Substantial regional differences in economic performance exist across the UK. Whilst cities and large towns in the Greater South East of England are among the most productive and prosperous, many urban areas in the North and Midlands are struggling. At the extreme end of the scale, our research shows that London’s output is 2.5 times that of the North East of England.
The aim of levelling up should be to reduce the inequalities between different parts of the UK by supporting places outside of London and the South East to be more successful economically. It should also aim to reduce the inequalities that exist between people within more successful places by making sure more people can take up the opportunities available to them.
The Government was elected on a pledge to address regional inequality and to level up the country. This task has been made even more challenging due to Covid-19. In fact, Centre for Cities research reveals the pandemic has made levelling up four times harder, with places like Birmingham, Hull and Blackpool among the most severely affected. What’s more, it has additionally created a new risk of ‘levelling down’ otherwise economically successful parts of the country.
Because the vast majority of UK economic activity takes place in the largest 63 cities and towns, they are crucial to the levelling up agenda.
This report outlines how Mayors provide the Government with the opportunity to develop a new effective set of regional economic development policies to level up across the country and contribute to increasing the UK’s rate of economic growth.
This briefing presents two new indexes to summarise and compare the performance of the UK's largest cities and towns. The findings have implications for policy, particularly the Government’s ‘levelling up’ agenda.
Promises to move civil servants out of London are not good enough – if the Government is serious about levelling up it must trust local leaders to make decisions for their communities.
In May 2021, nearly 20 million people in England will be choosing city-region mayors. What are metro mayors and what do they do?
“Levelling up the North and Midlands and stopping the South’s levelling down will not be cheap and will require more than short-term handouts. Government support and investment for new businesses in emerging industries will be essential, as will spending on further education to train people to do the good-quality jobs created.”
Andrew Carter, Centre for Cities Chief Executive
Policy support will be required for levelling up to become a reality.
Investing in skills: The Government should boost investment in further education and invest in the skills of the people currently living in economically weaker areas, so that these places become more attractive to high-productivity businesses.
Creating jobs: In order for people to fully utilise their skills in their local area, adequate jobs need to be available. The Government should press ahead on supporting the creation of jobs in the green economy and in sectors of high demand such as social care and education.
Improving city centres: Struggling cities and large towns need more high-skilled, well-paid jobs and high-productivity businesses. A £5 billion City Centre Productivity Fund should be dedicated to making city centres more attractive places for high-skilled companies to do business.
Investing in transport: Improving the transport infrastructure of underperforming places would help to create job opportunities in the short-term and tackle congestion and pollution challenges and stimulate economic growth in the longer-term.
Investing in innovation: Innovation plays a central role in the creation of strong economies. The Government has signalled that it is to increase spending on R&D outside of the Greater South East – in 2021 it should set out exactly how it is going to do this, and what results it expects to achieve.
Pressing ahead with devolution: A one-size-fits-all approach to levelling up the country will not prove successful. The Government should press ahead with devolution, handing power and resources directly down to Mayoral Combined Authorities, so they can effectively promote local economic growth.
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In May 2021, nearly 20 million people in England will be choosing city-region mayors. What are metro mayors and what do they do?
Promises to move civil servants out of London are not good enough – if the Government is serious about levelling up it must trust local leaders to make decisions for their communities.
As the UK’s Covid-19 vaccination programme progresses policy makers should be planning how to repair the economic damage done by the pandemic and build back better. Centre for Cities’...
As the COVID-19 pandemic sends shockwaves through the labour market, Centre for Cities tracks the latest unemployment claim statistics across the UK's cities and largest towns.
As the lockdown in response to the Coronavirus pandemic varies across the country, Centre for Cities tracks the recovery of high streets in Britain's cities and large towns.
The Fast Growth Cities drive the country's economic success, but the Government should not take their post-Covid recovery for granted.
Short-term support to help businesses bounce back from Covid-19 should be combined with the delivery of new housing and transport improvements.
The Chancellor's short-term measures are welcome, but his plan to build back better is over-centralised.
The Chancellor extended much needed short term support for the economy, but his longer term plans offer little hope of levelling up.
Last week, Centre for Cities hosted an event to discuss the next steps for improving the quality of bus services and their contribution to the economy, supported by Abellio.
