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INDEPTHL
Susie Hay: I long for
people to take action
without waiting for the
f word (funding) that
gets all off the hook. No
funding equals freedom.
Yaser Mir: Include
high quality design,
sustainability , equality
and diversity consider
how all communities can
live side by side.
Toby Blume: Stopregarding regeneration
as something that can be
done without tackling
underlying causes of
poverty and inequality.
Rob Greenland: A smaller
State gets out the way
and communities take the
with economic and
environmental change.
Chris Doyle: Ubiquitous
broadband for all in digital
Britain, bringing the UKinto the global digital
marketplace.
Kelvin Owers: Tax breaks
on saving existing
buildings, and repurposing
them. Less focus on
building new.
Simon Cooke: Confidence,
motivation, initiative,
enterprise and community,
not consultants and
architects.
Dan Thompson: Small,
locally distinct, community
led acupuncture
We asked people on Twittertheir hopes for regeneration
for the coming decade. Hereare a few of their responses...
l hi
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INDEPTH
MFor the most part, these policies (person and place) have
developed separately within their specific domains...
However, this separation does not reflect a reality in which
poverty and disadvantage are mediated by place, and
places are affected by the poverty or otherwise of their
inhabitants.
Even if we could get the policy mix and implementation
right, there are compelling reasons why regeneration will be
a continuing need. Think for a moment about the definition
drawn up by civil servants in the regeneration framework
document, Transforming places, changing lives (see panel,
below): The governments view is that regeneration is aset of activities that reverse economic, social and physical
decline in areas where market forces will not do this
without support from government.
The history of the last half century shows us that
economic, social and physical decline have gone hand in hand
with rising affluence. The economist Joseph Schumpeter
expressed this as creative destruction: to make way for the
new, the old must be demolished. But what in economic
and market terms is considered a good innovation andnew products brings social ills in terms of skills becoming
redundant, places losing their economic raison detre and the
personal costs of stress and unemployment.
One of the greatest policy failures of the last decade,
arguably, has been the unwillingness to recognise that the
market forces that create prosperity and opportunity are
the very same forces that bring decline and deprivation.
They create losers as well as winners, as surely as Strictly
Come Dancing or X Factor A 40 year analysis for the Joseph
One of the greatest policy failures of the last decade,
arguably, has been the unwillingness to recognise that the
market forces that create prosperity and opportunity are
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INDEPTHL
Poverty isnt just about
a lack of jobs, education
or wealth, its about
unsafe and bad housing
design and low quality
Poverty in this country is not just about poor education,
unemployment or low wages, and lack of opportunity. It is
typically associated with poor housing and poverty of place
badly designed estates or low quality neighbourhoods,
with dysfunctionally designed energy inefficient homes
showed four million children living in poverty after housing
costs are taken into account. For working age adults it was
seven-and-a-half million, and for pensioners two million.
Those are just the bald figures. As the department
stated in evidence to the Commons work and pensions
committee: The impact of poverty on children goes well
beyond material disadvantage... Children who experience
poverty are more likely to have low self-esteem and lower
expectations for their future. They are more likely to be
poor themselves and there is a strong association between
parental earnings and the earnings of their children when
they enter work.But despite a wealth of analysis and initiatives, we seem
stuck with the same problems.
In 1998 the Social Exclusion Units report,Bringing
Britain together, offered this critique of previous initiatives:
None really succeeded in setting in motion a virtuous
circle of regeneration, with improvements in jobs, crime,
education, health and housing all reinforcing each other.
Ten years on, the 2008Monitoring poverty and social
exclusion report concluded that the comprehensive visionof the Blair government had been lost in favour of a crude
focus on worklessness:
Ten years ago, the challenge was to get child poverty
reduction added to the governments agenda. Ten years
on, the challenge is to prevent it dominating the social
policy agenda to the exclusion of virtually all else.. the
answer is nowhere near as simple as work is the route
out of poverty.
Does this mean though that were stuck in a
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INDEPTH
The last 20
years has
delivered some
remarkable
urban
regeneration
schemes in
the UK from Tate Modern to
new waterfronts in Newcastle-
Gateshead and Liverpool, fromthe occupational transformation
of Shoreditch to the Scandi-style
minimalist repaving of most city
centres.
But the debt-fuelled boom
is over: bank lending is tighter,
housebuilders darent start
on site, the mathematical
foundations of value uplift havebeen wrecked by low land values
and the number of people in
poverty has increased, when the
very purpose of regeneration is
to help poor people become more
prosperous.
Urban regeneration needs a
new narrative. What might it be?
Th r r th ith h
and the private and rolling out
statism as innovation.
Then theres the crew wielding
luxury Mont Blancs: lawyers and
accountants reframing the idea
of value-uplift and calling it a TIF,
or politicians like David Cameron
or Tessa Jowell heralding a new
age of localism or mutualism
but not giving us much of a clueon cast or story.
What seems clear is that
economic change will be
less reliant upon property
developers, unless they are
prepared to innovate by shifting
to sustainable development or
become increasingly transparent
and flexible. Local developmentwill become more answerable to
the people and well see less of
a massive-shopping-centre-with-
a-town-attached approach to
urbanism.
The industry will now push
for value to be assessed on a
broader basket of assets and
rr i r d b r t l
local councillors and planning
officers.
Small projects are back in
vogue, rather than physical
projects so big that they make
the earth tilt.
And new, non-aligned
organisations or aggregated civic
organisations at the most local
level are about to become flavourof the month, so long as they
offer a genuine bridge between
citizens and state, engender
trust, express identity and
promote the welfare of the larger
community.
Who are the poster boys and
girls of this new world?
Theres the army of activistswho lead their communities
but believe in collaboration, the
welfare of the larger community
and power of collective
bargaining.
Then there are the people
who understand that enterprise
in all of its many forms social,
ll r i l i k
in the book: the taxpayer and the
consumer.
But the new element is the
collective. The new vehicle: the
non-profit. The new hero: the
social entrepreneur.
The politicians suggest we
are at the dawn of the social
economy. However, only one or
two investors in regeneration seevalue in life-cycle costs, mutualism
or assets other than land.
Some time soon a bright
spark is going to come up with a
marketable link between carbon
credits and the financing of urban
renewal.
In the meantime, everyone
talks of paradigm shift and onlya few engage with whats likely
to become the new key theme of
regeneration: equity.
XDavid Barrie is principal
consultant at David Barrie
& Associates and specialises
in regeneration, community
i l m t d th d i
Urban regeneration needs a new narrative, says David Barrie
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In February 1996 the oil tanker Sea
Empress hit the rocks at the entrance to
Milford Haven, Pembrokeshire, spilling
more than 72,000 tonnes of oil and
polluting around 250 kilometres of coast.
A cost-benefit study later concluded
the clean-up operation had generated
500,000 of extra local income and created
25 new jobs.
Against those benefits, of course,
had to be set the huge damage to the
areas fishing and tourism industries. Theresearch estimated between
1,100 and 1,400 jobs were
lost overall.
The study illustrates
the difficulty with
traditional measures of
success, such as spending
generated or jobs created. Both
the standard measures of theeconomy gross domestic product
(GDP) and gross value added
(GVA) measure activity: more
activity equals more spending and
is typically considered beneficial,
less is a bad thing and can lead to
recession. So the work involved
in cleaning up an oil spill can be
i d mi iti
even if it would have been better not to spill the oil in the
first place. Another way of looking at that 500,000 of local
income and 25 new jobs would be to say that this was
money that could otherwise have been spent on activities to
improve local peoples quality of life, and labour that might
have been put to more creative purposes.
