(6.4.2 - 6.4.3) What are the causes and consequences of regional patterns of economic development in the UK? + How can they be reduced?

What is the north-south divide referring to?

the social and economic differences between the south of England and the rest of the UK

How did deindustrialisation lead to regional inequality?

decrease in manufacturing in the UK as deindustrialisation + mechanisation occur

many people who lost their jobs remained unemployed as they didn’t have skills for the tertiary/quaternary sectors

high levels of unemployment in cities that had had lots of manufacturing

these cities were mostly in the North

led to decline in wider areas

How did high unemployment rates lead to decline?

businesses + people leave

leave building empty

increased vandalism

environmental quality declines

low investor confidence → decline

—

unemployed

depression

low aspirations

weaker achievements

less skilled workforce

—

people are unemployed

less spending money + decreased economic activity

local services and shops close

low investor confidence → decline

What is the temporal order of regional inequality consequences?

differences in standard of living + quality of life

‘core’ and ‘periphery’ areas develop

negative multiplier effect

political instability

the drive for change

What are the social causes of the N/S divide? Explain the sequence of reasons.

high population along M4 + M1 so companies locate in the South

• unis in the area- skilled graduates

• prospective customers

so?

brain drain as young people move South, leaving less skilled people + ageing population in the North

What are the political causes of the N/S divide? Explain the sequence of reasons.

large companies are reluctant to move North,

(despite the government encouraging investment and industry away from South)

North often votes Labour, South votes Tory.

What are the economic causes of the N/S divide? Explain the sequence of reasons.

South is closer to Europe so MNCs are attracted → transport links, near other markets

Higher wages in the South (more people in the private sector)

Large private companies in the South

• so people want to work there for higher wages

Why is there a rural-urban divide throughout the UK?

Rural depopulation + counter urbanisation

→ loss of services + jobs in rural areas

→ degradation of economy + standards of living

→ brain drain etc.

Why is there a coastal/inland divide in the UK?

Demographic trend:

• older people retire to the coast, giving coastal areas an aging population

• UK tourism has declines, leading to a loss of jobs in traditional seaside towns

How would investment in deprived areas lead to growth?

multiplier effect (how many times money moves through an industry)

• money invested in an industry creates jobs in that industry

• and in other industries

• increased pool of skilled workers

• increased population

• increased taxation (be invested)

• area becomes a growth pole

• attraction of linked industries

and this repeats

What is a negative multiplier?

the opposite of a positive multiplier,

with a decrease in one factor causing a drop in various other factors, which feed into each other

What is the HS2 policy? Why was it proposed?

a new high-speed railway linking London, the Midlands and the North

to create better connectivity through transport links + aim to bring more investment to the Midlands + the North

overarching aim of reducing inequality in the UK

What was the course of the policy?

2020:

HS2 got go-ahead from government

2023:

everything except London-Birmingham cancelled

2024: costs at £67-81B

station at Euston reliant on private investment procurement

What are the environmental impacts of HS2?

destruction of habitats for buildings

• HS2: green corridor!

• 7 million new trees planted

but:

Wildlife Trust says hundreds of nature reserves would be impacted

rare species wiped out

destruction of carbon-stores

How has HS2 impacted farmers?

they are losing land without regular/consistently fair compensation

noise pollution

lost land in areas that now will not even be built on

How has HS2 impacted businesses in Birmingham?

Pos:

• new customers in the area

• new market + employees

• opportunities to expand

Cons:

• could lose workers to London based businesses

• could lose customers to London based providers

How has HS2 impacted politicians?

Pros:

• if it works out, opportunities for publicity

• Hubs (to upskill locals for work on HS2) are good publicity

• helps N/S divide

Cons:

• backlash

  low value for money

How has HS2 impacted homeowners along the route?

forced to lose homes/land

• a lot of which isn’t even being used

forced to move/sell/buy which was likely not what they had planned for

How could a positive multiplier effect come about due to HS2?

new industry (building of it) = jobs

those workers support other industries in the areas

—

companies relocate due to connectivity

stimulate investment in different sectors

—

faster travel = boosted productivity

over time, lower losses and higher GDP

—

all lead to higher investment and urban renewal

higher income + economic growth

leading to more investment

How could a negative multiplier effect come about due to HS2?

high cost

loss of investment elsewhere (NHS, education)

future toll

—

construction = disruption of local businesses

loss of customers

downward spiral

—

rising costs

may require taxes/reallocation of budget

reduce disposable incomes/affect other industries

—

may reinforce London’s dominance

with people migrating to London, instead of away

exacerbate regional inequality