ASE

TRANSFORMING� CITIES ACROSS EUROPE An interim report on

problems and progress

Anne Power Jörg Plöger

Astrid WinklerCASEreport 49

�

This interim report on the problems and progress of seven cities across

Europe is based on two years of work funded by the Joseph Rowntree Foundation,

the Academy for Sustainable Communities and the Office of the Deputy Prime Minister

(now the Department for Communities and Local Government). It is based on local field

visits, official reports, European Union evidence, official statistics and academic

publications as well as discussions with a range of local actors. We would like to thank all

the people who have helped us in preparing this report, particularly colleagues who

attended the City Reformers’ Group meetings at LSE. We also would also like to thank the

European Commission for their help and advice. Laura Lane, Nicola Serle and Anna Tamas

from CASE, and the LSE Design Unit prepared the report for publication. We accept full

responsibility for any mistakes, inaccuracies or misunderstandings of complex and fast-

changing local events. The report reflects work in progress and we would be glad to

receive additional information and alternative views on our work.

For more information about the programme, please contact Nicola Serle

at n.serle@lse.ac.uk

Acknowledgments

�

�

SUMMARY 4

�. INTRODUCTION:THERISEANDFALLOFURBANINDUSTRIALCENTRES 6

LearningfromEuropeandtheUS 6

Weakmarketcitiesthroughthelensof

sustainabledevelopment 7

Structureofreport 7

�. INDUSTRIALDECLINEINCITIES 8

Rapidpopulationgrowthanddecline 8

Economiccrisisandjoblossesinmanufacturing 9

Suburbanisationandinnerdecay �0

Neighbourhoodpolarisation ��

�. TURNINGPOINTSTOWARDS 14

RECOVERY Anewsenseofdirection �5

Civicleadership �5

4. FRAMEWORKFORRECOVERY 16

Citydistinctiveness �7

Recoverymeasures �7

Citycentres �9

Environmentalmanagement �9

Funding �9

Neighbourhoodfocus ��

5. INTERVENTIONISTSTRATEGIES 22TORESHAPECITIES

Strandsofaction ��

Cityflagships �5

Expandingenterprise �7

Resilientcities �8

6. POPULATIONAND 29EMPLOYMENTRECOVERY

Population �9

Employment �9

Decliningunemployment �0

7. NEWSKILLSFOR 32URBANREGROWTH

Specialcityskillsprogrammes ��

Thecasestudies ��

Outcomesfromspecialprogrammes �6

Socialgoalsofskillsprogrammes �7

Generallessons �7

8. MARGINALCOMMUNITIESAND 39

NEIGHBOURHOODPROJECTS Aimsofspecialneighbourhoodprogrammes �9

Actionsandmethods 4�

Fundingandorganisation 4�

Challenges 4�

Thevalueofsmall-scaleneighbourhoodprojects 4�

9. SUSTAINABLECOMMUNITIES 44ANDSUSTAINABLEDEVELOPMENT

�0.CONCLUSION 46

APPENDICES 47

Contents

4

�.WHYEUROPEANWEAKMARKETCITIES?

Thisreportdrawstogetherevidencefrom

sevenmajorcitiesinEuropeancountries

thatareexperiencinghugechangeand

transitionfrombeingindustrialgiants,

throughmajordeclineinindustrial

manufacturing,torecovery.Thecities

westudyallhadahighproportionof

manufacturingjobsuntilthe�970sand

wereinternationallyrenownedfortheir

skillsandinnovation,andweremarket

leadersinkeymanufacturingindustries.

Theyexperiencedhugepopulation

growthandmassiveurbanpressures,

followedbyextensivesuburbanisationas

wealthierpeoplesoughttoescapethe

squalorcreatedbyindustrialpressures.

Thethemesofthisoverviewarethecrisis

ofcollapse,thecities’responseandthe

lessonslearnt.

�.MANUFACTURINGCOLLAPSE

Manufacturingdeclineddramatically

inthe�980sand�990sandcitieslost

between�0percentand80percentof

theirmanufacturingjobs.Thisresulted

inintenseneighbourhoodpolarisation,

reducedviabilityofcitycentres,a

weakeningofpublictransport,schools

andhealthinfrastructure,aswellas

placingamajorquestionmarkoverthe

futureofformerindustrialcities.

�.RECOVERYInthe�980sanewsenseofdirection

emergedbasedonanewservice

economywithhigh-techknowledge-based

enterprises,buildingonthegreatengineering

andinventiveskillsofthemanufacturing

era.Citiesdevelopedapatternbookof

recoverythatreliedonphysicalrestoration,

theupgradingofmonumentalindustrialand

civicbuildings,muchclosermanagementof

urbanenvironments,andamixedapproach

tofundinginvolvingalllevelsofgovernment,

andtheEuropeanUnion.Thisleveredin

significantprivatesectorinvestmentand

longertermjobgrowth.Thecitiesdeveloped

flagshipprojectsthatwouldpullthemtothe

frontofinternationalconsciousness.They

bidforworldsportingevents,established

worldclassmuseums,createdalluringcity

centresandimprovedresidentialconditions

inordertoattractleadingglobalcompanies.

4.KEYSTRANDSOFRECOVERY

Thereweretenkeyfeaturestothe

recoveryactionsthatcitiestook:

newpubliclysponsoredagenciesto

deliverchange;

landreclamationandenvironmental

upgrading;

physicalredesignandrestorationof

majorlandmarks;

transportinfrastructure;

sprawlcontainment;

neighbourhoodrenewal;

jobsandenterprise;

buildingnewskillswithinthepopulation;

socialinclusion;and

civicleadershipandcommunity

participation.

5.EMPLOYMENTSKILLSWiththepressuretodevelopanew

economy,theskillsmismatchofthe

existingworkforcewasincreasingly

obvious,andthesheerscaleofpoverty

amongtheresidentsofthecityforced

afocusonneighbourhoodrenewaland

socialcohesion.Thenewjobswere

ofadifferentkindandinnewsectors,

requiringtheretrainingand‘handholding’

oftheworkforcetohelpaccessnew

opportunities.Somecarefulbridging

workwiththenewinvestorslookingfora

differentskillbasehelpedchangethejob

market.Thecombinedapproachofskills

developmentandnewjobopportunities

helpedthecitiesmovetowardsrecovery.

•

•

•

•

•

•

•

•

•

•

6.MEASURABLEREGROWTH

Asaresultofmultipleinitiatives,former

industrialcitiesprovedfarmoreresilient

thanmanycommentatorshaddared

hope.Populationdeclineeventually

stoppedandbegantoclimbagaininmost

ofthecities.Unemploymentalsoceased

risingandnewjobopportunitiesgrew,

insomecitiesfasterthanthenational

average,eventuallybeginningtooutstrip

thejoblossesinmanufacturing.

7.NEIGHBOURHOODRENEWAL

Aclosegrainedandlocalisedapproach

tothemostmarginalneighbourhoods

wasnecessaryinordertobridgethe

gapbetween;newworkopportunities

andtheeconomicallyinactiveandoften

alienatedworkforce;andbetweenthe

realitiesofsocialexclusionandthevision

ofsocialprogress.Neighbourhood

renewalprogrammesadoptedinvestment

andsupportprogrammesatcitylevel

thatworkedclosetothegroundinthe

poorestneighbourhoodsinorderto

upgradethephysicalenvironment,retrain

peopleforworkandreintegratemarginal

neighbourhoodsintothecity.These

programmesareverymucha‘workin

progress’andtheirtaskisfarfromdone.

SUMMARY

5

8.SUSTAINABLEDEVELOPMENT

Overall,weassessedtheprogress

ofthecitiesthroughthelensof

sustainabledevelopment,lookingat

theinteractionofthephysicaland

environmentalbenefitsthatrecoveryis

bringing;thesocialprogrammesthatthe

citiesarefostering;andtheeconomic

progressthatdrivesrecovery.

9.CONCLUSIONAttheendoftwentyyearsofsharp

declineinfortunesandstrongefforts

towardsrecovery,thesignsofrecovery

areappearingintheeconomiesofthe

sevencities.Theassetsthatthesecities

offerinlocation,infrastructure,housing

capacity,populationandsurroundings

underpintheirprogress.

Publicsupportinfunding,leadershipand

infrastructureinvestmenthasencouraged

privateenterprise.Onlywithongoing

supportwillthesecitiescontinueonthe

pathtoasustainablefuture.

Cities developed a pattern book of recovery that relied on physical restoration, closer management of urban environments, and a mixed approach to funding involving all levels of government.

6

Thefourmostdirectconsequencesfor

industrialcitiesinEuropewere:significant

environmentaldegradationofurbanspaces

throughindustrialsmokestacksand

densehousing,chemicaloutpouringsand

concentratedhumanwaste;thedepletion

ofthenaturalresourcesthatfuelledthe

industrialrevolution;eventualindustrial

declineandeconomicchange;andlarge

concentrationsofpeopleandbuildings

whoseearlierfunctionsandrolesbecame

increasinglyredundantinthelatterdecades

ofthetwentiethcentury.Theproducts

ofindustrialexpansion,basedoncoal,

waterandiron,thatEuropeanindustrial

citiesbecamefamedfor,transferredto

other,cheaper,andasyet,underexploited

places;Industrialcitieswentthrougha

periodofsteepdeclinefromwhichtheyare

onlyjustemergingtoday.

Threemajorchangesintheinternational

economicordergreatlyacceleratedthis

processofdecline:

theoilcrisisof�974andthesteeprise

inthepriceofenergy,whichhitenergy-

intensiveindustrieshardcausingchain

effectsthroughoutindustrialeconomies;

theopeningofEuropeanmarketsto

competitionbothwithinthefastevolving

EuropeanUnionandglobally;and

•

•

therapidemergenceofcheapindustrial

productioncentresinthedeveloping

world,particularlyinEastAsia.�

Ourworkfocusesontheactual

experienceofformalindustrialcitiesand

theirpopulationsratherthanthewider

contextwithinwhichtheirdeclineoccurs,

butthetwoprocesses,onelocal,the

otherglobal,aredeeplyinterconnected.

LEARNINGFROMEUROPEANDTHEUSTheLSEresearchprogrammeonWeak

MarketCities,orcorecities,astheyare

oftencalledintheUS,isexploringthe

declineandrecoveryofsevenEuropean

citiesthatwereurbanindustrialgiantsbut

havelosttheirformerpre-eminence.4We

areworkinginparallelwiththeBrookings

InstitutioninWashingtonwhichisexamining

citiesexperiencingacuteindustrialdecline

concentratedinthe‘rustbelt’statesonthe

EasternSeaboardandthemid-Westofthe

UnitedStates.TheBrookingsInstitutionhas

describedthephenomenon:

As the name implies, core cities (weak

market cities) were at one time just that –

the demographic, cultural and economic

hubs of their respective regions. These

cities matured at a time when access

• to raw materials, dense transportation

networks, and proximity to markets were

clear competitive advantages for the

development of strong manufacturing

industries producing goods for local and

national needs.

Since the end of World War II, however,

these spatial attributes have decreased

in importance, leaving core cities

struggling to find their economic niche.

At the same time, metropolitan areas

both in Europe and America have

become characterized by population and

employment decentralization and racial

and economic separation. As a result,

core cities must continually grapple with

a series of challenges that undermine

their ability to attract and retain the

skilled workforce and new growth

industries needed to create a better

economic future. These challenges

include loss of home value and equity, a

diminishing tax base, large-scale vacant

and abandoned property, concentrated

poverty, and a low-educated workforce.5

ThesewordsresonateacrosstheAtlantic.

WithsupportfromtheJosephRowntree

Foundation(JRF),theCentreforAnalysis

ofSocialExclusionisexaminingthe

followingquestions:

�.INTRODUCTION:THERISEANDFALLOFURBANINDUSTRIALCENTRES

From the mid-18th century and for 200 years, Europe experienced massive urban growth and

industrial expansion, centred around areas of easily exploitable natural resources such as coal, iron

and water. A tradition of craft and trade alongside other historic assets such as location on major

river systems facilitated this growth fuelled by invention and rapid industrialisation. Urban growth

led to major social and economic transformations, creating pressures on infrastructure, family life,

social relations, and governance that had no precedent.� Industrial cities generated forms of squalor,

disease, overcrowding and social dislocation that were previously unknown. Industrialisation and

urbanisation involved vast internal and international movements of people as well as of goods.

The conversion of natural resources, such as coal and iron into steel, through manufacturing, ship

building, machine engineering, textiles, tools and many other forms of mass production created a

huge range of domestic as well as industrial goods. The concentrations of new found wealth and

the emergence of new professions led to a growth in need and inequality that forced the creation of

totally new systems of local government in nineteenth century industrial cities�.

7

Whatistheevidenceforandcauseof

declineinEuropeanweakmarketcities?

Whatrecoverymeasuresarethecities

adoptingtocombattheconsequences

ofsuchsteepdecline?

Whatprogressisbeingmadeasa

resultofthesemeasuresandarethe

signsofrecoveryvalidatedbyground

levelevidence?

AnimportantaimoftheWeakMarket

Citiesprogrammeistodeveloppractical

exchangesandlearninginanetwork

ofcitypolicymakersandpractitioners

attemptingtosecureurbanrecovery.JRF

wantedthisappliedfocus.Meanwhile,

theBrookingsInstitutionhasdeveloped

aparallelandcomparableprogramme

whichofferscontrastingexperiences.

TheAmericansparticipateinEuropean

networkeventsandviceversa,andwe

exchangeresearchevidence.TheCity

ReformersGroup,linkingrecovering

ex-industrialcitiesacrossEurope,

meetsannuallyattheLondonSchool

ofEconomicstoshareprogressand

problems.Thisreportcapturesthat

learningandreflectsourevidenceatthe

timeofourlastvisitsin�007–ourfinal

overviewwillappearinearly�009.

WEAKMARKETCITIESTHROUGHTHELENSOFSUSTAINABLEDEVELOPMENTAttheoutsetofourresearchweproposed

aframeworkforunderstandingthe

changesunderwayinthecities,applying

thethreecoreelementsofsustainable

development–social,economicand

environmentalprogressforthebenefit

ofcurrentandfuturegenerations–toan

analysisofcityexperience.Thesteep

physicaldeclineofinfrastructureandthe

builtenvironmentthatfollowedindustrial

closureswasaresultofthelossof

economicinvestmentandadeclinein

socialandenvironmentalconditions.

Thephysicalandenvironmentalissues

•

•

•

arehereconsideredtogetherbecause

reclaimingusedanddamagedphysical

assetsandimprovingtheurban

environmentfollowingthedamageofthe

industrialeraprovidesanopportunity

toreducetheenvironmentalimpactof

economicgrowth.Thewiderenvironment

canbeprotectedandenhancedby

theprocessofrecoverywithincities.

Thusweorganisedourworkfromthe

outsetaroundthecoreproposition

thatsustainabledevelopmentoffersa

frameworkforunderstandingthecomplex

interactionsbetweenthefactorsthat

operatewithincitiestosustaintheir

long-termviability:theireconomies;their

socialconditions;andtheirphysical

environment.6Wediscusstheimplications

ofignoringthisbalanceofinteracting

elementsinthefinalsection.

STRUCTUREOFREPORTThesevencasestudycitiesincludedin

theprogrammeareLeipzig,Bremen,

Sheffield,Belfast,Bilbao,Torinoand

SaintÉtienne.Allthecitieswerechosen

becauseoftheirheavyrelianceona

manufacturingbaseuptothe�980s;

theircommonexperienceofseverejob

andpopulationlossesduetothedecline

ofmanufacturing;andtheirsignificant

recoveryefforts.Fullreportscoveringthe

sevencitiesareavailablefromCASE.7

TwoGermancitieswereincludedin

ordertohaveonecityreflectingthe

post-communisttransitiontoaWest

Europeanmarketmodel;andtwo

UKcitieswereincludedtoreflectthe

regionaldistinctivenessofthedevolved

administrationsoftheUK.

Thisinterimreportpresentsthefindings

fromtwoyearsofintenseresearchinto

sevenEuropeancities,takingahistorical

approachtotheproblemsofindustrial

declineandtheeffortstoinitiateeconomic

recovery.Itpresentsanoverviewof

ourfindingsandoffersaframeworkfor

understandingthechangesunderway.

Thereportisorganisedinthefollowing

sectionsexploring:

theexperienceofindustrialdeclineand

severejoblosses(Section�)

turningpointstowardsrecovery

(Section�)

theframeworkforunderstanding

recovery(Section4)

interventionstoreshapecities(Section5)

populationandemploymentrecovery

(Section6)

thenewskillsforurbangrowth(section7)

theneedforneighbourhoodintegration

(Section8)

thesustainabilityofprogress(Section9)

Thedirectexperiencefromrecovering

citiescanhelppolicymakersatcity,

regional,nationalandEuropeanlevelsto

understandintenseurbanproblemsand

progressinovercomingthem.

•

•

•

•

•

•

•

•

Industrial cities generated forms of squalor, disease, overcrowding and social dislocation that were previously unknown.

An important aim of the Weak Market Cities programme is to develop practical exchanges and learning in a network of city policy makers and practitioners attempting to secure urban recovery.

Chart 1: Traditional urban industrial functions of seven cities

Cities Traditional urban industrial functions

Leipzig MedievaltradingcentrebetweenEastandWest

Secondhalfof�9thcentury:publishing/printing,textileandmetalworking

AfterWWI:electrical,chemical,mining,energy

AfterWWII:�6majorindustrialKombinate–majorstate-ownedproductionconglomerates

Postreunification:carproduction(BMW,Porsche)andinternationallogistics(DHL,Amazon)

Bremen MedievalcitystateastradingcentreforBaltic,NorthernandEasternEurope

Shipbuilding

Foodandbeverages

Carproduction(Daimler-Chrysler)

Aircraftandaerospace

Sheffield Medievalandindustrialcutleryproduction

Earlyregionalcentreforcoalminingindustry

Steelproductionandtechnologicalinnovation

Heavyengineering

Belfast Britishdomination–majortradeportforallIrelandandBritain

Late�8thcentury:linenproduction

Mid-�9thcentury:shipbuildingandtrade

Early�0thcentury:engineering

Bilbao MedievalportandhistoricshippingcentreforNorthAtlantic

Earlyminingcentre

Secondhalfof�9thcentury:iron,steel,shipbuildingindustries

�950/60s:heavymanufacturing,metalproducts–stillsignificantmanufacturingbase

Majorbankingcentre

Torino DominantItaliancitystate

�8thcentury:textiles

Sinceearly�0thcentury:autoindustry(Fiat)

Typewritersandcommunicationtechnologies

Saint Étienne Since�4thcenturycentreforcoal,miningandironextraction

Earlyarmamentsproduction

Since�7thcentury:textiles(mainlyribbons)

�8/�9thcentury:steel,armaments,engineering

Source:Cityvisits,cityreports

8

Theskillsbaseandfinancial,andphysical

structuresofthecitiesweretransformed

throughthedemandsofthisexuberant

industrialeconomy.Eachcitybecame

highlyspecialised,developingaseries

ofsecondaryservicestoback-upand

feedintohighvalueproduction.National

governmentsineverycaseattachedgreat

importancetothesecitiesbecauseof

theircontributiontonationalwealthand

prestige–theyoftendirectlysupported

theirindustrialgrowththroughsubsidies

forinfrastructureandalsodirectlythrough

stateinvestmentinindustrialenterprises.

RAPIDPOPULATIONGROWTHANDDECLINEThelargeinfluxesofpopulationtoworkin

fastdevelopingindustrieswasreflected

inthegrowthpatternsofthecitiesshown

inChart�.Thissteepgrowthcurve

throughoutthenineteenthandearly

twentiethcenturywasfollowedbydecline

fromtheSecondWorldWaronwards,

thoughthisoccurredearlierinthecase

ofLeipzig.

�.INDUSTRIALDECLINEINCITIES

The seven cities had many different, intrinsically important industrial roles over the period of Europe’s

greatest economic growth in the late nineteenth and twentieth centuries. Each city acquired significant

status within its national economy as a result of its special role in industrial production. Chart 1 shows the

historic roles of the seven cities, detailing some of their specific industrial strengths.

Photo�:Industrialgiants:SaintÉtienne–thehistoricalManufrancefactorySource:Association‘VagabondagesenCartesPostales’

2.

1.

Note: Time axis not callibratedSource: National and regional statistical bureaux

0

200000

400000

600000

800000

1000000

1200000Sheffield

Saint-Étienne

Belfast

Torino

Bremen

Bilbao

Leipzig20052000199519901980197019601950194019201900188518701850

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

Sheffield

Saint Étienne

Belfast

Torino

Bremen

Bilbao

Leipzig

20052000199519901980197019601950194019201900188518701850

City Period No. of manufacturing jobs lost

Leipzig (city) �989-�996 87,000

Bremen (region: Land) �970-�00� 55,000

Sheffield (city) �97�-�004 86,000

Belfast (city) �97�-�00� 5�,000

Bilbao (metropolitan area: Gran Bilbao)

�970-�00� 56,000

Torino (province) �97�-�005 �7�,000

Saint Étienne (metropolitan area) �977-�00� �9,000

Chart 3: Economic crisis in seven cities

Note:Inalltables,chartsandgraphs,cityreferstothecurrentadministrativeboundariesofthecity.Wherethewidermetropolitanareaisreferredto,thisismadeclear.

