Published online by Cambridge University Press: 12 September 2025
It is crucially important that strategies to dismantle the borders within have economic divides at their core, addressing the stark geographic gaps in wealth and prosperity – in essence, this comes down to bringing greater investment and financial capital to economically less prosperous places. Economic inequality lies at the heart of spatial divisions within countries. It is only through spreading economic activity and wealth more equally between geographic places that other forms of spatial inequality will begin to shift. Economic capital has major knock- on effects across all aspects of people's lives, differences in economic resources determine the likelihood of how educated you are, how much you earn and how long you will live for. The social, educational and health gaps we see between places within countries ultimately stem from a country's spatially unbalanced economy, which has deep- seated roots that stem from the origins of the modern economy.
There are many examples of how countries have tried to grow the economies of less prosperous regions and places in the past. For example, in the case of the UK, in the 1980s, they encouraged businesses to invest in economically less prosperous areas by offering huge tax breaks. It was a tax policy that intended to boost the creation of new businesses within the regions by encouraging enterprise and innovation through the incentive of lower taxes. The logic was that people and businesses within the specific areas would be encouraged by the lower taxes to be entrepreneurial, innovate and invest.
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