Economy of the UK Flashcards
The four sectors of the UK are?
- Primary - extracting minerals/farming / agriculture
- Secondary industry
- Tertiary
- Quaternary
How was economy changed over time?
1) most ppl worked in farming or mining - PRIMARY (1800)
2) During Industrial Revolution, ppl made steel, ships or textiles + lived in cities - SECONDARY (1900)
3) a big shift to TERTIARY sector - factories closed
more jobs in research, technology, and the media have developed since the 1980’s - QUATERNARY (1970+)
What is post industrial economy?
is where manufacturing industry declines to be replaced by growth in the service sector and quaternary sector
Why has the UK economy changed? De-industrialisation definition
- is teh decline in manufacturing indusrty and teh subsequent growth in tertiary and quaternary employment
Why has the UK economy changed? Why did De-industrialisation occur in UK?
- Machines and tech have replaced many people in modern industries (CAR PRODUCTION)
- other countries (CHINA) can produce cheaper goods bc labour there is less expensive
- Lack of investment, high labour costs and outdated macinery made UK products too expensive
Why has the UK economy changed? Globalisation definition
- Is the growth and spread of ideas around the world. This can involve movement and spread of cultures, people, money, goods and information
Why has the UK economy changed? Why did Globalisation lead to change in thE UK?
- Partly responsible for explosion of quaternar sector e.g. IT - many people working on global brands and produce
- Goods are moved around teh world quicker (increased world trade) and cheaper imported products ➡ decline in manufacturing industry
- Easier comunication
Why has the UK economy changed? Goverment policiy in 1945 - 79
1945 - 1979 The Gov owned industries e.g. British steel/ British Rail - but these were inefficient (THEY EMPLOYED TOO MANY PPL) and needed new machinery and were operating at a loss
Why has the UK economy changed? Gov policy in 1979- 2010
1979-2010 - Gov privatised (sold off) most of these in the belief that private compaines would be more efficient and better. Many older industries closed down (British steel) and many jobs were lost. New private companies brought innovation and change, redevloping older industries
Why has the UK economy changed? Gov policy 2010 onwards
- 2010 + - ‘Rebalancing the economy by relying less on service industries. Policies have included:
- Improvements to transport e.g. HS2
- More investment in manufacturing
- Encouraging global firms to locate in UK
The development of the UK’s post industrial economy: Development of IT
e.g. software developer, software engineer,
why ? bc internet access enables people to work from home ,communication allows quick and easy accesss around the world
How has the developmebnt of IT affected teh development of the UKs psi?
- Attracts investment from abroad
- Employs 1.3 miln ppl
- New businesses are directly involved with IT
The development of the UK’s post industrial economy: Service industry and finance
e.g. doctor, insurance, fund managemnt, mechanic and accountant
why? Grown rapidly since 1970’s.
Finance - the UK is the worlds leading centre for financial services
How has the developmebnt of service industries and finance affected the development of the UKs psi?
financial services account for 10% of the UKS GDP + emplys over 2 miln ppl
The development of the UK’s post industrial economy: Research?
e.g. Scientists, Engineer, Market researcher
why? developed the importance of highly qualified ppl and role of universities in research and th e growth of the economy
How has the developmebnt of research affected the development of the UKs psi?
- contributed over £3 bn to the economy and employs over 60,000 ppl
Science and business parks in UK?
- bringing together industry and academic reserachers
- Deliver benefits to society and to business
- Provide better jobs within the UK economy
- Focus on auto-motive, low carbon, new tch e.g artificial inteligence
- Transform industries and create new ones
THE INDUSTRIAL STRATERGY CHALLENGE HAS £725 MN TO DEVELOP THIS - A lot of these jobs take place in science and business parks
Requirements for quaternary industries - people
- Need qualified ppl - graduates - in their field
- High salaries - attractive place/ environment ➡ gym/ restaurant
Requirements for quaternary industries - Transport
by car - close to major road lines
quite near to airport
Requirements for quaternary industries - Property type
- needs to be modern
- attrcative
- greenery
- close to uni, rent not as much a factor
Requirements for quaternary industries - Logistics
- Outputs are gonna be small
- Could distrubute products online or by LORRY
What is a science park?
a group of scientific and technical knowlegde basd businesses located on a planned site
What is a business park?
a business park is an area of land occupied by a ckuster of businesses
what is the biggest difference between a science and business park?
