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Evaluating the impact of the North East Strategic Economic Plan

By Caitriona Lacy, Senior Consultant at Steer Economic Development


One of the things that really makes the North East LEP stand out as an organisation is its commitment to an evidence-led approach across its work, focusing on data, insight and evaluation.

The North East Strategic Economic Plan was developed to provide the roadmap to a more productive, inclusive, and sustainable North East economy, but with an ever-changing economic landscape both in the UK and across the world, it’s important to review and assess its impact on a regular basis.

Steer Economic Development (Steer-ED) was commissioned by the North East LEP to carry out an interim evaluation of the North East Strategic Economic Plan (SEP) to better understand how it is performing against its objectives. The project also tasked us to assess how well the North East LEP is performing in its role as champion of the SEP.

The decision to carry out an evaluation now whilst the Strategic Economic Plan is still being delivered allows the North East LEP to capture data whilst activity is happening, and to reflect on the region’s economic journey so far with the benefits of external input, ensuring the SEP is continuing to provide the correct direction of travel. A final evaluation will follow in 2025.

Over a three-year period (June 2018 and October 2021) Steer-ED worked closely with every team in the North East LEP, as well as its extensive network of stakeholders and partners. Using a mix of recognised evaluation methods – including logic model development, qualitative and quantitative analysis, and case study development – we’ve been able to present a clear picture of how the North East economy has changed since the Strategic Economic Plan was first launched in 2014, and identify the impact the SEP has made in that change.

Using a traffic light system, the interim evaluation of the North East SEP outlines its performance against six headline objectives in the interim period to the end of 2021. It shows the Plan delivering its targets on job creation and better jobs, and moving in the right direction to reduce both the employment gap and the economic activity gap.

It also highlights areas where further work is needed to meet some of the Strategic Economic Plan’s other objectives, for example, reducing the gap in GVA per hour worked between the North East LEP area and England (excl. London) which has increased.

The report goes on to look in detail at the implementation of the Strategic Economic Plan’s five programmes of delivery – business growth; innovation; investment and infrastructure, skills, employability, inclusion and progression; and transport connectivity. Using the same traffic light system, it reviews the performance of each area against a set key performance indicators. It also looks for evidence of value for money from the investments which have been made.

Another important area of the interim evaluation report is the assessment of the Strategic Added Value (SAV) the Strategic Economic Plan and the North East LEP deliver in the region. This method of evaluation is more focused on qualitative impacts and involves both the collection of data and the assessment of external commentators.

In terms of findings, it is clear that leadership, influence, synergy and engagement are all areas where the North East LEP has excelled through the delivery of the Plan. Examples of this can be seen in the North East LEP’s response to EU Exit and the coronavirus pandemic, as well as its influence on national policy, and its ability to secure funding.

On quantitative assessment, whilst there is still more work to do to complete the delivery of these programmes, our assessment of the two largest funding programmes delivered by the LEP – Local Growth Funding and Enterprise Zone programmes – to date have indicated good to very good value for money in line with national benchmarks for these programmes.

The report includes many more examples of how the North East LEP has displayed best practice, and ensured it is well placed to manage change in the economy. Indeed, one of the Strategic Added Value case studies has looked at the work the North East LEP has done with a range of partners through the North East COVID-19 Response Group to steer the region through one of the biggest economic shocks and resulting economic downturn. The evidence shows interventions supported businesses to continue trading and helped to position the region to bounce back.  

Overall, the interim evaluation report of the North East Strategic Economic Plan is encouraging. It shows the region is moving in the right direction but highlights there is still work to be done. It demonstrates how important the Plan has been in the development of a cohesive and unifying voice for the region, and the benefits this brings in the response to both economic opportunities and economic shocks.

A set of recommendations at the end of the report outline how the North East LEP can prepare for the final evaluation of the Strategic Economic Plan in 2025, and ensure that data, evidence and evaluation continue to be developed and embedded across all areas of its work.

The executive summary of the interim evaluation of the North East Strategic Economic Plan can be found on the North East LEP’s Evidence Hub.

A copy of the full interim evaluation is available upon request. Please email [email protected].

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Looking to the future of the North East economy

We all know about the North East’s magnificent heritage, and the engineering feats that once made the region a global industrial power.

But our plan for the region’s future doesn’t rely on the past. Instead, it talks about the strengths we have today, and the innovations which will enable our economy to thrive now and in the future.

Tomorrow belongs to those who prepare for it today: that’s the thinking behind the North East Strategic Economic Plan – the blueprint for creating 100,000 more and better jobs in our region by 2024.

The Plan draws on the strength of our digital and energy sectors, and the work that’s making the North East stand out in health and life sciences, and advanced manufacturing. These are the areas which will drive the North East economy forwards.

Read the North East Strategic Economic Plan.