Berlin Brandenburg: the airport that failed to take off

The UK has had its fair share of landmark construction projects that struggled to reach their completion targets and suffered from soaring costs. Wembley Stadium, Edinburgh’s tram network, and the Scottish Parliament are just some examples of major projects affected by delays and cost over-runs.

But the significant problems affecting these sites appear minor in comparison with the seemingly never-ending story of Berlin’s Brandenburg Airport. It has become a copybook example of flawed project management, and dented Germany’s reputation for efficiency and engineering excellence.

 The economic importance of airports

Once regarded alternately as glamorous gateways or noisy nuisances, these days it’s hard to overstate the significance of airports, not only to their locality, but to national economies.

In 2015, a study found that European airports and associated aviation activity create and facilitate a total of almost 12.5 million jobs, or 675 billion euro in gross domestic product (GDP) each year (that’s just over 4% of the entire European economy). The report noted that, aside from the economic importance of the aviation sector, wider economic activities are facilitated and supported by the connectivity that airports deliver:

“Tourists can spend money in previously unreachable locations. Businesses can produce goods to be consumed in far corners of the world. Investors can set up new offices, call centres and factories exactly where they are needed.”

In the UK, Heathrow Airport has been estimated to support 120,000 jobs and contributes £6.2 billion to the national economy, while Manchester Airport contributes £1.7bn each year to the North West’s economy.

At the same time, delays to the development of airports can have significant negative impacts on economic competitiveness.  The CBI has warned that uncertainty surrounding the construction of a new runway at Heathrow could cost the UK more than £30bn by 2030.

A new airport for a reunited city

Berlin Brandenburg Airport (BER) was supposed to be one of the symbols of the reunited German capital. First announced in 2006, it was intended to replace Berlin’s existing smaller airports – Tempelhof, Tegel and Schönefeld – and to handle a projected 20 million annual passengers.

But, almost from the start, the project ran into difficulties. Property speculators learned of the planned acquisition of new land by the airport authority, bought up the properties and drove up the price. As one observer noted: “The airport corporation was half a billion euros in debt before ground had even been broken.”

As the project grew, so too did the problems. The 2008 global financial crisis meant banks were reluctant to issue loans for the new airport, and private investors backed out. The planned 2011 opening of BER was pushed back to the following year.

Growing faults, soaring costs

In the spring of 2012, all seemed set for BER’s grand opening, with Chancellor Angela Merkel and 10,000 guests invited to attend. But with just a few days’ notice, the inauguration was cancelled due to a fault with fire alarms and smoke extractors.

Hundreds of staff hired by shops for the new airport had to be let go, and airlines that had moved baggage handling facilities to BER had to move them back to Tegel – their claims for damages adding further to the spiralling costs.

The cost overrun of the extraction system added half a billion euro to the budget, and noise protection demanded by nearby residents another 600 million euro. But this was just the tip of a Titanic-sized iceberg.

Hans Brandt, in a report for Deutsche Welle has described the growing list of faults with BER:

“90km of electrical cables were incorrectly installed; all 4000 doors were incorrectly numbered; the escalators were too short; the planner-in-chief was not an engineer, but an imposter; and, last but not least, the emergency line to the fire department was not installed.”

The flight not now departing…

Further scheduled opening dates – May 2013, March 2013, October 2013 – have come and gone. Gone too are some of the key figures involved in the project, including Berlin’s mayor, Klaus Wowereit, whose high-profile role in the project sank his chances of challenging Angela Merkel as Chancellor of Germany. Last year, the airport’s spokesman was fired after claiming in a newspaper interview that “no one, unless he is addicted to drugs, will give you any fixed guarantees for this airport.”

The most unsurprising announcement of 2017 came in January, when BER’s project chief confirmed that the airport would not open this year – the latest hold-up: faulty wiring for 1200 doors.

In the meantime, Berlin’s popularity as a tourist and conference destination has reached stratospheric heights. Tempelhof Airport closed in 2008, but last year Tegel and Schönefeld airports handled over 30 million passengers, higher than any recorded for a single year. As a result, it’s now claimed that on the day that BER finally opens, it will already be under capacity, and will have to be extended.

Capacity problems have prompted many to call for Tegel Airport to remain open after BER eventually becomes operational. Last month, a non-binding referendum saw a majority of Berliners voting in favour of retaining Tegel. However, the airport and city authorities continue to insist that Tegel will be turned into a business park once BER opens.

A byword for ineptitude

As things stand, there is still no firm opening date for BER, and the initial cost estimate of around 2 billion euro has reached nearly 6.5 billion euro.

It’s not unknown for major projects to bounce back from failure:

  • The Scottish Parliament – three years late and ten times over budget – is now a working legislature and has won awards for its architecture, including the prestigious RIBA Stirling prize for the best building in the UK.
  • Wembley Stadium opened in 2007, after years of delay and tripling its cost. But in 2015-16 the venue posted record revenue of £370 million.
  • The Millennium Dome in London, which spent much of its early years being ridiculed as a waste of public money, is today a world-class entertainment venue.

On the other hand, Berlin’s airport authorities might be looking nervously at the experience of Montreal’s Mirabel Airport. Designed to replace the existing Dorval airport that was nearing capacity in 1975, Mirabel never managed to win the support of travellers. In the 1990s, Dorval was reopened to international traffic, while Mirabel was abandoned and eventually demolished.

There are so many lessons to be learned from the BER fiasco that perhaps it would be easier for future project managers to study BER’s entire experience as a model for how not to build an airport.

The German word for ineptitude is unbeholfenheit. But, until Berlin Brandenburg Airport is finally operational, perhaps “BER” can be used as shorthand for any major project that fails to get off the ground.


The Knowledge Exchange provides information services to local authorities, public agencies, research consultancies and commercial organisations across the UK. Follow us on Twitter to see what developments in policy and practice are interesting our research team. 

