thirds of the budget supports employing a total of thirteen members of staff to deliver the programme. This includes a Programme Manager, Fair Work Ayrshire (FWA) Programme Agenda Item 2 5
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Manager and two FWA Delivery Officers, in addition to the nine Business Locality Officers. Project management is provided by North Ayrshire Council as lead authority. The Programme Manager is based within the Economic Policy Team with lead officer oversight provided by the Senior Manager for Economic Policy. Associated financial and HR services are resourced within the wider Council. In addition, the Fair Work Ayrshire Programme is also hosted by the Council’s Employability Team. 6. The programme aligns with existing resources within the three local authorities, including business development teams, employability programmes and economic development services. Business Locality Officers are based within the Economic Development Service of each local authority. This allows the AGD CWB service provided to enterprises to be aligned with the wider business support offer and for cross-referral of businesses to add value. A programme Steering Group, comprising regional Business Support leads from across the three Authorities, meets monthly to discuss progress. 7. The programme is currently performing well against the targets set out in the approved Full Business Case and in some cases exceeding the key outputs. However, there have been challenges in achieving all outputs and outcomes mainly due to delays in recruitment in the early stages of delivery. The full staffing complement was not realised until April 2022, one year after the original intended start date. This condensed the delivery period of the programme, resulting in an underspend in terms of salary costs and grant funding for businesses. 8. A summary mid-term review document has been prepared by the Programme Manager. This has been approved by the AGD CWB Programme Steering Group and is attached as Appendix 1. This outlines the achievements of the programme. It highlights that real momentum and confidence has been gained within the delivery team and more widely amongst the regional business community. The underpinning recommendations within the review for a one-year extension aim to enable all outputs and outcomes to be realised. 9. The Programme Manager has worked closely with members of the Steering Group to develop a fully funded extension proposal that uses existing regional funding to extend the contracts of eight of the Business Locality Officers until March 2025. The post extensions are being funded through alternative sources including the Shared Prosperity Fund. This, combined with the underspend from the programme, will allow for a full year’s extension without the need for additional resource from the AGD. The underspend will support the extension of the Programme Manager and one FWA Delivery Officer. The FWA Programme Manager has already been aligned to the ADG Ayrshire Skills Investment Programme. 10. The Ayrshire Regional Economic Strategy (RES), launched in October 2023, recognises the impacts made by the AGD CWB Programme to date. The RES is underpinned by a cross-cutting theme of CWB and recognises that taking this approach to regional economic development is essential to deliver a wellbeing economy for future generations. There are actions aligned to the AGD CWB programme within the RES, including a commitment to considering a mainstreaming approach to delivering CWB-focused enterprise support. A one 6
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year extension to the programme would allow for this to be fully considered as part of a wider review of regional economic development. 11. Furthermore, the Scottish Government is fully supportive of the extension proposal, having identified that there are no financial implications for the AGD with the ability for funding to be drawn down from other sources, as set out in the review. Confirmation of this support was received on 18 December 2023. PROPOSALS 12. That the Ayrshire Economic Joint Committee: (ii) Approves the project change request proposal to extend the programme by one year, noting that the proposal has been supported by the Scottish Government. FINANCIAL IMPLICATIONS 13. As set out in the summary mid-term review, each local authority has aligned funding from other programmes to allow for extended delivery of the programme by extending staff contracts. By extending the programme by one year, this will allow for the programme underspend to support these posts in addition to allowing all authorities to maximise spend under the business grant programme. This will have financial implications for North Ayrshire Council in terms of extending the period of time required for lead authority management of the programme and the costs associated with this. HUMAN RESOURCE IMPLICATIONS 14. Each local authority has already aligned alternative external funding sources to extend the contracts of the Business Locality Officers. A one-year extension of the programme would allow for the extension of contracts for the Programme Manager and FWA Delivery Officer posts to be full covered trough the AGD CWB underspend. The Fair Work Ayrshire Programme Manager has already been aligned to the Ayrshire Skills Investment Fund programme with that funding supporting the continuation of that post. LEGAL IMPLICATIONS 15. There are no legal implications. EQUALITY IMPACT ASSESSMENT 16. The original Full Business Case was subject to an Equality Impact Assessment which remains relevant. 7
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CONCLUSION 17. The AGD CWB programme has been successful in raising awareness of a CWB approach to enterprises across the region. It has taken a regional approach to economic development and has been showcased as an example of best practice in this regard by the Scottish Government. A one year extension would allow the outputs and outcomes to be fully achieved and for the business grant funding to be fully disbursed. It would also align with proposals in the Ayrshire Regional Economic Strategy to consider a mainstreaming approach post March 2025 which would contribute towards achieving a wellbeing economy for Ayrshire. Persons to contact: Emma McMullen (Senior Manager, Economic Policy, North Ayrshire Council) Tel: 07956 461806 Email: emmamcmullen@north-ayrshire.gov.uk Louise Kirk (Interim Head of Service Economic Development and Regeneration) Tel: 01294 324766 Email: lkirk@north-ayrshire.gov.uk 8
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Ayrshire Growth Deal Community Wealth Building Programme Review Report A summary of programme development, progress and next steps October 2023 9
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PROGRAMME AIM: The Programme review: This report details the impact of the Ayrshire Growth Deal (AGD) Community Wealth Building (CWB) Programme to date, and provides analysis and insight from key delivery stakeholders and Fund beneficiaries to underpin decisions to be made regarding the programme’s underspend utilisation. Key areas of purpose for the programme review report are as follows: Improve project outcomes: The review of the programme allows stakeholders to consider opportunities for improvement. By examining the project's performance, identifying areas of underperformance, the programme can enhance outcomes and deliver better results for CWB in the Ayrshire region. 1. Maximise resource utilisation: Allocating underspend for best value for money ensures that project resources are utilised optimally. By reviewing the project and identifying areas where funds can be redirected, the programme can avoid wastage and make the most efficient use of available resources. 2. Adapt to changing circumstances: Programme requirements and priorities have been subject to change; the review will detail this with specific reference to both internal and external factors. 3. Enhance stakeholder satisfaction: By reviewing the programme, the team can ensure that stakeholders’ CWB needs are being met and that they have benefitted as originally intended. This, in turn, can contribute a continued raised profile of CWB in the region and to wider transformational change. 4. Additionality: The review will identify potential areas where existing and additional funds could lead to further progression of CWB in Ayrshire. 5. ‘To develop an Ayrshire approach to Community Wealth Building that enhances wealth, ensures fair and meaningful work, and creates successful places throughout the region.’ 10
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Programme Overview: The AGD CWB Programme seeks to develop resilient, inclusive local economies, with more local employment and a large and more diverse business base. Specifically, this project advances activities within the procurement, employment, ownership and asset pillars of CWB. The project has three key elements to achieve this: CWB Business Locality Officers – working with local organisations to facilitate CWB activities across the region; CWB Fund – a fund to support place-based CWB activity, and the work of CWB locality officers; Fair Work Ayrshire - a dedicated service that works with employers to implement Fair Work in workplaces across the Ayrshire region. Timescales: The programme was agreed to take place across three years, from March 2021-2024. Budget The total value of the project is £3million, with spending allocated as below. The full £3million is from Scottish Government. CWB Officers 45.5% CWB Support Fund 33.3% Fair Work Ayrshire 14.6% Programme Management 6% Governance: The project is managed by North Ayrshire Council as lead authority, with overarching governance by a AGD CWB Programme Steering Group comprising the three Ayrshire local authorities. The project aligns with local authority existing resource, including business development teams, employability programmes, regeneration activities, community development and locality/area partnerships, as well as Enterprise Agency resource with Scottish Enterprise, Cooperative Development Scotland and Skills Development Scotland. The Regional Economic Partnership (REP) and the Ayrshire CWB Commission receive regular project updates, outlining project highlights, performance and opportunities for wider collaboration. The programme’s organisational structure can be seen below, the roles that are coded in purple are funded through the Ayrshire Growth Deal: NAC Fair Work Programme Manager EAC SAC Fair Work Officers x 2 CWB Officers x 3 CWB Officers x 3 Lead Manager NAC Senior Manager (Economic Policy) Programme Lead AGD CWB Programme Manager CWB Officers x 3 Lead & Team Manager NAC Senior Manager (Employability) Ayrshire organisations embedding CWB pillars through financial and advisory support Ayrshire REP & EJC Ayrshire CWB Commission Management/Chief Executives Group Ayrshire Growth Deal PMO Key Delivery Bodies (e.g. SDS, SE) Lead Manager Team Manager Team Manager Summary of the programme: 11
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This logo was evolved from the original North Ayrshire CWB branding. It takes colours representing the three Ayrshires to show the united approach to economic development Why Community Wealth Building? Community Wealth Building Community Wealth Building (CWB) is an economic development approach that seeks to create sustainable and inclusive local economies. It aims to build wealth and improve well-being within a community by prioritising local ownership, cooperation, and social value over traditional economic models focused solely on maximising financial returns. CWB for Ayrshire The case for the Ayrshire region to benefit from a dedicated CWB programme was supported by an analysis conducted by the Scottish Government for the Advisory Group on Economic Recovery and the Inclusive Growth Diagnostic. Key reasons include: Addressing Economic Challenges and Vulnerabilities: The Inclusive Growth Diagnostic highlighted specific economic challenges faced by the Ayrshire region, such as low productivity, unemployment, disparities in income and wealth distribution. The analysis identified vulnerabilities in the Ayrshire region's economy and showed that North Ayrshire and East Ayrshire have the least resilient economies in Scotland, with South Ayrshire below the Scottish average. The programme was developed to help diversify the economy, foster fair work practices, create new opportunities, and build resilience to external shocks. By focusing on local assets, capabilities, and collaboration, the programme is supporting enterprises in the region to develop a more resilient and sustainable economic foundation. Leveraging Local Resources: Key stakeholders realise the potential of untapped local resources and sectors across Ayrshire that can be harnessed for economic prosperity. Key outputs assigned to the programme such as supporting new enterprises, and broader land and asset & procurement related activities enable exploration of this. CWB emphasises local ownership and cooperation, allowing the Ayrshire region to leverage its unique assets and strengths. By promoting local entrepreneurship, innovation, and investment, the programme is helping the region unlock its potential for inclusive and sustainable economic development. Inclusive Growth: The programme realises the importance of inclusive growth, where economic prosperity is shared by all members of society. Practically, the programme deliveries on this objective by prioritising plural ownership transitions, fair work practices, reducing inequalities, and fostering social inclusion. The programme works with enterprises and key stakeholders towards an economy that benefits everyone and ensures that no one is left behind. BTS FACT: 12
