Changing places Unit 3 Flashcards
Describe the tertiary sector in the UK
The service sector includes business involved in activities such as entertainment, retail, insurance, tourism and banking/finance. In a developed economy such as the UK, the service sector is the biggest component of the economy, compromising nearly 80% of GDP and % employment. In the UK, the main sectors include:
> retail industry
> computer and I.T. services
> restaurants and cafes
> transport - rail, bus, air, sea
> communication
> banking services
> insurance services
> pension services
> food and beverage services
> postal services
What are two key factors behind tertiarisation
Is improved productivity in manufacturing and agriculture through increased level of mechanisation which has resulted in lower demand for labour in these sectors.
Increased affluence of the population, more leisure time and the growth of new computer/I.T. industries have been driving forces in the growth of the tertiary sector.
Between 1970 and 2006 the tertiary sector component of the UK grew from what to what of GVA( Gross Value Added - the value of goods and services produced in the UK)
From 50% to 78%
Define gentrification
The displacement of working-class populations in an area, as more affluent population move in. The process results in increased house prices and changing local services to reflect the changing demographic.
What happens in stage 1 ‘The Early Stage’ of gentrification?
> In run-down, deindustrialised working class inner city locations, artistic/hipster groups move in to take advantage of low rent/cost buildings and housing. These incoming groups are know as ‘urban pioneers’.
New trendy artistic hipster community develops with associated new services e.g. ethical stores and coffee shops.
Limited impact on both property prices and existing working class residents who co-exist.
What happens in stage 2 ‘The Transitional Stage’ of gentrification?
> Reputation of the area is enhanced as a ‘trendy’ hipster location
New more affluent, liberal/left wing residents(journalists, lecturers, media and creative IT workers) move in to area attracted by the positive social vibe.
Tourist/visitr numbers increase as people visit bars/restaurants and other services in the locality.
Demand for both residential and commercial property increases with subsequent rise in price/rents. Investment in and renovation of building improves environmental quality and appeal.
Working-class population outpriced who subsequently leave the area.
Existing low value services cannot afford higher rents and replaced by higher value products and services reflect more affluent population.
What happens in stage 3 - ‘The late stage’ of gentrification?
> Reputation firmly established as trendy affluent and upcoming area
New wealthier residents attracted are from higher income managerial and business classes
Private sector corporate investments result in new exclusive housing developments, services are increasingly orientated to the highest income groups, corporate tertiary office based employment develops.
Original Working class and urban pioneers are priced out of area and forced to relocate.
Where is Shoreditch Located?
Shoreditch is an inner city area located in the East End borough of Hackney, northeast of the city of London (the financial heart of the capital).
What happens in the 1980s in Shoreditch?
Due to deinstitutionalisation of the garment and furniture industries, the area contained many buildings, workshops and warehouses had fallen into disrepair.
What happened in the 1990s - stage 1 of gentrification in Shoreditch?
The area around Hoxton square started to attract a new artistic community including people such as Damien Hurst, Tracy Emin and Alexander McQueen. Illegal warehouse raves took place in empty warehouses and ‘greasy spoon’ working class cafes still operated in the changing mixed community. Street art was created on many buildings reflecting the artistic community
What happened in the 2000’s - stage 2 of gentrification in Shoreditch?
The area had become one of the trendiest places in London attracting an influx of hipster types and businesses with rising property prices.
Contrast the rise in house prices on Shoreditch between 2004 and 2010 with the rest of East London.
Average house price in Jul-05 in Shoreditch - £225,441
Average house price in Apr-10 in Shoreditch- £345,827
Average house price in Jul-05 in East London average - £209,170
Average house price in Apr-10 in East London average - £262,953
Shoreditch change = 53%
East London Average = 26%
By 2010 what did the demographics of Shoreditch show?
They were representative of a wealthy middle-class population with changing services to reflect the growing affluence.
What was the % of skilled trades occupations in 2011 in Shoreditch?
7%
What was the % of skilled trade occupations in 1991 in Shoreditch?
14%
What happened at the Shoreditch cerebral killer cafe targeted in anti-gentrification protests?
How much was a two bedroom apartment on the 14th floor in Shoreditch?
£1,695,000
How much was a three bedroom apartment on the 26th floor in Shoreditch?
£2,570,00
What concerns do current Shoreditch residents have about the expensive new apartments? (New corporate driven developments)
• Londoners are being marginalised - not providing homes for those who need it
• People getting kicked out of their houses for new buildings
• Unaffordable to the average person
• Having to move to the outskirts
• Buildings are an eyesore - don’t fit in
• Forgein investments
What issues about gentrification in Shoreditch are identified by the artist stick man?
• Family groups and social groups are constantly being torn apart
• Damages communities
• ‘Business men’ who are wealthy ignoring homeless people and people who are struggling financially
• Artistic buildings are closing up and moving out
What are the winners of the gentrification process in stage 1?
• Urban pioneers who have moved in(hipsters) - derelict factories are good places for their studios.
• Working class locals at they co-exist - no negative impact - nice new community - growing economy upward spiral
Who are the winners in stage 2 of gentrification?
•More affluent,liberal left wing residents
• Tourists/visitors
• New businesses
• Urban pioneers
Who are the losers of stage 2 of gentrification?
•working class people who originally lived there as house prices and services are not affordable for them - they’ve been priced out.
Who are the winners in stage 3 of gentrification?
• New wealthier residents
• Higher income people and businesses
• Big corporate companies
• Tertiary office workers
Who are the losers in stage 3 of gentrification?
• urban pioneers who stared the whole process originally get priced out.
