The latest report from the thinktank Centre for Cities has unveiled the UK towns and cities experiencing the most significant growth in disposable income. According to the report, living standards increased by 5.2% in 11 top-performing areas since 2013, surpassing the national average of 2.4%.
Brighton emerged as the top performer with an 8.1% rise in disposable income, followed closely by Worthing at 7.8% and London at 5.8%. The complete list of leading cities and towns is provided below.
Collectively, these regions witnessed a remarkable 27% economic growth between 2013 and 2023, exceeding the national average of 18.4%. They also achieved a total real-terms disposable income growth of 5.2%.
If all of the UK’s major cities and towns had experienced the same rate of disposable income growth as the top performers since 2013, residents would have seen an average increase of £3,200 in disposable income over the period.
In contrast, Cambridge experienced a 3% decline in real-terms disposable incomes since 2013, indicating that residents could have gained an additional £10,900 over the decade if the city had matched the performance of the leading areas.
For residents of Wigan, who saw a 1.6% reduction in real-terms disposable incomes since 2013, the potential additional income stood at £7,200.
Andrew Carter, the chief executive of Centre for Cities, emphasized the importance of economic growth in boosting household incomes. He highlighted the need for sustained growth to enhance living standards, stressing the significance of policy decisions on skills, transport, housing, and business support in fostering economic prosperity.
Carter also underlined the pivotal role of Government initiatives such as planning reforms, devolution policies, and the Industrial Strategy in driving growth in cities and elevating living standards. He pointed out the necessity for cities to create more jobs in emerging sectors like life sciences, digital technology, and artificial intelligence to stimulate urban economies and benefit workers across various industries.
Looking ahead, Carter echoed the Prime Minister’s call for political actions that prioritize job creation, wage growth, and local economic development. He emphasized the upcoming year as a critical period to assess the impact of policy measures on enhancing prosperity and growth across the nation.