Regeneration - case studies

T4 - Regeneration

London - changing east end - info

• last of Londons original east end docks closed 1981

• were uks largest docks until 1970s

• dockworkers and families lived close by

• poorly paid - mostly social housing from councils

• cranes places unloaders as ships became larger

London - changing east end - impact

• 12,000 jobs lost

• 60% of adult men unemployed in east London

• downstream was abandoned docks and derelict wharves - bad image for city

• industries in lea valley also closed

• population declined - fell by 100,000 (left to find work)

re-imaging

how the image of a place is changed

• changing how its portrayed in the media

re - imaging cities - examples

• high unemployment in cities like Leeds, Manchester, Liverpool

• give inner city areas poor image - little economic potential

• lack of investment - lead to tensions and riots

• 1984 - tory gov. started to rebrand inner cities

• garden festivals to develop greener image

London docklands - regeneration - information

• 21km² building land, close to London central

• area of size and importance

• needed plant to deal with dereliction and unemployment

• job went to gov. agency - LDDC

London docklands - regeneration - LDDC

• London docklands development corporation

• brought together key players and encouraged growth

• players = property owners, architects, investors, construction companies

• focusses on economic growth, infrastructure and housing

London docklands - regeneration - planning permissions

• market led regeneration - private sector made decisions about docklands

• LDDC given planning powers to bypass local councils

• as long as permission was granted by 1991 - companies could obtain tax breaks

• incentives attracted investors - still apply

London docklands - regeneration - economic growth

• flagship project - Canary Wharf (2nd CBD - central business district)

• changes in land use and employment

• High rise offices, related docks and industry

• drive to create high earning jobs - for trickle down effect

London docklands - regeneration - Canary Wharf

• investment banks e.g. Barclays

• companies in knowledge economy

• 100,000 commuters travel there

• 325,00 from the city

• employment grown - east end less deprives

• poverty still present - 27% working pop. in newham earned less than £7 an hour

London docklands - regeneration - infrastructure

new transport to increase connectedness and access

• extended undergrounds jubilee line

• developed docklands light railway

• built new roads - Limehouse road link

• London city airport - 5km from Canary Wharf

London docklands - regeneration - population and housing

• older people have moved out

• younger generation - avg. age 31 (uk avg. 40)

• diverse ethnic composition - newham is mostly ethically diverse borough (immigration since 2000)

London docklands - regeneration - right to buy scheme

• most housing was rented from local councils at low cost

• 1980s - right to buy scheme - those living in council housing could buy it at low price

• lost of east end housing transferred from public to private sector

• reduced amount of social housing

• forced out lower income people

London docklands - regeneration - gentrification

• aim of regeneration was to increase. housing supply

• led to gentrification

• Riverside properties became desirable and very expensive

• broken up traditionall communities

• changed the feel of the area

London docklands - regeneration - remaining problems

• hasn’t removed deprivation

• high income earners are still the minority

• those in poor health - cant work - concentrated in remaining social housing

• led to high deprivation in tower hamlets and newham

• tower hamlets - lowest life exp. in London = 77 years

Sydney, australia - successful places - info

• SE australian coast

• 2000km from Brisbane to Melbourne

• index of relative socio economic advantage and disadvantage

• found high knowledge economy in this reigon

• one of worlds top cities - 2015

Sydney, australia - successful places - economy

• strengths in quaternary sector

• GRP (gross regional product) of Sydney = $337 billion

Sydney, australia - successful places - reasons for success (businesses)

• many overseas banks and TNCs

• leading financial centre in Asia-pacific reigon

• 450,000 businesses based in Sydney - 2011

• ½ Australias top 500 companies

• e.g. qantas and Westfield

• 2/3 regional headquarters for global TNCS

• e.g. IBM and Vodafone

Sydney, australia - successful places - reasons for success (work)

• young economically active workforce

• median age 36

• some remote rural areas - declining = losing young people and skills

• low level of multiple deprivation

• western Sydney = higher deprivation

• employment levels generally high - above avg. income

Sydney, australia - successful places - reasons for success (footloose employers)

