Empowering Communities - UK Power Networks: Levelling Up Action Plan by Social Mobility Pledge

Introduction

LEVELLING UP

Empowering Communities

UK POWER NETWORKS: LEVELLING UP ACTION PLAN 1

0.1 Foreword

Forewords Rt Hon Justine Greening, Founder of the Levelling Up Goals & Former Education Secretary People and planet are two sides of the same coin. As the energy transition gathers pace, we are all thinking about the ways we can play our part to ensure we meet the UK’s commitment to reaching the target of net zero by 2050. Business is at the forefront of introducing innovative and creative solutions to do that but every organisation, and each individual, also needs to consider how it can reimagine energy. What has become increasingly clear – and has been highlighted by the COVID-19 pandemic – is that people and communities must also be an integral part of our efforts. During the pandemic, the biggest impact was felt by the poorest and most vulnerable, who are often the first victims of major changes and disruptions like these but are also frequently the last to recover. Businesses have a responsibility to drive that agenda with genuine purpose-led advocacy that ensures no one is left behind. It is no longer enough to shelter behind traditional corporate social responsibility which has offered little more than reputation advertising. Investors, clients and employees now demand a more authentic and transparent approach which is delivered from the very top and which ensures that everything an organisation does is for the public good, even beyond its core business. A sense of purpose and shared ambition is crucial and that is why the Purpose Coalition, a group of policymakers, businesses and university vice chancellors, recently launched a set of 14 Levelling Up Goals which provide Britain’s first levelling up architecture. They focus on driving equality of opportunity at key life stages and across a range of

issues. Inspired by the UN’s Sustainable Development Goals, which I helped to develop as International Development Secretary, crucially the Levelling Up Goals also provide a way to measure progress. The energy industry is in a unique position to deliver this progress, alongside opportunities for the people and communities they serve, and to close some of the gaps that currently exist. UK Power Networks, the first distribution network operator to partner with the Levelling Up Goals initiative, will clearly focus on Goal 13: Harnessing the energy transition. With its reach of 8.3 million ‘customers’, serving 29% of UK population (19 million people), it has the ability to make a real difference in levelling up in London, the South East and the East of England. Under the leadership of its CEO, Basil Scarsella, UK Power Networks aims to be a key part of a solution that will not only grow the energy flexibility market for a lowcarbon future but will ensure that this new market will provide benefits to its customers as well as to the wider industry and the environment. It recognises the importance of bringing its customers with it on this journey and has developed its Future Smart and Heat strategies in conjunction with them. It is also actively trying to understand the challenges of its most vulnerable customers. UK Power Networks is also closing the gaps to meet a number of other goals. In the top three percent of apprenticeship providers, it provides great opportunities in traditional careers and emerging ones, having a significant impact on Goal 3: Positive destinations post 16+. Working in a range of productive partnerships which provide the right advice for young people to be part of a net zero future, it has an impact on Goal 4: Right advice and experiences. Its commitment to the health and safety of its employees, seen through the WorkingWell strategy, as well as the wider public sees it meeting Goal 8: Good health and well-being.

Foreword 0.1

It is also working hard to steadily improve the diversity and inclusivity of its organisation and recognises that the collection and evaluation of data is key, impacting on Goal 14: Achieve equality through diversity and inclusion. Additionally, UK Power Networks’ work has also had an impact on Goal 6 Fair career progression with its innovative Leadership Academy and Pathways to Progress scheme. UK Power Networks’ work to level up the energy

sector is clearly demonstrated in the work highlighted in this report. The country has moved beyond basic recognition of the necessity of moving to a net zero future; now is the time for concerted and impactful action, and UK Power Networks is already blazing a trail for innovative and fair network operation. Innovation is at the heart of the continuous improvements UK Power Networks is seeking to make, and it is in a prime position to drive levelling up and be part of the solution in the country’s recovery from COVID-19.

0.2 Foreword

Forewords Basil Scarsella CEO, UK Power Networks Our vision today is as relevant as ever, set against a backdrop of societal challenges, an uncertain economy and Covid-19. It is important that UK Power Networks continues to demonstrate its commitment to supporting communities, particularly with regard to improving social mobility and boosting access and opportunity for all. Signing up to the UK’s Levelling Up Goals and partnering with This Is Purpose gives UK Power Networks the opportunity to harness its role as a critical infrastructure provider in the communities we serve to the best possible effect. Promoting, supporting, but more importantly driving meaningful change through the co-creation of our own Levelling Up Action Plan. The 14 goals provide Britain’s first levelling up framework to focus efforts on driving equality of opportunity at key life stages. UK Power Networks, through the creation of this action plan will continue to deliver progress against many of the Levelling Up Goals. Most notably under the Goals of Positive Destinations Post 16+; Right Advice and Experiences; Fair career progression; Good health and wellbeing; Harnessing the energy transition and Achieving equality through diversity and inclusion. For UK Power Networks, supporting our communities is not a new endeavor but we realise that it is a challenge that will never be complete. That is why we have committed to delivering meaningful change, not just now, but as a documented commitment in our business plan for the period 2023-2028 and indeed beyond.

UK Power Networks, through the creation of this action plan we will continue to deliver progress against many of the Levelling Up Goals

Foreword 0.2

1.1 Introduction

Introduction

Introduction to UK Power Networks UK Power Networks keeps keeps the power flowing to nineteen million people across London, the East of England and South East. However, it has set its sights even further than this, as it aims to be the best electricity distribution network operator, an employer of choice, a respected and trusted corporate citizen and sustainably cost efficient. As the first electricity distribution network operator to partner with the Levelling Up Goals, it exemplifies the leadership role that UK Power Networks sees as intrinsic to its purpose as a company. UK Power Networks’ core vision is underpinned by the six values that are at the heart of the company, its DNA – integrity, continuous improvement, diversity and inclusiveness, respect, responsibility and unity. Its strategy for the future is focused on enabling the UK’s transition to net zero for all and facilitating the UK’s transition to a net zero economy. It is shaped by regular and personal engagement with its stakeholders. This features clear priorities covering a number of key areas which include recruitment, engagement, safety, diversity and inclusion, customer vulnerability and energy transition.

It is a crucial time of transition and represents a fundamental shift in how electricity networks operate.

UK Power Networks, and the energy industry more generally, are currently facing the twin challenges of helping the economic recovery following COVID-19 and meeting the UK’s commitment to net zero emissions by 2050. It is a crucial time of transition and represents a fundamental shift in how electricity networks operate. This report has assessed UK Power Networks’ activities through the lens of the most relevant Levelling Up Goals. It has identified that it has a significant social impact across four relevant Goals. UK Power Networks has a strong apprenticeship provision to increase the amount and quality of Positive Destinations Post 16+ for young people. It is an employer provider and offer three standards of apprenticeships, with a high satisfaction and success rate for apprentices. It has also delivered impact by offering the right advice and experiences to young people, especially those who are likely to fall through the gaps, by centering activities around the energy work in which it is engaged. Through partnerships with Urban Synergy, Energy Gardens and Enabling Enterprise, UK Power Networks has teamed up with experts to impart crucial experiences and advice.

Introduction 1.1

UK Power Networks’ work to ensure good health and wellbeing takes a two-pronged approach. Its community engagement, health and safety work with the AIRline system and awareness raising with Crucial Crew and Junior Citizen events is substantial. UK Power Networks also exemplifies a commitment to the health, safety and wellbeing of their own employees. UK Power Networks has the responsibility and capability to ensure that the energy transition to net zero carbon is seamless, sustainable and costeffective. It is more than stepping up to the plate in its extensive and significant impact in meeting the harnessing the energy transition goal. Its Heat and Future Smart strategies set out a wealth of policies, adjustments to service, partnerships and external funding (including Power Partners and the Green Recovery Fund) that represent a substantial contribution to delivering net zero. It is particularly invested in looking after its most vulnerable customers.

Finally, UK Power Networks are on its way to ensuring their business and services operate in a way that ensures equality through diversity and inclusion. Its ‘Everyone Matters’ strategy, the EMPower Community board and buy-in from senior leadership signifies that UK Power Networks is determined to make its traditional industry more representative of modern Britain. UK Power Networks also makes an impact on ensuring their work is accessible to as many people as possible, through partnerships with the Royal Association for Deaf People and the ‘Beyond Borders, Empowered by Energy’ programme. The transition to a Net Zero society and economy is a defining challenge for modern Britain and one that impacts every aspect of levelling up. UK Power Networks is an industry leader in facilitating this transition and shows a clear sense of purpose and high impact on their approach to ensuring this transition is equal, fair, safe and allows for the creation of opportunities and experiences for young people.

1.2 The Journey

The Journey to the Levelling Up Goals In 2015, as Secretary of State for International Development, Justine Greening MP led the UK delegation to the United Nations (UN). Along with 184 international partners, she helped to establish the UN’s Sustainable Development Goals (SDGs). In 2017, the SDGs were made more ‘actionable’ by a UN resolution adopted by the General Assembly which identified specific targets for each goal, along with indicators used to measure progress towards each target. These 17 interlinked, global goals were designed to be ‘a blueprint to achieve a better and more sustainable future for all’ . They marked a shift from the previously established Millennium Development Goals (MDGs), following the Millennium Summit of the United Nations in 2000. In contrast to the MDGS, the SDGs were nationally-owned, country-led and targeted wealthy, developed nations as well as developing countries. The SDGs emphasised the interdependent environment, social and economic aspects of development by centralising the role of sustainability. As Secretary for State, Justine recognised how useful a common set of accessible but ambitious objectives could be in galvanising action to effect change. Since then the COVID-19 pandemic has only exacerbated many of the problems relating to social inequality in the UK.

