Northern Powerhouse? North West jobs growth slower than rest of country, warns TUC

Jobs growth in the North West is slower than any other region in the UK at six times lowern than that of London, according to new analysis published by the TUC today.

The figures show that between 2010 and 2014 jobs growth in London (11.5%) was more than twice as fast as the country as a whole (5.1%) whereas the North West only experience growth of 1.8%.

If job growth across the North West matched UK levels, there would be an additional 105,000 jobs in the region.

In fact, jobs growth in the North West was slowest of all regions of the UK.

In more bad news for businesses across the region, the TUC analysis also shows that from 2010 to 2013 London’s economic growth (14.5%) was more than three times as fast as the North West’s at 4.5%. Only Wales has experienced lower growth, at 4.4%.

TUC North West Regional Secretary Lynn Collins said more needed to be done by the Government to ensure its promise of the north becoming a ‘powerhouse’ region was not an empty one.

She said: “We need a recovery that works for the whole of the UK, but cuts to infrastructure and services have hit places that are most in need of investment.

“We now have an unbalanced recovery that is too concentrated in London, too dependent on families getting into debt, and too focused on jobs in low-paid service industries.

“The Chancellor talks of a Northern Powerhouse but the North West and other regions won’t become powerhouses of growth and job creation unless they are powered-up by investment in skills, infrastructure and decent public services – but the Chancellor’s extreme cuts will mean pulling the plug.

“We need a better economic plan that prioritises balanced growth across all of the UK by targeting investment to communities that are most in need of modern infrastructure and more decent jobs.”

In 2013 economic activity in the North West accounted for 9.3% of the value of the entire UK economy, down from 9.7% in 2010 and 9.8% in 1997.

If economic activity remained at the 2010 share, the region would have generated an extra £5.9 billion.

In 2014 the North West accounted for 10.6% of UK jobs, down from 11% in 2010 and 11.1% in 1997. The difference from 2010 equates to around 120,000 jobs. 

Picture courtesy of Stacey MacNaught, with thanks.

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