New data from the Centre for Cities has identified the UK towns and cities that have experienced the fastest growth in disposable income. Among the top performers, living standards increased by 5.2% in 11 locations since 2013, surpassing the national average of 2.4%.
Brighton emerged as the top performer with an 8.1% rise, followed by Worthing at 7.8% and London at 5.8%. These cities and towns collectively achieved a 27% economic growth from 2013 to 2023, outperforming the national average of 18.4%, resulting in a 5.2% growth in real disposable income.
Researchers highlighted that if all 63 major UK cities and towns had matched the growth rates of the top performers since 2013, residents would have seen an average increase of £3,200 in disposable income over the period. Conversely, cities like Cambridge, witnessing a 3% decline in real disposable incomes since 2013, could have seen residents pocket an additional £10,900 had they matched the top performers.
In contrast, residents of Wigan, experiencing a 1.6% decline in real disposable incomes since 2013, could have gained an extra £7,200 if they had matched the top-performing locations.
Andrew Carter, the Chief Executive of Centre for Cities, emphasized the importance of economic growth in boosting household incomes, stating that long-term solutions require sustained growth rather than temporary fixes. He underscored the role of policy decisions in fostering growth, citing examples like Warrington and Barnsley where economic growth led to higher incomes and reduced deprivation.
Carter advocated for government initiatives such as planning reforms, devolution agendas, and the Industrial Strategy to support growth in cities and improve living standards. He highlighted the need for cities to create more jobs in sectors aligned with the Industrial Strategy to drive economic benefits for residents.
Looking ahead, Carter referenced the Prime Minister’s call for politics to aid in job creation, wage increases, and local growth across the country by 2026, emphasizing the ongoing need for policies that support economic development and improved living standards.