Think tank calls for Northern economic ‘big bang’

The government should create a ‘Northern big bang’ and ‘unleash a torrent of investment’ in the region, according to a new report.

The report from the Centre for Policy Studies (CPS) and Northern Research Group of MPs argues that the North once the powerhouse of the British economy, but today it has some of the least productive areas in Europe.

It argues that London and the South East have monopolised investment, talent and attention in recent decades.

And at present the Northern economy, measured by Gross Value Added (GVA) per capita, is three quarters the size of England’s average.

The report calls for a new Initial Investment Incentive to attract new investments and global capital to the region.

Other recommendations include leveraging UK Infrastructure Bank investments to unlock private sector investment where possible, creating a new Northern Infrastructure Bond aimed at attracting global investors.

It also calls for automatic approval for planning applications which create more than 100 permanent new jobs in the region when they have not been determined within two month and a new Growth Board for the North to encourage investment.

‘At the last election millions of Northern voters broke with tradition by voting for the Conservative Party, in many cases for the first time,’ said Northern Research Group chairman, Jake Berry.

‘The prime minister needs to recognise that they did so not only to deliver Brexit, but to voice the systemic disadvantages felt in many communities that were tired of being neglected in favour of London and the South East.

‘The measures we have put forward will help the prime minister and this government to ‘level up’ the economy and help make the North build back better as one of the most investable places in modern times.’

Nick King, research fellow at the CPS, added: ‘There is a huge amount of domestic and global capital ready to be invested. Our recommendations are designed to make the North of England one of the most investable places on the planet and to unleash this capital through a Northern Big Bang.’

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