Sources:Stat.LandesamtSachsen;CityofLeipzig;Stat.LandesamtBremen;BAWResearchInstitute;EUSTAT;INSEE;Assedic;ISTAT;ONS;Nomis(�004);SheffieldCityCouncil;NISRA;DFP

Chart 2: Population trends in the seven cities, 1350-2005

9

AcloselookatChart�showsdistinctive

patternsofpopulationgrowthanddecline

indifferentcities,withTorinogrowing

mostdramaticallyandendingupwitha

muchbiggerpopulationthantheother

citiesby�970.Leipziggrewextremelyfast

between�880and�940,thendeclined

steeplyandsteadilyuntiltheturnofthe

twenty-firstcenturywhenitsfortunes

begantoturn.Bremengrewuntil�970

andthenexperiencedaslowdecline.

Bilbaomeanwhilecontinuedtogrowup

to�980whenitwentintoslowreverse.

GrowthinBelfast,SheffieldandSaint

Étiennelevelledoffslowlyoverdecades

untilsignificantdeclinesetinduringthe

�970s.Inspiteofthesedifferencesthe

overallpatternofrapidpopulationgrowth

followedbyslowerdeclineisclearly

recognisableinallthecities.Thedecline

reflectsthemajorchangesunderwayin

theireconomies.

ECONOMICCRISISANDJOBLOSSESINMANUFACTURINGThe�970sprovedawatershedformany

Europeanindustriesintheaftermathof

highinflation,spirallingcostsandlossof

investorconfidence,whichfollowedthe

oilpricehikein�974.Astheeconomic

crisisbitdeeperintoWesterneconomies

inthelate�970sandearly�980s,it

affectedthesecitiesparticularlyseverely

sincetheireconomieshadbecomeso

dependentonmanufacturing.However,

thoughincasessuchasBremen,Torino

andBelfast,thewidertraditions,functions

andresponsibilitiesofgovernmentthat

theycarriedgavethemabiggerrationale.

CitiessuchasSheffieldandSaintÉtienne

struggledtofindnewroles,whileBilbao,

asthemostsignificanteconomiccentreof

theBasqueregion,retainedapowerbase

underthepost-Francoregionalsettlement

thatensuredcontinuingsupportfromthe

federalandregionalgovernments.

Thedecline,whichbeganatdifferent

timesindifferentcities,hitallsevencities

inbroadlysimilarwayswiththeexception

ofLeipzig,wherethedramaticcommunist

regimeoftheGermanDemocratic

Republicartificiallyproppedupfailing

industriesuntilthecollapseoftheregime

in�989.Chart�showsthescaleofjob

lossesinthemanufacturingsectorinall

thecities.

Photo�:Industrialgiants:SaintÉtienne–theImperialArmsFactory,�894Source:CollectionMuséeduVieuxSaint-Etienne,FdsIcoGF-��99

Photo�:Industrialgiants:Belfast–thenewWhiteStarliner‘Titanic’nearingcompletioninthelargestgrayingdockintheworld,�9��Source:www.simplonpc.co.uk/�WhiteStar/Titanic-0�.jpg

Photo4:Industrialgiants:Bilbao’sheavyindustriesalongtheriverSource:CityReformersGroupI,presentationbyJuanAlayo

3. 4.

-100%

-80%

-60%

-40%

-20%

0%

Note: Leipzig data for 1990-2005, and including construction. All percentages are calculated from the baseline of the dates shown in Chart 3.Source: Stat. Landesamt Sachsen; City of Leipzig; Stat. Landesamt Bremen; BAW Research Institute; EUSTAT; INSEE; Assedic; ISTAT; ONS; Nomis (2004); Sheffield City Council; NISRA; DFP.

Chart 4: Loss of manufacturing employment in each city (1970-2005)

(% of all manufacturing employment)

0%

10%

20%

30%

40%

50%

60%

0

10

20

30

40

50

601970

2005

Note: Leipzig: 1990-2005Source: Stat. Landesamt Sachsen; City of Leipzig; Stat. Landesamt Bremen; BAW Research Institute; EUSTAT; INSEE; Assedic; ISTAT; ONS; Nomis (2004); Sheffield City Council; NISRA; DFP

Chart 5: Proportion of city workforce in manufacturing employment (1970-2005)

�0

Theproportionofjobsconcentrated

inmanufacturingfelldramaticallyover

a�5-yearperiod.Chart4showsthe

proportionofjobslostinmanufacturing

overthisperiod–atleastathirdandrising

tonearly90percentinLeipzig.Belfast

andSheffieldlostthree-quartersoftheir

industrialjobs.

Theshiftawayfrommanufacturingled

toextremelyhighunemploymentlevels

inthecitiesforatleastoneortwo

decadesfollowingthecrisis.Chart5

showstheshiftintheworkforceaway

frommanufacturinginthecities.Belfast,

LeipzigandSheffieldnowhavethelowest

sharesofindustrialjobsatjustover�0per

cent,havingsufferedthebiggestlosses.

SUBURBANISATIONANDINNERDECAYTheintensewealthcreationthat

accompaniedthelongindustrialboom

beforethecitiesbegantheirdecline

drovesuburbanisation.Themoreaffluent

beneficiariesofindustrialsuccesssought

toescapetheproblemsofpollution,

diseaseandpovertyassociatedwith

livinginmanufacturingcities.Thisexodus

becamemoreintenseasindustrialwealth

declined,becausewealthierpeoplewere

anxioustoprotectthemselvesfromthe

problemsofdislocationandalienationthat

accompaniedjoblosses.Thismovement

tothesuburbsfurtherdamagedtheurban

economyandinfrastructure,particularlyin

urbancentresandinnerneighbourhoods.

Photo5:Economiccrisis:Bilbao–environmentalburdenandderelictindustrialrelicsSource:CityReformersGroupI,presentationbyJuanAlayo

Photos6a-b:Belfast–onceEurope’slargestshipbuilderSource:Wikipedia;JörgPlöger,�007

6a. 6b.

5.

-40

-35

-30

-25

-20

-15

-10

-5

0

-40%

-35%

-30%

-25%

-20%

-15%

-10%

-5%

0%

Note: Percentage decline from 1970 baselineSource: National & regional statistical bureaux

Chart 6: Population decline in the seven cities (1970-2005)

Chart 7: Population of city and wider metropolitan area in 2005

Source:Nationalandregionalstatisticalbureaux

City Population Core City (2005)

Population Wider Metropolitan Area (2005)

Leipzig 498,000 ~�,000,000

Bremen 546,000 �,�00,000-�,�00,000

Sheffield 5��,000 ~�,�00,000

Belfast �69,000 ~650,000

Bilbao �5�,000 ~900,000

Torino 868,000 ~�,�00,000

Saint Étienne �77,000 ~�50,000

��

Oneresponsetotheurbanslums,

commontoallindustrialcities,wasthe

constructionof‘masshousing’estates

inthe�960sand�970s.Anindustrial

modelofconcreteblockstohouse

theworkersoflarge-scaleindustry

drewlowerincomepeopleawayfrom

traditionalneighbourhoods,oftenalso

totheperipheryofcities,butinvariably

locatedfarfromthesalubrioussuburbs

oftheaffluentmiddlesclasses.These

estatesquicklybecameunpopularand

rundown,andweredifficulttomanage.

Theirpopulationsgraduallybecame

poorerandmoremarginaltotheeconomy

andeventuallytheytoobegantolose

populationsinmostcities.8

Theprocessofsuburbanisationandthe

developmentofmasshousingestates

whichdepletedcorecities,evenwhile

theireconomieswerestillgrowing,was

accompaniedbylossofwealth,mass

unemploymentandconcentratedpoverty

withinthecities,makingthemdeeply

unattractiveplacesinwhichtoliveorto

invest.Theurbansystemsthathadgrown

uparoundmajorindustriesstruggledto

respondasthegreatindustrialgiants

themselvesflaggedunderthepressures

ofdeindustrialisation.Thepopulation

lossesweremostacuteinBelfastwhich

shrunkbymorethanathird,butwere

alsosevereinTorino,SaintÉtienne,

LeipzigandBilbao.OnlyBremenand

Sheffield’spopulationsshrunkbylessthan

�0percent.Chart6showstheoverall

populationdeclineinthesevencitiesthat

accompaniedthesechanges.

Meanwhilethepopulationofthewhole

metropolitanareaofallthecitieshad

by�005morethantripledthecorecity

population.Theadministrativeboundaries

ofthecitieswhichdefinethebasis

forpolicy,decisionmaking,political

leadershipandadministrativestructures

weredrawnattheindustrialzenithofeach

city,butinrealitytheboundarieshadlong

beenbreachedbysuburbanisation.

Chart7showstheextraordinaryscaleof

thisoutwardtrend.

Theshocktothesocialstructureand

theimpactontheinternalandwider

environmentofthecitiesofthisexodus

wereimmense.Spreadingpopulation,

housing,roads,servicesandjobsover

aneverwiderexpanseofterritoryas

awayofimprovingurbanconditions

eventuallybecameself-defeatingasurban

neighbourhoodafterurbanneighbourhood

andcitycentressuccumbedtoaparallel

processofpopulationandjoblosses,

thinningoutcorecitiesandprogressively

destroyingtheirwiderenvironments.

Photo7a:Joblossesinmanufacturing:Bilbao–strikingworkers,early�980sSource:CityReformersGroupI,presentationbyJuanAlayo

Photo7b:Joblossesinmanufacturing:PicketsandPoliceduringtheMiners’Strike,�984Source:www.nottscops.co.uk/fol�/minerstrikehome.htm

7a. 7b.

0%

5%

10%

15%

20%

25%

30%

BelfastSheffield Torino SaintÉtienne

BilbaoLeipzig Bremen

City unemployment rate

Highest neighbourhood unemployment rate

Lowest neighbourhood unemployment rate

Note: Bilbao is not in Urban Audit, city level data onlySource: Urban Audit

Chart 8: Variation in unemployment rates between neighbourhoods in

the cities (2001)

��

NEIGHBOURHOODPOLARISATIONTheknock-oneffectsofpopulation

declineonhousingmarkets,

neighbourhoodservices,schools,public

transport,shopsandotheraspects

ofcitylifeshowedupmostacutelyin

thepoorestneighbourhoodswhere

thejoblosseswereconcentrated.An

intensehierarchyofmoreandless

popularneighbourhoodsemergedas

poverty,joblessnessandpolarisation

openedupavisiblecleavagebetween

thepoorerandricherneighbourhoods.

Traditionalworkingclassfamilies,now

oftenwithoutincomesexceptforstate

benefits,becamesignificantlypoorer

inrealtermsandemploymentrates

betweenmoredisadvantagedandmore

prosperouscityneighbourhoodsbegan

todivergeradically.9Chart8showsthe

variationinemploymentratesbetween

theneighbourhoodswiththehighestand

thelowestlevelsofunemploymentwithin

citiesin�00�.

Photo8:Suburbansiation:Leipzig–rapidlybuiltnewdevelopmentsontheurbanfringeSource:JörgPlöger,�007

Photo9:Innerdecay:Leipzig–growingdepopulationandabandonmentofdecayedinnercityareasSource:JörgPlöger,�007

Photo�0:Unpopularhousingestates:SaintÉtienne–peripheralgrandensemble(blockontherighttobedemolished)Source:AstridWinkler,�006

An intense hierarchy of more and less popular neighbourhoods emerged as poverty, joblessness and polarisation opened up a visible cleavage between the poorer and richer neighbourhoods.

8. 10.

9.

��

SaintÉtiennehadbyfarthebiggest

gapinemploymentrates–agapof

�0percentbetweenthemostextreme

neighbourhoods.Belfastcamenext

witha�6percentgap,thenSheffield

third,closelyfollowedbyTorinoand

Leipzig.Thelowestdifferenceswere

intheGermancitystateofBremen

wherethegapwasonly6percent.

TheGermancitieshadgenerallyhigher

unemploymentmoreevenlyspread

betweenareas,leadingtolowerlevelsof

neighbourhoodpolarisation.Thesegaps

betweenneighbourhoodunemployment

ratesreflectthemuchgreatereconomic

polarisationofsomecities,suchasSaint

ÉtienneandBelfast,comparedwith

otherssuchasBremen.

Overaperiodof�0yearsupto�000,all

thecitieslosttheircorerationale,economic

prominenceandpoliticalweight.As

producercities,theyhadbeencentralto

theircountries’prosperity–nowtheywere

increasinglyseenasobsoleteindustrial

‘left-overs’withashrinkingplaceinthe

neweconomybasedonservicesand‘new

knowledgeindustries’.Civicpridewas

damagedalongwithurbanlandscapes,

andsocialexclusioncametoreflectadeep

andmulti-facetedformofseparationfrom

mainstreamsociety.�0Civicleadership,

oftenstillembeddedinthefadingrealities

oftheindustrialera,lostitsway.Skills

mismatchesseriouslyimpededrecovery.

Theupgradingofthecityinfrastructure

seemedanalmostimpossiblechallenge

andmanycommunitiesappearedstranded

byafastrecedingtideofjoblossesand

servicedecline.

Photo��:Demolitionofunwantedblocks:Bremen–failureofoutermass-housingestates,Osterholz-TeneverSource:JörgPlöger,�007

Photo��:Populationloss:Leipzig–temporaryuseofvacantlotsaspublicspacefollowingabandonmentSource:JörgPlöger,�007

12.

11.

Chart 9: Turning points in each city, from when the cities began to recover

Cities Turning points

Leipzig �989‘PopularMondaydemonstrations’opposingthecommunistregimeofEastGermanybasedinachurchincentralLeipzigcollapseofthesocialistregime.ReunificationwithWesternGermany�998LeipzigwasthefirstEasternGermancitytorecognisethecrisisofdepopulationanddevelopacounterstrategyatanurbanworkshophostedbythecity�000Expertscommissiononstructuralchangeinthehousingmarket�00�FederalStadtumbau-OstprogrammetohelpEasterncitycopewithsurplusandpoorqualityhousing,supportingdemolitionandrenovationofemptyhousingStrongpoliticalandadministrativecity-levelleadershipandorganisation

Bremen �99�Newpoliticalcoalitiondeterminedtoturndeclinearound�995-�004SubstantialfinancialaidfromfederalgovernmentduetomassivebudgetarydeficitSubsidisedinvestmentinuniversityresearchtodevelopnewtechnologiesDiversificationofeconomicstructure,fosteringnew-technologybusinesses,etc.Late�990scity-regiondebatesabouttheurbanfutureleadingtomajorregeneration

Sheffield �997Newpoliticalleadershipofcitycouncilandpartnership-orientatedChiefExecutiveNewfocusoncreationofdedicatedpublic-privateagenciesNewLabourgovernmentoffersmanynewfundingstreamstocorecitiesCitycentreregenerationNeighbourhoodsstrategyand‘closingthegap’policy

Belfast �994Peaceprocessalongwiththeparamilitaryceasefires�996MajorregenerationofcitycentreandLaganside�998GoodFridayAgreementbetweenallmainpoliticalgroupingsatStormont�999Re-installationofNorthernIrelandAssemblySpecialfinancialaidfromEUandcentralUKgovernmenttorepairconflictdamage

Bilbao StrongBasquelocalleadershipemergesfollowingtheinstitutionofdemocracyinlate�970sEarly�980sRegionalautonomyofBasquecountryre-establishedFiscalautonomyatprovinciallevel(Vizcaya),�980sLate�980sAlllayersofgovernmentworkingtowardsaStrategicPlanforthecity�99�/�99�InnovativeregenerationagenciessetupincludingBilbaoRiathatdeliveredGuggenheimandnewbridge

Torino �99�Firstdirectlyelectedmayor;renewalofpoliticalinitiativeCivicbodiesplayleadingrolebackedbybankfoundationswithmajorresources�995UrbanMasterPlan�997TorinoNeighbourhoodsUnitleadingtoparticipatorysocialandphysicalregenerationsupportedbytheCouncil�999SuccessfulbidforWinterOlympicsleadstomajorinvestmentandrenewal�000CityStrategicPlan

Saint Étienne �98�-�00��strecoveryphase,emphasisingeconomicdevelopmentandemploymentLate�970sMajorshiftawayfromcommunisttopro-marketleadershipincitycouncil�999Centralgovernmentheavilyinvolved;fundingneighbourhoodrenewalprogrammes�00�-present�ndphase,emphasisesresidentialappeal;partnershipwithwidermetropolitanauthoritiesandattempttoconsolidatewidercity-region

Source:Cityreportsandvisits

�4

�.TURNINGPOINTSTOWARDSRECOVERY

Rapid economic change and its social impacts often created local political turbulence in the cities.

Such was the depth of the broader crisis affecting cities that it gave new political direction to national

and local governments in Europe, throwing up new leadership in cities in the hope of finding a new

economic rationale. The major challenges were; how to stop the haemorrhage of people and jobs;

how to attract new resources and new players; how to retain the most skilled people and build new

skills in an increasingly redundant workforce; how to create new functions for major cities; and how

to develop the expensive infrastructure of the cities.��

�5

Eachcityhaditsownparticularturning

points,drivenbyparticulareventsanda

politicalchangeofdirectionbutinvariably

underpinnedbytheurgentneedto‘do

thingsdifferently’.Animportantunifying

event–suchastheelectionofavisionary

mayorwillingtobreakwithtraditionas

inTorinoandSaintÉtienne,orasharp

changeinpoliticalcontextasinBelfast

andLeipzig’oranewstrategyemerging

fromcityandregionaldebatesasin

BremenandBilbao–oftenledtonew

formsofgovernancewhichSheffield,

TorinoandLeipzigallexemplifiedbut

whichmostcitiesevolved.

Thecombinationofanewgenerationof

cityleadersandanewvisionforthecity

threwupnewwaysoftacklingentrenched

problems.Italsogeneratedanew

economicdynamismthatfosteredstrong

partnershipsbetweenlocalgovernment,

theprivatesectorandgrassroots

communityinitiativestotackleproblems

ofdecayanddecline.Civicleadershad

tomobilisethesenewactorstoshapea

responsestrongenoughtocounterthe

lossofindustrialpower.Chart9highlights

thekeyturningpointscitybycity.Thefull

cityreportsdetailtheparticulareventsand

thedistinctivepoliticalfactorsatworkin

eachcity.��

ANEWSENSEOFDIRECTIONWhereasearlierpoliticalleadershiphad

becomerelativelyweakanddefensivein

thefaceoflossofprosperity,anewsense

ofpoliticaldirectiongalvanisedimportant

sectionsofthecommunity,forcingthe

paceofeconomicchange,particularlyin

the�980sand�990s.Forexample:

Leipzig’sstudents,helpedbyacity

centrechurchleader,playedapivotal

roleinthefinalstagesofoppositionto

thecommunistdominationofEastern

Europe,leadingdirectlytothecollapse

oftheBerlinWallin�989;

•

Bilbaowasamajorplayerinthe

re-emergenceofademocratically

basedBasquenationalistgovernment

inthelate�970sandmanagedto

rebuilditsinternationalreputationwith

itsvisionarybackingofthe‘Silver

Guggenheim’phenomenon;

SaintÉtienne,formerlyrunbya

beleagueredcommunistlocalcouncil,

withstrongtiestothetraditional

communistdominatedunions,isfast

becomingarestoredandattractivecity

withacompletelynewemphasissince

the�990sonwhatthecitycouldoffer

inanewworldofhightechindustries,

servicesandaccommodation;

Belfast’slongtroubledhistoryand

�0yearsofsectarianconflictledto

adivided,physicallydamagedcity

onascaleunlikeanyotherinour

study.Howeveritgraduallyreunified

itspoliticalleadersaroundafraught

peaceprocess.Onlytheestablishment

ofasecurepeaceagreementin�998

allowedthenecessaryreinvestmentand

regenerationprocesstobegin.

Thepoliticalandsocialpressuresin

thesecitiesgavethesharpfocusand

potencytotherecoveryprocessthatwas

needed.Economicrecoveryonlybecame

possibleafterpoliticalupheavalledtothe

emergenceofstronger,moredemocratic

localgovernmentinthesecities.

Theotherthreecitiesalsohadparticular

politicaldynamicsatworkthatledtonew

leadershipandanewsenseofdirection:

Sheffieldhadahistoryofunionconflict

overindustrialclosures,localpolitical

clasheswithcentralgovernment,

andcatastrophic,politicallydriven

investmentdecisionstotryandstem

thetideofde-industrialisationfrom

thelate�970s.Theseconfrontations

eventuallythrewupatotallynew,

partnership-based,privatesector

orientedapproachinthelate�990s

whichturnedSheffieldintoanavant-

gardemodelofcityreform;

•

•

•

•

BremenandTorinobothhaveunique

historicroles,reachingfarbeyondtheir

industrialgrowthstrengths;

Bremenwasoneofonlythreecitiesin

Germany(withBerlinandHamburg)

thatwasalegallyautonomous

governmententityasamedievalcity-

statewithjurisdictionoverandfiscal

responsibilityformostfunctionsthat

inBritainwouldbenationalorregional

responsibilities.Itwasamajorportfor

CentralandEasternGermany;

Torinobecamethefoundingcapitalof

aunitedItalyinthenineteenthcentury,

havingforcenturiesbeenthemajor

gatewayacrosstheAlpsfromItaly

totheNorth.IthostedItaly’smost

powerfulindustrialgiant(theauto

manufacturerFiat)andthefourthlargest

privatebankingfoundationinEurope,

theCompagniaSanPaolo,helping

ittoexercisefarreachinginfluence

throughoutItalyandEurope.��Thisin

turnaideditsrecovery.

CIVICLEADERSHIPThenewcivicleadershipdependedon

threemainsourcesofsupport:

themassofcitizensandcivic

organisationsthatatkeyturningpoints

playedadominantroleinreshapingthe

directionoftheircities;

strongcentralandregionalgovernments

thatwantedtoinvesttodevelopnew

urbaninitiatives,reshapeoldinfrastructure

andsupportsocialprogrammes;

privatecompaniesthatstillownedlarge

interestsinthecitiesandhadabig

stakeintheirfuture.

