In many ways the household services sector is the most visible and ‘ treasured ’ component of the economy . It often defines local communities and provides the places around which local character , amenity , reputation and social capital are shaped . This part of the economy is often the principal incubator of new and innovative enterprise . As mentioned , the COVID crisis has elevated awareness of just how important these local services are to community wellbeing . Yet they have tended to be the ‘ poor cousin ’ in economic development strategies .
The household services economy deserves a discrete and substantial focus in the strategy process . This should include , but go beyond , planning for centres hierarchies and adequate provision of retail floorspace to meet household needs . A strong emphasis on place making , brand identity and business formation is also required .
Of course , the exports economy continues to be a crucial driver of local economies . Strategic analysis of export strengths and opportunities remains an essential component of local policy formation for jobs and investment . This said , it ought not crowd out attention to the other two local economies .
The ‘ three economies lens ’ is well suited to the formation of strategies which align to the competencies and mandates of local Councils . The following table illustrates the types of actions which Councils might take across these three fronts . Recognising the tectonic shift associated with the COVID 19 crisis , we have segmented this discussion according to 3 phases of economic stabilisation following disaster – recovery , reconstruction and reinvention .
ABOUT THE AUTHOR
Marcus Spiller . Principal & Partner ( BTRP , M Com , PhD , MPIA ) SGS Economics & Planning Marcus is a founding Partner at SGS . Formally qualified in commerce and urban planning , he has practiced as a consultant for much of his career , though he has also worked as an academic , local government town planner , Ministerial Adviser and senior bureaucrat in State and Commonwealth Government agencies . He is an Associate Professor at the University of Melbourne as well as holding Adjunct Professorships at RMIT University and UNSW . He has been awarded the title of Life Fellow of the Planning Institute of Australia .
TABLE 2 . NOMINAL COUNCIL STRATEGIES AND ACTIONS TO STRENGTHEN THE LOCAL ECONOMY
Household services economy Care & learning economy Exports economy
Recover |
• Rates relief .
• Brokerage to promote and facilitate take up of relevant State and Commonwealth programs such as JobMaker .
|
|
• Provide rates relief |
Reconstruct |
• Improve skills in local businesses ( customer service , marketing , business planning etc ).
• Place based marketing and events .
• Precinct based business incubation and promotion ( after Renew Newcastle model ).
|
• Broker short term partnerships between local businesses and anchor institutions to support local activity . |
• Facilitate formation of clusters of like-minded exporters .
• Lobby on behalf of key sectors / firms for State and Commonwealth assistance through stimulus programs , etc .
|
Reinvent |
• Improve economic infrastructure of key centres ( e . g . public market , public realm ).
• Build depth of local skills pool to support new business formation .
• Support formation of co-operative businesses .
• Rebranding and marketing .
• Ensure sufficient land is zoned to support independent businesses .
|
• Build depth and adaptability in local skills supply .
• Audit supply chains to optimise local business participation .
• Facilitate knowledge sharing across institutions .
• Support relocations and expansions of institutions in line with area strategies .
|
• Ensure sufficient land is available to support exporter operations .
• Broker links between R & D institutions and local exporters .
• Support formation of local advanced business services .
• Ensure transport links are adequate to support export growth .
|
Source : SGS Economics & Planning Pty Ltd
ECONOMIC DEVELOPMENT JOURNAL VOL 14 NO 1 2020 09