Report calls for urgent action to boost employment in South Wales Valleys
The economy and labour market of the South Wales Valleys remain mired in difficulty, with just 46 jobs per 100 residents of working age, a report has stated.
Next Steps for the Valleys, the new report released today (Monday 3rd), was commissioned by Industrial Communities Alliance Wales, part of the GB-wide association of local authorities covering the former coalfields and other older industrial areas.
The report goes on to say that, through no fault of their own, the Valleys have lost their competitive edge in attracting business investment.
It explains that the Valleys, which have a population of three-quarters of a million, are possibly the most disadvantaged former industrial region in Britain, with very large numbers of residents having to commute outside the area, and almost one-in-five 16-64 year olds out-of-work on benefits of one kind or another
The report goes on to detail how recent developments in UK regional policy have seriously weakened the ability of the Valleys to attract investment and jobs. Namely that ‘Assisted Area’ status and regional investment aid have been abolished and the replacement for EU funding – the UK Shared Prosperity Fund – is worth a lot less.
Restoring the Valleys’ competitive edge for business investment is the key priority, says the report.
It sets out ten proposals for the UK and Welsh Governments, the private sector and local bodies such as Transport for Wales:
1. Keep the funding flowing
Wales and the Valleys have traditionally done well out of UK and EU regeneration monies. This needs to be maintained.
2. Support manufacturing
Manufacturing still accounts for 34,000 jobs in the Valleys – one-in-six of the total – and remains a key driver of the local economy and a contributor to growth.
3. Restore regional investment aid
For decades this was a key tool of regional development until the abandonment of Assisted Area status in the wake of Brexit.
4. Invest in business sites and premises
No suitable space generally means no investment. Public investment can kick start development and break through barriers to growth.
5. Deliver an apprenticeship system that works
It’s what’s needed to provide opportunities for young people and to lay the foundations for business growth.
6. Make the most of the Heads of the Valleys road
A unique opportunity following the dualling of the A465 to bring forward new sites and new opportunities to travel to work, education, training and public services.
7. Build on the strengths of Valley towns
Encourage their development into local hubs for jobs and services, building their distinctive identities and opportunities.
8. Look after the fabric of smaller places
Recognise that to make them attractive places to live their historic buildings need to be restored and brought back into use for housing, jobs, services and community life.
9. Speed up journey times
There’s still a lot that needs to be done to speed travel by train and bus to Cardiff, Swansea and Newport, including local bus services linking to the rail network.
10. Balance momentum along the M4 with investment in the Valleys
Keep investing for growth along the M4 and surrounding areas, but where possible push more development into the Valleys themselves.
‘Far from positive’
Meirion Thomas, ICA Wales Director and co-author of the report, says: “The view from residents and community leaders is far from positive. The shortage of good job opportunities is stressed as are the strains of lengthy commuting. But despite the negative picture painted by statistics the Valleys, its towns, communities and people are full of opportunities and possibilities.
“It’s time for the potential to be recognised. The proposals we’re putting forward are grounded in evidence and have been road-tested with key players. They reflect the reality of the Valleys today, and the future they deserve.”
Cllr Gareth Jones, Chair of ICA Wales, adds: “In the coming weeks we’ll be targeting ministers in London and Cardiff with the report’s proposals.
“I’m particularly conscious that with the Senedd elections coming up next spring we have a programme here for Valleys that all political parties should be able to support and adopt.”
To view the full report, click here.
The Industrial Communities Alliance (ICA) is the all-party association representing local authorities in the older industrial areas of England, Scotland and Wales. Further details of the ICA and its activities can be found on its site.
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Skills training opportunites for the under 25’s should be a priority, with an optional progression to higher technical qualifications.
These are all good suggestions, though I feel the deleterious effects of neoliberal economics over the past 46 years has largely left these valleys communities feeling abandoned. We need to stop asking what’s good for the London based markets, and start asking what’s good for the people and small businesses.
Indeed but decision-makers in Whitehall still view this as either unaffordable charity or a slippery slope to communism depending on their politics when getting all the regions and nations punching above their weight would actually make the UK far richer over all, and massively reduce public spending. The real question is why are London based mandarins so wedded to the “one economic engine” model.
There is no analysis at all on what is best for London being done.
In France the government is developing its’ own Artificial Intelligence organisation; the UK Government outsourced it all to google / Apple / Microsoft.
So no growth for UK Technology organisations – BT and Vodafone; who may soon leave London Stock Exchange like Astra Zeneca https://www.reuters.com/business/healthcare-pharmaceuticals/astrazeneca-wins-shareholder-backing-nyse-listing-drugmaker-pivots-us-2025-11-03/
Londons economy is in crisis, Edinburgh is now UK lead https://www.edinburgh.gov.uk/news/article/14243/edinburgh-s-economy-outperforms-london-s
Of all the areas in the UK that should not have voted for Brexit – Wales headed the list. Its population fell for the antiEU spin, hook, line and sinker, thus putting their fate back under control of Westminster politicians who have always been infamous for their disregard of Wales. We can but hope they do not make the mistake of falling for Farage’s populism, for if they do, they will discover that they were merely a stepping stone on the way to real power.
Ironically it was immigrants that made it happen.
https://www.theguardian.com/uk-news/2019/sep/22/english-people-wales-brexit-research
It was bonkers. Items 1 to 6 on the list are heavily interlinked with EU funding.
ThAt said, the only problem with structural funds is how little we have to show for three rounds of ERDF funding.
Agreed – and the problem with these 10 priorities is that, directly or indirectly, they depend on significant increases in funding which are extremely unlikely to be forthcoming. Not enough attention to small and medium sized businesses either.
I still remember when Maggie started to get rid of proper apprenticeships in the 80’s.
Every trainer, teacher, lecturer, parent and qualified trade knew it would end in disaster.
Hence the UK needing to recruit 100’s of thousands of qualified people from elsewhere.
Can the rest of Wales have some of this money and enterprise?
Support should be automatically and permanently linked to an area’s GDP per capita, not political favourites.