Thesedifferentplayershadtowork

togetherinnewwaysastheturning

pointsineachcityshow.Theycouldonly

dothiswithanewstyleofconciliatory,

forwardthinking,multi-sectoralleadership,

stressingthepotentialforrecoverythrough

newratherthanold-stylemethods.

•

•

•

•

•

•

Photo��:Landmarkturningpoint:Bilbao–GuggenheimMuseumonreclaimedriverfrontSource:JörgPlöger,�007

Photo�4:Restoredmainsquare:Torino–ThePortaPalazzoregenerationprojectcentredaroundtheopenaircitycentremarketwherealotofillegalimmigrantsworkSource:AstridWinkler,�007

13. 14.

Chart 10: Weak Market Cities Framework for understanding the cities’ attempts at recovery

*Theseaspectsofphysicalandenvironmentalactionhavewiderenvironmentalimpacts

Source:Cityvisits

Focus of city effort Types of initiative

SOCIAL Socialinclusionandintegration

Communitydevelopment

Developingnewskills

Accesstothewidercity

Neighbourhoodandcommunityrebuilding

Immigrationandminorityinclusion

Mixedincomecommunities

Communityprojects

Socialprogrammes

Citizenparticipation

Socialenterprises

Skillsdevelopment

Hand-holding/advice

Events,festivals

Youthactivities

Multi-ethnicprogrammes

ECONOMIC Hightechdevelopment

Innovation

Increasingcompetitiveness

Highereducation

‘Clusterapproach’tobusiness

Businesscreation/start-ups

Transportlinkages

Regional/intercityinteraction

Servicesectordevelopment

Tourism

Culturalfacilities

Retailexpansion

Financialandlegalservices

‘Residentialappeal’

Universityprogrammes

Incentivesforinwardinvestors

Financeandprofessionalservices

Lowerskillserviceseg,retail,construction,callcentres

Higherskillknowledgebasedtechnologies

PHYSICAL /

ENVIRONMENTAL

Citycentrerenewal

Neighbourhoodrenewal

Housingoffer/upgrade

Transportinfrastructure/publictransport

Publicspaces

Landreclamationandreuse

Environmentalupgrading

Trafficcontrolmeasures

Urbangreenspaces

Energyefficientbuildings

Developmentledprojects

Portandwaterfrontremodelling

Contaminatedlandcleanup

Newpublictransportlinks

– withincity,trams,bus-ways

– improvedexternaltrain-links

– neworexpandedairports

Beautifyingcitycentre

– publicspaces,treesandgardens

Culturalattractions

– concerthalls

– art,music

Neighbourhoodreinvestment

Estateregeneration

Reclamationandreuseofmajorindustriallegacies

Environmentalindustries

�6

4.FRAMEWORKFORRECOVERY

Over the course of the late twentieth century, Europe gradually moved away from intensive

manufacturing to a more service-based economy. The mismatch between what former industrial

cities could offer and the requirements of the new economy was extreme. At the same time, broader

changes towards the knowledge economy led to renewed recognition of the value of large cities

as centres of diverse labour markets, universities, professions, cultural assets, and transport hubs.

New uses quickly emerged for urban conurbations with core cities and with rich assets at their heart.

Weak market cities in Europe began to show signs of becoming ‘core’ cities once more.�4

�7

Photo�5:CityCentreproject:Sheffield–PeaceGardensredesigned,withSheffield’sfirst5-starhotelinthebackgroundSource:AstridWinkler,�007

Thecitiesworkedhardtorebuilda‘sense

ofplace’,reinvestingincentralsquares,

civicmonumentsandupgradedhousing

dependingheavilyonhigherlevelsof

governmentindoingso.Butprogressrelied

asmuchonimprovingsocialconditionsand

economicprospectsasitdidonphysical

upgradingandenvironmentalimprovements.

Citiescouldnotescapetheneedtoact

onallthreefrontssimultaneously.Inthis

section,wearguethatourinitialframework

ofsustainabledevelopmentencompassed

themanyproblemsthecitiesconfrontedand

theactionstheyundertookovertheperiod

ofrecovery.

Rebuildingtheeconomyandchanging

theskillsbaseoftheworkforcewasan

ill-defined,poorlyunderstoodandunder-

fundedtaskinthecities.Theworkforce

wasstilllargelyembeddedinamanual

traditionandeventhechildrenofformer

manualworkerswhothemselveshadlittle

directexperienceofthispast,inherited

thetraditionalviewofworkthatdescribed

‘realjobs’asmanualjobs.�5Manufacturing

stillplayedasignificantroleinallcities

butwithafractionoftheearlierworkforce

whilejoblossesinthatsectorcontinue

eventothepresent.�6Changingyoung

people’sattitudetoworkbecameacentral

pre-occupationofcityadministrations,job

agencies,andlocalcommunities.�7

Becausethecitieswereforcedtooperate

onmanydifferentfrontssimultaneously,

therangeofprogrammes,projects,

initiativesandstrategieshavemultiplied

overthelasttwodecadesofrecovery

attempts.Allthecitiesdevelopedtheir

broad-basedrecoveryeffortswithinthe

frameworkofsustainabledevelopment:

social,economicandphysical/

environmental.Strikingly,acommon

setofinitiativesacrossthesevencities

developedwithinthebroaderframework

weapplied.Chart�0setsouthowthe

widerangeofinitiativesfittedwithinthis

frameworkforrecovery.

CITYDISTINCTIVENESSDifferentcitiesemphasiseddifferent

aspectsofthisframework.These

initiativessoughttoattractpeopletothe

citycentre,increaseinvestorconfidence

andimprovethegeneralexperienceof

residentsandvisitors.

Sheffieldarguedthateconomic

recoverywouldnotworkwithout

neighbourhoodrenewalandsocial

cohesion.Atthesametimeitprioritised

public-privatepartnershipsandput

astrongemphasisonarm’slength

structures.Sheffieldalsoinvested

heavilyincitycentreprojectssuchas

thePeaceGardens,WinterGardens,

ahigh-classtouristhotelandthe

restorationoftheCivicHall.

Bilbaoinvestedmoreheavilyin

upgradingthepublictransport

infrastructureandthehistoricalcity

centreresidentialneighbourhoods,

aswellasdirectlycommissioning

andfundingflagshipprojectssuchas

theGuggenheimandthenewbridge

acrosstheriverNervión.

Belfast,forcommunitycohesion

reasons,focusedeffortsonintegration,

reconciliationandpeacemaking.Butin

theprocessitmanagedtoattractmajor

privateinvestorsandisnowseeinga

strikinggrowthin‘urbantourism’,cultural

enterprisesandrealestatevalues.

SaintÉtiennehasreliedheavilyon

regionalandnationalinterventionsto

drivetherecoveryprocesswithinthe

city,reflectingtheFrenchgovernment’s

dominanceofsocialandeconomic

programmes.Thecityleadershiphas

•

•

•

•

takenmajorinitiativesinreclaimingland,

restoringcentralsquaresandfindingnew

usesforsymbolicmanufacturingrelics.

Leipzigtookanearlydecisiontosave

asmuchaspossibleofthehistoricinner

cityhousingandstreetscape,rescuing

extremelydilapidated,under-occupied

traditionalapartmentblocks,frontingonto

densestreets,typicalofpre-WWIEast

Germancities.This‘Wilhelmenianstyle’

islastinglyattractive,costlytorestore

butunexpectedlyattractivetoyounger

populationsina‘shrinkingcity’.�8This

newemphasisprovokedanabrupt

endingtothesubsidiesofthe�990s,

encouragingbuildingonthesuburban

fringeofthecityandfuellinganurban

exodus.Partialdemolitionofouter

estateshelpedinsavinginnercitystreets.

Highlycomplexfundingstrategies,

incentives,landholding,newusesand

planningprioritieswererequiredovera

decadeormoretomakeanimpact.The

subsequentgradualrecoveryofthecity

stemmedthepopulationoutflowand

encouragedreinvestment.

Torinoplayedtoitsstrengthsatthefoothill

oftheAlpsandwonitsbidtohostthe

WinterOlympicsin�006byrestoringits

medievalcitycentreandreusingitsolder,

obsoleteindustrialbuildings.

Bremenadoptedstrongpoliciesof

socialcohesionandmaintainedmanyof

itsindustriallinksbyfocusingonhigher

tech,research-lednewtechnologies.

RECOVERYMEASURESThesevencitiesadoptedmanycommon

recoverymeasuresthatcreatedamuch

improvedenvironmentforreinvestment.

Chart��reflectsthewidespreadadoption

ofcommonchangemechanismsacross

allthecitiesunderallthemajorthemes.

Thereisinthemakinga‘recoverypattern

book’thatcouldbemorewidelyapplied.

•

•

•

15.

Notes:Shadedmeasuresindicatesignificantpositiveenvironmentalimpactthroughphysicalinvestment

Informationisincompleteforafewmeasures:?meansunclear;–meanspartial

Source:Cityvisitsandcityreports

Chart 11: Common patterns of recovery

Citycentreupgrading

Newandrestoredpublicspaces 3 3 3 3 3 3 3 3 3

Pedestrianzones,retail,entertainment 3 3 3 3 3 3 3 3 3

Culturalinitiativeseg,concerthalls,museums,theatres,restorationofhistoricsitesandbuildings

3 ? 3 3 3 3 3 3 3 3

Neworupgradedpublictransportsystems 3 ? 3 7 3 3 3 3 3 3

Recyclinglandandbuildings

Landreclamationandreuse 3 3 3 3 3 3 3 3

Expandinggreenspaces 3 ? 3 ? ? 3 3 3 3 3

Innercityneighbourhoodrenewal 3 3 3 3 3 3 3 3 3

Outerestate/neighbourhoodrenewal 3 3 3 3 3 3 3 3 3

Economicdevelopment

Inwardinvestmentmeasures–searchingoutnewandexpandingcompanies

3 3 3 3 3 3 3 3 3

Financialincentiveseg,forinwardinvestors 3 3 3 3 3 3 3

Relocationofexistingbusinessestothecity 3 3 3 3 3 3

High-techindustrybuildingontraditionalmanufacturingskillsandhistory

3 3 - 3 3 3 3 3 3

Supportingnewsmallenterprisesthroughincubators

3 3 3 3 3 3 7 3 3

Tourism 3 ? 7 3 3 3 7 3 3 3

Skillsdevelopment

Targetinglowincomeunemployedminorities 3 3 3 3 3 3 3 3 3

Targetinguniversities,developinghighskills 3 3 3 3 ? 3 3 3

Hand-holdingpeopleintojobaccess 3 ? 3 3 3 3 3 3

Buildingbalancedsocialstructure

Attractingnewmiddleclassbycreatinghighergrade‘offer’eg,throughhousing,culture

3 3 3 3 ? ? 3 3 3 3

Integrationofminorities - 3 3 3 - 3 - 3 3

Strongpublicly-ledinitiative

Partnershipstructures 3 3 3 3 3 3 3 3 3

City-regioninitiatives 3 3 3 - 3 3 3 3

Citizeninvolvement 3 ? 3 3 ? 3 - 3 3

Publicsectorleadership 3 3 3 3 3 3 3 3 3

Leip

zig

Bre

men

Bilb

ao

Bel

fast

She

ffiel

d

Tori

no

Sai

nt

Étie

nne

Phy

sica

l

Eco

nom

ic

So

cial

Cities Emphasis

�8

Photo�6:GreeningofdemolitionsiteinEastLeipzigtocreatenewpublicspacesSource:JörgPlöger,�007

Photo�7a-b:Neighbourhoodplanting:SaintÉtienne–smallscalegreeneryinthe�00SquaresprojectSource:AstridWinkler,�007

16.

Cities

External Funding Sources Leipzig Bremen Sheffield Belfast Bilbao Torino Saint Étienne

Urban/EU(Objectives�and�) 3 3 3 3 3 3 3

EFRE(EuropeanFundforRegionalDevelopment)

3 3 7 3 3 7 7

National/Federal 3 3 3 3 7 3 3

Regional/Provincial 3 3 3 3 3 3 3

Localcitylevelresources 3 3 3 3 3 3 3

Regulatedprivatesectoreg,BankFoundations,PlanningAgreements

7� 7� 3 3 7� 3 3

Specialpubliclyfundedagenciesatregionalleveleg,RegionalDevelopmentAgenciesintheUK

3 3 3 3 3 3 3

Chart 12: External funding streams in seven cities (1995-2006)

�Privateinvestorsandmajorprivatecompaniesinvestedheavilyinthesecitiesbuttheyreliedonpublicinfrastructureinvestmenttoprovideaviableframework.

Source:Citydocumentsandreports;EU

�9

CITYCENTRESAllsevencitiesbuiltontheirheritageand

culture,restoringoldcivicbuildingsand

reusingindustrialwarehouses,millsand

canals,andcreatingpopularpedestrian

zonesincitycentresaroundimposing

publicspacesthatwererestoredtotheir

earlierroleofcitizen-gathering.InSaint

Étienne,centralsquareswererestored

toanattractivecivicspace.InBelfastthe

frequentlybombedcentralzonebecame

acrowdedandintegratedpublicspace.

Leipzig’scentralstreetsandsquares

wereattractivelyrestoredtopedestrian

use.Therewasageneralfocusonthe

re-expansionofcitycentreattractions,

retailandotherservicestocompetewith

thelureofhastilyagreedout-of-town

shoppingcentres.

ENVIRONMENTALMANAGEMENTNoneofthecitieshaveputacentral

emphasisonthefundamental

environmentalchallengeofsustainable

development,suchasenergy

conservation,wastereduction,climate

change,bio-diversityandsoonpartly

becausenationalgovernmentshavenow

activelyadoptedtheseroles.�9Buttheyall

prioritisedtheurbanphysicalenvironment.

Intheinitial‘fire-fighting’stageofrecovery,

themostimmediateworrywasthe

economyandjobcreation.Butallthecities

realisedthatenvironmentalupgradingof

publicspaces,streets,parks,buildings,

andanemphasisoncleaning,repair,

maintenanceandsecurityencouraged

inwardinvestmentandpopulationrecovery.

Thereforethecitiesdirectlyaddressed

theirimmediateandlocalenvironmental

problems.Asclimatechange,energyuse

andwastemanagementmovehigherup

Europeanandnationalagendas,themore

progressive,change-orientedcitiesare

capitalisingonthisnewagendaaswewill

showinthefinalsection.�0

FUNDINGInthe�980sand�990s,government

leadership,recognisingtheessentialfuture

roleofcities��providedfundingsupport

onascalethattransformedphysical

conditionsbeyondrecognition,andgave

thenecessaryresourcestodriveforward

recoveryprogrammes.Thecityleadership

hadtoworkextremelyhardtostitchthe

fundingtogetherandensuresufficient

long-terminvestmenttocompletecomplex

reinvestmentprojects(seeChart��).There

weremultiplefundingstreamsthateach

citydrewontosupportitsvariousrecovery

projects.Grantsandsubsidiesappliedto

bothconspicuousrecoveryprojects,andto

theverywiderangeoflowerlevelinitiatives

acrossthecities,overatento�5year

period,andoftenlonger.

Citiesreliedonexternalfundingfor

socialinclusionprogrammes,thecreation

ofnewjobs,neighbourhoodrenewal

andmajorinfrastructure,butmost

programmesalsorequiredlocalfunding.

Chart��showsthediversesourcesof

fundingfordifferentprogrammes,both

‘flagship’andmoremainstream.

17a.

17b.

�0

Europeanfundingwasimportantforall

thecities,asthechartshows,andoverall

publicinvestmentwasthecriticalleverin

attractingprivatefunds.Thetotalamounts

ofmoneyareobscuredby:

extendedandmultipletimescales;

opaqueorganisationalbudgets;

matchedfundingarrangements

betweendifferentsources;

thesubsidisedinvolvementof

privateinvestors;

bendingofmainstreampublic

sectorprogrammes;

aggregationatcity,regionaland

evennationallevelsofparticular

fundingstreams;

andthesheercomplexityof

partnershipagreements.

Thelackoftransparencyandmultiplicityof

deliverybodiesandagenciesmeansthatfor

mostcitiesthereisincompleteinformation

ontheamountoffundingthathasbeen

•

•

•

•

•

•

•

investedandthedataavailableisdistorted

bymanyfactorseg,thesizeofpopulations

affected,widereconomicimpacts,

measurableinputsinkindetc.Three

findingsarestriking:theextentofrelianceon

publicresources;thecomplexityoffunding

streams;andthescaleofinvestment,and

rangeandcomplexityofschemes.Thiswas

commonacrossthecities.

Theprivateinwardinvestorswhoarevital

torecoverywereattractedbythesupport

theyreceivedfromthecityleadersand

bythepubliclyfundedinitiatives,both

inthephysicalupgradingandinthe

skillsdevelopmentthatsupportedtheir

enterprises(SeeSections6and7below).

Thesameappliestonewresidents,higher

educationandresearch.Althoughmanyof

thepublicfundingstreamswereshort-term

andprecarious,comingandgoingwith

politicalchanges,nonethelessonephase

offundingseemstofollowonfromanother,

andsofarcityrecoveryprogrammes

havesecuredconsiderableresources

overanextendedperiod,accompanied

byagrowingflowofprivateinvestment.

Thecitiesareendlesslyinventiveintheir

attemptstowinmoresupport.

Photos�8a-c:Neighbourhoodfocus:Sheffield–VictorianbathhouseconvertedtoHealthyLivingCentre,UpperthorpeSource:AstridWinkler,�007

The cities are endlessly inventive in their attempts to win more support.

18a.

18c.

18b.

Cities Special programmes Neighbourhood inequality, social integration and social programmes, targeted instruments for regeneration

Leipzig Housingvacancies,demolition,refurbishment:‘StadtumbauOst’Employmentagency,matchingworkforcewithcompanieswillingtore-locateAlsoofferinghelpforunemployedtoaccessnewjobs

Bremen ‘LivinginNeighbourhoods’programme–nowpartofthesociallyintegratedcity’programme‘Stadtumbau-West’demolitionandrebuildingprogrammeInnovationinemployment,matchingpreviousworkforcetonewjobs

Sheffield ‘ClosingtheGap’neighbourhoodrenewalstrategyNewDealforCommunitiesHousingMarketRenewalprogrammeConstructionJOBMatchsupportedemploymenttrainingprogramme,inpartnershipwithKierConstructionJobNet–city-leveljobmatchschemewithneighbourhood-baseddrop-incentres

Belfast Communityenvironmentalprogramme–GroundworkSocialhousebuildingprogrammesininnerneighbourhoodsGasworksEmploymentScheme(GEMS)targetingdisadvantagedresidentsinneighbourhoodsclosetoredevelopmentschemetolinkthemtojobs

Bilbao Neighbourhoodrenewalfocusonproblematicinner-cityneighbourhoodsandOldQuarter–SurbisaRenovationofouterneighbourhoodeg,Barracaldo‘LanEkintza’–skillsandemploymentprogramme

Torino �4participativeneighbourhoodrenewalprogrammesrunbyadedicateddepartmentwithinthecitycouncil

Saint Étienne Neighbourhoodrenewalinfourneighbourhoods(largelyfundedbynationalurbanrenewalagencyANRU)Attemptstohelpunemployedintojobs

Chart 13: Conspicuous neighbourhood renewal and social programmes in each city

Source:Cityvisitsandcityreports

��

NEIGHBOURHOODFOCUSAllthefundingprogrammeswere

tiedtoparticularareasofcitiesand

particularactivities.Veryoftenpoorer

neighbourhoodsreceiveddisproportionate

investmentbothbecausetheywere

moredamagedphysicallyandsocially

byindustrialdecline,andbecause

theirenvironmentswerealreadypoor.

Theywerewidelyseenasa‘drag’

oncityrecovery,aswellasasocial

liabilityandthereforetheirrenewal

receivedhighresourcepriority.The

twinimpactofurbandepletionthrough

suburbanisationandtrafficthrough

greatercommutinghasgeneratedgreater

recentinterestintheideaof‘compact

cities’andredensificationofunderused

neighbourhoods.��

Withinthe‘SocialEurope’philosophy

oftheEU��,supportingequalisationof

conditionsandopportunities,investingin

poorerneighbourhoodswithinstruggling

citiesiscentraltoraisingtheirconditions

closertotheaverageandreflectsadeep

fearofsocialcleavage.Worriesabout

thegrowingconcentrationofpeople

withoutworkandothervulnerableand

poorlyintegratedgroupsincludingethnic

minoritiesinpoorerareascreateda

senseofurgency.Thegoalofcreating

greatersocialcohesionandreducing

outwardmovementbymoreeconomically

successfulhouseholdswasfundamental

tocityrecovery(seeSection7).Chart

��showstheprogrammesthatwere

developedbythecities.

Photos�9a-b:Neighbourhoodrenewal:Bremen–Conversionofformerfirestationintonewhomes,caféandchildcarecentre,GroepelingenSource:AstridWinkler,�007

The goal of creating greater social cohesion and reducing outward movement by more economically successful households was fundamental to city recovery.

19a.

19b.

��

STRANDSOFACTIONWeidentifiedtendominantstrands

ofaction:

i. New publicly sponsored agencies

to deliver change.Citychief

executivesandelectedmayorsrelied

notonlyoncentralgovernment

andtheEuropeanUnionforpublic

resources.Theyalsoappealedto

thecity’sownfinancialandindustrial

base,aimingtoanchorcompanies

searchingoutnewinvestment

possibilities.Publicpartnerships

withprivateinvolvementwere

thefirstformsofpartnershipthat

emerged.TheUrbanDevelopment

CorporationsinSheffieldandBelfast

wereinthismould.Often,asinthe

caseofBilbaoandLeipzigwhichset

uptheirowndeliverybodiessuch

asBilbaoRia,thesearestillstrongly

publicbodies,butoperatingat

arm’slengthfromcoregovernment

functions,attractingprivatesupport

andoperatingwithmanyprivate

sectormethods,eventhoughthey

areprimarilydrivenbythepublic

sector.Theyinvolveinnovative

structures,programmesandstyles

ofoperationverydifferentfrompast

publicstructures,creatinganew

imageandeconomicfocusthat

attractsinwardinvestment.�6

ii. Land reclamation and

environmental upgrading.

