Cornwall Marine and Maritime Growth & Innovation Report 2017-18

Marine and Maritime Growth and Innovation

Ms J Pye, Dr A T Alexander, University of Exeter Business School, Cornwall.
Project Partners: Cornwall Council, Cornwall Marine Network

Summary

Download Executive Summary of the Report (pdf)

As of June 2019 the current contribution of the Cornish marine sector to the local economy is estimated to be £1.1bn, an increase from the £500m identified in 2008 by our project partners and shown for comparison purposes in Annex 1. This compares with a 2014 value for the UK marine sector of £36.2bn, and a 2016 value for UK leisure marine of £6.2bn.

The number of active marine businesses identified in the sector has increased since 2008 from an estimated 650 to an estimated 855. Of this increase, non-SMEs (sole traders and non-registered companies) are estimated to be up by 155% and SMEs & Micro-companies up by 31%. These figures clearly demonstrate the importance of SMEs and micro businesses to the Cornish economy, as well as the contribution made by sole traders and non-registered companies.

Levels of innovation and entrepreneurship are also considered to be high: over two-thirds (67%) of respondents surveyed indicated that new areas of business are ‘very’ or ‘quite’ important, and three-quarters (75%) of respondents suggested they are actively seeking to develop new businesses to capture future business opportunities.

Companies also know that they need to diversify to remain competitive: 55% of survey respondents cover a range of Marine sub-sectors across their business activities. Many also provide services outside Marine in areas such as Engineering and Construction.

Demand for suitable and high quality workspace appears to hold back expansion and diversification: 40% of respondents felt better access to waterside premises would support future growth. Our respondents suggest planning and regulatory limitations should be lifted and infrastructure improved with a range of mixed-use options developed.

Staffing issues are a concern for companies, many with an ageing workforce; those in more peripheral locations in particular have difficulties in retaining skilled staff due to travel and access issues. Although they recognise a need for training, time is at a premium for seasonal businesses. Identifying a time when training can be undertaken when seasonal staff are present, but not working to capacity, is difficult.