Blaenau Gwent: New firms created using US jobs model

About 1,200 small businesses have been supported in Blaenau Gwent since 2011, as the local authority tries to tackle high levels of unemployment.

They have been set up or helped after it became the first Welsh council to adopt the American Sirolli, external model.

This sees mentoring given to people to turn passion into businesses in the absence of major outside investors.

While the area has the highest unemployment levels in Wales, they fell from 14.1% in 2012 to 8.1% in 2016.

Prof Max Munday from the Welsh Economy Research Unit, said the scheme was “useful” in helping people make their own opportunities.

But he said challenges in creating mass employment in the area “should not be underestimated”.

Blaenau Gwent – which has a population of 70,000 – has lost many big employers, including the Ebbw Vale steelworks, which once gave work to 34,000 people.

Ironworks at Tredegar and collieries in places such as Six Bells, Abertillery, are also long gone while plans to create 6,000 jobs with the Circuit of Wales at Ebbw Vale have disappeared.

Without replacements for these, the BG Effect has supported 1,187 business ideas or people who need help with existing operations.

It mentors entrepreneurs, offers advice on getting start-up grants and gives help with finding premises, web design and marketing products.