2015 2018 Business Plan Building Scotland s International Competitiveness
CONTENTS 1 2 3 4 5 INTRODUCTION 1 A COMPETITIVE ECONOMY 2 DRIVERS OF GROWTH 3 TRACKING OUR PROGRESS 14 BUDGET 2015-18 18
Scottish Enterprise Building Scotland s International Competitiveness 01 1. INTRODUCTION Our ambition Our Business Plan 2015-18 sets out our approach to help deliver long term, inclusive economic growth for Scotland. With an international mindset, ambitious leadership and an openness to innovation - be that new ideas, services, products, markets or new ways of working - all essential to maximising Scotland s ability to compete and grow, this plan outlines what we will deliver across these interrelated themes. Our plan reflects the contribution Scottish Enterprise will make to Scotland s Economic Strategy, published by the Scottish Government in March 2015. It provides a clear framework for creating sustainable economic growth, whilst recognising the need for a more cohesive and resilient economy that ensures opportunities for all. Our focus continues to be on the critical role of boosting Scotland s international competitiveness to support long-term economic growth. For Scotland to be a wealthier and more equal country it needs an effective business environment - high quality business infrastructure, including funding for growth companies and excellent connections to the global marketplace so, investment remains crucial to our delivery. We need to ensure that growth is inclusive. Increasing competitiveness and tackling inequality are interdependent; we know that if we are to create a truly sustainable economy it is essential that we also work to tackle inequality. We recognise Scottish Enterprise has an important role to play in promoting Scotland s Business Pledge through our engagement with companies and our work in international markets encouraging companies to adopt the living wage, get involved in their local communities, and investing in youth training and employment. Collaboration remains at the heart of our approach; we know that working in partnership with industry, business and public sector partners, across Scotland and overseas strengthens our impact and will be the driving force behind our work to create a sustainable and growing economy.
02 Scottish Enterprise 2015 2018 Business Plan 2. A COMPETITIVE ECONOMY Scotland s economy grew at its fastest rate for seven years in 2014, and this growth should continue over the next two years. Employment in Scotland is now at its highest level ever, investment is increasing and many of our top exporting companies are growing their overseas sales. The global economy continued its recovery in 2014, driven by strong growth in the US, the world s largest economy, and the UK. Growth in Europe, Japan and other emerging economies, including China, has been weaker. Scotland s economy grew at its fastest rate for seven years in 2014, and we should see continuing growth in 2015 and 2016. Employment is now at its highest level ever, investment is increasing and many of our top exporting companies are growing their overseas sales. As a small, open economy, global trends will affect Scotland s economic prospects for both trade and investment. Europe remains our main overseas export market and an important source of investment and, although challenges remain, economic growth is expected to strengthen over the next two years. Similarly, the US economy, also a key market for Scotland, is expected to grow strongly this year and next. Prospects for some other economies are more mixed, with growth expected to ease in a number of emerging economies such as China and the Middle East. However, if we re going to grow our exports, these remain important new markets for many of Scotland s growing companies and sectors. Closer to home, the UK is the largest single market for Scotland, and recent strong economic performance should continue over the near term. Overall, the global and domestic economic environment should offer growing trade and investment opportunities for Scotland. Key to achieving this is ensuring that our assets and companies are as internationally competitive as possible, with a global outlook and a strong focus on innovation, investment and skills. Recognising this global picture and mixed economy, our three year business plan clearly articulates our priorities and sets out the actions we ll take to build Scotland s future. It also illustrates how the themes of Scotland s Economic Strategy innovation, internationalisation, investment and inclusive growth are woven throughout all of our activities.
