Latest Public Sector News

27.01.14

Cities need more devolved powers to generate jobs

London has been creating the most new jobs while other cities get left behind, the Centre for Cities annual Cities Outlook report suggests.

The figures, drawn from the ONS’s Business Register and Employment Survey, show that London accounted for 79% of jobs growth between 2010 and 2012. This includes 216,000 private sector and 66,000 public sector jobs.

The complaint that London ‘sucks up’ the majority of investment and talent may be backed up the research, with many young people choosing to move there after university for the availability of jobs and career progression.

But the report warned that London’s success is also of benefit to other cities and should not be viewed as a threat to their growth. Instead, more funding and powers should be devolved to all cities to allow them to generate more of their own income.

Alexandra Jones, chief executive of Centre for Cities, said: “Devolving more funding and powers to UK cities – London and others – so they can generate more of their own income and play to their different strengths will be critical to ensuring this is a sustainable, job-rich recovery.”

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