Fact Sheet - Economy
NPPP 2022 Factsheet: PEOPLE ECONOMY Cairngorms NATIONAL PARK
Gross Value Added (GVA)
The National Park’s economy has been significantly affected by the recent Covid-19 pandemic. Estimates by Oxford Economics report the CNP’s economy shrank by 14.8% in 2020, a larger contraction than Scotland as a whole (-9.4%) and the UK (-10%).
15 Forecast 10 5 0 ‑5 ‑10 ‑15 ‑20 2018 2020 2022 2024 2026 2028 2030
National Park Scotland
Unsurprisingly the accommodation and food services sector has been most affected, estimated to have nearly halved in 2020, with other significant reductions in the arts, entertainment and recreation. The outlook is, however, positive with the Park expected to return to pre-pandemic levels in 2022, with GVA growth of 9% in 2021 and 8% in 2022. GVA growth is forecast at 1.9% annually between 2021 and 2031, which is 0.1% points above the Scottish average. This reflects the unique industrial structure with strong potential GVA in the tourism and real estate related sectors.
Agriculture Mining Manufacturing Electricity, gas, steam & air Water supply & sewerage Construction Wholesale & retail trade Transportation & storage Accommodation & food servs Information & communication Financial & insurance activities Real estate activities Profess., scientific & technical acts Admin and support services Public admin and defence Education Human health & social work Arts, entertainment & recreation Other services ‑0.1 0 0.1 0.2 0.3 0.4 0.5 0.6 % annual contribution to GVA growth
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NPPP 2022 Factsheet: PEOPLE ECONOMY Cairngorms NATIONAL PARK
Employment in the National Park
Data obtained from Skills Development Scotland (SDS) in 2021 informes us that : • 8,100 people employed in the National Park in 2020. • Full- time jobs were most numerous with 4,900 people, 60% compared to 74% in Scotland. • Part-time jobs were held by 3,200 people or 40% of those employed.
Across the National Park a major barrier to staff recruitment, in both seasonal and permanent positions, continues to be the shortage of suitable affordable housing.
Population by Activity Type
The National Park has a higher proportion of part- time and self-employed people (both around 15%) than the Scottish population (around 13%).This may reflect the makeup of the main employment sectors in the Park (accommodation and food; arts, entertainment, recreation and other; skilled trades), which tend to be fulfilled by part time and self-employed workers.
Full-time Student Unemployed Self-employed Part-time Empolyment Full-time Employment 0% 10% 20% 30% 40%
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NPPP 2022 Factsheet: PEOPLE ECONOMY Education and Training Cairngorms NATIONAL PARK
In the Park the mean adult educational score and attainment of school leavers are above the national averages and significantly below national average in terms of adults with no qualifications. There is a very low proportion of young people 16 – 19 year olds not participating in employment, education and training (NEET) factors that may be contributing to this include: • High average educational/vocational qualifications. • Low unemployment rate and high availability of employment in particular in the tourism sector. • Out migration of young people
mean adult educational score HIGHEST school leavers adults (16−64) educational with no attainment qualifications 16 – 19 year olds NEET 2.02 5.66 27% 0.037% 2.00 5.61 27% 0.036% 1.93 5.59 27% 0.033% 1.86 5.53 26% 0.026% 1.84 5.53 23% 0.023% 1.80 5.52 23% 0.022% LOWEST 1.75 5.46 23% ‑0.008%
- Publically funded schools.
- NEET: Not in Education, Employment or Training
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NPPP 2022 Factsheet: PEOPLE ECONOMY Labour Market Cairngorms NATIONAL PARK
The importance of certain employment sectors varies both between the different industries and between the different Local Authority areas within the Nation al Park.
Proportion of employment by industry from the 2011 Census for the different Local Authority areas in the Park
20% 18% Aberdeenshire 16% 14% Highland 12% Moray 10% 8% Perth and Kinross 6% 4% 2% 0% Agriculture, forestry and fishing Mining, quarrying and utilities Manufacturing Construction Real estate activities Transport and storage Information and communication Financial and insurance activities Accommodation and food services Public administration and defense Professional, scientific and technical Administrative and support services Wholesale and retail trade, motor repairs Education Health and social work Arts, entertainment, recreation and other
Moray has a different profile to that of the other Local Authority areas. The largest differences are seen in the manufacturing and the accommodation and food services sectors. Manufacturing is a key sector for Moray, contributing 18%, compared to between 3% and 6% for the other Local Authority areas.
In contrast, accommodation and food services contribute far less at 8%, compared to between 15% and 18% for the other Local Authority areas. This could reflect the reliance the other areas in the Park have on tourism, which influences the accommodation and food services sector, whereas Moray has traditionally had a different economic focus.
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NPPP 2022 Factsheet: Cairngorms NATIONAL PARK PEOPLE ECONOMY
Labour Market in the National Park
Labour Market
In the National Park these were the five largest employing sectors in 2020.
