THEMES
Developing a Green Economy
Climate Emergency is upon us, representing a clear and present threat to modern life. The damage caused to our planet by the overuse of natural resources and unchecked emissions will only be fixed by a concerted, coordinated global effort to transform our economy. Major cities like ours, and within them, major institutions, are at the forefront of this. Time is short. What could once have been addressed through gradual interventions and change, now needs major investment and big and immediate changes in direction. Our ambitions for a prosperous economy must be viewed in the context of planetary boundaries; of there being material limits to what the planet can provide as we embrace the challenge of meeting our net zero, climate-resilient ambitions by 2030. However, we must still provide strong social foundations for all, and so tackling emissions and climate risk must go hand in hand with our efforts to overcome poverty and inequality. Achieving this change will require all of us, major businesses, SMEs, employees, our research institutions, and infrastructure providers to engage. It will require innovation in our systems of government and in how we do business, and substantial investment to deliver change on the scale required.
Growing Our Economy
The strength of the city economy is crucial to tackling inequality and providing opportunity for our citizens, and to best utilise the incredible range of talent that Glasgow has to offer. To structure these efforts, we will focus on growing our key sectors, which have been identified in collaboration with city partners, including GEL. For example, we will pay particular attention to providing the right environment for start-ups, SMEs, and the wider Glasgow tech community. The growth of Artificial Intelligence (AI), the fourth industrial revolution and the city’s increasing strengths in the likes of quantum, space, fintech and life sciences, offer growing diversity and opportunity for a technologically skilled workforce. The Logan Review identified some of the challenges facing the city’s tech ecosystem: the establishment of the Techscaler in Glasgow, supported by the Council, will help achieve critical mass and maximise self-sustainability, leading to an increasingly robust technology SME base that contributes to productivity and employment. Third Sector remains a critical component of the Glasgow economy and we will continue to support it, as well as champion the role of social enterprises to deliver key services across the city. Collectively, the third sector contributes around £3bn to the economy of the city and employs approximately 27,000 staff. That contribution is critical in building a fairer economy and society as third sector organisations create employment opportunities for people and communities that are often left behind. The services they provide include financial inclusion, employability and improved wellbeing, all critical to people being included in economic opportunities. Glasgow has a strong record of promoting entrepreneurship and this will continue and extend to addressing the particular challenges that face women and black, Asian and minority ethnic entrepreneurs. Our ambition is clear: to foster entrepreneurship and develop pre-start and viable early-stage growth companies by drawing on the full spectrum of talent and ideas that exist in Glasgow.
Inward Investment and Internationalisation
Glasgow is a mature investment proposition and established business hub. The city regularly places in the top 5 UK cities for FDI with recognised strengths in digital tech and financial and business services, 2 of the top sectors for FDI into Scotland, the UK’s most attractive region for FDI outside London, with a growing focus on sustainability and clean tech. The USA remains our most important overseas market for FDI. However, as investors increasingly look outside London to locate their business, Glasgow has the opportunity and the credentials to attract even greater levels of FDI with a highly talented and skilled workforce, strong business ecosystems and a world class property offer. Glasgow also has an international reputation for culture, hospitality and sport and an enviable track record in successfully hosting major events, including COP26, the largest ever international event held in the UK. We are home to internationally acclaimed Higher and Further Education institutions and Glasgow stands out as a top UK investment location for multinationals and tech start-ups. In 2021, our strong international profile was significantly boosted thanks to our role as host city for COP26. Successfully delivering COP26 and securing the Glasgow Climate Pact have created an enduring legacy which has ensured worldwide recognition. At the same time, we need to focus more effort on supporting indigenous businesses to export goods and services overseas as part of our post-Covid economic recovery. So now is the time to build on our recent successes in attracting FDI, leverage the skills, finance and networks of our partners such as Scottish Enterprise, Skills Development Scotland, Glasgow Chamber of Commerce and our universities, and redouble our efforts to drive up levels of inward investment and support local businesses to increase our exporting success.
