Trend Accelerating regional decline as manufacturing jobs shrink and young people leave

Summary

The report expects regional decline to accelerate while economic and living infrastructure in the regions grows more fragile. Falling manufacturing output and employment, together with the outflow of young people, are weakening the foundations of production, innovation and settlement at once. The departure of people in their twenties and thirties erodes the regional base for labour, consumption and innovation. Without a shift in growth policy within the next five years, the report warns that regional gaps will widen sharply. AI, data and digital talent are also concentrated in the capital region, which weakens industrial transition and competitiveness elsewhere. The report concludes that a youth settlement ecosystem is needed to reverse the outflow.