The problem is that we dont measure the right things
either because the measurements seem too difficult, or
because theyre not acceptable to funding agencies. Its
not for want of talking about it: the debate about how to
measure quality of life and the social impact of investment
is well-established (see panel, p30). But were still stuck inpatterns that measure jobs created or safeguarded rather
than the skills and attitudes and life chances generated by
that work, and economic output rather than the impact of
that work on society and how sustainable it is.
Whats astonishing is that we use values and
measurements in assessing the impact of regeneration
programmes that we dont use in our own lives. We asked
New Startreaders what values we should use in measuring
the worth of the places we create. The answers wererevealing: they included how useful we feel as a member
of our community, sustainability, the social fabric of
society, the importance of locality, how well you know your
neighbours. Nobody mentioned the number of cranes, the
amount of speculative office development, or the number of
cars on the road.
Obviously we need to know whether the money we
spend does the job we want, and whether we can afford
h t l t d B t D id B l t it i hi b k
realregeneration
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Now is the time for
a new wave of local
economic activism
that seeks to nurture
and protect the
environment and create greater social and
economic equity.
To do this, we need to challenge theassumptions that underpin current approaches,
including growth and a belief that economic
success will inevitably result in positive
social return. At the core of this reconfigured
economic development must be a greater
appreciation of creating resilient places.
While historically used in the context
of natural disasters, resilience and
its application to economic planningoffers a way forward for local economic
development. Like a boxer who can take a
punch, a resilient place can ride economic
and environmental punches.
Lets be brutally honest. The practice of
local economic development has created
some outcomes which have proven brittle
and short-lived. Renaissance has been patchy,
t i d t i l i l ti
sturdy. In turn that enables us to assess a
local economys brittleness, its vulnerability
and weak points. This leads us to better
policy and action which fully considers a
localitys powers of recovery and understands
what can drive it.
Our work on resilience is well under
way and is rooted in practice. Followinginternational research work in six locations,
we have embarked on an ambitious pilot
process in six areas in England, including more
than ten local authorities. We also have an
ongoing pilot in Melbourne, Australia.
Our research disrupts the key assumption
that economic development is mainly about
the commercial economy (wealth generators).
This is not resilient on its own. Practitioners
need to develop ways to harvest commercial
success better, and consider how the public
(t ti d) d i l
clunky and unsubtle and in some instances has
been environmentally damaging, detached
from labour market needs, social context and
local identity.
Our resilience work opens the door to an
alternative view of economic prosperity that
is not at the expense of the environment or
community. We need differentiated, smartand bespoke strategies and policy that actively
plan for a transition to green, balanced
growth, and are capable of managing decline
and developing the social economy.
This is work in progress, but we and our
pilot areas are at the forefront of socialising
and greening economic development and
creating resilient places for the future.
uNeil McInroy is chief executive of the
Centre for Local Economic Strategies.
u R ad Ali Gil hri t arti l mm it
We need a new way of socialising and greening economic
development, says Neil McInroy
The pursuit of growth has been clunky and unsubtle and in
some instances has been environmentally damaging, detachedfrom labour market needs, social context and local identity.
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possible scale, has consistently been viewed as anti-business
and the clinching argument therefore bad for jobs.
Nobody appears to know how much of our economy
consists of activities to remedy the effects of other economic
activity. There are figures that aggregate lost production and
remedial activity: a recent study cited by the Royal College
of Psychiatrists, for example, puts the cost of mental health
problems in the UK at 110bn a year. In 2003 the cost of
crime to individuals and households in the UK, according
to the Home Office, was 36.2bn. The UK security industry
is worth around 6bn a year. More than 20bn is spent
on private healthcare every year in the UK. Some of thesefigures are lost opportunities; others are activities that
employ people and create products.
However you account for them, they represent time and
money spent putting right what has gone wrong. In fact,
the more damaging the activity, the stronger the economic
multiplier effect may be: the tobacco smoked creates
work for cancer specialists, a polluting industry creates
opportunities for land remediation, and so on.
Over the last decade regeneration programmes havebeen bedevilled by the skewed thinking that applauds
activity rather than quality. Major cities have sought to
anchor their renaissance in shopping centres, bars and
hotels, with scant thought about what consumers would be
buying or where the money spent ends up. Superstores have
been given planning permission in the hope that theyd
become anchors for other local businesses, when they have
frequently had the opposite effect.
If i t tl th d l i th t t l t
be little more than wishful thinking unless its underpinned
and driven by sustainable practice. Here regeneration
practitioners can take a lead.
That requires a tectonic shift in thinking in some
quarters. It means ending the kind of analysis that produces
league tables of regeneration projects, with the most
expensive at the top as if this were a helpful gauge of how
effective, well-planned or sustainable they might be. Big,
strategic projects are doubtless necessary in many cases, but
their size doesnt make them more necessary.
There is little evidence of such a shift from the
traditional leaders of UK regeneration. Michael Parkinsons2009 report, The credit crunch and regeneration, focused
strongly on commercial property and housing markets.
His sequel, launched in January at a conference held under
the banner of The Northern Way, focuses on the need for
economic development and continued public investment.
But there are significant gaps. Inequality gets not one
mention in 100 pages of text. Poverty is mentioned once,
in a description of the hidden social consequences of the
downturn.The same goes for climate change. The single mention
is a passing reference to the Department of Energy and
Climate Change. Theres a little more on low carbon as in
the low carbon sustainability agenda, which means little if
you fail to explain how it is to be put into practice.
Search the report for concepts like flourishing and
thriving and you wont find them. Of the three uses of the
word green, two refer to the green belt.
Si il l th B iti h P t F d ti
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Mg bg
The ew conomics Foundation has called for national
prosperity to e measured in terms of national accounts
of wellein.
The challene is to match the multiplicity and
dynamism of what constitutes and contriutes to peoples
wellein with what ets measured, ef says. uch
measures need to capture the strenth of peoples social,
family and neihourhood networks of support, how
positive they feel aout their lives and their psycholoicalstate. Central to that is the idea of resilience the aility
to withstand shocks and chanes.
n international study conducted in 2006-2007
found Denmark and witzerland had the hihest levels
of personal and social wellein in urope, with the
K trailin in the ottom half of the tale. The French
president, icholas arkozy, has now set up a commission
to develop new ways of measurin economic performance
and social proress which take wellein into account.imilarly, the Youn Foundations ocal ellein
Project has set out in partnership with three local
authorities Hertfordshire, outh Tyneside and
Manchester to examine how pulic policy could e
eared towards improvin wellein. The findins,
pulished in January, arue that wellein can e made a
practical policy oal, oth nationally and locally, and that
it provides a very different way of thinkin aout chanin
d th t diti l h
what matters; only includin what is material; avoidin
over-claimin; transparency; and verifyin results. The
methodoloy is now ein used to measure the impact of
community reen spaces in cotland.
Find out more:
The SROI Network: www.sroi-uk.org
The SROI Project in Scotland: www.sroiproject.org.uk
CMC CThe Centre for ocal conomic trateies has pioneered
work on economic resilience. t calls for a shift from a
rowth-focused model to one that takes into account
equality, employment and social issues. eil Mcnroy
explains the approach on pae 27.
Find out more:
Towards a new wave of local economic activism,
http://snurl.com/u4t27
C MPCT bD
ocial impact onds are a way of raisin finance for actions
that have a social value. The idea is ein developed y
the Youn Foundation and ocial Finance. The aim is
to link investments y commercial players or charitale
foundations with a proramme to improve the prospects
of a roup of people (youn people at risk of offendin,
f i t ) d it t ti l t
Better ways of measuring value some starting points
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Humans cant resist building houses of cards. Given the
flimsiest of foundations and a little sleight of hand, we
construct fantasy kingdoms that leave observers awestruck
until they all fall down.