The recovery is a chance for the United Kingdom to address these issues and level up but that requires updated and specific goals in order to outline, inspire and measure progress. The Purpose Coalition, of which UK Power Networks is a key member, aims to improve social mobility in the UK and has responded to this challenge by committing to the Levelling Up Goals agenda in April 2021. These new Goals build on the foundations laid by the UN’s SDGs by outlining 14 clear goals, and draw on expertise provided by academia and businesses which has been applied to the unique challenges facing the UK in levelling up. They focus on key life stages and highlight the main issues that need to be resolved in order to create a level playing field for all in this country. The Levelling Up Goals are intended to guide how the urgent ambition to level up the UK can actually be achieved. The impact of the work carried out to do this can, and should, be measurable. Sub-goals with quantifiable targets and measurements against which progress can be charted within the 14 goals are being developed by the Purpose Coalition in partnership with Purpose Coalition universities including the University of York and the University of Lincoln. This will create a more transparent and measurable framework with which to monitor and subsequently address problems of social mobility and inequality. The Levelling Up Goals are designed to look at the outcomes of CSR strategies and measures that organisations operate. Many organisations are doing outstanding work and making important contributions to society but are still measuring this via inputs – a measure that focuses on pounds, shillings and pence rather than real impact to human lives. Crucially, these Goals are a shared framework. Justine and the wider Purpose Coalition believe that with a common understanding and objectives, there can be action that drives change on the ground.

The Journey 1.2

UK Power Networks as a key member, aims to improve social mobility in the UK and has responded to this challenge

Distinct entities, including universities, businesses, policy-makers, communities and NGOs, can work together, with the shared Goals being a uniting and motivating foundation for progress. As the problems which cause social inequality in the UK are interlinked, it seems that the response to these problems must also be collaborative. The Purpose Coalition has encouraged businesses and universities to share their own best practice with other organisations so they are not only demonstrating their own commitment, but creating a shift towards purpose-led organisations. The Goals can encourage an extension of this co-operative exchange of information which can be used to help level up Britain.

2.1 Assessment

Assessment of UK Power Networks’ activities against the Levelling Up Goals Assessment of UK Power Networks’ activities against the Levelling Up Goals UK Power Networks has a strong commitment to Sustainability, Social Impact and a clear commitment to areas across Environmental and Social Governance (ESG). 2.1 Key activity strengths The company has shown impact across seven specific Levelling Up Goals. These are Goal 3: Positive Destinations Post 16+, Goal 4: Right Advice and Experiences, Goal 6: Fair career progression, Goal 8: Good health and wellbeing, Goal 13: Harnessing the energy transition, and Goal 14: Achieve equality through diversity and inclusion. Its key strengths are in Goals 3, 4, 8, 13 and 14. It is important for companies to focus on how they can deliver high impact, in line with their purpose and

strengths, and how that expertise can be targeted towards specific gaps where they are relevant to the company. This is how social impact becomes real for people and communities but also how it becomes sustainable for the long-term. It is clear that UK Power Networks has already demonstrated its ability to contribute to the levelling up agenda through the work it has been undertaking in London, the South East and the East. The extent of that work indicates that it has the capacity to do even more across these areas in the future.

Assessment 2.1

Levelling Up & UK Power Networks 5 Core Focus Areas Status

Activity

3 Positive destinations Post 16+

Every young person and adult to have the choice of a high quality route in education, employment or training. UK Power Networks has created an impressive apprenticeship provision which increases the amount and quality of Positive Destinations Post 16+ for young people. It is an employer provider and offers three standards of apprenticeships, with a high satisfaction and success rate for apprentices. UK Power Networks’ new Power Among Us 4-week work experience programme will be directed towards those not in education, employment, or training (NEETs) and connect the experience with potential job opportunities for those who excel.

Access to the right advice and experiences at the right time to unlock opportunity throughout a person’s life. It has delivered good impact by offering the right advice and experiences to young people, especially those who are likely to fall through the gaps, by centering activities around the energy work in which it is engaged. Through partnerships with Urban Synergy, Energy Gardens and Enabling Enterprise, UK Power Networks has teamed up with experts to impart crucial experiences and advice.

Right advice and experiences

health and well-being 8 Good

Harness the energy transition

Achieve equality, through diversity & inclusion

Improving mental and physical health at all ages to boost well-being to allow people to fulfil their potential. UK Power Networks’s work to ensure good health and wellbeing is on two fronts. Its community engagement, health and safety work using the AIRline system and awareness raising with Crucial Crew events, Junior Citizen events and partnerships with the Scouts Association is substantial. UK Power Networks also exemplifies a commitment to the health, safety and wellbeing of their own employees in their ‘WorkingWell’ strategy, training and developing 300 employee Mental Health First Aiders.

Ensure that the energy transition is fair and creates opportunities across the UK. UK Power Networks has both the responsibility and capability to ensure that the energy transition to net zero carbon is seamless, sustainable and cost-effective. It is more than stepping up to the plate in its extensive and significant impact in meeting the harnessing the energy transition goal. Its Heat and Future Smart strategies set out a wealth of policies, adjustments to service, partnerships and external funding (including Power Partners and the Green Recovery Fund) that represent a substantial contribution to delivering net zero. Its use of Smart Grids is award-winning and sector leading. Creating a level playing field on opportunity for all, to fully unleash Britain’s potential for the first time. UK Power Networks is on its way to ensuring its business and services operate in a way that ensures equality through diversity and inclusion. Its ‘Everyone Matters’ strategy, the EMPower Community board and buy-in from senior leadership signifies that it is determined to make its traditional industry more representative of modern Britain. UK Power Networks also makes an impact on ensuring its work is accessible to as many people as possible, through partnerships with the Royal Association for Deaf People and the ‘Beyond Borders, Empowered by Energy’ programme. 11

2.2 Assessment

2.2 Mapping by Goal

Positive destinations Post 16+

UK Power Networks has demonstrated a commitment to ensuring positive destinations for young people, most notably in its provision of the range of apprenticeship programmes which it offers and delivers. It became an employer provider in 2017 and is therefore able to deliver its own apprenticeships. It offers three standards of apprenticeships and takes in roughly 100 apprentices at any one time. It offers the Standard Level 3 (for linesperson, jointers and fitters etc) which are at a foundation level and are mostly directed towards school leavers. 30 of these apprenticeships are offered annually but UK Power Networks is looking to increase this number in the next five years. In 2019, UK Power Networks also began to offer 2 forms of higher apprenticeships at the HNC Level 4 standard, in engineering and technical engineering (protection commissioning). To date UK Power Networks’ apprenticeship programme has had two monitoring visits by Ofsted, to assess how much progress has been made before a programme has had sufficient time for a full inspection. Both visits led to the highest possible score, with significant progress noted on the leadership team of the programme, the content of the programme itself and in welfare and safeguarding. UK Power Networks’ score is in the top 3% of apprenticeship providers in the country.

and young mothers. There is a real appetite to extend provision even further in the future. UK Power Networks also delivers training to 6,000 people a year with a core team of 80 people across 4 training centres (two in the Bury area and two in Kent). They deliver some 45,000 training days in a normal year, which is, at about 7 days per employee, well above the national average.

Right advice and experiences

UK Power Networks is undertaking important work to ensure that people have access to the right advice and experiences that they need to unlock opportunity. It teams up with a range of partners with targeted programmes that aim to help some of those furthest away from a level playing field. It has held interview workshops with local Job Centres in its three regions, in order to help those who might be potentially interested in working in the industry. Many of UK Power Networks’ programmes are already accredited by the Institute of Leadership and Management, and it also intends to obtain an ILM accreditation for their mentoring programmes. Urban Synergy UK Power Networks offers a range of support to the charity Urban Synergy which is an early intervention mentoring charity which helps hundreds of young people between the ages of 11 and 18, especially those from a black or minority ethnic background.

To illustrate this high standard of apprenticeship provision, UK Power Networks’ programme went from 6% of apprentices receiving distinctions in their final assessments to 22% by the second monitoring visit.

UK Power Networks is now part of its corporate advisory board and the Director of Network Operations at UK Power Networks, Patrick Clarke, is a trustee. It supports the charity financially which allows it to employ essential full-time staff members and it also provides direction, skills and support.

The application process for UK Power Networks apprenticeships utilises a blind-CV system to ensure fairness and reduce bias. Considered a “career for life” more than 450 UK Power Networks employees have over 40 years continuous service. The recruitment team work hard to make the apprenticeships as accessible as possible, specifically targeting schools in deprived areas. It is also considering apprenticeship routes for harder to reach groups, including NEETs

The recruitment team at UK Power Networks ran an evening session for some of the young people supported by Urban Synergy and their parents, to give them an understanding of the apprenticeship provision at UK Power Networks and to encourage individuals, especially those from ehtnic minority or disadvantaged backgrounds, to apply. It also let the attendants know about interview- skill coaching opportunities available to them.

Assessment 2.2

Urban Synergy also invited UK Power Networks to deliver a session on mentoring and work-experience. The feedback of attendants was highly positive, with colleagues saying it had changed their thinking. Since this session the number of mentors UK Power Networks had with Urban Synergy increased from 12 to 26. Enabling Enterprise UK Power Networks has also partnered with Enabling Enterprise, a not-for-profit social enterprise, which aims to ensure that all children and young people build the essential skills to thrive. Enabling Enterprise focuses on building eight essential skills in young people and is recently focused on bringing together educators, employers (like UK Power Networks) and other youth organisations for their Skills Builder Partnership. UK Power Networks is a ‘trip-hosting’ employer for the enterprise and the Skills Builder partnership. As part of this employees commit to engaging with local schools, as well as bringing local primary school children into UK Power Networks sites across its regions. Leicester Square Project UK Power Networks has partnered with Energy Gardens which repowers urban transformation with solar panels, battery storage and gardens, to create a project around the Leicester Square area of London. This area is where UK Power Networks has installed £16.2 million worth of state-of-the-art underground electrical equipment. It has helped to hire a group of young people from the area, particularly those from underprivileged backgrounds. The community run scheme is for 16 to 19 year olds who have been out of the jobs market for a long time and feel disengaged with education.

programme called ‘Power Among Us’, which will be a 4-week programme specifically focused on young people who are not in education, employment or training (NEET). This has never been more important, particularly following the socioeconomic implications of the pandemic, which has left approximately 11.6% of 1625 year olds as NEET. Power Among Us will be rolled out across the three regions in which UK Power Networks operates. The programme will provide participants with two weeks of employability workshops and two weeks of work experience, and a celebratory ‘graduation’ at the end of the month. UK Power Networks also wants to reserve at least three of its trainee positions, such as foundation apprenticeships, for candidates who excel in the programme. These candidates will be fast-tracked and there will be no requirement on basic qualifications, which often act as barriers to those who are NEET and might not have such qualifications.

career progression 6 Fair

To aid fair career progression, UK Power Networks is delivering several impactful initiatives to support the training, development and progression of its employees and to ensure that there are career advancement opportunities open and accessible to an increasing number of people.

