The net zero transition has not yet led to the reindustrialisation of the North of England, according to new research from the Resolution Foundation. This finding contrasts with a 2024 argument by then-Mayor of Manchester Andy Burnham, who stated that net zero offered the best opportunity to reindustrialise the North, reduce inequality, and close the North-South divide.
While current plans for the net zero transition aim to deliver up to 860,000 jobs by 2030, the Resolution Foundation estimates that under one-in-ten of these, approximately 70,000, are industrial jobs. These industrial roles are currently spread across at least 18 towns and cities, which could result in an employment share of only 2-3% in each location, insufficient to make a major impact.
Case studies of Aberdeen and Grimsby, both significant in the UK's offshore wind industry, show that green jobs are struggling to exceed 2% of employment in either place. Aberdeen faces capacity constraints in energy transport, while Grimsby's port capacity issues have limited its role in the wind supply chain.
The Resolution Foundation suggests that a more strategic approach is needed, with the government actively choosing where to invest in clean industry clusters. This would involve backing selected places with government investment to address local bottlenecks and provide long-term certainty for industry, potentially creating more productive clusters similar to Esbjerg in Denmark.