A science park is a PLANNED industrial complex which contains QUATERNARY companies while a business park can also contain MANUFACTURING companies
The Cambridge science park
- home to more than 100 businesses which are involved in lots of areas of expertise such as medical, IT, and environmental
- it recieved a huge boost when Microsoft pleged £50 mn to build its first European computer research centre there in 1997
The cambridge science park what benefits does ut bring to cambridge
- Hi technology industries provide jobs, they now employ almost one quarter of workers in the Cambridge area
- Other companies have developed in Cambridge to supply the hi-technology firms with equipmnt services ect. these companies will also employ ppl - mulipier effect
The cambridge science park transport
- 52 mins to Central London
- Close to Stansted Airport
- Close to the M25
- 2.7 miles to the centre of the University of Cambridge
the cambridge science park facilities
- Landscaped surrpoundings
- Nurseries
- Health and fitness centre
- Cafes
- Conference facilities
Why are science parks good for the environment?
- use of renewable energy
- green landcaping
- Communal transport systens
- Encouragement of the use of cycling
- Specific facilities for staff
- Flexible working patterns
Transport imporvements in UK?
- improvements have enabled economy to grow and develop
- as new jobs have been created,
- more tourists are able to emter the country and visit different areas in the UK
- more areas are connected increasing natonal and international trading opportunities
- Transport developmens affect both employment and regional growth and remain an important issue for the future
Negative impacts of industry on the phyiscal environment (Manufacturing & pollution)
- Manufacturing cabn ahve a negative impact on the scenery of rural landscapes (visual pollution)
- Industrial processes and buildings can cause air and water pollution
Negative impacts on teh physical environment (waste products and transport)
- Waste products are often taken to landfill. In the ground they can pollute the air, as well as the soil and water which are more difficult to recover
- Transport of industrial produts is ususally by road casuing air pillution and environmental admage through road construction
impacts of large scale extraction industries such as quarrying and mining?
- visual pollutuion
- idustrial processes can cause air and water pollution, degrade the soil and health rpiblems
- waste products taken to landfill then pollute the ground
- TYransporting raw materials increases air pollution and damage to the environment, when roads are built or widened
how can industries be more enviormentally stable?
- use of aggregates - recucled then used
- Tech can be used to reduce harmful emissions from ehavy industries
- Desulphurisation remove harmful gases like sulphur dioxide
- Stricter environmental targets for water quality, air pollution, landscape damage
- heavy fines
Quarrying in the Uk can have harmful impacts on teh environment like:
- destroys habitats
- Pollute nearby water courses
- scar the landscape
sustainablde development: restoration after quarrying
- landfill
- agriculture
- habitat creation
- hosuing
- flood storage
RECYCLING IS ENCOURAGED TO REDUCE THE WASTE
Torr Quarry Somerset
1/8 limestone quarries located on the Mendip Hills
over 100 ppl employed
contribtes estimated £15 million to local economy
Torr Quarry Somerset sustainable practices
- quarry being restored to create wildlife lakes for recreation and water supply
- 200 acres of lanf already replanted with grass and trees
- Regular monitoring of ‘environmental footprints’ including noise, vibration, air borne emissions and water quality
Population growth in South Cambridgeshire social effects
- commuters use services in Cambride so they spend more money in villages
- 80% car ownership is leading to ⬆ traffic on narrow country roads and reducingd emand for public transport
- Young ppl cannot afford the cost of houses and move away
Population growth in South Cambridgeshire economic effects?
- A reduction in agricultural employment as farmers sel tehri land for hosuimng developments although this may incraese jobs in construction
- Lack of affordable hosuing
- This area has some of the highest pertrol prices in the country due to high demand
Population decline in Outer Hebrides social effects?
- The no. of school children is expexcted to fall over the next few years and this may result in school closures
- Wirth may young ppl moving away, there will be fewer ppl of working age living in the Outer Hebredes
- An increaing;ly ageing pop, with fewer younger pp to support them may lead to care issues in the future
Population decline in the Outer Hebrides economic effects?
- UK and Scottish Gov subsidise ferries and services
- Farming - main farming is breeding sheep but teher is only work for 2 days a week
- Fishing- the development of fish farming has been limited due to concerns about the environment
Changing transport infrastructure in the UK - roads
- in 2014 , Gov announced a £15bn ‘Road investment Stratergy’ - aim is to inxcrease capacity and condition of UK roads
Roads advantages
- creates thousands of consurctions jobs and bosots local economies
- 100 new roads
- Motorways widened
- ‘Smart motorway’ where they will use the hard shouldr lane
Roads disadvantages
- expensive
- Not sustainable plan - takes up land, encourgages car
- short term congestion during road works
Rail
Rail is vital for improving links different UK regions
Stimulate economic growth in teh North of England by:
- electificiation of Trans-Penine Express between Manchester and York - quicker serviecs
- HS2 - £56 mn high speed rail connects Londomn with Birmigham then North
Rail advantages
reduce N/S divide
creates thousdands of jobs
biggest infrastructure plans in 100yrs
Rail disadvantages
- destroying habitats
- thru quiet countryside, land - many ppl objected as near housing
- ## Exspensive
Port
laregst port in Europe due to length of coastline.
