Industrial strategy and the UK regions: Sectorally narrow and spatially blind

The UK government's new Industrial Strategy could have a significant impact on the country's regions and localities. However, this has received little attention to date. The analysis presented here examines the existing location of the sectors targeted by the first phase of the Industrial Strategy Challenge Fund and the location of the R&D laboratories likely to be first in line for funding. In focusing on an extremely narrow range of sectors, the Fund is likely to have limited impact on the UK's persistent regional inequalities. The activities eligible for support account for relatively little of manufacturing or the rest of the economy and the basis of this targeting and its potential distributional consequences are spatially blind. As such, it runs the risk of widening regional divides in prosperity

Revisiting the 'Missing Middle' in English Sub-National Governance

In the light of the new Coalition Government’s proposed ‘rescaling’ of sub-national governance away from the regional level, it is an opportune time to re-consider the strength and weaknesses of the city or sub-regional approach to economic development and to search, once more, for the ‘missing middle’ in English Governance. In this context, the article initially assesses the case for city or sub regions as tiers of economic governance, before examining the lessons to be learnt from the experiences of the existing city regions in the North East of England. It argues that while contemporary plans to develop Local Enterprise Partnerships (LEPs) can be usefully considered within the context of the emerging city regional developments under the previous Labour Governments, a number of important challenges remain, particularly in relation to ensuring accountable structures of governance, a range of appropriate functions, adequate funding, and comprehensive coverage across a variety of sub-regional contexts. While the proposals of the new Government create the necessary ‘space’ to develop sub-regional bodies and offer genuine opportunities for both city and county LEPs, the scale of the sub-regional challenge should not be underestimated, particularly given the context of economic recession and major reductions in the public sector

Looking inside the spiky bits : a critical review and conceptualisation of entrepreneurial ecosystems

The authors wish to thank the Organisational for Economic Cooperation and Development (OECD) for funding their original research on entrepreneurial ecosystems.The concept of entrepreneurial ecosystems has quickly established itself as one of the latest ‘fads’ in entrepreneurship research. At face value, this kind of systemic approach to entrepreneurship offers a new and distinctive path for scholars and policy makers to help understand and foster growth-oriented entrepreneurship. However, its lack of specification and conceptual limitations has undoubtedly hindered our understanding of these complex organisms. Indeed, the rapid adoption of the concept has tended to overlook the heterogeneous nature of ecosystems. This paper provides a critical review and conceptualisation of the ecosystems concept: it unpacks the dynamics of the concept; outlines its theoretical limitations; measurement approaches and use in policy-making. It sets out a preliminary taxonomy of different archetypal ecosystems. The paper concludes that entrepreneurial ecosystems are a highly variegated, multi-actor and multi-scalar phenomenon, requiring bespoke policy interventions.Publisher PDFPeer reviewe

Balanced budget multipliers for small open regions within a federal system : evidence from the Scottish variable rate of income tax

This paper explores the impact on aggregate economic activity in a small, open region of an income tax funded expansion in public consumption that has no direct supply-side effects. The conventional balanced budget multiplier produces an unambiguously positive macroeconomic stimulus, but the incorporation of negative competitiveness elements, through the operation of the local labor market, renders this positive outcome less certain. Simulation using a single-region Computable General Equilibrium (CGE) model for Scotland demonstrates that the creation of local amenity effects, and the extent to which these are incorporated into local wage bargaining, is central to the analysis

Trends in place-based economic strategies: England's fixation with 'fleet-of-foot' partnerships

The form of place-based economic strategy that is the focus of this paper is ‘fleet-of-foot’ partnership arrangements. Contributing to the theorisation of these institutional configurations, which are propounded by some as more flexible and responsive than democratic-administrative alternatives, the paper investigates the empirical situation in England that has unfolded over recent years. Tracing the recent historical evolution of sub-national structures that could be considered ‘fleet-of-foot’, the paper analyses the implications for place-based economic strategies at large. Through an analysis of Local Enterprise Partnerships (LEPs), the paper examines the extent to which the conceptual principles underpinning the notion of ‘fleet-of-foot’ arrangements have informed the configuration of LEPs, emphasising the importance of the legacy of past political constructions. Drawing attention to some of the primary weaknesses of ‘fleet-of-foot’ arrangements, the paper concludes that there are some inherent limitations to the present configuration of LEPs. These impede such partnerships in opening up space for a richer constellation of actors to participate in governance forums across flexible and functional geographies, or achieve efficient outcomes. More broadly, the paper contributes to the literature on place-based economic strategies and contemporary trends in economic development