Regeneration Projects: Central England

A 2015 study carried out by the National Institute of Economic and Social Research revealed that the UK is on its way to becoming the second largest economy in Europe, with key indicators including total GDP and purchasing power continue to rise. Moreover, economists at the Centre for Economic and Business Research have predicted that by 2028, the United Kingdom could rank among the world’s top three largest economies, ahead of giants like Germany and Japan. This level of economic growth is partly the result of a long-term development strategy that has been designed by the UK Department for Trade & Investment and implemented by the Regeneration Investment Organisation. Regeneration projects are a fundamental part of the UK’s growth and development strategy, and this article looks at some of the key projects that are currently underway in Central England.

Worcester Growth Corridor

In the near future, Worcester will offer world class investment opportunities thanks to the £300-million regeneration project known as the Worcester Growth Corridor. This initiative aims to redevelop nearly 300 hectares of space along the M5, creating opportunities for investment in commercial, residential, and mixed-use real estate. A total of 8 sites will be redeveloped, the first being the Worcester Technology Park, which will primarily provide first-class business accommodation to companies in the advanced manufacturing, clean technologies, and agri-food sectors.

Overall, it is expected that this project will help create more than 6,800 permanent jobs in the local area. This regeneration project will be carried out in various phases over a period of 15 years, and its estimated delivery date is Q4 2024.

Priors Hall Park, Corby

With a GDV of over £1,200 million, the Priors Hall Park project is one of the most ambitious regeneration projects currently taking place in Central England. The project covers an area of more than 500 hectares in Northamptonshire, and will result in the construction of over 5,000 sustainable homes and of commercial premises, including office and industrial space. This project capitalises on Corby’s strategic location, as the town offers access to 75 per cent of the country’s population with just a 2-hour drive. Read more »

Mississippi’s capital and largest city, Jackson is also the largest economic center in the state. Home to major electrical equipment and machinery, processed food, and metal product industries, with numerous major companies based in the city including Ergon, Cal-Maine Foods and Trustmark.

Offering affordable business premises, excellent business services and easy access to financing, Jackson is one of the best places to do business in the United States. The city also provides businesses with excellent transportation links, including one of just two international airports in Mississippi. It is also at the cross-roads of major railway lines and interstate highways, including the I-20 and I-55. According to WalletHub’s 2015 list of best cities in the U.S. to start a business, Jackson ranks fifth out of 150 cities across the country. In the same national ranking, Jackson was fourth in terms of access to resources including office affordability, employee availability and financing accessibility. Mississippi also ranks high for doing business. The state ranked in the top 10 states for doing business, as well as sixth in terms of overall cost of doing business and third for competitive labor costs by the Area Development Magazine in 2014.  Read more »

Dallas, Texas is a well-known hub of business activity as the fourth most populous metropolitan area of the United States. This distinction has allowed Dallas to develop a wide range of industries to serve a far-reaching economy that is as healthy as it is diverse. While much of the credit for the growth of Dallas’ economy can be attributed to the businesses themselves, state and local governments also play a role in nurturing an environment of healthy business growth. In the end, Dallas is an excellent example of what can be done when business leaders and government leaders can work together toward a common goal.

Major Industries in Dallas

Some of the most successful companies in the Dallas metro area are in the technology, defense and financial industries. These three industries account for thousands of jobs in Dallas and have become a mainstay of the economic climate in the city.

On the technology front, telecommunications and IT services are very important to the economy of Dallas. The importance of IT services to economies can often be overlooked, but this is generally due to the small nature of most IT service providers. However, a number of international companies, such as Rackspace, have a major presence in the city and provide greatly to the business climate.

The defense industry often has aerospace and aviation lumped into it as these three industries are so acutely intertwined. These industries provide more than 150,000 jobs to the people of Dallas in over 1,300 companies. The large airport capacity, educated workforce and lenient laws regarding the classification on commercial space are often cited as a draw to companies in these industries. As a result of this growth, the average person working in these industries makes a little over $80,000 a year.

Anyone curious about how the financial industry gained so much power in Dallas need only look as far as the Federal Reserve Bank of Dallas. As one of only twelve district banks in the Federal Reserve system, Dallas has become a major player in financial markets throughout the country. This has led to the development of a strong financial sector in Dallas itself, with a growth of 11 percent in financial sector jobs since 2010. While the Federal Reserve itself is not responsible for this industry thriving as it does, it’s noted as a driving force in the identity and economic development of the area. Read more »

During the past two decades, the Scottish economy has undergone an important transformation that has helped bring Scotland to the forefront of social and economic development. As Scotland’s capital city, Edinburgh has played a crucial role in this transformation and is now recognised as one of the most prosperous cities in the United Kingdom. This is undoubtedly good news for entrepreneurs looking to set up a business in the Scottish capital.