SURF conference 2017 – What Scotland has learned from 25 years of regeneration

Mural of a taxi being elevated by ballons, Glasgow

Fantastical floating taxi mural, part of Glasgow’s City Centre Mural Trail

By Steven McGinty

If regeneration has been so successful, why are there still so many pilots?

This was just one of the many thought-provoking points raised at the Scottish Urban Regeneration Forum’s (SURF) 25th Anniversary Conference, where the very activity of regeneration was put under the microscope.

In a packed room of delegates, the day opened with two opposing views.

  • The first argued that although regeneration had undoubtedly had its failures, there had been a number of important successes, which had resulted in better places and opportunities for both communities and individuals.
  • The second – and more pessimistic perspective – was that regeneration policy had entirely failed, and that the areas experiencing poverty and deprivation had barely changed over the past 25 years (particularly in Glasgow, where much of the regeneration activity has been focused).

This provided a useful lens through which to view regeneration, as we moved onto a day of workshops and debates on 25 years of regeneration policy, starting from New Life for Urban Scotland all the way up to City Region Deals.

Below I’ve outlined some of the most interesting points to come from these sessions.

Universal income

There was broad agreement that regeneration was about more than building homes, and that one of its core purposes was to tackle inequality.

Universal Basic Income is a policy in which everyone in society is given a sum of money, without any conditions. This policy – likely to be popular – was proposed by a delegate, highlighting its potential for addressing increasing levels of income inequality. A pilot study is already underway in Finland, with participants reporting lower stress levels and greater incentive to work. The Scottish Government has also recently committed to funding local experiments in Fife, Glasgow and North Ayrshire Councils.

Communities need assets

In many of the debates, it was felt that community ownership of buildings and land was key to ensuring a fairer distribution of society’s wealth. Other benefits of community ownership include protecting key local services/facilities (which may have otherwise been lost) and offering better stewardship, as the community have a greater understanding of local needs.

Research has also shown that local communities – who have replaced private landlords – have outperformed the landlords they have replaced. In the past two decades, the value of their land has increased by almost 250%.

Distinctiveness of place

Delegates highlighted that local areas often need local solutions.  For instance, a representative from the Bute Island Alliance noted that addressing their declining population was key to their regeneration goals.

Community consultation

There was a strong feeling that communities had to be consulted. A representative from a local charity explained that “if you are working for a community, then it must include the community”. Others, suggested that some communities would not have the capacity to make decisions on regeneration projects. Yet, this was quickly deemed patronising, with many noting the series of failures by public officials.

Charrettes were seen as an ideal tool for consulting with communities. The Scottish Government define a charrette as:

an interactive design process, in which the public and stakeholders work directly with a specialised design team to generate a community vision, masterplan and action plan.”

The representative from the Bute Island Alliance highlighted that this process had been very helpful in the development of their regeneration plans.

Bringing communities together

It was widely acknowledged that communities are becoming more diverse, and that it’s important to include all members of society. One delegate recounted her experience of Social Inclusion Partnerships (SIPs) – an initiative which aimed to reduce social exclusion – explaining that this model was very successful at engaging with black and minority ethnic (BME) groups. We’ve also seen the Scottish Government recognise the need to encourage young people to get involved in local planning decisions.

Building an inclusive economy

Regeneration has always found it difficult to respond to wider political, economic, social and technological factors. Over decades, deindustrialisation and the change to a more knowledge-based economy has caused significant challenges for communities. For regeneration policy to be successful, it was suggested that people would need to be equipped with the skills to take part in future industries; otherwise we may see inequalities widen. Cities such as Dublin have seen rents increased dramatically due to the inward migration of highly-skilled technology workers, putting pressure on household budgets and showing the challenge for regeneration.

Final thoughts

In the past 25 years there has been an important shift in regeneration, moving from house building programmes to a more holistic approach, which includes policy areas such as health, employment, and the environment. However, the most recent Scottish Government regeneration strategy was published in 2011. It might therefore be time to revisit this strategy and provide a new vision for regeneration, taking recent learning and the changing environment into account. Maybe then, in the next 25 years, there will be no doubt over the successes of regeneration.


The Knowledge Exchange provides information services to local authorities, public agencies, research consultancies and commercial organisations across the UK. Follow us on Twitter to see what developments in policy and practice are interesting our research team. 

Tourism – is it “killing neighbourhoods”?

deck chairs at the seaside

By Heather Cameron

Today is World Tourism Day (WTD), the aim of which is “to foster awareness among the international community of the importance of tourism and its social, cultural, political and economic value.”  (United Nations)

Commencing on 27 September 1980, WTD is celebrated each year with fitting events based on themes selected by the United Nations World Tourism Organisation (UNWTO) General Assembly. The theme for 2017 is the International Year of Sustainable Tourism for Development. The UNWTO says tourism can contribute to all three dimensions of sustainable development – economic, social and environmental – as well as the 17 UN sustainable development goals. It argues that in addition to driving growth, the tourism sector also improves the quality of people’s lives.

However, a recent wave of anti-tourism protests across Europe suggests some disagree.

Anti-tourism sentiment

Much of the focus of anti-tourist sentiment during the summer has been in Spain, where a record 75 million foreign tourists visited last year – up 10 million on 2015. Catalonia hosted more visitors than any other. Estimates suggest an extra 30 million people descended on Barcelona, where radical groups have been reported slashing tyres of rental bikes and a tour bus. The tour bus was also reportedly adorned with the slogan “tourism is killing neighbourhoods.

As the number of tourists has been growing exponentially, so too have the tensions over this surge, coupled with the impact of holiday lets on the local housing market and thus local communities.

Majorca has also experienced protests from citizens against mass tourism. Here concerns have been raised over the number of drunken visitors and the rental of apartments to non-locals, reducing the number of places for locals to live and driving up house prices.

Rising rents and the impact on the environment have been cited as of particular concern among local communities.

Social and environmental impacts

Such concern is by no means a new phenomenon.