Leading container ports for imports and exports
- 52 mill passengers a year and ports employ 120,000 people
e.g.: investment in Liverpool - going to be a deepwater port costing £300 million and increasing the goods capacity
Port advantages
1000’s jobs
Boosts NW economy (reduces N/S divide)
reduces road freight traffic
Port disadvantages
expensive
difficult to imporve all ports around country
Airport
- Aviation sector accounts fot 3.6% of UK’s GDP - employs 300,000 people
- important for freight
- business travel and tourism
E.G.: Heathrow London Airport expansiomn - 3rd runaway
- new terminal increases capacity
Airport advantages
- would provide 60,000 jobs
- support economic growth of UK
Airport disadvantages
- increased co2 emissions
- destruction of nearby communicaties
what is the North South divide
this refers to the real or imagined cultural and econimic differnces between the South of England and the North of England
Strategies to address the /
- The Northern Powerhouse
- Transport (HS2)
- Local Enterprise Partnerships
Local Enterprise Partnerships are…
Partnerships between local authroities and businesses. Identify businesses needs and encourage investment
- there are 39 in ERngland
- The find out teh business needs of an area
- they encourage companies to invest
- Usually in deprived areas
Northern Powerhouse infrastructure?
- investing £6 bn in N roads to reduce jams
- introducing new modern trains (HS2) and 20% more capacity to end overcrowding
- Doubling the number of northern cities to benefit from the Gov’s superfast broadband scheme
Northern powerhouse industry?
- a new innovative Centre for ageing in Newcastle
- a new college for Onshore Oil and Gas in Balckpool, with centres at Chester, Redcar and Cleveland
- a new cognitive computing research centre in Warrington
Northern powerhouse power?
civic leadership - in Nov we announced a groundbreaking devolution deal with Greater Manchester as well as the 1st metro-wide elected mayor outside London
culture - £78mn funding for a major new theatre and exhibition space in Man
Economic developments in Lancashire Enterprise Zones
Their aim is to encourage the establishment of new businesses and new jobs in areas where there were no pre-existing businesses. The Gov supports them by: - providing a business rate discount
- ensuring provision of superfast broadband
- financial allowances for plants and machinery
Economic developments in Lancashire Transport
Money has been invested in transport improvements including:
- new high speed rail service between London and North and electrification of Transpenine
- upgrade the M62 cross- Penine motorway
- the new Liverpool DEEPWATER CONTAINER PORT
lancashire growth Hub
the Lancashire LEP will promote new businesses and creates 50,000 jobs by 2023
- in 2013, a business Growth hub was established to support small and medium sized businesses in area
- it aims to set up 400 new businesses and creates 1100 jobs new jobs by 2016
Broadband in Lancashire
- £62 mn BT investment will extend superfast Broadband across 97% of the region
UK in the wider world - culture
UK Television is a huge global export. dr Who, Sherlock, and Downtown Abbey are among its successes.
- £13.8bn annually
- Exporting to USA, Australia, new Zealand
UK in the wider world - transport
- London heath row is one of the busiest airports in the world. Channel tunnels links to Europe, Southampton, Port mouth and Calais all important ports
UK in the wider world - electronic commuications
99% of al internet traffic passes along a multi-billion dollar network of submarine cables. Her UK is the focus of these cables
UK in the wider world - trade
most important links with the EU - but could change post- Br exit. Single market means goods traded in EU without tariffs . USA important partner, China is growing
Political groups: Common wealth
- a voluntary group of 53 countries, most of which were once British colonies
Political groups: European union
The Eu is a group of 28 countries that work together to make economic and political rule and decisions, 19 of these use the euro as their official currency
Political groups: NATO
NATO is an alliance of 28 countries, bordering teh North Atlantic ocean . If one is attacked, then they are all attacked
Political groups: UN security council
An important division of the united nations that contains 5 permanent members - the US, Britain, China, France, Russia. It is often called into session to respond quickly to international crisis.
How does EU affect UK? advantages
financial support for farmers, single farm payment supports farmers across the EU
- Eu laws and controls on crime, pollution, and consumer rights
- Eu IS BIGGEST SINGLE MARKET IN THE WORLD. goods, SERVICES, CAPITAL AND LABOUR CAN MOVE FREELY
How does EU affect UK? disadvantages
- Rules can be restrictive for some
- High unemployment and Poverty EU has lead to me to migration e.g NHS to the UK
how does the commonwealth affect the UK? advice & trade
- The Commonwealth Secretarial advises countries on human rights, social and economic development
- Trading relations are strong as are political ties between countries
how does the commonwealth affect the UK? cultural & sport
- Culturally there are strong ties within Commonwealth
- Sporting connections are through the Commonwealth games every 4 years
