14.1.1 Reducing the level of social exclusion is a major challenge for all of the organisations involved in social and economic development in Scotland. A prosperous Scotland requires that all citizens have access to training and employment opportunities, and that barriers to access are removed.

14.1.2 While a number of excluded groups will tend to concentrate spatially the Scottish Executive consultation paper ‘Social Inclusion in Scotland’ recognises that ‘a co-ordinated approach needs to be adopted in tackling exclusion wherever it occurs. Most socially excluded individuals do not live in obvious concentrations’. These groups will tend to have specific problems which need to be addressed in a focussed way. This is recognised in the approach of the new Social Inclusion Partnerships that include thematic as well as area-focussed bids.

14.1.3 There are a number of indicators which indicate the scale and problems of some of these groups:

14.1.3 Ethnic Minorities: Ethnic minorities make up 1.3% of Scotland’s total population, compared to 5.5% for Britain. The proportion of full-time employment amongst ethnic minority groups (47%) is considerably lower than the Scottish average (64%). The unemployment rate for ethnic minority groups was 4% higher than the Scottish figure of 10% in 1991 and female ethnic minority unemployment (14%) was double the Scottish average (7%). Research conducted by the Scottish Anti-Poverty Network (1995) showed that ethnic minorities in Scotland are more likely to be in low paid work.

14.1.4 People with disabilities: In 1996 there were 312,850 people in Scotland claiming Invalidity Benefit or Severe Disablement Allowance and Glasgow has more IB / SDA claimants than any other local authority area in the UK. The economic activity rate for people with disability of working age is less than half that of those without disability (40% and 83% respectively). Unemployment rates are also up to three times higher amongst those with disabilities than those without.

14.1.5 Homelessness: Over the last ten years homeless applications to local authorities have increased by 74%, with homeless applications reaching their highest peak ever in 1998. Homeless people are often suffering not only a lack of accommodation, but unemployment, social isolation, health problems associated with drug and alcohol abuse and mental illness.

14.1.6 Drug Users: The number of reported drug users has increased steadily between 1993 (3,832) to record level of 8,573 in 1998, an increase of 224% over this period. Given the illicit nature of drug-taking and that statistics rely upon self reporting to official sources i.e. GP’s, police etc, then the likely number of drug users in Scotland is probably considerably higher. 85% of recorded users in 1998 were unemployed.

14.1.7 The educationally disadvantaged: Scotland is well placed, at least in comparison with the UK, in terms of the levels of qualifications amongst its population. Nevertheless, 19.7% of the Scottish workforce has no qualification. Social background and gender are important determinants of educational achievement. Girls consistently outperform boys and young people from unskilled manual backgrounds are seven to eight times less likely to enter higher education than those from professional households.

14.1.8 Other groups which will be addressed under this measure are the long term unemployed, older unemployed people, young people leaving care and ex-offenders.

14.1.9 Common barriers for these groups include negative perceptions of employers and the wider community as well as individual skills deficits. In addition, the pace of change in the workplace (i.e. the rate of technological change, the requirement for the workforce to demonstrate continuing adaptability and flexibility, and the decreasing capacity of employers to offer stable positions) may further exacerbate the exclusion of these groups from the labour market.

14.1.10 Intensive support to particular disadvantaged groups is a theme which has been picked up by other policy initiatives including the New Deal for disabled people and lone parents and the New Futures Fund which aims to help disadvantaged young people overcome the barriers of learning difficulties; lack of basic and social skills and disaffection from society.

14.1.11 In addition to a clear focus on the problems of specific groups thematic SIPs share the common principles of:

• sustainability, with a focus on long term prevention of social exclusion through early intervention strategies.

14.3.1 The Measure has four key objectives:

• To engage excluded individuals: changing perceptions of training; raising aspirations and stimulating demand among client groups;

• To equip individuals from disadvantaged groups with the personal and work-related skills and competencies that will enable them to access the labour market;

• To address the barriers that exist in the workplace by raising employer awareness and offering appropriate support to employers to undertake good practice;

• To complement Scotland’s social inclusion strategy and other relevant policy initiatives through provision of individually focussed and integrated support that acknowledges the interactions between employment, income, housing, environment, health and family factors.