Largeportareas,contaminated

industriallandandformermines,

disusedsteelworks,gasworks,

millsandwarehousesallcriedout

forrestorationandreuse.Cities

inventedwholenewregeneration

strategiesaroundtheirdamaged

butpotentiallyvaluableindustrial

assets.Turningpolluted,abusedand

semi-abandonedurbanlandscapes

intosomethingusableandattractive

requiredmajorpublicresources,often

directedintopartnershipbodiesthat

converteddisusedcityspacesintoan

assetfromaliability.LeipzigandSaint

Étiennehaveledthefieldincleaning

uplargetractsofabandonedland,

poisonedbycoalwasteandother

industrialpollution.

iii. Physical redesign and restoration

of major landmarks.Former

industrialeracivicbuildingssuch

asoldtownhalls,theatres,civic

halls,publicsquaresandeven

olderdepartmentstores,factories

andwarehouseswererenovated

andgivennewuses.Wholecity

centreswereredesignedandthe

reinstatementofcivicbuildingsand

spaceshasbecomeacentralplank

ofcityrebuilding.Ithasgiveneven

theugliestandmostdecayedcities

asenseoftheirownvalueandhas

helpedrebuildcivicpride,bymaking

citiesattractiveplacesagainafter

decadesofblightfollowingindustrial

over-growth.Thesameistruein

neighbourhoodswheredisused

churches,schools,workshops,

vestries,cinemas,banks,andshop

frontshavebeenrevitalised.This

reinvestmenthelpedattractnew

enterprises,includingmultiplesocial

enterprises.�7

iv. Transport infrastructure.Major

upgradingofpublictransportaimed

toovercomethedominanceoftraffic

andthecontinuedexpansionofroads

whichwasdissectingcities,destroying

urbanspacesandcommunities.New

andupgradedtramlinesinSheffield

andSaintÉtienne,modernisedmetro

systemsinBilbao,restrictedcaraccess

andcarparkinginLeipzigandBremen,

andabovealltherapidexpansionof

pedestrianareasinallcities,particularly

noticeableinBelfast,havegreatly

increasedpedestrianstreetactivity

andtheattractionsofcitycentreliving

andshopping.Traffic-tamedareasand

goodpublictransporthaveprovedto

beimmenselypopularwithcitizens

andvisitors,reinstatingcorecitiesas

magnetsforre-growth.Withoutfast

publictransportconnectionsand

tamedtrafficcitieswillnotrepopulate.�8

Acceleratedtransportlinksfromthe

citiestotheirregionsandnearby

majorcitiesbybothtrainandroad

alsopromisetoopenupemployment

opportunitiesbyexpandingthe

labourmarket,makingiteasier

toattractinwardinvestmentand

helpweakmarketcitiesbenefit

fromthestrongergrowthoflarger,

neighbouringcities.LyonsandLeeds

areexamplesoflargesecondtier

regionalcentresnearSaintÉtienne

andSheffield.Bothcitiesarenow

buildingonthiswiderconnection,

hopingtobenefitfromfaster

transportlinks.�9

Densely populated, with long urban roots, European cities gradually took on a new lease of life in the

late 20th century. They were still at the heart of the economic and social systems of the countries we

studied.�4 Even former industrial cities with much stacked against them began to make a comeback

in the last decade.�5 Strong interventions created a new climate of confidence.

5.INTERVENTIONISTSTRATEGIESTORESHAPECITIES

��

v. Sprawl containment.Allthecities

relyonthecity-regionforhousing,

abiggerworkforceandmore

diverseeconomicactivity.This

hasgeneratedmajorinvestmentin

speeded-upurbanandouterurban

roadnetworks.Thegrowthincar

useoutsidecitycentresalongside

continuingroadinvestmentgenerates

environmentalandcongestion

problemsnocityhasyetsolved.

Bilbaohasgonefurtherthanany

othercityinanalysingitseconomic

aswellassocialandenvironmental

costs.�0However,mostcitiesnow

havecontainmentplansalongside

theirinnercityrecovery.Leipzighas

startedtorepopulateontheback

ofurbancontainmentandanti-

sprawlpolicies.

vi. Neighbourhood renewal.The

relativelyrecentlargehousingestates

andtheolder,decayedinner-city

neighbourhoods,oftenrepopulated

byincomingmigrantsasthe

indigenouspopulationdispersed,

weredeeplydamagedbythede-

industrialisationprocess.Thistriple

blowledtorapiddecayandintense

socialpolarisation,distancingthese

areasfromtherestofthecity.The

citiesprioritisedneighbourhood

renewal,aspartoftherecovery

effort,targetingthemostdeprived

areaswithspecialgovernment

funding.Butamajorityofthecities

alsousedneighbourhoodrenewal

morestrategicallyinordertoimprove

the‘residentialappeal’oftheir

city.Withoutthis,theirambitionto

attractthenew‘knowledge-based

companies’wouldfailtomaterialise

andthecities’populationswould

remainskewedtowardslower-skilled,

lowerincomegroups,whilepoorer

neighbourhoodswouldremainunder-

populated,under-employedand

sociallysegregated.Therefore,while

neighbourhoodrenewalaimedtohelp

disadvantagedareas,italsoaimed

toattractandretainhigherincome,

moreadvantagedhouseholdsin

ordertocreateagreatersocial

mixandtoholdontomoreskilled

households.Peoplewithmoremoney

andmoreentrepreneurialskills

wouldhelpcreateastrongermiddle

classandgeneratemoredemand

forservices.SaintÉtienneopenly

adoptedthisapproach,butother

cities,likeLeipzigandSheffieldwant

thesame.Allcitieswanttoretain

theiruniversitygraduatesbutBremen

hasdevelopedawholehightech

strategyaroundthis,asweshowin

Section7.

Photo�0:Transportinfrastructure:SaintÉtienne–newtramlineconnectingcentretotrainstation(whichlinkstoLyon)Source:AstridWinkler,�007

Photo��:Bilbao–newtramline,andmetrostationdesignedbyNormanFosterSource:JörgPlöger,�007

Cities invented whole new regeneration strategies around their damaged but potentially valuable industrial assets.

21a. 21b.

20.

�4

vii. Jobs and enterprise.Citiesactively

supportedthestart-upofnewservice

businessesthroughtheprovisionof

‘incubator’spaces,toattracthigh

techgrowthindustries.Bycreating

attractiveinvestmentsites,oftenon

oldindustrialsites,theygenerated

aneweconomicclimateinthecity,

favouringtheprivatesector.‘Chasing

theknowledgeeconomy’,wascentral

tothis,creatingculturalattractions

andgeneratinganewkindof‘service

city’wealth,andadynamicalternative

urbanenvironment.Thisaccounts

formanyofthenewjobs,butitis

hardtocaptureormeasure,even

thoughitshowsupinthetypeofjobs

newworkersincitiestakeup.High

skillenterprisesinmedia,culture,

newcommunicationtechnologies,

designandfinancialservicesgenerate

newservicedemandinretail,

entertainment,catering,cleaning,

health,childcareandsoon,thus

fuellingavirtuouscircleofregrowth.��

Theenterprisingdynamicsatwork

inthecitiesfittedtheneweconomic

environment.Yet,theprivatesector

becameengagedinlargepart

becauseoftheleverageofpublic

funding,deliveringprojectsconceived

ofandexecutedthroughpublic-

privateagenciesthatadoptedmanyof

theirmethodsfromtheprivatesector.

viii. Building new skills within the

population.Changingtheskillbaseof

alargeunder-employedpopulation

wasessentialtoattractnew

companies.Thisapproachwasoften

linkedtosocialintegrationand

neighbourhoodrenewal,wherelocally

targetedskill-buildingandsupport

programmeshelpedformer

manufacturingworkersandanew

generationofmarginalisedyouthinto

newjobs.Itwaslinkedtoattracting

newprivatecompaniesthatwould

offerjobsbutrequiredamoreskilled

andadaptableworkforce.Skills

developmentinvolvedimmensely

detailed,people-specific,long-term

andoftenrelativelysmall-scalelocal

programmestoachievethisskills

transition.Citiessupported

intermediate,semi-subsidisedjob

recruitmentandtrainingagreements

withhighereducationinstitutions

toattractnewinwardinvestors

andbridgethegapwiththeir

ownworkforce.

ix. Social inclusion.

Thede-industrialisationprocessdid

somuchharmamongthelessskilled

partsoftheworkforcethaturgent

programmeswereinstitutedinall

cities.Infivecities,Torino,Bremen,

Sheffield,BelfastandSaintÉtienne,

community-basedprojectsgrewin

neighbourhoodswithworkingclass,

immigrantorethnicminoritypopulations

thatbecameextremelymarginalorhad

neverbecomefullyintegrated.InBelfast

themostmarginalareaswerevirtually

allwhiteworkingclasscommunities,

wherealossofrationaleandincome

devastatedtheconfidenceofthe

community.InothercitieslikeSheffield,

SaintÉtienneandTorino,withmore

mixedpopulations,community-based

projectswereoftensmall,involvingten

orlessworkers,acommunitybuilding

andanopendoorservicetopeople

withinwalkingdistanceoftheservice.

Theyattemptedtobridgethegap

betweenneweconomicstrategies

andthelargestilldecliningareas

experiencingconcentratedpoverty

among‘leftbehind’people.Onlysuch

small-scale,community-focused

programmescouldactuallyreachthe

mostmarginalresidents.

x. Civic leadership and community

participation.Civicleaders

increasinglyrelyoncitizen

involvementintheirnewplansand

arguestronglyforengagingthe

widerpopulationinnewapproaches

toregenerationandrenewal.Civic

participationbecameadominant

toolincityrecoveryoverthe�990s.

Thiswaspartlybecausecitieswere

sodisorientedbythepost-industrial

crisisthattheyneededtheircitizens

tohelpthemgrasptheproblemsand

shapeconsensualwaysforward.It

waspartlybecausebigproduction

systemshadfailedthemandthey

wereforcedtoadoptamorebottom-

upapproach.Thefocusonsocial

issuesandsocialinclusionwasdriven

byacivicleadershipanxiousto

reintegrateafragmentedcity.

Chart�4givessomeexamplesof

whatwasdone.

Photo��:Attractinghigherincomegroups:SaintÉtienne–caféandblockduetoberefurbishedSource:AstridWinkler,�007

Photo�4:Jobsandenterprise:Torino–youngresearchersfromthePolitecnicoworkingoncutting-edgetelecomstechnology;commercialisingresearch,creatingsynergiesbetweenuniversitiesandbusinessSource:AstridWinkler,�007

Photo��–Recoveringcitypopulation:Sheffield–newluxuryflatsbythecanalintheLowerDonValleySource:AstridWinkler,�007

23.

22. 24.

Strong, creative leadership

SaintÉtienne’srealturnaroundhasonlybeganonlysinceitsmayor,MichelThiollière,becameasenatorin�00�andgainedaccesstotheinfluentialpoliticianstowhomhecouldsellhisvisionforthecity.Sincethen,regenerationfundinghaspouredintothecityandisnowsupportingaclutchofflagshipphysicalprojects(Zénithstadium,GIATfactoryconversiontoPôleOptique/VisionandDesignCity,largesupermarketchain,CasinoHQ,and4ANRUneighbourhoodrenewalprojects).

Torino’sturnaroundwaskick-startedbyastrong,non-‘political’mayorcapableofmobilisingawiderangeofpeopleandresourcestoeffectaconsensually-developedvision,crystallisedintheStrategicPlanof�000.

Involving residents, building a shared vision

Torino’sNeighbourhoodsprogrammewasdevelopedbygroupsinvolvinghundredsofresidentsinatleast�4cityneighbourhoods.Itswiderstrategicplanwasevolvedthroughworkshopstargetingmanydifferentgroupsofresidents.

Sheffield’sCityStrategywasdevelopedinconsultationwithresidents.Residentsaresurveyedtoassessprogresseverythreeyears.

Creating special public bodies to fast track reclamation

TheFrenchgovernmentwasmadeawareofthelargenumberofderelictsitesintheindustrialwesternRhône-Alpesregion,andcreatedtheÉtablissementPublicdel’OuestdeRhône-Alpes(EPORA)torecyclethesesitesbybuyingthemup,demolishingorrenovatingexistingbuildingsanddecontaminatingtheland.Therecycledlandisthensoldtoprivatedevelopersat60percentofthecost–thepublicsectorfundsthedifference.Sinceitsfoundingin�998,EPORAhasrecycled�50hectaresofthe�00hectaresoflandintheSaintÉtiennecity-region.

BilbaoRiawascreatedtoreclaimlargetractsofderelictportlandinthecentreofBilbaowhichisthendevelopedfornewenterprises.

Collecting accurate information on problems

SheffielddevelopeditsSNIS(SheffieldNeighbourhoodInformationSystem)toprovidedetaileddata(44indicators)onthe�00neighbourhoodstargetedbytheClosingtheGappolicy.

Torino’sProgettoSpecialePeriferieconductedpreliminary‘needsassessments’initsdeprivedneighbourhoods,inconsultationwithresidents.Onceithadcreatedaneighbourhoodsdatabaseofinformationonproblemsandproposedaregenerationbudget,itcouldchooseneighbourhoodstoputforwardfornationalregenerationfundingcompetitions.

Strong citizen support was necessary for change. The focus on social issues and social inclusion was driven by a civic leadership anxious to reintegrate a fragmented city.

Chart 14: What has helped?

Source:LSEWeakMarketCityProgrammeCityReports

�5

CITY FLAGSHIPS

Atdifferentpointsintheturnaround

process,cityleadersdrewupan

overarchingstrategyorvisionthatbrought

togetherdisparateintereststoagree

anewvisionforthecity.Strongcitizen

supportwasnecessaryforchange.

Theseembracedanumberof‘flagship’

proposalstotransformthecities’physical,

economicandculturalattractionsaswell

aspromotingaunifyingvisionforthelonger

term.Theseflagshipprojectsformedthe

vanguardofcityrecovery,symbolisingfor

residentsandvisitorsalikethedawnofthe

post-industrialera.Behindthemlaythe

carefulworkofbuildingnewinstitutions,

attractingnewmoneyandgenerating

newideas.Sometimestheflagship

projectsservedtokick-startregeneration;

sometimestheyunderpinnedamuch

widerrecoveryprocessalreadyunder-way;

sometimestheywerepartandparcelof

inevitablechange.Chart�5showsthekey

flagshipprojectsandprogrammeseachcity

adoptedinordertobuildanewrationalefor

thecityandattractnewinvestment.

Photo�5:Children’splayschemes:SaintÉtienne–communityassociationinCretdeRocSource:AstridWinkler,�007

Photo�6:Civicleadershipandcommunityparticipation:Bremen–aparticipatorybudgetmeetingwithresidentsinTeneverSource:AstridWinkler,�007

26.

25.

Cities Flagship recovery projects

Leipzig FootballWorldCup(�006)

CulturaleventscelebratinglocalheroesBachandGoethe

City-centreandinnercityrestoration

Reestablishmentofhistorictradefairstraditionallyhostedbythecity

ApplicationforOlympics�0��(lost)

Bremen Technologypark(linkedtouniversity)

Majorwaterfrontmixed-useredevelopment(‘OverseasCity’)

Restorationofhistoriccentre

ApplicationtobecomeCulturalCapitalofEurope�0�0(lost)

Sheffield Majorcity-centreregenerationprojectincludingpublicsquaresandgardens,renewalofmaintrainstation,newRetailQuarter

AdvancedManufacturingPark(linkedtouniversity)

LowerDonValleyregenerationprogramme(inplanning)

Neighbourhoodandhousingrenewalprogrammes

Belfast Developmentofentertainment,shoppingandtouristfacilities

Waterfrontredevelopment:Laganside(completed),TitanicQuarter(begun),NorthForeshore(inplanning)

VictoriaSquareandcitycentrepedestrianisation

Re-openingofStormontandcivicfunctions

ApplicationtobecomeCulturalCapitalofEurope�007(lost)

Bilbao GuggenheimMuseumonAbandoibarrasite

Waterfrontmixed-useredevelopmentscheme

RevivedmetrosystemdesignedbyNormanFosterandfurtherinfrastructuralprojects(eg,airport,port,trainstation)byrenownedarchitects

Upgradingandexpansionofmetropolitanpublictransportsystem

Refurbishmentofitshistoricoldquarter

Torino UrbanMasterPlanfeaturing‘centralbackbone’roadandnewmetroline

WinterOlympics�006

Restorationofhistoriccitycentre

Conversionoffactoryinfrastructuretonewuses

TorinoWirelessICTcluster

Saint Étienne DesignBiennale(founded�998)

DesignVillageandOptics/Vision‘clustersites’

Zénithconcertstadium(designedbyNormanFoster)

Châteaucreuxcity-centrebusinessservicesdistrict(adjacenttomaintrainstation)

Fourmajorneighbourhoodregenerationprojects

Newtramline

ApplicationtobecomeEuropeanCapitalofCulture�0��

Chart 15: Flagship recovery projects in the seven cities

Source:Cityvisitsandcityreports

�6

Manyoftheflagshipprojectswere

controversialandcostly.Asyettheirwider,

morelastingimpactsareunclear,butthey

appeartosetfailingcitiesbackonthe

mapandgenerateinterestfarbeyondtheir

immediategoalofcityrecovery.Thespin-

offbenefitsmaybemostconspicuousin

thecaseoftheTorinoWinterOlympics,the

BilbaoGuggenheimandtheBelfastcity

centreregeneration.InBelfastafterthirty

yearsoflimitedactivityinthecitycentre,

publicareasarenowattractingallsections

ofthecommunityandnewschemes

arebeingpursuedtoencouragesocial

interactioninpublicspace.

Theflagshipinitiativeshadfar-reaching

consequencesinsettingthepacefor

otherrecoveringcities.Nobodyhasfully

explainedthechaineffectsbuturbanists

nowcommonlyrefertothe‘Guggenheim

effect’,the‘peacedividend’,the‘heritage

dividend’,‘industrialarchitecture’.All

cities,asaresult,nowseektoreuse

landandbuildings,thusrevaluingtheir

earlier,oftenseriouslydevaluedindustrial

legacies.Therenewedvalueofcities

ascentresoftrade,services,culture,

knowledgeandinnovation,based

invariablyontheirindustrialpast,isthe

foundationstoneofrecovery,emphasising

theintrinsicworthofcitiesandthelinks

betweenthepastandthepresent.

Applyingtohostinternationaleventshas

twoimportantconsequences;itforces

thecitiestolookoutwardandaspireto

newstandards;anditgalvaniseslocal

commitmentaroundtheintrinsicassetsof

thecities,theirlocationandconnectivity,

theirhistoricbuildingsandpublicspaces

andtheirimage.Ithelpsthemdevelopnew

touristfacilitiesemployingmanylow-skilled,

part-time,femaleandimmigrantworkers,

alongsidemorehigh-skilledentrepreneurial

‘knowledge’workers.Thesenewservice

jobsareoftendubbedas‘low-value’,but

inrecoverystrategies,theycarrygreat

significance.Barsandcafes,fromBilbaoto

Sheffield,underlinethischange.Thecities

wereacquiringanewrationale,basedon

innovation,cultureandservices.

Photo�7:SaintÉtienne:theformerImperialArmsfactorybeingremodelledastheDesignVillageclustersiteSource:AstridWinkler,�007;JörgPlöger,�007

Photos�8a-b:SaintÉtienne:NewhealthclinicbuiltonsiteofdemolishedblockinQuartiersSud-EstSource:AstridWinkler,�007

27a.

City Jobs

Inward investment, employment and growth sectors

Examples of major firms relocating or expanding since recovery began

Links to earlier industry and skills

Leipzig Logistics

Car-production

MediaandPublishing

DHL/Amazon Logisticslinkedtoancienttradecentreroles

Bremen High-tech,university-linkeddevelopment

Maritimeandharbourservices

Logistics

Foodtechnology

Aerospaceindustry

Advancedengineering

Environmentalengineering

Airbus(EADS) Expansionofmanyexistingfoodmanufacturerswithnewtechnologies

Sheffield University-relatedservices

Advancedmanufacturingandengineering

Medicaltechnology

Businessservices,eg,callcentres

Construction

Boeingresearch

Polestarprintworks

Nationwide

Laserdevelopmentlinkedtoknifetechnology

Belfast Businessservices,eg,callcentres

Tourism

Retail

Publicsector(40%ofjobs)nolongergrowing

Halifax

DeveloperofTitanicQuarter

CreatinginvestmentappealbyreclaimingtheportareawhichbuilttheTitanic

Bilbao Advancedindustrialmanufacturing

Majorinternationalbanking

Tourism-relatedservices

TechnologyPark

BBVA AdvancedinternationalbankingandtouristrecoverylinkedtotraditionalBasqueinvestmenttradition

Torino Restructuredcarindustry

Industrialdesign

Telecommunications(eg,wirelesstechnology)

Tourism

Fiat Hydrogenengineslinkedtocarmanufacture

Saint Étienne

Medicaltechnologies

Businessservices

Design

Optics

Advancedmechanicalengineering

Construction

Casino

Retailer

Opticsandzoomlenslinkedtoearlierarmslenses

Chart 16: New investors in cities

Source:Cityvisitsandcityreports

�7

ExPANDINGENTERPRISEManynewfirmsandenterprisesmovedto

ourcitiesoverthelast�5yearscreating

newjobsandmanyexistingfirmstook

onanewleaseoflife.Privatecompanies

seekingoutopportunitiesforexpansion

inpreviouslydecliningcitiescreated

manynew-stylejobsinserviceindustries

andhigh-techinnovation,althoughthere

wasoftenalinkfromthecities’historic

positionstotheirneweconomicroles

buildingonearlierindustrialexpertise.

