Invest Northern Powerhouse

Invest Northern Powerhouse
Name	Invest Northern Powerhouse
Type	Agency
Founded	2016
Headquarters	Manchester
Region served	Northern England
Key people	Lord Andrew Caine, Lord Jim O'Neill
Parent organisation	Department for Business, Energy and Industrial Strategy

Invest Northern Powerhouse

Invest Northern Powerhouse was a UK regional economic initiative launched to stimulate trade, foreign direct investment, and regional growth across Northern England. It operated alongside bodies such as the Northern Powerhouse Partnership, the Greater Manchester Combined Authority, the Liverpool City Region Combined Authority, and the Tees Valley Combined Authority to coordinate inward investment, trade missions, and sector promotion. The organisation linked with institutions including the Department for Business, Energy and Industrial Strategy, UK Trade & Investment, and local enterprise partnerships like Liverpool City Region Local Enterprise Partnership and Greater Manchester Local Enterprise Partnership.

History and Establishment

The initiative emerged from political debates following the 2014 United Kingdom general election and the 2015 policy agenda of the Conservative Party (UK), influenced by advocates such as Jim O'Neill and business groups like the Confederation of British Industry and the Institute for Public Policy Research. Early milestones included coordination with regional organisations during the tenure of the Chancellor of the Exchequer and announcements at events such as the Britain and Northern Powerhouse Summit and trade fairs in Manchester Central Convention Complex. Its formation intersected with infrastructural debates around projects like HS2 and the redevelopment plans for Manchester Airport and Liverpool John Lennon Airport.

Governance and Organisation

Governance involved coordination between national departments—Department for Business, Energy and Industrial Strategy, Department for International Trade—and sub-national actors including combined authorities: Greater Manchester Combined Authority, West Yorkshire Combined Authority, South Yorkshire Mayoral Combined Authority, Tees Valley Combined Authority and Liverpool City Region Combined Authority. Leadership figures sometimes included business leaders associated with organisations such as the CBI and think tanks like the IPPR North. Strategic oversight was linked to ministers in 10 Downing Street and parliamentary committees including the Business, Energy and Industrial Strategy Committee. Delivery relied on partnerships with development agencies such as British Business Bank and export agencies like UK Export Finance.

Objectives and Strategy

The stated objectives targeted sectors including advanced manufacturing tied to clusters in St Helens, Sheffield, and Leeds, digital and creative industries concentrated in MediaCityUK, life sciences linked with Manchester Science Park, and low carbon technologies around Teesside. Strategic priorities echoed recommendations from reports by City Growth Commission and investment roadmaps influenced by the Northern Powerhouse Partnership. Tactics included facilitating inward investment through trade missions to markets such as United States, China, India, and Germany, supporting export pipelines with UK Export Finance, and promoting skills provision through collaborations with universities like University of Manchester, University of Leeds, Newcastle University, and University of Liverpool.

Key Projects and Investments

Notable initiatives involved sector-specific campaigns for automotive supply chains serving clusters near Jaguar Land Rover facilities, advanced materials collaborations with Sheffield Forgemasters, and digital hub promotion near Manchester Digital and The Sharp Project. Investments leveraged regional infrastructure projects including upgrades at Port of Liverpool and industrial regeneration in Teesworks on Teesside. The programme aligned with inward investment successes announced at international fora such as Mobile World Congress and trade delegations linked to the UK-China Business Council and Department for International Trade missions.

Economic Impact and Performance

Assessments referenced statistics from agencies like the Office for National Statistics and analyses by organisations such as the National Institute of Economic and Social Research and Resolution Foundation. Reported outcomes included job creation in sectors around Greater Manchester and Mersey Devolution, increased export inquiries routed through UK Export Finance, and capital commitments to projects in Teesside, Liverpool and Leeds. Performance debates often contrasted regional productivity metrics against London and South East England and examined impacts on indices produced by the Local Government Association and the Joseph Rowntree Foundation.

Partnerships and Stakeholders

Stakeholders encompassed combined authorities—Greater Manchester Combined Authority, Liverpool City Region Combined Authority—local enterprise partnerships like York and North Yorkshire LEP and private sector partners including multinational firms such as Siemens, Boeing, Unilever, and regional chambers of commerce like the Greater Manchester Chamber of Commerce. Academic partnerships involved University of Manchester, University of Leeds, University of Sheffield, and research organisations including Tyndall Centre for Climate Change Research and National Nuclear Laboratory where relevant. International partners included trade promotion agencies such as UK Trade & Investment and global investors from United States, China, and Germany.

Criticisms and Controversies

Critiques were raised by commentators from the Institute for Fiscal Studies, Public Accounts Committee, and think tanks like IPPR and New Economics Foundation over funding allocations, measurable outcomes, and the relationship with national projects such as HS2 and Northern Powerhouse Rail. Concerns focused on regional disparities highlighted by reports from the Resolution Foundation and Joseph Rowntree Foundation, accountability questioned by the National Audit Office, and debates over devolution tied to mayors such as Andy Burnham and Steve Rotheram. Political controversies surfaced during parliamentary inquiries in the House of Commons and through media coverage by outlets such as the BBC and The Guardian.

Category:Economy of Northern England