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Current Status: The programme is performing well against targets set in the Full Business Case and in some cases, exceeding key outputs assigned. This has not been without challenges especially in early stages of delivery which will be detailed in the review; however, the programme can see that real momentum and confidence has been gained, underpinning recommendations within the review for CWB work to continue beyond the 3-year time-frame in order to continue strengthening Ayrshire’s local economic realisation. In the recent round up of progress, pan-Ayrshire outputs show that over 900 enterprises have been supported by the programme in CWB. Based on an assured start and progression through Year 3 of the programme, it is likely that this headline target will be exceeded by some distance. 956 unique enterprises supported through the programme 245 Enterprises receiving financial assistance through grant or consultancy support 136 New enterprises supported (<12 months old) 233 Enterprises registered on Public Contract Scotland 387 Enterprises attending CWB pillar specific workshops 222 Businesses supported by Fair Work Ayrshire with Fair Work Action Plans 22 Entities supported in the creation or transition to employee ownership or Co-Operatives 1,027 Jobs safeguarded through CWB interventions and support 262 Enterprises receiving 121 procurement or consultancy support 3 large, pan-Ayrshire CWB events featuring industry leaders, public sector executives and economic expertsHeadline achievements to date: 1,035 local people attending Fair Work Job Fairs in partnership with DYW 4 videos produced to raise awareness around the issues tackled through CWB 13
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June 2021 Programme sign off and governance finalised Recruitment commenced Processes begin to be put in place Aug 2021 CWB officers recruited in each Ayrshire local authority Fair Work Programme Manager recruited 60% of programme team in place Commencement of enterprise support activity Nov 2021 Programme Manager recruited Monthly Programme Steering Group meetings commence Jan 2021 Mar 2022 June 2022 Official programme launch | pan-Ayrshire CWB video produced and screened 123 attendees Aug 2022 Fair Work Ayrshire Referrals commence Pan-Ayrshire monthly officer meetings start Scottish Government (SG) Ministerial visit from Tom Arthur MSP Programme presentation to Scottish Government Director of Economy Louise McDonald Programme presentation at SURF’s Annual Conference Final, successful recruitment push for a complete programme team to be in place for the new financial year Timeline highlights: 14
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Oct 2022 Over 500 enterprises supported by the CWB programme (achieved 6 months ahead of target) Programme Manager supported Scotland’s First Community Wealth Building Conference hosted by North Ayrshire Council | Economic Policy Team Produced the “A day in the life of a young person in North Ayrshire” video Financial assistance provided to 100 enterprises through the £1m business fund Mar 2023 April 2023 Sept 2023 Oct 2023 East Ayrshire CWB video produced North Ayrshire Fair Work Job Fair - 420 attendees pan-Ayrshire CWB Gathering hosted in East Ayrshire South Ayrshire Fair Work Job Fair - 230 attendees Programme surveys, review & options appraisal development The programme extended its benefits realisation to include jobs and leveraged finance - over 1000 jobs safeguarded, and £700k private investment leveraged Timeline highlights: Pan-Ayrshire Gathering hosted in South Ayrshire South Ayrshire CWB video production East Ayrshire Meet the Buyer event - 160 attendees East Ayrshire Fair Work Job Fair - 380 attendees Ayrshire Chamber Awards – first ever CWB Category Headline target of supporting 900 unique enterprises surpassed Protocols for programme extension to 2025 underway 160 attendees 135 attendees 15
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Events Impact Overview: This year has seen the programme host two pan-Ayrshire CWB Gathering events, the first held in East Ayrshire in March, and the second most recently held in South Ayrshire at the end of September. The purpose of these events are to build on the momentum from the previous year with the official programme launch event, and Scotland’s first CWB Conference hosted by North Ayrshire Council. Each event has added gravitas to the progression of the programme as well as showing the unique takes on the development of CWB within each Local Authority area across the Ayrshire region. A number of benefits have been realised through the events, such as a majority increase in attendees knowledge and commitment to CWB, and more tangible outputs such as collaboration opportunities through networking, raised engagement with the opportunities of procurement and land and assets pillars for example. The most recent event in South Ayrshire welcomed over 160 key stakeholders that held a great balance across public, private and third sectors as well as across the Ayrshire region. With 60 responses to the feedback survey, what people appreciated most about the event was the quality of speakers and the networking opportunities that were enabled: The event included speakers from three Ayrshire businesses, sharing their CWB journeys and the support they have received through the programme. The event held dedicated presentations on procurement and land and assets pillars, as well as a forward thinking discussion around Artificial Intelligence and how it intersects with CWB. A round up from Scottish Enterprise representative Brian Connolly, gives good insight into the day: here. Survey responses further indicate that the event generated a variety of opportunities in strengthening relationships, exploring support offered, gaining insights into different projects and initiatives, and identifying future opportunities and partnerships. The programme’s pan-Ayrshire events have received a high level of interest from key stakeholders across Ayrshire 16
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Events Impact Overview: Feedback further reveals that people were inspired to think more collaboratively across sectors, while some attendees express a greater interest in AI and a desire to explore its applications further, potentially in their own work. Others aim to engage more with the local community and Ayrshire councils, and to support and promote the Ayrshire economy. The event has encouraged attendees to become more involved in various initiatives, such as local procurement, consortium cooperatives and asset transfers, and to consider the culture and values of their organisations in alignment with CWB principles. Overall, the event motivated individuals to take action in different ways, from learning about new topics relating to CWB which will help improve work practices and further economic realisation in Ayrshire. Attendees vote ‘best practice CWB presentations’ as most desired for future programme engagements. Vanessa Good of the Good Travel Company presenting on her CWB approach in business and the coordination of Ayr’s first consortium co- operative Key stakeholders engaging with Ayrshire’s first CWB Marketplace 17
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Challenges & Solutions The programme experienced key headline challenges which will be summarised in the next pages of the review, alongside some of the solutions exercised. 18
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Challenge: More broadly in wider Ayrshire when the programme commenced in 2021, the concept of CWB was somewhat unfamiliar. From the offset, the programme understood that lack of understanding and awareness about the principles and benefits of Community Wealth Building would hinder its adoption. Therefore, education and outreach efforts have been at the forefront of programme delivery, ensuring that local stakeholders understand the value of CWB. Solution: The programme overcame CWB education and awareness challenges through several approaches: ‘Boots on the Ground’ - daily officer engagement with local stakeholders, predominantly recipients of programme support Workshops and event engagement An Ayrshire CWB video series - shared below Other online resources such as press releases, and in some cases, businesses and partner organisation themselves creating blog articles with some examples of this listed below: Utopia Computers: CWB Story | Craig Hume - Director CWB: Building Sustainable & Inclusive Economies in Ayrshire | Martin Avila - Chief Executive CEIS North Ayrshire Education and Awareness Challenge: Translating the theory of Community Wealth Building to practice within the local region has been a complex challenge. Community is at the heart of CWB, but often stakeholders have mistaken the community oriented terminology to mean community/third sector exclusive development instead of all- encompassing economic development. Solution: Officers were able to address this through explanations as well as using local wealth building as an alternative term which many stakeholders found easier to understand. Discussions and training amongst officers enabled consistency in understanding and articulation. Challenge: CWB is a transferrable economic development tool but any approach is relative to the subject/context/circumstances that it is being applied to. Solution: Where the programme officers have been able to bring great value is through using their knowledge, experience, skills and tools to tailor the meaning of CWB to individual enterprises and local contexts. Often this has taken shape in the form of action plans or support in developing applications for funding. pan-Ayrshire East Ayrshire South AyrshireTo help improve understanding of CWB and the programme, the team produced a short video series: 19
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Resource Limitations Broadly speaking, crises have forced many economic stakeholders, particularly SMEs, to be reactive instead of proactive, hindering this key approach required for successful community wealth building. The cost crisis, especially in regards to energy costs for businesses is a crucial challenge and the project is limited in the resource that it can offer. In some cases, the programme officers rely on third parties to support, and as the need for energy interventions heighten, third party capacity to meet demand has decreased. Rising costs have also had an impact on Fair Work uptake, where employers have limited resource to invest in their workforce, such as paying the Real Living Wage (RLW) or enabling staff training opportunities. Community Wealth Building often involves long-term strategies that may not show immediate economic benefits. Communities may face pressure to prioritise short-term gains, making it challenging to stay committed to the CWB approach. Done properly, CWB requires significant resource to deliver as an all- encompassing approach with long-term gain for local economies and communities. It is time intensive to connect the daily activity of the programme to wider strategies and it makes the case for upcoming potential CWB legislation to come with adequate resource. Ayrshire has well-documented economic challenges, and with that, often local communities and enterprises have limited resources to invest in the necessary infrastructure and initiatives required for Community Wealth Building. This is where the CWB Business Support fund is valuable in building capacity and implementing new strategies. CWB management leads were asked if they felt that there has been enough resource to deliver key CWB outputs for the programme. All agreed or were neutral on information, materials and capital funding being sufficient. The majority agreed people resource was sufficient with one lead in disagreement, but predominantly, stakeholders highlighted that time resource had been lacking: In qualitative feedback, the key theme running through comments reiterated the need for extended or longer programme durations. Respondents believe that the current project timelines are insufficient to achieve the desired outcomes effectively, arguing for more time and resources to be allocated in order to engage a wider audience, sustain the activities, oversee the programme more effectively, and allow for substantial changes to be implemented by enterprises. “To fully realise the benefits in relation to leverage and fuller economic development benefits the programme would have benefited from being longer.” AGD CWB Programme Steering Group Representative 20
