Does granting City Status have a measurable impact on economic performance?

By 9th September 2021Uncategorised

Announced by the Cabinet Office in June, the Civic Honours Contest will see winning towns granted City Status for the first time in ten years, during May 2022.

In total there have been three rounds of applications for city status since 2000 – one to celebrate the Millennium and two for the Queen’s Golden and Diamond Jubilees respectively. Across these three competitions, a total of 48 towns in Great Britain have applied for city status and 9 towns granted the honour.

Towns awarded City Status

Although almost all towns that apply for City Status believed becoming a city would stimulate the economy and support regeneration, there’s very little published evidence of a measurable economic boost as a consequence of becoming a city. Research undertaken by Reading University (Reading has submitted three unsuccessful City Status applications) suggests the linking of City Status to economic success is mixed. For every place that experiences growth after becoming a city, there are others that don’t see direct economic benefits.

Working alongside Hardisty Jones Associates, we have been appointed by a Local Authority to investigate the economic benefits and disbenefits of being awarded City Status and we are keen to identify the measurable benefits that have been recorded in the UK.

City Status doesn’t come with any fiscal levers like tax breaks or extra powers, and with less than decisive evidence, our study has been commissioned precisely to investigate the economic impacts.

Even though the Governments guidance lacks detail, the competition application form is clear that an award will be made in recognition of historic and current achievements, associations, and civic status with no mention of future economic growth and performance. It seems that a town’s historical importance (and Royal connections), its role as a centre of government and culture, current economic strength are more important in becoming a city than future growth.

We are interested to hear of examples you may know of measurable impact on the economic performance following the award of City Status.

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