Workshop 2 – Inclusive development

Reflections from TiPSEAndrew Copus – The James Hutton Institute

ESPON Open Seminar 2014

“Opportunities and threats for territorial cohesion: Blue Growth and Urban Poverty”

TiPSE, Blue Growth, and Inclusive Development

Concepts of Poverty and Exclusion

Mapping Poverty (ARoP rates)

Mapping Exclusion(Domains & Dimensions)

Case Studies

Policy implications

TiPSEWorkstreams… To what extent is

Blue Growth delivering inclusive

prosperity in coastal and island

areas? How can we measure this

better?

Is “blue growth” delivering prosperity to coastal and island areas?

(a) NUTS 3 ARoP Rates

(Based on ESPON Typologies,

CEECs excluded)

• No clear pattern between coastal/inland regions

• Island regions generally tend to have higher poverty rates than mainland ones (within the same MS)

Is “blue growth” delivering prosperity to coastal and island areas?

Is “blue growth” delivering prosperity to coastal and island areas?

(b) The Western Isles Case Study

A region surrounded by marine resources, but exhibiting the very opposite of “inclusive growth”

Peripherality, increased cost of living, less competitive for entrepreneurship, out-migration, demographic ageing, social exclusion due to high cost of delivering service of general interest.

How can such a region participate in “Blue Growth”?

• The At Risk of Poverty (ARoP) rate is the key EU 2020 monitoring indicator of poverty.

• It measures income poverty only.

• It does not take account of regional variations in cost of living.

• Adjustment for housing cost is not enough, and introduces urban bias.

• Minimum income standard research suggests that island areas can suffer very substantial increases in living costs compared with mainland areas.

Are the key indicators of poverty and inclusion serving us well?

• Insularity or coastal location does not automatically bring blue Insularity or coastal location does not automatically bring blue growth potential – which may be “blocked” by peripheral growth potential – which may be “blocked” by peripheral disadvantages.disadvantages.

• Many island regions, and some coastal areas show relatively Many island regions, and some coastal areas show relatively high levels of poverty.high levels of poverty.

• As regards As regards inclusiveinclusive growth insular poverty is currently partially growth insular poverty is currently partially masked by a reliance on an indicator which does not take masked by a reliance on an indicator which does not take account of regional variations in cost of living, or doing business.account of regional variations in cost of living, or doing business.

• Ideal solution is an enhanced EU-SILC (larger samples, more Ideal solution is an enhanced EU-SILC (larger samples, more variables relating to living cost).variables relating to living cost).

• In the short term it is important to be aware that ARoP rates In the short term it is important to be aware that ARoP rates cannot tell the full story about poverty and inequalitycannot tell the full story about poverty and inequality.

Blue growth for all islands and coasts?

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Thank you for your attention.andrew.copus@hutton.ac.uk