• Organisational capacity building, the development of networks and exchange of good practice;
• Guidance and counselling (including individual development planning and benefits advice);
• Pre-vocational training;
• Vocational training (including core skills and IT);
• Work related activities (including work placements, work experience, job rotation and volunteering);
• Job search activities;
• Aftercare (including mentoring);
• Wage subsidy;
• Awareness raising and good practice training for employers and intermediary organisations directly involved with projects or who interact with the beneficiary groups.

14.4.2 There is scope to include innovative / pilot actions under this Measure.

14.5.1 The beneficiaries of this Measure will be particular excluded groups. Individuals excluded in the following ways may be living anywhere within the Programme area. The Priority rationale discusses the gender dynamic that is inherent in many aspects of social exclusion. Excluded women are likely to have different experiences of exclusion and may require different types of support. Projects should address these issues. Eligible beneficiaries will be those who are jobless and a member of one or more of the following groups:

• Ethnic minorities;

• Disabled people;
• The homeless;
• Former drug users;
• People with literacy / numeracy difficulties;
• Young people leaving care;
• Ex-offenders;
• Older unemployed people (50+);

14.5.2 The long term unemployed (2 years plus) is also an eligible group.

14.5.3 Support will also be made available to groups identified in SIPs thematic bids where a particular target group has been identified, even where the group has not been identified in the above list.

14.6.1 The working partnership will include the full range of partners as exists in the current Scottish partnership:

14.6.2 It is expected that Local Authorities; Further and higher education and the voluntary sector will play prominent roles.

14.7.2 Given the strong focus on meaningful partnerships in the Social Inclusion Strategy sponsors should be able to demonstrate integrated activities both within the project and between activities of partner organisations.

14.8.1 The subject of a separate indicator, targeting and monitoring review.

15.1.2 There is strong evidence indicating that most of these communities are located in urban Scotland. A recent Scottish Executive study found that 77% of multiply deprived households were located in predominantly urban areas. Roughly half of the most deprived districts were in Glasgow, with other significant concentrations in other parts of West Central Scotland, Edinburgh and Dundee.

15.1.3 In the past regeneration of these communities has been tackled through single focus programmes. More recently policy has shifted towards a more coordinated approach. The new Social Inclusion Partnerships assert that: ‘no major area of multiple deprivation should be left to struggle without the commitment of all agencies to work together with local communities to regenerate the community’. Key principles of SIPs are:

• sustainability, with a focus on long term prevention of social exclusion through early intervention strategies.

15.1.4 There are clear links with other UK policy developments, for example Employment Zones and Single Work Focussed Gateway which concentrate activities in particular economically disadvantaged areas.

15.1.5 There are also strong links with Objective 2 Programme activity in Locally Based Initiative (LBI) or Community Economic Development (CED) areas. The current Eastern Scotland SPD recognises the negative effects of social exclusion:

• acting as a brake on the economy, through negative images and diminishing spending power; and

• more significantly, as a waste of individual talent and potential resources.

15.1.6 The Western Scotland 1997-1999 SPD also identified socially excluded areas as a priority and stating that ‘these communities (CEDs) are characterised by high unemployment, large proportions of households dependent on state benefits, reliance on public sector housing, high proportions of single parent households and poor school examination results. These areas are effectively excluded from the mainstream economy’.

15.1.7 In the Western Scotland Programme area a total of 528,000 (to be confirmed) residents were covered by CED areas, and in Eastern Scotland 230,000 (to be confirmed) were covered by LBI areas.

15.1.8 Scottish Enterprises Labour Market and Skill Trends report highlights the positive message that, even where unemployment at the national level is changing slowly, declines (and increases) can be significant in particular localities and for particular groups. Local and targeted action can be effective despite the trend towards globalisation of economic activity.

15.2.1 To significantly reduce the level of exclusion in targeted urban areas by supporting access to training, employment and income earning opportunities.

15.3.1 The main objectives under this measure are:

• to develop effective links between excluded individuals and employment opportunities, addressing skills deficits and other barriers to employment.

• to deliver better quality and more relevant support and training, particularly in the fields of aftercare and 'navigational' skills for excluded individuals;

• to engage employers in designing and delivering activities, to ensure relevance and to help address negative perceptions of these excluded groups.

