London’s boom is damaging other cities as capital creates 10 times more jobs
02-12-2014
London is creating almost 10 times more jobs than the next best area (Photo by Mike Hewitt/Getty Images)
While London is booming other cities are falling behind as it accounts for 80 per cent of private sector employment growth.
New research by the Centre for Cities think tank revealed the UK’s economic recovery is widening the gap between the capital and other cities.
Figures show for every public sector job created in the capital, two have been lost in other cities, meaning overall almost 10 times more jobs are being created in the capital than the next best area.
Between 2010 and 2012 there were 216,000 private sector and 66,300 public sector jobs created in London, said the study, compared with losses of 7,800 and 6,800 in Glasgow.
The report said London remains the UK’s economic power house, but Alexandra Jones, chief executive of Centre for Cities, said: “The gap between London and other UK cities is widening and we are failing to make the most of cities’ economic potential.
“Devolving more funding and powers to UK cities 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.”
Cities minister Greg Clark said: “For Britain to prosper, our cities must prosper. They are the engines of growth for the national economy in a world where cities are increasingly competing against others around the world for jobs and investment.
“In the last two years the UK has created over a million jobs, of which over 750,000 are outside London. City Deals and Local Growth Deals will unleash the potential for cities to stimulate growth and create jobs around the country.”