Saturday, February 15, 2014

Branson on London - February 2014

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The question will soon arise as to whether the growth of London and the rebuilding of so many areas is not imposing a strain on the rest of the UK.

It is apt to refer to the capital as a pressure cooker but is that a bad thing for the UK? The hope is that this dynamism spreads out and it is certainly true that regional cities like Leeds, Manchester, Liverpool and Edinburgh have improving property markets.

But the focus on London is so large and the flow of what is often foreign funk money so considerable that it might prove damaging, perhaps through building too many flats. That also involves the debate about tall buildings with proposals for 200 new structures.

That may suit foreign buyers, but does it suit the needs of London? Creating a city state within the UK may pander to Mayor Boris Johnson’s ego but that is hardly justification for disturbing the balance of the whole country. It becomes an argument in the case for Scottish, Welsh and even Cornish independence because London must serve the needs of every part of the UK.

On the other hand this could be too pessimistic a view and the inflow of foreign capital (an increasing amount of which is going to regional cities) will really boost the expanding economy. Whatever the truth of this, the political parties need to understand what is going on.

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