Private sector job creation in London versus the rest of the UK: confusion over the facts. Photo: Wikimedia
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Sorting fact from fiction: jobs in London vs. rest of UK

Labour is claiming today that 8 out of 10 new private sector jobs created since 2010 have been in London; the Tories say 3 out of 4 of them have been created outside the capital. Which is it?

The final report in Lord Adonis’s Growth Review has been making waves today, but not entirely in the way Labour likely expected.

The former Labour Transport Secretary’s “Mending the Fractured Economy” report has been widely commended for its ambitious plans for regional devolution in the UK to combat the economic growth bias in London.

This need to bolster growth in regions outside the capital is partially based on, and most strikingly illustrated by, a somewhat questionable statistic, however.

The report states that “four fifths of all net jobs created since 2010 are in London”. The figure comes from a report by the Centre for Cities, an independent research organisation, published this year but which refers to job figures between 2010 and 2012.

The four fifths figure quoted also refers to private sector, rather than all, job creation in the Centre for Cities report.

Although the statistic has caught the imagination of the public and been widely shared on social media today, updated figures from the Office for National Statistics (ONS) paint a rather different picture of regional job creation under the current government.

The ONS shows that 75 per cent of all new private sector jobs have in fact been created outside of London, a fact brought to my attention by the number of Conservative MPs quoting it on Twitter.

I’ve checked the CCHQ maths so you don't have to (though if you want to, you can download the datasets here; table 7 contains all regional private sector job figures since 2008), and the ONS figures show that since 2010, 1.63m private sector jobs have been created outside the capital, compared with 570,000 in London.

Admittedly the ONS data is based on surveys that  measure employment by place of residence, so are likely to undercount the number of people who work in London but live elsewhere. Meanwhile the Centre for Cities figure is based on data from the Business Register and Employment Survey (BRES), which looks at employment by workplace, so will accurately reflect the geographical location of new jobs.

But the ONS datasets are released quarterly, so they are far more up-to-date than those based on BRES, which is published annually and has not yet released its 2013 figures.

Centre for Cities chief executive Alexandra Jones said: “While no dataset is perfect, BRES data gives a more accurate picture of where jobs are located, rather than where employed people live.”

David Gauke, Tory MP for South West Hertfordshire and Exchequer Secretary to the Treasury, was nonetheless piqued by Labour's use of the Centre for Cities statistics, tweeting earlier:

Other senior Tories have been griping that the government has already adopted many of the conclusions in Adonis’s report.

One Conservative source pointed out to me that the key proposal to allow cities and county regions to keep more of their tax revenues is already part of the government’s City Deals scheme, which allows cities like Manchester to retain some of the tax revenues they generate through local growth, which they can then invest in local infrastructure.

On the BBC’s Today programme this morning, the similarity between the recommendations in Adonis’s report and those in Conservative Michael Heseltine’s regional growth plan, which have been accepted by George Osborne, was pointed out.

Lucy Fisher writes about politics and is the winner of the Anthony Howard Award 2013. She tweets @LOS_Fisher.

 

Photo: Getty
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The rise of the green mayor – Sadiq Khan and the politics of clean energy

At an event at Tate Modern, Sadiq Khan pledged to clean up London's act.

On Thursday night, deep in the bowls of Tate Modern’s turbine hall, London Mayor Sadiq Khan renewed his promise to make the capital a world leader in clean energy and air. Yet his focus was as much on people as power plants – in particular, the need for local authorities to lead where central governments will not.

Khan was there to introduce the screening of a new documentary, From the Ashes, about the demise of the American coal industry. As he noted, Britain continues to battle against the legacy of fossil fuels: “In London today we burn very little coal but we are facing new air pollution challenges brought about for different reasons." 

At a time when the world's leaders are struggling to keep international agreements on climate change afloat, what can mayors do? Khan has pledged to buy only hybrid and zero-emissions buses from next year, and is working towards London becoming a zero carbon city.

Khan has, of course, also gained heroic status for being a bête noire of climate-change-denier-in-chief Donald Trump. On the US president's withdrawal from the Paris Agreement, Khan quipped: “If only he had withdrawn from Twitter.” He had more favourable things to say about the former mayor of New York and climate change activist Michael Bloomberg, who Khan said hailed from “the second greatest city in the world.”

Yet behind his humour was a serious point. Local authorities are having to pick up where both countries' central governments are leaving a void – in improving our air and supporting renewable technology and jobs. Most concerning of all, perhaps, is the way that interest groups representing business are slashing away at the regulations which protect public health, and claiming it as a virtue.

In the UK, documents leaked to Greenpeace’s energy desk show that a government-backed initiative considered proposals for reducing EU rules on fire-safety on the very day of the Grenfell Tower fire. The director of this Red Tape Initiative, Nick Tyrone, told the Guardian that these proposals were rejected. Yet government attempts to water down other EU regulations, such as the energy efficiency directive, still stand.

In America, this blame-game is even more highly charged. Republicans have sworn to replace what they describe as Obama’s “war on coal” with a war on regulation. “I am taking historic steps to lift the restrictions on American energy, to reverse government intrusion, and to cancel job-killing regulations,” Trump announced in March. While he has vowed “to promote clean air and clear water,” he has almost simultaneously signed an order to unravel the Clean Water Rule.

This rhetoric is hurting the very people it claims to protect: miners. From the Ashes shows the many ways that the industry harms wider public health, from water contamination, to air pollution. It also makes a strong case that the American coal industry is in terminal decline, regardless of possibile interventions from government or carbon capture.

Charities like Bloomberg can only do so much to pick up the pieces. The foundation, which helped fund the film, now not only helps support job training programs in coal communities after the Trump administration pulled their funding, but in recent weeks it also promised $15m to UN efforts to tackle climate change – again to help cover Trump's withdrawal from Paris Agreement. “I'm a bit worried about how many cards we're going to have to keep adding to the end of the film”, joked Antha Williams, a Bloomberg representative at the screening, with gallows humour.

Hope also lies with local governments and mayors. The publication of the mayor’s own environment strategy is coming “soon”. Speaking in panel discussion after the film, his deputy mayor for environment and energy, Shirley Rodrigues, described the move to a cleaner future as "an inevitable transition".

Confronting the troubled legacies of our fossil fuel past will not be easy. "We have our own experiences here of our coal mining communities being devastated by the closure of their mines," said Khan. But clean air begins with clean politics; maintaining old ways at the price of health is not one any government must pay. 

'From The Ashes' will premiere on National Geograhpic in the United Kingdom at 9pm on Tuesday, June 27th.

India Bourke is an environment writer and editorial assistant at the New Statesman.

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