A 2012 report on the impacts of tourism on society found that while tourism generates both wealth and jobs, it has also been seen to have negative impacts on socio-cultural values and environmental assets of host communities.

At the same time as bringing people from different backgrounds, cultures and traditions together, due to globalisation, it is argued, tourism has led to many communities losing their cultural identity and giving way to a ‘Disneyfication’ of their town or village.

And while tourism has contributed to the creation of national parks and protected areas, it has also been blamed for increased pollution. According to the United Nations Environment Programme (UNEP), the three main environmental issues of tourism are the depletion of natural resources, pollution and physical degradation.

It is suggested that the main problem emanating from these impacts is that the host community picks up the tab for any damages to the environment and local culture.

Tourism clearly generates a variety of consequences, both positive and negative. It is therefore something that requires careful management.  As the 2012 report concludes, “Tourism development should be part of an economic development and must be done in a manner that is sustainable.”

Sustainable tourism

The focus of this year’s World Tourism Day therefore seems particularly apt. As the World Travel and Tourism Council (WTTC) has highlighted, this provides a unique opportunity for travel and tourism to come together to address the challenges set out in the UN’s sustainable development goals, and for the sector to address the issues of climate change, physical degradation and disruption that leaders from both inside and outside of tourism consider to be of the highest priority.

Progress has certainly been made, as the WTTC has reported:

  • travel and tourism companies were 20% more carbon efficient in 2015 than they were in 2005;
  • the sector is on course to reach a target of cutting CO2 emissions by 50% by 2035; and
  • the sector is on course to reach the target of 25% reduction by 2020.

However, as the recent anti-tourism sentiment indicates, more needs to be done to manage growth in a sustainable manner.

Final thoughts

Sustainable planning and management is clearly important to ensure the long-term viability of the tourism industry. And as the sector represents 10.2% of global GDP and supports 1 in 10 jobs globally, it is too important not to get right.


If you enjoyed reading this, you may also like to read some of our other tourism-related articles.

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The rise in youth markets – “transforming town and city centres with the creativity of young people”

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Credit: National Market Traders Federation (NMTF)

By Heather Cameron

As we recently reported, despite being around for centuries, and following a decline during the recession, traditional retail markets have experienced something of a revival in recent years, with a new generation of innovative young traders coming to the fore.

Latest figures indicate the sector has a collective turnover of £2.7 billion a year from around 32,000 market traders – a gradual increase of around £200 million year on year since 2013.

The last five years has also witnessed the emergence of youth markets and ‘The Teenage Market’ initiative, which are generating income for young people and teaching them valuable entrepreneurial lessons, as well as transforming town and city centres.

Specialist market boom

But this revival is not wholly in the traditional sense of the market sector. Young people entering the sector tend to trade at festivals, fairs and shows rather than traditional markets, contributing to a specialist market boom.

According to a recent survey of the sector by the National Association of British Market Authorities (NABMA), new trends in the most successful product lines – hot and cold food and drink, baked goods, handmade crafts, fruit and vegetables and mobile phone accessories – have fuelled this growth.

Festivals and shows, which are popular with a younger demographic, are increasing in both size and frequency across the UK. Many of these events also take place out of the traditional season.

Such new trends do not come without their challenges, however, as NABMA’s survey also highlighted. Traders reported escalating pitch fees, poor pitch locations and never-ending paperwork. But despite these drawbacks, traders have reported huge returns at such events, where they can turn over tens of thousands of pounds.

Both NABMA and the National Market Traders Federation (NMTF) agree that the sector needs to embrace these new trends and act to engage this new generation of entrepreneurs.

Youth markets

Indeed, national initiatives in support of youth markets have emerged in recent years to do just that.

This September will see the fifth National Youth Market take place in Manchester, an annual event run by the NMTF in partnership with Manchester Markets. Young people between the age of 16 and 30 from all over the UK trade at this event, showcasing their entrepreneurial talent.

The NMTF also supports traditional market organisers to run specialist markets aimed specifically at young people. Many towns and cities from across the UK have launched their own youth markets, such as those in Manchester and Cambridge, with over 100 such events taking place every year.

Also in its fifth year, is The Teenage Marketa fast-growing national initiative that’s transforming town and city centres with the creativity of young people”. This initiative provides a free platform for young people to trade at specially organised events. In addition to the retail offer, it also provides a platform for young performers to showcase their talents

Created by two teenage brothers from Stockport to support their town’s large population of young people, The Teenage Market initiative has quickly expanded across the country with thousands of young people taking part in events. Following the success of the first event, it was quickly recognised that the initiative could play an important role in the town’s regeneration strategy; a role which was highlighted by Mary Portas in her 2011 review of high streets.

Revitalising town centres

According to Portas, “Markets are a fantastic way to bring a town to life… I believe markets can serve as fundamental traffic drivers back to our high streets.” And one of her recommendations was to build upon current successful initiatives “to help attract young entrepreneurs to markets and really start building the innovative markets of the future.”

Indeed, the positive benefits for the towns and cities running The Teenage Market events include a rise in footfall, an increase in spend in the local area and a rise in the number of visitors to their local market.

Not only this, but the fusion of retail and live performances has succeeded in attracting a new generation of shoppers and visitors to local markets, helping to breathe new life into town and city centres.

Final thoughts

In an era of online shopping and declining high streets, the fact that local markets led by a new generation of traders are flourishing can only be a good thing.

And with an ageing population of traders, it is arguably now more important than ever to encourage young traders in order to secure the future prosperity of the markets industry.


If you enjoyed this blog post, you may also like our previous post on street markets.

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Accelerated development: do Simplified Planning Zones work?

The Hillington Park SPZ has accelerated a number of developments, including a “motorbike village”.

by Donna Gardiner

A simplified planning zone (SPZ) is a designated area where the need to apply for planning permission for certain types of development is removed so long as the development complies with a range of pre-specified conditions.

