Research Reports

Grant Thornton: Place-Based Recovery

This report looks into county economies in the immediate aftermath of the pandemic, arguing that Covid-19 has intensified exisiting regional inequalities and vulnerabilities.

04 August 2020
Grant Thornton: Place-Based Recovery
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This report, produced by Grant Thornton and commissioned by the County Councils Network (CCN) concludes that county authorities are critical to delivering a place‑based economic recovery following Covid‑19 and to advancing the government’s levelling‑up agenda. It argues that the pandemic has intensified existing economic inequalities, particularly in county areas that contain a large share of England’s population, workforce and economic activity but face distinct structural vulnerabilities. The CCN highlights how Covid‑19 has reshaped, accelerating trends such as home working, localisation of economic activity and demand for greener growth. These shifts create both risks and opportunities for county economies, particularly in relation to reimagining town centres, expanding domestic tourism, supporting new growth sectors and accelerating the transition to net zero. The analysis shows that county areas are disproportionately exposed to the economic shock from COVID‑19 due to their sectoral mix, ageing populations, skills gaps and infrastructure deficits. Impacts vary significantly within counties, reinforcing the need for recovery strategies that operate at scale while being sensitive to local variation. The report concludes that county authorities are best placed to act as convenors, facilitators and strategic leaders of recovery. However, to maximise their impact, they require streamlined funding, stronger devolved powers, clearer strategic planning roles and the capacity to coordinate delivery across partners and geographies. Key findings from the report include: 5.9m people in county areas work in the most ‘at risk’ sectors (53.4% of employment) 34 of 36 counties face economic output declines greater than the England average County areas face an average GVA decline of around 14.9%, higher than London and Core Cities Nearly half of all furloughed employees in England were in county areas County areas have higher proportions of older residents, lower skills levels and lower average earnings Recommendations to government include: Target recovery investment at place‑based vulnerabilities to narrow spatial inequalities Streamline, simplify and devolve funding to enable faster local delivery Devolve powers and budgets to support a green, long‑term recovery Ensure any reorganisation supports the right economic scale for growth Align skills provision with emerging economic opportunities Establish county‑wide Growth Boards to lead recovery Strengthen strategic planning and infrastructure investment in non‑metropolitan areas

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Economic Growth
Transport and Infrastructure