No Short Cuts: ICON makes the case for long-term commitment to local inclusive growth

High streets as lightening rods for political disillusionment

The Growth and Reform Network attended ICON’s latest report launch – having previously contributed analysis to its interim findings – and the need for decisive and practical steps couldn’t be clearer.

Speaking at the event, Miatta Fahnbulleh MP, under-secretary of state at MHCLG, drew a direct link to rising populism and the need to retain trust in politics with visible change delivered on people’s doorsteps. The upcoming Gorton and Denton byelection in Greater Manchester incorporates one of ICON’s identified mission critical neighbourhoods and much of the local authority has deprivation levels in the top 10% nationally. Despite the region being a stronghold for Labour, led by ‘King of the North’ Andy Burnham as Greater Manchester Mayor, polling shows a three-way contest with the Greens and Reform.  

ICON also makes its own compelling economic case for action. Means tested welfare spending in Mission Critical Neighbourhoods is £3.2bn higher than the average for the rest of the country. Productivity in these neighbourhoods is 40% lower than the rest of the country, losing £10bn of potential growth since 2010. Into this vacuum on local high streets come betting and vape shops, high margin and extractive industries that can afford a bricks and mortar presence, unlike many of the potential social capital and community uses which can’t compete.  

Prioritising action

With nearly 7,000 high streets in England, there is a need to prioritise action. Even with ICON’s previous work to identify ‘mission critical’ neighbourhoods, there are over 600 of these places in England today. The Commission recommends that they are supported in stages, with tranches of investment and activity until 2045.

While the timeline may be daunting, ICON has plenty of positivity about the power of communities, and that we already understand many of the levers of change which neighbourhoods need to use. During the 2000s, there was a period of neighbourhood improvement across the country – inequality narrowed between the worst and best performing places – and programmes like the New Deal for Communities shifted outcomes with direct investment and a capacity building focus within targeted places. Analysis of the Big Local programme has shown that hyper-local social infrastructure building can be successful.

Staircase approach to building renewal

ICON recommends a ‘staircase’ approach that focuses first on foundational principles of public order and safety, leadership and local capacity building. This then creates the basis for greater change and innovation, centred around neighbourhood hubs, which are anchored into recent national policy like the 10 year health strategy and the supporting role of regional mayors through the Devolution and Community Empowerment Bill. Skills training and new development models can then follow to further embed sustainable growth with the community acting as a driving force.

This recognises the complexity of places hiding behind the symptoms of decline – the betting shops and vacant units highlighted in ICONs recent research. The high street is a mix of market forces, owner interests, public health issues, taxation, community engagement, education and much more. This requires both a national strategy, called for by ICON, and broad place-based partnerships that can curate what communities want and need. It isn’t a switch to flick or something to be done to neighbourhoods, it has to emerge as a legitimate, well-resourced power that curates local neighbourhood spaces and sets the context for change.

ICON have delivered an excellent case for this national renewal work, not just by examining 20 years of literature and evidence, but by travelling to meet local people that have learned the lessons and succeeded in turning around their neighbourhoods, or parts of them. The extension of the Commission for another 12 months is welcome and, continuing this momentum, government at all levels must be ready to examine their role in supporting hyper-local change.