Although the SPZ concept has been around since the 1970s, the idea has never really taken off, and there are very few SPZs in the UK.

However, in the last 12 months there have been some signs of renewed interest in the concept.  As part of the current review of the planning system, the Scottish Government has shown considerable enthusiasm for the potential of SPZs to address the housing crisis and support economic development.

In their most recent position statement, they state:

Zoning has potential to unlock significant areas for housing development, including by supporting alternative delivery models such as custom and self-build. This could also support wider objectives including business development and town centre renewal

Indeed, the Scottish Government recently committed £120,000 to help four local authorities develop pilot SPZs for housing development in Aberdeenshire, Argyll & Bute, Dumfries and Galloway, and North Ayrshire.

There are also plans underway for the creation of two new SPZs in Scotland.  In Aberdeenshire, councillors have agreed that planning officers should begin the statutory process for the creation of an SPZ for industrial and commercial activity in the south of Peterhead. The SPZ aims to strengthen the town’s position as a key strategic investment location, and complement work to regenerate the town centre.

At the other end of the country, in the Scottish Borders, a consultation has recently closed on the creation of an SPZ in Tweedbank – the new Central Borders Business Park.  The scheme aims to capitalise on the opportunities brought about by the Borders Railway, and is likely to receive additional funding as part of the recently agreed Edinburgh and South East Scotland City Region Deal.

While there is enthusiasm for the Tweedbank SPZ, East Berwickshire councillor Jim Fullerton notes: “The question of the viability of this project has to be recorded. Enthusiasm is one thing, but evidence of it being viable is the key.”

Viability

So what is the evidence on the viability of SPZ’s?  In theory, SPZs can offer a number of benefits for both the developer and the planning authority, including:

  • removal of the ‘planning hurdle’ and associated fees
  • faster decision making and accelerated development
  • greater certainty for developers and stakeholders
  • simplified planning control
  • reduces the need for repetitive planning applications
  • saves time and costs both for organisations and the local planning authority
  • offers more flexibility than a masterplan
  • attracts investment
  • can help to promote the reuse of existing space

However, while there are equivalent mechanisms in other countries, there are currently only two other operational SPZs in Scotland – Hillington Industrial Estate and Renfrew High Street.  They are widely considered a success, with Scottish Planner concluding that:

Both projects are a good example of how planning professionals, working with commercial stakeholders, can cooperate successfully in finding new ways to encourage sustainable economic growth.

Case study: Glasgow City Council and Hillington

In 2014, the first SPZ in Scotland in 20 years – the Hillington Park SPZ – was established by a partnership between Glasgow City Council and Renfrewshire Council.

The award-winning SPZ allows the landowner to increase space at the site by around 85,000 square metres, as long as proposals conform to the conditions set out in the SPZ scheme.

The SPZ is valid for 10 years.  So far, it has triggered around 20,000 square metres of development and attracted around £20 million pounds of investment.  Not only has it helped to promote the reuse of existing space, such as the obsolete Rolls Royce plant, it claims to have given the area a commercial advantage in attracting inward investment.

Jamie Cumming, the director of Hillington Park, said: “Our SPZ status means that new developments like the ‘motorbike village’ with Ducati Glasgow, Triumph Glasgow and West Coast Harley-Davidson as well as Lookers plc’s new Volvo and Jaguar showrooms and our own Evolution Court manufacturing and logistics development can be accelerated with an anticipated build time of just 10 months.”

Case study: Renfrew Town Centre

Building on the success of the SPZ at Hillington, in 2015 Renfrewshire council created the Renfrew Town Centre SPZ Scotland’s first SPZ focusing on town centres.  Renfrew is a “small, but vibrant” town centre. The SPZ aims to support existing businesses, encourage new businesses, and increase the number of people living within the town centre by supporting the re-use of vacant property on upper floors.

The scheme has been hailed as an excellent example of the Town Centre First principle.

According to Scottish Planner: “The scheme has been well received and offers simplicity to businesses who can invest in the town centre knowing that they can change the use of premises and upgrade the shop front without having to apply for planning permission”.

Challenges

However, SPZs are not without their challenges.  These include the initial costs of establishing the SPZ, which can vary significantly depending on the size and complexity of the scheme.  There is also the need to ensure that the SPZ is ‘future-proofed’ – so that it is still relevant throughout the duration of its life (usually 10 years).  It is also important that those establishing an SPZ address the perception held by many that the relaxed planning rules associated with SPZs will result in poor design or compromise environmental impact.

Future directions

In addition to the pilot SPZs, the Scottish Government has commissioned Ryden (in association with Brodies) to undertake research to assess the potential for a more flexible and more widely applicable land use zoning mechanism than SPZs provide at present.  The research will inform the Government’s final proposals.

The research team at Idox will be following the revival of SPZs in Scotland with interest.

Science, technology and innovation: the impact of Brexit

Scientist working with a large cylinder-shaped piece of lab equipmentBy Steven McGinty

There have been many twists and turns in the Brexit story. The latest, has been Theresa’s May’s failed attempt to increase her parliamentary majority and gain a personal mandate for negotiating her own version of Brexit.

However, since the UK voted to leave the EU in June 2016, STEM (science, technology, engineering and maths) researchers and professionals have consistently voiced their concerns over the potential negative impacts of Brexit, particularly in areas such as funding, collaboration and skills.

Prospect – a union for 50,000 scientists, engineers and technical specialists – has made it clear that they believe:

Science is an international endeavour and continued free movement of people is vitally important both to the public interest and the wider economy.”

Their research highlights that British participation in prestigious Europe-wide research projects could be under threat, such as the mission to find the ‘oldest ice’ in Antarctica and the European Space Agency’s project to develop the most ambitious satellite Earth observation programme.

The Financial Times also highlights that British researchers have been very successful at winning important grants from the European Research Council. As a result, the UK receives 15.5% of all EU science funding – a disproportionate return on the UK’s 12% contribution to the overall EU budget.

