Levelling-up the North
The levelling-up fund allocations announced last year span across all regions.
However, despite being the worst performing economy of the UK with the lowest gross disposable income per head, the North East was allocated only £100m for four projects, less than most other regions with the exception of London, Northern Ireland, and the East of England.[i] For example, in the South East – where gross disposable household income is second only to London – £151m was allocated for 11 projects, clearly evidencing the disparity in north and south economic investment.[ii]
Fortunately, since the levelling-up funds were announced a year ago, increased infrastructure investment has been announced throughout the North, paving the way for regional rebalancing.
For example, Morgan Sindall has recently formed a North East operation, headed by Alex Isted, with a new regional office anticipated to generate over 25 jobs overseeing landmark projects throughout the North East and Cumbria.[iii] In Yorkshire, Vinci has the go-ahead for levelling-up Hull, securing a start date of Autumn 2023 for the £96 transformation of city-centre Albion Square.[iv]
“Transport and skills have been named as top levelling up priorities for North of England” says New Civil Engineer’s Hakimian, though critics have claimed that these improvements alone will not rebalance the UK, and that a more holistic approach focusing on people and social ascent will achieve greater results.[v] Moreover, focusing on transport and skills, both in the short and long-term, means that other priorities have been pushed down the agenda, like Net Zero targets.
Alongside environmental concerns, though, the issue of levelling up is critical, relevant, and deserving of its prioritized position, despite government attitudes suggesting otherwise (retracting its promise to deliver high-speed rail between Liverpool and Hull mere weeks after its announcement, for example).[vi] In response to the release of the Government’s ‘Levelling Up’ white paper from February this year, Atkins, the University of Durham and Northern Powerhouse Partnership (NPP) have co-authored a report called Regional Rebalancing.[vii]
The commission is an independent study into four key areas of the North – Teesside, Liverpool City Region, West Yorkshire and an area which the report terms “the M6 Corridor”, encompassing Carlisle to the North and to the South, Crewe.[viii]
The report makes some perceptive claims, right down to the political semantics of ‘levelling up’ itself – noting in its executive summary that ‘rebalancing’ is a preferred term across most interviewees, because it extends beyond purely infrastructure projects.[ix] It also notes how confidence is lacking with regards to anticipated progress over the next 10 years – with the report arguing that this very recent change in disposition has both Covid-19 and the cost-of-living-crisis to blame.[x]
The North West has much cause for optimism. In Preston, for example, Eric-Wright have the go-ahead on a £45m council-funded new cinema complex called Animate.[xi] Partnered with Maple Grove Developments, the council will develop Preston’s former indoor market site into a leisure complex with an eight-screen cinema, five bars and restaurants, a street food hub and a bowling alley. Animate’s anticipated completion date is winter 2024.[xii] Remarkably, once completed, the scheme will be publicly owned, constituting a “strategic public asset” according to City Council Cllr Matthew Brown, while chair of Preston Towns Fund Board John Chesworth has coined the project a “cornerstone” investment.[xiii]
In 2023, big projects announced as part of the levelling-up fund include £50m to transform the Eden Project North tourist attraction in Morecambe, major regenerations in Gateshead and a new AI campus in Blackpool. The latter, a ‘Multiversity’ in Blackpool’s Talbot Gateway Central Business District, has been granted £40m to create a carbon-neutral campus. The Gateshead Quays regeneration will expand on current hospitality venues and add a new arena and exhibition centre. [xiv] Local landmarks will be preserved for future generations, with just shy of £550m allocated to refurbish and protect deteriorating building. Restoring heritage in Wigan, a further £20m has been allotted for Haigh Hall in Wigan, transforming the site into a popular attraction for culture, community, and events.[xv]
[i] Tom Keighley, “North East economy was worst performing in the UK, new data shows,” Business Live, https://www.business-live.co.uk/economic-development/north-east-economy-worst-performing-24113369 31 May 2022.
[ii] Aaron Morby, “Regional levelling-up projects – full list,” Construction Enquirer, https://www.constructionenquirer.com/2021/10/27/regional-levelling-up-projects-full-list/ Oct 2022; “The north-south pay gap: what do people earn where you live?,” The Guardian, https://www.theguardian.com/news/datablog/2010/mar/31/economy-economics
[iii] Aaron Morby, “Morgan Sindall names new chiefs for North East and Yorkshire” Construction Enquirer, https://www.constructionenquirer.com/2022/10/20/morgan-sindall-names-new-leaders-for-north-east-and-yorkshire/ 20 Oct 2022.
[iv] Aaron Morby, “Vinci gets start date for £96m Hull Albion Square,” Construction Enquirer, https://www.constructionenquirer.com/2022/10/21/vinci-gets-start-date-for-96m-hull-albion-square/ 21 Oct 2022.
[v] Rob Hakimian, “Transport and skills have been named as top levelling up priorities for North of England,” New Civil Engineer, https://www.newcivilengineer.com/latest/transport-and-skills-named-as-top-levelling-up-priorities-for-north-of-england-21-10-2022/ 21 Oct 2022.
[vi] Ibid.
[vii] Richard Robinson, “Regional Rebalancing, SNC-LAVALIN, https://www.snclavalin.com/en/beyond-engineering/regional-rebalancing Oct 2022.
[viii] Ibid.
[ix] Ibid.
[x] Ibid.
[xi] Julia Hatmaker, “Eric Wright gears up for £45m Animate start in Preston,” North West Place, https://www.placenorthwest.co.uk/eric-wright-gears-up-for-40m-animate-start-in-preston/ 21 Oct 2022.
[xii] Ibid.
[xiii] Matthew Brown and John Chesworth, quoted in Julia Hatmaker’s, “Eric Wright gears up for £45m Animate start in Preston,” North West Place, https://www.placenorthwest.co.uk/eric-wright-gears-up-for-40m-animate-start-in-preston/ 21 Oct 2022.
[xiv] Aaron Morby, “More than 100 projects share £2.1bn levelling up funding,” Construction Enquirer, https://www.constructionenquirer.com/2023/01/19/more-than-100-projects-share-2-1bn-levelling-up-funding/ 19 Jan 2022.
[xv] Ibid.
