Using enterprise to tackle long-term unemployment

NWES is a local enterprise agency that was set up to reduce disadvantage by encouraging enterprising activity and self employment. Concentrating predominantly on the long term unemployed and those facing barriers to work, it aims to increase the number of business start-ups within the town by offering support, training, mentoring and provision of finance and flexible workspace.

NWES has helped to start up over 5,000 new businesses, creating almost 10,000 jobs; 103 businesses and 206 jobs in the last two years alone. Independent research conducted by Barclays Bank and the National Federation of Enterprise Agencies has shown that people helped by NWES are 20% more likely to succeed than those who set up in businesses without the organisation. In addition, NWES businesses have a growth rate that’s 25% higher than the national average.

The project was set up in 1982 and has since grown into the country’s largest and most successful enterprise agency. Providing impartial, independent and free business advice from experienced advisors, bespoke training and development courses and financial support brings a level of help to potential entrepreneurs that is rarely matched. The provision of quality office space and industrial premises with flexible terms and on-site business support is a major part of the NWES strategy to help the development of new and existing businesses.

As well as the creation of start-up companies, financial developments in Lowestoft have attracted existing businesses into the town, providing even more jobs. Special emphasis has been placed on renewable energy as the area is ideally situated to take advantage of the opportunities this sector has to offer.

Background

A few years ago, Lowestoft faced one of the worst periods in its long and distinguished history. With low levels of enterprise, a failing business community in declining industries and low aspiration amongst its population, action needed to be taken to prevent the town descending into complete deprivation.

For many years Lowestoft relied upon the fishing fleet and allied trades to provide employment. However, both these sectors suffered an irreversible downturn and, as major employers such as Shell and Birds Eye either relocated or reduced their presence in the town, they left behind a declining business stock and a fragmented supply chain. Aspiration amongst young people was low with the main priority being to “escape” the area. Levels of educational attainment lagged behind the regional and national average and, with traditional low skilled jobs fast disappearing, unemployment started to soar. Enterprise and entrepreneurship were in sparse supply with the area having the lowest number of business start-ups in the East of England.

Lowestoft is a town of around 65,000 people surrounded by a predominantly rural hinterland. It is the most easterly town in the country, ranking in the bottom 15% most deprived areas in the UK. These factors, combined with seasonal unemployment and a large migratory population, posed a significant challenge for NWES – a challenge that the organisation has met head on with impressive results.

The OrbisEnergy Centre

The jewel in the crown is the newly opened OrbisEnergy centre which is an £8.7million investment designed to capitalise on the renewable energy sector. In addition, the organisation gave £3million of its own money to fund the Lowestoft Enterprise Park, transforming a derelict industrial area into a thriving community of small businesses.

But it isn’t just about buildings. NWES provides industry-leading support in business creation and, by nurturing local talent, Lowestoft is now seen as a place to do business. Other assistance includes a £1.5million loan fund, which has helped parts of the community often excluded from the mainstream business community, such as women, disabled people and those from ethnic minorities.

The impact of NWES spreads beyond its enterprise premises, with staff working with local schools to enthuse the next generation of entrepreneurs.

The start-up

A business that has benefited from NWES support is Park View Financial Planning. Founded over three years ago by Jeremy Woodruff, this company has seen steady growth since its formation. With an increasing number of staff, Jeremy has taken on more office space with satellite premises in Essex and Norwich. However, he insists his headquarters will always remain in Lowestoft; the place where he received the advice and support to grow his business into a successful enterprise.

NWES is keen to share what it has achieved and staff have already provided support to similar organisations across the UK, from Eastbourne to Newcastle-upon-Tyne.

NWES doesn’t believe in grand events and glossy strategies. It is about creating workable solutions that give real benefits to both individuals and the community – a community that, as a result of its own enterprise and talents, is no longer dependant on a few major employers.

Find out more about the Enterprising Britain competition, and read about the other regional winners.