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Flybe Skills Academy case study

Project summary

In August 2009, the South West RDA agreed funding of £2.82 million to support construction of the Flybe National Academy. The £24m project will enable the airline to centralise all its training activities at a new bespoke facility at company headquarters at Exeter airport. This will help fill a looming skills gap in engineering in the South West, as well as support the growth of a company of strategic importance for the region.

Main messages

  • Project of significant benefit to the East of Exeter area, an RDA ‘priority place’; to an RDA Strategic Company; and to three RDA priority sectors: advanced engineering, tourism and aerospace.
  • Academy will provide training for local people in skills areas that can lead to higher paid jobs. Exeter has a lower proportion of adults with level 4+ qualifications than the region as a whole. Average full-time weekly earnings in the city are also lower than the regional average (on 2006 and 2007 data).
  • An ageing workforce and recruitment of young people are key issues for the engineering industry in the South West. About a fifth of engineering establishments in the South West had hard-to-fill vacancies in 2008.
  • If the RDA and LSC had not agreed funding by mid-2009, the opportunity to relocate flight simulators from other parts of the UK, an important component of the project, would have been lost.

Facts and figures

Costs

  • Total project cost put at £24m. Of this, RDA providing £2.95m, LSC £4.2m, and Flybe £16.85m.
  • Finance structure: the RDA will be contracting directly with Flybe but on the basis that the project was approved through the LSC’s Competitive Skills Capital Projects Fund.

Timescale

  • RDA approved funding of £123,500 for the business plan and due diligence in 2008
  • RDA approved capital funding of £2.83m for the project in mid-2009, contingent on LSC funding
  • LSC approved its contribution Sept 2009, unlocking RDA funding
  • Construction commenced in October 09, with a view to completion in the second half of 2010.

Case Study

The project will be of significant benefit to the East of Exeter area (a priority place) and the aviation industry in the South West, including the support of an RDA strategic company.

Exeter College and Exeter University will benefit from the partnership with the private sector.

The Academy is projected to be 65:35 open access by year 5 benefitting local businesses and regional, national and international aviation businesses.

The Academy will enable Flybe to centralise its training and will ensure the relocation of flight simulators from Farnborough and Crawley.

The economic sectors that will benefit most are: advanced engineering, aerospace and tourism.

The Academy has the potential to become the region’s centre of excellence for maintenance, repair and overhaul, and is working with the Aerospace Training South West initiative and the RDA towards achieving this.

If the project had not proceeded, 50 existing training-related Flybe jobs would probably have been lost.

The project will help secure the workforce of tomorrow by working with schools including providing two weeks of work experience per month.

It will strengthen the local economy by working with local businesses eg through a mentoring scheme, promoting the South West region, and increasing labour supply in engineering eg by encouraging women to become engineers.

The buildings have been designed to achieve the highest environmental standards, using natural ventilation and rainwater harvesting. It will be BREEAM excellent.

Flybe has agreed to other outreach activities such as hosting best practice and other visits in conjunction with the Manufacturing Advisory Service and the Leadership and Management Advisory Service.

Conclusion

  • RDA investment crucial to project proceeding.
  • Too early to assess project’s impact.

Further information

Date case study written: April 2010

Theme: Regenerating the regions

Contact: South West RDA press office by email news.enquiries@southwestrda.org.uk or telephone 01392 229389

Exeter Airport

Exeter Airport