From the Tower of Babel to the South Sea Bubble, from
Daedalus and Icarus to the Wall Street investors of the last
decade, legend and history is littered with human hubris
and its devastating effects. None more so, it would seem,
than the financial crisis of 2007-2009, which broughtentire economies such as Iceland and Greece to the brink of
ruin, and left the UK saddled with the long-term costs of a
250bn bailout.
But if you think that was the worst we could do, think
again. The banking crisis was triggered by the collapse of
the sub-prime mortgage market: real estate underwritten
by loans that the lenders knew were unlikely to be repaid.
The trick was to pass the liability on before the chickens
h t t
A reminder of how close that point might be emerged
on 10 February. While climate scientists raged about
allegations of data misuse and leaked emails, a group of
business people warned the moment of peak oil might be
much closer than we imagined.
The UK Industry Taskforce on Peak Oil and Energy
Security doesnt contain Greenpeace die-hards or people
who sit in hand-sewn yurts making their own muesli.
This warning came not from the radical fringe of greeneconomics, but from business people who think it terms of
viability and profit margins.
In brief, it suggests that the worlds ability to extract oil
could peak within the next decade, and possibly as early
If we want to achieve our aspirations for regenerating communities, we have to frame
them within an understanding of environmental limits. Julian Dobson explains why
realregeneration
Climate for
@AndySawford: Create green jobs by
getting serious about adaptation, with
il d l i l l t t i
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change@jurup:Look at
developing bicycle
infrastructure potentialfor jobs in refurbishing
bikes, bicycle repairs,
cycling lanes.
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uWabl ad alai y
uppliClimate change legislation
What could a low carbon society look like?
magnified. Fuel poverty will further disadvantage the
poorest members of society. Areas with little or no economic
activity will struggle if the cost of connecting them to work
opportunities rises. Repairing and maintaining the urban
fabric will become more expensive.
a Wl-y appaC
In the first of these articles, I argued that regeneration
needed to create a sense of home. Placemaking strategies
need to connect with peoples aspirations and what gives
them meaning and purpose, shifting from the linear
approach adopted by government programmes and project
management toolkits to an organic outlook that nurtures
and supports communities through continuous change.
Last month I suggested that to enable this to
happen, we need to examine the values that underpin
our approaches. Instead of measuring what delivers
economic output or looking at the number of jobs createdor qualifications gained, we need to focus on the qualities
we are generating: resilience (the ability to withstand and
recover from shocks) and wellbeing peoples satisfaction
with their lives, relationships and neighbourhoods.
The issue of environmental sustainability provides
both an inescapable context and a call to action. The phrase
we cant go on like this has become a political slogan, but
contains a deeper truth: we cant go on acting as if economic
growth is a never-ending escalator, and we cant put off
rethinking the way we live in the hope that it will become
the next generations problem.
The governments approach to sustainable development,
articulated in the 2005 strategy Securing the Future, set out
five guiding principles:
u living within environmental limits
u ensuring a strong, healthy and just society
u achieving a sustainable economy
u promoting good governance
u using sound science responsibly
@seanamcginty:Re-engineer ALL council services to cut waste, duplication,
crazy council crap and carbon footprint using social enterprises!
@lcpu:Expand the Sheffield tramto where I live, get rid of the bus
fumes & get more people out of cars.
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You dont achieve sustainable development just by
ticking one of those boxes: you cant seek a strong, healthy
and just society and hope youll get a sustainable economy
along the way. It demands a way of thinking that sees our
social, physical and economic fabric as part of a whole that
recognises both the aspirations of human beings and the
limits of the environment within which they operate.
That might appear obvious, but it doesnt inform
much day-to-day thinking within government. Indeed, theofficial progress report on the DCLGs 2007-8 sustainable
development action plan revealed widespread ignorance:
few of the departments staff, it said, understood the
relevance of sustainable development.
Such ignorance spills over into poor decision-making
and planning. It might help to explain the missed
opportunity of the governments economic recovery plan.
A very small proportion of the 20bn fiscal stimulus has
been invested in environmental technologies and projects
despite detailed proposals from a host of sources for a
green new deal. While China and South Korea billed much
of their economic support as green (see table, left), the UK
focused on retaining jobs within existing industries through
initiatives such as the 400m car scrappage scheme.
Changing this culture must be an urgent priority. If the
peak oil taskforce is correct, we havent time to wait for
a new government to lumber through further legislative
processes: we need to act now to build the infrastructure
for a sustainable society that will allow us to realise our
aspirations for regeneration. The comments featured on this
pages are suggestions received from some readers, while on
the following pages we explain some ways of getting there.
whch s execte to roce enogh ower to
h t 13 000 h
ght s, whe sconte centr hetng
t f t h
Counry Fun Pro Grnfun Grn
($bn) ($bn) prcnag
China 586.1 2009-10 221.3 37.8
Japan 485.9 2009- 12.4 2.6
Germany 104.8 2009-10 13.8 13.2
Italy 103.5 2009- 1.3 1.3
South Korea 38.1 2009-12 30.7 80.5
UK 30.4 2009-12 2.1 6.9
Source: extract from Tim Jackson, Prosperity Without Growth, table 7.1 (Earthscan, 2009).
themissedPPtit:thet-s-Geeewdel
@creativecoop:Moreinvestment to turn grassroots
green projects into big social ideas.
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ere re three ws o cn jon n or ete ot the ftre of regenerton:
uWrite a response: our feedback section (see pages 32-37) is a forum for your views or if youd like to make a more
substantial contribution relating to this series, contact Julian Dobson at [email protected]
uEngage with us online: talk to @NewStartMag or @juliandobson on Twitter, blog your thoughts at www.newstartmag.
co.uk/blog, or comment on other readers blogs
uCo-host an event: if youd like to partner us in taking this conversation forward at a face-to-face event, or would like us
to speak or facilitate a discussion at an event youre putting on, please get in touch email [email protected]
jointheconversation
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t th t t
What could a low carbon society look like?
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The lives of the most vulnerable are a better measure of our
civilisation than the successes of high achievers.
When we look at whats happening at neighbourhood
level, we need to go beyond the raw statistics. Not all low-
income neighbourhoods are dysfunctional far from it. And
there are many middle class neighbourhoods where wealth
disguises the loss of neighbourliness. Fear of crime can
create blight and distrust in wealthy areas where remote-
controlled gates sprout like teenagers acne, not just in
traditional working class communities.
T cfT gu
The key to a functional neighbourhood isnt income:
its confidence. Increasing the income of the poorest is
essential, but on its own it may simply provide an escape
route. Confidence is what enables someone to open a shop
or start a business, to buy a house or use the local park.
Confidence is what allows people to use the streets after
dark or socialise with their neighbours.
The first sign of a lack of confidence is rising crime
(or fear of crime) and a neglected environment. Its nocoincidence that much of the work of neighbourhood renewal
has involved tackling visible indicators of fear and distrust
neighbourhood wardens or community support officers
patrolling the streets, litter-picking days, environmental
projects, improving dilapidated houses and shopfronts.
As one resident interviewed for the evaluation of
the shortlived guide neighbourhoods programme put it:
There is a lot of jargon about regeneration... but really, as a
id t th i l ti I thi I t
As one visitor remarked: What they achieved is
absolutely out of this world because when I walked round
the estate... I noticed that there was no rubbish. I noticed
that there was no dogs running around, no graffiti and I
noticed that it felt quiet and peaceful and people tend to
their gardens
Many of the guide neighbourhoods achieved a sense
of safety and stability without expensive demolition and
rebuilding programmes, and without trying to change the
social mix of the area by breaking up housing estates or
seeking to import people with more disposable income.
They shared a belief that local people, given support, had it
in themselves to change their neighbourhoods perceptions
and prospects.