15.4.1 ESF is available for initiatives which assist with:

• Organisational capacity building, particularly in terms of identification of and engaging client groups;
• Guidance and counselling (including individual development planning and benefits advice);
• Pre-vocational training (confidence building etc.);
• Vocational training (including core skills and IT);
• Work related activities (including work placements, work experience, job rotation and volunteering);
• Job search activities;
• Aftercare (including mentoring);
• Wage subsidy;
• Awareness raising and good practice training for employers and intermediaries directly involved with projects.

15.4.2 There is scope to include innovative / pilot actions under this Measure.

15.5.1 This measure will be targeted geographically aligning with current:

• Urban and industrial areas designated for support under CED/LBI in the Scottish Objective 2 Programmes 2000-2006.

• Those geographically targeted SIPs aimed at whole communities (SIPs targeted geographically at particular disadvantaged groups will be supported under the thematic Measure).

15.5.2 Any jobless person resident within these areas will be eligible for support.

15.5.3 Whilst the measure is targeted geographically it is expected that projects will address particular client groups which tend to concentrate spatially in these urban areas for example:

• Older long-term unemployed;

15.6.1 The working partnership will include the full range of partners as exists in the current Scottish partnership:

• Scottish Enterprise Network;

• Local authorities;

• Further and higher education;

• Voluntary sector;

• National Training Organisations.

15.6.2 It is expected that Local Authorities; Further and higher education and the voluntary sector will play prominent roles.

15.6.3 In addition it should include employers and social and economic partners, including:

• The Employment Service;
• Scottish Homes;
• STUC;
• CBI Scotland;
• Business Support Groups;
• Scottish Business in the Community.

15.7.2 Given the strong focus on meaningful partnerships in the Social Inclusion Strategy sponsors should be able to demonstrate integrated activities both within the project and between activities of partner organisations.

15.7.3 3-year delivery plans will be expected under this measure, however, 2000 will be a transitional year where organisations may chose to undertake capacity building.

15.8.1 The subject of a separate indicator, targets and monitoring review.

16.1.1 Social exclusion of entire communities is not exclusively an urban phenomenon. A recent Scottish Executive study found that there were almost 46,000 multiply deprived households in rural areas, representing 8% of all rural households.

16.1.2 In common with socially excluded urban areas, these communities suffer mutually reinforcing problems where the problems of the community as a whole are compounding the exclusion suffered by the people who live there. However, rural exclusion has its own distinct characteristics. It tends to have a relatively low profile on the policy agenda and is to a certain extent an ‘invisible’ problem. Increasing deprivation of excluded groups is difficult to tackle due to the low critical mass of these groups i.e. there is a high unit cost involved in addressing a disperse and relatively small client group. Growth of rural economies is hampered by depopulation (particularly of young people) and the resultant ageing population, unstable and declining employment opportunities, poor infrastructure and a narrow base of economic activity which tends to be dependent on public services. In addition, unemployment rates are often artificially low as a consequence of out-migration (especially of younger people) to areas of greater employment opportunity. Such a process exacerbates the problem of an ageing population in rural areas.

16.1.3 The Scottish Executive document ‘Towards a Development Strategy for Rural Scotland: The Framework’ recognises that these characteristics mean a different approach to exclusion may have to be taken in rural as opposed to urban areas. However, the focus on partnership and co-ordination of mainstream services with more targeted projects is as prevalent as within the urban context. It proposes that rural development strategies should be the responsibility of partnerships working at local authority level. These partnerships should involve the local community through local partnerships and other methods of outreach. Rural Development Strategies will identify the main social exclusion issues for particular areas and identify ways of responding to those problems. ‘Delivery of social inclusion objectives will be integrated with the framework for rural development’.

16.1.4 There are a number of rural Social Inclusion Partnerships which also work to the key principles of: -

• sustainability, with a focus on long term prevention of social exclusion through early intervention strategies.

16.1.5 The challenge in addressing social inclusion (within both urban and rural communities), according to ‘Social Inclusion in Scotland’, is ‘to ensure that basic services, on which excluded people everywhere rely for their quality of life, are delivered in a co-ordinated way, and are accessible and responsive to the needs of the people for which they are provided’.

16.2.1 To significantly reduce the level of exclusion in targeted rural areas by supporting access to training, employment and income earning opportunities.