Professor Dr Carsten Welsch, an academic from Liverpool University, underlines how essential EU funding is to his work: “in some years as much as 80% of our funding has been sourced from the EU.

Figures from technology consultancy Digital Science suggest that leaving the EU could cost UK scientists £1bn per year.

Universities UK has also investigated the wider economic impacts of EU funding in the UK. In 2016, their research found that EU funding generates more than 19,000 jobs across the UK, adding £1.86 billion to the UK economy. Later research has also shown that international students and their visitors generate £25.8 billion in gross output for the UK economy. In addition, as a single group, they add £690 million to the UK retail industry.

What do the politicians say?

With their ‘Save our Scientists’ campaign, the Liberal Democrats have been outspoken in their support for continued scientific co-operation across Europe. Their 2017 General Election manifesto stated that they would underwrite funding for British partners in EU-funded projects such as Horizon 2020 – the largest ever EU Research and Innovation programme – worth nearly €80 billion in funding. It also promised to protect and raise the science budget by inflation, and stop cuts to medical research.

But the UK government has also made efforts to lessen the concerns of STEM researchers and professionals. Similarly, Chancellor Philip Hammond has guaranteed to underwrite EU funding won by UK organisations through programmes such as Horizon 2020, even if these projects continue after Brexit. On the 17th January, Prime Minister Theresa May outlined her 12 objectives for negotiating the UK’s exit from the EU. Within this speech, she stated that:

We will welcome agreement to continue to collaborate with our European partners on major science, research and technology initiatives, for example in space exploration, clean energy and medical technologies.”

Jo Johnson, Minister of State for Universities, Science, Research and Innovation, has also tried to provide reassurance by emphasising the important role for science and innovation in the government’s industrial strategy. He has highlighted that the strategy includes £229 million of funding for a ‘world class’ materials research centre at the University of Manchester and a centre for excellence for life sciences. In addition, a new funding body will be created – UK Research and Innovation (UKRI) – which will bring together several funding councils to create a ‘loud and powerful’ voice for science.

The House of Lords Science and Technology Committee has also published a report arguing that positive steps should be taken to ensure UK science plays a significant role in the global economy. One idea put forward by the report is that:

The UK should offer to host – in partnership with governments and funding bodies from other countries – one or more new, large-scale international research facilities. This would be a bold move to signal the UK’s global standing in science.

International partners – David Johnston Research + Technology Park

At a recent innovation event in Glasgow, Carol Stewart, Business Development Manager of David Johnston Research and Technology Park, set out the thoughts of researchers and companies based at their innovative research park in Waterloo, Canada. Unsurprisingly, their key concern was restrictions on the free movement of labour, and the impact Brexit might have on the EU-Canada Comprehensive Economic and Trade Agreement (CETA).

However, Ms Stewart was positive that there would still be plenty of opportunities, noting that the UK and Canada has a relationship as part of the Commonwealth, and that London will still be regarded as a global technology hub.

Overcoming negative sentiment

One important concern is that there is widespread anecdotal evidence that EU nationals are feeling less welcome. Stories of researchers either leaving positions or citing Brexit as a reason for not taking up posts in the UK are becoming the norm. Anxieties caused by a lack of clarity over the long-term status of EU nationals and the complexities in obtaining permanent residency, can only be damaging to the UK’s reputation for international science.  As physicist and TV presenter Professor Brian Cox explains:

We have spent decades – centuries arguably – building a welcoming and open atmosphere in our universities and, crucially, presenting that image to an increasingly competitive world. We’ve been spectacularly successful; many of the world’s finest researchers and teachers have made the UK their home, in good faith. A few careless words have already damaged our carefully cultivated international reputation, however. I know of few, if any, international academics, from within or outside the EU, who are more comfortable in our country now than they were pre-referendum. This is a recipe for disaster.

With the latest election results, the UK is likely to go through a period of political instability. It will be important  that, regardless of political changes, the UK continues to exercise its role as a leader in science, technology and innovation. That not only means providing funding and facilities for research, but also rebuilding the UK’s reputation as a place where the very best scientists and innovators want to live and work.


Follow us on Twitter to see what developments in public and social policy are interesting our research team.

If you found this article interesting, you may also like to read some of our other articles:

It’s a kind of magic: how green infrastructure is changing landscapes and lives

Daisies in Victoria Park sent in by Fiona Ann Patterson

Victoria Park, Belfast. Image: Fiona Ann Paterson

The greatest change happening to the face of our planet is the rapid growth of urban areas. Every ten years, an area the size of Britain is colonised by urban development, and by 2050 two-thirds of the world’s population will be living in urban areas. This urban growth is already having a profound impact: while cities occupy 2% of the world’s surface, they consume 75% of the Earth’s natural resources and produce 75% of global CO2 emissions.

Last month’s Central Scotland Green Network (CSGN) forum in Edinburgh explored how green infrastructure projects can help cities and towns repair the damage of urbanisation, while making urban areas more healthy and prosperous places for the people who live there.

The importance of green infrastructure

Green infrastructure includes elements such as parks and gardens, woodland and wetlands, canals and cycle paths. It’s a natural life support system that can play a key role in helping urban areas adapt to and mitigate climate change.

Three projects showcased at the CSGN forum admirably demonstrated how green infrastructure can benefit the environment, the economy, large cities and local communities.

Milan: building forests in the sky
Francesca Cesa Bianci, senior architect at Stefano Boeri Architects in Milan described a ground-breaking project in her city, called Bosco Verticale – the Vertical Forest.

She explained that, while urban growth cannot be stopped, it is possible to build cities more in harmony with nature. The Vertical Forest project is a response to this challenge.

Almost 800 trees and 5000 shrubs have been planted on the balconies of two residential towers built on a brownfield site in central Milan. The result is visually striking, but even more outstanding is the greenery’s environmental impact. The two towers absorb 30 tons of CO2 per year and produce 19 tons of oxygen a day. Noise and heat are also reduced and the buildings now provide habitat for more than 20 species of birds.