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Staffing Recruitment has affected budgets and consistency of programme delivery significantly. Especially in the first year of programme as things were set up and developed without the Programme Manager in post. Suitable candidates for the CWB officer posts were difficult to attract. One solution used to overcome this challenge was to rename the officer posts as it was realised the term Community Wealth Building Locality Officer required explanation and therefore was a potential barrier. This solution was effective. The temporary nature of the roles has seen officers leave to take up permanent employment, and others mentioning need for more security amid cost of living and other challenges. It is likely that further departures are imminent as the programme has entered its final set year of delivery. It is unlikely that the space will be filled in the timeframe remaining in programme funding period, affecting targets met and general financial management. The options appraisal informed by the review seeks to address these issues. Pan Ayrshire Approach There is great strength in the pan-Ayrshire approach to CWB, but there are also challenges due to each local authority being at different stages, and having unique and differing issues to tackle. This has been an ongoing aspect to monitor and manage and a clear solution is yet to be determined. This has been especially stark in the distribution of the CWB Fund. The criteria agreed in early stages by the steering group has allowed each LA to adapt and this has meant that differences. For example, one authority initially had a £5k cap on grants and mandatory match funding, whilst another has operated without any of these restrictions. Internal & External Alignment As this is a new economic approach for the Ayrshire region that requires collaboration from key economic influencers and practitioners, the programme officers have had to take time to build trust and relationships with council services and wider anchor organisations, and this could have perhaps been initially underestimated. This is an ongoing process, and more is being done to strengthen inter-service connections as well as work with anchor institutions specifically in areas such as local procurement. Strategically, there is opportunity for the programme to join up activity more prominently with regional anchor CWB interventions as well as in anticipation of wider AGD capital projects. This has happened naturally in areas of procurement, but more could be done to maximise resource and impact from the programme at all levels. The local and national initiatives, frameworks, policies, economic models and overall efforts to tackle the economic, social and environmental challenges faced across Ayrshire and Scotland are countless. With many approaches and programmes in delivery, there is the risk of duplication of efforts, misalignment, and a disjointed outcome. As the programme works with key stakeholders, it seeks to enhance, not duplicate, existing council service delivery, and on a wider scale, seeks to collaborate rather than compete, wherever possible. This alignment strengthens the gravitas of measures set to tackle shared crises and challenges, bringing Ayrshire closer to local resilience, wealth and prosperity. Alignment with key partners under the pillars of CWB can be seen on the following page:21
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Strategic Partners Procurement Fair Work Land and Assets Plural Ownership Financial Power National Regional CW B 22
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Internal Stakeholder Analyses The programme has engaged with key internal stakeholders to enable insight into the programme and shape plans going forward. PESTEL and SWOT analyses were applied to enable thorough understanding 23
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PESTEL Analysis Relating to the macro impacts mentioned previously, management stakeholders were asked to grade PESTEL impacts, as detailed below, to explore how external factors have impacted the programme's progression. The results can be seen in the graph below: 1.Economic and Financial Challenges: The cost of living is mentioned as a significant hurdle for enterprises, making it difficult to increase wages and sustain operations. Rising overheads and the need to compete for staff with attractive pay and benefits are cited as factors that hinder financial viability. However, the cost-of-living crisis is seen as a catalyst for enterprises to consider different approaches and strategies to navigate the challenging economic environment. This recognition has led to an increased uptake of support services. An example of where the programme has responded to the financial challenges in business is where flexibility was enabled with match funding, and as a result, far more businesses have been able to benefit from the fund. 2.Political Perception and Pragmatism: There is a mention of the change in leadership administration impacting the perception and structure of the CWB programme, with initial associations to specific political agendas. The comment suggests the need to emphasise the pragmatic aspects of CWB that can transcend political ideologies. 3.Limited Collaboration: The comment highlights the challenges arising from collaboration among three different local authorities at varying stages of understanding. Limited collaboration is seen as a hindrance to achieving optimal CWB outcomes for the region. 4. Interplay between Political Changes and Cost of Living: Another comment suggests that political changes, followed closely by the cost-of-living challenges, have created a complex landscape for businesses. These external factors are likely intertwined and can impact business operations and decision-making. four key qualitative themes: “Cost of living makes it difficult to encourage business to increase wages when overheads are increasing, also some businesses just have to cease due to cost. Availability of staff is low so then employers have to be more competitive with pay and benefits and leads to struggle to operate in a financially viable way. - AGD CWB Steering Group Representative 24
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SWOT Analyses Both management and delivery officers took time to analyse strengths, weaknesses, opportunities and threats in regards to the programme. The delivery officers undertook the analysis in Aug ’22 but many observations are still relevant at the time of writing. The management team shared insights more recently (May ‘23) for a more updated take on the programme’s status. CWB team management leads were asked to highlight any strengths and weaknesses which took shape in comments revolving around staff and programme management, as well as the need for relatability and inclusivity. These can be broken down into four key points: Promotion and Empowerment: The successful promotion of Ayrshire and the desire for everyone to feel empowered and have a stake in the future of the region was highlighted in the comments. This emphasised the importance of making initiatives relatable and inclusive for residents of all ages and backgrounds. Challenges in Programme Management: One comment mentioned challenges faced by the NAC in mainstreaming CWB with specific challenges including difficulty in reporting, multiple requests for information, and a lack of synergy between the three local authority approaches. Strength of the Staff: Another comment identified the staff as the internal strength of the programme. It acknowledged leadership, enthusiasm from the Programme Manager, alongside commitment demonstrated by the Locality Officers, which has contributed to the programme's success. The additional value brought by the FWA staff team is also mentioned. Weakness of Programme Length: Comments reiterated the weakness related to the programme's length. There is concern that the lack of succession funding may lead to the possibility of losing staff, highlighting the importance of securing adequate funding to sustain the programme and its positive impacts for CWB across the region. “The internal strength of the programme is the staff. There is excellent leadership and enthusiasm from the Programme Manager and the commitment demonstrated by the Locality Officers has made the programme a widespread success. Having the additional FWA staff team has also added significant value to the programme.” AGD CWB Programme Steering Group Representative Programme Delivery Officer SWOT Analysis: 25
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CWB Enterprise Feedback The programme manager has worked with the CWB leads and delivery team to survey programme support recipients. The summaries below are gathered from surveys completed by 125 enterprises feedback across the three local authorities. 26
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General Feedback: Overall, the financial assistance and consultancy support provided by the CWB Fund have had a significant positive impact on enterprises. It has facilitated business growth, job creation, streamlined processes, strategic planning, skill development, and sustainability, ultimately leading to increased turnover, improved productivity, and expanded opportunities. 6 key benefits to enterprises receiving financial assistance or consultancy support from the CWB Fund: 1.Increased Business Opportunities: Financial support enabled enterprises to upgrade their websites, advertise vacancies, and improve online presence. This led to an increase in companies contacting them for services and a higher number of candidates seeking job placements, ultimately boosting business growth and job creation. 2.Expansion and Growth: Enterprises received grants for equipment purchases, premises relocation, and marketing strategies, enabling them to expand their operations, sustain growth, and hire additional staff. The support facilitated skills development, improved project management, and enhanced the overall offering to clients, contributing to business sustainability and competitiveness. 3.Environmental Sustainability: Financial assistance helped businesses reduce their carbon footprint and utility usage through energy-efficient upgrades, such as LED lighting, insulated doors, and equipment for recycling and using recycled materials. This aligns with wider sustainability goals and net zero ambitions. 4.Increased Productivity and Efficiency: Investments in digital workflows, updated laptops, and storage systems allowed for remote work, flexibility, and improved productivity. Streamlined processes, secure file storage, and sharing systems facilitated collaboration and enhanced overall operational efficiency. 5.Enhanced Marketing and Visibility: Financial support enabled enterprises to revamp their business identities, improve marketing strategies, and enhance online presence through social media and website development. This raised awareness of their products and services, attracted new customers, and contributed to job security. 6.Cost Savings and Financial Stability: Support for energy efficiency measures, lower utility bills, and reduced operating costs allowed businesses to reinvest the saved funds into company growth, innovation, and development. Financial stability is enhanced, allowing businesses to navigate economic challenges. 27
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The CWB Pillars The headline achievements highlight specific support associated with the pillars of CWB. This next section will give examples and insight to progress that has been made through the programme 28
