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London dominates job creation growth

A think tank has warned that many of the UK’s largest cities will fail to feel the effects of an improving economy, as the greatest job growth is located in London.

A report published by Centre for Cities shows that London accounted for 80% of national private sector jobs growth between 2010 and 2012.

Some 216,700 private sector jobs were created in the capital over the two-year period, way above Edinburgh in second position, which amassed 23,100 vacancies. 

The findings showed that Manchester, Birmingham and Liverpool had made progress in private sector job creation, of 15,400, 13,200 and 12,800 respectively.

London also far outweighed other cities in the number of public-sector jobs it created. Between 2010 and 2012 it created 66,300. In comparison, Birmingham lost 9,400 public sector positions.

Centre for Cities chief executive Alexandra Jones said the report suggested the gap between London and other UK cities was widening.

“To enable cities to respond to their particular strengths and weaknesses the Government should build on City Deals (a programme that empowers cities to take greater control of public money) and devolve more funding and powers to UK cities – London and others – so they can generate more of their own income and play to their different strengths,” she said.

“This will help ensure this is a sustainable, job-rich recovery across the country.”