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UK Enterprise Zones and the Attraction of Inward Investment

Author

Listed:
  • Jonathan Potter

    (Organisation for Economic Co-operation and Development (OECD), TDS-LEED,2 rue André-Pascal, 75775 Paris, Cedex 16, France, jonathan.potter@oecd.org)

  • Barry Moore

    (Department of Land Economy, University of Cambridge, 19 Silver Street, Cambridge, CB3 9EP, UK)

Abstract

This paper assesses the contribution of inward investment to economic regeneration in UK Enterprise Zones using survey data from a government-sponsored national evaluation. Results indicate that by providing tax incentives and stimulating infrastructure improvements, policy attracted a group of inward investors that accounted for nearly one-third of employment in the zones at de-designation and a high proportion of new local jobs. The local impacts of inward investors are examined in terms of recruitment, linkages, growth and stability and compared with other establishments in the zones. It is concluded that inward investment can be an important driver of local economic regeneration in distressed areas when stimulated by this type of initiative, but that a mechanism is needed to limit short-distance transfer activity.

Suggested Citation

  • Jonathan Potter & Barry Moore, 2000. "UK Enterprise Zones and the Attraction of Inward Investment," Urban Studies, Urban Studies Journal Limited, vol. 37(8), pages 1279-1311, July.
    • Handle: RePEc:sae:urbstu:v:37:y:2000:i:8:p:1279-1311
    DOI: 10.1080/00420980020080141
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    References listed on IDEAS

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    1. Tyler, P & Moore, B C & Rhodes, J, 1988. "Geographical Variations in Industrial Costs," Scottish Journal of Political Economy, Scottish Economic Society, vol. 35(1), pages 22-50, February.
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    Cited by:

    1. Kevin Dean & Claudia Trillo & Erik Bichard, 2017. "Assessing the Value of Housing Schemes through Sustainable Return on Investment: A Path towards Sustainability-Led Evaluations?," Sustainability, MDPI, vol. 9(12), pages 1-19, December.
    2. Roland Rathelot & Patrick Sillard, 2008. "Zones Franches Urbaines : quels effets sur l'emploi salarié et les créations d'établissements ?," Économie et Statistique, Programme National Persée, vol. 415(1), pages 81-96.
    3. Colin Wren & Jonathan Jones, 2011. "Assessing The Regional Impact Of Grants On Fdi Location: Evidence From U.K. Regional Policy, 1985–2005," Journal of Regional Science, Wiley Blackwell, vol. 51(3), pages 497-517, August.
    4. Wei Xiao, 2014. "Search Frictions, Unemployment, And Housing In Cities: Theory And Policies," Journal of Regional Science, Wiley Blackwell, vol. 54(3), pages 422-449, June.

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