Between Economic Competitiveness and Social Inclusion: New Labour and the Economic Revival of Deprived Neighbourhoods

Following the election of the first New Labour government in 1997 the revitalisation of deprived neighbourhoods quickly became a central feature of the policy landscape. Motivated by the desire to tackle processes of social exclusion and find a new economic basis for these areas, an array of policy experiments and interventions emerged. An increasing focus of these was to improve the economic conditions of deprived neighbourhoods with a particular emphasis upon tackling worklessness and promoting entrepreneurial activity. Yet despite this sustained activity, 13 years later the gap between the poorest neighbourhoods and the rest persisted. This paper reflects critically upon the development of this policy agenda, its aims, outcomes and effectiveness, and identifies the factors that constrained its ability to transform the economic fortunes of England's most deprived neighbourhoods.