It aims to educate the participants on sustainable living, energy and on how people can be more mindful and cost-effective with their energy use.

Through its leadership development pathway for non-managing employees, the increased visibility and transparency of progression pathways within UK Power Networks and the launch of the innovative Leadership Academy, UK Power Networks has made an impressive start to its work on this goal.

The programme includes workshops, learning how to make solar panels, business workshops and skills sessions, group sessions with UK Power Networks employees with space for questions about engineering and engineering careers.

UK Power Networks’s commitment to fair career progression is demonstrable through its 2% staff turnover and the fact that a third of its directors come directly from apprenticeship or graduate programmes.

Power Among Us UK Power Networks is introducing a work experience

Pathways to Progression Although there is currently no consistent approach

2.2 Assessment

across directorates within UK Power Networks some have quite clearly defined routes and pathways to progression with salary bandings and others do not - it has introduced some proactive measures to improve this.

Though its focus has shifted in recent years from community engagement with young people to specifically-targeted third parties, UK Power Networks still shows a commitment to educating children about electrical safety.

Pathways to Progression was launched in 2018, which marked a project to increase the visibility of future career progression and promotion in each directorate across the company.

Its employee health and wellbeing strategy, ‘WorkingWell’, is one example of the comprehensive range of work UK Power Networks has done on holistically improving and supporting the health and wellbeing of the people who work for it.

One pathway is the leadership development pathway for aspiring leaders within UK Power Networks. This is intended for those employees who are currently non-managing but want to move into management within two to three years, though there is no absolute guarantee of a leadership role. The Leadership Academy At the end of 2020 UK Power Networks launched its Leadership Academy. The Academy is for middle managers who are given the chance to gain qualifications in leadership and management to support their personal and professional development. Unlike apprenticeships targeted towards school leavers or at the foundation level, these are higher apprenticeships for existing employees. There are currently two types of apprenticeships on offer. The first is a Level 3 for team leaders and supervisors which is a 12 to 15 month programme. Apprentices receive a diploma in leadership and management from the Chartered Management Institute (CMI). The other is a 24-month programme for a Level 5 apprenticeship to become a department operational manager which also involves receiving a diploma. It also offers the option for apprentices to become chartered managers. health and well-being 8 Good

UK Power Networks, as a distribution network operator (DNO) for large parts of the UK, is aware of its responsibility to ensure that its networks run safely. It safeguards the health and wellbeing of its employees, but also of the communities, customers and stakeholders who engage with its networks.

AIRline The focus of community public safety engagement has shifted over the last few years from young people to targeted third party groups who most regularly come into contact with the network. The focus is now on people who work in the agricultural and construction sectors. This shift in targeting was determined by UK Power Networks’ state-of-the-art data-tracking system, AIRline, where all health and safety incident data is stored. AIRline showed that not many young people are coming into contact with the network but those in other industries, like agriculture and construction, are. AIRline logs any incident involving the network, categorises it into internal or external and sorts by industry - for example, if it was a farmer, construction company or fisherman. This data can be used to determine which groups are coming into contact with the network more frequently and are high risk, enabling UK Power Networks to make judgements on seasonal trends, for example. The success of this system is demonstrated by the incident rate. In 2019 across the UK, there were 254 injuries to members of the public as a result of interacting with networks. Clearly this number is too high but UK Power Networks works hard on public safety and has the lowest incident rate of any DNO. Community Engagement UK Power Networks has demonstrated that it puts communities at the heart of everything it does; and a large emphasis on this is driven through direct community engagement.

Assessment 2.2

As an electricity distributor a significant theme of its engagement is through educational electrical safety awareness through projects with young people. These are multi-agency events, like Crucial Crew and Junior Citizen events, where local children go to a central location with representatives from the fire brigade, the police and UK Power Networks, who explain electrical safety to them. These national schemes are organised locally. Each area has a different way of organising. Some are organised by the local Rotary Clubs, others by safety partnerships with the fire and rescue services (such as Norfolk), the local colleges or county councils – varying in each area. Young people are invited to attend from local schools and spend 2-3 hours working around the different safety scenarios. In 2019, these events still reached 23,834 young people. UK Power Networks also entered into partnership with the Scouts Association in 2021, for 2 years. It has sponsored the local knowledge badge and produced online interactive resources for scouts, beavers, cubs and guides to learn about the electricity network and how to identify substations/ overhead lines. This vital educational outreach is intended to reduce public health and wellbeing incidents or injuries from interaction with UK Power Networks. In addition to in-person events, UK Power Networks has its PowerUp website. This website is for 7 to 14 year olds to teach them all about electricity and keeping safe. It makes use of 4 or 5 interactive and educational games, and Google analytics allows UK Power Networks to track how children go through this process of learning. Although PowerUp is over a decade old, the website’s content still has a lot of validity and still receives on average 20 to 30,000 hits per month. There was a huge spike in the number of hits during home schooling caused by the COVID-19 pandemic, with 50,000 unique hits in January 2021. Employee Wellbeing UK Power Networks’ health and wellbeing strategy for its employees has undergone significant

development and fine-tuning. They innovated on their engaging and holistic approach from 2016, ‘Your Energy’, to create the 2019 ‘WorkingWell’ strategy. This strategy also takes a holistic approach to health and wellbeing and has an increased focus on mental health as it has come to the forefront of public discussions around wellbeing. As a key tenet of the strategy, UK Power Networks engaged with Mental Health First Aid England to train around 350 mental health first aiders throughout the organisation. As standard, all UK Power Networks employees have access to a Simply Health package. There is also an Employee Assistance Programme (EAP) which has a service available 24/7, 356 days a year to employees and also anyone that lives with them. UK Power Networks recognises the importance of strong management and senior leadership buy-in to the ‘WorkingWell’ strategy and has trained 500 of its line managers in mental health awareness. There are regular voluntary lifestyle assessments which look at employees’ BMI, cholesterol levels and other health concerns in order to assess whether they are at some risk. Employees also have access to health coaches who support individuals with specific needs throughout and across the business. Those employees that are identified as ‘high risk’ in the voluntary lifestyle assessments are referred to these health coaches who support them with a programme lasting about 6 weeks. COVID-19 During the COVID-19 pandemic, UK Power Networks organised a large number of live webinars which employees could access online. They were each focused on health and wellbeing and involved Olympic athletes, leading nutritionists and renowned sleep doctors. UK Power Networks partnered with local charities, organisations and food banks in 2020 during the pandemic. For example, it provided funding for a local sandwich shop in Southwark, Mustard, to provide free meals for children who would normally have had access to them but could not due to school closures.

2.2 Assessment

Harness the energy transition

As an electricity network distribution operator, UK Power Networks is naturally and ideally placed to make a significant impact on this goal, by harnessing the energy transition and preparing itself and the country at large for a net-zero future. It is also working hard to understand the challenges faced by its more vulnerable customers and develop solutions to make a positive difference. Its Future Smart and Heat strategies develop clear frameworks for future action and its movement towards a ‘flexibility-first’ approach to energy is extensive. UK Power Networks has also partnered with a range of other organisations in order to deliver the net zero transition, with two dedicated funds the Power Partners Fund and Green Recovery Fundwhich create financial targets for their net zero impact. Future Smart strategy UK Power Networks’ 2017 ‘Future Smart’ strategy sets out how the network will support net zero. Since then UK Power Networks has been turning the 60 pages of the strategy into real policy and action, and ensuring their stakeholders give them the licence to do so. It was created through a creative engagement approach which reached 31,000 potential customers. The approach involved 1-to-1 events, facebook live events, feedback through Twitter and more traditional ways of gathering information. 90% of customers agreed with its strategy. The strategy set out UK Power Networks’ vision of ensuring it is preparing and creating the capabilities necessary in support of a net zero future. It revolves around five key themes: 1. 2. 3.

Facilitating cheaper connections to the network. To support green growth UK Power Networks must ensure that the financial cost is not a barrier. Using customer flexibility as an alternative to network upgrades and looking at smarter alternatives to cabling in substations. Developing system operator capabilities - more of a complex, interactive network needs to look out how UK Power Networks can work systematically together with many different

4. 5.

partners e.g. road and transport systems. Collaborating with industry and others to enable UK wide benefits and participating in industry forums to make this transition a reality. Prepare and facilitate the uptake of electric vehicles. Enable connections using smart solutions and ensure business readiness.

Heat Strategy In 2020, UK Power Networks became the first network in the UK to unveil a short-term heat strategy. The strategy has 3 elements: 1. 2. 3.

Informing policy by providing data and evidence Excellent customer service to those who want to connect to low-carbon heating Least-regret actions to ensure network readiness for targeted investment

UK Power Networks has recently developed Heat Packs for customers, local authorities and other stakeholders to support people in taking their decarbonisation heat journey and to inform them on net zero in general. ‘Heat Street’ The ‘Heat Street’ project mapped out communities’ different heat needs, down to the local superoutput area, collected the data and worked out the requirements for these communities and homes to electrify their heating. It focused on understanding how Distribution Network Operators (DNOs) like UK Power Networks can support the transition to net zero by facilitating the decarbonisation of the heat sector. The project aims to ‘explore potential local heat decarbonisation pathways, assess the implications of energy efficiency uptake and identify zones within all UK Power Networks’s regions of which pathway would work best’. The data from ‘Heat Street’ is used to model scenarios and then solutions which are the best fit for that particularly stakeholder. Its findings will help decision makers understand and prepare for the potential impacts of switching to electric heating. This data was used to understand the areas where customers were affected by fuel poverty. Under netzero scenarios, decarbonisation cut the percentage of people paying high-fuel bills (£1300 or more) from 13% to under 5%.

