Our collaboration with Manchester and Leeds will unlock the UK’s full potential

What do Channel 4, Amazon, TalkTalk, Boohoo, and Autotrader have in common?

The answer is that they have all announced that they are creating jobs in the Manchester and Leeds regions.

Last week, I visited these two cities with a growing global reputation. Like the City of London, Manchester and Leeds both host strong financial and professional services clusters, share an ambitious innovation agenda, and have excellent access to talent via world-leading educational institutions.

Manchester has the UK’s second biggest financial centre outside of London, joint with Edinburgh. Today, the region is home to more than 2.8m people, with an economy bigger than that of Wales or Northern Ireland.

Meanwhile, Leeds has more science, technology, engineering, and mathematics graduates than anywhere else in the country, which has manifested itself in UK-leading healthtech and fintech industries, and a professional services hub second only to London in size.

Both showcase how the UK’s regional economies have a substantial offer that we need to wake up to. And that is something I want to push in my mayoral term. 

Being the lord mayor of London, people often mistake my promotion of the financial services sector as solely focused on the Square Mile. 

Yes, London is the capital of capital and the world’s leading net exporter of financial services, totalling £68bn. But while this sector has its historical roots in the City, it is a UK-wide industry, and it is collectively that we succeed. 

After all, two thirds of the financial and professional services industry is based outside of London. 

With our departure from the EU on the horizon, it is more important than ever that our cities work together. Because a stronger regional economy means a stronger, more competitive UK on the world stage. 

That is why it was fascinating to hear from those businesses in Manchester and Leeds that are the vanguard of their cities’ economic success – from “angel investors” like NorthInvest in Leeds, which is providing funding to northern companies, to Manchester-based NCC, a cyber security company making strides worldwide. 

Despite the good work of these organisations, there is still so much potential for growth in these regions, particularly in capital raising – and that is where the City of London can help. London is a magnet for foreign direct investment, which helps to create jobs and generate major capital projects right across the country. 

We recognise our role in the growth of regional economies. Manchester and Leeds are key cities in the City Corporation’s regional strategy, which is helping to increase inward investment and build awareness of how London can act as a springboard for regional firms to export their products and services globally. 

In my meetings in both cities, it was recognised across the board  that it is collaboration – not competition – which will ensure our future prosperity. 

And while I am used to extolling the virtues of the City of London in this column, it is abundantly clear that, with changes afoot to our relationship with Europe, we must look closer to home and realise the full potential of our regions.

Main image credit: Getty