News | Published June 24 2019

Austerity 'undermines' Northern Powerhouse, says IPPR North

The Institute of Public Policy Research claims that the Northern Powerhouse initiative has been undermined by cuts to public spending.

In real terms, the north of England has seen a reduction of £3.6 billion per year since the Conservatives took office in 2010.

This contrasts with a £4.7 billion rise in real terms for south England over the same period.

The think tank did agree however with the government’s claim that employment was rising above the national average.

For instance, the figures showed that the North West and Yorkshire and Humber regions experienced an 8.9 and 7.6 per cent rise in employment respectively.

This compares  favourably with the rest of the country whose employment figures were mostly below seven per cent.

However, it added that in the North, there were social setbacks such as increased child poverty.

The definition of poverty in this case is income that is less than 60 per cent of the median average, which at the time of writing  would make it anything less than £17,040.

The IPPR North’s report showed that since 2014 there have been 200,000 more children living in “poor households.”

It also showed that increases in weekly income in the North have been lagging behind those of the rest of the country.

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Authored by

The Parliamentary Review

June 24 2019

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