16.3.1 The objectives of the Measure are to:

• support capacity building in rural areas;

• increase access to appropriate training and assistance for targeted groups;

• improve access to employment for targeted groups;

• support flexible and innovative solutions to barriers faced by disadvantaged people in rural areas;

• engage employers in designing and delivering activities;

• complement and support other policies, projects and initiatives.

16.4.1 ESF is available for initiatives which assist with:

• Organisational capacity building, particularly in terms of identification of and engaging client groups;
• Guidance and counselling (including individual development planning and benefits advice);
• Pre-vocational training (confidence building etc.);
• Vocational training (including core skills and IT and on-line learning);
• Work related activities (including work placements, work experience, job rotation and volunteering);
• Job search activities;
• Aftercare (including mentoring);
• Wage subsidy;
• Assistance with transport;
• Awareness raising and good practice training for employers directly involved with projects.

16.4.2 There is scope to include innovative / pilot actions under this Measure.

16.5.1 This measure will be targeted geographically aligning with current:

• a maximum of 50% (population coverage) of the rural areas designated for Objective 2 support for the period 2000-2006, (including, but only for their duration, transitional areas). The relevant Programme Management Executives will be invited to identify the targeted area(s). (To be expanded upon at a later date).

16.5.2 Any jobless person resident within these areas will be eligible for support.

16.5.3 Whilst the Measure is targeted geographically it is expected that projects will address a number of excluded client groups. Due to low critical mass projects may address a number of client groups within one project. Groups may include:

• Disabled people;

• The homeless;

• Former drug users;

• People with literacy / numeracy difficulties;

• Young people leaving care;

• Ex-offenders;

• Older unemployed people (50+);

16.5.4 This is not an exhaustive list and projects may take guidance from Rural Development Strategies, or their own local knowledge to identify other client groups.

16.6.1 The working partnership will include the full range of partners as exists in the current Scottish partnership:

• Scottish Enterprise Network;

• Local authorities;

• Further and higher education;

• Voluntary sector;

• National Training Organisations.

16.6.2 It is expected that Local Authorities; Further and higher education and the voluntary sector will play prominent roles.

16.6.3 In addition it should include employers and social and economic partners, including:

• The Employment Service;
• Scottish Homes;
• Scottish Natural Heritage;
• Local Rural Partnerships;
• STUC;
• CBI Scotland;
• Business Support Groups;
• Scottish Business in the Community.

16.7.1 Applications should include a clear demonstration of knowledge of the client group and identification of methods of engaging this group. Projects will be expected to comprise at least 80% of beneficiaries from the area targeted within this measure alone. This allows flexibility for up to 20% of beneficiaries to be taken from geographical areas outwith within this measure. However beneficiaries from outwith the targeted area must be jobless and also a member of a socially excluded group identified above. Where the project involves a mix of beneficiaries from a range of target groups, project sponsors will have to demonstrate knowledge and / or experience of each of these client groups. The intention is to reinforce existing partnerships.

16.7.2 Given the strong focus on meaningful partnerships in the Social Inclusion Strategy and Towards a Development Strategy for Rural Scotland sponsors should be able to demonstrate integrated activities both within the project and between activities of partner organisations. In particular partnership with the private sector should be sought.

16.7.3 The rural exclusion measure outlined here is compatible with the rural development regulations (Article 33) in that the priorities and measures supported here are designed to support coherent rural development. The Plan will also have to take account of the Scottish / UK Rural Development Plan (To be Updated).

16.7.4 Longer-term delivery plans will be expected under this measure, however, 2000 will be a transitional year where organisations may chose to undertake capacity building.

16.8.1 The subject of a separate indicators, targeting and monitoring review.

17.1.1 Many of the organisations involved in community economic development in Scotland, and in delivering training and support to excluded groups, are community or voluntary based. These organisations often depend to a large extent on part time and volunteer staff, even where full time staff have been employed to co-ordinate and support activities. Even where full time or paid staff have been employed, there if often insufficient resources to develop the managerial and organisational capacity within the organisation.

17.1.2 The lack of capacity acts as a serious constraint to the effectiveness of voluntary and community organisations to provide support to target groups. This is particularly the case in relation to engaging with ESF where a number of skills are required to make full use of the opportunities provided by the funds. This includes project development skills in terms of designing appropriate schemes for target groups, technical knowledge of the Regulations, drafting and presentational skills in terms of making applications, financial management skills in terms of looking after significant sums of money and monitoring and evaluation skills to assess the effectiveness of provision.

