Cambridge’s economy is expected to have a strong 2020 with a new business study published today by Irwin Mitchell, predicting that employment growth in the city will be the second fastest in the UK by the end of the year.
New economic report highlights strong year for Cambridge
According to the law firm’s latest UK Powerhouse study, Cambridge is expected to see a year-on-year increase in job creation of 2.1% taking total headcount to 140,400.
In this latest study, which has been produced by the Centre for Economics & Business Research (Cebr), GVA* growth in Q4 2020 has been compared with growth in Q3 2019.
Between these two quarters, GVA growth is expected to slow for nearly all cities including Cambridge, with the year-on-year growth rate falling from 1.7% in Q3 2019 to 1.2% in Q4 2020.
The average annual growth rate across the 46 cities in the study was 1.2% in Q3 2019, but is expected to be just 0.9% in Q4 2020.
Commenting on the latest report, Neil Whiteley, regional managing partner at Irwin Mitchell’s Cambridge office, said: “Although most cities will see a slowing of growth in the coming quarters, there are clusters of activity and opportunity, as shown in this report. Cambridge has been incredibly resilient in the face of Brexit-related uncertainty and a global economic slowdown, and this is reflected by the stronger than average output growth rates and figures for employment.”
All Powerhouse forecasts in this report utilise Cebr’s central Brexit scenario. Cebr’s central forecasts are based on the assumption that the UK will reach an agreement with the EU and that a transitional arrangement will be put in place. On the immigration policy, we rely on the lower immigration population estimates assuming that a visa system will be implemented for EU nationals, but that the requirements (e.g. the minimum salary, the NHS surcharge payment, the application fees, etc.) would be more relaxed than they currently are for non-EU nationals requiring a visa.
About Irwin Mitchell
Irwin Mitchell provides legal and financial services to businesses and individuals operating from 15 locations across the UK.
The firm is ranked as a market-leading legal services firm in the independent Legal 500 and Chambers UK guides to UK law with over 250 lawyers personally recommended.
Irwin Mitchell Scotland LLP is a separate Scottish legal practice regulated by the Law Society of Scotland and has an office in Glasgow.
For more information visit www.irwinmitchell.com