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Bristol's economy in good position

07 October 2009

Bristol is well-placed to recover from the recession, say the region's leading economists.

Research by economists from the South West RDA and the South West Observatory shows that although the city has suffered in the short term because of its dependence on financial services and specialised engineering, in future these sectors are predicted to grow.

The research also shows that nearly 10 per cent of the city's population is self-employed, suggesting a relatively high level of entrepreneurship.

The report - the South West Regional Economic Profile - has focused on Bristol, Plymouth and Cornwall to assess the underlying structure of the economy and to see how those areas have fared during the downturn. Figures show that Cornwall has so far been relatively immune to the impact of the recession, but this may also imply a relative immunity to recovery. Plymouth's labour market was in a comparatively weak position before the downturn, and the situation has worsened further within the last year. The publication indicates that the rise in unemployment across the South West has still some way to go.

Eleanor Field, senior economist at the South West RDA, said: "It's been a painful time for Bristol of late, and although the city is highly productive in certain areas there are still pockets of deprivation which indicate those benefits are not trickling down to all parts of the community. But the signs are good for Bristol's recovery, and before the financial crisis the city had enjoyed a long period of growth. Our research shows that its strengths in the longer term should largely outweigh its short-term difficulties, and it also tells us where bodies like the RDA can most usefully play a role."

The South West Regional Economic Profile is published twice a year by the South West Observatory and the South West RDA.

For more information about the current economic climate in South West England, please call the press team to arrange an interview with Eleanor Field.

Ends

Notes to editors

1. The South West RDA leads the development of a sustainable economy, investing to unlock the region's business potential. It is helping companies respond to the economic crisis and charts a course for recovery. The RDA is developing or expanding initiatives which include: establishing a Business Loan Fund, coordinating the response to large companies in difficulty and preparing for economic recovery.

2. The Business and Economy Module of the SW Observatory provides a dynamic source of economic and business research and intelligence, with comprehensive data and analysis to support regional development and evidence based decision making. To improve the availability of regional data, the Business and Economy Module has developed a set of Regional Accounts which are freely available to all.

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