Accommodation and Food Service…
Wholesale and Retail Trade
Arts, Entertainment and Recreation
Human Health and Social Work
Construction
0 400 800 1200 1600
Largest Occupations
Clerical and Services Elementary…
Sales Occupations
Administrative Occupations
Managers/Proprietors in…
Caring Personal Service Occupations 0 200 400 600 800 1000 1200
The workforce shrunk by 2.7% between 2019 – 2020 largely caused by a decrease in the prominent Accommodation and Food Service Activity Sector. Over a third of occupations (36%) were ‘higher level’, 33% were ‘mid-level’ and 31% were ‘lower-level’ This is compared to 45% ‘higher level’ and 35% ‘lower level’ occupations across Scotland.
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NPPP 2022 Factsheet: PEOPLE ECONOMY Labour Market Requirements Cairngorms NATIONAL PARK
The labour market of the National Park is forecast to face some challenges in the immediate term, with macroscale events such as Brexit and the COVID-19 Pandemic resulting in job losses and limiting economic growth.
The forecast for the mid-term (2020 — 2023) suggests there could be some job growth (100 people) and opportunities created as a result of the need to replace workers leaving the labour market due to retirement and other reasons (800 people).
x900x100 X 800
These are expected to be concentrated in a small number of sectors: 30% 20% 20%
Accommodation and Food Services Wholesale and retail trade Arts, entertainment, and recreation
10% 10% 10%
Construction Agriculture, Forestry and Fishing Education
The forecast for the long-term (2023 — 2030) predict a halt in growth. However there could be an ongoing requirement for skilled people to fill opportunities created by people leaving the labour market. This feature of the labour market, known as the replacement requirement, is a symptom of demographic change.
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NPPP 2022 Factsheet: PEOPLE ECONOMY Replacement Requirement Cairngorms NATIONAL PARK
It is forecast that there will be a requirement of 1,800 people to fill job openings between 2023 and 2030. As the forecast expansion demand is zero, all 1,800 potential job openings are forecast to be a result of the replacement demand.
Labour Market Requirements 2020 — 2030 1600
1200
800
400
0 2020 – 2023 2023 – 2030 Replacement jobs Expansion of labour market
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NPPP 2022 Factsheet: PEOPLE ECONOMY Unemployment Cairngorms NATIONAL PARK
Unemployment levels within the National Park are relatively low, with the 2011 Census finding that only around 3% of the population aged 16 – 74 were unemployed, compared to around 5% for Scotland. Around 0.3% had never worked compared to around 1% for Scot- land, with around 1% being long term unemployed compared to around 2% for Scotland.
There is a variation between the Local Authority areas, with Moray experiencing higher rates of unemployment than Scotland and the other Local Authority areas within the Park, and Perth and Kinross experiencing muchlower rates.
The nature of employment within the Park is however extremely seasonal, with Job Seekers Allowance (JSA) claimants peaking in the winter months (see graph below). Unemployment is at its lowest in July, which coincides with Scottish school and public holidays and key tourism months.
Number of Job Seekers Allowance Claimants by Local Authority Area
300 250 200 150 100 50 0 October 2004 April 2005 October 2005 April 2006 October 2006 April 2007 October 2007 April 2008 October 2008 April 2009 October 2009 April 2010 October 2010 April 2011 October 2011 April 2012 October 2012 April 2013 October 2013 Aberdeenshire Highland Moray Perth & Kinross National Park April 2014 October 2014 April 2015 October 2015 April 2016 October 2016 April 2017 October 2017 April 2018 October 2018 April 2019 October 2019
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NPPP 2022 Factsheet: PEOPLE ECONOMY Income Cairngorms NATIONAL PARK
The CNP is out performing 4⁄5 of the adjoining local authorities in terms of income deprivation and almost half the national average (bottom riight image). The latest data reports that there are 1,215 people in the park receiving income related benefits. There is disparity between the lowest areas of recipients namely the area surrounding Ballater: 2.9% and the highest, Aviemore Centre East: 12.7%.
The majority of the areas in the National Park are above the national average for median weekly income as can be seen by the blue map below.
median household income/wk income deprivation* £716 12.3% £661 10.0% £651 9.9% £500 €550 £600 £650 £700 £750 £800
£602 8.8% £594 8.1% £592 6.6% £572 6.4% Income figures are for whole authority areas.
- Deprivation rates based on receipt of income related benefits as % of population.
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NPPP 2022 Factsheet: PEOPLE ECONOMY Further Information Cairngorms NATIONAL PARK
Tourism and Business in the Cairngorms National Park: https://cairngorms.co.uk/working-together/tourism-business/
Cairngorms Economic Action Plan: https://cairngorms.co.uk/working-together/authority/national-park-strategies/economic-ac- tion-plan/
Cairngorms Tourism Action Plan: https://cairngorms.co.uk/wp-content/uploads/2017/12/171122TourismActionPlan.pdf
Cairngorms Green Recovery Fund: https://cairngorms.co.uk/caring-future/funding/cairngorms-green-recovery-fund/
Cairngorms Trust: https://cairngorms.co.uk/caring-future/funding/cairngorms-trust/
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