Furthermore, the guide neighbourhoods programme
demonstrated the value of peer learning. Visitors said
they particularly valued the personal experience and
accessibility of residents and colleagues; their willingness to
share learning, and the honesty with which they did so.
Similarly, a research report by DCLG in 2007 found
the neighbourhood management pathfinder areas wereimproving faster than comparable areas where there was
no neighbourhood management in place. Residents were
increasingly satisfied with local policing, street cleaning,
and maintenance of public spaces.
Significantly, the researchers pointed out that the
neighbourhood management pathfinder areas were still
deprived they had a long way to go before catching up
with the better-off. But the spiral of decline had stopped.
Th t l ti f th ti l t t f
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etween 1999 and 2009 the ew Labor
overnment delivered a srprisinly radial
proramme o neihborhood renewal that
narrowed the ap between the poorest
neihborhoods and the rest o the ontry.
The deline o many poor neihborhoods was
halted and reversed, aided by eneral prosperity
and inreased spendin on pbli servies. n basi measres like
joblessness and rime rates, the ap between the poorest plaes and
averae neihborhoods started to shrink.
Ater a deade o proress, the tre eels rosty. An nertain
politial landsape, severe pbli spendin ts, a sspiion o bi
overnment prorammes and sins o a harsher pbli attitde to
poverty. The haned ontext makes it all the important to learn the
lessons rom the past deade, and the sarity o ndin makes it
imperative to bild on what has been ahieved.
The irst key lesson is the importane o neihborhood os and
ommnity enaement. Prorammes worked when they takled the
speii and interonneted problems in eah plae in a tailored way, and
math-nded pbli spendin with the eqity o loal ativism. n ae
o loalism and asterity, taretin ndin where it matters most and
harnessin the eorts o loal rops will be more important than ever.
The seond key lesson is the need to tie eorts to reenerate
the poorest neihborhoods into wider prorammes. ationally
and loally, neihborhood renewal was oten kept separate rom
mainstream poliies, inldin hosin prorammes whih impated
diretly on deprived plaes.
The emphasis in tre mst be on ettin mainstream pbli
We need to learn the lessons of the last decade of neighbourhood renewal,
entry points for new arrivals, for example. There are other,
more isolated, neighbourhoods that will present harsh andcontinuing challenges.
Such places, if theyre not to decline irreparably and
expensively, will always need support. But in a time of
scarce resources such help has to be chosen carefully.
Masterplanning and remodelling is likely to prove much
less helpful here than sustained and supportive community
development.
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breaks down barriers and helps to overcome depression
and disaffection; and mental wellbeing is key to physicalhealth and productivity. In 2004, for example, 38% of
incapacity benefit claimants had been diagnosed with
mental health problems.
A social neighbourhood is more than a safe and stable
one. It is one that offers quality of life without making it
dependent on increasing affluence and as strategies to
create mixed communities unravel in the wake of the
recession, it will become more important to be clear about
h di i i b ffl d llb i
Longbenton, North Tyneside, is another productive
neighbourhood. The Good Life community allotment project described inNew Startin July 2004 and October 2007 has
brought veggie boxes to local residents, countering the
effects of poor diet and the lack of local fresh produce. Its
an example of people taking responsibility themselves for
renewing their communities.
A productive neighbourhood brings economic benefits.
Not only does it become safe for local retailers; it also
becomes a place to do business. The Arts Factory in the
h dd h l h d f i
servies to riorosly prioritise the poorest neihborhoods withot the
inentive o additional money. Althoh the loor tarets, whih set
ot basi minimm standards or the poorest plaes, had their laws, the
overnments deision to abandon them ndermined the drive to make
neihborhood renewal a priority or all loal aenies.
The third key lesson is the need to nderstand the roles whih
dierent deprived neihborhoods play in the loal eonomy and the
dierent trajetories whih they are on in terms o rowth or deline.
Poliy has tended to rop all poor neihborhoods toether and
address them as stati plaes.
n reality, o orse, they dier widely and the state o the srrondin
hosin and jobs market inlenes their development. Some poor
neihborhoods are isolated eonomially and have low levels o
poplation hrn. thers are hihly transient, play an esalator role or
some hoseholds, and with the riht interventions old beneit rom
srrondin rowth. As we learn more abot how poor plaes hane (or
dont hane) over time, the emphasis needs to be on eorts whih will
link their development into opportnities in the wider eonomy.
Ten years ao this month, the overnment lanhed its onsltation
on the drat national stratey or neihborhood renewal and
onirmed another sl o ndin alloations throh the 2bn new
deal or ommnities proramme. Thins old only et better.
clearly, were now in a very dierent ae. t i we an learn and
apply the lessons rom the past, bild on whats been ahieved and realise
the potential o poor neihborhoods, thins dont have to et worse.
u John Houghton is a writer on regeneration and principal consultant
with Shared Intelligence.
argues John Houghton
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Read, watch or listen to any discussion about broken
Britain and you wont need to wait long before social
housing is mentioned. And it wont be in glowing terms.
Welfare dependency, crime, antisocial behaviour,
educational failure, ill-health: all are dumped on the
doorstep of the social housing estate. Sometimes it takes a
historian to remind us that the affordable housing we have
today was built as a solution to remarkably similar problems.
Take Friedrich Engels description of the Manchester
slums in 1845. In such dwellings only a physically
degenerate race, robbed of all humanity, degraded, reduced
morally and physically to bestiality, could feel comfortable
and at home, he wrote setting a rhetorical bar even Phillip
Blond or David Cameron might struggle to reach.The academic Anne Power quotes H G Wells: It is only
because the thing was spread out over a hundred years
and not concentrated into a few weeks that history fails to
realise how much massacre, degeneration and disablement
of peoples lives was due to the housing of people in the
nineteenth century.
When you look at todays problem neighbourhoods
and estates, its worth remembering that there were times
h f h h f h
affluence; but there was also council house building on
an industrial scale, creating many of the estates now
considered the most difficult.
The class divide often became starkly visual, suburban
semis contrasting with municipal slabs. The introduction of
the right to buy in December 1979 saw more than a million
better quality council homes sold to their tenants. Pressureon the accommodation that remained intensified, with
tenancies rationed on the basis of need. The people with the
most severe problems became concentrated in the housing
that was least desirable.
By the time Tony Blair took office in 1997, Britains most
intractable social problems were firmly associated in the
minds of pundits and policymakers with the worst estates.
While the Social Exclusion Unit was careful to point out that
d d f d d
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For ten years UK housing policies have reinforced
disadvantage and widened the gap between rich
and poor. Julian Dobson explains why rethinking
regeneration must involve rethinking housing
Dealing in a few
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home truths
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There are tried and tested approaches to hosin that escape the cce o oo
and st in the private arket and concentrated deprivation in socia hosin. t
present the tend to e rearded the pic sector, hoseiders and consers
as niche arkets t theres no reason wh the shod contine to e.
ug -
ooperative hosin is an aternative to traditiona
rented hosin, especia (t not on) within the socia
hosin sector. o-ops can own or anae their hoes,
ivin tenants and residents a stake in the wa their
neihorhood is rn and a voice at oard eve. esidents
a choose to rn a rane o anciar services aonside
the hoes theseves. There are an ors o cooperative
hosin, ro district-wide oranisations ike onit
gatewa in reston to sa independent co-ops.
uMore information: www.cch.coop
mmuTy lf-bul
onit se-id is a wa o rinin down the cost o
new hoes and providin or peope who otherwise iht
never have a pace o their own. e-iders can work with
hosin associations or or co-ops, and a id or rent,
shared ownership or to own their hoes otriht. ot on
do the iders rin down the cost contritin their
aor; the aso have the chance to earn skis and ain
A more diverse housing market:
Some starting points...
mixture of improvement, replacement and an injection of
owner-occupiers. The problems of private housing were
to be addressed by increasing supply and seeking cheaper
ways of building.
