WALES BOTTOM OF TABLE IN UK FOR COMPETITIVENESS

'Urgent action' needed to address 'foundational deficits'

- By SION BARRY Business Correspondent [e-mail]

WALES has the lowest ranking in a new assessment of economic competitiveness that also covers the regions of England with many of its local authorities languishing at the foot of the league table.

The challenges facing the Welsh economy, with many of its communities described as being "innovation deserts", are highlighted in a report from Professor Robert Huggins of the School of Geography and Planning at Cardiff University and Professor Piers Thompson of Nottingham Business School at Nottingham Trent University, which builds on their longstanding and respected UK economic competitiveness index research.

Their latest work, Economic Possibilities Across England and Wales: the NICE index of localities and regions, determines ranking on the combined measures of networks that includes estimated ties between businesses within and outside a region and their research and development intensity - innovation, creativity and entrepreneurship (NICE).

Wales is below all the regions of England assessed, which sees London ranked top followed by the south east of England.

The 330 local authority areas in England and Wales were also scored on the NICE measure with Merthyr Tydfil ranked bottom, Blaenau Gwent 328th and Anglesey 325th. The highest ranked Welsh local authority is Cardiff, ranked 62nd (with a positive NICE score of 0.28) followed by Monmouthshire ranked 100th (00.7). Flintshire is the next highest at 125th. but with a NICE negative score of 0.02).

Newport is ranked 239th and Swansea 176th.

The authors of the report said the prominence of Welsh communities among the struggling areas reflects "systemic challenges in developing foundational economic capacities."

They also warn that the UK Government's new industrial strategy risks reinforcing existing disparities by ignoring the specific challenges facing Welsh localities.