Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting...

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Domestic Fragmentation: The Future of the UK Trajectory Trends Breakfast May 2016

Transcript of Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting...

Page 1: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Domestic Fragmentation:

The Future of the UK

Trajectory Trends Breakfast

May 2016

Page 2: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Introduction

Page 3: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Fragmentation in the UK

Page 4: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Uneven recovery

-9.0%

-8.0%

-7.0%

-6.0%

-5.0%

-4.0%

-3.0%

-2.0%

-1.0%

0.0%

1.0%

2.0%

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26

Total GDP, quarterly change after pre-recession peak

80s recession

90s recession

Great Depression

Recent downturn

Source: ONS/Trajectory

Page 5: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

The spectre haunting Europe

46%

24%

-4%

-10%

-26%

24%

10%

-20%

-26%-30%

-20%

-10%

0%

10%

20%

30%

40%

50%

18 to

29

30 to

39

40 to

49

50 to

59

60+ AB C1 C2 DE

Remain Lead

Source: YouGov; 16,242 Adults questioned from 21st February to 3rd March

2016

Latest Poll

(YouGov 23rd-24th May, Online)

In:

41%

Out:

41%

Page 6: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

FRAGMENTATION IN THE UK

Page 7: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Inequality: Problem Solved?

34%

33%

34%

35%

34%

34%

33%

34%

32%

33%

32%

32%

31%

31%

32%

32%

33%

33%

34%

34%

35%

35%

2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15

(p)

UK Gini Coefficient, 2003/04 to 2014/15

Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015

Page 8: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Across the UK the story is different

102.8 103.0 103.0 103.1

95.593.7 93.4 93.9

81.8

79.277.2

75.9

70.9 71.272.5

71.4

60

65

70

75

80

85

90

95

100

105

110

2008 2010 2013 2014

Gross Value Added per head: Indices where UK = 100

England

Scotland

Northern Ireland

Wales

Source: Parliamentary Briefing Paper; Regional and Local Economic Growth Forecasts

Page 9: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

A Nation Apart

167.1 166.8170.6

173.4

108.8 109.8 110.6 109.7

60

80

100

120

140

160

180

2008 2010 2013 2014

Gross Value Added per head: Indices where UK = 100

North East

North West

Yorkshire & Humber

East Midlands

West Midlands

East of England

London

South East

South West

Source: Parliamentary Briefing Paper; Regional and Local Economic Growth Statistics

Page 10: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Elite Clusters

The Elite – 6%

Established Middle Class – 25%

Technical Middle Class – 6%

New Affluent Workers – 15%

Traditional Working Class – 14%

Emergent Service Workers – 19%

The Precariat – 15%

Source: Mike Skinner/BBC; What is your 21st Century Social Class

Clusters of Elites across the UK

Page 11: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Internal Migration

Source: ONS 2013; Internal Migration by Local Authorities in England and Wales

Page 12: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Age Driven Migration

-6000

-1000

4000

9000

14000

0 3 6 9 12 15 18 21 24 27 30 33 36 39 42 45 48 51 54 57 60 63 66 69 72 75 78 81 84 87 90+

Internal Migration moves into and out of London by age;

year ending June 2013

net inflow outflow

Source: ONS analysis of the age and sex of internal migrants into and out of London for the year ending June 2013

Page 13: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

London and the South

0.5% 0.7%

2.1%

3.8%

7.4%

0.0% -0.7%-0.3%

0.8%

4.1%

-0.8%-1.2%

-1.5%

-0.5%

2.1%

-2%

-1%

0%

1%

2%

3%

4%

5%

6%

7%

8%

2009 2010 2011 2012 2013 2014

Change in employee levels for northern and southern England

regions; 2009-2014

Southern regions

Southern regions

without London

Northern regions

Source: Office for National Statistics; Business Register and Employment Survey (BRES), 2015

Page 14: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Fragmented Provision

UK Tech Businesses

Source: Tech City/Nesta; Tech Nation 2016Source: Ofcom; 2014 Infrastructure Report

Page 15: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Life Expectancy

Source: Office For National Statistics

Life Expectancy at birth by local authority district;

England and Wales 2012-2014

Page 16: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Lives on the Line

83.8

83.8

82.2

87.3

81.0

84.6

80.4

80.4 84.0

83.4

84.6

84.6

87.9 85.9

82.9

82.9

84.0

80.9

80.9

79.9

81.7

80.3

82.7

81.4

79.6

80.4

79.1

Source: London Datastore; Ward Atlas

Page 17: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

THE EUROPEAN QUESTION

Page 18: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

European Fragmentation

http://bigthink.com/strange-maps/where-europe-shrinks-and-where-it-grows

European Population Change 2001-2011

Page 19: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Perfidious Albion

Source: Comres 2014/FT.com Oct 2015

52%

36%

26%

46%

0%

10%

20%

30%

40%

50%

60%

British people should

be free to live and

work anywhere in the

EU

All citizens of other EU

countries should have

the right to live and

work in the UK

UK Views

Agree Disagree“If we vote to leave, we will not really

leave. A bargain will be brokered that

preserves some British access to the

European market in exchange for some

duty to observe European laws”

“…and if we vote to stay, we will never

become a truly European nation

anyway. Even if David Cameron

achieves the square root of nought in his

renegotiation of membership, Britain is

already estranged from the EU core by

its currency.”

-- Janan Ganesh, Financial Times Oct

2015

Page 20: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

A nation that prefers the status quo

– and rarely votes for regressive change

% saying that trying new things is

‘like me’

EU Big 4 UK

% agreeing that the world is a

more dangerous place

EU Big 4 UK

% saying they would not want to

live next door to an immigrant

EU Big 4 UK

61% 48%

67% 73%

15% 21%

Source: Trajectory Global Foresight, 2015

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Continued Fragmentation

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Big Data and Fragmentation

Page 23: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Implications

Page 24: Domestic Fragmentation: The Future of the UK · Source: Office for National Statistics; Nowcasting household income in the UK: Financial Year Ending 2015 Across the UK the story is

Tom Johnson, [email protected]

Ruairi O’Shea, [email protected]

22 Upper Ground, London, SE1 9PD+44 (0)20 8004 4861

trajectorypartnership.com@TrajectoryTweet

Thank you