Theres no doubt many of the programmes to
replace council housing were needed because the homes
themselves were unfit for purpose. Schemes such as the
redevelopment of the Castlefields estate in Runcorn had
widespread resident support. But others were
perceived as breaking up existing communities
and sparked fears that local people would be
forced out.
The so-called mixed communities
programme, for instance, was founded
on the premise that to tackle entrenched
disadvantage, social housing estates had to
be broken up and uplifted through the good
offices of an influx of homeowners. Large-scale
redevelopment plans in places like Canning
Town, east London, or the Ferrier estate in Greenwich,
south London, generated vociferous localprotests (New Start, May 2009). More recently,
Hammersmith and Fulham Councils plans to
demolish the West Kensington and Gibbs Green
estates (New Start, February 2010) prompted
local people to declare they would take them
over themselves.
Meanwhile the solution proposed for the
home ownership market was to bring down the
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Above: a blue plaque
marks one of the first
houses to be built on
the Becontree estate in
east London
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enables housing to regenerate communities rather than
ossifying them? There are plenty of instances where
housing is part of the solution rather than part of the
problem (see box, left). But they are relatively small scale,
and exist at the margins of the market.
fu Wy T bg T fT
1 Stop the rot
more organic solutions have to be found.
Meanwhile we need to open up wealthier
neighbourhoods to those on lower incomes.
Planners need to be strong enough to
resist the nimbys and sprinkle affordable
housing generously across middle-class
neighbourhoods. They should also resist
gated communities that create physical
barriers within neighbourhoods. More mixed
neighbourhoods will in turn help to reduce the
social segregation of schools.
3 Be more flexible about land use
The homes we build tend to be an inflexible
solution to problems of social and industrial
change. Labour markets shift rapidly and social
demographics are fluid, but houses stay for a
century or more.
Housing solutions need to become
more adaptable to 21st century lifestyles. In
particular we need to rethink housing withincity centres. In many areas there is a vast oversupply of
retail and office space and no realistic prospect of using it
for its intended purpose. Much of this could be converted to
both short and long-term housing. The private rented sector,
which so far has grown largely on the speculative buy-to-
let craze, could play a key role in offering a wider range of
house types and locations.
We also need to think of different ways of using
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Just thejob?
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policy gaffes of the 75p increase in the state pension in 1999
or the removal of the 10p income tax band in 2008.
But just as few in the UK dispute the need for a safety
net, there is a general assumption that it is being abused. So
every welfare reform adds new layers of conditionality, with
one eye on the commentators who specialise in spotting
people who appear to get something for nothing.
Yet there have always been large numbers of people
outside the labour market. What has changed is who those
people are, how their inactivity is financed, and the public
attitudes that are attached to what they do.
In the first half of the 20th century it was common
for only one member of a household to do paid work, and
households tended to manage on one income. In 2010
that is unusual. What has changed positively has been
womens participation in the labour market. In 1955,
according to a Nottingham University study, 45.9% of
working age women were employed. By 1975 that had risen
to 55.1%, and by 1995 to two-thirds.
But the caring and domestic multi-tasking previously
lumped under the dismissive job title of housewife didntsimply disappear, to be done by millions of household
appliances. Some was outsourced to paid workers; some done
informally within families and social networks; and some
juggled into the spare hours of dual-earning households
(with the woman usually bearing most of that burden).
Couples and families increasingly found they couldnt
manage on one income alone to fund the lifestyles of their
peers; but as two-job households increased, so did no-job
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programme to help all unemployed people get back into
work.
For more of an insight we need to turn to the new work
and pensions secretary, Iain Duncan Smith, and the thinktank he founded, the Centre for Social Justice (CSJ). This
has been hugely influential among the Cameron set and
offers an analysis that goes well beyond the thinking of the
previous government.
Last years CSJ report,Dynamic benefits, advocates
a root-and-branch overhaul of the benefits system to
remove disincentives to work. In particular it accepts
the case, advocated over many years byNew Start, the
Community Allowance campaign and anti-poverty groups,
for increasing the amount people can earn before benefits
are withdrawn. It calls for the benefit withdrawal rate to be
eased so claimants entering work never lose more than 55%
of their earnings after taxation.
These are important proposals that could make
employment more attractive to people who might
otherwise find themselves working long hours for rewards
only marginally better than welfare subsistence. Theyrecognise that the choice not to get a job is often entirely
rational: it simply is not worth the extra effort and expense.
Indeed, one of the key findings of the Joseph Rowntree
Foundations report,Monitoring poverty and social
exclusion 2009, was that more children than ever suffer
poverty in households where at least one adult works.
The CSJ report advocates sweeping away the current
system and replacing it with just two payments: a
A positive approach would recognise the value
generated by creating homes and communities places
where children can grow up and elderly people grow old
Above: volunteers using
their time to paint a
community centre in
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that increase social skills and quality of life and
nurture communities. The Community Allowance (see
panel) is one such idea. But to achieve that, the link between
And it is not cheap: it would demand a significant
redistribution of the tax burden.
But it may be just the kind of support system we need
to face an uncertain economic future and growing socialneeds. A citizens income creates scope for volunteering,
community involvement and informal care the kind of
social infrastructure that could be stretched to breaking
point as people juggle paid employment and caring
responsibilities. It recognises that people contribute to
society in a mass of ways that cant be measured by GVA
or tax revenues. Initiatives like time banking could flourish
because there would be no question of contravening
available for work rules.
A citizens income replaces a culture of
compulsion and enforcement with one of
permission, where people make their own choices
about how they use their time. They might choose to
supplement their basic income with a modest amount
of part-time work; they might feel better rewarded by
using their time for the benefit of friends and family; or
they might go all-out for the higher living standards afull-time job offers.
But what if they do nothing? The objection is that
such a system encourages a culture of handouts. It would
be nave to assume nobody would try to take advantage.
Over time, schools and community organisations could
encourage a more universal culture of volunteering the
idea of National Citizen Service is a step in that direction.
But changing cultures is a long-term process.
The idea of allowi eole o beefit to wok i thei coitie withot
loi welfae etitleet eeed aod eiht ea ao fo the natioal
Coit o.
The cocet wa ile: t beefit edi to wok b ii claiat
the chace to do efl tak i thei eihbohood, de the eiio of
etablihed coit oaiatio. Thi wold ie eole a ootit to
ioe thei aea, lea ew kill ad becoe oe wok-ead, while ii
local oaiatio oe caacit to adde ie like eioetal bliht, ill
health, loelie ad atiocial behaio.
The allowace wold be aid o to of beefit
fo a axi of 52 week, with additioal
eai caed at 4,469. td b the new
cooic odatio coclded ee od
et o the Coit llowace wold ceate
10.20 woth of ocial ale.
at ea thee oaiatio wee choe
to ilot the idea i noth at icolhie,
pototh ad the le of iht, ad
Taeide, machete. t eai to be eewhethe the ew oeet will with
thi bt it a ideal ootit to tet
oe of ai ca sith idea.
The Community Allowance
Right: New Startfocused
on the issue of the
community allowance in
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1Make social justice the main goal. Social justice means the fair and equitable distribution of social, environmental
and economic resources.
2Build a broader economy. Extend the principle of decentralisation and citizen control to economic institutions likethe banks.
3Build a bigger democracy. Ensure widespread engagement and participation in government by citizens of all socialgroups, nationally and locally.
4Make sure everyone can participate. Ensure adequate and consistent support for local groups and organisations,
especially the most marginalised.
