This document presents findings from a 2002 Greater London Authority report on London's creative industries. It analyzes data on output, productivity, job and economic growth within London's creative sector. Key findings include that the creative industries were the second largest source of job growth in London and experienced the fastest output growth rate. The creative sector has become increasingly important to London's economy after banking. While London has high costs, creative businesses are drawn by access to talent, suppliers, and global connectivity. The document is now outdated as there have been four subsequent updates to the data on London's creative industries.

1. London’s Core Business
Alan Freeman
Greater London Authority
Creative Industries in London
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2. Creative Industries in London
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3. These slides present the findings and methodology of Creativity:
London’s Core Business, the first Greater London Authority report
on London’s Creative Industries, which can be found at
http://www.london.gov.uk/mayor/economic_unit/docs/create_inds_re
p02.pdf.
They supplement a second presentation, also on Slideshare, which
contains further details on methodology and background.
The information in this presentation is mainly for historical interest.
There have been four subsequent updates on London’s creative
industries, which supersede the data presented here. They will in due
course be posted at the author’s open access repository page on
http://ideas.repec.org/e/pfr102.html

4. The Creative Industries
A growth-led productivity revolution
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5. Productivity growth
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6. Productivity
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7. Job-creating productivity growth
• Creates output
• Creates jobs too
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8. Output Growth
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9. Job Growth
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10. Life after banking
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Second largest source of job growth
Third largest job source
Second largest source of output
Fastest output growth rate
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11. Output
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12. Jobs
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13. Job Growth
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14. London: the UK’s creative capital
• The Creative Industries are growing
throughout the UK
• London and the South-East lead this growth
• London and the South-East are expanding
together
• The re-invention of the UK clothing
industry
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15. Creative Industry Employment by Region
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16. Creative Industry Growth Rates by Region
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17. CI output per head of population (£real 1995)
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18. Change in Fashion Jobs 1995-2000
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19. Domestic and global markets for
Creative Products
An new, expanding, stable source of
demand
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20. • Leisure goods and services now exceed
food in average household expenditure
• This trend dates to 1974 and earlier
• Services are the major source of UK export
surplus
• Creative Industry products are a central part
of this
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21. Household Expenditure
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22. UK Advertising Expenditure
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23. UK Cinema Admissions
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24. Trade in services
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25. Trade in computer and information services
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26. Trade in audiovisual and related services
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27. Trade in market research
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28. The diversity business
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What do these industries have in common?
They sell difference.
Exact specification
Short production runs
On time
Performance – the ultimate just-in-time
delivery
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29. London: the UK’s creative factory
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London costs are high
The market is global
Yet business locates in London. Why?
Must be because of supply-side conditions
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30. Social capital + range of services
+ connectivity = Delivery
• Service businesses seek proximity to supplyside conditions
• London’s social capital is its biggest asset
• A vast range of services (eg print, film, etc but
also translation, culture, world contacts, etc)
• The city works when it can place these
suppliers in proximity to each other
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31. London’s social capital
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32. Whereabouts?
•Clustered but not so much
•A variety of locations
•Industry-dependent
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33. Creative Industries in London
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34. Creative industry growth
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35. Advertising job Growth
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36. Fashion jobs growth
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37. Publishing jobs growth
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38. Leisure software jobs growth
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39. Creation: the new sunrise industry
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