17.1.3 This measure seeks to address what has been already identified as the needs of voluntary organisations, regarding internal organisation capacity, the capacity to reach targets groups, the ability to deliver effective support to target groups, and the capacity to network and participate in partnerships.

17.1.4 This measure will build upon Priority 4 Enhancing Capacity for Community Development of the current Scottish Regional Development Plan. Although the introduction of the Priority was delayed in the 1997-1999 period, an analysis of the numbers and types of community/voluntary groups accessing Objective 3 ESF suggests that capacity building has already had an effect. In 1997 voluntary organisations with a turnover of less than £200,00 accounted for only 25% of successful voluntary sector applicants. By 1999 this figure had increased to 37%, suggesting that the smaller organisations were beginning to access Objective 3 funds in greater numbers.

17.1.5 Evidence at GB level re-enforces this conclusion. It was estimated that in 1998 just over one third of organisations involved in Priority 4 were new to ESF. The overview of Priority 4 also indicated that there was a genuine cascading effect from umbrella organisations to grass roots level.

17.1.6 There are over 45,000 voluntary sector organisations in Scotland and a considerable number of community groups. As highlighted earlier, over 80% of organisations are local. The voluntary sector provides 100,000 full time paid jobs, and also involves 700,000 volunteers. A significant number of these organisations are involved in the delivery of support to the target groups identified in the urban, rural and thematic groups within this Priority.

17.1.7 Although capacity building is also dealt with within the Lifelong Learning Priority, the importance of voluntary and community groups to the delivery of services to the target groups within the ‘Addressing Social Exclusion’ Priority requires a separate measure to ensure that sufficient capacity building takes place. This will contribute both to life long learning and to sustainable development, i.e. the ability of community organisations to provide, in the long term, appropriate services to the client groups. This applies both to the spatially targeted measures and to the thematic groups, where local, regional and national organisations are likely to be involved. The measure will make a direct contribution to the horizontal theme of developing local delivery and capacity.

17.2.1 To increase the organisational capacity of intermediary bodies delivering support to target groups to deliver more effective and efficient support within the programme area.

17.3.1 The objectives of this measure are to:

• increase the number of organisations seeking and receiving ESF support under Priority 4 Addressing Social Exclusion;
• improve the quality of the applications for support under Priority 4 Addressing Social Exclusion;
• increase the quality of support provided through community and voluntary organisations under Priority 4 Addressing Social Exclusion.

• Organisation and management audits

• The design, development and implementation of new systems, including quality standards and assurance systems

• Facilitation and researching of networks and partnerships of intermediary organisations, including study trips and exchanges

• Training in project development, management, financial and monitoring skills

• Training in technical and other skills needed to design, develop, manage and implement support for the target groups

• Research and dissemination of best practice.

17.5.1 Organisations and intermediaries who are, or intend to, provide ESF support to targets groups within the Addressing Social Exclusion Priority.

17.6.1 The working partnership’s lead applicants will include:

• Voluntary sector

• Further education

• Local development organisations

17.7.1 Projects that involve umbrella organisation and/or partnerships will be particularly encouraged.

17.8.1 The subject of a separate indicator, targeting and monitoring review.

18.1.2 The Scottish Enterprise Network Strategy, published in January 1999, has placed a major emphasis on developing positive attitudes to training, and developing appropriate infrastructure. The importance of this goal is emphasised in the statement, highlighting the importance of people to a competitive economy - ‘Economic development is mainly about people. Lasting economic success will only come about if we have people in Scotland willing and able to create value out of their own abilities’. ‘Know How’ provides the skills contribution to the Scottish Enterprise Network Strategy (1999). It underlines one of the four goals of the Network Strategy to ‘stimulate positive attitudes to learning and enterprise’. A wide-ranging consultative process, it identified approaches to learning over the next four years to 2003. Three key issues are identified:

• Scotland needs more individuals who are willing to develop their abilities through learning;
• Scotland needs more organisations which understand the importance of developing their people; and
• Scotland needs access to learning provision which more closely matches future economic needs.

