Exeter and Bristol economies among top-performing in…

Exeter and Bristol economies among top-performing in the UK

Exeter's economy grew faster than anywhere else in the South West of England in the second quarter of 2019, a new report has revealed.

The city saw year-on-year GVA growth of 1.6 per cent in Q2 - ranking it in 7th place overall in the UK - according to the UK Powerhouse report by Irwin Mitchell and the Centre for Economic and Business Research (Cebr).

Meanwhile, Bristol was ranked 11th in the country with year-on-year GVA growth of 1.4 per cent in Q2. The city is set to grow by 17.2 per cent over the next decade, with employment rising by 8.6 per cent over the same period.

Bristol, with its highly skilled workforce, was found to be a hotspot for investment while the professional services sector continues to attract new businesses.

The report also included a ‘ Brexit Disruption Index’ which analysed the industrial sectors most affected after the UK leaves the EU .

It bases its predictions by analysing the change to three key indicators – the free movement of labour, tariffs on exports to the EU and investment into the UK from the EU – and assumes that a deal will eventually be agreed.

The manufacturing industry will face more disruption as a result of Brexit than any other sector, according to the study.

The sector has an index score of 90 per cent and the report says that even if a deal is secured the industry will contract by 0.8 per cent in 2020 – down from a fall of 0.5 per cent this year.

The index found that better-performing sectors such as real estate, education and mining are less exposed to trade and investment from the rest of the EU, which will offer some protection against wider disturbance after Brexit.

Marina Mensah-Afoakwah, senior economist at Cebr, said: “With or without a deal, Brexit is set to be disruptive to the economy , at least in the short term, with varying levels of disorder expected across the different sectors in the UK.”