The report’s authors have urged businesses to “join the decarbonisation revolution” and snap up free expert support with growth in the sector predicted to soar.
The newly published Green Economy report reveals the region’s green technologies and services (GTS) sector - which includes everything from wind to alternative fuel vehicles - is set for massive growth with sales set to soar by a massive 37 percent to £11.1 billion by 2026.
The project is funded by the UK Government through the UK Shared Prosperity Fund and is supported by West Yorkshire Combined Authority (WYCA) and Mayor of West Yorkshire, Tracy Brabin.
The report was produced by Green Economy, part of The Growth Company, which helps tradespeople, businesses and local authorities deliver their transition to net zero by providing expert support, training and access to local sales opportunities along with analysis of the local green supply chain.
Green Economy’s West Yorkshire Green Technologies & Services Sector Mapping report also shows the huge contribution the region’s 2,914 GTS businesses and 53,000 employees were playing economically and environmentally.
The authors stressed the report should be the springboard for the sector to work alongside bodies like Green Economy to ensure they plug skills gaps, overcome industry barriers to decarbonisation and create more high-quality local jobs with employment in West Yorkshire’s green tech sector representing just 2.1 percent of the county's workforce in 2023 - compared to 5.9 percent for England as a whole.
West Yorkshire’s green technologies and services sector is valued at £8.1 billion and expected to grow to £11.1 billion by 2026 – a 37 percent rise. Sales in the sector grew by 6.1 percent from 2020/21 to 2021/22 and 6.4 percent from 2021/22 to 2022/23, mirroring UK trends.
The top three sub-sectors in the region by sales in 2022/23 were: Wind – £1,248 million in sales, 6,926 employees and 422 businesses; Building Technologies – £895 million in sales, 7,325 employees and 377 businesses; and Alternative Fuel Vehicles – £877 million in sales, 5,578 employees and 326 businesses
The three largest exporting sub-sectors in WYCA in 2022/23 were Energy from Waste (£89.4 million), Alternative Fuels (£72.2 million), Alternative Fuel Vehicle (£50.1 million)
West Yorkshire’s GTS exports in 2023 were valued at £500 million representing 2.9 percent of the UK’s GTS exports and aligning with WYCA’s 2.9 percent share of the overall UK GTS 2023 market. WYCA contributed 3.3 percent to England’s GTS 2023 export market, slightly lower than its 3.4 percent share of England’s GTS 2023 sales. Notable exporting sub-sectors included Energy from Waste and Alternative Fuels.
Leading sub-sectors include wind, building technologies and alternative fuels while emerging sectors include carbon finance, geothermal and air-source heat pumps, all expected to see over 60 per cent increase in sales
Analysis by Green Economy found the GTS sector growth was due to a combination of factors. These include demand being stimulated by legislative drivers such as a proposed ban on petrol cars and a national push to retrofit and make homes more energy efficient, to local programmes funded by the West Yorkshire Combined Authority and centrally funded initiatives like the Public Sector Decarbonisation Fund requiring local providers of green technology.
Amy House, Director of Green Economy, said the report showed the massive strides West Yorkshire’s GTS was making. She stressed the expected huge growth meant it was a perfect time for traders and businesses to capitalise on the opportunities the region’s rampant green sector offered.
“This report should leave nobody in doubt over the enormous contribution the green tech and services sector makes to West Yorkshire’s economy with sales expected to grow to £11.1 billion by 2026” said Ms House. “Coupled with rising exports and the expected growth in sales among emerging sectors including carbon finance, geothermal and air-source heat pumps the report delivers a hugely positive trajectory. However now is not a time to be complacent. Employment in West Yorkshire’s GTS sector in 2023 only accounted for 2.1 percent of the city-region's workforce, compared to 5.9 percent for England. It is therefore imperative whether you are a sole trader or a large company that you join the decarbonisation revolution and enlist the free support of experts like Green Economy so we can collectively plug skills gaps, create more high-quality local jobs and ensure the region grows by using their own supply chain.”
For additional information:
