Leadership Metropolitaine:Londres/London

Mark Kleinman Director, Economic and Business PolicyGreater London Authority

London’s economy – fundamental strengths

• Vast, global city economy• Job growth of over 800,000 between

1996 and 2011; forecast of 850,000 2011-2036

• International centre of trade and innovation

• Resilient, diverse economy

• Strong globally competitive position

London is a sought-after business location

Attractiveness of London to business

  2011 2010 2009 2008 2011 Lead

Availability of qualified staff 1 1 1 1 London

Easy access to markets 1 1 1 1 London

Quality of telecommunications 1 1 1 1 London

External transport links 1 1 1 1 London

Cost of staff =30 29 28 29 Bucharest

Climate for doing business 3 2 4 5 Dublin

Language spoken 1 1 1 1 London

Office space - value for money =24 26 23 24 Warsaw

Internal transport 1 1 1 1 London

Availability of office space 10 =4 2 5 Berlin

Quality of life 10 10 11 14 Barcelona

Freedom from pollution 25 =25 29 27 Stockholm

Source: European Cities Monitor, Cushman & Wakfield (2008-2011)

Firms can access a large volume of people who themselves are attracted to live and work in London.

Source: TfL

Number of residents accessible by public transport in 45 minutes

So there is a concentration of employment in London, particularly central London.

Source: ONS (BRES) 2011

Number of people in employment per sq km, all sectors

London’s labour productivity

115

120

125

130

135

140

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Index

UK =

100

London

GVA per hour worked index, London, 1996 – 2009, UK = 100 (Source: ONS/BIS 2010)

Looking ahead London’s population is projected to grow significantly …

Source: GLA Intelligence Unit

… as is London’s employment …

Source: GLA Economics Working Paper 52, Workforce Jobs series (ONS), GLA Economics calculations

0

1000

2000

3000

4000

5000

6000

7000

1984

1988

1992

1996

2000

2004

2008

2012

2016

2020

2024

2028

2032

2036

000s

Historic

Projected

… particularly in the professional business services sector.

Source: GLA Economics Working Paper 52, Workforce Jobs series (ONS), GLA Economics calculations

0

200

400

600

800

1000

1200

1984

1988

1992

1996

2000

2004

2008

2012

2016

2020

2024

2028

2032

2036

000s

Professional, Real Estate, Scientific and Technical Activities

Health

Administrative and Support Service Activities

Retail

Financial and Insurance Activities

Information and Communication

Accomodation and Food Service Activities

Education

London, France's sixth biggest city?

•More French people live in London than in Bordeaux, Nantes or Strasbourg and some now regard it as France's sixth biggest city in terms of population.

•The French consulate in London estimates between 300,000 and 400,000 French citizens live in the British capital.

•Third French school to open in Wembley, North London. French Ambassador to the UK Bernard Emié said: “This historic building provides an ideal space and enjoys the perfect location to house our future school, which will enable us to increase the reception capacity of French secondary education in London. Indeed, the project is very eagerly awaited by the French community and all those who recognise the quality of French education in London.”

Metropolitan Leadership• London Mayor has set of strategic

powers• Government has increased Mayor’s

powers over the last 13 years• Two-tier system: boroughs spend about

as much as the Mayor and control most local service delivery

• Big gap is fiscal powers

London Enterprise Panel

Crossrail

London Finance Commission• Funding arrangements should allow London

government to make additional self-determined investments in its own infrastructure both to cater for the growth already forecast for its population and economy, and to promote additional economic growth.

• Relax restrictions on borrowing for capital investment while retaining prudential rules

• Devolve the full suite of property tax revenue to London

• Reforms would increase london government’s accountability to residents and businesses.

Should Mayors rule the world?• More attention is being focussed at the

city level of leadership• Gridlock and legitimacy issues at

national level• Mayors need the right set of strategic

powers at metropolitan level• Risks of becoming ‘too big’ and losing

direct contact with citizens• Networks of cities and direct learning

Thank You