• most knowledge employers are footloose

• can locate anywhere

• attracts business due to beaches, harbour and climate

• time zone allows business trading in USA and Europe - essential for investment banking

Sydney, australia - successful places - reasons for success (embracing gbsn)

• national gov. has embraced gbsn since 1985

• deregulating banking and finance

• focusing inward migration on well qualified professional

• short skills simply - must be supported by migration

Sydney, australia - successful places - costs

• higher avg. individual income - £40,000

• household avg. income - £70,000

• higher than uk

• 7th highest income city - expensive to live

• high property demand = expensive (15th-5th most expensive city)

• 10th in world for QOL

• 2nd highest PPP

Sydney, australia - successful places - banking

• 40/43 foreign banks in australia have HQ in Sydney

• e.g. Santander, Bank of America, bank of china, HSBC

Sydney, australia - successful places - the sun belt

• Sydney location/clinate = sun belt city

• warm and sunny climate = rapid growth

• many in USA - e.g. Miami

• many workers willing to join them

• growth of gated communities for high income earners

• estates attract high income earners - high property and annual service fees

Rust-belt, USA - impacts of deindustrialisation/decline - info

• rust belt = home to many american mining and steel manufacturing towns/cities

• decline in metal manufacturing

• once world largest industrial reigon - coal and steel mining, and engineering

• decline has been continuous since 1950s - deinstrialisation

Rust-belt, USA - impacts of deindustrialisation/decline - reasons for decline

• overseas companies produced cheaper coal and steel

• mining companies mechanised to cut costs = job loss

• lower wages in SE USA = relocation of steel/car industries

• e.g. michigan 1993-2008 - 80,000 car manufacturing jobs lost - 26% pop. loss

• e.g. 90,000 gained in Alabama, texas and virginia

Rust-belt, USA - impacts of deindustrialisation/decline - survival

• US coal industry only survives by gov. subsides to keep prices low

• costs $2.9 billion annually

• without subsidies - comps. cant compete globally

• would be forced to close = negative multiplier

Rust-belt, USA - impacts of deindustrialisation/decline - economic restructuring

• high income jobs - primary and secondary sectors

• replaced by low wage tertiary jobs - retail/local gov.

Rust-belt, USA - impacts of deindustrialisation/decline - problems

• population decline

• brain drain = people seek work elsewhere

• high employment

• high crime - drugs

• reduced tax revenue for councils - less consumer spending

• inc. spending on welfare payments

beattyville, kentucky - declining rural settlements - info

• in coal country - stretches through Appalachian mountains

• coal industry decline

• 2012 census = one of the USAs poorest towns

• population 1270 - mainly in trailers homes or log cabins

• like sink estates = reputation for poverty and crime

beattyville, kentucky - declining rural settlements - decline statistics

• household avg. income - £8000 (nat. avg. = £27,000)

• ½ families live below poverty line

• 1/3 teenagers dont graduate high school

• 5% residents have college degrees

• homeless = family live with 3+ generations under 1 roof

• drug crime - overdoses = 56% of accidental deaths

• life expectancy 8 years below US average - 68 years

HS2 - reason for regeneration - info

• uk has most congested roads in Europe

• worst in London extending to birmingham, manchester and Leeds

• costs £22 billion each year in lost time

• rail travel = offers alternative, people can work while travelling

• 2014 - 1.6 billion passenger journey - rail routes close to capacity

HS2 - reason for regeneration - route

• phase 1 = high speed link, up to 400km an hour - London to Birmingham

• phase 2 = northwest to Manchester, north east to Leeds

• construction will begin 2017 if approved

HS2 - reason for regeneration - benefits

• improved journey tome between major cities - 80 to 49 minutes

• creates 60,000 construction jobs

HS2 - reason for regeneration - problems

• will pass through the chilterns

• no intermediate stations

• communities along the route will not gain from it

HS2 - reason for regeneration - role of central gov

• estimated cost £50 billion

• too expensive for private companies

• transport services rarely make a profit

• gov. only one sufficient to provide capital for HS2

HS2 - reason for regeneration - investment

• funding HS2 viewed as an investment

• franchising fees pain to gov. for train companies to run services

• economic multiplier - growth - will generate higher income jobs, more tax revenue