Scottish Enterprise Building Scotland s International Competitiveness 03 3. DRIVERS OF GROWTH Building international competitiveness and growth Our Business Plan is guided by four critical, closely inter-connected drivers of growth. Over the next three years these drivers will underpin everything we do and how we engage with business sectors and with partners. INTERNATIONALISATION Through the new International Framework developed as a key part of Scotland s Economic Strategy, there is an opportunity to increase Scotland s impact, presence and visibility in overseas markets. By aligning our trade and investment activities with both private and public sector parties in areas like tourism, culture and education, we will aim to boost the volume and scale of international trade and investment, whilst continuing to shift the number of companies seeking to operate internationally. As outlined in our business plan for 2015-2018, this includes helping to make the new One Scotland Partnerships established by the Scottish Government a key mechanism for delivering this change. Integrated support for ambitious companies Our support for ambitious companies is centred on our account management approach, which continues to deliver the best blend of support to help growth companies meet their aspirations. we deliver support according to the sector a company is in, its current market or the market it is seeking to operate in. Our core service to growth companies, account management will play a critical role in delivering on the internationalisation agenda. Already, two thirds of the companies we work most closely with are exporters, and over the next three years, we will bring into our account management service more companies with international ambition. Specialist support for exporters Through Scottish Development International (SDI), which delivers for the Scottish Government and its enterprise agencies, we continue to develop additional specialist support for Scotland s exporters. Led by account managers, we re seeking to increase our impact by differentiating how
04 Scottish Enterprise 2015 2018 Business Plan How the ScotExporter programme will help large numbers of Scottish companies www.scottish-enterprise.com/export This includes access to valuable local knowledge and connections through SDI s network of overseas offices. We plan to both broaden and deepen our networks to deliver even greater impact through our GlobalScots, a network of successful entrepreneurs and business leaders around the world committed to helping Scottish companies. Our internationalisation agenda goes much further than simply building trade and supporting exporters. We are seeking to make our companies more global in their outlook, more ambitious and more capable of competing in international markets. Despite a slow-down in recent years, future growth is still expected in markets such as China, South America, Africa, the Middle East and India - many of which are new markets to Scottish companies. The opportunities vary considerably, both between different niches in each sector and different geographical markets. An important part of the work Scottish Enterprise delivers is to support companies in the difficult task to identify and address the best opportunities for them in new international markets. Exploring new markets While we remain focused on helping companies build exports in more established markets, such as Scotland s largest markets of Europe and the United States, through the new Scottish Development International Market Desk we will help companies gain insights and specific market advice on China, the Middle East and India. We will continue our active programme of trade missions and events targeting growth opportunities in key markets.
Scottish Enterprise Building Scotland s International Competitiveness 05 Opportunities in Scotland s sectors We ll also help attract new companies as investors to Scotland, as well as seeking out and delivering global opportunities in key markets, for example: Opportunities in global supply-chains in oil and gas, offshore wind and engineering New growth in food & drink markets in China Opportunities for creative industries in the creation, distribution and commercial exploitation of digital content Niche market opportunities in the US and Asia for textiles New markets opening up for low carbon products, such as in water treatment Building Scotland s International Reputation We will further enhance the strong reputation Scotland has in international markets, using this to boost our efforts in international trade and investment. We will work with our partners to maximise the legacy for Scotland s reputation that arose from the successful delivery of the 2014 Commonwealth Games and Ryder Cup. Attracting International Investment Consistently recognised as one of the top regions in Europe for foreign direct investment, Scotland has an unrivalled track record in attracting projects and jobs. We will use this reputation to attract greater investment to strengthen the Scottish economy. Through Scottish Development International, we will focus on increasing the amount of investment, projects and jobs that are new to Scotland. We will target investment that makes the strongest contribution to our economy, helping to improve competitiveness, stimulating our wider business base and contributing to jobs and growth across sectors and regions. In support of this, we will work with industry leaders, both to promote Scotland internationally and to raise international ambitions across Scotland s sectors.
