CentreForCities – Cities Outlook, 2024

The Centre for Cities has released a report highlighting the importance of cities to the national economy. The report shows that there are significant variations in economic performance across the country, with differences in productivity, wages, and skills levels. High housing costs are also identified as a threat to the success of cities. The report highlights that large cities are underperforming in terms of productivity and the presence of new economy firms. It also shows that high-skilled residents and private KIBS (Knowledge-Intensive Business Services) jobs are lacking in these cities. Greenhouse gas emissions and land usage are also areas of concern. To address these issues, the report suggests reforming the planning system to be more rules-based and to tackle the backlog of housing. The report also emphasizes the importance of the levelling up agenda in improving the performance of large cities outside of London and recommends implementing a multi-decade program of policies similar to Germany. Additionally, the report calls for further devolution of fiscal powers to cities such as London, Greater Manchester, and the West Midlands to empower them in tackling economic underperformance and funding challenges. Overall, the report emphasizes the need for action and policy changes to support the economic success of cities and ensure they can contribute to the national economy.