Property giant ranks Milton Keynes in top 10 recovery leadersDec 19, 2013
Its UK Vitality Index has assessed 65 of the largest towns and cities outside London to provide a thorough view of the health of the local economies and has identified which are best placed to support future economic growth.
Milton Keynes is ranked 9th in the UK. The top ten towns and cities are:
- St Albans
- Milton Keynes
- Bournemouth, Edinburgh, Reigate (joint place)
Milton Keynes was ranked first in the fastest growing index, which ties in a combination of population growth, growth in economic output and commercial property rental data to show which towns and cities have seen the fastest rate of growth over the last 10 years.
The town was ranked fourth in the most entrepreneurial index, which looked at business density, business registrations and Gross Value Added output to demonstrate where in the UK is most supportive of new business.
Milton Keynes was also ranked fifth in the most productive category, using GVA – the conventional measure of economic output – and data on business registrations per capita as well as the percentage of the population claiming jobseekers allowance.
Lambert Smith Hampton’s associate director of research Tom Leahy said: “We set out to create an annual guide that will track the vitality and performance of the major UK towns and cities, across a range of socio-economic measures. It can be used as a resource for occupiers and investors when choosing where to locate or invest.
“The results of the UK Vitality Index are a reminder that amid some of the well-publicised problems faced in the regions, such as the structural decline of high streets, many local economies are thriving. Considering 78% of UK GDP is generated outside London, the successes of the regions can be overshadowed by the capital.
“For the UK economy to make up the ground lost over years since the recession it is vital that growth spreads out from London and into the regions. The towns and cities at the top of the index have healthy and robust local economies, are well placed to support growth and will provide opportunities for businesses to expand.
After three successive quarters of GDP growth, the improvements in the regional economies are starting to feed through to the property market.
The residential property market outside London has seen a real turn-around in fortunes in 2013: the latest Q3 2013 data shows that house prices in all parts of the UK grew in comparison with Q3 2012.
Regional commercial property investment volumes in the first nine months of 2013 have already eclipsed the whole of 2012.
Mr Leahy said: “In commercial property, almost without exception, the major regional office markets have seen growth in take-up in 2013 in comparison with 2012. While in many cities, average office rents for regional commercial property have already returned to growth in 2013.
“We expect the top 10 towns and cities highlighted in our report to outperform in 2014 as their strong economies feed through to the property markets – both commercial and residential.”