Case study - the North East
The North East is a region that is made up of three major A region made up of a number of cities and large towns, which have formed one continuous urban area. The West Midlands is an example of a conurbation as it includes the cities of Birmingham and Wolverhampton and the large towns of Dudley, Walsall, West Bromwich and Solihull. - Teesside, Wearside, and Tyneside. Newcastle upon Tyne is the largest city located in this region. The North East has a strong industrial history in the following sectors:
- coal
- steel
- railway engineering
- shipbuilding
Towards the end of the 20th century, the area experienced industrial decline. When there have been many job losses in an area which has undergone The decline of manufacturing within a country., (such as the North East) the government will often intervene to improve the environment and quality of life for local people.
Early attempts to attract industries and services to provide new employment in the region include:
- the Team Valley industrial estate, west of Gateshead
- New Towns at Peterlee, Newton Aycliffe and Washington
- the transfer of the Ministry of National Insurance from London
These developments diversified industry and provided more opportunity for office and retail work. More recently, new employment has been provided by overseas companies such as LG and Nissan. Industries are attracted to the region because of:
- the availability of a large, skilled labour force
- two international airports
- six major ports
- good road and rail links to London and Europe
- availability of both An unused or derelict area of urban land that has been built on previously. and An area of land that has not been built on before.
- Enterprise Zone sites (offering tax breaks and government assistance to businesses)
Companies are attracted by financial assistance provided by the UK government.
- job-creation grants
- rate or rent-free periods
- assistance with preparation of a site for building
To co-ordinate the attempts to attract new employment to the region and to contribute to the regeneration of the North East, the Government set up One North East as a Regional Development Agency. Its role includes:
- boosting employment opportunities in the region
- helping people gain and develop skills useful for work
- cultivating an enterprise culture supporting the growth of existing small and medium enterprises
- improving the city's environment and sustainability with sustainable transport and energy efficiency
The North East Investment Fund, totaling ÂŁ55 million, supported projects that encouraged local economic growth and created jobs.
European Union funding
European funding came from three places:
- European Regional Development Fund (ERDF), supports regional development across Europe.
- European Social Fund (ESF) aims to help people improve their job prospects.
- European Transnational Programme supports co-operation between countries.