06 Scottish Enterprise 2015 2018 Business Plan INNOVATION Successful innovation drives growth and competitiveness for companies and industries. We have set ourselves the goal of helping to transform Scotland s innovation performance, to equal the best performing nations by 2020. Success will require a transformational shift in the ambitions of Scottish companies, with an increase in both the number of businesses innovating to grow alongside a significant increase in jobs and prosperity generated from innovative activity. To realise this ambition, we need to adopt a more radical and flexible approach to supporting sectors and companies, as outlined in our business plan for 2015-18, seeking new delivery models alongside others like Business Gateway to engage more companies and generate a much greater impact from that support. Support for Innovators Innovation isn t only about developing new or better products and services. It s also about investing in marketing, skills and new technology. Our evaluations show that innovative companies focused on efficiency and productivity, who look to overseas markets earlier, perform better. We will increase our support to help companies generate significant revenue growth from successful innovation, particularly in international markets. This includes the core support delivered through our account management service, complimented by specialist support on specific areas including business models and workplace practices. We will continue to encourage larger companies and public sector bodies to foster innovation among small to medium-sized enterprises (SMEs), through procurement and supply chains. In support of the Government s Digital Scotland Business Excellence Partnership initiative, we ll also help Scottish companies use digital communications to develop and deliver new products and services, and reach customers in new markets. Using European Structural Funding, and in collaboration with partners such as Business Gateway, we ll introduce an extensive new programme to engage over 5,000 additional SMEs over the next three years to raise awareness of different kinds of innovation, benefits to similar businesses and build their capacity to realise new opportunities to grow as a result.
Scottish Enterprise Building Scotland s International Competitiveness 07 We are also using structural funding to support our efforts in other areas of our Business Plan, extending beyond innovation to internationalisation, investment and people. Improving Scotland s innovation system To raise Scotland s game on innovation, we need a better system that supports important elements of the innovation process including how companies use R&D to build revenues, and the transfer of know-how from Scotland s universities. Working closely with partners, such as the Innovation Centres, we will seek to engineer a significant increase in the revenues Scotland generates from our strengths in research. growing range of emerging private sector accelerators, to improve support for companies started by entrepreneurs. In particular, we will strengthen the support for raising the performance of high-impact entrepreneurial businesses that are most likely to have a transformational impact on our economy. This work represents a significant part of our contribution to the Scottish Government s Scotland Can Do Framework, which supports actions across the public, private and third sectors to make Scotland a more innovative and entrepreneurial nation. We will support Scotland s entrepreneurial ecosystem, supporting entrepreneurs, spin-outs and start-ups with ambition, significant growth potential and the capability and confidence to trade on a global platform. We will engage with partners such as universities, Business Gateway, Scottish EDGE, Entrepreneurial Scotland, Informatics Ventures, Edinburgh BioQuarter and a
08 Scottish Enterprise 2015 2018 Business Plan Innovative sectors Scotland s leading sectors present the greatest opportunities to bring about major improvements in Scotland s investment performance. These opportunities include working up opportunities in global supply-chains in fast-moving sectors like manufacturing and renewable energy, as well as developing Scotland s advantage in new areas, including enhanced health and industrial Biotechnology. Building on the International Technology and Renewable Energy Zone in Glasgow www.scottish-enterprise.com/itrez Developing Scotland s low carbon opportunity We recognise an important area of opportunity for driving greater innovation in Scotland is the positive shift towards a Low Carbon Economy. Scotland already has competitive advantages and important strategic assets that will form the basis for long-term growth by companies. Even with the current subdued economic growth, the market opportunities relating to low carbon are continuing to grow, providing a platform for innovation for Scottish companies in energy and resource efficiency, transport and renewables. We recognise opportunities for Scotland in emerging industries such as smart mobility, marine energy, carbon capture and storage, which we ll continue to pursue. In support of the Scottish Green Growth strategy, we will continue to work with companies to address the significant opportunities in the Low Carbon Economy, including opening up important new areas such as the Circular Economy, as well as supporting the Government s new programme of community energy empowerment.
Scottish Enterprise Building Scotland s International Competitiveness 09 INVESTMENT Increased investment in Scotland s growth companies and business infrastructure is central to increasing sustainable economic growth. Our work here is about investing to stimulate increased competitiveness, as well as looking at how we best leverage private sector investment and attract new investment into Scotland. As outlined in our business plan for 2015-2018, it will also involve using investment strategically to help create economic balance and ensure all parts of Scotland benefit from increased growth. Investment for company growth Helping companies secure funding for survival and growth has been an important feature of economic development activity in Scotland over the last six years. Through the Scottish Investment Bank, we have been at the forefront of these efforts. Over the next three years we will build on this, addressing both supply and demand issues for companies seeking risk finance, in addition to supporting the Scottish Government s commitment to establishing a Business Development Bank. Our approach to investment in growth companies over the coming three years. www.scottish-enterprise.com/sib How we will seek to boost investment in renewables through the Renewable Energy Investment Fund. www.scottish-enterprise.com/reif Building business infrastructure To compete internationally, Scotland requires a supportive business environment that helps companies to innovate, grow and reach international markets. This means continuing to develop a worldclass business infrastructure alongside strong global connections both physical and digital - that help us capitalise on some of the key opportunities we already have in global markets, particularly in critical sectors for Scotland.