Assessment 2.2

A webinar around the ‘Heat Street’ project hosted in March 2021 was attended by 250 people virtually. Tackling Fuel Poverty In UK Power Networks’ regions, there are around 760,000 people in fuel poverty from the latest statistics. This is a fairly large proportion of the population it serves (20 million) but is not the highest across the UK. It has been reducing over the years but UK Power Networks expects that this number will increase again due to the impact of COVID-19. The areas where fuel poverty is an issue are disproportionately areas with electric heating, uninsulated solid walls, properties in the rental sector. Net zero scenarios suggest decarbonisation will cut the percentage. To tackle this problem UK Power Networks has a Priority Services Register which helps to educate and improve people’s understanding of fuel poverty, as well as acting as a register for those in fuel poverty so the network can offer them further support to keep the lights on. UK Power Networks is also working on building community resilience to fuel poverty by training community partners to recognise vulnerability and fuel poverty, and upskilling organisations that might not have been able to do that in the past. Flexibility To ensure that UK Power Networks can deliver net zero at the lowest possible cost, they have invested in opening up new flexibility opportunities rather than building cabling in substations. UK Power Networks was the very first DNO to adopt a flexibility-first policy, where and whenever they are required to do reinforcement work. Three years ago this market barely existed, but now UK Power Networks has the equivalent capacity of a gas pipe power station. It has gone from zero to half a gigawatt in three years. From the beginning, UK Power Networks listened carefully to everyone involved. It produced two public events (webinars during COVID-19 lockdowns), the summer and winter flexibility forums to provide a forum for discussion. There was open and honest discussion about what is working and not working on the flexibility front. UK Power Networks has lowered barriers of entry (the threshold in kilowatts of a device to bid in a

tender) in order to make it easier for companies to take part in the flexibility process by investing in the new online energy marketplace. UK Power Networks lowered the barrier of entry by about 80% and this made it much easier for people to put smaller devices into that market event. Recent market engagements have enabled 1.2 million more customers to engage in these opportunities. Distribution System Operator To support the widening of flexibility opportunities, data is needed. So UK Power Networks is establishing a Distribution System Operator (DSO) to build Smart Grid capabilities to support customers and communities in their journey to net zero. UK Power Networks has launched a DNO Dashboard, which provides data for grid supply points on their network. It is a collaboration between UK Power Networks and National Grid. The dashboard enables stakeholders to look at what the running arrangement is in a particular area. This helps prospective planners look at where is best to connect, where they can provide services or which technology types might be useful in an area. Piclo Flex UK Power Networks is working with Piclo, formerly known as Open Utility, which operates an online platform called Piclo Flex. This app matches energy providers’ resources with the network operator’s (in this case UK Power Networks’) needs for flexible energy resources. Powervault In 2017, UK Power Networks successfully tendered for flexibility services and awarded a contract to Powervault, a new home electricity storage product helping households use energy more efficiently by storing and supplying solar energy. Powervault intends to operate a ‘virtual power station’ supplying energy from batteries connected to people’s rooftop solar panels on their home. Envision This project is developing a software-based machinelearning tool that will generate greater Low Voltage (LV) network insights faster and cheaper compared to the traditional methods of physical monitoring. It is an essential step to widen the flexibility market and to build a Smart Grid that enables cleaner and greener energy resources to be able to connect faster and at a lower cost to UK Power Networks’ network.

2.2 Assessment

UK Power Networks is investing a substantial amount in improving visibility in the Low Voltage network, taking this visibility beyond the physical monitoring of, for example, sensors at substations. Envision is looking at innovative and efficient data solutions, in collaboration with data analysts and AI-integrators.

engagement, which is a key factor for reaching net zero, through their Power Partners Fund. The fund of £300,000 a year is allocated by UK Power Networks to support fuel poverty and looks at innovative ways to approach, reach, engage and support customers. The fund is run on regular rounds of funding.

Low Carbon London A £28 million, 4 year innovation project which aimed to investigate the impact of a wide range of low carbon technologies on London’s electricity network, it was completed in 2014.

The Power Partners Fund is about actually empowering volunteers within communities to deliver energy efficiency advice. UK Power Networks is keen to ensure its work with its funded partners is not a one-time financial donation but regular work with local charities and communities. It wants to empower people to be trained up in energy skills so they can continue delivering without the need for UK Power Networks’ funding.

Low Carbon London has delivered successfully in accordance with the requirements of OFGEM’s Low Carbon Networks Fund, facilitating the development of viable solutions for Distribution Network Operators to support the transition to low carbon energy. Application Platform Interface UK Power Networks has developed a new Application Platform Interface (API), which has been co-created with the innovative battery company Moixa, who work in the UK and abroad to help make networks’ systems more dispatchable. Once connected to the interface, a vendor has already gone through the integration piece for the future which makes certain that the processes and systems UK Power Networks employs live up to the digital role they are facilitating. Green Recovery Fund Green Recovery Fund In May 2021, UK Power Networks announced the allocation of £66million in funding to help projects across their three regions to overcome connection barriers where the cost of upgrading its network (either for customers or councils) is too high to make the project financially viable. The fund will bankroll projects which range from helping councils who want to create a ‘heat network’ to electric vehicle charging points to installing renewable solar panels in a leisure centre. 360 applications were received and 86 applications were approved to deliver ‘shovel-ready’ low-carbon energy projects. Power Partners Fund UK Power Networks supports local energy efficiency

The criteria is administered by an independent organisation to ensure transparency and independent evaluation. They select projects by looking at its 5 key principles of fuel poverty: 1. Collaborate in partnerships to deliver tangible outcomes, not just engagement. 2. Identify those most impacted by fuel poverty and those disproportionately affected by the pandemic. 3. Support partners to reach the seldom heard. 4. Identify those in transient fuel poverty so UK Power Networks can provide preventative and proactive support 5. Tailor support to local delivery models and use a programme to select initiatives which are specifically tailored to the needs of communities. Some examples of projects which received funding from the Power Partners Fund: • A new partnership with a local radio station, Diverse FM, in Luton. This is a community radio station with distinct knowledge and understanding of the needs of the culturally- diverse local community. They provide support and outreach in multiple languages and have the ability to engage with the younger generations extremely well, particularly those from ethnic minority backgrounds in and around Luton. • • Romford-based charity, Fate Academy, which works with a range of individuals in Barking and Dagenham, including refugees, asylum seekers, victims of domestic abuse and the unemployed or isolated. A new project with UK Power Networks will see the charity’s volunteers help 35 of those it supports to manage and reduce their fuel bills by offering energy efficiency advice.

Assessment 2.2

•

The Museum of East Anglian Life in Suffolk used an £18,000 grant to install 30Kw solar panels to their Collections and Conservation building. The solar panels will help reduce the museum’s energy bill by around £6,000 a year and this money will be invested in charitable work.

Community Energy Research Report UK Power Networks recognises the importance of local energy and government as a key factor in inspiring community and individual action. It has spent the last few years working with others with local and community connections. UK Power Networks has worked with Community Energy England and Community Energy South to produce a ‘Community Energy Research Report’. The report investigated the role community energy must play in the future and in the transition to net zero. The report could find what community groups were on the network, and investigate what the barriers are for their communities and how UK Power Networks might help. National Energy Action Partnership National Energy Action (NEA) is a large national charity which works in partnership with UK Power Networks, central and local governments, fuel utilities and housing providers to eradicate fuel poverty and secure greater investment in energy efficiency. UK Power Networks hosted its first ever Net Zero Networks Forum, where best practice on electric vehicles, decarbonising heat and reducing carbon emissions to net zero by 2050 was shared by the team at Coin Street Neighbourhood Centre and raised £600 for NEA. UK Power Networks developed the Energy Wise project with NEA, which explored how DNOs like UK Power Networks can work collaboratively with energy suppliers and local organisations to deliver the appropriate services to low income households who may be struggling with their energy bills. The project aims to enable and encourage customers to change their pattern of demand and participate in energy-saving activities to reduce demand on networks as a result of decarbonisation (especially the electrification of heat and transport). Power Potential partnership with National Grid UK Power has worked with National Grid through Power Potential, a world first innovation project

which aims to create a new reactive power market for distributed energy resources and generate additional capacity on the network. Last year the partnership delivered commercial trials proving that active power markets can really work. This has opened up new revenue streams from lowcarbon technologies on the network. Partnership with UK100 UK Power Networks is partnered with UK100. This is a national network of UK locally-elected leaders who have pledged to play their part in the global effort to switch to 100% clean energy by 2050. They are involved in key discussions with local councillors, finance and planning departments and highlight easy ways for them to access energy information and try to make language around the energy sector as possible (for example, ensuring to explain acronyms). Borehamwoods Studios UK Power Networks has made its new site at Borehamwoods Studios as sustainable as possible from construction, with adjustments made from the water supply to the EV charge points. The site has solar panels on the roof and 10 electric vehicle charging points, and these sustainability adjustments are estimated to save around 20 tonnes of carbon annually. ‘Future Energy’ website UK Power Networks launched a ‘Future Energy’ section of its website with consumer-facing information (on, for example, how to install an electric vehicle charging point) but also on industry-wide innovation projects to inform the public more broadly about the energy sector. Electric Vehicle Transition UK Power Networks has been working with local authorities to support the installation of charging points in the areas where this market is not moving. Along with larger trials being done to look at how companies are transitioning to electric vehicle use with larger organisations like Royal Mail, UK Power Networks has also set up the ‘White Van Plan’ project. This focuses on the transition to electric vehicles by small and medium-sized enterprises (SMEs) and aims to understand the barriers and how UK Power Networks can support this transition. This could result in quicker, easier and cheaper access to the network for SMEs who wish to transition to electric vehicles.