Innovation
Glasgow has a talent for innovation. From science and technology to creative industries and advanced manufacturing, our city has one of the most diverse and dynamic innovation economies in the world. With two innovation districts, GCID and GRID, anchored by world-leading academic institutions, we have the foundations and talent to deliver on our ambitions around the climate plan, starting with developing the first Climate Neutral Innovation District. Co-ordinating the two districts’ development, maximising co-operation and collectively marketing Glasgow’s innovation offer at a UK and global level will provide an at-scale proposition comparable with any to be found elsewhere in the UK. Twenty years ago, Glasgow’s International Financial Services District (IFSD) was established, redeveloping underused and vacant land to create a dedicated business neighbourhood for a sector crucial to Glasgow’s economic ambitions. Today, it is home to some of the biggest global financial institutions underpinning the value of the district to the city ‘s economy. We will continue to support the expansion and growth of the IFSD as a place of innovation, talent and enabling technologies. The city is also a place of social innovation, engaging communities and providing the conditions that enable input, direction, and guidance on some of the city’s biggest social challenges and we will continue to invest in this to make Glasgow a better place to live and work.
City Investment and Financing
As part of our effort to secure funding for projects in the city, we will continue to explore new and innovative models of financing. Our efforts will reflect our commitment to a greener economy by developing an investment approach based on the agreements struck at COP26, and one which is Paris-aligned. Our Green Deal will underpin a new finance fund and the development of the Greenprint for Investment. To achieve this will require working with funders, including the SNIB and the UK Infrastructure Bank, to support mission-led, patient capital investment that addresses our three Grand Challenges. We will also continue to explore uses of social infrastructure funding to ensure that some of our most deprived communities are not left behind.
Employment and Skills
We will continue to support our residents to access employment and training opportunities, building on the success of the award-winning Glasgow Guarantee. While this support will predominately focus on individuals with multiple barriers to employment. it will also recognise the impact the transition to net zero will have on the city economy and the wider jobs market, through the development of the JTSAP. Additionally, we will commence the digital skills journey of our future workforce in primary schools, laying the foundation for a digital-confident and competent future generation. We will also work with those in higher education and retrain the workforce to address existing gaps and ensure capacity and skills for future demand. Through public and private sector collaboration, alongside a refreshed approach to work experience, we will build links between those emerging from digital skills training and employers to maximise employment opportunities.
A Fairer Glasgow
Glasgow is an increasingly diverse city and is stronger for it. However, there remain too many people and communities who experience deprivation. We therefore have a responsibility to target interventions where we can, to address inequality, whether this be through enhanced digital inclusion or better access to healthy food. With city region partners we have also embraced the principle of community wealth building, focusing on fair employment, productive use of land and progressive procurement, to create an economy with fairer outcomes for Glaswegians. To help achieve this we will work with the Scottish Government to further refine procurement legislation to maximise the community benefit of our procurement while reducing our carbon impact.
Infrastructure and Place
Our infrastructure, physical, social and virtual, is the platform that supports our city’s economy. Historically we have benefitted from investment which allowed our economy to grow and parts of our city to thrive. However, infrastructure requires continual investment and maintenance as well as creative reimagining and bold ambition for new investment to keep pace with global standards. Our Connectivity Commission outlined a range of ambitious projects to reinvigorate transport infrastructure and wider economic opportunities and we will work with partners across the city region to deliver them. We are also increasingly aware of the importance of place, creating places that are safe, welcoming and authentic and are tailored to meet the needs of our citizens to enable them to easily access quality outdoor space and to invest in their wellbeing.
Supporting Key City Assets
Glasgow boasts a diverse range of physical infrastructure assets, ranging from connectivity corridors and travel hubs – such as Glasgow Airport – to landmark venues and attractions like the SEC. These assets underpin social, civic and economic life in the city, enabling travel to, from and around Glasgow, and helping create our uniquely vibrant day and night-time atmosphere.
The expansion and regeneration of the Scottish Events Campus is an essential strand of Glasgow’s economic recovery, leveraging both the existing reputation and the international opportunities resulting from the successful hosting of COP26.
Continued investment and adaptation of connectivity is required to support existing assets as well as driving forward change to reach the net zero ambitions of the city.
It is recognised that the pandemic has resulted in many changes impacting Glasgow city centre: renewed focus on the concept of neighbourhoods; shifts in consumer habits; and challenges for the retail and night-time economy. The city centre challenges need targeted action to ensure recovery and build resilience.