the London effect has possibly shielded most of the country for too long from the reality that Britain, under its successive right-wing, winner takes all governments, (which those on the 'losing side', also inexplicably keep voting in), is essentially a low skill/low income economy. The things that have made Britain great are provided by very mobile industries and people; Financial services, IT, medical research, high end arts
Good post. One place I would diverge slightly - what made Britain great in the 18/19c was the industrial revolution and trade. We were once famous for manufacturing extraordinary as it now seems and trade policies (haha.)
Imo the intentional depletion of the manufacturing industries under Thatcher, corollary building of the financial sector and the consequent decline of post-industrial areas is one of the key causes of Brexit via the financial crisis. To which we would not have been so heavily exposed if our manufacturing sector had been larger, and our finance sector smaller. The deep impact of the crisis was a direct consequence of Thatcherite economic p policies, which NewLab endorsed.
The Brexit vote highlighted that large areas of the country had basically been ignored for 40 years.
Much of the economic and social problems blamed on the EU are the direct result of U.K. government policy over 40 years combined with the financial crisis.
Hard right politicians and media have been happy to blame the EU for all this to suit their own agenda. And unfortunately the public believed them.
I agree the U.K. has been punching above its weight for a long time, buoyed by ex-Empire, being on the winning team in two world wars and subsequently by the successes of the EU project.
People who claim things can’t get worse clearly have forgotten the 70s when, as the sick man of Europe, our economy faced ‘wholesale domestic liquidation’. High inflation, strikes, oil crisis, Sterling crisis and an IMF bailout of over £2 billion.