5Make co-production the standard way of getting things done. Draw on the skills, knowledge and experience ofproviders and users in an equal and reciprocal relationship.
6Transform the role of professionals and other providers. Professionals should see themselves as facilitators andbrokers, working in partnership with those at the receiving end.
7Redistribute paid and unpaid time. Move towards a shorter working week, spreading employment more equallyacross the population, supported by changes in the minimum wage and tax rates.
8Make it sustainable. Ensure the Big Society protects natural resources, prevents social problems and reduces ourdependence on economic growth.
9Measure what matters. Dont just count short-term financial effects, but the long-term impacts on the quality ofpeoples lives and relationships.
Ten ways to make the best of the Big Society
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TETS D RESDETS SSTS
The Big Society etwork wants to see everyone in the UK being part of a neighbourhoodgroup. Tenants and residents associations already represent more than five million
social housing tenants in England alone. They deal with day-to-day problems of crime
and grime and build bridges within and between communities.
u See www.taroe.org/index.php
TME BKS
Rallying under the slogan, no more throwaway people, time banks work on the
principle that one hour of my time is as valuable as an hour of yours. Time banks
encourage people to exchange skills might fix your car in return for help in learning
Spanish, for example. They are particularly useful where people are excluded from the
labour market through unemployment or disability.
u See www.timebanking.org
DEEPMET TRUSTS
Development trusts are community enterprises dedicated to creating and keeping
wealth in local communities. They own and manage assets such as social centres or
shops, often developing facilities and businesses in places others have neglected. Many,such as Westway Development Trust in orth Kensington, ondon, had their roots in
local protests in this case, a campaign against the noise and pollution of the 40
motorway.
u See www.dta.org.uk
MMUT D TRUSTS
The aim of a community land trust is to acquire land which is held in trust for local
people in perpetuity. t could be used to provide affordable homes, to keep alive a village
Five movements the Big Society can learn from
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USD
Ushahidi began with a blogger collating accounts of violence after the Kenyan electionsin 2008. Within a short space of time 45,000 users were contributing. t has now been
reconstructed as an open source application that can be used to map and visualise
information about a problem, from monitoring elections in Sudan to recording the
impact of the oil spill in the Gulf of Mexico.
uSee http://www.ushahidi.com/
FREEE
Freecycle is eBay with a social purpose. nstead of selling your junk you pass it on to
someone near you who can use it or if you need something, you ask if someone has it
to give away. The only cost is travelling to pick up your item. Web based and organised
by locality, it could be of great value to community groups or tenants organisations.
Since 2003 more than 1.7m people in the UK have joined Freecycle groups.
u See http://www.uk.freecycle.org/
UFEREES D BRMPS
Unconferences and barcamps are for networking and generating ideas. The original
barcamps were get-togethers of geeks to share mutual interests, write code and hack.ow the idea is being used for social innovation, generating initiatives such as Enabled
By Design, which improves equipment for disabled people through users ideas.
n unconference is an unstructured conference, but based on the same principle of
sharing: attendees do not pay, and much of the discussion is self-facilitated.
u See: http://www.sicamp.org/
PPS FR GD
pps for Good is a new training course that brings together young people to create and
Five new approaches that should influence regenerators
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But it must recognise, too, that places and the people who
live in them are subject to forces and trends that operate at
a national and global level from demographic change to
capital investment, from the tax and benefit system to the
cost and availability of food and energy.
Government has to play a strong role here, both on the
national and the international stage. It has to be able and
willing to respond to a crisis, and capable of balancing local
and national interests.
But another of David Camerons favourite thinkers,
Phillip Blond of ResPublica, believes government
intervention has broken Britain. Its a view that ignores
global economics in favour of an attack on welfare.
The risk is that the answer to any problem becomes a
call to reduce government involvement. This may sit well
with a deficit reduction strategy that appears to value
immediate action above assessing long-term impact, butcould prove a much more dangerous experiment than those
of Professors Stoker and John: it becomes a game in which
the building blocks are removed one by one to discover
what is left standing.
So from a regeneration perspective, active citizenship
must be coupled with active government. There are many
examples across the world of how this can be achieved, all
tailored to local cultures and circumstances. In Brazil, for
is the single greatest shift in our lifetimes in the
way communities connect with each other and with
government. Clay Shirky makes the point that to tap into
the possibilities offered by the combination of digital
technology and human generosity, the biggest leap to
make is between doing nothing and doing something.
So to get the greatest number making that leap and
to maximise its value in terms of regenerating places and
communities, what would civil society and government
need to do?
First and its so obvious its astonishing it hasnt been
done is to ensure everyone can get online, when and
where they want. That means universal broadband access
and it means everyone, from the time they start school,
having a laptop, home computer, internet-enabled TV or
smartphone. Its easy and its relatively cheap, and could
generate hundreds of jobs in social enterprises recyclinghardware to give away to those who cant afford it.
But thats no good if people cant use it effectively.
Around half the UKs working age population lack basic
numeracy skills, while one in six are functionally illiterate.
More than one tenth of the working age population have
no educational qualifications. In 2008 nearly 12 million
adults were considered digitally excluded lacking access
to digital technology or the skills to use it.
To harness the power of the internet and social networks for the greatest good, everyone has to have
access to digital networks and the skills to use them. That means a big investment in basic skills...
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In the eighth part of our series on the future of regeneration, Julian Dobson considers the
need for distinctive places and argues that local economic development is the key
Standing outfrom the crowd
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On the August bank holiday weekend two years ago, several
thousand people gathered in the middle of the night in ashopping centre car park to watch the demolition of two
cooling towers. Stripped of its context, it sounds like one of
those bizarre events that could only happen in England.
Why did the demolition of Sheffields Tinsley Towers
attract so many people and such strong feelings? Some saw
them as ugly eyesores and couldnt wait for them to go.
Many others felt they were important landmarks that, for
all their industrial functionality, created a sense of identity.
A campaign to turn them into artworks that could become
the citys answer to the Angel of the North won nationalacclaim but was scuppered by the landowners insistence
that they were unsafe.
The most significant comment people used to make
about the towers, though, was that they were a sign of
home. People returning to Sheffield along the M1 knew
theyd arrived when they saw the
giant disused structures. They were
housing market renewal schemes in Liverpool, have proved
so emotive.Last year the Labour government produced a strategy
for urban design and planning, World class places. One of
its aims was to help local authorities and their partners
create places that were distinctive as well as well-designed
and sustainable in other words, places that met this need
for identity and attachment.
It was revealing that ten years after architect Richard
Rogers assembled a high-powered task force to deliver his
blueprint for an urban renaissance in the UK, policymakers
were still struggling to bridge the gulf between theiraspirations for thriving towns and cities, and the reality
of developments that often fail miserably to attain the
standards expected of them.
In the intervening period, weve had a robust critique
of the shortcomings of boring, nondescript town centres
and dull, samey housing developments. At the forefront
has been the New Economics Foundation, whose Clone
Town Britain report in 2005 lambasted the trend towards
bland identikit towns dominated by a few bloated retail
behemoths.
Instead we needed home towns, NEF argued:
distinctive places where local independent businesses
could thrive, with profits ploughed back into local
economies rather than siphoned off into the accounts of
corporate shareholders.
The recession underlined the urgency of creating a
viable future for town and city centres, as retail centres
hollowed out. Earlier this year a report by the Local Data
Bradford exploded into life in the 19th century with the phenomenal success
of the wool trade. Many of the citys buildings were erected within a very short
timespan around three quarters of a century of intense activity and their
styles reflected this new-found wealth.
Much of the city centre was the work of a single firm of architects, Lockwood
and Mawson, providing a remarkable unity until the demolitions of the 1960s.
