Labour must “Think Cities” in 2015

Over the past decade, cities have risen up the agenda, not just in the UK, but around the globe.

It is now well known that for the first time in history more people live in cities today than not. The reason that people are flocking to live in cities all around the world is clear – they offer people the biggest range of social and economic opportunities. Cities are home to the most productive parts of the global economy – they are places where new ideas are generated, businesses are started and expanded, wages are higher and people’s ambitions can be fulfilled.

Which means all parties must ‘think cities’ ahead of the general election.

Both Ed Milliband and Jon Cruddas have spoken recently of the need for a Labour Government to prioritise passing power down from central to local government, ensuring decisions are taken closer to those people that they impact. If Labour does form the next Government – either alone, or as part of a coalition – empowering our cities to improve the lives of those who live there must be at the top of the party’s policy agenda. The vital role that cities play in driving economic growth is increasingly being recognised across all political parties.

Centre for Cities research has shown that our cities are leading the charge to economic recovery – they have been home to 96% of the private sector jobs created since the recession.Yet leaving London to one side, the majority of the UK’s biggest cities are still failing to realise their potential, and more needs to be done to support them, and the expansion of fast growing, smaller urban settlements. Despite progress such as city regions under the previous Labour government, and City Deals and now Growth Deals under this government, the UK is currently one of the most centralised countries in Europe.

Our cities have limited say in the big decisions that shape their future, and the vast majority of central government policy takes no account of the distinct challenges each of our cities face. The OECD estimates that, on average, 17% of the money that UK councils spend is raised through local taxes. The average across the rest of the OECD is 55%, with the level of taxes controlled locally or regionally being about 10 times greater in Canada, 7 times more in Sweden, and nearly 6 times more in Germany.

This matters because our cities don’t just hold the key to a sustainable, national economic recovery, but are also vital to a whole host of other big policy questions that will dominate the campaigns of all major political parties for the 2015 General Election – from creating more and better jobs (our cities are home to over 70% of highly skilled jobs), reducing welfare dependency (nearly three quarters of housing benefit is spent in our urban areas) to tackling inequality (over four fifths of deprived neighbourhoods are located in our cities).

In the year of the Scottish referendum and discussions about devolution  to Wales, national politicians need to look again at the freedoms and flexibilities that English cities need to make them pivotal to economic growth. Supporting and empowering urban areas will be crucial to growing the economy, reducing the deficit, tackling the welfare bill, and boosting housing supply. That’s why we are working with city and business leaders, sector and policy experts, and the academic community, to make the case loud and clear that all major political parties need to Think Cities ahead of the General Election in 2015.

We are delighted to be working with LabourList to showcase a range of perspectives from leading thinkers within the Labour Party on why our cities matter, and what a future Labour administration would do to support their growth. You can find out more about the Think Cities campaign, and read more views and opinions from leading thinkers on why cities are important here.

For more information on the campaign, and how you can get involved, contact us: [email protected].

Alexandra Jones is Chief Executive of the Centre for Cities

Today is “Cities Day” on LabourList in association with centre for Cities. Ahead of the General Election, Centre for Cities is asking all parties to Think Cities. To read, listen and watch contributions from some of the UK’s leading city thinkers, politicians and practitioners visit www.thinkcities.org.uk