10 Scottish Enterprise 2015 2018 Business Plan As a partner in the Low Carbon Infrastructure Transitional Programme, a new strategic intervention under European Structural Funding programme, we will collaborate with partners to accelerate the development and delivery of low carbon projects across Scotland that attract new investment into the sector. Attracting international investment While Scotland performs well here, attracting even more investment capital into Scotland remains an important objective - be that attracting international companies to Scotland or new investment in Scotland s business infrastructure and growth companies. We will help high-growth companies in Scotland seek out new sources of capital in international markets, and we will target major investment in leading sector opportunities in areas such as renewable energy. Developing Scotland s international connections An important part of our investment activity is improving how well our business structure supports the internationalisation of our economy. This includes how well we are connected to key growth markets and investment opportunities through improved air links. Our digital connections to world markets are becoming increasingly vital to the achievement of our international ambitions. This includes our contribution to the Government s aspiration to make Scotland a world-class digital nation, helping companies use these improved linkages to access new opportunities in global markets.
Scottish Enterprise Building Scotland s International Competitiveness 11 Developing Scotland s economic assets Exploiting our major strategic assets, including the assets of our major city regions, is critical to the successful delivery of our plan. We will help contribute to the Scottish Cities Alliance to attract new investment and deliver increased business growth and jobs into our cities. This includes building on the successful investments we ve made in our infrastructure in tourism and other sectors - including the completion of the new waterfront development in the City of Dundee, with the opening of the new V&A Museum. And we ll work with partners in rural Scotland to make the most of assets and opportunities, particularly in sectors such as energy, food and drink, and tourism. Responding to the Government s commitment to extending civic and community engagement, we will continue to support Community Planning Partnerships around Scotland, helping develop effective approaches to the generation of sustainable growth in local economies. This will help to make a more vibrant and balanced economy across all of Scotland.
12 Scottish Enterprise 2015 2018 Business Plan INCLUSIVE GROWTH Scotland s international competitiveness is underpinned the development of our people and talent. This is not just about how we develop and acquire the skills we need to compete, it is also about how we deploy our talent to stimulate higher levels of innovation, growth and productivity. Effective leadership and management, innovative workplace practices and curious, global mindsets are key influencers of performance. As a core driver of competitiveness and growth, people are a fundamental aspect of our delivery plan, underpinning our work with companies, in sectors and international markets. Over the coming three years, we will broaden the range of work in this area, as outlined in our 2015-2018 business plan, to reflect the increased importance of people issues in driving Scotland s competitiveness and economic success. Our collaborative approach An important part of the Scottish Government s Programme for Government is a commitment to stimulate progressive workforce practices within companies in Scotland via the Scottish Business Pledge and the Fair Work Convention. Whilst encouraging companies to develop a more international outlook and a commitment to innovation, the Pledge will support firms to employ young people, raise wage levels, invest in tomorrow s talent and engage employees to boost workplace innovation and productivity. This will be an important contribution to the linkage made in Scotland s Economic Strategy between Improving Competitiveness and Tackling Inequality, with an emphasis on Inclusive Growth. Collaboration remains at the heart of our approach; we know that working in partnership with industry, business and public sector partners, across Scotland and overseas strengthens our impact and will be the driving force behind our work to create a sustainable and growing economy. But we recognise that growth must be inclusive. Increasing competitiveness and tackling inequality are interdependent; we know that if we are to create a truly sustainable economy it is essential that we also work to tackle inequality. We recognise we have an important role to play in promoting Scotland s Business Pledge through our engagement with our employees, the companies we work with and in our work in international markets encouraging companies to adopt the living wage, get involved in their local communities, and invest in youth training and employment is pivotal to success. Leadership as a strong driver of growth Effective leadership underpins success and growth in companies. It has a recognisable set of skills and capabilities that can positively transform performance, stimulate innovation and realise ambition.