The buildings were designed to trumpet the citys success and ambition: City Hall,
built in 1873, was modelled on the tower of the Palazzo Vecchio in Florence.
Distinctiveness past: Bradford
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Londons South Bank after the Second World War was anything but distinctive. The concrete cultural centre surrounding
the Royal Festival Hall, built for the Festival of Britain in 1951, was an island in an expanse of speculative office
development and derelict sites.
A stones throw downstream, a group of local people decided to resist the encroachment of office blocks. Their
motivation was to have affordable homes for the people who had lived in the area for generations.
For many years Coin Street was little more than a small housing co-op, valiantly campaigning for local residents.
As time passed it grew creating a public garden to serve the homes it had built, gaining control of the riverside
walkway along the Thames, redeveloping the derelict Oxo Tower and, most recently, building a purpose-designed
Distinctiveness present: Coin Street
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REALREGENERATION
What local planners and economic development
professionals should do is to foster the conditions that
allow distinctiveness to develop. In a resource-starved
environment, this is the only option the old, expensive
solutions arent available.
To do this they need to recognise and value roots
and routes the roots back into the history, heritage and
identity of place, and the routes that create connections
with future opportunities, other localities, and social
and commercial networks that are increasingly global.
Successful places are those that discover the hidden assets,
talents and passions of their people and use them as thecrucible for innovation.
It is the making, inventing, creating and trading that
animates and develops the place. If the bulk of that activity
is organised to serve the needs of global corporations, we
will end up with places that reflect the branding, values
and uniformity of those corporations. Thats why inward
investment can be a poisoned chalice: multinational
companies may be committed to their employees and be
hot on corporate social responsibility, but they have little
interest in the distinctiveness of place quite the opposite,
in most cases.
Local knowledge and understanding, and a belief in the
value of local people, is essential if we are to create new
economic activities that keep wealth within
a community. There is an important role for
market intelligence and foresight to identify
trends and opportunities, and the new local
enterprise partnerships should prioritise this.
Todmorden, a small market town at the end of the Calder Valley in West Yorkshire,
has already gained international recognition for its approach to sustainability.
Incredible Edible Todmorden is a campaign to encourage local people to grow
and share vegetables. By simply showing
people where their food comes from, it is
heightening awareness of the importance of
local production and its hoped creating
opportunities for local producers, as well as
Distinctiveness future: Todmorden
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What is a great place? It sounds an easy enough question
to answer. Its one I pose when introducing ideas of
placemaking to council officers, asking people to bring along
pictures of what they think of as great places.
Often those places are landmark buildings, places with
special memories, or favourite holiday destinations. Ive
seen pictures ranging from the Golden Temple at Amritsarin India to Bradfords Wool Exchange. What I didnt expect to
see was a picture of an Asda car park.
The man who brought it along explained why his local
Asda was a great place. You can drive there easily, you can
carry your frozen peas to the car without them defrosting,
you can find everything you need to buy, and can go there
with your family.
Well, its clearly a useful place. But great? If thats the
threshold we set, we shouldnt be surprised if we end up
with places that look the same, that are entirely predictable
Last month I wrote about the importance of
distinctiveness, and how it needed to be rooted
in local economic development. Urbanism is
closely related, but focuses on the physical fabric
of a place and how it is used and animated.
Good urbanism supports a diversity of economic
and social activity; distinctive localities breedgood urbanism. Both are essential for the
regeneration we will continue to need.
Urbanism at its best brings together an
understanding of the organic and the planned
interventions by human beings that make
the built environment something of value. It
celebrates the culture and diversity and chance
interactions of cities, the interplay of histories
and uses of buildings, the multiple functions of
open spaces and street corners. It understands
realregeneration
In hard times, we have to change the way we do placemaking.
In the ninth of our articles on the future of regeneration,Julian Dobson explains why we all need to become urbanists
Urbanismfor
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everyone
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Kris Hopkins) appeared at exactly the wrong time. Before
the credit crunch of 2007-8 it was all systems go: the existing
shops and offices were demolished, the groundworks begun,
the basement excavated. Then everything stopped.
Neither Westfield nor the local authority nor the
schemes opponents predicted the extent and impact of
the credit crunch. With hindsight it might be easy to argue
things should have been done differently; at the time the
council and Westfield were both convinced of the case for
the new centre and that it would be commercially viable.
The councils view is still that the citys retail offer must
improve drastically, and Westfield is the way to do it. Butthere is an immediate problem: Westfields priority is
Stratford, and there is little prospect of work resuming on
site in the next year or two.
The hole has come to symbolise Bradford for outsiders
and locals alike. It speaks of unfulfilled ambition and market
failure. But with no money from the developers or the public
sector to kick-start building, something else had to be done.
The result was the Bug the Bradford Urban Garden.
Around one third of the site has been opened up to create
routes though the city centre, with grassed areas, wildflower
meadows and park benches. The hoardings which last
year were transformed by artists into advertisements for
Wastefield have been repainted and will exhibit artworks
by local schools.
After only a couple of months the urban garden
is already well used both as a through route and as
somewhere to stop and relax. Arts organisation Fabric, which
is leading the project with the city council, plans to populate
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Town centres across the country are suffering from long term changes.
The acne of empty shops is not a temporary phenomenon, though the
recession hastened it. The combination of people having less money
to spend and spending more of it online will permanently change
traditional centres.
Research for the British Council of Shopping Centres earlier this year
found assets worth a total of more than 10bn at risk from economic
recession, the withdrawal of public spending and long term changes in
shopping habits and town centre uses.
Investors such as pension funds, who have seen town centres as avaluable long term aspect of their portfolio, are facing serious losses and
write-downs. Capital values are unlikely to recover in the short term and
rental values are at risk from continuing decline.
With pressure on public agencies growing, towns and cities must look
to their own people to provide solutions. Rethinking shop and office space
for new and start-up businesses at low rents is one option. Another is to
turn marginal retail areas back into residential use; by repopulating town
centres, we help to support the retail and leisure functions that remain.
Housing demand is high but home ownership is increasingly difficult
for those without wealth. This opens the door for housing co-ops, urban
community land trusts, shared ownership schemes and open market
rented accommodation. Other spaces could be used for cultural and
educational activities, making central areas more attractive for new
residents and animating previously dead places. Vacant plots, instead
of being boarded up, can be turned into pocket parks or temporary
community gardens.
We also need these changes because of environmental challenges.
We may need to plan for a post-commuter economy where people will
denser but greener, with a greater diversity of uses in the buildings
we keep and creating useable, productive green infrastructure where
buildings have become redundant. We will need to rethink the business
park model of job creation, which encourages car dependency and drains
economic activity from town centres.
Theres also a strong case for localising the development process to
maximise local job creation and reinforce local character. Rediscovering
the vernacular of buildings is central to that using locally sourced or
traditional materials where available and appropriate, encouraging local
property firms rather than letting contracts to the usual big names, andfostering diversity and innovation in design.
How should this new activity be financed? Again, we need to look to
the resources we already have. The pension funds and institutions that
own much of our town and city centre property have a vested interest
in preventing its value from falling, and need to be engaged in thinking
about how we can create long term value. The public sector will remain
an owner and manager of assets, despite government encouragement to
sell or transfer, because it will not be able to realise maximum gain if a
sluggish market is flooded with surplus property. Local authority pension
funds and reserves could play a vital role in supporting local investment
and development; their managers too need to become part of the
conversation about placemaking and to understand the impact of their
investment decisions.
