Sheffield is losing income to poor transport, says top economist

Andy Haldane, the Bank of England’s Chief Economist, said the city should have a 2.6 percent higher income than Oxford but is currently 44 percent lower.

In a lecture at the University of Sheffield, he said around the world higher populations were linked to higher average incomes but many major UK cities were punching below their weight.

He added that by creating a transport strategy that increased the ‘effective working population’ the average income could go up by around 10 percent, or £3,100.

He said: “This is not just a North-South divide. Income per head in Sheffield is little different than in Doncaster just down the road.

“And it’s not just Sheffield. Many large UK cities sit below the line: Belfast, Glasgow, Leeds, Manchester, Cardiff, Birmingham, and as well as Sheffield – why?”

He went on to say that transport networks were a ‘large part’ of the problem and referenced a study in Birmingham that proved the trend.

Genevieve LeBaron, director of Sheffield’s Political Economy Institute who held the lecture, said: “Andy’s lecture highlighted the need for economic indicators to take account of local realities, which aren’t always reflected in prevailing models and calculations.”

Sheffield City Council say they are currently working on plans to improve transport with HS2 and road widening schemes.