Towards a Northern Powerhouse?
If one thing has characterised twenty-first century society, it is division. Never before has society seemed so fractured and split, particularly in the UK. Regional inequality in the UK has been labelled “the worst of any comparable developed country”. Events such as the Brexit vote have highlighted a ‘geography of discontent’ in the UK and are illustrative of the culmination of decades of neglect from central government. This has added impetus to initiatives like the ‘Northern Powerhouse’ and Boris Johnson’s flagship ‘Level Up’ election pledge, which have attracted new scrutiny and attention. Yet, it is not enough to merely redistribute money to the North if this isn’t invested at the grassroots level and in local communities.
There has always been a glorification of the North. People like to see the North as more soulful and indie, bolstered by its cultural history in birthing bands like Oasis and the Smiths. The history of Manchester is equally reflective - it is a city that takes pride in its history of protest and revolution with the People’s History Museum showcasing Manchester’s love affair with social justice. It has become, once again, cool to be Northern and businesses are also quick to capitalise on their Northern roots. Firms like Boohoo are proud to boast of their humble beginnings at a market stall in Manchester whilst simultaneously appearing to exploit factory workers in Leicester. It is disheartening to see the Northern identity becoming a marketing tool by companies that profit and fund bonuses out of underpaying their workers across Northern factories.
There has also been a shift in corporate focus towards the opportunities the North can provide. There have been a number of high-profile movements of companies like Kellogg’s and the BBC to areas like MediaCity in the North, which has helped to develop the reputation of cities like Manchester as a hub for business, furthered by the growth of smaller private businesses like UKFast. Yet this has brought its own set of problems, as Manchester faces the fastest rising rent prices out of any region in the UK - including London. There is the risk that the benefits provided through encouraging corporate investment will accrue to the upper echelons of Northern society, and price out local residents out of owning their own house. Manchester should be cautious when accepting the mantle of the ‘London of the North’ - especially as “wellbeing indicators show London as the most anxious and unhappy area of the UK, with residents least likely to say life is worthwhile”.
Perhaps the biggest shift in the way regional inequalities are viewed has come as a result of Covid-19 which has served to underline and highlight the socio-economic disparities in the UK. It is suggested “the current crisis may well exacerbate existing regional inequalities” and “it is apparent that the economic impact in the UK will not be felt equally among regions”. In the short term, it was clear the Northern regions have shouldered the harshest burden of COVID-19, with the largest increases in unemployment due to higher numbers of key workers. This is likely to continue in the long run, as workers in the North may find it harder to work from home, due to the concentration of the ‘knowledge economy’ in London, illustrated by statistics that “in April, 61 percent of employed Londoners worked from home, compared with just over 40 per cent in the North-West.” As the North is placed in more stringent local lockdown measures, it is becoming more and more clear that the decisions being made out of London are not necessarily in the best interests of the North - particularly the decision to place parts of the North in local lockdown a mere three hours before Eid al-Adha. The implications of these trends are troubling, with Andy Burnham warning of “a winter of dangerous discontent here in the north of England” as the country heads “into a winter where the north of England is under restrictions unlike the south”.
Amidst the North’s rapid development and modernisation, it is already becoming abundantly clear that the march of progress is leaving people behind. Cities like Manchester should not aspire to be ‘the next London’, which has its own problems in terms of housing shortages, inflated prices and pollution. Focus also cannot be limited to providing corporate jobs in headquarters of metropolitan cities and must extend beyond to the suburbs and rural areas of the North. Reducing inequality in Britain cannot simply stop at allowing the rich to relocate their lives to the North. If anything, Covid-19 has illustrated that local communities can come together - whether this is driven by a sense of ‘reciprocal obligation’ or invokes a sense of a deeper human connection. Economists like Collier have suggested strategies involving “taxing the huge increase in the rents of agglomeration generated in the metropolis and using this to revitalise broken cities” as a way of acting to fix the divergent paths in the UK. Moving forward, hopefully, voices like Andy Burnham can ensure that the North is allowed to share in charting a course towards a more sustainable future for a society that is inclusive and prosperous.
Author to be kept anonymous.