2.2 Assessment

Achieve equality, through diversity & inclusion

UK Power Networks, despite being in an industry with a fairly traditional workforce, has diversity and inclusion as one of its six core values. These are at the heart of its business, its behaviours and how it interacts with its colleagues, customers and other stakeholders. UK Power Networks entered the Inclusive Top 50 list in 2018 with a ranking of 16th, but today is now ranked 3rd. With a comprehensive diversity and inclusion strategy, the collection of diversity data and a receptive attitude to employee suggestions, UK Power Networks is ensuring it makes an impact on improving and supporting the diversity and inclusion of its workforce. The EMPower Community, an employee-led platform that works in collaboration with the business to provide education and awareness on equality, diversity and inclusion. ‘Everyone Matters’ UK Power Networks crafted a diversity and inclusion strategy in 2012, off the back of focus groups that helped it understand how its employees felt about these topics. The company then formulated the diversity and inclusion taskforce, the ‘Everyone Matters’ Task Force, a steering group which oversees strategy and meets bimonthly. It includes four members of the executive management team as directors, plus other senior leaders. Last year, UK Power Networks organised a further series of listening circles, which took employees through the life cycle at UK Power Networks and then got their feedback on it. It identified common characteristics and put employees into groups so they could discuss their shared challenges and common experiences. Monthly direct conversations with employees are the foundations of their diversity and inclusion strategy. By attempting to understand their lived experiences as UK Power Networks employees, it better understands how and where its diversity and inclusion strategy needed to be amended or extended. UK Power Networks’ ‘Everyone Matters Taskforce’ oversees a comprehensive and engaging programme of events and resources for its employees. Some of these include: • Week-long webinar events engaging and informing employees on diversity and inclusion

• •

issues, including a series of webinars in May 2021 on different aspects of neurodiversity. There are also other general awareness raising events. On International Women’s Day 2021, UK Power Networks hosted an online Women’s conference. Normally attendance is roughly around 20 people, but this year 90 women attended the event. Its success has prompted UK Power Networks to look at doing a similar event for African-Caribbean and LGBT employees. Every month there is a team briefing sent around to employees with material on diversity and inclusion included. For example, in May 2021 the topic was ‘anti-racism’, and the resources included a short video and other materials and talking points which could be used to stimulate discussions, to ensure conversations around this important topic keep happening.

Diversity Data UK Power Networks began gathering diversity and inclusion data from its employees in 2014. It wanted to become accredited by the National Equality Standard and this required the collection of data. This accreditation was necessary in order to help channel activities, ensure the fundamentals are in place and can help to better measure progress and benchmarking. The National Equality Standard comprises seven areas with five competencies each. To meet the standard, UK Power Networks had to achieve at least 3 in each core area and overall have 25. It introduced an Inclusion survey, carried out by Ernst & Young, interviews with employees and a comprehensive process of document evaluation. This took place in 2018 and accreditation was achieved in October 2018. Collecting data on diversity within UK Power Networks is central to understanding where it is on its diversity and inclusion journey, where it succeeds and where it has further work to do on. One key foundation of collecting this data is disclosure from employees, as the questions are voluntary. Originally there was a disclosure rate of only 4% across UK Power Networks but that figure has risen to 51% since 2014. Of course there is plenty more to go but the picture on diversity is certainly improving. The rate of disclosure is improving this year already at an impressive rate. There is a target of a 5% raise in disclosure by the end of 2021 and already that

Assessment 2.2

number is at 2.7%, which was achieved by senior managers reaching out to employees via email.

suggested this was a significant barrier point for certain ethnic minority demographics.

UK Power Networks recently ran a campaign called ‘Count Us In’ which encouraged its employees to update their protected characteristics data so as to raise the disclosure rate and ensure the accuracy and relevancy of the data.

Looking to improve their numbers in the future, for their next intake of recruitment, UK Power Networks is aiming for 50% of hires being from an ethnic minority background or female.

Leadership As well as senior management involvement with the ‘Everyone Matters’ task force, there is significant participation on diversity and inclusion matters in other areas by leadership. UK Power Networks has an on-boarding process for new leaders, a three-part programme which introduces new leaders to the company’s approach, policies, competencies and values. It has new leadership behaviour competencies which have been revamped to focus on inclusion and inclusive behaviours. The governance model of UK Power Networks ensures that working groups are formed with members from each of the different directorates across the company so that they can all embed practice around diversity and inclusion within their directorate. UK Power Networks has started a ‘Women in Leadership’ mentoring programme. Recruitment UK Power Networks is embedding its values of diversity and inclusion into recruitment processes, so that everyone has a fair and equal chance for employment with them. As standard, all members of the recruitment team have gone through unconscious bias training and all job adverts are processed through a system which modifies language where necessary to make it completely gender neutral. In external recruitment, UK Power Networks uses a job board called Vercida, who are market leaders in diversity and inclusion recruitment and ensure our jobs reach a wide range of applicant groups by using a lot of aggregates. In 2019, UK Power Networks looked at gender and ethnicity data on recruitment processes. It dropped the English and maths elements of psychometric testing for its apprenticeship programme applications as data

EMPower Community EMPower Community is a platform created ‘by employees for employees’ to raise suggestions and share resources on any issues surrounding diversity and inclusion. 278 individuals have signed up so far, and these numbers were improved by senior leadership buy-in. EMPower Community gives employees a platform and voice to share ideas, suggestions and discuss issues related to diversity and inclusion. It has data dashboards to see how particular directorates are performing on disclosure, gender or ethnic minority representation. The employee resource group covers all of the diverse characteristics under one group, the EMPower Committee group. UK Power Networks then uses them as a sounding board for diversity and inclusion strategy and activities. The chair of the EMPower Community also sits on the ‘Everyone Matters Taskforce’. Royal Association of Deaf People UK Power Networks also works to ensure that its networks’ services are inclusive to all groups, especially those who are at risk of exclusion. It has tried to reach out to more representatives from disability groups to ensure its network’s services are inclusive to them. For example, they have engaged the Royal Association of Deaf People and now ensure they always have a BSL interpreter to hand. Beyond Borders, Empowered by Energy UK Power Networks’ ‘Beyond Borders, Empowered by Energy’ programme, which has been running since 2020 in collaboration with National Energy Action, provides support to refugees and asylum seekers. The programme engages across language barriers to develop individuals into ‘energy champions’ who can go out into their network-region, engage with people in their community and independently deliver energy advice or support to other people. So far 10 energy champions have been trained, reaching around 90 people.

3.0 Analysis

Analysis

UK Power Networks has exhibited substantial action and impact in at least five of the key areas which are in line with the Levelling Up Goals framework. These are in Goal 3: Positive Destinations Post 16+, Goal 4: Right Advice and Experiences, Goal 8: Good health and wellbeing, Goal 13: Harness the Energy Transition and Goal 14: Achieve Equality through Diversity and Inclusion. UK Power Networks creates and delivers a number of positive destinations post-16, principally through its apprenticeship programme, thereby making a significant impact on Goal 3: Positive destinations post 16+. As an employment provider, it delivers three standards of apprenticeships and delivers 100 at any one time to an extremely high standard. Through the formalisation of skills-training, opportunities for learning, a pathway into the industry and certified qualifications in both traditional and emerging areas, UK Power Networks’ apprenticeships are a genuine asset and it is unsurprising that they are in the top 3% of apprenticeship providers in the UK according to Ofsted. There is also a real ambition by UK Power Networks to instigate a culture shift and extend its apprenticeship programme further. This would include offering them in the digital and net-zero space.

UK Power Networks have a vital part to play in the transition to Net Zero ensuring no one gets left behind

UK Power Networks also has impacted Goal 4: Right Advice and Experiences, providing young people, especially the disadvantaged in the three regions in which it operates, with the right information and support that will unlock opportunity. It capitalises on innovative and localised partnerships with organisations like Energy Gardens, Enabling Enterprise and Urban Synergy to ensure the advice and experiences it delivers are appropriately targeted to those who really need it in the area. UK Power Networks ensures these advice and experiences are in-line with the skills, demands and complexities of our net-zero, digitalised and flexible future. It focuses its outreach work around training, skills-workshops and educating young people on the energy industry and its future, equipping them with the knowledge and capabilities they will need going forward. Thirdly, UK Power Networks has a strong record of ensuring the health, safety and wellbeing of both their employees and the wider public who interact with its network, meeting Goal 8. Community engagement in the form of Crucial Crew and Junior Citizen events, along with partnerships with the Scout Association are helping to inform the public on how to stay safe with UK Power Networks. Its state-of-the-art AIRline system tracks incidents and has ensured it has an extremely low incident rate. UK Power Networks also safeguards the health and wellbeing of their employees through an extensive health strategy encompassing physical and mental health, as well as general wellbeing. The high retention rate of employees is perhaps a testament to UK Power Networks’ work in this area. Goal 13: Harness the Energy Transition is the goal that UK Power Networks has the highest capacity for impact, as a distribution network operator, and in this area UK Power Networks is delivering. The Future Smart and Heat strategies, as well as its flexibility-first policy, define UK Power Networks’ corporate and social practice.

3.0 Analysis

As the country transitions to a net-zero economy, utilities like UK Power Networks will be vital in leading the way and developing solutions to ensure that the most vulnerable are not left behind. The Power Partners and Green Recovery Funds which target financial support, as well as more general forms of assistance provided in this area, demonstrate that UK Power Networks has embedded this goal into its purpose and strategic planning, and its investment of £66 million into the Green Recovery Fund, for example, exemplifies this commitment in financial terms. Moreover, its use of Smart Grids is award-winning and sector leading. Finally, UK Power Networks is also making strides on the 14th Goal, around achieving equality through

diversity and inclusion. Transitions like that to net zero have the potential to exacerbate the divisions, exclusions and inequalities that already exist. UK Power Networks has done some work to reduce these both within its organisation and its network services. Its ‘Everyone Matters’ taskforce fixes this aim into the very heart of UK Power Networks and extends the importance of diversity and inclusion from recruitment practices to leadership competencies and company culture. To make even greater strides, UK Power Networks is aware it needs to track, measure and understand the issues around this so it has been taking steps to increase its data in this area.

4.0 Community Gap Analysis Introduction

Community Gap Analysis 4.0

Community Gap Analysis This document outlines analysis of key community gaps identified within UK Power Networks’ distribution network. It has done this by drawing on data available on social mobility & life outcomes by constituency (Social Mobility Index, Department for Education) and the impact of COVID-19 (Office of Budget Responsibility). The combination of impact of those two elements enables us to analyse any given community’s “Opportunity Gap.” This will enable companies, like UK Power Networks, to refine the targeting of its community impact towards the areas where the gaps are the widest and the needs are the greatest. This will also maximise the positive social impact the company has over the long-term. As such, we have identified the key community gaps as being in Ipswich, South West Norfolk, Hastings and Rye, North East Cambridgeshire, and Suffolk Coastal. The objective of this research is to inform the recommendations of the Opportunity Action Plan, particularly concerning community impact and efforts.

Key Cold Spots Identified in UK Power Networks’ Network Constituency Ranking/533 constituencies Ipswich 475 South West Norfolk 510 Hastings and Rye 513 North East Cambridgeshire 514 Suffolk Coastal 528 West Ham 88th* East Ham 5th*

* While East Ham and West Ham score highly overall due to high performance during early, school and youth life stages; they perform in the bottom 5 areas for adulthood outcomes nationally.

