UK Competitiveness index position
35(2023)
This update covers quarter 2 (July to September) for 2024 to 2025.
Highlights and challenges
The second quarter has continued to develop the implementation of the action plan building on the existing economic development activities. This includes:
- the UK Shared Prosperity Fund
- support for start-up and high growth businesses
- the transition to the new Bracknell Forest Economic Partnership, with the first meeting of the board meeting in early October 2024
Progress continues to be made with the Healthy Workplace Alliance, climate change businesses engagement and the partnership with Berkshire Growth Hub to offer business support.
At a regional level, the Berkshire Prosperity Board has commissioned a Berkshire Economic Strategy. This is progressing, with a consultation due in autumn 2024.
Following the 2024 general election, the formation of a new government will need to be understood and responded to in terms of Bracknell Forest’s economic opportunities. A period of uncertainty until the next spending review and budget will be a potential risk.
Current position
Key measures
Under each of the 4 themes in the economic strategy there is one key metric that shows the current position of Bracknell Forest.
These will be kept under review by the council’s economic development team and the Bracknell Forest Economic Partnership. Provisional indicators are set out below.
Economic performance
The UK Competitiveness Index measures the long term potential of a location to generate economic growth and well paid employment. These are then ranked. Bracknell is currently at position 35 of 362.
Business competitiveness
Percentage of companies with a turnover
of £1 million to £5 million has increased by
11.4%(on the previous quarter 2024)
People, work and wellbeing
GDHI (gross domestic household income) compared to inflation5.53%(2022)
Gross disposable household income (GDHI) is the amount of money that people in a household have available to spend or save after taxes, social contributions, and other income distribution measures. (ONS published a revised figure of GDHI reported in quarter 1. The figure has been updated from 3.30% to 4.24%.)
Place, climate change, infrastructure and connectivity
Full fibre connectivity93%(October 2024)
There has been an update to the previously reported figures due to inaccurate data. The source of the data has been updated to Ofcom for 5G availability and Think Broadband for Full Fibre. The data for quarter 1 has been updated accordingly.
The quarter 2 report is an update on the base position set in quarter 1, for the indicators and performance measures, it continues to show a broadly positive outlook. As with the previous report business growth continues to be an area of concern. Work is continuing to identify barriers to investment at a local and regional level.
Headline charts
The following charts show the current status of the 24 key metrics under the priority themes identified in the Bracknell Forest Economic Strategy 2024 to 2034.
They provide an overview of the current position versus target as a red, amber or green (RAG) status, plus the direction of travel of latest data against previous results.
Where results are unavailable and to be confirmed (TBC), commentary is provided in the appendix.
Performance against target or forecast
This data in the charts below shows us that the status of the local economy is reasonably strong and has clear potential to grow.
Performance trends
This data in the charts below shows us that in some instances the targets are yet to be achieved but the general trajectory is positive.
Similarly by comparison to other local economies, the rate of decline is less steep indicating a degree of resilience.
Action plan performance update overview
The information in this document summarises the performance and trend for all 24 metrics in the Economic Strategy action plan.
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Exception commentary
Where the current performance status is ‘red’, more than 10% off target or forecast, commentary is provided below.
Economic performance
Number of foreign owned 250+ companies
We are currently exploring suitable data sources for this specific indicator.
Business competitiveness
Business growth rate
-3.75% at September 2024 vs. 2024/25 target of -2.00%
(based on aspiration to improve growth rate in first year of action plan delivery)
Business growth has declined for the second quarter. This is also evident across our comparator area.
We are engaging with Berkshire Growth Hub to offer a Start Up programme. We are planning a Green Skills workshop with Berkshire Growth Hub for early 2025. A business support event for SME’s is being held in November, in partnership with Berkshire Growth Hub.
Percentage of businesses in key sectors
15.14% September 2024 vs. 2024/5 target of 22.00%
There has been a continued decline in the number of businesses that are classed as knowledge economy. These include:
- medical devices
- pharmaceuticals and biotechnology
- IT services
- communications
- computing and advance electronics (manufacturing)
- other technology consultancy services
- aerospace and transport
- creative content
- software
- high tech financial services
This decline is a trend being seen across neighbouring local authorities and the South East.
Business growth rate
12.36% at September 2024 vs. target of 19.26%
(based on latest best in the Functional Economic Area)
While there has been a decline for the second quarter in a row, the rate of decline is not as significant as the previous quarter.
The business composition in Bracknell Forest is changing and will be kept under review.
Place, climate change, infrastructure and connectivity
Average time to let
We are currently exploring suitable data sources for this specific indicator.
Full Fibre connectivity and 5G availability
We would like to inform you of a recent update to our report. It has come to our attention that the data previously submitted contained inaccuracies. We have identified a new, more reliable source and will be using this source for all future data submissions. We apologise for any inconvenience this may have caused.
Full Fibre connectivity - Think Broadband
5G Availability – Ofcom
Spotlight on business competitiveness
Following the general election and the change in government, the new Labour government announced a consultation on their Invest 2035: the UK’s modern industrial strategy.
At a regional level Berkshire LEP is developing an Economic Strategy on behalf of the 6 local authorities in Berkshire. A consultation closed on 29 November 2024.
The focus locally will be on developing a prospectus and position to promote Bracknell Forest and to develop skills and training to support productivity. The Bracknell Forest Skills Hub launched in September. This new service will seek to engage with local businesses, training providers and career seekers to bridge the skills gap in the borough. We have partnered with Berkshire Growth Hub to offer “pop up” business support events in the borough. The next event is being held in November 2024.