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CWB Pillar Focus The pillar focus is largely what sets the programme apart from other business support services within local authorities. Responses to the question: ‘Community Wealth Building has enabled a more focussed and enhanced approach to business/organisational support from my Local Authority’, can be seen below: The survey responses above show that the majority agree that CWB has enabled a more focussed and enhanced approach to business support from Local Authorities. Further information provided by enterprises on the above question follow five themes: 1.Knowledge, advice and enthusiasm: The survey responses above show that the majority agree that CWB has enabled a more focussed and enhanced approach to business support from Local Authorities. 2.Networking & Introductions: Many respondents mentioned the importance of officers connecting them with relevant individuals, organisations, and teams. Introductions to other businesses, funding organisations, and local authorities were seen as valuable support in establishing partnerships, accessing resources, and expanding their networks. 3.Grant support and equipment upgrade: The provision of grants for equipment upgrades was appreciated by the respondents. This financial assistance enabled them to improve their operations and efficiency. Several respondents mentioned the support provided by specific officers who have gone above and beyond expectations, in helping them secure funding for their businesses or projects. This support was highly appreciated and considered instrumental in their success. 4.Support for community initiatives: Officers were commended for their involvement in community initiatives and projects. Their enthusiasm, single- mindedness, and dedication in supporting and promoting local businesses and organisations were highly valued. 5.Practical assistance and problem-solving: Officers were praised for their hands-on support, such as helping with the application process, providing practical suggestions, and going above and beyond to find local suppliers or alternative solutions to meet specific needs. Overall, the respondents valued the tangible and intangible support provided by the officers, including funding assistance, knowledge sharing, networking opportunities, and practical problem-solving. “Had heard of NAC CWB programme generally but this enables me to see the practical benefits as relevant to my business. As a result of this I have been highlighted by the "Made in Scotland" programme and at the last Trade Fair secured an export contract and expanded my stockists across Scotland. The grant programme has been crucial to these developments.” RCO Furniture29
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Procurement 233 Enterprises registered on Public Contract Scotland 387 Enterprises attending CWB pillar specific workshops 262 Enterprises receiving 121 procurement or consultancy support The programme has found that procurement is a catalyst for other CWB pillar delivery. Key outputs shared above, focus support on raising organisations chances of success with public contract tenders. This could be delivered through workshops, sometimes delivered through partner organisations such as the Supplier Development Programme, or 121 or consultancy support. Survey feedback highlights difficulties local enterprises face within procurement. For those seeking to win contracts with anchor institutions such as local authorities, the NHS, Police Scotland and higher educational institutions, tender experience stands as the biggest barrier, followed by time, capacity and confidence. The programme is focussed on supporting local organisations in tackling this barriers. The procurement pillar of Community Wealth Building centers on intentionally directing institutional and governmental purchasing power toward supporting local economies, small businesses, and sustainable practices to foster community development and economic equity. There are three key output areas for the programme that relate directly to procurement: For organisations looking to source and procure locally, cost, options and availability are suggested to be the most significant prohibitors. Additionally, there is a need for better information access and comparisons, as well as more consideration for other criteria that can improve the changes of sustainable local procurement in funding applications. The programme addresses these issues through events that engage these enterprises with wider strategies and initiatives, as well as alignment with the work of the Ayrshire CWB Commission, the Ayrshire Regional Economic Strategy and wider Ayrshire Growth Deal programmes which have more strategic influence on positive progress in these areas. This partnership working underpins the promising insights that see an increase in local spend in each of the three Ayrshire local authorities: North Ayrshire East Ayrshire South Ayrshire SAC lead on the pan-Ayrshire procurement workstream as part of the CWB Commission, supporting delivery through innovative mapping tools showcased in this presentation by David Alexander of SAC. 30
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Land and Assets No key outputs were assigned in programme when terms were agreed but progress has been achieved. The land and asset pillar of Community Wealth Building involves leveraging publicly owned land and assets to generate local benefits. A large proportion of focus within the land and assets pillar has been directed towards net zero ambitions that public, private and third sectors are required to play a role in. By guiding businesses to embrace this pillar, the programme has been able to support stakeholders to reclaim control over their built environment. Encouraging enterprises to invest in locally owned land and assets has helped cultivate a sense of ownership, stability, and interconnectedness. Businesses have found that this pillar not only prevents capital leakage but also ensures that resources circulate within the community, amplifying the positive impacts. When businesses were asked what one thing they would change about their business was, the answer was largely focussed on Land and Assets, emphasising the need for continued support around this pillar: The programme has no direct outputs aligned to the pillar but has successfully been able to help organisations relocate, expand and and improve their premises. Community Asset Transfers have also formed a theme within programme support, specifically in South Ayrshire where the programme has supported the likes of Dundonald Castle, and other fantastic organisations to own land and assets through a transfer from the local authority. The video below gives an example of this support with the feature of Dr Kirsteen Croll of Dundonald Castle: “We want to bring people together to give them a sense of ownership, of their castle and a pride in their heritage and we couldn't have done it without the support of the Community Wealth Building team at South Ayrshire Council.” Dr Kirsteen Croll, Dundonald Castle 31
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Plural Ownership 136 New enterprises supported (<12 months old) 387 Enterprises attending CWB pillar specific workshops and 38 enterprises accessing 121 plural ownership support 22 Entities supported in the creation or transition to employee ownership or Co-Operative The plural ownership pillar of Community Wealth Building focuses on expanding community ownership models, such as cooperatives and employee-owned businesses, to democratise wealth, empower local communities, and create more equitable economic structures. There are three key output areas for the programme that relate directly to plural ownership: The programme has supported a number of organisations to explore and transition to employee ownership models, social enterprise and co- operative models. Though targets are being met, the plural ownership pillar has been most challenging to deliver on thus far. It is thought that this is due to a lack of understanding and contextual relevance of plural ownership to local organisations, as well as the culture, willingness, motivation and circumstantial alignment needed to enable the sometimes radical transitions. The programme has addressed these challenges through awareness raising at events, case study examples, online content development, 121 and consultancy support. It is common for these interventions to come about in tandem with owners succession planning, and many instances of support have included partnership working with organisations such as Co-operative Development Scotland of Scottish Enterprise. Some plural ownership examples are still in development, for example within the North Ayrshire CWB team is supporting a business that has seen rapid growth trajectory and recently purchased a competitor. One of the main directors has a partner who is ill and they are looking to make sure business is able to continue if director needs to stand back. This is where the programme gave them ideas around plural ownership and they are developing themselves as an Employee Ownership Trust. The programme has been able to support the creation of a consortium cooperative built of business leaders occupying New Market Street in Ayr. This consortium cooperative is called New Market Street Traders. This is a result of CWB awareness and support of the programme, paired with their vision is to regenerate the town centre, have a collective approach to procurement for shared benefits and more. The programme’s CWB team in South Ayrshire is working specifically with Vanessa, the director of The Good Travel Company who is supporting the coordination with businesses that occupy New Market Street. The programme has so far supported with consultancy support and the cooperative is in early stages of being operational. Vanessa gave inspiring insight into NMST at The Ayrshire Gathering, held in Troon in Sept ‘23. The programme is also focussed on supporting organisations who have already made the shift to plural ownership, for example. supporting Shuttle Busses in North Ayrshire with Fair Work, and Microtech in East Ayrshire with decarbonisation efforts, offering financial assistance with the upgrading of all lighting systems to LED. 32
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Fair Work 1,035 local people attending Fair Work Job Fairs hosted by FWA 245 136 222 Businesses supported by Fair Work Ayrshire with Fair Work Action Plans 1,027 Jobs safeguarded through CWB interventions and support The Fair Work pillar of Community Wealth Building in Scotland prioritises the implementation of equitable labour standards, encompassing fair wages, inclusive employment practices, and workplace democracy, to foster thriving and sustainable local economies. In addition to the key outputs shared above, the dedicated Fair Work Ayrshire Team have achieved the following since being fully operation from April 2022: Engaged with 236 businesses. Conducted 174 initial meetings and developed 174 action plans. Completed Fair Work Ayrshire action plans 119. 44 Ayrshire businesses have been referred to secure real living wage for accreditation. 54 Ayrshire businesses have been referred to secure disability confident accreditation. 43 referrals to Working for a Healthy Economy (AGD) SALUS 13 referrals for Carer Positive scheme Scotland (following engagement with MSPs in Jan 23) 13 Ayrshire businesses have been signposted to create a Modern Apprenticeship opportunities. 22 Ayrshire business have been signposted to learning & development opportunities. Key Highlights from Fair Work Ayrshire from April 2022 – March 2023 are: Working strategically with CWB Fair Employment workstream and supporting development of subgroup action plans. Presented Fair Work and Fair Employment plans to Tom Arthur MSP at Ministerial Visit on 31/08/22. Presented to MSPs conducting Parliamentary Inquiry into Parental Employment on 13/01/23. Hosted visits for NAC Council Leader Marie Burns to Fair Work employers in NAC on 27/1/23. Attended Ayrshire College Equalities steering group with key stakeholders across Ayrshire to address gender balance on particular courses and sectors. Delivered in partnership with Business Gateway a Fair Work Workshop for employers. Completed research and reviewed job vacancies and online platforms to evaluate scope of current fair work job opportunities. Working in partnership with NAC HSCP to deliver Fair Work Academy to care sector providers delivering 7 workshops to enable them to embed fair work practices in their workplaces (Jan 23 -May 23) 18 providers attending. First NAC Fair Work Job Fair 21/03/23 in partnership with DWP attended by 26 businesses and organisations and 425 job seekers. Working with Digital Renewal Manager shaping Digital Economy Skills Group to identify gaps for employers and in learning and the community. These achievements are supporting the ambition to make Ayrshire the first Fair Work region in Scotland. 33
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Forward Planning The purpose of the review to: (1) enhance project outcomes; (2) maximise resource utilisation; (3) adapt to changing circumstances; (4) enhance stakeholder satisfaction; (5) explore additionality. To activate the learnings from the review, an options appraisal was carried out with the programme steering group. This final section will give an overview of this. 34