The Bosco Verticale idea is now spreading beyond Italy, with similar projects in Albania, Switzerland and China. Some municipalities in China are also exploring the idea of entire cities composed of vertical forests – which could bring significant benefits to urban areas where air pollution is a hidden killer.

Belfast: telling a different story

East Belfast is an area of multiple deprivation, with some of the worst levels of physical and mental health in Europe, low educational attainment and a deprived physical environment. The 2014 edition of the Rough Guide to Ireland warned readers that it was “inadvisable” to visit the area.

That scenario is now changing, thanks largely to a green infrastructure project. Wendy Langham, Programme Manager for the EastSide Partnership, outlined to the CSGN forum how the Connswater Community Greenway  (CCG) is changing lives and changing the way people think about the area.

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Connswater Community Greenway Image: EastSide Partnership, Belfast

Funded by the Big Lottery Fund, Belfast City Council and the Northern Ireland Executive, two major phases of development have created a 9km linear park with 16km of walking and cycling routes, 30 new or improved bridges crossing over three rivers, and works to deliver elements of Belfast’s Flood Alleviation scheme and improve water quality.

An ongoing assessment of the project has estimated the potential economic return of the CCG to be up to 14 times the investment. The flood alleviation investment of £11.7m has saved an estimated £54.7m.

The study also highlighted the wider benefits of the project:

“We have shown that environmental interventions, such as the Connswater Community Greenway, could be a cost-effective way to increase physical activity levels, prevent major chronic diseases and decrease healthcare expenditure. In addition, the Greenway may have benefits beyond health such as reductions in traffic and carbon emissions, crime and improvements in safety.”

The project has been keen to tell a different story about East Belfast from the negative narrative so long associated with the area. Celebrating local heroes, the project has developed a public square named in honour of author C.S. Lewis, while a Van Morrison music trail has attracted locals and tourists to the area.

Wendy explained that the project is far from finished, and has ambitious plans for the future. She concluded with a quotation from Michelangelo that captures the spirit of the project:

“The greater danger for most of us lies not in setting our aim too high and falling short; but in setting our aim too low, and achieving our mark.”

Copenhagen: connecting people with nature

For many years, the Danish capital has been the envy of cyclists the world over. But now, the city’s well-developed network of on-road cycling routes is being supplemented by a new set of ‘green cycle routes’. Winding through parks, open spaces, woodlands and other habitats, the new paths will give cyclists and pedestrians safe and enjoyable access to nature.

Niels Jensen, traffic planner with the City of Copenhagen, explained that the first of these green cycle routes opened in 2012, and a further 23 routes are planned, covering an area of over 100km. One of the routes connects central Copenhagen with the suburban town of Albertslund, 22 km outside the city, while another follows the course of an abandoned railway line.

Albertslund Bikeway

Albertslund Green Cycleway. Image: Soren Rud/LifeExhibitions. Further information – Copenhagen Green

Niels acknowledged that the investment in the project is significant – €20.7 million, But Copenhagen believes the benefits are worth the money,with more non-cyclists – including children – taking to bikes, using safe, direct and unpolluted connections. Since 2012, the first two routes have experienced a growth in the number of bicycle users of 61% and 34% respectively. The project expects to see a 25% increase in cycling traffic by 2025, advancing Copenhagen’s ambition to be the best cycling city in the world.

Conclusion

In her keynote speech to the CSGN forum, Scottish Government minister Roseanna Cunningham described the transformation achieved by green infrastructure as “magical”. She highlighted the examples of a project that will transform a landfill site in Glasgow into a community woodland, and another programme to improve mental health by bringing people into contact with woodlands and forests.

These projects, and those showcased during the CSGN forum demonstrate that our urbanising world need not be a concrete jungle, and that the benefits of green infrastructure go far beyond its face value.

Orangefield Park Celebrations

Orangefield Park, Belfast Image: EastSide Partnership, Belfast


Further reading on green spaces in our blog

Supporting markets to survive and thrive

For around a thousand years, the London Borough Market has existed in one form or another.  It has survived fire, flood, plague and war – and on the 3rd of June this year, a terrorist attack.  The market has since reopened, with traders determined to continue their work and serve the local community.

Although many markets are a historic part of their host towns and cities, they are far from being relics.  Indeed, in recent years markets have experienced something of a revival.  In London alone, since 2010, the number of street markets has grown from 162 to over 250.

There are clear reasons for this – markets offer consumers and traders a number of benefits, and they make significant contributions to the economic, social and political health of towns and cities.

Economic impact of markets

Indeed, in 2015, the Institute of Place Management (IPM) conducted a comprehensive review of the impact of markets and found that markets not only have a significant turnover, they also impact indirectly on the wider economy – meaning that the £3.5 billion turnover directly attributable to retail markets is actually worth around £10.5 billion to the UK economy.

The Portas review in 2011 hailed markets as a potential saviour of the high street.  Indeed, the IPM review supports this, reporting that markets can help to increase town centre footfall by up to 25%.  This has significant economic potential.  In London, market visitors spend around £752 million per annum in nearby shop-based retailers.

Markets were also found to:

  • act as a significant employer, both nationally and at the local level
  • support intergenerational economic mobility (through family-owned businesses)
  • support the development of entrepreneurial skills in young people through ‘youth markets’
  • act as business incubators and support business formation due to their low barriers to entry, for example, enabling migrants to set up their own businesses
  • enable small businesses to reach larger businesses whom they can supply, and support other local businesses, such as farmers.
  • encourage high street diversity and create a distinct ‘identity’ for high streets
  • promote high street resilience, as they are flexible and able to respond quickly to changing demands.
  • help to utilise vacant and underused spaces within high streets
  • attract tourists, who are drawn to them because they are “unique, quirky, unusual”

Wider benefits

Markets also have a number of social purposes.  They are important places of social interaction, which facilitate community cohesion and social inclusion.  Markets can also help to improve public health and quality of life through the provision of fresh, quality produce at lower price points, which may be particularly beneficial for low-income families.

