Wed Jun 08, 2016 6:56 pm
I was at a meeting where the Director of the Centre for Cities was also in attendance yesterday. While I think they do good work on regional economic statistics, I'm not quite so sure on their policy-focused work. They really push devolution of tax and spend to local or regional authorities as a big part of the solution to regional inequalities - but there simply isn't that much evidence for or against such a proposition. There isn't that much tax devolution in either the Netherlands or Germany, for instance. There is substantial devolution in the US but also high levels of inequality.
I think the main issue comes back to general economic structure, which has long roots. The UK has become more economically concentrated as manufacturing declined and services rose. Neither Germany nor the Netherlands saw that to the same extent. Other countries that did - like Italy, France and Spain, also see high regional inequality.
I think the solution to the UK's "problem" of high level of regional inequality is much more complex than devolution, intra-city transport, and education. I don't think inter-city transport is the panacea either.