Report of the Director of Inclusive Economy.

This report provides an update on the skills opportunities and challenges faced by Manchester to deliver large scale housing retrofit programmes to achieve low carbon standards. The report focuses on the skills system and implications for the city’s economic growth and development in the context of Developing a More Inclusive Economy - Our Manchester Industrial Strategy and the ambition to be a zero-carbon city by 2038 at the latest.

The Committee considered a report of the Director of Inclusive Economy which provided an update on the skills, opportunities and challenges faced by Manchester City Council to deliver large-scale housing retrofit programmes to achieve low carbon standards.

Key points and themes of the report included:

·         In 2019, the Council set a target to become a zero-carbon city by 2038, with a challenging reduction of at least 50% of our direct CO2 emissions by 2025;

·         By 2032 over 85% of the homes Manchester residents will be living in will have already been built and a large-scale retrofitting programme is, therefore, essential;

·         Large scale investment in retrofit programmes will drive the demand for green skills and provide the foundations to develop a local skills, employment, and business support offer;

·         Challenges in funding to undertake retrofit programmes and the costs involved in retrofitting; and

·         The work of colleges and the GM Low Carbon Academy in delivering retrofit training.

Some of the key points and queries that arose from the Committee’s discussions included:

·         Responding to needs of the industry given the inflexibility of green skills qualifications and how The Manchester College navigates this;

·         Lack of incentives for small and medium enterprises (SMEs) to take up green skills training and how this could be improved;

·         How much funding in total had been provided for retrofitting by the government;

·         If the Council could prioritise contracts for retrofitting with companies who employ local people; and

·         Addressing the gender imbalance within the construction industry;

·         The scale and number of jobs needed to meet retrofitting targets; and

·         Welcomed the sentiment that “every job is a green job”.

The Assistant Principal of The Manchester College explained that green skills qualifications are structured by the awarding organisations and may not be up-to-date in terms of the current needs and practices of the industry. The Manchester College works with contractors in Manchester to develop bespoke modules to complement the curriculum and deliver additional skillsets, thereby responding to the needs of the industry.

Access to skills for SMEs was acknowledged as an issue and The Manchester College had recently been involved in delivering free solar thermal training which provided existing plumbers an upskilling opportunity. This training was delivered to 58 students, 9% of whom were female, and a number of students were able to get work in retrofitting upon completion.

The Assistant Principal of The Manchester College commented that a single Green Skills Academy for Greater Manchester may be useful as a single point of access and information for SMEs. Discussions were also underway with One Manchester and the Institute for Apprenticeships and Technical Education (IFATE) to develop programmes.

The Executive Member for Housing and Development confirmed that there is a funding shortfall for retrofit although some social housing pilots had taken place in past years and the Council would continue to apply for relevant funding. The Executive Member also stated that the Council had spent £83 million on housing stock in North Manchester since 2005, which had resulted in a 49% reduction in carbon emissions.

The Work and Skills Lead and the Assistant Principal at The Manchester College explained that diversity within green jobs and the construction industry was encouraged through work in schools, careers advice and guidance and myth-busting sessions. Members were also advised that the female demographic with The Manchester College’s Transition and T-Level courses in construction had increased to 12% and the new intake of the Construction and Built Environment T-Level course was a 50:50 gender split.

The Committee was informed that between 8000 and 12,000 new jobs were required to meet retrofit needs. Approximately 3000 learners complete construction courses each year from all further education colleges in Greater Manchester and around 1000 begin construction apprenticeships each year. Other schemes such as skills bootcamps were also being held to increase the number of people in the construction industry.

With regards to whether the Council could prioritise contracts for retrofitting with companies who employ local people, the Director of Inclusive Economy explained that where the Council has levers, such as in procurement, it will seek organisations which employ local people but there was no capacity to monitor this. There were varying degrees of influence in other areas, such as joint contracts and land, and this could be requested through the planning process.

Members felt that retrofitting was a significant piece of work for the Council which needed to be developed collaboratively between the Economy Scrutiny Committee and the Environment and Climate Change Scrutiny Committee. Councillor Irene Robinson proposed that a working group on housing retrofit be established, seconded by Councillor Mandie Shilton Godwin.

Decision:

That the Committee

1.    notes the report and

2.    recommends that a working group be established and made up of members of the Economy Scrutiny Committee and the Environment and Climate Change Scrutiny Committee to support the delivery of the housing retrofit plan.