Deprivation in the north of England is falling faster than in the traditionally more prosperous south, new government figures have revealed.

Analysis of the 2007 indices of multiple deprivation (IMD) for New Start by Oxford Consultants for Social Inclusion (OCSI) showed a drop in the number of areas across the north featuring in the list of England’s most deprived neighbourhoods since the last figures in 2004.

The statistics were released by the government alongside details of council funding for the next three years.

Yorkshire and the Humber had 7.1% fewer super output areas, as the measurement zones are called, in the most deprived fifth, while there were drops of 10.3% in the northeast and 2.8% in the northwest.

In contrast, all the southern regions had more neighbourhoods in the most deprived fifth with the east going up by 1.4%, London by 7.2%, the southeast by 17.3% and southwest by 7.9%.
The picture for the midlands was mixed with an overall improvement in the east midlands but an increase in areas falling into the most deprived for the west midlands.

Some movements at local authority level also backed up this trend with Gateshead, Newcastle, North Tyneside and Stockton-on-Tees also seeing large falls in deprivation when compared with other English authorities while Barnet, Barking and Waltham Forest in London saw significant increases.

However, despite signs of recovery, OCSI said overall levels of deprivation in the north were still well above the national average. And almost all districts which fell into the 50 most deprived on one or more measurement in 2004 were still there in 2007.

The indices are used to help decide which boroughs get money from the new working neighbourhoods fund (WNF), which replaces the neighbourhood renewal fund (NRF) from next year.

A total of 21 authorities which previously got NRF do not meet the criteria for the new fund, which is focused on tackling worklessness, and their funding will reduce over the first two years and stop in 2010/11.

London will lose £26m in 2010/11, according to London Councils, even though the capital has the lowest employment rate of the English regions. The fund focuses on concentrations of poverty which puts boroughs with pockets of affluence and deprivation close to each other at a disadvantage, it said.

Derrick Johnston, director of economic development consultancy Educe, said councils such as West Somerset and Copeland which had not qualified for NRF money would receive support through WNF.

He said targets for reducing worklessness, which will be rewarded with money from government, should be set carefully to avoid penalising areas where people moved out once they got into work and were replaced by other people on benefits.

Reflecting on the IMD figures, OCSI managing director Tom Smith said employment growth in the north could have helped to reduce deprivation. ‘Employment and worklessness is such a big driver in the indices it would have a big impact on the figures.’

by Chloe Stothart
news@newstartmag.co.uk