The latest report from the Centre for Cities has identified the UK towns and cities where disposable income has seen the most significant growth. Living standards in 11 top-performing locations surged by 5.2% since 2013, surpassing the national average of 2.4%.
Brighton led the way with an impressive 8.1% increase in disposable income, followed closely by Worthing at 7.8% and London at 5.8%. These cities and towns collectively experienced a 27% economic growth from 2013 to 2023, outpacing the national rate of 18.4%, resulting in a 5.2% rise in real disposable income.
Researchers highlighted that if all 63 major UK cities and towns matched the disposable income growth of the top performers, residents could have gained an average of £3,200 extra in disposable income over the decade. Cambridge saw a 3% decline in real disposable incomes since 2013, potentially missing out on an additional £10,900 per resident if it had matched the top performers.
Similarly, Wigan experienced a 1.6% decrease in real disposable incomes, indicating a potential loss of £7,200 per resident if it had kept pace with the top-performing areas. Andrew Carter, the CEO of Centre for Cities, emphasized the importance of economic growth in boosting household incomes for long-term prosperity.
He underscored the significance of government initiatives such as planning reforms, devolution, and the Industrial Strategy in supporting growth and improving living standards across cities. Carter called for increased focus on creating jobs in emerging sectors like life sciences, digital, and AI to drive economic growth and enhance local living standards.
Looking ahead, Carter urged policymakers to prioritize job creation, wage growth, and sustainable economic development to ensure broader prosperity across the country by the end of the year.