18.1.3 The first two issues identified reflect one of the findings of the ‘Opportunity Scotland’ report: ‘Evidence suggests that people in Scotland show a generally poor attitude to learning. We need to demonstrate the benefits of, improve attitudes to, and create a real demand for, good quality education and training services in Scotland’.

18.1.4 The importance of learning to individual employability is stressed in ‘Opportunity Scotland’ which stated that "The concept of life long learning reflects the fact that, in the midst of change, we need to up-date continually the skills of the workforce and better equip people to manage their own future . . . .Life long learning is particularly concerned with improving access to learning opportunities and encouraging people to take greater responsibility for their own learning." The emphasis is on persuading people to take responsibility for their own learning needs, and then provide appropriate support structures and actual provision that allows them take up learning opportunities.

18.2.2 Scotland has a consistently poorer rate of in-house training than the rest of Britain and the provision of job related training diminishes with age, from 20% of 16-24 years olds receiving training to only 9% of 40-64 year olds. Employers may not wish to fund training for older members of staff due to the limited return likely to be realised upon such an investment in terms of the likely length of future employment for an older employee. Equally, older employees may be more resistant to undertaking job-related training. The neglect of training for older employees may also reflect broader structural influences or cultural norms within society at large with regard to training. Given that the average age of the Scottish workforce will continue to increase in the period up to 2006, the neglect of training provision for older workers may become of increasing importance in the next programme period. As with employer provision of training, the uptake of government training initiatives in Scotland is consistently below the UK average.

18.2.3 The above information points clearly to the need for more widespread commitment to lifelong learning both from individuals and employers. The need to develop more active participation in learning requires both action on the demand and supply side, while at all times placing the needs of the learner at the centre of development. Increased demand requires an increased awareness by individuals of the need to take responsibility for their own training. This requires advocacy (to get the message across) and information and support to allow the individual to identify the appropriate training.

18.2.4 Increasing individual commitment to training will result from positive learning experiences i.e. if all of the training delivered under the other Objective 3 Priorities are regarded as relevant and valuable by beneficiaries, there is a greater likelihood that individuals will embrace a positive commitment to life long learning. The other Priorities are in effect an opportunity to promote life long learning in a real and meaningful way to substantial numbers of people –employed, self-employed and jobless.

18.2.5 The ability of organisations to deliver effective training, and thus contribute to securing support for life long learning requires more effective training organisations. This requires support to increase the capacity of the industry to deliver client centred training. This will inevitably require both new and up-dated skills in relation to inter alia, management, market research, finance, and monitoring.

18.2.6 On the delivery side, it is important that as increasing numbers of people take up learning again there is appropriate provision, not only in terms of content, but as importantly in delivery, with learning made both accessible and enjoyable. Scotland has a well developed training and education "industry", but additional work is required to take advantage of the development of on line delivery - a key delivery mechanism for life long learning. As well as providing services to the people of Scotland, the development of on line learning also offers an export opportunity for Scotland. There is a need, therefore, to develop the technical competence of organisations to develop on line learning services.

18.2.7 A number of initiatives have been launched in support of the lifelong learning agenda. The Scottish University for Industry will use new technology to make access to learning easier as will the National Grid for Learning connecting all schools colleges, higher education institutions, libraries and many community centres. Individual Learning Accounts will be a key element in promoting an individual’s responsibility for their own learning. ILAs will allow individuals to invest in their own learning and will contribute to easier access (e.g. contributing to the cost of childcare). The New Opportunities Fund will be starting a grant programme at the end of 1999 dealing with ‘Community Access to Lifelong Learning’. This initiative aims to improve access to lifelong learning for communities via the creation of IT learning centres and links with SufI, the National Grid for Learning and local libraries. The Government are currently consulting on new Lifelong Learning targets to replace the ASCETT targets. They will reflect the following priorities:

• raising standards across education and training;
• making lifelong learning a reality;
• encouraging employers to invest in the development of their employees; and
• equality of opportunity.

18.2.8 This lifelong learning Priority within the new Objective 3 Plan will complement existing initiatives by strengthening intermediary organisations (the key promoters of training), while at the same time taking steps to ensure that the learning "industry" has the skills to provide appropriate material to take advantage of the unique opportunity offered by new developments in information and communications technology.

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