Latest Public Sector News

13.11.14

North of England contributes more to economy than devolved nations

The north of England contributes more to the economy than Scotland, Wales and Northern Ireland combined but is losing out on investment because government spending is skewed towards London and Scotland, a think tank has claimed.

In a report published today IPPR North renewed calls for increased infrastructure spending in the north and the devolution of powers to city and country regions so that the north can “fulfil its untapped potential”.

According to the report, which examined growth over 10 years, the north (comprising the North West, North East and Yorkshire & Humber regions) contributes 19% to the national economy while Scotland, Wales and Northern Ireland only contribute 13% combined.

While the north grew at a slower rate over the decade than the devolved nations, the report showed that government spending on economic affairs had been highly skewed towards London and Scotland. Manufacturing remains keys to the north’s economy, but new growth has come from the financial, professional services and property sectors.

The report also notes other success stories in the north of England over the last 10 years, including economic growth of more than 40% in Cumbria, Cheshire and Warrington, Greater Manchester and Sheffield. Since 2010, jobs in Sheffield have increased by 4.0% and in Greater Manchester by 3.4%, it says.

Ed Cox, Director of IPPR North, said evidence showed northern cities could bring “significant economic benefits” for the whole nation.

“The north’s potential is starting to be recognised,” he said. “In 10 years’ time, with the right leadership and with a revitalised local democracy, there is no reason why the north of England shouldn’t take its place alongside the most prosperous northern European regions. But if that is to happen more needs to be done to develop good policy ideas which can be taken up by the politicians.”

Last week the chancellor announced cities could be given greater freedoms and more powers under plans being set out by the government, with Greater Manchester the first to benefit.

Ministers hope the reforms, which include an elected "metro mayor" for the Greater Manchester region and a multi-billion pound package of devolved powers, will allow cities in the north to become an economic powerhouse to rival London.

(Image: c. Andy Davis and licensed for reuse under this Creative Commons Licence)

Tell us what you think – have your say below or email opininon@publicsectorexecutive.com

Comments

There are no comments. Why not be the first?

Add your comment

 

related

public sector executive tv

more videos >

last word

The importance of openness after Grenfell

The importance of openness after Grenfell

Following the recent Grenfell Tower tragedy, Lord Porter, chairman of the LGA, argues that if the public are going to have faith in the safety testing process then everything must be out in the open more > more last word articles >

public sector focus

View all News

comment

Cities as places of opportunity

29/04/2019Cities as places of opportunity

Andrew Carter, chief executive of Centre for Cities, asks: if cities are pl... more >
Shaping healthy places with district councils

29/04/2019Shaping healthy places with district councils

District councils are achieving excellent outcomes by shifting health solut... more >

interviews

Artificial intelligence: the devil is in the data

17/12/2018Artificial intelligence: the devil is in the data

It’s no secret that the public sector and its service providers need ... more >

the raven's daily blog

Empower your reader, choose print

07/05/2019Empower your reader, choose print

We are on a digital rollercoaster, swirling and twirling through a variety of different online advertising platforms – have we forgotten about traditional marketing plat... more >
read more blog posts from 'the raven' >

editor's comment

25/10/2017Take a moment to celebrate

Devolution, restructuring and widespread service reform: from a journalist’s perspective, it’s never been a more exciting time to report on the public sector. That’s why I could not be more thrilled to be taking over the reins at PSE at this key juncture. There could not be a feature that more perfectly encapsulates this feeling of imminent change than the article James Palmer, mayor of Cambridgeshire and Peterborough, has penned for us on p28. In it, he highlights... read more >