Attempts to transform South Yorkshire's economy by focusing on the development of hi-tech clusters are paying off, says the European Union-funded Objective 1 regeneration programme.
Objective 1 says employment rose by 14 per cent in South Yorkshire between 2000 and 2005, nearly three times faster than the national average.
While public sector employment increased faster than in the private sector, estimates for South Yorkshir
e suggest private sector employment grew by 10 per cent over the period – nearly seven times faster than the rest of the UK.
Objective 1 research shows, employment in targeted sectors, or clusters, in South Yorkshire has either outgrown or equalled national growth.
"Banking, professional and financial services employment has grown by 93pc in South Yorkshire against 29pc nationally, while jobs in the fast-expanding Creative and Digital Industries have grown by 58 pc in South Yorkshire compared with less than 1pc nationally," says report author, Jeremy Short, of Objective 1
"Employment in the main manufacturing sectors targeted by Objective 1 - advanced manufacturing and metals in high growth sectors and engineering, manufacturing and materials in the traditional sectors - continued to decline, in South Yorkshire and nationally.
"However, the increased competitiveness of South Yorkshire's traditional industries means that the loss of jobs has been much slower in South Yorkshire.
"Increasing productivity gains in these sectors means that, though declining in importance in employment terms, manufacturing retains its key importance to the South Yorkshire economy."
of the report: Objective 1 Target Clusters and Sectors: Trends 2000-2005 can be downloaded from the Government Office website at:
www.goyh.gov.uk/goyh/eurofund/o1/research/eval/ 2000, Objective 1 has invested over £800m of European funds to support regeneration of South Yorkshire and has helped to create around 26,000 jobs.
The full article contains 301 words and appears in Sheffield Star newspaper.
