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The idea is still in the early stages but city leaders have already held discussions with major city employers including Asda, Tesco and Harvey Nichols about how to develop the idea.

It is hoped that the city will be able to use its status as a shopping destination to create employment and training opportunities for young people and the unemployed to take advantage of retail developments in the city such as Trinity Leeds and the Eastgate development. In July, the rate of claimants of jobs seekers allowance in Leeds was 4.2 per cent – above the national average claimant rate of 3.7 per cent.

In an effort to get this figure down, Leeds City Council is working with partners in the private sector on a range of projects to create opportunities, particularly for the young.

Coun Keith Wakefield, the leader of the council said yesterday: “The retail sector continues to play an important role in the local economy. We of course have significant new retail developments such as Trinity and Eastgate in the city centre and others at out of town sites which will create significant numbers of jobs.

“It is vital that we equip local people with the skills to make the most of the opportunities these developments will bring. This is particularly important for our young people, for whom opportunities are so hard to come by at present.

“We want to build a stronger local partnership with businesses and the city’s learning institutions to provide these young people with a brighter future.”

Despite the financial challenges, the council says it is committed to providing people with the skills they need to find employment, and is looking to add to its current offering of apprenticeships, jobs and skills training.

“The discussions come at a time of major change in the city’s retail economy. Work has already started on the Trinity Leeds shopping centre and the green light has been given for the Eastgate shopping development, near Kirkgate Market.

The academy will be business-led and help develop existing ideas and courses in a bid to offer the skills and training that business leaders are looking for.

Coun Peter Gruen, the authority’s executive board member with responsibility for jobs and skills said: “Helping local people back into work is a key priority for the council, and with a number of new and exciting developments around the city, now is a great time for people to make the most of learning and training opportunities to learn new skills and kick start their career.

“Apprenticeships are becoming more popular as a route in to work and for employers to up-skill their workforce.

“By working in partnership with the private sector, these projects present an opportunity to increase the number of apprenticeships and ensure the city’s workforce meets the needs of businesses,” Coun Gruen added.

Discussions have already been held with major city employers including Asda, Tesco and Harvey Nichols about how to develop the retail academy, which would play a key role in supporting new recruits to the sector at both entry and graduate level as well as supporting the continued development employees into supervisory and management roles.

As part of its partnership initiative, the authority is looking to explore the idea of establishing an Apprenticeship Training Association with the city’s further education colleges.

The council currently undertakes a number of initiatives to help people get back into work and learn new skills, including the council’s own apprenticeship programme, and working with local learning providers to deliver programmes.