Chart�6showsthemaingrowthsectors

andtheconnectionwiththeearlier

industrialheritageofthecities.

ThusSaintÉtienneisdevelopingspecialist

opticlenses,basedonitsearlierexperience

inarmamentswhichrequiredprecision

engineeringtoproducegunlenses,for

accuratefiring.Sheffieldhasdeveloped

health-relatedlasertechnologiesbased

onitsearlierexpertiseinstainlesssteel,

knife-makingandothermetalprocessing

technologies.Bremen’straditionalrolein

high-levelengineeringledtoit’sdecision

togofora‘high-tech’university-based

approachtodevelopinganadvanced

aeronauticsindustryandadvanced

shipping.Torinonotonlyrestructuredand

reshapeditsearlierhighlysuccessfulcar

industry,butalsoitsearliercommunications

industry,supersededbymodernIT.Leipzig,

asanancienttraderouteandtradingcentre,

becameamajorworldwidedistribution

centrewhenAmazonandDHLboth

decidedtoeachplaceoneoftheirfew

worldwidecentresthere.Meanwhile,Belfast

andBilbaohaverapidlyexpandedtheir

touristpotential,drawingontheirunique

histories.Indifferentways,allthecitiesare

beginningtoclawbacktheirpositionand

createanewurbanfocus,generatingmany

smallserviceenterprises,alongsideafew

majorinvestors.

28a. 28b.

�8

RESILIENTCITIESAnewurbanimageemergesthroughcity

centrerestoration,throughtherenovation

ofmoreattractive,olderhousingand

otherbuildings,andthroughstreetactivity,

pedestrianareas,andpublicspaces

basedontraditionalurbanstructures.

Thisfostersvisitorandresidentinterest,

generatesserviceactivity,encourages

culturalenterprisesandnewinvestment.

Butwhilethegrowthinsmaller

householdsisfillinghousingunits,the

overalldensityofpeopleisstilloftentoo

lowformanyvitalcityfunctions,suchas

frequentbusesandlocalshops.Growth

inthemetropolitansurroundingsmay

stillbestrongerthangrowthwithinthe

cities,althoughtherearesomesignsthat

thistooisbeginningtoslowandsome

governments,notablytheUK,Germany

andFrancehavereducedfinancial

incentivesto‘sprawl’.Theredensification

ofcitieshasthepotentialtogenerate

increaseddemandforlocalservicesand

greatereconomicactivity.

Thesecitiesareallheavilydependenton

publicfundingandallretainmajorsocial,

environmentalandphysicallegaciesfrom

thepastthatcurrentlylimitthecapacityof

thecitiestoadapt.Economicprospects

forparticularplacesarecloudedwith

uncertaintyastheyareallheavily

dependentonwidereconomicconditions.

However,theyhaveallsignificantly

diversifiedtheireconomiesandthisshould

helpthemintheharshlycompetitive

environmentstheyface.

Ifpublicfundingwaswithdrawnandif

widerpublicsupportfortherecovery

effortsofthesecitieswasdiminished,as

wellitmightiftheycontinuedtoprogress

andeconomicconditionsdeteriorate,then

afuturelefttothemarketmightreveal

someoftheinherentweaknessesina

market-onlyeconomy.Yetsomeprivate

investorsarecominginentirelywithout

public‘carrots’onthebackofthewider

progresstowardsrecoverydrivenbythe

recoverymeasures,policesandchannels

wehaveidentified.Commercialrental

propertyinSheffieldisgainingvaluemore

rapidlythanthenationalaverage,some

ofitwithoutpublicsubsidy.��Thebest

hotelinBelfasthasrecentlyopenedinthe

CathedralQuarterinanoldbank,restored

entirelywithprivatemoney.Itislistedas

oneofthefiveverybestsmallhotelsin

theworld.��Theseinvestmentscould

losetheirpurchaseinthemoredifficult

economicconditionswearefacingin

�008,buturbanhistoryisengravedwith

suchrisksandtheyarenowshowinga

resiliencethatwasnotexpectedeventen

yearsago.

Acombinationofimagecreation,

populationattraction,inwardinvestment

andnewenterpriseishelpingthecitiesto

weathertheirindustrialdeclineandbegin

torecover.

Photo�9:Restoringandremodellingoldindustrialbuildings:Bremen–restoredwharfhousescreatingnewateliersforartistsanduniversityartdepartmentSource:JörgPlöger,�007

The redensification of cities has the potential to generate increased demand for local services and greater economic activity.A combination of image creation, population attraction, inward investment and new enterprise is helping the cities to weather their industrial decline and begin to recover.

29.

-30%

-25%

-20%

-15%

-10%

-5%

0%

5%

10%

-30

-25

-20

-15

-10

-5

0

5

10

1970-1980

1980-1990

1990-2000

2000-2005

Note: the baseline for each decade change is the beginning of that decadeSource: National and regional statistical bureaux

0

5

10

15

20

25Country

City

BelfastSheffieldTorinoSaint-Étienne

BilbaoLeipzigBremen

City

Country

Sources: City statistics, EU

0%

5%

10%

15%

20%

25%

BelfastSheffield Torino SaintÉtienne

BilbaoLeipzig Bremen

Chart 17: Population change per decade (1970-2005)

Chart 18: Unemployment rates in 2005 in the seven cities and their countries

�9

POPULATIONAllthecitiesnowshowaslowingin

populationdeclineandactualre-growth

infivecases.Thecitiesappeartohave

bottomedoutfromtheirsteepdecline

andbeguntherecoveryprocess.The

trendsuggeststhatlosseshaveslowed

considerably,eveninthetwocitiesSaint

ÉtienneandBelfast,wheretheyhavenot

yetstoppedcompletely.Chart�7shows

themostrecentpopulationtrendswith

aclearifsmallrecoverypatterninfive

cities.Populationstabilisationmakesan

immediateimpactonhousing,services,

localeconomicactivityandthereforejobs.

EMPLOYMENTSomeofthecitiesnowperformbetter

onunemploymentcomparedwiththe

nationalpicturealthoughtherateofjob

creation,theflowsinemploymentand

thescaleofnewinvestmentstothe

citiesareallprocessesthatarehard

topinpointwithprecision.Theoverall

positionreflectsstabilisation,reductions

inregisteredunemploymentandinsome

casesre-growthinbothpopulationand

jobs.Chart�8showsthatinfourofthe

sevencitiesunemploymenthasnowfallen

belowthenationalaverage.Thetwomost

notableexceptionsaretheGermancities

whereindustrialjoblossescontinueto

besignificantandwherethereunification

costsoverthe�990shadadebilitating

effectontheeconomyofLeipzig

particularly.Therearestillmajorbudgetary

deficitsinbothcitieswhichcouldhave

knock-onimpactsonthelocaljobmarket.

Since�005Germany’seconomyhas

recoveredsteadily.

6.POPULATIONANDEMPLOYMENTRECOVERY

0

5

10

15

20

252005

1990

BelfastSheffieldTorinoSaint-ÉtienneBilbaoLeipzigBremen

1990

2005

Sources: Stat. Landesamt Bremen, Stat. Bundesamt, Bundesanstalt für Arbeit, Stat. Landesamt Sachsen, Stat. Bundesamt, Bundesanstalt für Arbeit, Eustat, Inst. Nacional de Estadística (INE), Inst. National de la Statistique et des Études Économiques (INSEE), Inst. Nazionale di Statistica (ISTAT), Office for National Statistics (ONS), Northern Ireland Statistics & Research Agency (NISRA), Dept. of Finance and Personnel (DFP), Office for National Statistics (ONS)

0%

5%

10%

15%

20%

25%

BremenLeipzig Bilbao SaintÉtienne

TorinoSheffield Belfast

0

10000

20000

30000

40000

50000

60000

70000

800001997

1980

Other/Technology-intensive industriesFood & related productionAutomobile manufacturingMaritime IndustriesUrban IndustriesTourismTrading etc.Harbour & LogisticsBusiness-related ServicesNeighbourhood-based ServicesMetropolitan ServicesAdministration

Source: Source: Prange & Warsewa (2000); Data: Statistisches Landesamt

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

Oth

er/T

echn

olo

gy-

inte

nsiv

e in

dus

trie

s

Foo

d a

nd r

elat

edp

rod

ucti

on

Aut

om

ob

ile

man

ufac

turi

ng

Mar

itim

e in

dus

trie

s

Urb

an in

dus

trie

s

Tour

ism

Trad

ing

etc

Har

bo

ur a

ndlo

gis

tics

Bus

ines

s-re

late

dS

ervi

ces

Nei

ghb

our

hoo

d-

bas

ed s

ervi

ces

Met

rop

olit

an

serv

ices

Ad

min

istr

atio

n

1980

1997

Chart 19: Unemployment rates in 1990 and 2005 (% of active workforce not in work or full-time training)

Chart 20: Bremen: Change in employment per sector (1980-1997)

�0

DECLININGUNEMPLOYMENTThechangesinunemploymentlevels

over�5yearsshowadeclineinthe

rateofunemploymentinallthecities

exceptLeipzig.Therethetotalchange

ofeconomicsystemfromacommunist

toaWesternmodelmadethetransition

moredifficult.Leipzighasinthelast

fiveyearsattractedseveralverylarge

internationalinvestors,offeringpotentially

thousandsofnewjobsandgenerating

manysmallerserviceenterprisesto

accompanythesignificantjobgrowth

thatispromisedoverthenextfew

years.Thereforethereisoptimismthat

unemploymentwillfalltheretooover

thenextfewyears.Thepatternformost

ofthecitiesisencouraging,suggesting

agrowingdegreeofparticipationby

theworkforcethroughalternativejob

creation.However,whileBelfastand

Sheffieldhaveexperiencedalargefallin

officiallyregisteredunemployment,both

citieshavemajorproblemsofeconomic

inactivity–peoplesimplyoptingoutofthe

jobmarketandnolongershowingupin

officialstatistics.Ourskillscasestudies

highlightthisproblem.Chart�9shows

themajorchangesinofficiallevelsof

The pattern for most of the cities is encouraging, suggesting a growing degree of participation by the workforce through alternative job creation.

0

5

10

15

20

25

30

35

402004

1991

services: public and private sector, administrationservices: finances, renting, business-relatedservices: trade-commerce/tourism-related/trafficconstructionmanufacturing

Source: IHK, 2006

1991

2004

0%

5%

10%

15%

20%

25%

30%

35%

Ser

vice

s:

Pub

lic a

nd p

riva

te

sect

or,

adm

inis

trat

ion

Ser

vice

s:

Fina

nces

, ren

ting

, b

usin

ess-

rela

ted

Ser

vice

s:

Trad

e-co

mm

erce

/To

uris

m-r

elat

ed/t

raff

ic

Co

nstr

ucti

on

Man

ufac

turi

ng

Chart 21: Leipzig: Change in employment per sector (1991-2004)

��

unemployment,witha�5percentfallin

BilbaoandSheffield,anda�0percentfall

inTorinoandBelfast.Charts�0and��

highlighthowemploymenthaschanged

intheGermancities.Chart�0shows

howBremenexperiencedjobgrowthin

servicesectorsbutcontinuingjoblosses

inothersectors,particularlyitscore

traditionalindustries;andChart��shows

thechangingstructureofjobsinLeipzig

overa�0yearperiodwithadeclinein

traditionalmanufacturingandconstruction

jobs,andasmallerincreaseinservice

relatedjobswhichareoftenpart-timeand

lesssecure.Thispatterniscommontoall

ofourcities.

Overall,onthetwomainstatisticalindicators

weusedtogaugethecities’decline,

populationandunemployment,thecities

haveatleastsloweddowntheirlossesand

stabilisedtheirpopulations.Thisinpractiseis

boundtoreflectsomeneweconomicgrowth

tocompensateforthecontinuingjoblosses

inmanufacturing,evenifithasn’tyetpushed

thetotaljobfiguresbacktowheretheywere

intheirheyday.Inpractice,attractingand

creatingnewjobsrequiresverydetailedand

laboriouseffortsbyCityCouncils,companies

andcommunitybasedbodiestoensure

skillsdevelopmentinaworkforcegearedto

olderindustriesandtoencourageemployers

torecognisethispotential.Insection7we

examinethispotential.

Attracting and creating new jobs requires very detailed and laborious efforts by City Councils, companies and community based bodies.

Focus on jobs Skills context as driver Skills orientation

Leipzig DrivingpurposeistoattractmorejobsMajorplankofeconomicrecoverystrategyTargetinglargescaleemployers

EasternEuropeanstateplannedeconomyPrevious‘full’employmentTotallyneweconomic,socialandjobcontext

LeadstomajorinvestorscominginOffersinworktrainingandadjustmenttonewtechnologiesetcChangesworkingpractisesinfavourofnewstyleworking

Bremen Decisiontobuildonhighskills/engineeringtraditiontogeneratenewjobs

NeedtorefocusonnewopportunitiesTopleveldriveStrategicandlargescalespendingoninnovation

Focusonhighereducation,helpsgraduatesdevelopbusinessideasInnovationiscentraltocitystrategyChain-effectontechnicalprofessionaldevelopmentLinksbetweenscienceandwidereconomy

Sheffield CitystrategydrivenbyextremejoblossesLowskilledlaborconcentratedinmarginalisedneighbourhoods,needtore-integratethemintothemainstreamemploymentmarket

PreviousskillslargelyobsoleteHighwageindustrialeconomycrashedNeedtodevelopformerskillstocreatenewskills

Apprenticeshipstyleon-the-jobtrainingfornewrecruitsTrainingfortenantsinbuildingskillssotheycansuperviselocalcontractrepairworkNewwaysofworkingforbuildersandCouncil–supportedemploymentleadingtoanindustry-accreditedqualification

Belfast DrivenbyextremeunemploymentlevelsandhighdependenceonpublicsectorjobsSocialexclusionandgeneraldeprivation

Urgentneedtoreinvestinskillstomeetdemandsofprivate/serviceeconomy

Serviceskillsdevelopmentforex-industrialworkers

Torino Coreaimtolinkextremelymarginal,oftenillegalimmigrantstojobs

Immigrants’existingskillsoftenunder-recognisedCulturallysensitiveadviceAttempttoidentifyandacknowledgetheirskills

Developingjob-readinessskillsPreparingpeopletodevelopmicro-businessesthroughtraininginbusinessplanning

Chart 22: City experiences of jobs and skills programmes

Source:ASCreports

��

Attheoppositeendofthescale,thecities

used‘handholding’techniquestohelp

disadvantagedandunemployedworkers

whoseskillswerenolongerindemand

intobasicservicejobsthatwererapidly

expandinginthesecities.Thisoften

involvedmicro-levelworkonanindividual

basisaswellaswiderprogrammesto

supportthelocalinitiativeswestudied.

‘Skillsconversion’strategieshelped

formerindustrialworkforcesandmore

recentimmigrantstoadapt.Thisbuilt

onthephysicalrestorationprocessthat

encouragednewenterprisestoinvest.We

exploredskillsdevelopmentingreaterdetail

inordertounderstandbetterhowspecific

projectsandprogrammesrelatedtothe

widereffortsateconomicrecovery.We

alsowantedtounderstandtheconnection

betweenlocalsocialissuesandthewider

economy.Wechosetheprogrammeswe

setoutbelowbecausetheyreflecteda

rangeofapproachesconnectinglocalwith

widerissues.Therewerestillmanyexcluded

groupswhowereoutsidethisprocess

ofrecovery,butwefoundevidenceofa

shift,notjustinthinking,butinaction.City

governmentswantedtoclosethegapsin

skillsandexperiencebybuildingpeople’s

confidenceandcreatingnewroutesinto

work.EvenSaintÉtienne,whichseemed

tofocuslessstronglyonjobsandskills

andmorestronglyonrenewedphysical

infrastructure,wasopeninga‘maison

d’emploi’(employmentcentre)initspoorer

innerneighbourhoods,tolinkpeopleinto

jobs.Thecityalsobuildslocalemployment

requirementsintoitsconstructioncontracts

forneighbourhoodregeneration.

7.NEWSKILLSFORURBANREGROWTH

Changing the skills base of former industrial cities was necessary to address the changing economic context

and was therefore a high priority for the cities. Those cities with strong universities recognised the potential

that lay in expanding higher education. Bremen, for example, based its overall economic restructuring on a

strategy of high-level research, scientific innovation and business development linked to the universities.

��

SPECIALCITYSKILLSPROGRAMMESWeselectedfivecitieswithestablished

workingprojectsandthissection

summarisesourfindings.�4Firstweexplored

therationaleforthecity-widefocusonjobs

andskills.Chart��setsoutwhatdrove

citiestoestablishthese‘jobprojects’.

THECASESTUDIESThedetailsofthefivecasestudyprojectsareoutlinedinChart��.Bremenadoptedaverydifferentapproachfromtheothers:itoperatedcityandregionwide,developingahighlevel,technicallyoriented,researchbasedprogramme,directlylinkedwithitsuniversities.Leipziglikewiseadoptedacityandsub-regionwide,outwardly-focussedapproach.However,thecitythroughitsemploymentagencydirectlylinkednewjobopportunitiestothecity’sunemployedbecausethelargeunderutilisedlabourpoolwasoneoftheattractionsforinvestingcompanies.Theotherthreecases–Belfast,SheffieldandTorino–targetedparticulardeprivedareas,eventhoughtheprogrammesbehindthemspreadoutacrossthecitiesandinBelfastandSheffield,theregionaswell.Overtime,fourofthefiveprogrammeshadaregionalremitandimpact.

There was no single magic bullet. There were many challenges which the projects had to overcome in order to deliver. Without the necessary new skills, new jobs simply would not come.

30.

Photo�0:Skills:Sheffield–OldVictorianbuildingbeingconvertedintoCommunityLearningCentre,BurngreaveSource:AstridWinkler,�007

City Case Study Projects

Aims Methods/

Approach

Funding Target Beneficiaries

Scales of operation and impact

Who Runs Programme

Leipzig Personalservicestobusinesses(PUUL)

Provisionofemployment-relatedservicesforinvestors.Increasejobmarketaccessforunemployed

Pre-selectionofworkforceTrainingofunemployed

�00�-�005:€�.5million(~�/�byCityCouncil);Since�006:(60%public;40%privatecompanies)

Unemployed(localandregional)Existingandpotentialnewcompanies

City-widewithregionalimpactChannelledmorethan�,000jobseekersintonewjobs(~50%ofwhichwereunemployed)

Independentcompanyfoundedbycitycouncil,nowindependentwithcitycouncilasbiggestshareholder

Bremen DevelopmentStrategytopromoteinnovation(‘CityofScience’)

Toovercomestructuralcrisisbyfosteringspecificeconomicsectors

Extensionandrestructuringof‘sciencelandscape’Linksbetweenhighereducationandlocaleconomy

�984-�994:localgov.�994-�004:€�.6billion;fed.gov.(specialaid)Since�004:€�00million;mixed(localgov.,fed.gov.,EU)Veryhighcost

Students,graduatesSomestart-upenterprisesLocal/regionalcompanies

City-wideincludingBremenhaven

Citycouncil

Sheffield ConstructionJOBMatch

Trainingforhard-to-reachgroupsinconstructionskillstomeetindustrydemandfornewworkers

Supportedworkprogrammewithbuilt-intraining,pluswrap-aroundbasicskillstraining

PhaseI(�00trainees):£�,�00,000fromconstructioncompanies(throughcontracts)£67�,000fromDecentHomesandHousingMarketRenewal£84,000fromEU

WomenEthnicminoritiesLong-termunemployedIndividualsfromdeprivedareas

PhaseI:city-wide,�00traineesPhaseII:city-region-wide,500trainees

Citycouncil’sEmploymentUnitfiveconstructioncompanies

Belfast GasworksEmploymentMatchingService(GEMS)

Linkbetweenlong-termunemployedandnewjobopportunitiesthroughregenerationonGasworkssite(Lagansideredevelopment)

Training,jobmarketskills,helpwithapplicationsLinkemployerswithlocalareaCreatelocalparticipation

�00�-�005:€�.�million;mixedfundingbylocalgov.,LagansideCorporation,centralgov.bodies,EFRESince�006multiplesources

UnemployedinanumberofdeprivedEastandSouthBelfastwards

SixdeprivedwardsinSandEBelfast,nowcoversallNorthernIrelandUnemployed:��7intoemployment(aftertwoyears);�4�intotraining/education(aftertwoyears)

SetupbyBelfastCouncilandSouthBelfastpartnershipwithotherboardmembers

Torino AssociazioneApolié

Informationandguidancetosupportaccesstojobsforimmigrantjob-seekers.Brokertrainingandapprenticeships.

Personalisedapproach;one-to-oneinterviewswithemploymentcounsellorindrop-incentreCulturalmediatorhelpsbridgetoItaliansystemLegaladviceonvisasandworkpermitsfromin-houselawyer

Perannum:€�0,000(75%)frombankfoundationCompagniaSanPaolo€8,400fromProvinceofTorino

Job-seekersofallagesindeprivedimmigrantneighbourhood

Neighbourhood-basedDrop-incentrehad7�0usersin�006Partofwiderneighbourhoodregenerationprogramme

Localcommunity-basedassociation–setupbyenterprisingimmigrants.

