Greater Manchester economy ‘stumbling’ ahead of Brexit

A report from an influential think-tank has warned Greater Manchester’s economy is ‘stumbling’ ahead of the UK’s forthcoming departure from the European Union.

As a result Remain campaigner and former Liberal Democrat MP John Leech, has warned that the impact of Brexit on Manchester could be “devastating.”

The Localis report is entitled The Delivery of an Industrial Strategy – Raising Prosperity Across England. It looks at how strategic authorities such as the mayoral combined authorities can work at a local level to improve the economy and raise living standards.

It criticised the Government for not spreading out resources evenly across the UK and warned it against focusing all its attention and resources for the industrial strategy on Greater Manchester, the West Midlands and the Oxford-Cambridge corridor – the most economically advanced areas.

The think-tank also discovered the relationship between productivity and wages varied ‘significantly’ across the country.

The report found that workers in the Greater Manchester area are some of the worst rewarded in England.

John Leech, who campaigned to Remain during the referendum, said: “This is a critical time for our country and this report backs up everything the Liberal Democrats warned about during the referendum.

“Local people don’t feel listened to, they don’t feel considered and they feel like they are being sidelined – this not just what this report reveals but what I hear time and again on the doorsteps.

“Brexit is already having a negative impact on the people of Manchester and it is time Labour and Conservatives paid attention to these warnings instead of working together to drag us out of the EU no matter the devastating cost to Manchester.

“Only the Liberal Democrats are standing up for Manchester and fighting to give people the final say on Brexit in the form of a referendum.”

Jack Airey, head of research at Localis said: “Compared to the rest of England, Greater Manchester has a below average level of reward and a relatively low rate of output.

“It is a stumbling place where, despite substantial attention from central government in reorienting its economy to the modern world, the benefits of growth are yet to translate to the local population.

“With strong foundations, the challenges of the industrial strategy are to deliver inclusive growth and shift upwards on reward.”

Philip Atkins, vice-chair of the County Councils Network and leader of Staffordshire County council, said: “A blanket one-size-fits-all policy will not fulfill the government’s pledge to create ‘an economy that works for everyone’.”