From an environmental perspective, there are also a number of benefits arising from the sale and purchase of locally produced products, including reducing pollution associated with high ‘food miles’ and reducing the need for consumers to travel to out-of-town sites, such as large retail parks, in order to make their purchases.

Challenges

Although there is overwhelming evidence that almost every street, food and farmer’s market is an invaluable asset to its local community, markets still face a number of very real threats.  These include:

  • the rise of out-of-town shopping centres, the dominance of big supermarkets, and the popularity of online shopping
  • planning and regulatory regimes that do not allow for, or restrict, the expansion or establishment of markets
  • a lack of support for markets or poor management by local authorities
  • high land values making it difficult for markets to be established

As many markets are a lifeline for areas experiencing deprivation, it is important that they receive the support that they require to survive and flourish.

Promoting and supporting markets

So, what can be done to support markets?  Earlier this year, the Mayor of London, Sadiq Khan, announced plans to establish the London Markets Board – a team of experts tasked with delivering a London markets strategy, and work to preserve and promote London’s increasing number of markets.

On a wider scale, NABMA (National Association of British Market Authorities) and the National Market Traders Federation recently published a ‘five-year manifesto’, which made a number of recommendations for ways to support markets.

A key recommendation is that local authorities work to raise the profile of markets.  There are many market-focused national initiatives such as Love Your Local Market, the National Youth Market, and the Great British Market Awards, which local authorities can become involved in.

The Love Your Local Market campaign, for example, is an annual event, established in 2012, which brings together markets across the UK.  It aims to build affection and support for markets in local communities, and offers free or subsidised pitches to start-ups to test trading conditions.  In 2013, it increased footfall in participating town centres by 10%.

Other recommendations to support markets include:

  • greater recognition of the role of markets in local economies, jobs and growth, as well as in civic local society
  • ensuring that retail markets have a voice in policy making that affects them, including planning and town centre management
  • further lifting the current burden of business rates for SMEs
  • supporting greater awareness of the sector’s employment opportunities including apprenticeships, platforms for self-employment and training hubs
  • developing and supporting sector-led initiatives that aim to support entrepreneurship and increase the amount of businesses on markets, and support them digitally
  • encouraging schools and further education establishments to work with market operators to enable people entering the labour market to embrace markets as a possible career

There are some promising signs.  Around £90 million has been invested into improving markets since 2014, and an increasing number of local authorities are making them central to town centre plans and regeneration activity.

By promoting and supporting markets in this way, the economic, social and environmental benefits can be maximised. As the 2015 review of markets underlines: “markets are an important asset to a location, and their future cannot be left to chance.”

Planning for the digital economy

The digital tech sector is the UK’s fastest growing sector.    Recent statistics show that it is growing as much as 50% faster than the wider economy.  In London alone, a new tech business starts up every hour.  Beyond London, digital tech clusters across the country are driving the economic resurgence of many cities and city regions.

The rapid growth of the sector means that its spatial footprint has become increasingly evident in towns and cities across the UK.  In May, the Royal Town Planning Institute (RTPI) published guidance on how town planning can respond to and guide the future development of the digital economy.  It makes recommendations for planners in two areas:

  • how to encourage the growth of the tech sector in their local area; and
  • how to make best use of the opportunities provided by the tech sector for the planning system

What is the tech sector?

The digital tech sector is increasingly diverse, and there is no straightforward definition.  The 2016 Tech Nation report identified 16 different sectors, some of which include:

There are currently around 58,000 active digital tech businesses in the UK.  It employs 1.64 million people, and job growth is more than double that of other sectors.  Roles are generally highly skilled and well paid, compared to other sectors.  Indeed, the average salary is 44% higher than the national average!

Location preferences

Digital tech, as a sector, thrives off well-planned spaces with access to good local infrastructure.  Tech firms and their employees tend to prefer easily accessible, walkable, multi-use districts. This results in the creation of ‘clusters’ of similar firms in central urban locations.

Clustering has a number of advantages for digital tech businesses – including easy access to large talent pools and the ability to network and exchange ideas face-to-face with local, likeminded businesses and employees – a key driver of innovation.

London, Manchester and the Greater South East have some of the largest digital tech clusters in the UK; however, the Tech Nation 2017 report mapped 30 significant clusters across the length and breadth of the UK – from Dundee to Exeter.

Facilitating the growth of the sector

The recent growth of the sector has already led to a number of economic policy responses, including the development of enterprise zones, innovation and business centres, and ‘innovation districts’.  The RTPI guidance also highlights a number of smaller-scale responses that can be utilised to attract and foster tech industry growth, including:

  • ‘de-risking sites’ by making sure that planning requirements are “practical, clear and known in advance of specific proposals coming forward
  • using public money for assembling and servicing sites that are more challenging
  • the provision of Wi-Fi in specific locations
  • making districts pedestrian and cycling friendly
  • leveraging Public Private Partnership models to build digital infrastructure

In addition to these responses, the RTPI makes three recommendations for planners on how they can create an environment that is attractive to digital tech firms.

First, it suggests that planners should monitor the local economy to get a sense of what local growth industries are.  Policies can then be adapted to local economic conditions.  Some local authorities already do this using company registration data.  For example, Camden Borough Council use this data to inform a quarterly ‘Business and Employment Briefing’.  It covers a range of measures, including business size and type, employment in the borough, commercial property, unemployment, worklessness and qualifications.

In order to attract and assist the growth of the digital tech sector, it is important for local planning teams to have a proper understanding of the sectors’ spatial preferences.  This is particularly important when drawing up local plans.  Therefore, the second recommendation made by the RTPI is that local authorities should employ someone to engage with local tech firms to find out how planning could help to better facilitate their growth. The roles of The Dublin Commissioner for Startups and the Amsterdam Chief Technology Officer are potentially interesting models for this.