Nabeel Hamdi, professor emeritus of housing and urban development
at Oxford Brookes University, describes the practice of placemaking as
being about making the ordinary special, and the special more widely
accessible. That requires a change of culture and an acceptance that
whoever we are, the place where we live or work is our problem, not
Planning for change: why we need to think differently
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We all like testimonials from people of influence. So the
Social Enterprise Coalition displays no fewer than three
quotations from prime minister David Cameron, singing
the praises of social business.
The great institutional innovation of our times,
he called it in 2007. The previous year he talked ofmainstream businesses delivering public services with
a distinctive focus on quality, serving the community,
and employee pride.
Last year he declared: We need to give more power
to civic institutions like social enterprises, because
we desperately need your innovation to tackle social
breakdown.
That message has continued loud and clear as the
coalition government has developed the theme of a Big
Society. But social enterprise doing well by doing good
has been flavour of the month for more months than
many of us can remember.
Back in the 1990s Liverpools Furniture Resource
Centre was leading the way, providing work for long-
term unemployed people in refurbishing furniture
which was then sold to social landlords to help new
tenants furnish their homes.
The simple but powerful proposition was that you
could meet a triple bottom line of social good, financial
profit and environmental responsibility providing
a new and potent model for businesses, voluntary
organisations and public services.
ENTERING THE MAINSTREAM
And theres no doubt social enterprise has, in a
relatively short time, become an important part of
public discourse as well as a significant player in the
mainstream economy.
According to the Social Enterprise Coalition, there
are 62,000 social businesses in the UK, employing over
800,000 people and contributing 24bn to the economy.
And, since no comprehensive data appears to have been
22 | New Start | November 2010 New Start | November 2010 | 23
casualties as well as national success stories among
social enterprises: Sheffield Rebuild in 2005, Ealing
Community Transport in 2008, Secure Healthcare in
2009. Rapid expansion, dependence on a few large
clients, and sudden changes in market conditions can
all turn a profitable social enterprise into a marginal or
failing one.
So is the triple bottom line a realistic prospect
or are we becoming victims of our own rhetoric,
hoodwinking ourselves into believing theres a magic
formula that produces healthy communities as well as
healthy profits?
To consider whether social enterprises could be
a key ingredient in the glue that creates great places,
its worth reflecting on just what we imagine social
enterprises are for.
Talk to many who run them, and youll receive a
strong message that social enterprise is a better way ofdoing business. These are entrepreneurs who want to
achieve social good, to use the businesses they are in to
change the world. Often they fit the image politicians
and the media like to promote about business the
Dragons Den world of bold ideas, buccaneering
investors, go-getting individuals reaping the deserved
rewards of their risk-taking. With, in the case of social
enterprises, a cherry of social benefit on the top.
SIMILAR WORDS, DIFFERENT GOALS
But listen to the politicians and policymakers and the
stories arent quite in line. The rhetoric of enterprise
is the same, but the objective is different: rather than
Social enterprise could be at the heart of new
approaches to regeneration, says Julian Dobson.
But shouldnt we see it as a way of transforming
businesses rather than just changing public services?
A different role
We recommend a new power of civil association be
granted to all frontline service providers in the public
sector. This power would allow the formation... of new
employee and community-owned civil companiesthatwould deliver the services previously monopolised by the
state... The new civil company would be structured as a
social enterprise, with the scope and flexibility to allow
a number of different governance structures in the light
of local conditions... Governed neither by the public state
or the private market, this new civil association would
localise responsibility, direct agency and promote ethos.
It would do this by spreading the ownership of publicly
funded provision, revolutionising public service delivery
for the benefit of all.
Phillip Blond in The ownership state
Civil companies:a new breed of social enterprise?
Above: a hoarding at the
Social Enterprise
Coalitions annual Voice
conference last year
carries the events main
talking point
In The great transition the New Economics Foundation sets out a blueprint for a sustainable economy. It argues that a high growth, high
consumption economy cannot continue if we are to live within the earths environmental limits.
Its recipe for sustainability does not get rid of the market economy, but insists the market economy must change. It calls for prices to reflect
true environmental and social costs and benefits, so goods and services with a high environmental impact or negative social consequences
would be more expensive. It also argues strongly for a better balance between the public economy of local and national government services,
the market economy and the core economy the unpaid work such as social care that underpins the social fabric. From this rebalancing would
emerge forms of co-production in which local citizens join the state and businesses in defining what contributes to local wellbeing.
Alongside this there would be a great localisationin which economic benefit is shifted from multinational firms and their shareholders to
local businesses and communities, combining the local decision-making that is at the heart of the governments approach to localism with local
self-sufficiency wherever possible in essentials such as food or renewable energy.
The great transition, http://neweconomics.org/publications/publications/great-transition
How it could be different: The Great Transition
putting the social into enterprise, they are there to put
the enterprise into social.
As David Cameron put it in July this year: Weve
got to get rid of the centralised bureaucracy that wastes
money and undermines morale. And in its place weve
got to give professionals much more freedom, and open
up public services to new providers like charities, social
enterprises and private companies so we get more
innovation, diversity and responsiveness to public need. t
amassed since 2007, there may well be many more by
now.
Yet last year Claire Dove, chair of the coalition, was
still describing social enterprise as an under-reported
and undervalued part of the UKs business landscape.
Her comments came in her introduction to the State
of social enterprise survey 2009, which pumped out an
upbeat message: social enterprises were recession-
busters, twice as confident of business growth as
traditional small and medium sized enterprises. Two-
thirds were profitable, with a further 20% breaking
even. Seven out of ten reinvested profits for social good
or for expansion.
But mixed among the positives were causes for
concern. In particular, they are dependent on public
sector business 39% reported that more than half their
income came from providing services to central or local
government.
This year the vulnerability became more apparent.
Businesses trading with the public sector are at a
growing risk of insolvency: a recent report from
ResPublica, The civil effect, argues that while the biggest
companies are profiting substantially from government
outsourcing, smaller ones are suffering. Quoting
accountancy firm Wilkins Kennedy, it says the number
of public sector suppliers to go bust rose by nearly 50%
in the first six months of 2010, with 168 firms in the
health and social services, education and defence sectors
going under.
And for some time there have been high profile
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Above: David Cameron
at Voice 09 in
Birmingham
24 | New Start | November 2010 New Start | November 2010 | 25
place among those charged with delivering public
services, the social returns from the mainstream economy
are likely to be minimal. If social businesses dont have a
voice in chambers of commerce or the Confederation of
British Industry (CBI), if theyre not seen as participants in
and commentators on the wider economy, how can they
expect to be anything other than marginal?
Its understandable that social enterprises tend to
cluster together, taking part in their own trade fairs
and conferences, talking among themselves and to
government about the best forms of support for their
sector. Its what any industry does. But businesses also
club together the big ones much more effectively than
the small to influence government policy and economic
debate.
Where are the social enterprises in these forums?
How are they influencing the thinking of the CBI or
the Institute of Directors? Given the background and
culture of many of their leaders, who have begun life in
the community or voluntary sectors, these may feel like
uncomfortable networks to be part of.
But the risk is that unless they critique and debate
business ethics and practice from a business perspective,
their hugely important contribution to ethics and practicewill be ignored.
Earlier this year Will Hutton, founder of the Work
Foundation and chair of the Commission on Ownership,
E F Schumacher, in Small is Beautiful, quotes the case of one company that he
suggests offers a better way to do business.
Northamptonshire-based Scott Bader Co Ltd, which makes resins and polymers,
had been going for 30 years when its founder, Ernest Bader, turned it into the Scott
Bader Commonwealth a company owned entirely by its workforce. What that did
was change a traditional firm, accountable to its shareholders, into one that could
balance doing well with doing good.
Rules were put in place to ensure the company would continue to be run on
the principles espoused by its founder. It would stay relatively small; if it neededto grow, new firms would be set up on a similar basis. The maximum wage w