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The programme continues momentum into an additional year to build on the delivery of outcomes and success. This option gives the best opportunity to tailor underspend of the programme for best value for money, allowing to capitalise on areas of success such as procurement support and fund distribution, with further additionality potential, for example linkage to CWB themes within the wider Ayrshire Regional Economic Strategy Option 4 enables further time to overcome challenges described by internal stakeholders in SWOT and PESTEL analyses Possibility of additionality in roles to support CWB to be further embedded into AGD capital projects Options Appraisal To activate the learnings from the review, an options appraisal was carried out with the programme steering group. It took into consideration the findings of research shared in this report, and sought to find the best way forward of maximising the underspend and continuing the positive work of the programme across Ayrshire. The options considered were as follows: Option 1: Extend the programme based on original FBC approved budget profiles Option 2: Extend programme by 6 months - Align all officer dates to the end of September 2024 Option 3: Extend programme by 1 year - Align all officer dates to the end of March 2025 Option 4: Extend the programme by 1 year and continue specific/partial aspects of the funding beyond March 2024, based on need and consideration of review Option 5: Each Local Authority takes responsibility for the continuation or discontinuation of CWB programme Through careful consideration, Option 4 has been decided as the preferred option. Budget and programme review considerations underpinned this decision. The benefits of this option outlined below: Therefore, the Programme Steering Group proposes that the programme be extended by one year, utilising the underspend accumulated through a delayed start as well as additional funding allocated through Shared Prosperity and other reserve funding to enable a full years extension. The programme’s underspend will be able to cover the majority of the cost for an additional year of operation: Through consideration of the review, the Programme Steering Group has agreed that Option 4 is the preferred way forward for the AGD CWB Programme. The Programme Lead and Manager are working with the PMO to progress through change management and other necessary protocols to support the implementation of this option. Options Appraisal Action: 35
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Conclusion In conclusion, the AGD CWB Programme Review Report provides a comprehensive analysis of the current status of the programme and associated benefits for stakeholders. The review highlights the economic challenges faced by the Ayrshire region and ongoing challenges that have impacted the programme. It is clear that the programme has made progress towards its milestones, but there are still challenges which aim to be addressed through further collaboration, and the progression of Option 4 (extending the programme by 1 year) in the options appraisal forming part of the review. Overall, the AGD CWB Programme Review Report provides valuable insights into the programme's strengths, weaknesses, and opportunities for improvement for key stakeholders to consider and progress. We would like to extend our gratitude to the Scottish Government for their pivotal role as funders of the Ayrshire Growth Deal Community Wealth Building Programme. The guidance and oversight from the Ayrshire Growth Deal PMO have been greatly appreciated, offering support and direction especially as the programme looks forward to extension and mainstreaming possibilities. Thank you to the dedication of Elected Members and key officers in each Ayrshire local authority, whose diligent efforts and commitment have been integral to the effective implementation and delivery of this programme to date. Most importantly, thanks to the enterprise leaders and residents of Ayrshire whose active engagement have supported the advancement of Community Wealth Building across our region. As we reflect on the achievements thus far, we recognise the significant potential for so much more to be achieved through Community Wealth Building and we hope that this review can support a continuation of this ambition. Thank you 36
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AYRSHIRE ECONOMIC JOINT COMMITTEE Meeting – 15th January 2024 REPORT BY THE CHIEF EXECUTIVE, NORTH AYRSHIRE COUNCIL SUBJECT: AYRSHIRE REGIONAL REVENUE PROJECT AYRSHIRE SKILLS INVESTMENT FUND PURPOSE OF REPORT 1. This report seeks approval of the detailed governance arrangements for the Ayrshire Skills and Investment (ASIF) sub-committee of the Ayrshire Economic Joint Committee(AEJC) including the Terms of Reference and Standing Orders. RECOMMENDATIONS 2. The Joint Committee is asked to: i. Consider and approve the Terms of Reference for the Ayrshire Economic Joint Committee Ayrshire Skills Investment Fund Sub Committee. ii. Note that the agreed governance arrangements have been implemented, creating the AEJC, Ayrshire Skills and Investment Sub- Committee, with delegated authority to award the fund. iii. Ratify the appointment of Councillor Marie Burns as Chair and appoint a Vice Chair to the Ayrshire Skills and Investment Fund sub-committee (ASIF sub-committee) iv. Note the grant funding approved at the meeting of the ASIF sub- committee on November 2023 as detailed in Appendix 3 in accordance with the general delegation granted by the AEJC on 20 June 2022 and ratify the delegation for approval of grant funding awarded. v. Agree that an update is provided every 6 months on funding awards and achievements. BACKGROUND 3. The Ayrshire Skills Investment Fund (ASIF) has secured £3.5 million to deliver a range of skills interventions to address skills gaps across the region and equip people with the skills to compete effectively in the labour market and ensure people have the skills required for the future. Agenda Item 3 37
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Since the ASIF committee is a subcommittee of the AEJC, this report has not required to be considered by the AEPB. DESCRIPTION OF PROJECT 4. The ASIF will provide a flexible and responsive skills fund for Ayrshire’s businesses and residents. The fund will be strategically aligned to the Regional Skills Investment Plan (RSIP) and the Regional Economic Strategy (RES) and will support inclusive growth and community wealth building principles. It is aimed at helping employers grow and develop their employees and increase skills for Ayrshire residents, linking them to growth sectors and employment opportunities, with the objectives of reducing unemployment and increasing productivity. The fund supports skills development, where funding currently does not exist, closing funding gaps in the skills system and contributing to the development of skills needed to support regional, inclusive, economic growth. IMPLEMENTATION PLAN 5. Following the decision of the AEJC on 20 June 2022, the AEJC Sub-Committee was established in January 2023 with delegated authority to: • Consider the output of the Regional Skills Investment Plan and the Regional Economic Strategy • Identify and prioritise skills gaps on an ongoing basis. • Determine and implement the most appropriate means of administering the ASIF to meet identified skills gaps. • Invite and evaluate ASIF Grant applications • Award grants from the ASIF; and • Develop and establish a suitable procurement process to ensure sufficient training provision is secured to meet identified skills gaps. 6. The Sub-committee has been operating to date based on the general delegation granted by the AEJC on 20 June 2022 and on the draft Terms of Reference and Standing Orders, presented to the AEJC for approval. 7. The ASIF sub-committee includes representatives from: North Ayrshire Council, East Ayrshire Council, South Ayrshire Council, Scottish Enterprise, Skills Development Scotland, Ayrshire Growth Deal PMO, GMB, Unison and Unite Trade Unions with Ayrshire College and the University of the West of Scotland participating in an advisory capacity where appropriate. 8. A grants programme will identify suitable training and an open procurement framework will be established to create a flexible and responsive skills programme. 38
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GOVERNANCE 8. The ASIF Sub Committee is formed in terms of section 56(1) of the Local Government (Scotland) Act 1973, the draft Terms of Reference (ToR) are included within Appendix 1 of this report. 9. The ToR is aligned to the Standing Orders, included within Appendix 2 of this report, which sets the framework for the conduct of meetings. 10. The Chair of the ASIF Sub Committee is Councillor Marie Burns, appointed by the Ayrshire Economic Joint Committee, in accordance with the ToR and Standing Orders. A Vice Chair should also be appointed, from the elected members already appointed to the sub-committee, who will chair the meetings in the absence of the appointed chair. 11. The Minutes of the meetings of the sub-committee held since its establishment are included within Appendix 3 of this report. The grant funding agreed by the sub-committee is detailed in the Minutes of the meeting of 20th November 2023 and in relation to which ratification is sought from the AEJC prior to formal offer of funding. LEGAL IMPLICATIONS 12. The ASIF project requires robust governance to ensure that its objectives are achieved in accordance legal requirements. 13. The governance has been developed in consultation with all 3 Ayrshire local authorities who have all contributed to the development of the ToR and the Standing Orders. HUMAN RESOURCES IMPLICATIONS 14. The Fair Work and Skills Ayrshire team are in place to deliver the fund, supporting people and employers across the region ensuring the necessary interventions are available to support the skills development needs for the region. EQUALITY IMPACT ASSESSMENT 15. An Equality Impact Assessment has been completed and has identified generally positive impacts arising from the fund, due to its strategic purpose. The fund was created to address inequality and improve socio-economic outcomes for disadvantaged groups in Ayrshire. The aim of this fund is to develop skills and increase local training capacity to develop future skills to achieve inclusive growth and increase productivity across the region delivering a direct impact on social-economic outcomes. 39
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CONSULTATIONS 16. The project board through the Local Authority Employability and Business Development leads have been consulted throughout development. 17. This has been considered by the 3 Local Authority Legal teams and they agree with the content of the ToR and the Standing Orders. Background Papers: Heads of Terms, signed by the UK Government and the Scottish Government and Ayrshire’s Councils on 8 March 2019 Deal Document, signed by both the UK Government and Scottish Government and Ayrshire’s Councils on 19 November 2020 Person to Contact: Laura Neill (Senior Manager, Employability & Skills, North Ayrshire Council) Tel: 01294 324802 Email: lauraneill@north-ayrshire.gov.uk Neale McIlvanney (Interim Head of Service Growth, Investment, Employability) Email: nealemcilvanney@north-ayrshire.gov.uk 40
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Appendix 1 Ayrshire Economic Joint Committee Ayrshire Skills Investment Fund Sub Committee Terms of Reference Draft V6 January 2024 Introduction The Ayrshire Economic Joint Committee (“AEJC”) has established a sub-committee with delegated authority to create, implement and approve awards from the Ayrshire Skills Investment Fund (“ASIF”). The ASIF is an Ayrshire Growth Deal project designed to fund skills development and training in priority sectors, when existing provision is not available, flexible or responsive. Constitution The ASIF Sub Committee is formed in terms of section 56(1) of the Local Government (Scotland) Act 1973. It shall comprise a maximum of [22] members in terms of its Standing Orders, being: (a) [three] representatives (one Councillor and two Officers) nominated by each of North, East and South Ayrshire Councils. (b) [one] representative nominated by each of Skills Development Scotland and Scottish Enterprise; and (c) [one] representative nominated by each of GMB Union, Unite Union and Unison Union. The ASIF Sub Committee may also co-opt up to [three] additional members on the basis of experience or skills, whether from existing members, from other organisations or individuals. [Named substitutes are permitted to attend in place of any nominated member.] The ASIF Sub Committee may also appoint up to [three] advisors from the Higher or Further Education sectors on the basis of experience or skills. Chair The Chair and Vice Chair shall be appointed by the AEJC. Quorum A quorum of the ASIF Sub Committee shall be six, with at least one nominee from each of the Ayrshire Councils present. Standing Orders and Meetings The Standing Orders of the ASIF Sub Committee shall be as detailed in the Appendix. The ASIF Sub Committee shall meet every six weeks and the Chair may convene additional meetings as required. 41
