Into Recession

Author: Kieran Larkin & Malcolm Cooper
Date: 09/01/2009

Following a decade and a half of constant expansion, the UK is now facing a deep and potentially prolonged recession. The UK's cities, which were the drivers of economic growth, now face a period of economic contraction and rising unemployment. This report analyses the impact the recession will have on three UK city sectors - financial and related business services in Leeds, Brighton's retail and leisure industry and Bristol's manufacturing sector - and examines the potential for job losses and the prospects for recovery.

There are a number of general lessons that all cities need to be aware of. In a deep recession, city leaders can help to:

• ensure that current viable businesses are supported and/or retained;

• deal with the differing issues faced by those who become unemployed, ensuring they have the skills they need to re-enter the workforce quickly, while maintaining a focus on longer-term worklessness;

• evaluate what actions can be put in place to support the economy on a longer term basis;

• and, examine strategic opportunities that arise - for example, for business consolidation and diversification.