The Reality of Regional GDP Inequality: Inner West London vs Literally Everywhere Else

Anyone with even a vague interest in the UK economy knows that London outperforms the rest of the country. The taxes collected there partially subsidise the rest of the UK, but Londoners also benefit from massively disproportionate amounts of public spending. This is nothing new: the North-South divide has existed for almost as long as the UK has been a country, and shows no sign of going away any time soon.

Still, despite being aware of this, this fascinating article on CityMetric yesterday brought to my attention some pretty eye-watering regional inequalities in GDP across the UK. The author uses Eurostat data from 2000 to 2015 to show that – in relation to the EU average – South Yorkshire’s GDP per head is strikingly similar to Greece’s:

Given the consistent media furore over Greece’s “tanking” economy, you’d expect there to be similar levels of outrage for the plight of the residents of South Yorkshire, right?

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The Illusion of Gentrification: A Case Study of Kelham Island, Sheffield

“Clever” graffiti in Kelham Island

Gentrification seems to be happening in every big city right now. Large swathes of previously undesirable inner-city areas in old industrial cities have seen their residential demographics shift in the past 10-15 years; from poor people living in sub-standard (but cheap) accommodation – in old, predominately ex-industrial, crumbling, mostly-disused buildings – to young, wealthy, educated, liberal types who flood the areas with coffee shops, renovate the old buildings, and push up house prices. London has experienced this to a much greater extent than any other city in the UK, but it is definitely happening elsewhere, e.g. in Manchester and Birmingham.

There is a lot of anger surrounding these new residents. There are claims that they are “rich kids co-opting the lives of the poor”, trying out living in these areas like it’s some sort of novel educational experience in nostalgia slumming, but never really having to worry about poverty or destitution. There is also a claim that they are the gentriying foot soldiers of capitalism: they “make the first move into post-industrial, post-welfare state wastelands like brownfield sites and council housing estates and sow the seeds of cultural capital”, enabling developers to move in and build a bunch of expensive flats several years later.

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