Innovation hotspots: Clustering the New Economy

Think tank: Centre for Cities

Author(s): James Evans

September 12, 2023

This report from UK think tank the Centre for Cities looks at the UK’s 344 innovation hotspots and their potential to address the UK’s sluggish productivity growth.

The UK is home to 344 innovative hotspots, with clustered New Economy firms accounting for approximately £18.5 billion and 200,000 jobs to the national economy. Although the clustered New Economy is still in its infancy, many, including Government with its Investment Zones policy, have recognised their huge potential for productivity growth over the coming decade. However, this new report by Research Fellow James Evans shows innovative firms are being held back by the underperforming cities they inhabit. What policy should do to help the clustered new economy thrive?