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Delegated Powers The ASIF Sub Committee has delegated powers to implement its functions, except as otherwise provided herein. Functions Referred The following functions of the AEJC will stand referred to the ASIF Sub Committee: 1. To consider the output of the Regional Skills Investment Plan. 2. To identify and prioritise skills gaps on an ongoing basis. 3. To determine and implement the most appropriate means of administering the ASIF to meet identified skills gaps. 4. To invite and evaluate ASIF Grant applications, including conducting a subsidy control assessment in respect of each application. 5. To award grants from the ASIF; and 6. To develop and establish a suitable procurement process to ensure sufficient training provision is secured to meet identified skills gaps. 42
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Appendix 2 Ayrshire Economic Joint Committee Ayrshire Skills Investment Fund Sub Committee Standing Orders for the Conduct of Meetings Draft V1 January 2024 COMMENCEMENT These standing orders will apply and have effect from the date approved by the Ayrshire Economic Joint Committee. DEFINITIONS In these Standing Orders the following words and expressions have the following meaning as shown below:- “Constituent Authority” means any of the East, North or South Ayrshire Councils; and “ASIF Sub Committee” means the Ayrshire Skills Investment Fund sub-committee formed under Sections 56 and 57 of the Local Government (Scotland) Act 1973 for the purposes of regulating the shared discharge of the functions of the Constituent Authorities. MEETING ARRANGEMENTS Dates of Meetings 1. The ASIF Sub Committee shall meet at least every six weeks or more often as is required to conduct its business, dates of meetings to be agreed by the ASIF Sub Committee. 2. A special meeting of the ASIF Sub Committee may be called at any time: (a) by the incumbent Chair; or (b) if at least one quarter of the total number of members request a meeting in writing specifying the business to be transacted. The requisition shall be submitted to the Chief Executive of the incumbent Chair’s Council and shall be included in the notice and summons of the meeting. The Chief Executive will determine the time and venue of the meeting, which shall be held within 14 days of the receipt by the Chief Executive of the requisition. Place, Time and Notice of Meetings 43
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3.1 Except in the case of urgency (when the incumbent Chair may direct accordingly) three clear days at least before a meeting of the ASIF Sub Committee. i. Notice of the time and place of the intended meeting shall be published by the Chief Executive of the incumbent Chair’s Council or an appropriate officer of that council, responsible for the administrative support of the ASIF Sub-Committee, at that Council’s principal office and, where practical, at the place where the meeting will be held if the meeting is to be held outwith that Council’s principal office; and ii. A summons to attend the meeting, specifying the business to be transacted shall be emailed to the last known email address, or left at or sent by post to the usual place of residence, of every Member of the ASIF Sub Committee as appropriate, or to such other address as the Member may notify in writing to the Chief Executive of the incumbent Chair’s Council. LACK OF NOTICE 4. Want of service of a summons on any Member of the ASIF Sub Committee shall not affect the validity of any meeting. QUORUM 5. The quorum for the ASIF Joint Committee shall be six, with at least one nominee from each of the Constituent Authorities present. No business shall be transacted at any meeting of the ASIF Sub Committee unless a quorum is present. If, 10 minutes after the time appointed for a meeting a quorum of Members is not then present, the meeting shall stand adjourned and it shall be minuted that “owing to the want of a quorum, no business was transacted”. CHAIR 6. The Chair of the ASIF Sub Committee shall be appointed by the Ayrshire Economic Joint Committee. The Chair shall preside. In the event of the incumbent Chair either being absent or withdrawing from a meeting, the vice-Chair shall so preside or in their absence another elected member serving on the sub-committee as agreed by the sub- committee members present shall assume the Chair for that meeting or part thereof. POWERS AND DUTIES OF CHAIR 7. Deference shall at all times be paid to the authority of the Chair. When the Chair indicates a wish to speak, any Member who may be addressing the meeting shall give way. The Chair shall:- 44
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(i) preserve order and ensure that every member of the ASIF Sub Committee shall have a fair hearing. (ii) decide all matters of order, competency and relevancy and the ruling of the Chair shall be final and shall not be open to discussion. (iii) decide between two or more members of the meeting indicating that they wish to speak by calling on the member who has first caught the attention of the Chair. (iv) ensure that due and sufficient opportunity is given to members who wish to speak to express their views on the subject under discussion. (v) be entitled, in the event of disorder arising, to adjourn the meeting to a time he or she may then, or afterwards, fix and his or her leaving the Chair shall indicate the meeting is adjourned; and (vi) the Chair shall, at his or her discretion, determine all questions of procedure for which no express provision is made under these Standing Orders with regard to the regulation of the proceedings and business of the ASIF Sub Committee meetings. BUSINESS AT MEETINGS 8. At a meeting of the ASIF Sub Committee, no business other than that specified in the summons shall be considered. URGENT BUSINESS 9. Business which has not been specified in the summons may be considered where the Chair determines that the matter is one of urgency. It shall be at the sole discretion of the Chair to decide whether any business not specified on the agenda for the meeting, by reason of special circumstances, be considered at the meeting as a matter of urgency, and such special circumstances must be specified in the Minute of the meeting. ORDER OF BUSINESS 10. The business at any meeting shall (unless as otherwise directed by the Chair who may, at his or her discretion, alter the order of business at any stage) proceed in the following order:- (i) the Sederunt shall be taken; the names of the members present at the meeting shall be recorded with the Chair at the head followed by the remaining Members. (ii) Minutes of the previous ASIF Sub Committee shall be submitted, held as read and be formally moved and be held to be approved, unless objection 45
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is taken to any portion thereof when so submitted. Any Member may request information on an item within a Minute that is before the meeting; and (iii) Any other competent business detailed in the agenda or urgent business raised at the discretion of the Chair. ORDER OF DEBATE Motions/Amendments 11.1 A member of the ASIF Sub Committee when speaking shall address the Chair and direct all remarks to the matter before the meeting by proposing, seconding or speaking to the motion or any amendment relative thereto, or to a point of order, or to propose or second a motion to adjourn the proceedings. 11.2 Every motion or amendment shall be moved and seconded. The terms of all motions or amendments shall always precede any remarks to be made by their proposers. No member shall speak supporting the motion or any amendment until the same shall be seconded. 11.3 The terms of a motion or amendment not seconded, or which may be withdrawn or altered after being seconded shall not be recorded in the Minutes of proceedings. 11.4 Any member who has moved a motion or amendment and has failed to find a seconder may request that his or her dissent in regard to the decision in question be recorded and that dissent will be recorded in the Minutes. Procedure on Point of Order 11.5 A member may speak upon a matter of order and on doing so shall make a short statement precisely detailing the terms of the point of order. If the Chair decides that the question raised by the speaker is not a ‘point or order’, the member who raised the point of order shall thereupon accept the decision as final. No other member shall be entitled to speak to that point of order. A member who is addressing the meeting when a question of order is raised shall give way until the question of order has been decided by the Chair. MOTION FOR ADJOURNMENT OF MEETING 12.1 A motion for the adjournment of the meeting for a specified period of time may be put at the conclusion of any speech and shall have precedence over all other motions. It must be moved and seconded without a speech and shall at once be put by the Chair in the form of “For Adjournment” or “Against Adjournment”. 12.2 A second motion for the adjournment of the meeting shall not be made within a period of 30 minutes unless it is moved by the Chair, when it shall be dealt with as in the immediately preceding standing order. 46
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VOTING Method of Voting on Motion and Amendment 13. The method of voting on motions and amendments shall be as follows :- (i) When a motion and one amendment only are before the meeting, a vote shall be taken between the motion and the amendment. (ii) When a motion and two or more amendments are before the meeting, the vote shall be taken upon all the proposals, each member having one vote. If a proposal receives the support of a majority of the members taking part in the vote, it shall be declared to be the decision of the meeting, but, in the event of none of the proposals receiving the support of such a majority, the proposal which has received the least support shall be dropped and the vote shall be taken anew upon the remaining proposals and so on until one proposals has received the support of such a majority whereupon it shall be declared to be the decision of the meeting; and (iii) In the event of the votes for two or more proposals being equal the Chair shall decide which of them shall be dropped. DECISIONS OF THE ASIF SUB-COMMITTEE 14. Subject to Standing Order 15, all decisions before the ASIF Sub Committee shall be decided by a majority of the Members of the meeting present and voting thereon. CASTING VOTE 15. In the case of an equality of votes, the Chair shall have a second or casting vote, except where the matter which is the subject of the vote relates to the appointment of a member of the ASIF Sub-Committee to any particular office, in which case the decision shall be by lot. ATTENDANCE BY MEMBERS AND ADVISORS WHO ARE NOT A MEMBER OF THE ASIF SUB COMMITTEE 16. Members of the Constituent Authorities and Advisors who are not members of the ASIF Sub Committee may be invited by the Chair of the ASIF Sub Committee to attend the meeting of the ASIF Sub Committee while there is under discussion any item in which those members have a local or other special interest. Such members and advisors shall be entitled to participate in the discussion on that item but shall not be entitled to vote. 47
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ATTENDANCE BY MEMBERS OF THE PUBLIC 17. Members of the public may, subject to any limitation on numbers that may be required due to Health and Safety considerations or availability of space or seating in the meeting room, attend any part of the meeting of the ASIF Sub Committee except during an item of business where the meeting has resolved, in terms of the Local Government (Scotland) Act 1973 (as amended), that the matter should be discussed in private session. 48
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Appendix 3 Ayrshire Economic Joint Committee Ayrshire Skills Investment Fund Sub Committee Minutes of Meetings 25th January 2023 20th March 2023 11th September 2023 9th October 2023 20th November 2023 Ayrshire Economic Joint Committee Sub Committee Ayrshire Skills Investment Fund 20th March 2.00pm – 3.30pm Location: MS Team In attendance Laura Neill North Ayrshire Council (Chair) Councillor Burns Leader of North Ayrshire Council Juliet Dempster North Ayrshire Council Emma McMullen North Ayrshire Council Helen Noble Scottish Enterprise Anne Campbell Ayrshire College Stuart Millar Ayrshire College Paul Zealey Skills Development Scotland Bethany Handysides McKechnie Skills Development Scotland Councillor Reid East Ayrshire Council Cat Hester East Ayrshire Council Ian Burgoyne East Ayrshire Council Councillor Pollock South Ayrshire Council Heather Anderson South Ayrshire Council Graham Saunders PMO, Ayrshire Growth Deal Chris Kennedy GMB Apologies Jamie Tait South Ayrshire Council Louise McDaid Unison Andy Macfarlane Unite 1. Welcome & Introductions Laura welcomed all in attendance to the Ayrshire Economic Joint Committee Sub Committee: Ayrshire Skills Investment Fund meeting. This is the first meeting of the Sub Committee who has delegated authority to create and implement the Ayrshire Skills Investment Fund (ASIF) 2. Ayrshire Skills Investment Fund Presentation from Laura Neill NAC Action 49