Scottish Enterprise Building Scotland s International Competitiveness 13 We will increase the scale of our effort on Leadership Development in the coming three years to help equip companies and sectors to manage change, realise opportunities, increase productivity across their workforce and deliver growth as a result. This includes recognising the role of social enterprise as an important part of our economy and a mechanism for stimulating innovation and entrepreneurship, employment and community engagement. The important role played by Regional Selective Assistance in generating jobs and promoting regional equality. www.scottish-enterprise.com/rsa Addressing the jobs challenge While employment in Scotland has been relatively stable over the last six years, concerns have grown over the quality of jobs being created, and how they are shared across different geographical areas and social groups. As highlighted in the new Programme for Government, inequality is recognised as an economic issue that affects competitiveness and efficiency, as well as a matter of fairness and balance. We will introduce an ambitious programme of activity to tackle inequality as a significant issue in relation to sustainable economic growth. Another important part of this is our contribution to the Government s Invest in Youth initative, part of a concerted effort to supporting firms to employ young people and invest in tomorrow s talent. We also recognise the key role we have, both as an employer and in our engagement with business, in developing actions to address the challenges women face in the labour market. This is part of our promotion of good business practice and will be linked to the wider promotion of innovation, entrepreneurship and leadership development. Addressing issues in our sectors We understand there are many challenges relating to people, skills and talent and how they play out differently across different sectors. In Tourism, Food and Construction, increasing productivity and improving jobs remains a significant challenge and one which we seek to continue to understand and address. In other sectors, such as Renewable Energy and Life Sciences, the key challenges are well understood and we will aim to help improve the flow of talented people that lead dynamic companies and industries and drive competitiveness. We will work closely with Skills Development Scotland and other partners to address specific issues related to people, talent and workforce development across all of our sectors.
14 Scottish Enterprise 2015 2018 Business Plan 4. TRACKING OUR PROGRESS To measure how our support meets our objectives by benefiting companies, sectors and the Scottish economy, we apply a comprehensive framework. Performance measures help us monitor the contribution we make, as reflected in our economic impact and focused on the longerterm goals of Scotland s Economic Strategy. Each of these milestones illustrate the key changes in emphasis in our business plan, highlighting our future direction over the 2015-18 period. Our targets reflect our ambitions to: Transform Scotland s innovation performance Increase investment in Scotland s growth companies and business infrastructure Increase the impact of Scotland s presence and visibility in overseas markets Develop the skills of our people and talent
Scottish Enterprise Building Scotland s International Competitiveness 15 How we measure our Progress Ambition Increasing the international competitiveness of Scotland s sectors/companies through: Internationalisation integrated support for ambitious companies specialist support for exporters opportunities in Scotland s sectors building Scotland s international reputation attracting international investment Activities Innovation support for innovators improving Scotland s innovation system innovative sectors developing Scotland s low carbon opportunity Investment investment for company growth building Scotland s business infrastructure attracting international investment developing Scotland s economic assets Inclusive Growth a productive workforce leadership as a strong driver for growth addressing the jobs challenge addressing people issues within our sectors Outputs & Outcomes becoming innovative-active increasing R&D spend improving productivity increasing turnover from innovation achieving CO2 savings becoming new or active exporters projecting significant export growth leveraging increased private investment achieving a successful outcome as a result of financial readiness support achieving increased capital investment bringing jobs to Scotland through inward investment developing leadership growing high-impact international companies Impacts Contribution to Scotland s Economic Strategy International Turnover Growth Turnover Growth Investment Increases Jobs Growth CO 2 Reduction