Chart 23: Details of five skills case studies

Sour

ce:A

SCre

ports

�4

City Key success factors Key challenges Outcomes

Leipzig Goodpoliticalleadershipandcross-departmentalcooperation

Earlyrecognitionofurbancrisisandsubsequentchangeofurbandevelopmentstrategy

Willingnesstogo‘theextramile’toensureinwardinvestment

Highunemployment,manylong-termunemployed

Municipaldebtsvs.oversizedinfrastructureforlesspopulation

Manynewjobstapintoregionalratherthanlocallabourmarkets

Channelledmorethan�,000jobseekersintonewjobs(approximatelyhalfwereunemployed)

Significantjobcreationespeciallyinautomotiveandlogisticssectors

Bremen FreedomsandresponsibilitieslinkedtoCity-statestatus

Federalgovernmentaid(�994-�004)>enablingdesignofSpecialInvestmentProgramme

Havingaclearlong-termstrategicvisionfocusingontechnologyandinnovation

Forcedtocutbudgetduetothreatofbankruptcyagain(anotherspecialaidbyfed.gov.uncertain)

Howtolinklow-skilledworkforcewiththeneweconomicsectors

Lackofcompanyheadquarters,dependencyondecisionmadeelsewhere,lackofhigh-skilledservices

Increasedshareofhigh-techemployment

Severalsuccessfulcompaniesineconomicnichemarkets(environmentaltechnology,maritimelogistics,aerospace)

Highereducationinstitutionslabelled‘centresforexcellence’(�005)

Sheffield SustainedleadershipandsupportfromCouncil’sChiefExecutive

In-depthunderstandingoflocalcommunities’needs

Abilitytouseregenerationfundingtofinanceprogramme

Abilitytobuildprogrammeintoconstructioncompanies’deliverycontracts

LeadconstructioncompanypartnerKierSheffieldLLPchampioningprogrammetootherconstructioncompanies

Gettingfundingtogether(mainstreamtrainingfundersnotkeentofundnon-traditionalprogramme)

Winningconstructioncompaniesovertoprogramme

Recruitinghard-to-reachindividualsandthosewhowouldn’ttraditionallyconsiderconstruction

Highretentionrateamong�09trainees(80%stillontwo-yearprogramme,now¾ofwaythrough)

Goodperformanceofcurrenttrainees

Expansionofprogrammeacrossthecity-region

��%oftraineesachievedtheirconstructionqualificationsixmonthsearly

Over50%oftraineescomefromthecity’smostdeprivedneighbourhoods

ThereareeighttimesmorewomenandalmostsixtimesmoreBMEworkersintheconstructionworkforcenationally

Belfast Creationofuniqueandinnovativepartnershipmodel

Attempttolinklargeregenerationeffortswithlocalcommunities

Politicalleadershipwillingtoovercomecrisis

Structureof‘old’governmentarrangements

Difficultytomatchnewjobswithexistingskillsbase

Theconsequencesoflong-termexclusion

��7unemployedintoemployment(aftertwoyears)

�4�unemployedintotraining/education(aftertwoyears)

Torino Personalised,relationship-buildingapproach,whichdealswithculturalaswellasskillsissues

On-siteexpertstoadviseandsupport,eg,lawyer,enterprisecounsellor,culturalmediator

Convincinginformalworkerstoformalisetheirwork,despitedisincentives

Overcomingculturalbarrierstofemaleemploymentinimmigrantcommunities

Surveyofusersin�006showed75%wereinpermanentemployment

Twonewbusinessesandtwoassociationscreatedbyusersduring�006

Totalof7�0usersduring�006,8�%ofwhomwereimmigrants

Chart 24: The way the programmes worked in practice

Source:Cityvisitsandcityreports;ASCskillsreports

�5

Therewasnosinglemagicbullet,even

withineachspecificprogrammeortarget

group;manydifferentfactorsaccounted

forthesuccessofeachcityindeveloping

newskillsamongitspopulationand

improvingaccesstojobs.Inallcases

deliverywasdependenttosomeextent

onthecitycouncilandinallcasespublic

subsidyandthecity’sorganisational

supportweresignificant.Therewere

manychallengeswhichtheprojectshad

toovercomeinordertodeliver.Chart

�4showshowtheprogrammesworked

inpracticeandthesolidoutcomesthey

reported,albeittheywerelimitedinscale.

City Young people Excluded groups

Leipzig Veryhighyouthunemploymentasacityissue

Wholepopulationtargetedbutnewindustriesfavouryoungerworkers

Sincemanynewjobsaremanual,someimpactonmarginalareas–veryfewimmigrants

Bremen Universitiesaremainbaseforinnovation,attractingyoungpeopleintoscience,technologyandbusinessstart-up

Startupbusinessesattractyouthfulworkers

Specialprogrammestargetingethnicneighbourhoodswithlowerlevelskillsthanthisprojecttargets

Sheffield Directlytargetsyoungunemployedpeople

Lotsof‘sales’worktopersuadeyouthofconstructionjobs’worth

Particularlyaimingtohelpexcludedgroupsincludingminoritiesandlong-termunemployed

Belfast Manynewimmigrantsareyoung

Generallyyouthfulpopulation

Workswithlocalschoolstoattractyoungpeopleintojobs

Targetsnewimmigrants

AimstointegrateacrossBelfast

Torino Wholepopulationtargetedbutincludesyoungpeople

Ledbyminoritycommunityactivist

Mainaimtohelpingimmigrantsintegratethroughthelabourmarket

Chart 25: How the projects helped young people and excluded groups

Sources:Cityvisits,ASCreports

�6

OUTCOMESFROMSPECIFICPROGRAMMESThesededicatedskillsandjobprogrammes

introducednewavenuestoworkthatwould

nothavebeenuncoveredwithoutlooking

atdetailedgrassrootlevelprojects.Cities

supportedtraininginitiatives,universitylinks,

employersupportaswellashand-holding,

employment-linkinginitiatives.Subsidies

fromEUandnationalprogrammes,aswell

asregionalandcityresources,supported

theseprojectsasawayofsupportinglocal

economies.KierConstructioninSheffield

forexamplefacedrecruitmentproblemsfor

relativelylowskilledjobsinacityofunder-

employmentandhighinactivitybecauseof

thepoorimageofconstructionwork.The

trainingsubsidiesandthehand-holding

intorecruitmentforrealconstructionjobs

ledtoamutuallybeneficialpartnership

betweenthecity,KierConstructionsandthe

targetcommunities.Inthisway,indifferent

cities,throughmanyfundingstreamsover

twodecadesofconcentratedeffortand

leadership,thedifferentprojectstargeting

skillsandjobsaccesshelpedmarginal

groupsdirectly,asChart�5shows.

Theprogrammeshadmeasurable

outcomesinallcases,evenonamicro

scale,asinTorino.Theyalsohadwider

impactsbeyondimmediatejobcreation,job

accessandskillbuildingobjectives.

Theprojectsconvincedcitiesand

employersoftheneedforbridges

betweenlowincome,oftendemoralised

communitieswiththe‘wrong’skills

andnewjobopportunities–Torinoand

Sheffieldprogrammesexemplifythis.

Buildingbridgesbetweenemployers

andthetypesofpotentialworkerthey

mightotherwiseoverlookinahigh

unemploymentsituationpersuaded

employersofavaluablelabourforce

potentialwithinlowincomeandlow

skilledgroups.�5BelfastandSheffielddid

thiswithlargeprivatesectoremployers

andtheirformerindustrialworkforce.

•

•

Thecompaniesthatthecitywanted

toattractwereoftensearchingfor

cheaper,biggerspaces–Leipzig

andBelfastcouldoffercheapsites

withgoodaccessandenvironments.

Bilbao,BremenandSaintÉtienneare

alsoreclaiminglargetractsofobsolete

industrialandportlandbutwedid

notincludeallofthemintheskills

study.Nonethelessallthreecitieshave

attractedinvestorswhohavecreated

jobsandtraining.

Universities,researchfundingand

hi-techcompaniescanoftencombine

resourcesandneedsinolderindustrial

cities–Bremenexemplifiesthisbut

SaintÉtienne,SheffieldandTorinoare

alsodoingsomeofit.

•

•

These dedicated skills and job programmes introduced new avenues to work that would not have been uncovered without looking at detailed grass root level projects.

31a. 31b.

City Community conditions

Leipzig Cityandregionalprogrammewithbigoveralleffectoncityrecoveryandcommunityviability

Bremen Programmehasmajorimpactoncityinnovationandoverallstatus∴benefitsjobgrowth

High-techindustriesgenerateancillaryservices

Sheffield DirectlyupgradeslowincomeareasaspartofDecentHomesProgramme

Neighbourhoodfocus

Createsmomentumforjobsandtraining

Belfast Partofmajorurbanregeneration,explicitlyrecruitinglong-termunemployedintheformerdockarea

Torino Partofwiderneighbourhoodregenerationproject

Basedinneighbourhoodwithhighestimmigrantconcentration

Breaksdownbarrierstointegration

Chart 26: Improving community conditions

�7

SOCIALGOALSOFSKILLSPROGRAMMESTheskillsprojectsweredrivenbya

widersocialneedtoimprovecommunity

conditions.Chart�6showshoweach

programmefittedwiththeneedto

upgradecommunityconditions.

Thecombinedapproachofjobcreation,

skillbuildingandsocialintegration

undoubtedlycontributedtocityrecovery.

Thesteepfallinunemploymentlevelsthat

happenedineverycityexceptLeipzig

andBremenunderlinesthestrengthof

theeconomicrecovery.Butwithoutthe

necessarynewskills,newjobssimply

wouldnotcome.BothLeipzigandBremen

arenowexperiencingjobregrowth.

GENERALLESSONSThereweremanycommonthreads

runningthroughtheskillsprogrammes.

Eventhougheachprogrammewas

distinctive,tailor-madetoeachcity,

andinthecaseofSheffield,Torinoand

Belfast,toparticularcommunitieswithin

thecity,thereweremanycommon

lessonsemergingacrossallthecities.The

followingchartsetsoutsomeofthewider

lessonsfromtheprogrammes.

Thebigchaineffectsofindustrialcollapse,

skillsmismatchandphysicaldecline

weremostconcentratedinthepoorest

neighbourhoodswhereunemployment

washighestandhousingand

environmentalconditionsmostdecayed.

Intheworstaffectedareas,40percentor

moreoftheadultworkingagepopulation

wasnotinwork,studyingortraining.

Schoolswereseriouslyunderperforming,

shopsclosedorweretooexpensive

andcrimehigh.�6Uptoonethirdofthe

populationofourcities,mostlyininner

areas,butalsoinlarge,government-

sponsoredpost-warestatesontheedge,

wascaughtupinaspiralofphysical

disinvestmentandsocialunravelling.�7

Yetthecommitmenttohelpingthese

areasandintegratingtheirimpoverished

communitieswashighontheagendaof

thecities,moresoasrecoverygained

momentumandthedemandforboth

homesandlabourbegantorevive.Local

neighbourhoodprojectsineachcityshow

themicro-levelatwhichitwasnecessary

toworkinordertomakeadifferencein

people’slives.

Local neighbourhood projects in each city show the micro-level at which it was necessary to work in order to make a difference in people’s lives.But without the necessary new skills, new jobs simply would not come.

Photo��a-b:Buildingnewskills:Sheffield–ConstructionDesignCentre,whereyoungpeoplearetrainedintheconstructionindustrySource:AstridWinkler,�007

Chart 27: General lessons from the skills programmes

a) Focus on jobs

Thiswasadrivingpurposeofthecities’specialprogrammesandoverallstrategies.Theprogrammesareallbasedonskillsdevelopmentinordertoqualifytheworkforceforfutureeconomicdemandsie,jobs.

Citygovernmentsandbusinessleadersrecognisedtheneedforahighertaxbasetofundnewinfrastructure,havinglosttaxresourcesheavilythroughdeindustrialisation.Newjobsandanemployedworkforcehelpsthis.

b) Skills context as driver

Allthecitiesneededtoadoptthenewskillsrequirementsofnewcompaniesandwantedtospreadskillsmorewidelyamonglargedisadvantagedpopulations.

Inarapidlychangingjobmarketitbecameimportanttogetpeopleintoworktheywerequalifiedtodo.

Citiesalsowantedtoattracthighereducationinstitutionsintopartneringnewskillsprogrammeswithknock-onbenefitsforpeoplelowerdownthejobladder.

Companieslookingformoreskilledworkerswereimportantpartnersintheprogrammes.

c) Professional development and skills orientation

Trainingwasanessentialingredientofallprogrammes.

Employerbasedtrainingcomplementedthemorebasictrainingtheprogrammesoffered.

Theprogrammesdirectlyofferednewstyleworkplaceexperiencetotargetgroups.Thishelpedemployersbyprovidingarelativelylow-costworkforce.

Promotionofhigherlevelskillsandpeoplebasedskillswascommontoallprogrammes.

d) Young people

Sheffieldhadthestrongestfocusonyouthinpoorerareas.

Mostcitiessupportedbusinessincubatorcentres.

Trainingtargetedyoungpeople.

Newbusinessparkstailoredtoinwardinvestors.

Holdingontograduatesisacommongoalacrosscities,butonlyBremenfocusedonuniversitiesaskeyleversintoinnovationandtheneweconomy.

e) Social integration

Effortstoincludeimmigrantsandethnicminoritiesinworkprogrammesrequiredspecialeffortifthiswastoworkinpractice.

Hand-holdingdisadvantagedpeopleintotrainingandworkwastheonlywaytoensuresuccesswithmoremarginalgroups,particularlyminorities,low-skilledyouthandlong-termunemployed.

Allcitiessharedthegoalofintegration.

Helpingpeopleintoworkcombatssocialexclusion.

f) Community conditions

Socialconditionsdeterioratedthroughlackofworkandtheconverseappearedtobetrue.

Amajorityofskillsandjobprogrammeshadadirectcommunityfocus,particularlyindeprivedareas.

Disadvantagedareaswereseenasajobresourceandasplaceswherejobandskillgrowthhavethebiggestimpacts.

Source:ASCCaseStudies

�8

City ProblemsSheffield HighpovertyandunemploymentintheinnercityNetherthorpeand

Upperthorpeneighbourhoodwhichhashard-to-reachpopulationsincludingsubstantialYemeniandSomalicommunities.Feelscut-offfromthecitycentre.Unemployedresidentsarewaryofinteractingwithstatutoryemploymentservicesforfearoflosingtheirbenefits.Entrenchedpocketsoflong-termunemploymentinspecificneighbourhoodsacrosstheNorthandEastofthecity,whichprevioustargetedprogrammesfailedtoimpact.

Torino ViaArquataisan‘island’ofdilapidated�9�0s-erasocialhousinginacentraldistrictofTorino.Itiscutoffbytworailwaylinesandanoverpass,hadhighratesofunemploymentandbenefituptake,andbecameahavenforprostitutesanddrugdealers.Socialhousingacrossthecityhadbecomerundownafteryearsofunder-investmentbythestatehousingcompany–ATC.

Saint Étienne

Tarentaizeisanoldminers’neighbourhoodattheeasternedgeofthecity.Builtattheturnofthecentury,itshousing(bothsocialandprivately-owned)isnowinextremelypoorcondition,withsomehomesnotevenhavingelectricityorrunningwater.Therewashighpoverty,anda�7%vacancyratein�999.�0-�0%oftheresidentsarefromtheMaghreb,butmanyarealsoTurkish.Thereisacommunityof�00travellerswhoalsoliveinpoorconditions.Housingconditions,inbothprivately-ownedandsocialhousing,hadbecomeextremelypoorinbothinnercityneighbourhoodsandperipheralhousingestates(grandsensembles).Middle-classflight,sprawl.

Chart 28: Neighbourhood projects to tackle acute problems

�9

Allareinner-cityneighbourhoodswith

mosthousingbuiltaroundtheturnofthe

�0thcentury.InSaintÉtienneandTorino,

fourandfivestoryapartmentblocksline

thestreets,oftenwithshopsandsmall

enterprisesatstreetlevel.InSheffield

thestreetsaremainlylinedwithterraced

houses,ofteninmulti-occupation.

Inallthreeneighbourhoods,dilapidated,

poorly-maintainedprivateandsubsidised

housinggavethestreetsadepressingair.

Deteriorationinhousingconditions

reflectedaparalleldeteriorationinthe

socio-economicconditionsofresidents.

Asbetter-offresidentsmovedout,

lower-incomeresidentsbecamemore

concentratedintheneighbourhoods.A

risingproportionwererecentsettlersfrom

otherpartsoftheworld.

AIMSOFSPECIALNEIGHBOURHOODPROGRAMMESTheaimsoftheneighbourhoodprogrammes

weretointegratemarginalcommunities

intothecityandtoupgradeconditionsso

workingfamilieswouldwanttostayinthe

areas.TorinoandSaintÉtienneaimedlargely

atphysicalupgrading,whileSheffieldaimed

atinclusionthroughemployment.

However,Torino’seffortsweremorethanjust

physicalbecausetheCityCouncildecidedto

fundtheextrasocio-economicdevelopment

thatresidentsalsoprioritisedandwhich

theyfeltwasanecessaryaccompanimentto

thephysicalwork.AndSaintÉtiennenotonly

locatedthecentralEmploymentCentrewithin

theneighbourhood,butalsorequired5per

centofconstructionjobswithintheprogramme

togotoresidents.SheffieldandTorinotooka

community-based,capacity-buildingapproach.

Thereforetheybothfunctionedinabottom-up

wayandtheprojectstookonlivesoftheirown,

developingautonomouselements,butboth

werelinkedtoanumbrellastructureatcitylevel.

SaintÉtienne’swasstate-drivenandtop-down

instructure,althoughtoachieveitsgoalsithad

tofunctionincloseliaisonwithresidentsand

communityassociations.

8.MARGINALCOMMUNITIESANDNEIGHBOURHOODPROJECTS

Sections 4 and 5 explained how the cities incorporated neighbourhood renewal and skills development

into their broad recovery framework. Section 6 showed the gradual change for the better in jobs and

population. Section 7 summarised the findings and lessons from five cities’ specific skills projects. We

now examine three neighbourhood projects to show the micro-level at which it was necessary to work

in order to make a difference. These are our initial findings on the problems, challenges and approaches

each country and city adopted. Chart 28 shows the problems the cities faced at neighbourhood-level,

revealing particularly acute conditions even today, after a decade of recovery.

As better-off residents moved out, lower-income residents became more concentrated in the neighbourhoods.

City Aims and proposals

Sheffield City programmeJobnetwasdesignedtohelpthose‘furthestfromthelabour-market’intowork,usinga‘supplydriven’modeldrivenbyaknowledgeofjobseekers’skillsandworkinterests,deliveredthrough�6community-baseddrop-incentres.To‘broker’accesstojobsbetweenlocalemployersandjob-seekersinSheffield’smostdeprivedneighbourhoods,andtogetunemployedresidentsjob-readybyofferingtailoredhelpindealingwithbarrierssuchasconfidence,interviewskills,andfindingchildcare.

Neighbourhood projectJobnet@NUCAhelpsunemployedpeopleintoworkthroughalocal,personalisedadviceservicethatisindependentofstatutoryemploymentagencies.Tolinklocalandcity-widevacanciestolocalresidents.TousetheJobnetlocaldrop-incentremodelbuttakingadvantageofNetherthorpeandUpperthorpeCommunityAlliance(NUCA)’sextensivenetworksandrelationshipswithinthelocalcommunityasasourceofclients,trainingopportunities,childcareoptionsetc.

Torino City programmeToidentifythemostproblematicandmarginalisedneighbourhoodsacrossthecity,andsourcefundingfortailoredinterventions.Toinvolveresidentsintargetneighbourhoodsintheplanningandimplementationofprojectsthathaveadistinct‘localdevelopment’orientation.

Neighbourhood projectTocarryoutadetailedareastudywithcommunityconsultantsAvventuraUrbana,initiatedanddrivenbylocalresidents.Toupgradefacadesandpublicspacesaswellasthehousing.Tobringabouteconomicdevelopmentwithinthearea.

Saint Étienne City programmeToimproveconditionsintheareaandimprovethelivesofresidents,ensuringtheywereabletostay,gainsomeofthejobsandenjoybetterconditions.Toreinvestinphysicalconditionstomaketheseneighbourhoodsviableagain.

Neighbourhood projectThemaingoalistoimprovetheneighbourhood’sresidentialappealandtocreateamoremixedcommunity.Topreservetheworking-class,multiculturalcharacteroftheneighbourhood.Todiversifythetypeandqualityofhomesonoffer,andphysicallyupgradetheroads,culturalinfrastructure.Tode-densifytheneighbourhood,throughdemolitionandthe‘aeration’oftheinnercourtyardsofcertainblocks.TointegratethetwoislandsofsocialhousinginSéverineandTarentaizebackintotheurbanfabric.Toregroupmunicipalservicesincludinganemploymentcentreintoasinglebuildingintheneighbourhood.Toimprovequalityoflifethroughworkinschools,publicspacesetc.

Chart 29: Summary of aims at city and neighbourhood level

40

Photo��a-b:Poorestareassuffermost:SaintÉtienne,Tarentaize–decayedneighbourhoodconditionsSource:AstridWinkler,�007

Photo��:Skillsandmarginalcommunities:Sheffield–Jobnet@NUCAdrop-incentre,UpperthorpeSource:AstridWinkler,�007

The aims of the neighbourhood programmes were to integrate marginal communities into the city and to upgrade conditions.

32a. 32b.

33.

City Actions

Sheffield City

AlocalNGOopenedJobnetdrop-incentresin�6high-unemploymentn’hoodsacrossSheffield.