• project costs weighed - CBA

• should reduce N-S divide

Newquay, cornwall - regeneration - lack of year round economy

• old economy in primary sector has decline - lack of year round jobs e.g. harvests

• new economy is varied - small knowledge economy, largest industry is tourism

• tourism jobs are mainly low wage - part time and seasonal

Newquay, cornwall - regeneration - farming industry decline

post production countryside

• falling farm revenues - supermarkets pay lowest prices possible

• cheaper imported food

• reduction in EU subsidies/gov. grants = decline in dairy farming

Newquay, cornwall - regeneration - fishing industry decline

• EU quotas - allocated some Cornish fish stocks to vessels in other countries

• stocks of many fish have declined due to overfishing (before fish could breed)

Newquay, cornwall - regeneration - tin/copper mining industry decline

• tin prices collapsed - cheaper overseas competition

• rich supplies mostly mined out in 19th and 20th century

• strength of the pound = UK tin more expensive

• last tin mine closed 1998

Newquay, cornwall - regeneration - quarrying industry decline

• mid cornwall = largest/best china clay reserves

• employed 10,000 in 1960s

• by 2015 - French TNC cut down labour to 800 - moved most of operation to Brazil

• fewer, larger quarries - use technology not people

Newquay, cornwall - regeneration - isolation

• remote from rest of uk

• not ideal for national/international businesses

• far from uk economic core

• long road/rail journey time s- expensive

• business travels have overnight stays - on top of high travel cost

• needs investment to create jobs locally

Newquay, cornwall - rebranding - info

• many tourist come to trace Cornish ancestry

• many miners left cornwall - emigrated to australia and Canada for work

• often used in film production

Newquay, cornwall -rebranding - farm diversification

• sale of specialised products

• many farm shops sell Cornish food products

• e.g. pasties, Cornish cheese, ice cream, beers and wines

Newquay, cornwall - rebranding - foodie destinations

• e.g. rick stein restaurants in Padstow

• jamie olivers ‘fifteen’ - Watergate bay

• helps rebrand Cornish coast as a destination tourism location

Newquay, cornwall - rebranding - gardens

• nice gardens as a result of Cornwalls mild climate and victorian ancestors

• brought sub tropical plants that thrive in gardens

• e.g. lost gardens of heligan

Newquay, cornwall - rebranding - outdoor pursuits

• e.g. extreme academy - Watergate bay

• offers lessons in rock climbing, surfing, para surfing

• attracts domestic and international tourists

• Watergate bay regularly hosts surfing championships

• attracts participants from NZ, AUZ and USA

Newquay, cornwall - rebranding - attracting investment

• qualifies for gvmt regional aid - given to countries that wish to invest there

• recognised by EU to be less economically advantaged

• incentives through funding set up or moving

• includes uks periphery

Newquay, cornwall - rebranding - LEZ

• specific local enterprise zones within regional aid areas

• attract particular forms of aid

• for uses on small areas that cam be branded to attract particular companies and organisations

Newquay, cornwall - rebranding - LEZ investor incentives

• council tax discounts up to 100% for up to £160,000 - up to 5 years

• planning permission free environment

• provision of super fast broadband

• some offer tax reductions against cost of new buildings or training new employees

Newquay, cornwall - rebranding - aerohub

• enterprise zone status for Newquay aero hub business park

• partnership between cornwall council and private sector investors

• aim of diversifying cornwall economy away from tourism

• good location = aims to attracts investors for an aerospace hub

• hoped to generate 700 high value Jobs in first year (2015)

Newquay, cornwall - rebranding - aero hub companies

• apple aviation = aircraft maintence and repair

• Bristow helicopters = operates search and rescue operation

• cornwall air ambulance trust = 2 helicopters for emergency ambulance care

• skybus = passenger flights between cornwall and isles of Scilly

Newquay, cornwall - rebranding - aero hub issues

• only 450 jobs created - few new ones

• companies like british international helicopters

• took on jobs formerly done by public sector

• not necessarily new jobs

glasgow - regeneration - info

• shipyard along river lie empty