Beyond Preston: How local wealth building is taking the UK by storm

Preston Bus Station. Image: Getty.

The Preston Model, which has seen the Lancashire town rise from the bottom 20 per cent of the deprivation index to be named the UK’s most improved city, has become the poster child for an insurgent economic approach known as “local wealth building”. This uses the levers of the local state to reorganise the economy away from neoliberalism and towards local economies rooted in social, economic and environmental justice.

While the programme’s success in Preston is obvious from the widespread interest it has received among policy makers, politicians and commentators, local wealth building is also being explored elsewhere to confront economic failure, social hardship, wealth extraction and environmental degradation. 

In Manchester, the programme first began in 2008, pioneered by the Centre for Local Economic Strategies (CLES) and Manchester City Council. Together they grew the number of organisations based in the city that were competing and winning contracts from the city government by 50 per cent. 

From this early work on procurement, local wealth building initiatives began to focus on the idea of “predistribution”, a counterpoint to the redistributive policies, such as ”inclusive growth”, a current zeitgeist among policy makers that advocates a weak form of redistributing wealth through taxes and benefits after the fact of its creation. Local wealth building instead aims to construct an inclusive economy where wealth is generated by and for all citizens. In doing so, it slays the neoliberal dragon of trickle-down economics and rebuilds wealth from the bottom-up rather than the top-down.

To achieve this, local wealth building follows a model based on “anchor institutions”, where local businesses and socially-focused enterprises outside the local area compete for commercial contracts from institutions such as housing organisations, universities, schools and hospitals. These institutions hold a unique position in the local economy, as they employ people, buy things, hold property and assets and are unlikely to relocate from the local area. 

The Preston Model is a welcome indication that this anchor approach can work. But in places beyond Preston, this agenda has taken diverse forms; what unites these places is five central principles. These are:

  • Plural ownership of the economy – deepening the relationship between the production of wealth and those who benefit from it. This means returning public services to direct democratic control by insourcing public goods and services. It’s also about developing cooperatives and locally owned or socially focussed enterprises in the public and commercial economy.
  • Making financial power work for local places – increasing flows of investment within local economies by, for example, directing the funds from local authority pensions away from global markets and towards local schemes and community-owned banks and credit unions.
  • Fair employment and just labour markets – working within large anchor institutions and their human resource departments to pay the living wage, adopt inclusive employment practices, recruit from lower income areas, build secure progression routes for workers and ensure union recognition.
  • Progressive procurement of goods and services – developing a dense local supply chain of local enterprises, employee-owned businesses, social enterprises, cooperatives and other forms of social ownership that can provide goods and services to large local anchor organisations.
  • Socially productive use of land and property – ensuring that local assets including those held by anchor organisations are owned, managed and developed equitably, so that local communities can harness any financial gain from these assets.

This movement is growing rapidly; CLES is working with Gateshead, Sunderland, Darlington, Hartlepool, Wakefield, Leeds, Calderdale, Kirklees, Oldham, Wigan, Salford, Birmingham, Lewisham, Wirral and Southampton to adopt local wealth building initiatives involving a range of anchors.


In London, Islington is deepening its progressive procurement practices and examining ways to tackle the rentier economy and speculative land and property ownership. In Gateshead, the council has a longstanding process of insourcing. In Wales the first Minister has made a commitment to ensure a programme of local wealth building, and in Scotland, local government is establishing a pilot linking local wealth building to a growth deal. Elsewhere, the NHS has adopted the anchor approach as part of its long term plan.

In the coming years as this movement becomes more embedded in regions across the UK, the “Gateshead model” or the “Wirral model” should achieve as much attention as the pioneers of Preston. The Labour Party has established a community wealth building unit and the ongoing work of the government’s inclusive economic partnership magnifies the local wealth building agenda. In the age of experiments, the lessons of Preston, Gateshead, Islington and elsewhere must become a new mainstream for all forms of local economic development.

Jonty Leibowitz is a researcher and Neil McInroy is the chief executive at the Centre for Local Economic Strategies (CLES), the think and do tank working on progressive economics for people and places. 

 
 
 
 

“You don’t look like a train buff”: on sexism in the trainspotting community

A female guard on London’s former Metropolitan Railway. Image: Getty.

I am a railway enthusiast. I like looking at trains, I like travelling by train and I like the quirks of the vast number of different train units, transit maps and train operating companies.

I get goosebumps standing on a platform watching my train approach, eyeballing the names of the destinations on the dot matrix display over and over again, straining to hear the tinny departure announcements on the tannoy.  I’m fortunate enough to work on the site of a former railway station that not only houses beautiful old goods sheds, but still has an active railway line running alongside it. You can imagine my colleagues’ elation as I exclaim: “Wow! Look at that one!” for the sixth time that day, as another brilliantly gaudy freight train trundles past.

I am also a woman in my twenties. A few weeks my request to join a railway-related Facebook group was declined because I – and I quote here – “don’t look like a train buff”.

After posting about this exchange on Twitter, my outrage was widely shared. “They should be thrilled to have you!” said one. “What does a train buff look like?!” many others asked.

The answer, of course, is a middle-aged white man with an anorak and notebook. Supposedly, anyway. That’s the ancient stereotype of a “trainspotter”, which sadly shows no sign of waning.

I’m not alone in feeling marginalised in the railway community. Sarah, a railway enthusiast from Bournemouth, says she is used to funny looks when she tells people that she is not only into trains, but an engineer.

She speaks of her annoyance at seeing a poster bearing the phrase: “Beware Rail Enthusiasts Disease: Highly Infectious To Males Of All Ages”. “That did bug me,” she says, “because women can enjoy trains just as much as men.”


Vicki Pipe is best known as being one half of the YouTube sensation All The Stations, which saw her and her partner Geoff Marshall spend 2017 visiting every railway station in Great Britain.

“During our 2017 adventure I was often asked ‘How did your boyfriend persuade you to come along?’” she says. “I think some found it unusual that a woman might be independently interested or excited enough about the railways to spend sixteen weeks travelling to every station on the network.”

Pipe, who earlier this year travelled to all the stations in Ireland and Northern Ireland, is passionate about changing the way in which people think of the railways, including the perception of women in the industry.

“For me it’s the people that make the railways such an exciting place to explore – and many of these are women,” she explains. “Women have historically and continue to play an important part in the railway industry – throughout our journey we met female train drivers, conductors, station staff, signallers and engineers. I feel it is important that more female voices are heard so that women of the future recognise the railways as a place they too can be part of.”

Despite the progress being made, it’s clear there is still a long way to go in challenging stereotypes and proving that girls can like trains, too.

I’m appalled that in 2019 our life choices are still subjected to critique. This is why I want to encourage women to embrace their interests and aspirations – however “nerdy”, or unusual, or untraditionally “female” they may be – and to speak up for things that I was worried to speak about for so long.

We might not change the world by doing so but, one by one, we’ll let others know that we’ll do what we want – because we can.