Early Years

390 Schools

523

Youth

211

Adulthood

396

England

Life Stage National Rank/533

Ipswich

4.0 Community Gap Analysis

Percentage of Nursery providers rated outstanding or good by Ofsted

Percentage of children eligible for free school meals achieving a good level of development

Percentage of children eligible for FSM attending a primary school rated outstanding or good by Ofsted

Percentage of children eligible for FSM achieving at least the expected level in reading, writing and maths at the end of Key Stage 2

Percentage of children eligible for FSM attending a secondary school rated outstanding or good by Ofsted

Average Attainment 8 score for pupils eligible for FSM

Percentage of young people eligible for FSM that are not in education, employment or training (positive destination) after completing KS4

Average points score per entry for young people eligible for FSM at age 15 taking A-level or equivalent qualification

Percentage of young people eligible for FSM at age 15 achieving two or more A-Levels or equivalent by the age of 19

Median weekly salary of all employees who live in the local area

392 443

Average house prices compared to median annual salary of employees who live in the local area

Percentage of people that live in the local area who are in managerial and professional occupations

Percentage of jobs that are paid less than the applicable Living Wage Foundation living wage

Percentage of families with children who own their home

Ipswich

Ipswich ranks 475th out of 533 areas across England according to the Social Mobility Index. It has particularly significant issues at the school life stage where it is ranked 523rd out of 533 areas across England. It also performs below average for adulthood and early years life stages. Ranking at 523rd out of 533 for the schools stage, Ipswich is one of the lowest performing areas in terms of school outcomes in the country. Fifty per cent of pupils eligible for free school meals attend good or outstanding primary schools, with only 36% of them achieving the expected level in reading, writing and maths at the end of Key Stage 2, the national average being 39%. At the secondary level, attendance of FSM-eligible pupils at good or outstanding schools is 40%, much lower than the national average of 72%, meaning Ipswich ranks 481st out of 533. The average Attainment 8 score of 36 places Ipswich at 411/533. It is also below average in the adulthood life stage, Ipswich ranks at 396th out of 533 areas. With 23% of jobs paying less than the real living wage, average earnings are £392 weekly – the English average is £443. Housing is six times the annualised salary, two below the average, and home ownership is at 56%, 9% behind the average. The percentage of jobs in the area that are managerial and professional stands at 24%, ranking Ipswich at 405th out of 533 for this measure. At the early years life stage it also performs relatively poorly, as Ipswich is ranked 390th out of 533. Eighty-nine per cent of nurseries in the constituency are rated as good or outstanding by Ofsted, which is worse than the national average of 93% and ranking Ipswich as 457th out of 533 for this measure. In the other measure for this life stage, the percentage of children eligible for free school meals achieving a ‘good level of development’, Ipswich is ranked 218th out of 533. Meanwhile, 54% of those children achieve a good level, above the national average of 53%.

Early Years

206 Schools

515

Youth

477

Adulthood

480

England

Life Stage National Rank/533

South West Norfolk

Community Gap Analysis 4.0

Percentage of Nursery providers rated outstanding or good by Ofsted

Percentage of children eligible for free school meals achieving a good level of development

Percentage of children eligible for FSM attending a primary school rated outstanding or good by Ofsted

Percentage of children eligible for FSM achieving at least the expected level in reading, writing and maths at the end of Key Stage 2

Percentage of children eligible for FSM attending a secondary school rated outstanding or good by Ofsted

Average Attainment 8 score for pupils eligible for FSM

Percentage of young people eligible for FSM that are not in education, employment or training (positive destination) after completing KS4

Average points score per entry for young people eligible for FSM at age 15 taking A-level or equivalent qualification

Percentage of young people eligible for FSM at age 15 achieving two or more A-Levels or equivalent by the age of 19

Median weekly salary of all employees who live in the local area

397 443

Average house prices compared to median annual salary of employees who live in the local area

Percentage of people that live in the local area who are in managerial and professional occupations

Percentage of jobs that are paid less than the applicable Living Wage Foundation living wage

Percentage of families with children who own their home

South West Norfolk

South West Norfolk ranks at 510th out of 533 on the Social Mobility Index. Three of its life stages feature in the bottom 100 of rankings, including school years, youth and adulthood. Meanwhile it performs above average for early years. The school years life stage sees South West Norfolk ranked in the bottom twenty of constituencies nationally. Fifty-eight per cent of pupils eligible for free school meals attend good or outstanding primary schools, with 32% of them achieving the expected level in reading, writing, and maths at the end of Key Stage 2, the national average being 39%. At secondary level, attendance of FSM-eligible pupils at good or outstanding schools is 55%, making South West Norfolk the 408th best constituency, and an average Attainment 8 score of 36 places South West Norfolk at 413th out of 533 areas. The youth stage sees South West Norfolk ranking low at 477th out of 533. Eighty-eight per cent of young people who were eligible for free school meals find themselves in a positive destination (defined as being in education, employment, or training) after completing Key Stage 4, the same as the national average. Twenty-nine per cent of FSM-eligible young people will achieve two or more A Level or equivalent qualifications by age 19, those that do take A Levels will have an average points score per entry of 29. South West Norfolk ranks at 310th and 523rd out of 533 areas for these measures respectively. At the adulthood life stage, South West Norfolk ranks at 480th out of 533 areas. 33 percent of jobs pay less than the real living wage, average earnings are £377 weekly – the English average is £443. Housing is seven times the annualised salary, below the national average of eight, and home ownership is at 64%, 1% behind the average. The percentage of jobs in the area that are managerial and professional stands at 20%, ranking South West Norfolk at 435/533 for this measure.

Early Years

180 Schools

517

Youth

506

Adulthood

469

England

Life Stage National Rank/533

Hastings and Rye

4.0 Community Gap Analysis

Percentage of Nursery providers rated outstanding or good by Ofsted

Percentage of children eligible for free school meals achieving a good level of development

Percentage of children eligible for FSM attending a primary school rated outstanding or good by Ofsted

Percentage of children eligible for FSM achieving at least the expected level in reading, writing and maths at the end of Key Stage 2

Percentage of children eligible for FSM attending a secondary school rated outstanding or good by Ofsted

Average Attainment 8 score for pupils eligible for FSM

Percentage of young people eligible for FSM that are not in education, employment or training (positive destination) after completing KS4

Average points score per entry for young people eligible for FSM at age 15 taking A-level or equivalent qualification

Percentage of young people eligible for FSM at age 15 achieving two or more A-Levels or equivalent by the age of 19

Median weekly salary of all employees who live in the local area

368 443

Average house prices compared to median annual salary of employees who live in the local area

Percentage of people that live in the local area who are in managerial and professional occupations

Percentage of jobs that are paid less than the applicable Living Wage Foundation living wage

Percentage of families with children who own their home

Hastings and Rye

Hastings and Rye ranks at 513th out of 533 areas on the Social Mobility Index. Three of its indicators are ranked in the bottom 100 of areas, which are school years, youth and adulthood. However, Hastings & Rye performs above average for early years. ii. School Hastings and Rye is one of the lowest ranking constituencies in the country for school years, ranking 517th out of 533. Sixty per cent of pupils eligible for free school meals attend good or outstanding primary schools, with 33% of them achieving the expected level in reading, writing, and maths at the end of Key Stage 2, the national average being 39%. At secondary level, attendance of FSM-eligible pupils at good or outstanding schools is 52%, making Hastings and Rye the 429th best constituency, and an average Attainment 8 score of 34 places Hereford and South Herefordshire at 479th out of 533. The youth stage sees Hastings and Rye rank at 506th out of 533. Eighty-five per cent of young people who were eligible for free school meals find themselves in a positive destination (defined as being in education, employment, or training) after completing Key Stage 4. Twenty per cent of FSM-eligible young people will achieve two or more A Level or equivalent qualifications by age 19, those that do take A Levels will have an average points score per entry of 23. Hastings and Rye ranks at 530 and 440 for these measures respectively. At the adulthood life stage, Hastings and Rye also ranks among the bottom 100 areas nationally, at 469th out of 533. With 29% of jobs paying less than the real living wage, average earnings are £368 weekly – the English average is £443. Housing is eight times the annualised salary, matching the average, and home ownership is at 67%, 8% behind the average. The percentage of jobs in the area that are managerial and professional stands at 29%, ranking Hastings and Rye at 439th out of 533 for this measure.

Early Years

203

Schools

518

Youth

509

Adulthood

428

North East Cambridgeshire

England

Life Stage National Rank/533

North East Cambridgeshire

Community Gap Analysis 4.0

Percentage of Nursery providers rated outstanding or good by Ofsted

Percentage of children eligible for free school meals achieving a good level of development

Percentage of children eligible for FSM attending a primary school rated outstanding or good by Ofsted

Percentage of children eligible for FSM achieving at least the expected level in reading, writing and maths at the end of Key Stage 2

Percentage of children eligible for FSM attending a secondary school rated outstanding or good by Ofsted

Average Attainment 8 score for pupils eligible for FSM

Percentage of young people eligible for FSM that are not in education, employment or training (positive destination) after completing KS4

Average points score per entry for young people eligible for FSM at age 15 taking A-level or equivalent qualification

Percentage of young people eligible for FSM at age 15 achieving two or more A-Levels or equivalent by the age of 19

Median weekly salary of all employees who live in the local area

413 443

Average house prices compared to median annual salary of employees who live in the local area

Percentage of people that live in the local area who are in managerial and professional occupations

Percentage of jobs that are paid less than the applicable Living Wage Foundation living wage

Percentage of families with children who own their home

North East Cambridgeshire ranks at 514th out of 533 areas on the Social Mobility Index. Two of its life stage indicators are ranked in the bottom 100 nationally, which are school years and youth. Meanwhile it is another low performing area that has a high score for early years, as well as the youth life stage. Ranking at 518th out of 533 at the school stage, North East Cambridgeshire is another one of the lowest performing areas of the country. Only fifty-nine per cent of pupils eligible for free school meals attend good or outstanding primary schools, with 33% of them achieving the expected level in reading, writing, and maths at the end of Key Stage 2, the national average being 39 percent. At secondary level, attendance of FSM-eligible pupils at good or outstanding schools is 48 percent, making North East Cambridgeshire the 447th best constituency, and an average Attainment 8 score of 36 places North Cambridgeshire at 416/533. At the adulthood life stage, North East Cambridgeshire ranks at 428th out of 533 areas. With 20 per cent of jobs paying less than the real living wage, average earnings in North East Cambridgeshire are £413 weekly – the English average is £443. Housing is six times the annualised salary, below the average of 8, and home ownership is at 67 percent, 2 per cent above the average. The percentage of jobs in the area that are managerial and professional stands at 19%, ranking North East Cambridgeshire at 502 out of 533 for this measure.

