Winner-takes-all urbanism and superstar cities: on Richard Florida’s “New Urban Crisis”

Richard Florida speaking in 2011. Image: Getty.

The city, the late political theorist Benjamin Barber argued in his 2013 book If Mayors Ruled The World, would be our salvation: while nations concerned themselves with sovereignty, wars, and other forms of political dick-waving, it would be cities that would have to address global problems such as climate change.

There was, though, a slight kink in this argument: a big reason cities were best placed to reduce emissions was because cities were producing most of them. The city, as Barber himself acknowledged, has always been an ambiguous and contradictory idea – representing, on the one hand, civilisation, opportunity and freedom; on the other, decadence, poverty, isolation. There’s little point trying to work out which view is correct, since clearly both are. The true meaning of the city is simply a matter of taste.

It’s another contradiction that’s at the heart of The New Urban Crisis, the latest manifesto from Richard Florida, an American  urbanist and guru of the “creative city” approach to urban regeneration. Cities now house around 55 per cent of the world’s population; the most successful – London, New York, San Francisco – are today as sought after as ever, sources of growth, innovation and cultural vibrancy.

So used are we to this state of affairs that it’s easy to forget how big and how recent a turnaround this is. Just a generation ago these same cities were characterised by industrial decline, crime and depopulation as their citizens fled to the suburbs. Between 1939 and 1988, London lost a quarter of its population.

In the 1990s, that changed. Living downtown became aspirational again – I’ve always suspected New York sitcoms to be the culprit, although the departure of foul-smelling industries should probably get some credit, too. Crime fell; populations rose. Today, while Britain’s international stature may have faltered, London is one of the few serious candidates for most important city in the world. Together, Florida says, these “superstar cities” are so successful that, with just 7 per cent of the world’s population, they can generate 40 per cent of its GDP. It’s stirring stuff.

That’s the good news. The bad – the crisis of the book’s title – is a messy set of connected problems. One is the failure of urbanism in the developing world where, in contrast to earlier phases of history, cities are booming without much in the way of economic growth. Florida credits this, as he does so much else, to globalisation: why develop your own resources when you can just buy them in?


Another concern is the scale of the drop off between the most successful cities and the rest. In a pattern familiar in the UK, the ambitious, talented and creative are drawn to those centres where productivity, and wages, are highest. The resulting brain drain makes it even harder for the places they leave behind to catch up.

This “winner-takes-all urbanism”, as Florida terms it, would be bad enough if the two sides contained equal numbers of cities, but they don’t: the few-dozen cities with high wages and booming tech scenes are dwarfed in number by those where wages are low, deindustrialisation is still a concern, and the new urban crisis looks a lot like the old one. The cities in the latter group include many that were recently unexpectedly enthusiastic for Brexit on one side of the Atlantic, and for Donald Trump on the other.

Perhaps the biggest issue of Florida’s new urban crisis, though, is that winner-takes-all urbanism doesn’t even seem to be working for the people who live in the superstar cities. The clustering of economic activity in a relatively small number of cities has sent land values through the roof. The result is that, even though average wages are higher, after housing costs the poor are effectively worse off in New York than in, say, Houston.

Not for the first time we’ve managed to construct an economic system that’s brilliant for wealthy landowners but terrible for pretty much everyone else. “Class today,” Florida writes, “is not just about the kind of work we do, but also the places in which we live, which shape everything from our access to jobs to the schools our kids attend and our prospects for upward mobility.” It’s a sort of Marxist theory of place.

Like the problems Florida identifies, his solutions are many, varied and intimidating. They include a land-value tax and better public transport, to enable more people to live and work in these big, productive cities; a new generation of subsidised housing for key workers in danger of being priced out of places that wouldn’t survive their departure; higher minimum wages and even that perennial favourite, a universal basic income.

It’s not that these ideas are bad, or unambitious: quite the opposite. What’s not clear is how we would implement them. There are still some winners in the current system – and those who can afford to grab a slice of the superstar cities include much of the West’s dominant political class.

Florida’s new urban crisis is, he claims “the defining issue – and struggle – of our time”. Perhaps he’s right. But while one side of that struggle has the numbers, the other wields all the power. We may be struggling with these particular urban contradictions for some time to come.

“The New Urban Crisis: Gentrification, Housing Bubbles, Growing Inequality and What We Can Do About It” by Richard Florida is published by Oneworld.

This review originally appeared in our parent publication, the New Statesman.

 
 
 
 

Five ways in which the rest of the world can avoid the homelessness crisis plaguing the US

Housing for all. Image: Nicobobinus/Flickr/creative commons.