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ASIF Presentation 250123.pptx The Outline Business Case (OBC) is not approved, yet, by the Scottish Government. Cllr Pollok asked is there a limited number of applications: the financial profile is £3.5million with £500,000 to deliver the fund and £3million to fund training interventions for 1000 people. Anne Campbell highlighted the importance of mapping existing provision, mechanisms and funding streams to avoid duplication and enrich the existing offers, emphasising this fund will support training where a funding gap exists. Graham Saunders highlighted the importance to capitalise on this funding and what it can do to hook additional funding in future. Awaiting Approval from SG for OBC – keep updated on progress. Mapping exercise to identify existing funds with report back to the next meeting 3. Ayrshire Skills Investment Plan Presentation from Paul Zealey SDS on the Plan Ayrshire RSIP – the plan is published on the SDS Website https://www.skillsdevelopmentscotland.co.uk/media/49339/ayrshire- regional-skills-investment-plan.pdf Action 4. Regional Skills Assessment Bethany Handysides McKechnie, SDS, presented the Regional skills Assessment for Ayrshire: PowerPoint Presentation (skillsdevelopmentscotland.co.uk) Questions & points raised Councillor Pollok highlighted the importance of linking future skills requirement back to schools and curriculum to ensure we have future talent for these roles e.g., Aerospace Councillor Burns highlighted importance of Community Wealth Building across region and sectors currently struggling to recruit including NHS and HSCP. Cat Hester asked about the 500 aerospace jobs and importance of training for all levels to allow local people to access these jobs. Heather Anderson stated her team has requested a specific breakdown of the Aerospace/Space vacancies and skills levels required. Action Identify Gaps in skills provision along with flexibility of existing funding. 50
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Ian Burgoyne provided an overview of the work with Ayrshire College to increase access for young people through use of foundation apprenticeships and similar models to support key specialisms e.g., Loudon Academy, Food & Drink. Anne Campbell detailed the importance of involvement in our conversations from Directors of Education, Scotland’s Colleges, Scottish Government and SSSC to ensure success of the offer. Graham Saunders stated it was important that local people should benefit from AGD and CWB indicators and measures that are linked to skills. 5. Regional Economic Strategy Emma McMullen presented on the RES Regional Economic Strategy Ayrshire Action 6. AEJC Sub Committee • ASIF Terms of Reference • Timescales • Implementation plan Action To be approved at next mtg 7. Any Other Business Catherine Hester highlighted importance of considering also NOLB projects along with Shared Prosperity Fund implementation and consider opportunities to positively impact child poverty with opportunities for parents. Action Include NOLB Delivery Plans in funds and skills development mapping 8. Date of next meeting 20th March 2023 at 2.00pm on MS Teams Action 51
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Ayrshire Economic Joint Committee Sub Committee Ayrshire Skills Investment Fund 20th March 2.00pm – 3.30pm Location: MS Team In attendance Laura Neill North Ayrshire Council (Chair) Councillor Burns Leader of North Ayrshire Council Councillor Reid East Ayrshire Council Helen Noble Scottish Enterprise Anne Campbell Ayrshire College Paul Zealey Skills Development Scotland Allan Swan South Ayrshire Council Graham Saunders PMO, Ayrshire Growth Deal Chris Kennedy GMB Apologies Juliet Dempster North Ayrshire Council Emma McMullen North Ayrshire Council Councillor Pollock South Ayrshire Council Jamie Tait South Ayrshire Council Heather Anderson South Ayrshire Council 1. Welcome & Introductions Laura welcomed all in attendance to the Ayrshire Economic Joint Committee Sub Committee: Ayrshire Skills Investment Fund meeting. 2. Minutes of the Last Meeting and Matters Arising The Minutes were approved as an accurate record of the meeting. Laura provided an update that the Outline Business Case (OBC) is not approved by the Scottish Government. Action LN: Continue to progress OBC approval 3. Terms of Reference The draft version of the ToR was shared and discussed. Anne Campbell requested reference to the Skills Working Group be included, links to the 6 x workstreams and an emphasis on priority sectors not growth sector where existing provision is not available adding or flexible or responsive. Action LN: Update ToR as Draft V2 for approval at the next meeting 4. Ayrshire Skills Investment Fund Update The forecast financial profile was shared showing the planned outputs and budget from 2023/24 – 2027/28. The budget will fund staff/resources to deliver up to £500,000 and a £3million fund to support the skills development of 1000 people, the unit cost of training is £3,000 per person. Action 52
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5. Mapping Existing Funds A mapping exercise to identify existing skills development funds and opportunities has commenced and will continue to ensure this is comprehensive Action LN: Continue Mapping 6. Island Skills Fund Grant Programme Model Laura provided an overview on the North Ayrshire Island Skills Initiative, a recent Grants programme with an open process, aligned with the Island Plan which approved 26 awards to support skills development for individuals, employers and training providers. Helen highlighted Scottish Enterprise’s Innovation Fund which awards £5,000 per applicant – Helen agreed to share criteria/documentation for this fund Anne Campbell highlighted the need to prioritise/maximise this investment, clear criteria with expectations is required to provide a framework for decision making. It was agreed Laura, Anne and Paul would meet to develop a draft framework. Councillor Burns highlighted unemployment is falling, vacancies are increasing, this must be considered as part of the fund development. Action To be approved at next mtg HN: Share Innovation Fund details AC, PZ, LN to develop assessment framework 7. Any Other Business No other business was raised Action 8. Date of next meeting To be arranged Action LN: arrange meeting dates 53
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Ayrshire Economic Joint Committee Sub Committee: ASIF 11th September 2.00pm – 3.30pm Location: MS Teams In attendance Laura Neill North Ayrshire Council (Chair) Councillor Burns Leader of North Ayrshire Council Neale McIlvanney North Ayrshire Council Matt Strachan North Ayrshire Council Emma McMullen North Ayrshire Council Juliet Dempster North Ayrshire Council Anne Marie McCabe Scottish Enterprise Anne Campbell Ayrshire College Paul Zealey Skills Development Scotland Councillor Pollock South Ayrshire Council Heather Anderson South Ayrshire Council Apologies Jamie Tait South Ayrshire Council Councillor Reid East Ayrshire Council Ian Burgoyne East Ayrshire Council Mags Watson East Ayrshire Council Graham Saunders PMO, Ayrshire Growth Deal Chris Kennedy GMB Louise McDaid Unison Andy McFarlane Unite Milan Radosavlijevic UWS Jonny Mone UWS Stuart Millar Ayrshire College Bethany Handysides McKechnie Skills Development Scotland 1. Welcome & Introductions Laura welcomed all in attendance to meeting. 2. Minutes of the Last Meeting The Minutes were approved as an accurate record of the meeting. 3. Matters Arising Laura reported the OBC and FBC was now approved by the Scottish Government and the Ayrshire Economic Joint Committee. 4. Terms of Reference The draft version of the ToR was shared, discussed and approved. It was later agreed during the meeting there was a requirement to ensure representative of elected members was required across all 3 councils and the ToR would be updated accordingly following legal advice. A revised version will be presented at the next meeting. Action LN: revised version presented to next meeting. 5. Ayrshire Skills Investment Fund Delivery Model Action 54
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A paper was circulated in advance, setting out a proposed ASIF Delivery Model to include 3 lots targeting priority sectors and priority groups. ASIF Delivery Model Report 110923 Laura shared a presentation providing further detail on the proposed Delivery Model. AGD Delivery Model 110923 The key aspects include 3 Lots: 1. Training Grants: Ayrshire College, UWS and in the future to consider further training providers (Implement 2023) 2. Open Procured Framework (ITT: November 2023, Implement 2024) 3. Employer Grants (Implement 2023) The priority sectors, which may change in the future, are proposed as: • Engineering • Digital • Visitor Economy • Clean Growth The priority groups have been identified through the inclusive growth diagnostic to be supported are: • Young people • Females • People with long term health conditions • People in low paid employment The financial profile includes a significant investment for 23/24, delays to approval now reduce time to deliver/spend, this will need to be monitored closely to reduce risk of losing these funds, a reprofiling request may be required. Following the presentation there was a discussion and the following points were raised: MS: asked questions on restrictions, SMEs, larger companies and inward investment opportunities. This will all be considered as part of the Employer Grants guidance and shared for consideration and approval at the next meeting. Cllr Pollock: Noted the budget of £40,000 for research and highlighted the need to ensure ongoing research to ensure the right people are targeted. Councillor Pollock discussed the need within the Aviation Industry to ensure people have numeracy skills and the previous LN to send presentation LN: Monitor financial profile closely and report to sub committee LN: Develop guidance for approval at next meeting Ongoing research process required 55
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Skypath programme targeting long term unemployed people did not meet the needs of employers. EMcM: Reported the Community Wealth Building AGD Project is completing a mid-term review, the end date for this project is 31st March 2024 and confirmed support for the Fair Work Ayrshire aspect to be continued delivering Fair Work and Skills, with future funds from ASIF staff budget. This links to the Regional Economic Strategy (RES) with the RES Delivery Plan being considered by the AEJC. NMc: Noted Legal have provided advice on Subsidy Control, this will be considered on a case-by-case basis with Grantees self-declaring. Neale also reported an initial conversation had been held with EKOS to consider a research proposal to consider all capital investment and to ensure skills are considered to maximise opportunities arising from AGD and other capital investments noting skills are key to landing big investments. Cllr Burns: Highlighted need to ensure people can access pathways to learning, they need to get a foot on the path, and we need to use learning from previous employability programmes. AC: Reported Ayrshire College have recently recruited 50 new aerospace Apprentices with 28 of these people progressing from pathway programmes, highlighting the need for pre-readiness programme on clusters. NMc: Highlighted the important of ensuring a strong Communications Plan to support the implementation of ASIF was necessary. It was agreed Michele McColm, Senior Manager, Communications, North Ayrshire Council would be invited to the next meeting. The Delivery Model, including the delivery model, priority sectors and target groups were agreed by the ASIF Sub Committee, with no objections. Guidance and processes will be considered at the next meeting to enable the ASIF to be launched. Explore EKOS proposal further Ensure learning from previous programmes to enable access LN: Comms to be included as an agenda item at next meeting 6. Mapping Existing Funds Mapping of existing provision continues to ensure this is in place to ensure the ASIF supports gaps in current provisions. Laura reported this is extensive and there are a lot of training interventions currently available, however there remains lots of gaps in skills which do result in loss of productivity. AC shared an example of an employer in the Engineering sector who lost 8 employees to a larger employer which resulted in the loss of £1million of business. Availability of people and skills is essential to maximise productivity and the Ayrshire economy. Action LN: Continue Mapping 56
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7. Any Other Business None Action 8. Date of next meeting 9th October at 2.00pm on MS Teams Action 57
