What Works Centre for Local Economic Growth

Year of publication: 2015

A systematic review of evaluations of the impact on the local economy of estate renewal. While the review notes that estate renewal is about improving housing rather than the local economy, they contend that policymakers often claim economic benefits and so an understanding of the evidence for any impact is important.

The evidence review found that overall the measurable economic impacts on local economies (employment, wages or deprivation) are not large and are often zero. Property prices, land prices and rent will be positively affected for the area that directly benefits from improvements, though not necessarily nearby properties. Limited impact was found in terms of reducing crime, improving health, wellbeing or education.

The review notes that estate renewals have intrinsic value in terms of improving housing and neighbourhood qualities. Evaluations lacked evidence isolating the effects on existing residents, so changes may be explained by the changing composition of a neighbourhood. There is also little evidence on what might improve effectiveness or influence particular aspects of the local economy.

Content type: Placemaking

Tags: Report

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