Homelessness is a growing problem in the UK, where the number of people sleeping rough has doubled since 2010, yet it is dwarfed by the scale of the issue in the US. More than 500,000 homeless were found across the US during just one night, compared to the UK’s 2017 count of 4,751. Changes in the definition of homelessness and flawed methodologies suggest that the true number for the US could be anywhere from 2.5 to 10.2 times greater.

Millions more live in overcrowded or slum housing, forced to choose between the damage that poor conditions do to their physical and mental health, and the street. All of the US’s housing issues – from foreclosures to evictions to poor conditions – hit communities of colour the hardest.

This is due to a legacy of discrimination, which continues to undercut any commitment to safe and decent housing for all residents, whether in the private or public sector. In my recent book, City of Segregation, I explain how the long, violent history of creating spaces for the white and privileged classes is embedded in a number of practices, which continue in US cities to this day.

Exporting inequality

As private developers and investors seek out urban land in major cities around the world to secure their fortunes, real estate patterns and practices developed within the US are increasingly being observed elsewhere.

In cities as diverse as London, Sydney and Durban, community groups which have been working for decades to improve their neighbourhoods languish with little public or private resource. Meanwhile, developers create spaces for foreign investors and new residents, who anticipate certain protections and privileges such as greater security, high quality amenities and neighbours with similar interests and backgrounds.

This is a driving force behind rising evictions and the criminalisation of homelessness, alongside gated communities, hostile architecture, “broken windows” policing with its focus on prosecuting activities such as graffiti or jaywalking and the growing privatisation of public spaces through regeneration.

But there is still time for other countries to choose a different path. The UK, in particular, can build on the legacies of the post-war political consensus that all residents should have access to quality housing, and its acknowledgement of institutional racism and some history of government anti-racist campaigning.

Both legacies should be improved, but a renewed commitment to a programme of housing and anti-racism are central to increasing equality, prosperity and well-being for all. Based on my research, I’ve come up with five steps which the UK and countries like it can follow, to ensure that future development reduces – rather than drives – homelessness and inequality.


1. Build social housing

Unlike the US, the UK acknowledges a right to a home, and within living memory provided it for a huge swathe of British society. Social housing – whether in the form of traditional council flats, cooperatives or community land trusts – provides a variety of housing types and keeps rents from rising too far beyond wages.

When social housing is widely available, it makes a huge difference to people who – for one reason or another, and often through no fault of their own – become homeless. With social housing to fall back on, homelessness is a temporary condition which can be safely resolved. Without it, homelessness can become a life-destroying downwards spiral.

2. Preserve and expand community assets

Severe segregation in the US stripped entire communities of access to quality food, jobs, education, green spaces, services, banks and loans. Poverty is endemic, and can easily tip into homelessness. While far from perfect, the UK’s post-war commitment to universal provision of services, such as education and health care, and building social housing across all neighbourhoods underpinned a surge in upward mobility.

This achievement should be salvaged from the damage done by Right To Buy – a policy which sold off social housing without replacing it – and austerity, which has prompted a sell-off of public assets and land, as well as the closure of childrens’ services, libraries and community centres.

3. Decommodify housing

A market geared towards building apartment blocks for the portfolios of investors who will never live in them cannot produce the kind of housing and neighbourhoods which residents need, much less at a price they can afford.

While London has been badly affected for some time, this trend is now spreading to other areas of the UK and Europe. Local and national governments must act to prevent global demand for housing as investments from driving prices beyond the reach of those who need real homes.

4. Build communities, not walls

Gates, bars, armed security and homeowner restrictions are all ugly traits of private housing developed within the US context of desperate inequality and racism. The UK has a long and vibrant tradition of community development, creating a supportive built environment and social infrastructure of schools, libraries and other municipal services for residents.

Community assets. Image: Helen K/Flickr/creative commons.

This kind of development, and the social mobility and growing equality it fosters, safeguards public health and safety – not big walls, barbed wire and security guards. The private rented sector in the UK should be regulated to bring it more in line with Europe, where tenants prosper with security of tenure and strong regulation of rents and rent increases.

5. Raise your voice

Those who are bearing the brunt of our current housing crisis must be at the centre of efforts to change it. From tenants’ associations and renters’ unions, to campaign groups such as Justice for Grenfell, it’s vital to support those voices advocating fairer housing rights.

This also means rejecting austerity’s constant cuts to public services, funding social support for physical and mental health and ensuring that homes are safe, decent and secure, to create a safety net for those who are working to improve their communities.

The Conversation

Andrea Gibbons, Researcher in Sustainable Housing and Urban Studies, University of Salford.

This article is republished from The Conversation under a Creative Commons license. Read the original article.