Edinburgh’s economy

The Scottish government has capitalised on Edinburgh’s potential to become an economic powerhouse, and the strategy has had excellent results. Currently, Edinburgh has a GDP per capita in excess of £49,000, a figure that is only surpassed by the GDP levels of the British capital. But the city’s strong economic growth levels are also in line with other key global players. A recent fDi Magazine survey listed Edinburgh as the third best-ranking city of the future in terms of business friendliness, quality of life, economic potential, and skills pool, placing the city ahead of major business hubs like Paris and Berlin.

The latest data set released by the local city council reveals that key economic indicators in the city have been following an upward trend for several consecutive quarters. This is the case of the city’s macro-economic environment (measured in terms of output per resident and currently set at £38,000 per person) and in the foreign direct investment rates, whose ongoing increase has created nearly 600 new jobs over the past 12 months. Business density in Edinburgh is another positive indicator, and at 93 companies per square kilometre, is among the UK’s highest. All these factors have had a positive impact on overall business confidence levels, which have been rising for three consecutive years and are nearly 28 per cent higher than in 2012.

Key industry sectors in Edinburgh

The 2014 Global Financial Centres Index listed the Scottish capital among the world’s best-rated cities for businesses in the banking, insurance, and finance sectors. There are approximately 35,000 people working in this industry all over the city, which is also home to 90 per cent of all fund managers in Scotland. Some prestigious financial companies that have chosen to be based in Edinburgh include JP Morgan Europe, Scottish Widows, Standard Life, AEGON, Bank of New York Mellon, Royal Bank of Scotland, and Quayle Munro.

The city is also a key European destination for companies in the life sciences sector, especially in areas like the Science Triangle and Edinburgh’s BioQuarter. IT, software development, and the creative sector are also experiencing constant growth.
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Los Angeles is one of the largest cities in the country and is known as the entertainment hub of California. While technology companies and the entertainment industry receive a large amount of well deserved of credit for bolstering the economy of Los Angeles, it’s important to note that these industries aren’t the only ones employing Angelinos. In fact, the largest industry in Los Angeles by far is the manufacturing industry, followed closely by steel fabrication and shipping. There are a lot of factors that contribute toward the constant growth and development of the myriad industries of Los Angeles.

Major Industries and Economic Drivers in Los Angeles

According to Forbes, the creative industries in Los Angeles account for around 1/6 of all the employment in the city. Manufacturing is perhaps the largest industry in the city, with jobs in the manufacturing sector accounting for over 500,000 manufacturing jobs in Los Angeles. Among the most commonly manufactured goods in Los Angeles are sheet metal, consumer electronics and aerospace technologies. Large tracts of land are set aside throughout the city that are either currently being used by manufacturing companies or set aside for industrial use.

In addition to the manufacturing and creative industries, shipping is a large industry in Los Angeles. The Port of Los Angeles is the largest commercial port in the United States, with more shipping going through that port than anywhere on either the Pacific or Atlantic coasts. Its proximity to major shipping lanes connecting to Japan and China have been a huge part of this growth, though there have also been a large number of government incentives developed to protect and nurture this industry.

Government Programs and Incentives for Business in Los Angeles

Integral to growing a thriving and robust economy are developing incentives that both draw business to the city and nurture its growth. Every aspect of the business generation chain from development to operations and growth have some form of government support scheme to gather support from. This means that new businesses can find help in land use, land development, zoning assistance, seed funding and even legal assistance. Also, tax breaks and tax incentives are a popular way to push growth throughout the greater Los Angeles metro area. Read more »

Scotland’s largest city has come a long way since its humble origins. Glasgow has gone from being a rural trading post to becoming one of Europe’s top financial centres, and the city has responded well to the challenges presented by globalisation, population growth, and the ever-increasing demand for competitiveness. As a result, Glasgow has become a particularly attractive destination for both established business owners and startups. As part of our ‘Top Cities for Business’ series, in this post we take a detailed look at the many reasons why Glasgow is a top choice for companies and entrepreneurs.

An overview of Glasgow’s economy
Over the past two decades, the local authorities in Glasgow have been focusing on diversifying the city’s economic base and on investing in modern infrastructure in order to attract businesses and further investment. This strategy has certainly paid off, since the Scottish city has been one of the few UK urban centres to be successful at weathering the economic storm brought about by the global crisis. Glasgow ranks 16th in terms of economic competitiveness within the UK (outside of London) and is very close to attaining the competitiveness levels of cities like Brussels and Copenhagen. It is estimated that the city’s companies produce an annual turnover of over £31 million, a figure that represents 12.7 per cent of Scotland’s total economic output. Read more »

London has been the top financial, business and cultural centre for almost fifty years and has been the birthplace of business practices that contribute to economic development worldwide.

