The retention of graduates and the building of new homes and infrastructure is key to economic growth in the BCP area, according to the latest research from Savills.
The firm hosted more than 130 clients and business contacts at the Vitality Stadium in Bournemouth on April 17.
After an introduction from Savills planning director Peter Lamb, researchers Clare Bailey and Paul Wellman took guests through the firm’s latest research, identifying areas of potential and how constraints could be overcome.
Bournemouth has a graduate retention rate of 27%, with 1,550 of its 5,900 graduates staying on for work each year. The rate fares better than other comparable cities, such as Brighton (22%), Norwich (22%) and Exeter (11%). However the rate needs to increase in order to unlock economic growth in BCP.
As part of retaining this talent and ensuring growth, innovation hubs and on the ground support are crucial, the research says, as they provide the resources and opportunities needed to pursue entrepreneurial ventures.
There is a strong need for new homes of all types and tenures, though this is not without its challenges with land constraints such as National Parks, National Landscapes, SSSIs, flood risk areas and the greenbelt. In the last three years, there has been an average of 750 net additional dwellings in BCP. This falls short of the 2,766 new homes required per year to meet demand, according to the standard method housing need.
Savills research shows high value house prices in BCP are making home ownership unaffordable. For someone with a median salary in BCP of £33,000, only 6% of the market – a maximum value of £147,000 – is affordable, assuming a 10% deposit. For two median workers this increases to £290,000, or 39% of the market. In the rental market, a lack of supply has helped fuel increases to rents, also creating affordability issues. Additional purpose built student accommodation (PBSA) is also needed in BCP, where there is currently 7,300 PBSA beds to its 19,825 full time students.
Guests also heard from a number of key local organisations who each explained how they are delivering positive change in the area.
Richard Renaut of University Hospitals Dorset NHS Foundation Trust covered the role health plays in the growth of BCP and the need for key worker homes. Jim Andrews of Bournemouth University looked more in depth at what the university is doing to develop and retain talent, emphasizing the strong demand for a range of residential accommodation in terms of type, tenure and location. Rob Mitchell from AFC Bournemouth gave an overview of the club’s new training ground and what it means for the local community, and discussed the impact of the football club on BCP and the wider economy more generally.
Peter Lamb, planning director, Savills, says: “BCP and the wider Central South region is well placed to deliver growth, with a highly skilled talent pool not to mention an attractive coastal offer. But better retention of graduates to boost the high-value knowledge-based sectors and an increased delivery of all types of housing is vital to drive economic growth.
“Our research event proved a great opportunity to get together with clients and contacts from the local business community to collaborate, share ideas and discuss next steps to help BCP achieve its potential.”
Read our latest research on the Central South here: https://www.savills.co.uk/research_articles/229130/354427-0