Introduction
The North East region of England, encompassing a diverse range of councils from urban centres like Newcastle upon Tyne to rural expanses in Northumberland, presents a unique cross-section of economic activity. This report delves into the aggregated data of all councils within the region, providing a detailed analysis of employment trends, sector growth, and business dynamics. The aim is to offer stakeholders a comprehensive overview of the region’s economic health and to identify areas of strength and opportunities for improvement.
Data for this analysis has been sourced from official council records and business reports, ensuring a robust basis for our findings. The following table ranks each council by the number of employees relative to their population, providing an initial glimpse into the economic activity across the region:
| Council | Number of Employees | Population | Employees per 1,000 Residents |
|---|---|---|---|
| Newcastle upon Tyne | 228,713 | 206,358 | 1108.4 |
| North Tyneside | 126,422 | 128,217 | 986.0 |
| County Durham | 103,798 | 328,496 | 316.1 |
| Sunderland | 92,031 | 173,628 | 530.1 |
| Darlington | 66,623 | 64,691 | 1030.0 |
| Gateshead | 72,262 | 127,283 | 567.5 |
| Stockton-on-Tees | 56,627 | 121,485 | 466.1 |
| Northumberland | 57,254 | 190,208 | 300.9 |
| Middlesbrough | 32,198 | 88,157 | 365.2 |
| South Tyneside | 26,650 | 93,313 | 285.6 |
| Redcar and Cleveland | 17,559 | 81,340 | 215.9 |
| Hartlepool | 11,315 | 57,470 | 196.9 |
Employment and Sector Analysis
Employment levels across the councils show significant variation, influenced by both industrial presence and population density. Newcastle upon Tyne stands out with the highest employment ratio, significantly bolstered by its vibrant professional, scientific, and technical activities. In contrast, Hartlepool has the lowest employment ratio, which may reflect fewer industrial or commercial activities.
Sector-wise, the ‘Professional, scientific and technical activities’ sector dominates in several councils including Darlington, Gateshead, and North Tyneside, indicating a regional strength in these areas. However, there’s a notable diversity in sectoral leadership; for instance, County Durham shows a strong presence in Construction, which is also significant in South Tyneside.
Business Dynamics and Growth
The region shows a healthy mix of new and established businesses. Newcastle upon Tyne not only leads in employment but also in the number of new companies founded in 2022, reflecting its dynamic business environment. Conversely, Redcar and Cleveland show lower figures in new business formations, which might suggest economic challenges or less entrepreneurial activity.
Regarding business stability, Sunderland and Northumberland report higher numbers of ceased operations, which could indicate sectors or markets facing difficulties. This aspect underscores the need for targeted economic support and development strategies in these areas.
Conclusion and Recommendations
This comprehensive analysis highlights the diverse economic landscape of the North East region. While some councils like Newcastle upon Tyne and North Tyneside exhibit robust employment and business formation rates, others like Hartlepool and Redcar and Cleveland could benefit from enhanced support and development initiatives.
It is recommended that stakeholders focus on nurturing emerging sectors, supporting struggling areas with targeted economic policies, and continuing to foster an environment conducive to new business developments. Additionally, leveraging the strengths of leading sectors in each council can drive regional growth and stability.