16 Scottish Enterprise 2015 2018 Business Plan Milestones for 2015/16 are set out below. It is proposed that these are achieved in year one, with new Milestones developed in years 2 and 3: By the end of the first quarter... Start implementing key actions from the Energy Taskforce, to support the growth of Scotland s Oil & Gas sector Agree with our partners, our contribution to Local Outcome Improvement Plans, to be delivered through the Community Planning Partnerships, strengthening links between national and local economic development strategies Establish a revised approach to tackling Inequality linked to sustainable economic growth, including how we measure success Implement SE s enhanced approach to support companies develop invest in youth policies Support the new Scottish Business Pledge to foster progressive business practice in Scotland By the end of the second quarter... Launch an ambitious Manufacturing Action Plan, developed with industry, to help re-industrialise Scotland s economy Launch an action plan to attract more international capital to Scotland, increasing the number of international investors active in Scotland. By the end of the third quarter... Working with industry partners, develop and implement actions to address the issue of low productivity in key sectors, including Food & Drink, Tourism and Construction Help deliver new digital services to support exporting and innovation By the end of the fourth quarter... Working in partnership with Scottish Government and Highlands & Islands Enterprise, create a dedicated Scottish service working directly with small and medium enterprises and the financial markets to build and grow levels of high growth businesses Help establish the first Innovation and Investment Hub to secure international sources of funding and collaboration for Scottish companies Produce a plan for specific sectors and markets to increase the number of inward investors that are new to Scotland
Scottish Enterprise Building Scotland s International Competitiveness 17 Measures The measures below illustrate the scale of our ambition for Scotland that we will be seeking to achieve across our key themes over the three year period of our Plan. Measure 2015/16 Year 1 Annual Breakdown of Target Range 2016/17 Year 2 2017/18 Year 3 INNOVATION 2,400 3,000 supported businesses becoming Innovation Active 500m 650m of planned additional R&D investment through SE assisted projects 700m 850m of planned additional turnover from innovation by supported companies 300m 360m of planned efficiency improvements by supported companies 540,000 660,000 tonnes of planned CO 2 savings arising from SE company support and large scale, innovation led projects 800-1,000 800-1,000 800-1,000 150m- 200m 150m- 200m 200m- 250m 200m- 250m 200m- 250m 300m- 350m 90m- 110m 100m- 120m 110m- 130m 160,000-200,000 180,000-220,000 200,000-240,000 INTERNATIONALISATION 750 900 assisted companies becoming new or active exporters 700 950 companies projecting significant export growth 200-250 250-300 300-350 200-275 300-400 200-275 INVESTMENT 240m 300m of leveraged private investment from the provision of growth finance via the Scottish 75m- 95m 85m- 105m 80m- 100m Investment Bank 1200 1500 businesses with growth and export potential supported to improve financial readiness (225 300 supported specifically to secure growth 400-500* 400-500* 400-500* funding) 450m 600m of planned capital investment by supported companies 150m- 200m 150m- 200m 150m- 200m INCLUSIVE GROWTH 22,000 28,000 planned jobs through attraction of inward investment 7,000-9,000 7,250-9,250 7,750-9,750..of which 7,000 8,500 are HVA planned jobs 2,000-2,500 2,250-2,750 2,750-3,250 2,000 2,500 companies developing their leadership through SE support 600-650 675-850 725-1,000 550 750 entrepreneurs increasing their capacity to create internationally competitive early stage ventures 130-180 180-240 240-330 * 75-100 supported specifically to secure growth funding
18 Scottish Enterprise 2015 2018 Business Plan 5. BUDGET 2015-2018 During 2015-2018, we will invest almost 1 billion in the Scottish economy. This is a substantial amount and we are determined to achieve excellent value for money and impact through this expenditure. In recent years, we have been able to make significant efficiency savings. We have done this by streamlining our operations and management structures, reducing our accommodation costs by sharing office space with other organisations, rationalising our office accommodation requirements and reducing expenditure in areas such as IT. Given the substantial savings already achieved and the improvements we have made to our services, it is proving increasingly challenging to reduce costs whilst maintaining service provision and the impact of our activities. Our sources of income and planned investment for the 2015-2018 business planning period are shown on the following tables. Due to the nature of our operations, these budget allocations are necessarily indicative only. We will continue to manage our budgets in a flexible manner to allow us to react to opportunities and threats that may arise from developments in the global economy. The budgets for 2016/17 and 2017/18 will also be dependent on Spending Review outcomes.
