The Creative Economy

11.19 Creative industries, as an industrial grouping within the cultural sector, is a priority sector for SW RDA and many local and unitary authorities because of its strong economic performance, high levels of GVA and link to tourism. The South West is one of only two English regions to be selected to pilot the new Creative Economy Programme launched by DCMS in February 2008.

11.20 Creative industries are defined by DCMS as the audio-visual industries plus books and press, performance and visual arts domains which embrace those industries that are based on individual creativity, skill and talent. They are also those that have the potential to create wealth and jobs through developing intellectual property. They are largely commercial businesses as distinct from the many publicly-subsidised entities such as libraries and museums in the wider cultural sector.

11.21 While research of the creative industries is subject to much debate and statistics vary according to which definition and statistical analysis are applied, the Regional Accounts show the creative industries sector counts of:

  • revenues of £5,54 billion (2001)
  • GVA £1.847 billion (2001), contributing 8% to the national economy and almost 4%) of total regional Gross Value Added (GVA) on 2002 figures
  • employment of 144,000 with growth of 8.2% between 2000 and 2004, a workforce made up of 89,000 jobs in the sector plus an additional 55,000 in other related creative occupations.
  • significance of the digital content media sub-sector because of its high value output and export potential and contribution to the region’s ambition for a knowledge-based economy and emphasis on creativity and innovation
  • data suggests some growth of business size - although micro-enterprises (fewer than 10 employees) accounted for only 32.5% of employment in 2001, small enterprises (10-49 employees) increased their share of employment over the period 1998-2001 from 24.2% to 26.6%; 26% of businesses in this sector have been established in the period 1999 to 2004 with sub-regional variations i.e. 31% of enterprises in Devon & Cornwall have been established over the last five years compared with 23% in West of England.