As the mood of business becomes more optimistic, James Durie, executive director for Bristol Chamber of Commerce & Initiative, pictured, maps out in his New Year message how Bristol can share in the growth that everyone is predicting for 2014.
“It’s been a tough five years, and no one is expecting more than a steady climb upwards in 2014. 
But – tellingly – our recent regional survey of economic sentiment recorded 79% of the 640 respondents feeling “confident”. That was a 20% hike on the previous quarter and considerably higher than this time last year. We seem to have moved from “cautiously optimistic” over to “optimistic” on the virtual swingometer!
One year ago, I saw 2013 being a “cup half full” year, suggesting that we were in a great position to take advantage of any growth potential in the economy. That remains true, and key elements such as the Temple Quarter Enterprise Zone and the five enterprise areas are starting to kick in – this gives us a clear employment land offer across the strategic locations as well as a degree of control over our own destiny in terms of allocating new business rate tax income from those areas.
Last year I cited a list of accolades that Bristol had received in terms of desirability as a place to live, work and invest. This year has added significantly to that list – we’re officially the “best city to live in” within the UK for wealth and happiness, the top place for ethical investment outside London, one of the cities to benefit from the Smart City Forum and the UK’s fourth fastest-growing city.
As a Smart City we will, of course, be European Green Capital 2015: not just a great chance to raise our international profile, attract more investment and jobs but show how, through sustainability, we can work across health, wealth and prosperity for all in our city and demonstrate leadership on the green agenda. Liverpool really maximised the opportunities of being 2008 European Capital of Culture. The same man, Kris Donaldson, is leading Bristol for 2015 – a real coup for Bristol.
There are also hugely optimistic indicators such as the first big speculative office developments for several years, the £7.2bn electrification of the Bristol to London line has moved closer together, as has the city region’s new bus metro system… and the much needed link road. Bristol Temple Meads Station will be refurbished which will give us a main arrival point and now growth hub befitting a leading 21st century European city region. Even the arena is edging closer.
The South Bristol link road, with its bus metro line connecting South Bristol to the centre and north of the city, gives us a real chance to rectify one of the inequalities blighting our growth and prosperity over recent decades. No city can truly be at ease with itself if all of its population does not have a chance to share in those opportunities.
And there’s more. The West of England Local Enterprise Partnership (LEP) has just put out its Strategic Economic Plan for consultation – an opportunity to take a big share in the Government’s £2bn growth fund. Through a ‘smart specialisation’ approach the LEP is asking for up to £480m of that national pot over six years to boost five key growth sectors: low carbon, hi-tech, advanced engineering/aerospace, creative & digital media, and professional & legal services.
Tens of thousands of jobs could be created over the coming few decades for our city region: not just within those sectors but in support industries too – everything from health and education through to leisure, transport and construction. Of course, we have still to win that money – which will undoubtedly leverage further private investment – but our LEP has earned a reputation as one of the most effective and forward thinking of all of the 39 LEPs in the country. The bids will be judged on ‘return on investment’ – and we can do just that.
So, plenty of good news… but I do think one or two caveats are in order.
Firstly, five of the pillars enabling economic growth are land, infrastructure, skills, access to funding and business support.
The first two are being addressed. Business support is readily available through us at Business West and our partners – including strategic advice for start-ups and growing enterprises, as well as companies looking to develop markets abroad. Being judged Britain’s number one chamber of commerce this year was a real endorsement of our ability to deliver. However there is a more we should be able to offer with the right support.
Already we are being told by some employers that skills shortages are starting to emerge, while access to funding certainly continues to be an issue for many small companies. More needs to be done.
Equally, we are still failing to provide enough housing to really meet the needs of our growing population. That could prove a severe drag on growth in the next decade.
I think there is still more work to be done for our sub-region to operate as a leading region with our two cities of Bristol and Bath. The Bristol and Bath inward investment team are making good progress and are the right building blocks. But to compete in a global marketplace for inward investment, and at a time of diminishing public finances, we have to put differences aside and promote ourselves as a united, connected, supportive city region. The same is true if we are to persuade Government that we can make maximum use of the various pots of money available to support regional growth.
Bristol has the potential to move to another level of growth and prosperity. Let’s not miss that opportunity.