Scottish Enterprise Building Scotland s International Competitiveness 19 PLANNED INCOME 2015/16 2016/17 2017/18 m m m Grant in Aid - Resource allocation (baseline) 174.5 174.5 174.5 Anticipated reduction to baseline budget (17.3) (17.3) (17.3) Anticipated in-year transfers from Scottish Government (net) 5.5 2.3 2.4 Total anticipated Grant in Aid - Resource Allocation 162.7 159.5 159.6 Grant in Aid - Capital allocation (baseline) 54.7 54.7 54.7 Anticipated in-year transfers - POWERS/SIFT 0.0 8.0 8.0 Anticipated in-year transfers - REIF 26.1 17.3 17.2 Total anticipated Grant in Aid - Capital Allocation 80.8 80.0 79.9 Total anticipated Grant in Aid 243.5 239.5 239.5 EU Funds 10.5 16.8 18.1 Property Disposals 23.0 13.6 10.5 Property Income 7.3 6.7 6.4 Scottish Co-investment Fund 7.6 7.9 8.3 Scottish Loan Fund 10.0 13.0 4.6 REIF Income 2.1 1.1 1.2 Other Business Income 17.2 22.3 30.7 TOTAL INCOME 321.2 320.9 319.3 Anticipated levels of Resource to Capital transfers have been incorporated in the baseline Grant in Aid allocations. The scope for further transfers will be considered as the delivery of the plan progresses. Planned investment costs include services we provide on behalf of partners and across the whole of Scotland, including: Scottish Development International, Scottish Manufacturing Advisory Service, Co-operative Development Scotland and the Scottish Investment Bank.
20 Scottish Enterprise 2015 2018 Business Plan PLANNED INVESTMENT 2015/16 2016/17 2017/18 m m m Internationalisation International Services & Support 11.5 12.0 12.5 Market Development 2.6 2.8 3.0 International Marketing & Research 3.5 3.5 3.5 Overseas Premises & Facilities Management costs 6.0 6.0 6.0 Staff costs 17.1 17.9 18.3 INTERNATIONALISATION TOTAL 40.7 42.2 43.3 Innovation Innovation Specialist Support 5.8 6.0 6.5 Business Efficiency (including SMAS) 5.6 6.0 6.4 R&D Support 14.0 15.4 16.5 Renewable Energy R&D Support - WATERS/POWERS/SIFT 4.2 9.2 8.7 Commercialisation Support 4.5 4.3 4.7 Staff costs 12.7 13.2 13.5 INNOVATION TOTAL 46.8 54.1 56.3 Investment Equity Investment & Loans 36.0 41.5 35.2 Renewable Energy Investment Fund 28.7 18.9 18.9 Capex Grant Support Programmes 16.8 16.8 16.3 Business Infrastructure 34.2 29.5 30.5 Digital Strategy Business Engagement Programme 3.4 3.0 0.2 Staff costs 6.9 7.2 7.4 INVESTMENT TOTAL 126.0 116.9 108.5 Inclusive Growth Job Creation/Safeguarding Grant Support Schemes 19.1 19.0 18.1 Entrepreneurship, Leadership & Organisational Development 9.3 10.1 10.3 Staff costs 3.8 4.1 4.2 INCLUSIVE GROWTH TOTAL 32.2 33.2 32.6 Cross Cutting Activity Industry Sector Project Support 12.0 13.0 15.0 Strategic Development 2.7 2.9 3.1 Marketing, Research and Digital Services 3.8 3.8 3.8 Staff costs 10.9 11.4 11.7 CROSS CUTTING ACTIVITY TOTAL 29.4 31.1 33.6 Running the Business Domestic Premises & Facilities Management costs 13.1 13.3 14.8 Corporate Services, including ICT, Legal, Travel etc 19.1 15.7 15.4 Staff Costs 13.9 14.4 14.8 RUNNING THE BUSINESS TOTAL 46.1 43.4 45.0 TOTAL CASH INVESTMENT 321.2 320.9 319.3 All figures in these tables exclude Ring-Fenced DEL and Annually Managed Expenditure non-cash allocations.
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