Jobnetengageswithemployersinthecityandcompilesadatabaseofjobofferswithskillrequirements.

Itdevelopedatrainingbrokerageserviceafterrealisingthatmostclientshadnobasicskills.

Neighbourhood

Jobnet@NUCAisacommunity-basedemploymentdrop-incentre.ItisoneofarangeofservicesofferedbythelocaldevelopmenttrustNUCA.

Jobnet@NUCAadvisorsmatchclients’skillsandgoalswithjobslistedonthecentralJobnetdatabase,andhand-holdthemthroughtheapplicationprocess.Advisorsidentifytrainingneedsandbrokertrainingifnecessary.

Advisorsalsodealwith‘pre-job’issuessuchasworriesaroundlossofbenefits,CV-writing,interviewpractice,findinglocalchildcareconfidence-building.

Jobnet@NUCAusesNUCA’sextensivenetworkofrelationshipswithotherinstitutionsandpeopleinthelocalcommunityasasourceofpotential(andpotentiallyhard-to-reach)clients,trainingopportunities,childcareoptionsetc.

Torino City

Thecitydidn’thavethefundstoinvest,socreatedadedicatedNeighbourhoodsUnitwithintheCityCounciltosourcefundingforprojectsanddesign/deliverthem.TheNeighbourhoodsUnitadoptedamulti-disciplinaryapproach.Itformedatop-level,inter-departmentalworkinggrouptotackleproblemsrelatingtoneighbourhoodservicedeliveryinanintegratedway.

Neighbourhood

TheNeighbourhoodsUnitgaveextrafundingfora‘SocialAccompanimentPlan’,whichaddedsocialandeconomicactionalongsidethelargelyphysicalproject.Participativeapproach:theNeighbourhoodsUnitformedlocalworkinggroupsofresidentsandpublicserviceemployeestodesignandco-deliverprogramme.Twolocalworkinggroupsweresetup:firstly,a‘technical’workinggroupmadeupoflocalrepresentativesofallthemunicipaldepartmentsdeliveringservicesinthearea(socialwork,police,educationetc.);secondly,a‘SocialTable’madeupofresidents,associations,tradeunionsandlocalbusinesses.Thesetwogroupscametogethertodiscussprioritiesanddesigntheproject.Alocaldevelopmentagencywassetupbyresidentstodelivertheworkrelatingtosocialandeconomicdevelopment,whilethesocialhousingcompanydeliveredthephysicalimprovements.

Saint Étienne

City

TheANRU/GPVprogrammetargetsfourofthepoorestneighbourhoodsinSaintÉtienne.Althoughthisfundingisusuallyreservedfortheperipheralpostwar-eraestateswhicharetraditionallythelocusofurbanproblemsinFrance,inSaintÉtiennetheconditionsinthecentreweresopoorthatfundinghasbeenextendedtotwocentralneighbourhoodsaswellastwoperipheralestates.Methodsinclude:

• Housingrenewal• Upgradingofopenspacesandfacades• Partialdemolitionofsmallareas• Aidtoprivatelandlordstocarryoutupgradestotheirproperty.

Neighbourhood

TheANRU/GPVprojectinTarentaize-Beaubrun-Séverineislargelyphysical,andspendingisbrokendowntorevealpriorities:• �0%oninfrastructure• �0%onphysicalupgrading(publicspacesandhousing)• 50%onconstructionandrehabilitationofbuildings• Someofthespendinggoesonsocialsupportwithintheareaandhandholdingresidentsthroughthe

rehousingandrenewalprocess.Thecityiscommittedtokeepingthecommunitytogetherbyre-housingpeopleinsitu,andhassetupaRehousingCommissiontotakecareofthis.

Chart 30: Actions at city and neighbourhood level

4�

ACTIONSANDMETHODSAlltheprojectswerebackedbyacity-level

‘HQ’structurepilotingthelocalprojects.

TheSheffieldandTorinoneighbourhood

projectsadaptedinresponsetoground-

levelexperiences.Bothwereverymuch

face-to-faceprojectsandTorino’s

priorities,althoughdrivenbyphysical

investmentlikeSaintÉtienne,were

resident-ledwhereasSaintÉtienne’swere

determinedbyofficials.

SaintÉtiennewascommittedtokeeping

residentsinsitu,havinglearntfromits

experienceofdecantingthemintoouter

estatesandbuildingclumpsofnewsocial

housinginTarentaizeinthe�970s.This

inpracticerequireddetailedface-to-face

dealingtoo.Soallprojectswerefine-grained

andcloselyshapedbyactualareaconditions.

City Local actors involved Impact on the ground

Sheffield OtherNUCAemployees(NUCAhasastaffof�0),eg,FamilySupportWorkerandBMELinkWorker,whoreferhard-to-reachclientsandgivesupport,andVolunteeringCoordinator,whohelpsjob-seekersorganiseworkexperiencethatoftenleadstoajob.

During�007,Jobnet@NUCAregistered6�newclients(ie,job-seekers)

Got��peopleintowork

AcrossthecityJobnetregistered4,800clientsbetween�005and�007,andfoundemploymentfor�,700people(50%ofwhomwerefromSheffield’stenneighbourhoodswiththehighestunemploymentrate,and40%fromBMEcommunities).

Torino Residents,localbusinessowners,theCityCouncil’spublicserviceemployeesworkinginthearea(teachers,police,gardeners,socialworkersetc.)

Theneighbourhood’sLocalDevelopmentAgencyhasbecomeanationalbest-practicemodelforlocalcapacity-buildingandresidentparticipationinthedeliveryofregeneration.

Thephysicalupgradingworkwascompleteasoftheendof�007,andisvisuallyimpressive.Thisincludes:

•Newchildren’splayground

•Newfacadesonallblocks

•Pedestrianisationandgreening

•Attractivenewwalkways

Saint Étienne TheregionallandrecyclingagencyEPORA(inchargeofdemolition).

Theregional‘sociétémixte’SEDL(inchargeofbuyinguppropertiesandcontractingprivatecompaniestocarryouttheworktothem).

TheCityCouncil,whichmanagestheproject,hand-holds,runsconsultations,fundsassociationsandsocialcentres.

Duringtheperiod�00�-�007,theproject:

•bought�40homesinpoorcondition

•rehabilitated�00ofthem

•demolished40

•andisstillworkingon�00.

Itincentivised50landlordstoupgradetheirhomes.

Itupgraded

•fourprimaryschools

•threesmallsquares.

Thetravellercommunitywillbesettledintonewhousingadaptedtotheirneedstotheeastoftheneighbourhood,tobecompletedbytheendof�008.

Chart 31: Outcomes so far

4�

FUNDINGANDORGANISATIONAlltheprojectsinvolvedmajorityfunding

fromoutsidethecity(SaintÉtienne:

centralgovernment,Sheffield:theEU,

Torino:centralgovernment).Thescaleof

investmentwasverybigfortheinvestment

programmeandmuchmoremodestfor

thejobsupport.Fundingwasasfollows:

Sheffield:£�00,000perannum

since~�00�

Torino:€�.65mperannum,�998-�008

SaintÉtienne:€6.9mperannum,

�004-�0��

Thepopulationtheareaprogrammes

coveredrangedfrom�,600residentsin

Torino;9,000residentsinSaintÉtienne;to

��,000residentsinSheffield.

Alltheprojectshaddirectimpactson

theground,albeitonasmalland

incrementalscale.

Chart��showsthemainlocalactorsand

thedirectimpactonthegroundofwhat

theydid.

Astrikingfeatureoftheprojectsisthe

chasmbetweenthelivesofthepeople

livinginsuchpoorareasonsuchlimited

incomesandtheaspirationsandactions

ofthecityleaders,civicandprivate,ona

city-widescale.Manykeylessonsemerge

onhowtobridgethisgap.

Sheffield’sandTorino’sprojectshave

adaptedtofitindividuals’needsona

user-drivenbasis.ForexampleJobnet

integratedatrainingbrokerageservice

intoitsofferassomanyofitsunemployed

clientsrequiredbasictraininginorderto

bejob-ready.InTorinotheViaArquata

localdevelopmentprojectwasresident-

ledanddesignedinresponsetoresidents’

feelingsaboutthedeclineoftheareasand

possiblesolutions.

•

•

•

Anotherimportantlessonwastherole

of‘anchorinstitutionswithintheareas.

Non-statutorymediatorscanplayavital

roleinsocialprojectsandinoutreachto

thoseexcluded.Forexample,Jobnet@

NUCAbecameamediatorbetweenthe

unemployedandthejobmarket,and

wassuccessfulbecauseitsnon-statutory

statusmeantprospectiveclientsweren’t

scaredoflosingtheirbenefits.Itwas

basedwithinamuchbiggercommunity

organisationcalledNUCA.InTorinothe

NeighbourhoodsUnitemployedneutral

non-statutorymediatorscalled‘tutors’

tobridgethegapbetweentheCouncil

staffandresidents.Theprojectshave

alsocreatednewlinksbetweenresidents

withinfragilecommunities.

Photo�4:Environmentalupgrading:Torino–ViaArquata’sContrattodiQuartiereupgradedtheneighbourhoodusingaparticipativeapproach.Thephysicalpartoftheschemeincludedpedestrianisationandcreationofnewwalkingpaths,upgradingoffacades,removalofabandonedcars,andthecreationofaplayground.Source:AstridWinkler,�007

34.

Chart 32: Challenges

City Challenges

Sheffield Mainchallengeisstillsimplyreachingpeople,especiallyinmoreisolatedcommunitieseg,theYemenicommunity(theBMELinkWorkerisabighelpwiththis).

Clientsareoftenscaredaboutlosingtheirbenefits;–Jobnet@NUCAadvisorsdo‘better-off’calculationswiththemtoworkoutwhetherthey’rebetteroffworking.

Torino Gettingthedifferentactors,withdifferentagendas,toworkproductivelytogether–theNeighbourhoodsUnitdevelopedtheideaofanindependent‘tutor’whoranthegroupdiscussionsbetweenresidentsandCouncilstaff.

Saint Étienne

Developingacultureofparticipationwiththeresidents(thereisalotofwill,butlittleexperienceofthisinFrance).

Improvingtheemploymentrateinthearea,widelyrecognisedasthetoughestchallengefacingtheproject.

Rehousingthetravellercommunity.

4�

CHALLENGESThechallengesarehuge,fundingis

precariousandaquestionhangsover

whethertheseprojectsandprogrammes

willbetooshort-livedandtoosmall-

scaletoseethroughthegeneration-long

commitmentinvolvedinturningaround

suchverydifficultproblems.Chart��

showsthemainchallenges.

Thebiggestchallengeisthatthese

projectshavetobelocal,smallscale

andintensiveiftheyaretoreachthe

isolatedandmarginalgroupsleftout

bymorestandardagencies.Yettheir

mostsuccessfulingredientsmake

themvulnerabletofundingcutsfrom

governmentthatseesproblemsona

largerscaleandwantstogeneralise

programmes;andfromcityleaderswho

arelookingfor‘bighits’andcanquickly

tireofthemicro-scaleactionsinvolved.

THEVALUEOFSMALLSCALENEIGHBOURHOODPROJECTSParticipationtakestimeandeffortto

develop–residentcapacity-buildingis

resource-intensivesopluggingintoexisting

localnetworkshasbeenvitalforaccessing

clientsinSheffieldandunderstanding

problemsinTorino.InSaintÉtienneboth

thecommunityassociationsrunning

children’sprogrammesandtherenewal

processitselfshowedhowdetailed

involvementhadtobeifprogrammeswere

tosucceedandhelpexistingresidents.In

Tarentaize,theprogrammeorganisertold

us:‘Wehavetoknockoneverydoorand

helpeveryfamilyunderstandwhatweare

tryingtodo.Thenwehelpthemstayand

getthebenefit.Thisisoneofthepoorest

andoldestareasofSaintÉtienne,dating

backinpartstomedievaltimes.Wereally

wantthecommunitytosurvive.’Inanother

estateinSaintÉtienne,ayouthleader

toldusangrily:‘Itisalwaysthesame,they

justherdresidentsintoblocksandweget

nothing.Thingswillneverimprove,wewill

nevergetjobs’.

QuartierSudEst,wherethisyoungman

lived,wasoneoftheareaswhereviolence

eruptedinOctober�005.Disorderisone

ofthefearsthatdrivesthecommitmentto

integrationamongcityleaders.Theother

sideofthatcoinisthatneighbourhood

integrationisthelifebloodofcityrecovery.

AsSheffield’sChiefExecutiveexplained

tous:‘Weknowourcityisoneofthe

mostdivided.Onlyifwecanintegratethe

deprivedneighbourhoodsintothecity,will

wesucceed.’

Theneighbourhoodprojectsseemvery

importanttothelivesofthevulnerable

peopletheyinvolvedirectly.Thepeople

workingintheprojectsonbehalfofthe

cityorbiggeragencieswithoutexception

showedimagination,understanding,

enterprise,patienceandskillsinbrokering

thedivides,(ethnic,economic,socialand

geographic),betweenthepoorestparts

ofcitiesandtherest.Thiswastheircore

taskandmission.Buttheimpactonwider

conditionswashardtomeasureand

wouldcertainlyspreadovermanyyears

ofeffort.Ontheotherhand,itishardto

seehowwithouttheseefforts,bridges

couldbebuiltbetweenthemostmarginal

communitiesandtherestofthecity.

‘ We know our city is one of the most divided. Only if we can integrate the deprived neighbourhoods into the city, will we succeed.’

Sheffield’s Chief Executive

Leipzighasthelargestgrid-connectedsolarphotovoltaicpowerplantinEurope

Bremenhaspioneeredthefirstcommercialuseofwindforstateoftheartshipping

Bremen and LeipzigformpartoftheFederalplanstocutcarbonemissionsfromallpre-�978existinghomesby80%,atrulypathbreaking,neighbourhoodbasedandjobintensivedevelopment.Theseareexcitingbreakthroughsinthenewcarbonreducedeconomyofthefuture

Belfastisbuildingtheworld’sfirstcommercialtidalturbine

Bilbaoisdrivingapublictransportpolicythataimstocutradicallypeople’srelianceoncars,curbcarbonemissionsandotherpollutants,andreducesprawl

Torinoisbuildinghydrogenbuses

Box showing environmental innovation in the cities

44

haddiverseandadaptableskillsso

thattheycouldfillmorethanoneniche

intheeconomy.

Jobs,skillsandnewopportunitieswere

consideredasmuchsocialaseconomic

challenges.Manysocialproblemswere

stillunresolvedinthecities,particularly

inequality,themarginalisationofsome

groupsandpoorneighbourhood

conditions.�9Onsomefronts,social

instabilityinfamilies,communities,

institutions,andmigrationpatternswere

becomingmoredifficult.40Allthecities

recognisedtheseinteractingproblems

andtheirremedialprogrammesaimedto

helpreducethese.

Environmentalcare,inthewidersense

ofclimatechange,energysaving,waste

recyclingandlimitingdevelopment

impacts,wasthirdinthehierarchyofeffort

bycities.However,morerecentlyithas

beenrapidlyclimbinguptheagendaas

EuropeanGovernmentssettougherand

moreambitioustargets.Severalcities,

usingtheirindustrialandengineering

know-how,arebecomingpioneersofnew

‘environmental’industrieswhichpromise

jobs,resourcesandhighrecognition.

Inspiteofthesebreakthroughsthe

citiestendtoseetheurbanenvironment

intermsofamoreattractiveorless

pollutedsettingforeconomicandsocial

development.Muchofthephysical

investmentwhichdrivestherecovery

ofthesecitiesinvolvesenvironmental

benefitsforlocalcommunities.However

cityrecoverycanalsoprotectwider

environmentalassets,byrecycling

buildingsandmaterials,andreducing

sprawl.Landdecontaminationand

reclamation,waterandairpollution

controls,developinggreenspacesand

treeplanting,neighbourhoodrenovation,

andimprovingpublictransportare

someexamplesofsoundenvironmental

management.4�Maintainingtheurban

environmentmorecarefully,enhancing

publictransportinfrastructureandgiving

prioritytopedestriansovertrafficallmake

citiesmoreattractive,reducingdemand

forsprawlhousingandcaruse.

9.SUSTAINABLECOMMUNITIESANDSUSTAINABLEDEVELOPMENT

Sustainable communities are places that will last into the future without causing harm

now or to future generations.�8 A sustainable community is a place that is lastingly viable

and attractive on three interconnected counts: economic, social and environmental. Do

programmes that expand skills at the bottom of the employment hierarchy and renew poorer

neighbourhoods make communities more sustainable?

Tobesustainable,communitiesmust

haveanactiveeconomywithameans

ofsurvivalforable-bodiedadults.This

meansjobsatdifferentlevelsandskills

totakeupjobopportunities.Thegoalof

theskillsprogrammeswestudiedwas

alwaystocreateorattractsustainable

long-termjobsbutanykindofjobwasthe

coremeasureofsuccessfulrecovery.For

example,Leipzig’s�4hourflightaccess

wasakeydeterminantinAmazonand

DHLlocatingthere,abigjobopportunity

withabigenvironmentalprice.Belfast’s

heavyrelianceontwoairportsandits

poorbutimprovingshippingandrail

connectionsunderlinethedependence

ofanisolatedregiononconnectedness.

Sheffield’sinitialsupportfortheout-of-

townshoppingmallcreatedjobsbut

seriouslydamageditscitycentreretail

andcostthecitycentremanyjobs

andattractions.

Thereisabroadconsensusthat

economicactivityistheraisond’etre

ofcities,totallycentraltotheirsurvival.

Nonetheless,socialandenvironmental

conditionswithincitiesareessentialto

sustainabilitybecausetheyhelptoattract

economicactivity,whichinturnensures

communitysustainabilityandanactive

labourforce.Givenhowmuchthesecities

hadlost,jobsperseweretheprerequisite

ofotherformsofprogress.Whatcity

leadersoftenworriedaboutwaswhether

thejobscreatedweresustainable.Itwas

impossibletopredicthowpermanent

thenewjobswereorhowlonginward

investorswouldremaininthecity.They

mightbecomeembeddedoralternatively

mightmoveonasolderindustrieshad.

Whatreallymatteredwasthatresidents

Physical and environmental: therearemanydifferentpartsofthecitiesthataretargeted,fromthecitycentretoneighbourhoods,andfromlandreclamationtobuildingreinstatement.Theexamplesrangefromfindingnewusesforderelictfactories,andreinstatingunusedportareastocreatingnewpublicattractionssuchasconcerthallsorartcentresoutofoldbuildings.Allcitiesareactiveintheirphysicalenvironmentsandthereareprojectstolearnfrominallthecities.

Economic:thereisanequallystrongrangeofactivities,fromhigh-techinvestmentrelatedtouniversitiesandbusinessstartups,toregion-widetrainingschemesandsmall-scaleservicedevelopment.Theexamplesrangefromtourismtoresearchprogrammes,andfromculturetofinancialandotherprofessionalservices,fromthemostbasichand-holdingintojobstomajorscience-basedinnovations.Allsevencitiesareactiveintheirowneconomicrecovery.

Social:allofthecitieshavesignificantwidersocialproblemsasalegacyofthelossofeconomicactivity.However,inLeipzigandSaintÉtienne,wheretheeconomicshocksandphysicaldeclinehaveprobablybeenthemostsevere,andwhererecoveryisthemostdifficult,physicalandeconomicactivity,inpartshapedbygovernment-ledinitiativesandgovernmentfunding,havetakenpriorityovermorecommunity-orientedapproaches.InterestinglyBelfast,whilebeingsimilarlyaffected,seesitselfashavingnochoicebuttoprioritisecommunitycohesionbecauseofthebittersectarianstrugglesofthelastdecades.Fourofthesevencitieshavelargeimmigrantandminoritycommunities,whereworkingtoadvancesocialcohesionandintegrationisgivenhighpriorityandwherethereareseriousworriesabouttherisksofsocialandethnicpolarisation.

Box showing the actions comprising the three divisions of sustainable development

45

Theenvironmentofcitiesisamajor

determinantoftheirsuccess,theprinciple

mechanismdeployedbythecities

themselvestopreventtheoutwardflow

ofmoreaffluentpopulationsandensure

theinwardflowofinvestors.Asaresult,

environmentalprotectionaroundcities,

asrecentlyagreedinSaintÉtienne4�,and

promotedbyBilbao,willenhancesocial

integrationwithincities.4�Thephysicaland

environmentalrestorationofweakmarket

citiesinevitablyprioritisesrecyclingland

andbuildings,takingacustodialapproach

toneighbourhoodsandpublicspaces,

creatingacompact,denseformwhich

reducesenergyintensiveinfrastructure.

Lookingatthethreemaindivisions

ofsustainabledevelopmentinturn,it

becomesclearthatthecitiesareinfact

adoptingacomprehensive,multi-faceted

approachtolong-termcitysustainability.

Landshortagesandwiderenvironmental

pressuresaugurwellforthefutureofweak

marketcitiesbecausetheirunderused

anddamagedassetsarebeingrevalued

asaresult.Thesecitiesexhibitsomeof

theworstconsequencesofenvironmental

exploitation,yettheirformerassetsnow

offerlargepotentialfuturevalue,both

aspartofarichindustrialheritagethat

isattractingnewinvestment,andas

reclaimedenvironmentsthatcanbe

recycledintonewuses.Thereforethe

potentialofthesecitiestocontributeto

long-termsustainabilityisimmenseastheir

economiesrevaluewhatistherealready.

Photo�5:Upgradingandrenovation:Torino–Upgradinginprogressinarun-downcity-centreneighbourhood,SanSalvarioSource:AstridWinkler,�007

Photo�6:Environmentalpotential:SaintÉtienneisclosetothePilatNationalPark,acovetedassetattractingnewresidentsSource:AstridWinkler,�007

36.

