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The North East is the emerging European location
for biotech, nanotechnology, ICT and new digital media.
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Area: |
8592
sq km |
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Population: |
2.66m |
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Regional
GDP³ |
£25.9bn |
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Exports
to EU³ |
£5.2bn |
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Exports
outside EU³ |
£1.6bn |
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Unemployment |
7.4% |
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Industrial
property cost* |
70.9 |
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Office
rental cost** |
67.2 |
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%
of exports to Asia/Oceania³ |
6.6% |
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Foreign
manufacturing investment² |
£369m |
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UK
manufacturing investment² |
£774m |
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R&D
expenditure³ |
£164m |
|
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Gross
Value Added per employee¹ |
£37,100 |
|
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Export
value per employee³ |
£7095 |
|
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Average
earnings per hour³ |
£9.20 |
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|
|
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³=2000;
=Q1,2001; ²=1997; *index: UK=100 (type 3 industrial
property Q1 2001);
¹=manufacturing; ** index: UK=100 (type 1 office accommodation
Q1 2001)
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Geographically,
the North Easts strategic advantage is its access to Europe
and the rest of the UK. Situated on the east coast of England facing
Northern Europe and Scandinavia, the North East offers an excellent
location for new business projects, with a strong industrial and
commercial base and its commercial capital Newcastle-upon-Tyne.
Commercial activity is concentrated around the rivers
Tyne, Wear and Tees, with less densely populated areas in Northumberland
providing ample opportunity for expansion.
A dynamic base
The North East of England is the emerging European location for
high technology companies, with expertise in the areas of biotechnology,
nanotechnology, ICT and new digital media.
The North East Region has always been the home of
traditional manufacturing and engineering industries, and has world-renowned
strengths in automotive, chemicals, engineering, offshore technology
and food processing, but in the last 20 years has undergone a major
transformation and is developing a strong infrastructure to support
a knowledge-driven economy. It is an exciting time for the North
East, and the regional development agency One NorthEast and its
regional partners are working together to support the changing economy
and develop the infrastructure necessary to support new technologies.
Life sciences and biotechnology
The life sciences sector globally is growing at a spectacular rate,
and this is playing a major part in building a knowledge-based pharmaceutical
economy in the North East of England.
Pharmaceuticals and biotechnology have a long-established
and strong presence in the North East, where major multinational
companies including GlaxoSmithKline, Pharmacia, BASF Pharmaceuticals,
Sanofi-Synthelabo and Avecia Biotechnology have major facilities.
Merck Sharp and Dohme supplies markets worldwide from its largest
tablet plant outside the US at Cramlington. Between them, they employ
around 4500 people.
This
strong manufacturing base is supported by cutting-edge research
and development undertaken by the North Easts five first-class
universities. The University of Newcastle has one of the largest
biomedical science schools in the UK, linked closely to the citys
three teaching hospitals to offer research and clinical trials conducted
to the most exacting standards. The University of Sunderland is
home to the UKs largest pharmacy school and the highly successful
School of Health Sciences, conducting research into the mechanisms
of disease and drug action. The University of Northumbria has a
£42m purpose-built campus dedicated to nursing training and
education, while the University of Durhams Biological Sciences
Department is a centre of excellence in fields including biochemistry
and genetic engineering.
In addition, the North East is home to the specialist
Institute for the Health of the Elderly, an international centre
for research into dementia and ageing disease, representing one
of the largest integrated research programmes in this field in Europe.
The International Centre for Life in Newcastle is a £70m purpose-built
facility and acts as a focus for Biotechnology in the North East.
It includes a commercial BioScience Centre, the Human Genetics Institute
(home to 150 geneticists from the University of Newcastles
five-star rated department), the Bioethics Forum and Life Interactive
World a major educational visitor attraction.
Nanotechnology
Miniaturisation technology underpins innovation in most high-technology
sectors, including biotechnology, defence, communications, electronics
and medical sectors. Government and industry advisers worldwide
view micro and nanotechnologies as key to economic and technological
competitiveness. It is widely predicted that the nanotechnology
era will lead the next technological revolution.
The
UK Government in February 2001 announced the establishment of the
University Innovation Centre for Nanotechnology at the University
of Newcastle. This £25m high-technology cluster development
initiative builds on the strength of activity in nanoscale science
and technology at the five universities in the North East of England.
The regional portfolio includes surface engineering (Northumbria),
chemical and biological sensors (Sunderland and Teesside), molecular
electronics (Durham) and biomedical nanotechnology (Newcastle).
Together with the International Centre for Life,
which services the biotechnology sector, the University Innovation
Centre for Nanotechnology will act as a key cross-sector driver
for regional high-technology-based cluster development.
ICT & new digital media
The North East of England is home to around 150 IT and software
development-related companies as well as 400 new digital media firms.
The number of people working in the industry is estimated at 10,000.
Software companies operating in the region are acknowledged leaders
in their field, well demonstrated by the presence of one of the
UKs premier financial application developers. Sage, the worlds
largest supplier of PC-based accounting software to small and medium-sized
enterprises is headquartered in Newcastle-upon-Tyne.
Equally, the region has excellent capability in terms
of data manipulation (IMASS and Target Base) and ISPs, including
Leighton Management, whose group encompasses a wide variety of e-business
applications, as well as DomainNames.com, one of the worlds
largest domain name registrars. TNL and industrial software providers,
such as LIC Energy and British Airways, are also present.
Infrastructure
The North East continues to attract a significant number of overseas
investors each year through its high-quality business infrastructure,
cost-effective location, and skilled, loyal and adaptable workforce
used to flexible working patterns. More than 500 companies have
invested in the region in the last 10 years and the North East is
becoming a popular choice with Australian investors and for those
looking for a UK location from which to access the European market.
These companies are attracted by a comprehensive
transport and communications network which covers the region, linking
it with the rest of the UK, Europe and Scandinavia. With two international
airports, both accepting passenger and freight traffic, the region
is well positioned to offer regular 50-minute flights to London
and European cities. In addition, there are five deep sea ports
and excellent road and rail links, with the region being situated
on the East Coast main rail and motorway links.
Culture
Newcastle-upon-Tyne is a modern, vibrant and cosmopolitan city,
the commercial capital of the North East. It is a modern, attractive
and compact city with a population of almost 600,000 people. The
River Tyne runs through Newcastle, which sits some five miles from
the mouth of the river. Much of the waterfront in the city has been
revitalised in recent years, creating a lively leisure district
and modern office setting.
The North East has many historical attractions and
areas of outstanding natural beauty, including Durham Cathedral
(a World Heritage site), Hadrians Wall and moorlands, mountains,
castles, miles of protected golden coastline, and many bridges.
Regional Development Agency
One NorthEast offers a sophisticated partnership with clients to
facilitate their strategic investment in the global market place.
The Agency can give practical advice and assistance to help companies
find suitable sites and premises in the region, hire and train a
workforce, and apply for local and national government assistance.
In addition, it can match the purchasing requirements
of incoming companies with the a qualified list of suppliers through
the Supply Chain Management Teams contact database. One North
East is able to offer business solutions that positively impact
on the bottom line, making the North East of England the place to
do business globally.
Websites:
One North East
www.onenortheast.co.uk
www.digitallocations.co.uk
North East Chamber of Commerce
www.ne-chamber.co.uk
Universities for the NE www.unis4ne.ac.uk
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