[OFFICIAL]
3.21 Similarly, the additional workers on the Woodsmith Project will spend some of their increase in income and thereby increase employment in local shops and services. In some cases workers will move directly from unemployment to working on the Project. In other cases they will move from existing jobs, thereby creating vacancies that other residents can fill. The overall result is that more people will be in employment and there will be an overall increase in wages and in spending. The scale of the Woodsmith Project means that these impacts are far reaching and significant. This spending will then support more employment and economic activity at other local businesses. These are induced impacts. 3.22 Set against multiplier effects are deadweight and displacement which can reduce net benefits, although during the construction phase both of these are zero. Without the Project, there would be no construction employment taking place on the site so all the construction employment is additional to what would otherwise take place on-site in the absence of the proposed scheme. Similarly, the construction of this Project is unique and location specific, and is therefore not displacing the construction of a mine elsewhere - so again all the construction employment is additional to what would otherwise take place elsewhere in the economy.
3.23 Leakage has not been directly assessed as Anglo American is not undertaking a Green Book Appraisal. Leakage is implicitly assessed when estimating local impacts.
3.24 Indirect employment has been estimated using a breakdown of construction spending profiles provided by Anglo American and its contractors - and drawing on the ONS Input- Output tables. These show the ratios of GVA to expenditure in specific sectors which Quod has profiled according to the spending profile. 3.25 Quod has applied typical turnover per worker figures (e.g. approximately £262,000 for manufacturing and just over £170,000 for construction; and £150,000 transport services) to estimate how many jobs this additional supply chain spending would support, i.e. £262,000 of purchases from the manufacturing sector will support one job in that sector. Therefore, over the course of the construction, jobs will be supported in the wider supply chain, an impact which is most accurately represented in “person years of employment” – or number of one- year jobs. 10 person years of employment equates to a full time equivalent permanent job. Indirect and induced jobs can therefore can be measured in terms of person years of employment i.e. the number of one-year jobs for ease of comparison and benchmarking. 3.26 Induced employment has been estimated using forecasts of wages to calculate how much additional consumer spending might be supported after accounting for tax, national insurance, pensions and savings and loss of benefits. This has then been divided by an average retail and leisure spend per worker to calculate the induced employment. This has also been equated to a 10 year full time equivalent.
Quod | Woodsmith Project | Economic Impact Report | March 2026
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