Early Years

526 Schools

381

Youth

526

Adulthood

287

England

Life Stage National Rank/533

Suffolk Coastal

4.0 Community Gap Analysis

Percentage of Nursery providers rated outstanding or good by Ofsted

Percentage of children eligible for free school meals achieving a good level of development

Percentage of children eligible for FSM attending a primary school rated outstanding or good by Ofsted

Percentage of children eligible for FSM achieving at least the expected level in reading, writing and maths at the end of Key Stage 2

Percentage of children eligible for FSM attending a secondary school rated outstanding or good by Ofsted

Average Attainment 8 score for pupils eligible for FSM

Percentage of young people eligible for FSM that are not in education, employment or training (positive destination) after completing KS4

Average points score per entry for young people eligible for FSM at age 15 taking A-level or equivalent qualification

Percentage of young people eligible for FSM at age 15 achieving two or more A-Levels or equivalent by the age of 19

Median weekly salary of all employees who live in the local area

427 443

Average house prices compared to median annual salary of employees who live in the local area

Percentage of people that live in the local area who are in managerial and professional occupations

Percentage of jobs that are paid less than the applicable Living Wage Foundation living wage

Percentage of families with children who own their home

Suffolk Coastal

Suffolk Coastal ranks at 528th out of 533 on the Social Mobility Index; and two of its life stage indicators, early years and youth, are ranked in the bottom 100 areas. At the early years life stage, Suffolk Coastal performs in the bottom 10 nationally, ranking 526th out of 533 areas. Eighty-two per cent of nurseries in the constituency are rated as good or outstanding by Ofsted, worse than the national average of 93% and ranking Suffolk Coastal as 523rd out of 533 for this measure. In the other measure for this life stage, the percentage of children eligible for free school meals achieving a ‘good level of development’, Suffolk Coastal is ranked 384th out of 533; 50 per cent of those children achieve a good level, below the national average of 53 percent. The youth stage also sees Suffolk Coastal ranking in the bottom 10 areas nationally, at 526th out of 533. Seventy-nine per cent of young people who were eligible for free school meals find themselves in a positive destination (defined as being in education, employment, or training) after completing Key Stage 4. Twenty-nine per cent of FSM-eligible young people will achieve two or more A Level or equivalent qualifications by age 19, those that do take A Levels will have an average points score per entry of 21. Suffolk and Coastal ranks at 320 and 492 for these measures respectively.

Early Years

261

Schools

Youth

Adulthood

529

England

Life Stage National Rank/533

West Ham

Community Gap Analysis 4.0

Percentage of Nursery providers rated outstanding or good by Ofsted

Percentage of children eligible for free school meals achieving a good level of development

Percentage of children eligible for FSM attending a primary school rated outstanding or good by Ofsted

Percentage of children eligible for FSM achieving at least the expected level in reading, writing and maths at the end of Key Stage 2

Percentage of children eligible for FSM attending a secondary school rated outstanding or good by Ofsted

Average Attainment 8 score for pupils eligible for FSM

Percentage of young people eligible for FSM that are not in education, employment or training (positive destination) after completing KS4

Average points score per entry for young people eligible for FSM at age 15 taking A-level or equivalent qualification

Percentage of young people eligible for FSM at age 15 achieving two or more A-Levels or equivalent by the age of 19

Median weekly salary of all employees who live in the local area

440 443

Average house prices compared to median annual salary of employees who live in the local area

Percentage of people that live in the local area who are in managerial and professional occupations

Percentage of jobs that are paid less than the applicable Living Wage Foundation living wage

Percentage of families with children who own their home

West Ham

Like West Ham, East Ham also performs well for the first three life stages, a trend that can be seen largely across London. However, East Ham also faces some of the most challenging problems in adulthood outcomes nationally. East Ham ranks as the fourth worst area in the country for life outcomes beyond adulthood. With 31% per cent of jobs paying less than the real living wage, far below the national mean, while average earnings in West Ham are £440 weekly – while the English average is £443. Housing in East Ham is also 11 times the annualised salary, below the average of eight, and home ownership is at 40 percent, 25% below the average. The percentage of jobs in the area that are managerial and professional stands at 18%, 12% below the national average.

Early Years

Schools

Youth

Adulthood

530

England

Life Stage National Rank/533

East Ham

4.0 Community Gap Analysis

Percentage of Nursery providers rated outstanding or good by Ofsted

Percentage of children eligible for free school meals achieving a good level of development

Percentage of children eligible for FSM attending a primary school rated outstanding or good by Ofsted

Percentage of children eligible for FSM achieving at least the expected level in reading, writing and maths at the end of Key Stage 2

Percentage of children eligible for FSM attending a secondary school rated outstanding or good by Ofsted

Average Attainment 8 score for pupils eligible for FSM

Percentage of young people eligible for FSM that are not in education, employment or training (positive destination) after completing KS4

Average points score per entry for young people eligible for FSM at age 15 taking A-level or equivalent qualification

Percentage of young people eligible for FSM at age 15 achieving two or more A-Levels or equivalent by the age of 19

Median weekly salary of all employees who live in the local area

440 443

Average house prices compared to median annual salary of employees who live in the local area

Percentage of people that live in the local area who are in managerial and professional occupations

Percentage of jobs that are paid less than the applicable Living Wage Foundation living wage

Percentage of families with children who own their home

East Ham

Community Gap Analysis 4.0

4.0 Community Gap Analysis

COVID-19 Impact

As well as considering the social

mobility baseline for a community, our analysis also reflects the developing

impact of Coronavirus on opportunity. The Office for Budget Responsibility’s

Covid Reference Scenario predicts that

the economy of the United Kingdom will contract by 35%, with unemployment potentially peaking at 10%.

But just like the issue of low social mobility the impact of the coronavirus pandemic is varied across the UK. While the 35% national average figure is high in itself, it is the case that some areas – predominantly in the North West and Midlands – will see their economic growth reduce by almost 50%. Only one of the twenty hardest hit areas are in the South East or London. In addition to the significant diversity of geographic impact estimated by the Centre for Progressive Policy, the Resolution Foundation points to previous data suggesting that there is likely to be a large impact on those leaving full time education and graduating into an economy in the midst of turmoil. In the 2008 Recession, the unemployment rate across the whole population rose from 5.2% in 2007 to 8.5% in 2011; for those with GCSE equivalent qualifications the unemployment figures were 23% in 2007 and 32% in 2011. An exacerbating factor for those leaving full time education without a degree is the varied impact of the virus on different sectors of the economy. While sectors such as financial sectors will emerge from the coronavirus pandemic relatively unscathed, with a contraction of just -5%, sectors like retail and

The health impacts for the coronavirus pandemic show that it is more likely to kill people from black and minority ethnic backgrounds, but the economic impacts are disproportionately hitting BAME people as well: polling done by BMG for the Independent has also shown that people from black and minority ethnic households are almost twice as likely as white Britons to report that they have lost income or jobs. Lord Woolley, the Chair of the Race Disparity Unit, has pointed out that while “the virus itself doesn’t discriminate, the system does, and that has left BAME communities extremely vulnerable both on health and economic grounds.” So the data suggests a varied and profound impact across locations, ages, education levels, and ethnicity. This has a worrying impact for social mobility in the United Kingdom, as we predict that 8 out of 14 measures used to calculate social mobility will be impacted. We have combined existing place-based social mobility analysis with the predicted impact of coronavirus to estimate the size of a communities developing “Opportunity Gap” and ranked these throughout England. We have also combined the research on local authority economic impact due to COVID with the Government’s Social Mobility Index to create what we refer to as the ‘COVID Opportunity Gap’. Where the data allows, all local authorities in England were ranked by the size of the Gap (a larger gap being worse). South West Norfolk, an area taking a large economic hit from COVID and also with low ranking on the Social Mobility Index, has the largest Opportunity Gap, at 227. For comparison, Tower Hamlets, which has high levels of social mobility and is minimally impacted by COVID, has an Opportunity Gap of 3 and ranks at 310. These Opportunity Gap scores show to what extent an area’s social mobility might be impacted as a result of COVID.

Opportunity Gap

Ranking

South West Norfolk

227

North East Cambridgeshire

287

Suffolk Coastal

N/A*

Ipswich

151

168

Hastings and Rye

168

134

Local Authority

hospitality, which have a higher proportion of workers who haven’t completed higher education, will contract by -50% and -85% respectively.

* non-applicability of the data for Suffolk Coastal local authority was either newly created or recently abolished so an Opportunity Gap metric can not be generated in combination with wider social mobility data.

Community Gap Analysis 4.0

South West Norfolk’s (King’s Lynn and West Norfolk) Economy Sector

GVA (£m)

109

201

216

169

264

707

172

425

322

GVA (%)

3.7

6.9

7.4

5.8

0.7

0.9

24.2

2.4

5.9

14.6

2.1

2.3

Decline (%)

-85

-40

-17

-70

-90

-5

+50

-45

-55

-40

-20

-35

-50

-60

South West Norfolk’s Largest Sectors Sector GVA (£m)

Manufacturing

Real estate activities

Wholesale and retail

Human health and social work

Construction

707

425

322

264

216

Biggest Impacted Sectors Sector Predicted Decline

Education

Accommodation and food

Construction

Other services

Manufacturing

-90%

-85%

-70%

-60%

-55%

South West Norfolk’s biggest sectors are manufacturing, real estate, wholesale and retail, human health and social work and construction. Two of these, manufacturing and construction, are also in the worst impacted sectors, while one, real estate, is in the least impacted sectors. A large health sector has been noted as being able to provide a buffer to COVID-induced shocks in the economy; in South West Norfolk, the health sector makes up 89% of the economy. In South West Norfolk, economic growth is predicted to decline by 38% - this is worse than the 35% contraction across the UK as a whole. Taking into consideration the economic reduction in South West Norfolk, as well as its position on the Social Mobility Index, we predict that an Opportunity Gap of 227 will arise, the 53rd largest in England.

