Northern Ireland Chamber of Commerce and Industry Ambition Magazine

Greg Boyd Economist at PwC Northern Ireland Columnist

Growing for the Future

P wC’s Good Growth for Cities report ranks cities across the UK based on their performance in areas that matter most to the public, ranging from jobs and incomes to environmental sustainability. Belfast has performed well in the latest report, positioned 14th among 50 UK cities, showing resilience in the challenging economic environment of recent years. This ranking not only highlights the city’s strengths but also gives us an idea of the big areas of opportunity for improvement, particularly in skills development and entrepreneurship. On home turf, Belfast has strong scores in work-life balance and commuting times, which might help explain why official statistics rank Northern Ireland as the happiest part of the UK. The city’s work-life balance, characterised by a lower percentage of the workforce engaging in long hours compared to national averages, points to a more flexible working environment. This balance isn’t merely a statistic – it’s an opportunity to attract and retain talent, particularly students who are choosing the city for their studies. While Belfast also scores well for having a low rate of unemployment, this masks a more complex challenge of economic inactivity, exacerbated by long-term illness and disability. This has negatively impacted health outcomes, with the city recording the lowest life expectancy in Northern Ireland. Addressing these issues requires a holistic approach, merging improved healthcare access with initiatives targeting economic inclusion for inactive demographics. By dismantling barriers

to employment and improving health outcomes, the city can not only uplift individual livelihoods but also fortify its economic resilience. Education and skills remain at the heart of Belfast’s growth strategy. While the city’s young demographic has impressive skills, the skills of those aged over 25 lags behind the UK average. Encouragingly, efforts to embed a skills-first mentality are already bearing fruit. This focus on education is pivotal in ensuring a pipeline of talent ready to enable productivity-led growth for the city. The city’s housing landscape, historically seen as more affordable than other UK cities, is experiencing shifts as house price growth outpaces earnings. This dynamic threatens homeownership prospects, especially for younger residents. This is exacerbated by a tightening rental market that places further pressure on those unable to buy. Business start-up performance remains an area requiring attention. Barriers to starting a business need to be addressed, alongside developing pathways to enable our local businesses to scale globally. Alongside this, revitalisation of Belfast’s high streets is another work in progress. While the pandemic accelerated retail shifts, initiatives like Vacant to Vibrant are beginning to inject life into empty spaces, fostering a more diverse, sustainable city centre. In essence, Belfast’s journey is one of transformation and adaptation. By investing in people and infrastructure, the city can carve a prosperous path forward, maintaining and enhancing its standing as an engine for growth.

“On home turf, Belfast has strong scores in work life balance and commuting times, which might help explain why official statistics rank Northern Ireland as the happiest part of the UK. The city’s work-life balance, characterised by a lower percentage of the workforce engaging in long hours compared to national averages, points to a more flexible working environment.”

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