35.

46

Ahands-offurbanpolicyhasbeentestedintwootherverydifferenttypesofweak

marketcitywehaveencounteredthroughthiswork.Bothareworthremembering.

TheAmericanurbanexperienceshowsthatmanyweakmarketcitiesintheUS

arenotyetrecovering,orevenapproachingthepointwheretheymightbegin

torecover.44Americanevidencesuggeststhaturbanconditionsbecomemuch

worsewhenpublicpolicynolongersupportsthemajorinvestmentneededtoset

citiesontheroadtorecovery,followingmajoreconomicandpopulationshocks.

InEasternEurope,achronicshortageoffundinghasreinforcedtheurbanpolicy

vacuumleftbythecollapseofearlierindustrialandurbansystemsunderstrongly

state-drivenregimes.EasternGermanywasshieldedfromtheworstconsequences

ofthisprocessbyintegrationwiththeWest,butstillexperienceddramaticand

suddendeclinenowcounteredbyintenserecoveryefforts.45NonethelessEast

Germancitieshavelostupto�0percentoftheirpopulationinjust�5years.

Theseextremesdonotgenerallyapplytothecitiesexaminedhere,farfromit;theyare

policyandprogrammehot-houses.Sometimesforspecifichistoricandpoliticalreasons,

citiessuchasBelfast,Bilbao,SaintÉtienneandLeipzigfaceparticularlyintensepressures

andproblems,buteachissupportedbyawiderurbanpolicyframeworkthatoffers

strongincentivestoaidtheirrecovery.Thismakesabigdifference.

Ouroverallconclusionisthatthereareoverarchinglinksinthecitiesbetween

social,economic,physicalandenvironmentalneeds.Social problemsaboundas

aresultofeconomiccollapse,andcitiesrespondstronglytothisbytryingtobuild

newskills,createnewjobsandimproveneighbourhoodconditions.Economic

needscreateasenseofurgencyandcityleadersareanxioustoattractnew

investorswithadirectbenefittojobgrowthandskillbuilding.Environmental

needsshowupmostclearlyinthephysicaldecayoflandandbuildingswhose

restorationattractsinwardinvestment,re-valuescitiesandtherebyreducessprawl

building.Physical upgradinghelpssocialintegrationbyholdingontoambitious

residentsandattractingnewworkers.Thissupportsthenewserviceeconomyby

generatingdemandforshops,cafes,entertainment,schoolsandsoon.

Weconcludethatwhileadominantgoalistheeconomyandjobswiththe

associatedrequirementforskillsdevelopment,citiescannotrecoverwithout

restoringtheirurbanenvironmentsandhelpingtheirdisadvantagedpopulations

backintowork.Thethreeelementsofsustainabledevelopmentaretogetherpivotal

totherecoveryofweakmarketcities.

•

•

The seven cities we are studying are struggling to overcome the loss of viability that they did

not expect or plan for. As a result they have a dazzling patchwork of initiatives, programmes and

projects underpinned by not one but several strategies.

Cities cannot recover without restoring their urban environments and helping their disadvantaged populations back into work.

�0.CONCLUSION

}

Turning point

Turning point

Turning point

Monday demonstrationsGDR regime collapses

Disinvestmentin older inner-city housing stock

Monday demonstrationsGDR regime collapses

Construction boom and strategy to become regional trade and banking centre

1st directly elected mayor

Inauguration of New Trade Fair

‘Urban workshop’ discussing future

Lowest population since ~1900

75% of housing refurbished

BMW decides to build new plant

Start of Stadtumbau-Ost programme

Urban Development Plan

Expert commission on housing market

Period of ‘Wild East’ suburbanisation

Bid to host 2012 Olympic Games (lost)Turning point

DHL decides to build European distribution centre

Key moments Negative events Physical key moments Foundation of new agencies, partnershipsKey

1990 1995 2000 2005

Leipzig recovery > important events (since 1990)

Turning pointMost severe crisis period

Special investment programme (ISP)

WiN: Programme for deprived n’hoods

Collapse of AG Weser shipyard

Start of EconomicAction Programme

Decision to develop Technology Park

Lowest post-peak population

Successful constitutional claim: special financial aid enables ISP

Political turning point:formation of new political coalition

Urban Development Plan

Space Park project failed

Met region Bremen officially recognised

1st West German city demolishing housing

Begin of Overseas City redevelopment

Universities labelled ‘centres for excellence’

Collapse of Vulkan shipyard

Key moments Negative events Physical key moments Foundation of new agencies, partnershipsKey

Economicdevelopmentagency B.I.G.

Decision to develop modern Jade-Weser harbour with Lower Saxony

1980 1985 1990 1995 2000 2005

Bremen recovery > important events (since 1980)

47

APPENDICESAnnex�:Timelines

Peak of urban crisis (unemployment, violence)

Turning point

The ‘Troubles’, (since 1969);‘Direct Rule’ (since 1972)

‘Belfast: state of the city’ initiative and Belfast Masterplan

Belfast City Council receives some further remits

Start of special EUprogramme PEACE

End of ‘Direct Rule’; re-installation of Assembly

Paramilitaryceasefires

‘Good Friday’ peace agreement andNorthern Ireland Act

IRA declares end of armed struggle

Start of TitanicQuarter redevelopment

Suspension of Assembly

Key moments Negative events Physical key moments Foundation of new agencies, partnershipsKey

Cannot yet be clearly identified

‘Making Belfast Work’ programme

Victoria Square mall in city centre opened

Creation of LagansideCorporation

1980 1985 1990 1995 2000 2005

Belfast recovery > important events (since 1980)

Major job losses

Economic decline; political radicalism

National Miners’ Strike based in Sheffield

Turning point

New political realism; attempts at partnership

Sheffield Development Corporation (regeneration of the Lower Don Valley)

Supertram

World Student Games

Political turning point: New Labour government; new Chief Executive; new partnership approach

New regenerationfunding

EU Objective 1 funding agreed

City Strategy published

‘Closing the Gap’ neighbourhoodspolicy published

…populationpeak (1951)

Key moments Negative events Physical key moments Foundation of new agencies, partnershipsKey

Sheffield First Partnership

Sheffield One (city-centre regeneration)

Sheffield First for Investment(inward investment)

Creative Sheffield (economicregeneration)

1977 1980 1985 1990 1995 2000 2005

Sheffield recovery > important events (since 1977)

48

Turning point

Strikes, terrorist movement, economic decline Fiat: major job losses

New regeneration funding from local bank foundations

National political corruption scandal; all major political parties disintegrate

Political turning point: first direct election of a new-style mayor; reforms expand mayoral powers

Strategic Plan debated

Urban Masterplan

Fiat Auto announces return to profit

1st leg of new metro opens

Winter Olympics

Strategic Plan published

Populationpeak (1975)

Key moments Negative events Physical key moments Foundation of new agencies, partnershipsKey

Invest in Turin and Piedmont(inwardinvestment)

Neighbourhoods Unit

Torino Wireless ICT district

1970s 1980s 1985 1990 1995 2000 2005

Torino recovery > important events (since late 1970s)

Old city devastated by flood

Spain joins European Community

New sanitation system completed (work since 1984)

ETA agreedcease-fire

Peak of crisis (eg, high unemployment peak, strong population decline

Regional autonomy re-installed– Statute of Autonomy (1979)– Regional elections (1980)– Economic agreement (1981)

Land-use plan for Bilbao (Met area 1994)

Turning point

Metro systeminaugurated

Guggenheiminaugurated

Debate about recovery (‘Master Plan’)

Since 1992: Redevelopment of ‘Oppurtunity Areas’ (eg, Abandoibarra)

Key moments Negative events Physical key moments Foundation of new agencies, partnershipsKey

Spanish cities hosting major events: Barcelona (Olympics), Sevilla (Expo), Madrid (Cultural Capital)

Creation of Bilbao Metrópoli-30

Creation of Bilbao Ría 2000

Creation of Lan Ekintza

System for socio-economicmonitoring started

1980 1985 1990 1995 2000 2005

Bilbao recovery > important events (since 1980)

49

Turning point Cannot yet be clearly identified

Major job losses

Communistadministration

Last mines close

Communists voted out; new centre-right mayor takes control

Urban Masterplan

‘Grand Projet de Ville’ agreement for housing regeneration in 4 neighbourhoods

1st Design Biennale

New tram line opens

National Association forUrban Renewal awardsmajor extra funding toneighbourhoodsregeneration

Political turning point: founding of the Agglomeration Community and harmonisation of business taxes across 43 municipalities

Key moments Negative events Physical key moments Foundation of new agencies, partnershipsKey

Land-recycling agency EPORA

Mayor Thiollière becomes president of the Agglomeration Community and French senator

1977 1980 1985 1990 1995 2000 2005

Manufrance closes

Saint Étienne recovery > important events (since 1977)

50

Cities 1970 1975 1980 1985 1990 1995 2000 2005 2007 Data sources:

Leipzig n/a n/a n/a n/a 8.0 ��.� �8.� ��.7 �9.8 Stat.LandesamtSachsen,BAArbeit

Leipzig(region,NUTS�) n/a n/a n/a n/a �9.� Eurostat

EastGermany n/a n/a n/a n/a �0.� �4.9 �8.8 �0.� Stat.Bundesamt,BAArbeit

Germany(since�990) n/a n/a n/a n/a 8.5 �0.4 �0.7 ��.7 Stat.Bundesamt,BAArbeit

Bremen 0.7 4.� 5.� �5.0 ��.� ��.0 ��.5 ��.� Stat.LandesamtBremen

WestGermany 0.7 4.7 �.8 9.� 7.� 9.� 8.7 9.4 Stat.Bundesamt,BAArbeit

Germany(since�990) n/a n/a n/a n/a 8.5 �0.4 �0.7 ��.7 Stat.Bundesamt,BAArbeit

Sheffield �.5 ��.5 �8.5 ��.0 9.0 5.5 ONS,ILO

SouthYorkshire(region) 4.8 Eurostat

YorkshireandHumber(larger

region) 4.0 5.5 7.� ��.0 6.7 8.7 5.0 5.� ONS

UK 4.0 4.� 6.� ��.4 6.9 8.8 5.6 5.4 5.5 ONS

Belfast 5.4 8.� ��.9 �0.8 5.4 4.5 NISRA

NorthernIreland 5.7 5.5 9.4 �6.0 �4.0 ��.8 4.� 5.6 NISRA,DFP

UK 4.0 4.� 6.� ��.4 6.9 8.8 5.6 5.4 5.5 ONS

Bilbao �.� �.� �8.0 �5.7 �4.0 ��.� �5.� �0.6 Eustat

Bizkaia �.0 �.� �6.7 ��.� �8.8 �5.4 �6.9 7.4 4.� Eustat

Euskadi �.6 �.0 �5.6 ��.� �6.� ��.8 ��.7 5.7 �.4 Eustat

Spain �.0 �.0 �0.0 ��.0 �6.� ��.7 ��.9 �0.9 8.5INE;Min.deTrabajoyAsuntosSociales

Torino �0.� �4.� 7.9 6.� ISTAT

Piemonte 6.0 9.5 7.5 8.� 6.� 5.� ISTAT

Italy 5.4 5.9 8.4 �0.6 ��.0 ��.� �0.6 8.0 ISTAT

Saint Étienne ��.6 9.4 ��.4 ��.6 9.0 INSEE

Rhône-Alpes 8.6 8.� ��.5 8.6 7.5 INSEE

France �.9 4.8 7.0 �0.6 9.6 ��.6 ��.9 9.8 INSEE

Unemployment rates, 1970-2005

Notes:

�)NodataforformerEastGermany(andthereforeLeipzig)available;dataavailablefrom�990onwards(afterreunification)

�)Inseveralcasesthefiguresapplyfortheyearclosesttotheindicateddate(commentsinoriginalexcelfile)

�)Initalics:estimates,orvariationbetweendifferentsource

5�

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Population (total and change), 1970-2005

DataSources:

Leipzig: StadtLeipzig,Stat.LandesamtSachsen

Bremen: Stat.LandesamtBremen

Sheffield: ONS

Belfast: NISRA

Bilbao: Eustat

Torino: ISTAT

SaintÉtienne: INSEE

City

Population (absolute) Population change (over period) (%)

�970-�005 �970 �980 �990 �000 �005

�970- �980

�980- �990

�990- �000

�000- �005

Leipzig 594,�00 566,000 560,�87 49�,05� 498,49� -4.7� -0.99 -��.0� �.�0 -�6.09

Bremen 58�,�77 555,��8 55�,��9 540,950 545,869 -4.66 -0.70 -�.86 0.9� -6.�5

Sheffield 57�,794 5�0,844 5�8,708 5��,��4 5�0,700 -7.�� -0.40 -�.9� �.45 -9.09

Belfast 4�6,679 �97,98� �94,580 �80,054 �68,978 -�8.49 -�.�4 -4.9� -�.95 -�5.45

Bilbao 4�0,490 4��,0�0 �7�,054 �49,97� �5�,�7� 5.49 -�4.08 -5.94 0.9� -��.96

Torino �,�67,968 �,��7,�54 96�,507 865,�6� 867,857 -4.�5 -��.84 -�0.�0 0.�0 -�5.70

Saint Étienne ���,��� �04,955 �99,�96 �80,��0 �76,800 -8.�8 -�.7� -9.6� -�.89 -�0.80

5�

54

1 Thompson,FML(ed)(�990)The Cambridge Social History of Britain, 1750-1950,vol�,PeopleandTheirEnvironment,Cambridge:CambridgeUniversityPress.

2 Briggs,A(�968)Victorian Cities, Harmondsworth,PenguinBooks;Power,A(�99�)Hovels to High Rise: State housing in Europe since 1850,London:Routledge.

3 Cairncross,F(�99�)Costing the Earth,London:BusinessBooks.

4 OfficeoftheDeputyPrimeMinister(ODPM)(�004)Competitive European Cities: Where do the Core Cities stand?,ParkinsonReport,London:ODPM.

5 Katz,B(�004)Brookings Institution – supporting papers for WMC proposal to the Joseph Rowntree Foundation,December�004.

6 DepartmentforEnvironment,FoodandRuralAffairs(DEFRA)(�006)Securing the future; World Commission on Environment and Development (WCED),�987,BrundtlandReportonOurCommonFuture.

7 Plöger,J(�007)BelfastCityReportCASEreport44:London:LSE,CASE;Plöger,J(�007)BilbaoCityReportCASEreport4�:London:LSE,CASE;Plöger,J(�007)BremenCityReportCASEreport�9:London:LSE,CASE;Plöger,J(�007)LeipzigCityReportCASEreport4�:London:LSE,CASE;Winkler,A(�007)SaintÉtienneCityReportCASEreport40:London:LSE,CASE;Winkler,A(�007)SheffieldCityReportCASEreport45:London:LSE,CASE;Winkler,A(�007)TorinoCityReportCASEreport4�:London:LSE,CASE

8 Dunleavy,P(�98�)Politics of Mass Housing in Britain 1945-1975: A Study of Corporate Power and Professional Influence in the Welfare State,NewYork:OxfordUniversityPress.

9 JosephRowntreeFoundation(JRF)(�995)Income and Wealth: Report of the JRF Inquiry Group.

10 Bourdieu,Petal(�999)The weight of the world: social suffering in contemporary society,Cambridge:PolityPress.

11 LocalGovernment,PlanningandLandAct�980establishedUrbanDevelopmentCorporations(UDCs);DETR(�999)Towards an Urban Renaissance,FinalReportoftheUrbanTaskForce,London:StationaryOffice.

12 Seewww.sticerd.lse.ac.uk/case/_new/publications/series.asp?prog=CR

13 TheCompagniadiSanPaolohadassetsof€5.7billionin�00�,makingitEurope’s4thbiggestfoundationintermsofassets.Source:GlobalAssetStudy�00�,accessedon�0.��.06atwww.watsonwyatt.com/europe/pubs/globalinvestment/render2.asp?id=14269

14 ODPM(�004)Competitive European Cities: Where do the Core Cities stand?,ParkinsonReport,London:ODPM;CentreforUrbanandRegionalDevelopmentStudies(CURDS)(�999)Core Cities: Key Centres for Regeneration,SynthesisReport,NewcastleUponTyne:CURDS;CURDS(�999)Core Cities: Key Centres for Regeneration,FinalReport,NewcastleUponTyne:CURDS.

15 Power,AandMumford,K(�999)The Slow Death of Great Cities? Urban Abandonment or Urban Renaissance,York:YorkPublishing.

16 EuropeanCommission/Directorate-GeneralforRegionalPolicy(�005)Urban Audit 2005, Key indicators on living conditions in European Cities,Brussels:EU.

17 EvidenceinPower,A(�007)City Survivors: Bringing Up Children in Disadvantaged Neighbourhoods,Bristol:ThePolicyPress.

18 ShrinkingCitiesprogrammewww.shrinkingcities.com/

19 EuropeanUnionleadersagreedabindingtargetontheuseofrenewableenergy–�0%by�0�0.March�007.Seewww.news.bbc.co.uk/1/hi/world/europe/6433503.stm

20 EvidencefromBrookingsInstitutionssuggeststhatUScitiesarealreadyleadingthewayinthis.

USConferenceofMayorswww.usmayors.org/climateprotection/;ClintonFoundation–InternationalClintonClimateInitiativewww.c40cities.org/;Gore,A(�007)TheAssaultonReason:HowthePoliticsofBlindFaithSubvertWiseDecision-making,London:BloomsburyPublishingPLC.

ManchesterandNewcastlehavedeclaredtheirintentiontobecome‘environmentalleaders’inthefield–seewww.manchesterismyplanet.com;www.manchestergreencity.co.uk/ site/images/stories/greening %20manchester.pdf;www.manchester.gov.uk/local democracy/committees/physenv/previous/1212/report01.pdf

21 EuropeanCommission/Directorate-GeneralforRegionalPolicy(�006)Cities and the Lisbon Agenda: Assessing the Performance of Cities,Brussels:EU.Thisreportcontainsasectionentitled‘Citiesasenginesofregionaldevelopment’(p6).

22 DETR(�999)ibid;Power,AandHoughton,J(�007)Jigsaw Cities: Big Places, Small Spaces,Bristol:PolicyPress;ShrinkingCitiesprogrammewww.shrinkingcities.com/

23 LuxembourgPresidencyConferenceonTaking Forward the EU Social Inclusion Process,LuxembourgCity,��-�4June�005.

24 Reader,J(�005)Cities,London:Vintage.

25 ODPM(�004)ibid.

26 VisittoSheffieldbyAmericanCityReformers,September�006.

27 DevelopmentTrustAssociationAnnualConference,Glasgow,�006.

28 Power,AandHoughton,J(�007)ibid;DETR(�999)ibid.

29 NorthernWay(�006)Sheffield City Region Development Programme,accessedon09.0�.07atwww.thenorthernway.co.uk/downloaddoc.asp?id=277;EPURES(�006)SchémadeCohérenceSchémadecohérenceterritoriale(SCoT),SudLoire,RapportdePrésentation:Synthèse,SaintÉtienne:EPURES.

30 CityReformersGroupmeetingatLSE,September�006.

31 Dorling,D(�007)InformalcommunicationonSheffield’seconomicrecovery.

32 KnightFrankLLP(�005)SheffieldCentralAreaActivityReport,Autumn�005,accessedon�9.��.06atwww.knightfrank.com/ResearchReportDirPhase2/10740.pdf

33 BelfastCityCouncil(�004)Belfast: State of the City Report.

34 TheAcademyforSustainableCommunities(ASC)fundedthisresearchandsupportedtheproductionof5casestudieswhichareavailableathttp://sticerd.lse.ac.uk/case/_new/research/weakmarketcities/default.asp

35 Winkler,AH(�007)Academy for Sustainable Communities Case Study: Sheffield Construction Job Match,London:LSE.

36 Lupton,R(�00�)PovertyStreet:The Dynamics of Neighbourhood Decline and Renewal,Bristol:ThePolicyPress.

Endnotes

55

37 Power,A(�998)Estates on the Edge: Social Consequences of Mass Housing in Northern Europe,London:PalgraveMacmillan.

38 WorldCommissiononEnvironmentandDevelopment(WCED)(�987)ibid.;Power,A(�007)ibid.

39 Power,A.(�007)ibid.

40 Power,A(�007)City Survivors: Bringing Up Children in Disadvantaged Neighbourhoods,Bristol:ThePolicyPress.

41 RoyalCommissiononEnvironmentalPollution(RCEP)(�007)The Urban Environment,�6thReport.

42 Epures(�006)Schéma de Cohérence Schéma de cohérence territoriale (SCoT) Sud Loire,RapportdePrésentation:Synthèse,www.scot-sudloire.fr/ pages/parutions/rapportpres/SYNTHESE-72dpi.pdf

43 SeeUnitedNationsEnvironmentProgrammeWorldConservationMonitoringCentre(UNEP-WCMC);‘EnvironmentontheEdge�005-06lectureseries’,NewHall,SaintEdmundsCollege,Cambridge,UK.

44 TheBrookingsInstitutionMetropolitanPolicyProgramme(�007)Restoring Prosperity: The State Role in Revitalizing America’s Older Industrial Cities,WashingtonDC:TheBrookingsInstitution;TheAmericanAssemblyRetoolingforGrowth:buildinga��stcenturyeconomyinAmerica’solderindustrialareas,The�06thAmericanAssemblyNov8-���007,TheHotelHershey,PA,NewYork:TheAmericanAssembly.

45 Plöger,J.(�007)Leipzig city report.London:LSE;Leipzig-HalleUrbanAgeGermanCitiesConference,9/�0May�006.

56

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