Sector Key 1 Accommodation and food services 2 Administrative and support services 3 Agriculture, mining, electricity, gas, water and waste 4 Construction 5 Education 6 Financial and insurance activities 7 Human health and social work activities 8 Information and communication 9 Manufacturing 10 Professional, scientific, and technical activities 11 Public administration and defence 12 Real estate activities 13 Transportation and storage 14 Wholesale and retail (including repair of motor vehicles) 15 Other

Data Analysis

North East Cambridgeshire’s (East Cambridgeshire) Economy Sector

GVA (£m)

135

195

134

122

241

113

258

125

202

133

GVA (%)

1.8

7.3

10.5

7.2

6.6

0.9

3.4

2.6

6.1

1.7

13.9

6.8

10.9

7.2

Decline (%)

-85

-40

-17

-70

-90

-5

+50

-45

-55

-40

-20

-35

-50

-60

North East Cambridgeshire’s Largest Sectors Sector GVA (£m)

Real estate

Manufacturing

Wholesale and retail

Agriculture

Construction

258

241

202

195

134

Biggest Impacted Sectors Sector Predicted Decline

Education

Accommodation and food

Construction

Other services

Manufacturing

-90%

-85%

-70%

-60%

-55%

North East Cambridgeshire’s biggest sectors are manufacturing, real estate, wholesale and retail, agriculture etc, and construction. Two of these, manufacturing and construction, are also in the worst impacted sectors, while two, real estate and agriculture etc, are in the least impacted sectors. A large health sector has been noted as being able to provide a buffer to COVID-induced shocks in the economy; in North East Cambridgeshire, the health sector makes up only 3.4% of the economy. In North East Cambridgeshire, economic growth is predicted to decline by 42% - this is worse than the 35% contraction across the UK as a whole. Taking into consideration the economic reduction in North East Cambridgeshire, as well as its position on the Social Mobility Index, we predict that an Opportunity Gap of 287 will arise, the 9th largest in England. Sector Key 1 Accommodation and food services 2 Administrative and support services 3 Agriculture, mining, electricity, gas, water and waste 4 Construction 5 Education 6 Financial and insurance activities 7 Human health and social work activities 8 Information and communication 9 Manufacturing 10 Professional, scientific, and technical activities 11 Public administration and defence 12 Real estate activities 13 Transportation and storage 14 Wholesale and retail (including repair of motor vehicles) 15 Other

Data Analysis

Ipswich’s Economy Sector

GVA (£m)

282

421

289

232

485

427

100

126

156

376

293

408

464

121

GVA (%)

1.9

6.6

9.9

6.8

5.4

11.4

2.3

3.7

8.8

6.9

9.6

10.9

2.3

Decline (%)

-85

-40

-17

-70

-90

-5

+50

-45

-55

-40

-20

-35

-50

-60

Ipswich’s Largest Sectors Sector GVA (£m)

Financial and insurance activities

Wholesale and retail

Human health and social work

Agriculture

Transportation and storage

485

464

427

421

408

Biggest Impacted Sectors Sector Predicted Decline

Education

Accommodation and food

Construction

Other services

Manufacturing

-90%

-85%

-70%

-60%

-55%

Ipswich’s biggest sectors are finance and insurance, wholesale and retail, human health and social work, agriculture etc. and transportation and storage. Only one of these, manufacturing, is in the worst impacted sectors, while three, financial and insurance activities, agriculture etc and health and social work, are in the least impacted sectors. A large health sector has been noted as being able to provide a buffer to COVID-induced shocks in the economy; in Ipswich, the health sector makes up 10% of the economy. In Ipswich, economic growth is predicted to decline by 28.93% - this is better than the 35% contraction across the UK as a whole. Taking into consideration the economic reduction in Ipswich, as well as its position on the Social Mobility Index, we predict that an Opportunity Gap of 151 will arise, the 168th largest in England. Sector Key 1 Accommodation and food services 2 Administrative and support services 3 Agriculture, mining, electricity, gas, water and waste 4 Construction 5 Education 6 Financial and insurance activities 7 Human health and social work activities 8 Information and communication 9 Manufacturing 10 Professional, scientific, and technical activities 11 Public administration and defence 12 Real estate activities 13 Transportation and storage 14 Wholesale and retail (including repair of motor vehicles) 15 Other

4.0 Community Gap Analysis

Hastings and Rye’s Economy Sector

GVA (£m)

115

188

260

134

326

134

GVA (%)

0.8

5.1

7.7

0.4

12.7

1.9

17.5

1.8

2.5

4.3

Decline (%)

-85

-40

-17

-70

-90

-5

+50

-45

-55

-40

-20

-35

-50

-60

Hastings and Rye’s Largest Sectors Sector GVA (£m)

Real estate

Manufacturing

Human health and social work

Public admin and defence

Wholesale and retail

326

260

188

134

Biggest Impacted Sectors Sector Predicted Decline

Education

Accommodation and food

Construction

Other services

Manufacturing

-90%

-85%

-70%

-60%

-55%

Hastings’ biggest sectors are real estate, manufacturing, human health and social work, public administration and defence, and wholesale and retail. One of these, manufacturing, is also in the worst impacted sectors, while three, real estate, health and social work, and public administration and defence, are in the least impacted sectors. A large health sector has been noted as being able to provide a buffer to COVID-induced shocks in the economy; in Hastings, the health sector makes up 12.7% of the economy. In Hastings, economic growth is predicted to decline by 33.4% - this is better than the 35% contraction across the UK as a whole. Taking into consideration the economic reduction in Hastings’, as well as its position on the Social Mobility Index, we predict that an Opportunity Gap of 168 will arise, the 134th largest in England. Sector Key 1 Accommodation and food services 2 Administrative and support services 3 Agriculture, mining, electricity, gas, water and waste 4 Construction 5 Education 6 Financial and insurance activities 7 Human health and social work activities 8 Information and communication 9 Manufacturing 10 Professional, scientific, and technical activities 11 Public administration and defence 12 Real estate activities 13 Transportation and storage 14 Wholesale and retail (including repair of motor vehicles) 15 Other

Community Gap Analysis 4.0

Newham (West Ham and East Ham) Economy Sector

GVA (£m)

247

303

334

604

698

445

Total GVA (£)

14,116

28,458

4,814

23,257

20,975

62,829

22,395

GVA (%)

1.7

1.06

6.9

2.5

3.3

0.1

1.98

Decline (%)

-85

-40

Sector

GVA (£m)

135

331

127

489

1,595

455

580

Total GVA (£)

56,604

8,743

58,628

18,189

69,083

18,824

33,283

7,605

GVA (%)

0.23

3.78

0.21

2.68

2.34

0.65

1.74

1.07

Decline (%)

-40

Newham GVA compared to London for representativeness*.

5.0 Recommendations

Recommendations Based on the findings within this Levelling Up Action Plan we have consolidated recommendations that will enable UK Power Networks to take its excellent work further in making a positive social impact for people, customers and local communities across its electricity distribution network. These recommendations aim to leverage UK Power Networks’ existing best practice and target efforts towards specific opportunity gaps within communities; as well as encouraging an emphasis on measurement and reporting to encourage a focus on outcomes from the activity. Additionally, the recommendations also consider UK Power Networks’ influence as a convener of wider stakeholders to bring about solutions to more systemic societal problems. 1. Community Impact UK Power Networks will enhance its community impact in a targeted approach towards the key social mobility cold spots across its electricity distribution network. This will include Suffolk Coastal, North East Cambridgeshire, Ipswich in the East of England, Newham (West Ham and East Ham) in Greater London, and Hastings & Rye in the South East of England. Furthermore, the approach underpinning this targeted impact will consider the specific problems in each cold spot. UK Power Networks should leverage its existing programmes and target them towards these areas where the relevant challenges exist. 1A. Making an impact in school years’ outcomes UK Power Networks should look to introduce curriculum supporting measures - or wider and direct school engagement - towards schools in areas that

are identified as challenging for school years outcomes. Such key areas have been identified within the data analysis as Ipswich and South West Norfolk. UK Power Networks might also look to ensure this school engagement is conducted through the lens of the energy transition and the future of green energy, an issue which is one of the most important issues to young people and thus will likely boost levels of successful engagement, while delivering educational material on climate change. 1B. Making an impact for youth outcomes UK Power Networks should target some of the opportunities within the Power Among Us programme, which is already catered for NEETs, towards the key areas where youth outcomes are typically lower. This has been identified as Hastings & Rye, North East Cambridgeshire, Suffolk Coastal within the company’s network.

5.0 Recommendations

1C. Making an impact for adulthood outcomes In areas where adulthood outcomes are challenging, UK Power Networks should target apprenticeship opportunities towards areas where adulthood outcomes are lower. These have been identified within the data analysis as West Ham & East Ham. 2. Measurement and Reporting The community impact and wider social impact programmes that UK Power Networks implements should focus on measuring and reporting outcomes. This will enable UK Power Networks to ensure all its activity is effective; and can enable both benchmarking for future efforts and create a ‘feedback loop’ for continuous improvement in directing its efforts. For example, this could include ‘destination tracking’ of those participating in its ‘Power Among Us’ programme, mentoring programmes, and apprenticeships.

3) UK Power Networks as a leader and advocate on levelling up As a purpose-led business that has produced its own action plan on levelling up, UK Power Networks is a company that is positioned to lead by example. UK Power Networks should use its capacity to think long-term for its local communities - and its wider ranging stakeholder relationships - to be a firm and clear advocate for responsible business and business-led levelling up. Through effectively using its relationships with key stakeholders and supply chains, UK Power Networks can leverage its own efforts on social impact and create a significantly greater impact for local people and communities. For example, this might include using its relationships with its supply chain to also help target their social impact on specific cold spots in the region; and working with Government and parliamentarians to improve the existing Apprenticeship Levy functionality to maximise the impact businesses can have on delivering opportunities and training.

LEVELLING UP