Higher Geography Industry Recent Industrial Change – Scotland

Glasgow and the surrounding area The 1970s and 1980s saw the decline of traditional industries in Glasgow. The 1970s and 1980s saw the decline of traditional industries in Glasgow.Task Discuss the impact of this decline with a partner

Since the mid 1980s….. With the help of government financial aid modern industries were encouraged to locate in and around the city With the help of government financial aid modern industries were encouraged to locate in and around the city New factors have affected the location of these industries New factors have affected the location of these industries

State Aid, provided as Regional Aid, can be used to promote the economic development of certain disadvantaged areas within the European Union.

Government Firms were attracted into old industrial areas by the offer of financial assistance and incentives from the government e.g. Firms were attracted into old industrial areas by the offer of financial assistance and incentives from the government e.g. Rent free accomodation Grants for new machinery Money subsidies to assist with labour costs Grants for retraining schemes Tax incentives to attract foreign companies

Regional Selective Assistance (RSA) RSA encourages businesses to undertake investment that will directly result in the creation or safeguarding of jobs in Scotland. Both indigenous and foreign companies can apply with the resulting impact on employment helping to ensure Scotland’s economy remains globally competitive. RSA encourages businesses to undertake investment that will directly result in the creation or safeguarding of jobs in Scotland. Both indigenous and foreign companies can apply with the resulting impact on employment helping to ensure Scotland’s economy remains globally competitive. RSA is a discretionary grant scheme, so there are a number of criteria to be met for an application to be successful. The amount offered is dependant on the size of the business, location of the project and our assessment of how much is needed for the project go ahead. There are three tiers of assisted areas in Scotland reflecting different maximum levels of grant assistance potentially available. RSA is a discretionary grant scheme, so there are a number of criteria to be met for an application to be successful. The amount offered is dependant on the size of the business, location of the project and our assessment of how much is needed for the project go ahead. There are three tiers of assisted areas in Scotland reflecting different maximum levels of grant assistance potentially available.

Case Study Vertex Group To provide sales and service for Tesco Bank’s mortgage business, 200 permanent jobs are being created in Glasgow. The jobs will be based at Atlantic Quay. To provide sales and service for Tesco Bank’s mortgage business, 200 permanent jobs are being created in Glasgow. The jobs will be based at Atlantic Quay. First Minister Alex Salmond said: “Scotland has established a reputation for financial services excellence and I am delighted that Tesco Bank are creating 200 new jobs in Glasgow through Vertex. First Minister Alex Salmond said: “Scotland has established a reputation for financial services excellence and I am delighted that Tesco Bank are creating 200 new jobs in Glasgow through Vertex. The Scottish Government, Scottish Enterprise and Scottish Development International continue to work hard to deliver jobs and investment to communities across the country. The Scottish Government, Scottish Enterprise and Scottish Development International continue to work hard to deliver jobs and investment to communities across the country.

Transport New Industrial Estates were built next to the M8. Good access is essential for the factories in these estates to bring in raw materials and export finished goods New Industrial Estates were built next to the M8. Good access is essential for the factories in these estates to bring in raw materials and export finished goods Good transport links are also essential for the labour force – most people travel to work in a car so need easy access/parking Good transport links are also essential for the labour force – most people travel to work in a car so need easy access/parking

Effects of regeneration A variety of investors have located in the area A variety of investors have located in the area Many financial companies are attracted to the city e.g. Fortis the Belgium banking company and Morgan Stanleys – move to the cities financial district Many financial companies are attracted to the city e.g. Fortis the Belgium banking company and Morgan Stanleys – move to the cities financial district

Glasgow will host the 2014 commonwealth games and will host some of the football events in the 2012 Olympics

The riverside has been completely regenerated after the closure of the Ship yards, property developers have bought up land to develop luxury flats and apartments

Glasgow has grown and developed as a tourist destination

Glasgow has become the retail capital of Scotland e.g. designer shops around the Italian Centre Glasgow has become the retail capital of Scotland e.g. designer shops around the Italian Centre

Activities 1. For an industrial concentration you have studied in the EU, describe and explain the main location factors that influence the location of new industrial development(8) 2. Suggest ways in which the national government and the EU have helped attract new industries to your chosen area(7)