HIE to focus on high growth businesses and sectors

Highlands and Islands Enterprise is setting out on the new financial year with a new agenda focusing on its key areas of expertise. From this April the agency will be ensuring that the Highlands and Islands contribute fully to the Scottish Government's purpose of increasing sustainable economic growth.

William Roe, chair of HIE, said: "In future HIE will be more closely involved with businesses and sectors which have high growth potential and aspirations. We will concentrate on working with businesses which can operate regionally, nationally and internationally, helping them improve competitiveness and productivity. This means we target our resources towards clients which will achieve the greatest impact for the regional economy."

"The Scottish Government wants us to intensify effort on our core strengths on promoting sustainable economic growth and on building more dynamic, successful communities, and to draw on our experience in partnership-working to achieve this."

Under plans announced last year, careers advice and national training programmes have become the responsibility of the Scottish Government's new body, Skills Development Scotland. Local business support ie advice and information for firms which service local markets will, later this year, be managed by local authorities through the Business Gateway model.

HIE has reduced its workforce by 59 through a voluntary severance scheme. It has reorganised its 350-strong staff and its annual budget of £85-90m, to concentrate on three principal areas:

•  Supporting high-growth businesses and sectors;
• Creating the infrastructure and conditions to improve regional competitiveness; 
• Strengthening communities, particularly in fragile areas.

In line with the Scottish Government's aspirations, HIE will be promoting, in particular, the nation's strengths in six key sectors: creative industries; energy; financial and business services; food and drink; life sciences and tourism.

William Roe explained: "In future HIE will work with high growth companies, most likely to be in one of these six key sectors, through an 'account management' model. This is a new approach for HIE - forming close relationships with businesses which have potential for high growth in each of our nine geographical areas.

"And we will be doing this in close association with Scottish Development International to ensure our account managed businesses take an international view to develop both the volume and the range of their overseas business activities."

Under its remit to improve regional competitiveness, HIE will be seeking to identify and invest in key strategic projects which have the potential to transform area economies across the Highlands and Islands and contribute to regional and national growth. Examples include HIE's continued support for UHI and marine energy development as well as transport and telecoms infrastructure.

The agency will continue to work with its partners in strengthening communities, focusing principally on:

• social enterprise and third sector development 
• culture and heritage 
• stimulating growth in fragile communities

HIE will continue to have nine area teams each led by an area manager empowered with high levels of delegated authority.

Details of HIE's framework for business engagement following the abolition of LEC boards and a date for the inauguration of Business Gateway will be confirmed at a later date.

Sandy Cumming added: "HIE's ethos has always been to embrace change. It provides opportunities to explore different approaches, particularly as technology makes new practices possible.

"It is an especially exciting time for the Highlands and Islands economy. Through these changes we are confident we can take forward the Scottish Government's ambitious economic strategy and can support the Highlands and Islands to show a sustained pattern of growth."