London is a global financial centre
London hosts the headquarters of 68 companies on the 2014 Forbes Global 2000 list,  in addition to being ranked first on the 2012 Globalization and World Cities (GAWC) Index that measures the power of global cities in terms of international business, sustainability, urban policy, and logistics.  According to a Centre for Cities report published in 2013, in terms of business innovation and expansion, London outperformed many European rivals, while the number of new business startups places the UK capital in high regard worldwide.

London has a prominent tech scene
London’s tech scene has demonstrated a steady growth over the past decade as a result of governmental support and venture capital increases. The UK government has a number of schemes including the Seed Enterprise Investment Scheme (SEIS) which aim to attract major tech companies in London. The East London area around Old Street, known as “Silicon Roundabout”, follows the government’s aggressive promotion of London as a tech hub, where more than 3,000 tech start-ups considered the UK capital as the perfect spot to establish their businesses. London has been transformed into the fastest growing European tech cluster with the advantages of an early adopter city, with some of Silicon Valley’s start-ups and giants choosing to open headquarters within the city.  Google’s largest office outside the Valley is situated in London and Facebook has its largest European office in London. Read more »

As the second most populous city in the United Kingdom, Birmingham is a major economic powerhouse and centre for industry. Once known for being the manufacturing capital of the world, Birmingham is now a vibrant and prosperous city that attracts business owners and investors from the UK and beyond. Today, this West Midlands city is firmly committed to supporting economic growth and to promoting ongoing business development. In this article we look at the main facts and figures that demonstrate that Birmingham is one of the top destinations for businesses and startups.

Birmingham’s economy: an overview

According to a report published by Global Metro Monitor in 2014, Birmingham is among the world’s top cities with the highest GDP per capita levels, with Birmingham’s wider metropolitan economy boasting the the second largest GDP output in the UK, estimated at £68 billion. Birmingham has implemented a successful economic policy that has proven effective in terms of fostering growth and innovation, and this is mainly evident in its designated enterprise zones, which are expected to create 50,000 jobs and inject £1.5 billion into the local economy.

But Birmingham also has an outstanding reputation for fostering economic growth in the international arena. In 2012, the Globalization and World Cities Research Network listed this UK city as a Beta World City, along with important metropolitan economies like Geneva, Abu Dhabi, and Stuttgart. Nearly 30,000 companies are based in the city of Birmingham, including 900 international firms such as Deloitte, Kraft, Jaguar, JCB, and Land Rover.

With all this in mind, it is hardly surprising that Birmingham has been voted as one of the most dynamic metropolis in Europe and been listed as having one of the best business environments in the continent. Read more »

In a 2015 financial report that was compiled by Oxford Economics for HSBC, it was revealed that the United States has the largest number of middle market businesses at 55,700. Those middle market businesses contribute $1.7 trillion to the U.S. economy, which is 13 percent of the United States output. The report considers middle market businesses to be businesses that generate at least $50 million in revenue each year, but no more than $500 million.

One of the figures that was interesting to note in the report was that American middle market businesses are responsible for 16.5 million jobs, which makes up 13 percent of all U.S. employment. By way of comparison, the Chinese economy has the second largest amount of middle market businesses at 40,200, but those businesses employ 74 million people, which makes up nearly 12 percent of all Chinese employment. When it comes to the number of people employed by middle market companies, China stands out as the country with the most middle market employees.

A breakdown of the numbers shows that the retail and wholesale industries in the United States offer the largest segment of employment for middle markets, closely followed by the manufacturing and services industries. But the retail, wholesale, and manufacturing industries combined do not offer as much economic input into the U.S. economy as the business services sector. Of the $1.7 trillion contributed to the U.S. economy by middle market companies in the U.S., $1.1 trillion is generated by the business services sector. This includes financial sales, banking, and financial services companies. Read more »

While economic growth for the UK in 2015 still looks good, analysts suspect it may be lower than expected. With contributing factors ranging from political uncertainty to events abroad, whether or not the UK will meet the latest predictions still remains questionable.

The General Election and Economic Forecasts

While the coalition government’s fiscal plans are still underway, uncertainty surrounding the next general election has seen the original forecast of 3.1% drop to 2.7%. As the business world remains unsure as to whether it’ll face further Conservative policies, or changes from a new Labour government, corporate confidence is dented.

The majority of this growth is set to take place during Q4, at 1.25%. Two-thousand-and-fifteen will see a good start, with 0.25% growth, followed by further modest increases in subsequent quarters.

Despite there being concerns over the way the political climate will affect current economic plans, it is expected that public sector borrowing will continue to decline. There may be concerns that projected plans are too ambitious, but a decline will occur nonetheless.

Although job growth is anticipated to continue during 2015, uncertainty surrounding wage growth is further affecting economic progress. Wages are expected to normalise in the middle of the year, leading to higher spending within the country. However, as the yen and euro may experience a 6.5% decline, the cost of the pound may increase by around 5%. This means UK exports become less competitive, which could in turn buffer the progress made through domestic spending. Read more »