The West of England could create jobs and raise living standards by targeting investment in education, research and development, and infrastructure, according to new research.
Closing the Productivity Gap, the first policy insight report from university-business partnership The Brunel Centre, has revealed major opportunities to boost productivity levels across the region.
The Brunel Centre is a new data and research hub created by the University of Bath, UWE Bristol and Futures West to support sustainable and inclusive growth and industrial strategy in the West Country.
The report, the centre’s first publication since its launch in July this year, provides a detailed analysis of productivity performance across the region’s four local authorities: Bath and North East Somerset, Bristol, North Somerset, and South Gloucestershire.
According to the research, South Gloucestershire ranks among the Ƶ’s most productive areas, outperforming all outer London boroughs and several inner boroughs, while Bristol lags in productivity despite its economic scale.
The report also said there was "untapped potential" in the local authority areas of North Somerset and Bath and North East Somerset.
It found that despite strong R&D investment across the region, lower levels of capital per job and educational attainment are holding back productivity gains.
Using a newly constructed dataset and comparative analysis with London boroughs, the report shows that if the West of England matched London’s levels of investment in education, capital and R&D, its productivity could exceed the capital's current performance.
Dr Lucy Martin, director of The Brunel Centre, said: “This research highlights the West of England’s latent productivity premium. With the right strategic interventions, particularly in Bristol, the region could deliver high impact returns for both local communities and the wider Ƶ economy.”
Damian Whittard, UWE Bristol associate professor of economics and co-author of the report, said the analysis showed that with "targeted investment" the region could "close the gap" with London.
"By tackling this challenge, we can unlock high-value growth, support good jobs, and raise living standards across our communities," he said.
Andrea Dell, director of Futures West, added: "This is the type of evidence and policy insight we want to help us drive economic growth in our region. Futures West is a proud part of the Brunel Centre, and we congratulate the research team on this inaugural work.
“We are bringing together cutting-edge academic research and data with on-the-ground business insight and political engagement to enable real change. We look forward to building on this work as we continue to make the case for greater investment into our region."
Through Ƶ Research & Innovation, The Brunel Centre has received Research England Development funding of £4.5m until March 2030. The partners have said they are working to make sure it becomes a long-term, permanent capability for the region.
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