A Global Perspective on the North West Economy

Research commissioned by Holywell Trust has taken a unique approach to analyzing the economic landscape of the North West, comparing it to other cities and regions around the world that straddle national boundaries. This insightful study provides valuable lessons and potential solutions for addressing the economic challenges facing both Derry and Donegal.

Navigating the Challenges of a Cross-Border Region

The North West, encompassing Derry in Northern Ireland and Donegal in the Republic of Ireland, faces a unique set of economic challenges. These challenges are rooted in the region's geographical location, straddling two jurisdictions with distinct political, economic, and social systems.

A Shared Struggle

Paul Gosling, the author of the research, highlighted the shared difficulties faced by both sides of the border. These include low disposable income, lower than average employment rates, and persistent poverty. This underscores the need for a coordinated effort to address these issues, transcending political boundaries.

Barriers to Integration

While there are initiatives aimed at fostering growth and regional development, the North West faces significant challenges in achieving seamless integration. These include:

• Different Currencies and Tax Rules: The disparity in currency and tax systems creates complexities for businesses and individuals operating across the border.

• Mutual Recognition of Skills and Qualifications: The lack of mutual recognition of qualifications and skills hinders cross-border labor mobility and can limit career progression opportunities for individuals.

• Limited Infrastructure: The North West suffers from inadequate infrastructure, particularly in transportation. The absence of cross-border rail connectivity and significant gaps in bus services pose significant barriers to cross-border commuting and economic interaction.

Global Lessons for a Shared Future

The research delves into global examples of cross-border regions that have successfully navigated these challenges and fostered economic growth through collaboration. These examples provide valuable insights for the North West.

Basel, Switzerland: Integrated Public Transport

In Basel, Switzerland, the use of cross-border public transport is a cornerstone of the region's economic success. Thousands of commuters rely on this integrated system to seamlessly traverse the border, creating a dynamic and interconnected labor market.

Mondragon, Basque Region: The Power of Cooperatives

The Mondragon cooperative model in the Basque region is a testament to the power of shared ownership and the emphasis on shared success. This model, driven by its people and their collective interest, fosters economic stability and sustainable growth.

Pacific Northwest/Cascadia: Collaboration Across the Border

The Pacific Northwest/Cascadia region, spanning the US and Canadian states, demonstrates the benefits of cross-border collaboration. From trade and ecological protection to investment in transport infrastructure, the region has successfully leveraged its unique position for mutual benefit.

Twin Cities in Southeast Asia: Integrated Labor Markets and Infrastructure

Southeast Asia provides another compelling example of cross-border integration. Twin cities have successfully integrated labor markets and infrastructure, enabling seamless movement of goods, services, and people across borders.

A Call to Action: Building a Vibrant North West Economy

Paul Gosling's research emphasizes the need for a collaborative approach to address the challenges and harness the opportunities in the North West. He stresses the importance of:

• Strengthening Labor Market Integration: This requires facilitating the seamless movement of labor across the border through mutual recognition of qualifications and skills.

• Investing in Integrated Public Transport: Significant investment in cross-border rail connectivity and bus services is crucial to enhance mobility and connectivity, supporting economic growth and reducing reliance on private transportation.

• Promoting a Shared Vision for the Future: Building a shared vision for the future of the North West, with a focus on collaboration, innovation, and sustainable development, is essential to attract investment and drive economic growth.

The research concludes by highlighting the timely nature of its findings, coinciding with the Department for Infrastructure's consultation on its transport plan for the North West. This consultation provides an opportunity to ensure the transport network adequately meets the needs of both people and businesses in the region.

Holywell Trust, the organization that commissioned this research, sees it as a crucial foundation for improving the quality of life for residents on both sides of the border. They hope to foster dialogue and engage the public in shaping a vibrant and sustainable local economy for the North West.

A New Dawn for the North West: Hopeful but Uncertain

The research on the North West economy offers a compelling blueprint for progress. It shines a light on the potential that exists when barriers are broken down, and collaboration takes root. The path forward is not without challenges. However, by embracing the lessons from other cross-border regions and fostering a spirit of collaboration, the North West has the opportunity to unlock its true potential and create a brighter future for its residents.