Finding opportunity

COVID as a catalyst for structural change

The roundtable began with discussion of whether the council’s focus had been altered due to the pandemic; and if the green agenda was still the priority it had been at the start of 2020.

COVID is catalysing action on both agendas. It’s important to remember that we can’t consider economic growth and carbon reduction as two separate goals. They are inherently linked. The way the economy is managed during the recovery, and the way we respond to climate emergency – and the skills and training required to address both – can’t be considered in isolation.

There was a consensus that COVID-19 had accelerated structural changes. Shifts which might have taken a decade have occurred in 10 months. Several attendees highlighted the fact that Southampton, like many city regions, was heavily dependent on retail and leisure.

With the latter the most heavily impacted by lockdowns, and the former suffering from changing shopping habits and the decline of the highstreets, everyone at the table agreed that there was a real imperative to secure future-proof careers for people.

The Southampton Pound initiative, which is built around maximising the value of public spending in the city region and channelling it through local businesses was universally seen as crucial to inclusive economic growth:

We currently have 43% of public spend routed through businesses based in Southampton – and more than half of it is through SMEs. That's a good start, but we need to collectively drive those figures up. In construction, it’s incumbent on the main contractors we choose to work with to make that happen.

Southampton’s first all-through school, St Mark’s, which is being built by Morgan Sindall Construction was cited as an exemplar project, with £11 million of its value procured to date awarded through packages to local subcontractors.

The challenges of the last year have caused us to look at the mechanics of the policy and how we engage with businesses on it.

St Mark's School,
Southampton

Southampton’s Social Value and Green City Procurement Policy was launched just before the pandemic began to unfold in the UK. Commenting on its importance in the recovery, one person said: “The challenges of the last year have caused us to look at the mechanics of the policy and how we engage with businesses on it. What we have seen is that the most progressive businesses are embracing the spirit of social value and sustainability-led procurement practices, not just the letter of it.”They continued: “We’re the largest landlord, energy user and vehicle owner in the city region and have a budget of £300 million. We don’t just want a few sustainability bells and whistles – we want a fundamental reset; for businesses not just to meet our expectations but exceed them.That gives you a lot of levers to pull and scope to effect real change in multiple areas of procurement.