As the nation plans its post-covid recovery strategy, it has become ever more important to understand the different regions throughout the UK and what will work best for them. This has pointed towards the need for a more tailored form of regional support in order to promote future economic growth that works for everyone.
A report published by Lloyds Bank highlights how the UK requires a regionally-focused strategy, shaped by local voices for local economies, to address the regional, racial and socio-economic inequalities that covid has perpetuated. Now more than ever, we need to focus on the needs of each individual region and cannot take a blanket approach to our recovery. It is imperative that the regional funding gaps are addressed in order to tackle the long-term issues facing the UK.
Pre-covid, there has already been a significant funding deficit that has ravaged the UK’s regions and the chasm-like gap in finance has only been worsened as a result of the pandemic. Historically, it has been known that regions in the south of the country and around the London area have gotten far better access routes to finance than other regions. There are an array of great investment opportunities outside of London, such as Rockwater in Hove, which has raised a significant amount of its investment from the local community. Furthermore, this highlights the need for investors to now look to regional investment as a means of supporting the wider economy.
CEO of IW Capital, Luke Davis: “The tactics that have worked in London and other major cities are not always transferable to other regions, further highlighting the need to tailor our support and recovery strategies to the needs of each region. One way IW are looking to do this is by employing regional investment directors to better understand each region’s individual needs and cater to them. A one size fits all approach will simply not work and the best way to support our economy is from the ground up in a way that works for everyone.
“Investors need to start looking outside of London and into the north and other regions where there are a number of great investment opportunities within the hospitality sector. Here at IW, we are doing just that with Rockwater in Hove where we have raised a significant amount of investment from the local community, and Transcend in South Wales.
“Making growth investment more easily available to small businesses within this sector that are looking to grow should be a priority. The last time that the Government-backed EIS was extended, it resulted in a significant jump in private investment into small businesses. Replicating this effect with new, or increased, incentives would provide a much needed boost to a section of the economy that is most in need, and so we hope this will be addressed in the near future.”