Preston

Celebrating eight years of community wealth building in Preston

Much has been said about the so-called “Preston model” – a new economic approach developed by the City Council, against the grain of much conventional thinking on economic development. In eight years, Preston has shown that a different model is possible. The deep, practice-focused work now stands as proof that community wealth building can drive real change.

That is why we’re proud to today be releasing How we built community wealth in Preston; achievements and lessons. This publication, jointly produced by CLES and Preston City Council, is the definitive telling of the story and the theory behind the ‘Preston model’, written by two organisations who have led on this work from the very beginning.

Improving the social efficiencies of local markets is not protectionism

Over the course of the last ten years, the Centre for Local Economic Strategies (CLES) has undertaken work around, what we call, ‘Local Wealth Building’. This work has sought to challenge the orthodoxy of the UK’s approach to economic development.  In recent weeks, this work has been portrayed by national media as a core cog in reinvigorating our local economies and places. It has come with some critique, the more pertinent of which this piece seeks to address.

What is Local Wealth Building?

Local Wealth Building is a growing movement in Europe and the USA, and the ideas and practice of local wealth building are coming to the fore as a reaction against a liberal economic approach to ideas, and the extractive nature of return on local inward investment. The orthodox assumption that economic benefits will ‘trickle-down’ to the local economy and will benefit communities is being challenged, like never before.

Wealth for all: an activist local government

Re-municipalisation? Not the catchiest term, but across Europe and the UK, local government is on the rise. Instead of succumbing to the inevitability of decline and being the last line in mopping up social pain, more people within local government are stepping in – making the economy work better for all.

For many years, economic growth hitched to public sector reform has been the mantra.  For some areas it is working, but growth is often meagre or fails to trickle down, and reform is often eroded by demand. The promise of a ‘devolution revolution’ turned into an evolution and is now largely stalled. Inclusive growth has opened doors to a questioning look at economic growth policy but it’s more geared toward national policy. Indeed, warm words around ‘unlocking the potential of growth’ offers nothing particularly new to what many local authorities have been doing for years in terms of adopting living wage policies, working with local business and local labour markets. However, alone this is no enough.

  • PROJECT REPORT

    Community wealth building through anchor institutions

    1st February 2017
    This 2017 report documents 6 years of local wealth building work with anchor institutions in Preston......
  • Community Wealth Building through Anchor Institutions

    Places across the UK are striving to find new ways of attracting wealth, enhancing economic growth and addressing poverty. For the Centre for Local Economic Strategies (CLES), the attraction of wealth through inward investment is important; but of more importance is understanding and harnessing existing wealth for the benefit of local economies and communities.

  • Keep spending local: it brings benefits

    Public sector organisations like councils and colleges can do much to work with suppliers on their doorstep and stimulate local economies. In Lancashire work is underway to ‘repatriate’ spending. Anchor institutions are crucial components of our towns and cities. Commonly including local authorities, further and higher education providers, and housing organisations, they are key employers and procurers, embedded in their communities and unlikely to leave. In a UK context, the potential of anchor institutions to contribute to wider local economic development has been untapped – until now.