Third, the RTPI recommends ensuring that there is sufficient housing, office space and transport infrastructure to meet capacity.  These three elements are the “fundamental ingredients for an economically and socially successful city”.  Without them, no amount of other interventions will attract firms to an area.

The Tech Nation 2017 report found that 30% of digital tech community members cited their local transport infrastructure as a ‘business challenge’.  Tech London Advocates report similar concerns, whilst also highlighting the challenges posed by digital infrastructure: “It has become increasingly clear that a fundamental challenge facing tech companies in London is infrastructure. The tech sector has grown so fast that the provision of office space and digital connectivity is having to play catch up”.

The digitisation of planning

The growth of the digital tech sector not only creates jobs and generates wealth; it creates opportunities for improved efficiency in other sectors too.  In planning, digitisation can free up time and resources, and create new tools for planners to utilise.  From the adoption of  geographic information system (GIS) software for mapping, to experimental trials of 3D modelling software and virtual reality in plan making and community engagement, technology has and continues to present a number of opportunities to improve the planning system.

Beyond planning, innovations in the digital tech sector aid the creation of ‘smart cities’ – where information and communication technology (ICT) and ‘Internet of Things’ (IoT) technologies are integrated to manage cities’ assets, with the overall aim of improving efficiency.  Examples of potential usage vary considerably, from supporting people with disabilities or chronic illnesses, to the provision of real-time traffic data, controlling streetlights and monitoring environmental data.

As such, a final recommendation made by the RTPI is to make use of local firms’ skills and resources to address cities’ infrastructural challenges.

Addressing inequality

Despite the rapid growth of the digital tech sector and its contribution to job and wealth creation, there is an increasing recognition that the benefits created by the sector can be insular and often do not spill over to the local economy.

Indeed, studies have found that the higher the share of tech employment in a city, the more income inequality there is.  On this basis, the digital tech sector has been criticised for its potential to create a ‘two-tier economy’.  There are also concerns about the gentrifying effects of digital tech clusters on local areas.  In London, for example, tech growth has increased the cost of living in some parts of the city, displacing smaller firms and lower income families.  It also poses a potential threat to innovation as startups are priced out of successful digital tech clusters.

Clearly addressing these issues poses some significant challenges for policymakers.  Last year, the RTPI made a number of recommendations in this regard, including helping local people to develop the skills needed by local tech companies.

Successful planning

The digital tech sector has enormous potential to enhance economic growth.  Through its ability to create the optimal conditions for the digital tech sector to thrive, planning can help to encourage this growth.  Understanding local economic trends, consulting with digital tech businesses about their needs, and ensuring that local infrastructure has the capacity to meet these needs, are vital to successful planning for the digital tech sector.  At the same time, ensuring that this growth is sustainable and benefits wider society are key challenges for planners.

Working longer – the reality ‘behind the headlines’

Senior businessman in office working on laptop

By Heather Cameron

With no shortage of headlines highlighting the record employment rate in the UK, and the increasing number of older workers widely reported, it may seem that the outlook for the ageing workforce is a rosy one. But do these headlines hide the reality?

Recent analysis from Age UK argues that the headline employment rate doesn’t tell the whole story about working longer, “making it an insufficient – and even misleading – tool for public policy decision-making”.

The statistics

The most recent official figures show that the employment rate (the proportion of people aged from 16 to 64 who are in work) is the joint highest since comparable records began in 1971, at 74.8%, while the unemployment rate is the joint lowest since 1975.

Data also shows that the employment rate for people aged 65 and over has indeed increased since the 2008 recession. It is currently at 10.4%, up from 7.3% in 2008.

Age UK has also recognised the increase in employment rates for older people, noting that, in fact, the older the age group, the greater the increase in employment. However, the average number of hours worked has declined since the recession, indicating a more complex and perhaps less reassuring situation than the one portrayed in the media.

The biggest drop was for 50-54 year old men, whose average hours declined by 29%. For men aged 60-64, the average number of hours declined by 8 hours (over 22%), while women aged 50-54 experienced a fall of 18%.

The only age group not to see a decline was women aged 60-64, which is likely to be as a result of the raising of the State Pension age.

Choice or necessity?

The change in the State Pension age was justified on the grounds that it gave people more choice and more scope to continue working if they wished to.

A recent CIPD survey found that the most common reason for wanting to work past 65 is that employees believe it will help keep them mentally fit, followed by wanting to be able to earn a sufficient income to continue to do the things they enjoy.

As Age UK suggests, it may be that the reduction in working hours is a good sign if it is due to older workers choosing to wind down their hours, maybe to enable them to juggle other responsibilities such as caring for their grandchildren, while still earning a wage.

However, the research suggests it may be less through choice and more as a result of the changing labour market such as increasing underemployment (working less hours than they would choose to) or increasing insecure working practices driven by the rise in self-employment and the ‘gig economy’.

As it is likely working fewer hours will mean less income, this could be a cause for concern since it will be more difficult for older workers to maintain their standard of living until they meet the State Pension age and for them to save enough for retirement.

Another issue highlighted by the CIPD, is that most employees don’t believe their organisations are prepared to meet the needs of the over 65s, suggesting that there is a need for employers to also review their practices in terms of managing older workers.

Final thoughts

It is clear that while, for some, choosing to work beyond the traditional retirement age will be a lifestyle choice, for many it will be a necessity. Any substantial reduction in working hours for these older workers could consequently pose a real issue.

It would therefore make sense for policy makers to heed the warning from Age UK not to rely on the headline rate of employment for older workers, and rather look beyond it to the reality of many struggling to get and keep the secure, well paid jobs they want and need.


If you enjoyed reading this, you may be interested in reading our previous post on the pros and cons of the gig economy.

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