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Ayrshire Economic Joint Committee Sub Committee: ASIF 9th October 3.00pm – 4.30pm Location: MS Teams In attendance Laura Neill North Ayrshire Council (Chair) Matt Strachan North Ayrshire Council Juliet Dempster North Ayrshire Council Anne Marie McCabe Scottish Enterprise Anne Campbell Ayrshire College Paul Zealey Skills Development Scotland Councillor Pollock South Ayrshire Council Heather Anderson South Ayrshire Council Mags Watson East Ayrshire Council Graham Saunders PMO, Ayrshire Growth Deal Milan Radosavlijevic UWS Suzanne McQuade UWS Michele McColm North Ayrshire Council Apologies Councillor Burns Leader of North Ayrshire Council Neale McIlvanney North Ayrshire Council Emma McMullen North Ayrshire Council Ian Burgoyne East Ayrshire Council Jamie Tait South Ayrshire Council Councillor Reid East Ayrshire Council Chris Kennedy GMB Louise McDaid Unison Andy McFarlane Unite Jonny Mone UWS Stuart Millar Ayrshire College Bethany Handysides McKechnie Skills Development Scotland 1. Welcome & Introductions Laura welcomed all in attendance to meeting. 2. Minutes of the Last Meeting The Minutes were approved as an accurate record of the meeting. 3. Matters Arising No matters arising. 4. Communications Strategy Michele McColm from NAC had drafted a detailed ASIF Comms Plan and detailed activity and timeline. The group agreed to take this forward and found it very comprehensive and fit for purpose. Michele mentioned recent discussions have highlighted the importance of involving education/schools to ensure Action LN: to share comms plan 58
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pupils/teachers/parent understand the key sectors for employment in Ayrshire and build strong foundations to grow local talent. Graham Saunders - reinforced this from an Ayrshire Growth Deal perspective as schools make requests to gain more AGD knowledge. Next meeting could include employer case studies to show clear career pathways for S3 pupils. Anne Campbell – requested that any school/AGD enquiries are directed to Ayrshire Skills Group so needs can be reflected in CIAG and skills plan. 5. Terms of Reference Laura explained that the ToR will be redrafted to include a Quorum for decision making where a requirement to ensure representative of elected members was required across all 3 councils and the ToR would be updated accordingly following legal advice. In addition to this trade unions, Scottish Enterprise and SDS would attend. FE and HE partners would attend in advisory capacity only with no voting rights on fund allocation. Action LN: revised version presented to next meeting. 6a. Ayrshire Skills Investment Fund Delivery Model The delivery model was agreed at last meeting. AGD Delivery Model 110923 ASIF Delivery Model Report 110923 The key aspects include 3 Lots: 4. Training Grants: Ayrshire College, UWS and in the future to consider further training providers (Implement 2023) 5. Open Procured Framework (ITT: November 2023, Implement 2024) 6. Employer Grants (Implement 2023) The priority sectors, which may change in the future, are proposed as: • Engineering • Digital • Visitor Economy • Clean Growth The priority groups have been identified through the inclusive growth diagnostic to be supported are: • Young people • Females • People with long term health conditions • People in low paid employment Action 59
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The financial profile includes a significant investment for 23/24, delays to approval now reduce time to deliver/spend, this will need to be monitored closely to reduce risk of losing these funds, a reprofiling request may be required. Anne Campbell from Ayrshire College discussed an outline proposal delivery model for Lot 1 This includes. • Engineering – focus on the aerospace cluster in first instance and will expanding to include XL-CC and manufacturing in East Ayrshire. • Digital • Food & Drink • Clean Growth The engineering discipline will include. • Aerospace • Welding • Manufacturing • Robotics There will be 15 cohorts offering 180-200 places running Jan 2024 to June 2025. Aimed at upskilling the economically inactive with hand skills, economically inactive without skills and new candidates, Work placements will key within this opportunity and would welcome employers to come forward. A proposal for Digital could also be confirmed at next meeting. It was agreed Ayrshire College will present the proposal at the next meeting detailing skills requirements for engineering sector and value of fund request. Cllr Pollok – mentioned that many companies are moving from the apprenticeship model to trusteeships and traineeships with inhouse training programmes. David McDowall – mentioned that it would be beneficial to develop the food & drink proposal as the challenges in this sector are increasing. Laura mentioned that the proposals will be raised in Ayrshire Skills Group to make sure sector needs are met. Milan Radosavljevic - mentioned he agrees with the proposal and in the case of clean growth we need to look at the short term needs of the sector and local area, skills planning. Mags Watson – mentioned she is currently working on a digital collaboration pilot and agreed with the importance of increasing the attractiveness of the region. Laura – keen to consider UWS proposal Suzanne and Milan to try to develop proposal for next meeting after they have energy master plan draft from consultants. AC to present delivery model at next meeting. 60
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Suzanne McQuade – agreed to look at year 1 proposal. 6b. Employer grants guidance discussed, and dates /meetings /approvals agreed. Milan – mentioned the geography might cause employers or candidates to miss out. Laura explained it had to focus on Ayrshire residents and businesses as a commitment to Ayrshire Growth Deal. Laura detailed there will be a steering group and representation from across the three business development teams would be considered. Mags Watson – will share her learnings on the EAC training grant to prevent any duplication. Anne Marie McCabe – mentioned MFA disclosure and is also willing to review form and guidance. Once launched will also share with employers who could apply for funding. LN: To share Lot 3 employer form and guidance with business development teams for review and comments. 7. Research Proposal EKOS research has shown is that industry and schools and connected so information is fed back into the education system. Laura detailed it is so important right skills get to the right people and skills gaps are reduced. Ayrshire College, SDS and EKOS will look at proposal with education to clearly identify the career pathways of the future that AGD investment will create. Action 8. Any Other Business None Action 9. Date of next meeting 20th November at 3.00pm on MS Teams Action 61
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Ayrshire Economic Joint Committee Sub Committee: ASIF 20th November 3.30pm – 5.00pm Location: MS Teams Present Laura Neill North Ayrshire Council (Chair) Councillor Burns Leader of North Ayrshire Council Juliet Dempster North Ayrshire Council Emma McMullen North Ayrshire Council Councillor Reid East Ayrshire Council David McDowall East Ayrshire Council Ian Burgoyne East Ayrshire Council Councillor Pollock South Ayrshire Council Allan Swan South Ayrshire Council Graham Saunders PMO, Ayrshire Growth Deal Anne Marie McCabe Scottish Enterprise Anne Campbell Ayrshire College Suzanne McQuade UWS In Attendance Alison Cairns EKOS Chris Kelly EKOS Gemma Donnelly EKOS Michael Dunn EKOS Avril Thompson NMIS Apologies Matt Strachan North Ayrshire Council Neale McIlvanney North Ayrshire Council Paul Zealey Skills Development Scotland Mags Watson East Ayrshire Council Heather Anderson South Ayrshire Council Jamie Tait South Ayrshire Council Stuart Millar Ayrshire College Milan Radosavlijevic UWS Jonny Mone UWS Chris Kennedy GMB Louise McDaid Unison Andy McFarlane Unite 1. Welcome & Introductions Laura welcomed all in attendance to meeting. 2. Minutes of the Last Meeting The Minutes were approved with an amendment to attendance to include David McDowall, East Ayrshire Council who attended. 3. Matters Arising No matters arising. 62
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4. EKOS Research Findings Michael Dunn, Gemma Donnelly, and Alison Cairns presented EKOS research. Slides supplied for reference: Ayrshire Skills Mapping Action LN: to share EKOS slides 5. Terms of Reference Laura explained that the ToR has been updated to reflect the need for a Quorum for decision making and final approval. Will share in advance of next meeting to allow for legal approval from all attendees. Action LN: to share updated ToR in advance of next meeting. 6. Ayrshire Skills Investment Fund Proposals for Consideration for funding This section of the meeting was moved to the start of the agenda to ensure quorum for fair decision-making process. Laura provided overview of activity to date on fund activity. a) Training Providers Grants: Ayrshire College Full Proposal Anne Campbell for Ayrshire College had provided a fully detailed written proposal prior to the meeting and Laura had circulated in advance for consideration. Anne provided an overview of the proposal: • Courses would have full campus coverage where possible. • Courses would run from Feb 2024 to June 2025 • Engineering focus on CNC, Aerospace and Welding • Clean Growth would have a net zero focus • Digital courses would have pathways to support further study at UWS David McDowall – asked for clarification on locations to ensure that those in more rural Ayrshire have the chance to access the opportunities. Will discuss at LEP to see if assistance to these candidates is available. Anne happy to discuss with LEPs. Ian Burgoyne – asked about selection criteria and economically inactive terminology. Anne confirmed unemployed candidates within target groups will be eligible. Anne detailed that there will be inclusive support to potential candidates with interview/entry conversations to match to opportunities, but engineering could be more challenging due to specialisms. Decision – Funding of £693,000 for the Ayrshire College proposal with £60,600 from 23/24 allocation was approved with Councillors Burns, Reid and Pollok confirming agreement. Action 63
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b) Employer Grants Programme: Evaluation Panel Recommendations for approval Juliet shared an overview of all proposed employer grants by local authority area to support the report previously circulated. No questions were raised, members noted a good variety of applications had been received. Decision – Funding of £60,180 for the employer grant requests for 23/24 was approved Councillors Burns, Reid and Pollok confirming agreement. Employers will not be informed until the 24th of November, details of decisions are confidential until this announcement. These approvals are all subject to subsidy control assessments and fair work conditionality. 7. Ayrshire Skills Investment Fund – Outline Proposals a) University of West of Scotland Susanne McQuade presented an outline proposal from UWS, targeting economically inactive/unemployed individuals and also businesses to explore existing talent and upskill staff. Delivery would start early next year with 11 cohorts across 4 areas to support 130-165 individuals at a cost of £400,000. Allan Swan – asked about how it could attract applicants out with the region. It was confirmed there would be selection process, but the eligibility criteria are people supported must all live in Ayrshire. David McDowall is interested to see more detail on the offer at next meeting. It was agreed UWS would present a detailed proposal at the next meeting. b) NMIS Avril Thompson, Head of Skills at NMIS presented and slide included a suite of both free and costed training opportunities covering, engineering, digital and clean growth target sectors, including internships. It is designed in the form of employer vouchers to a maximum of £3000 for Ayrshire employers only. Blended delivery of online and f2f with 3 price bands up to £3000. A free skills consultation can be offered to employers to assess need. Action Share UWS presentation UWS ASIF Framework - slide.pdf Susanne to supply detailed proposal in advance of next meeting NMIS Proposal NMIS ASIFvouchermenu Complete mapping of current LA offers 64
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David McDowall – expressed that the offers need to be mapped in line with existing opportunities in each of the LA’s and that pricing is consistent across the board. Laura agreed and a mapping exercise will be done before next meeting. 8. Any Other Business No other business. Laura reminded the group that grant decisions are not yet public and will be subject to Subsidy Control and Fair Work First conditionality being confirmed by Scottish Government. Action 9. Date of next meeting 12th February 2024 at 3.00pm on MS Teams, it is noted this date may be subject to change as the meeting must have a quorum in attendance to enable decisions to be taken. Action Confirm date is suitable for all 65
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