Higher Geography
Industry
Recent Industrial Change –
Scotland
Glasgow and the surrounding area

The 1970s and 1980s saw the
decline of traditional industries in
Glasgow.
Task
Discuss the impact of this decline with
a partner
Since the mid 1980s…..


With the help of government
financial aid modern industries were
encouraged to locate in and around
the city
New factors have affected the
location of these industries
State Aid,
provided as
Regional Aid,
can be used to
promote the
economic
development
of certain
disadvantaged
areas within
the European
Union.
Government
Firms were attracted into old industrial
areas by the offer of financial assistance
and incentives from the government e.g.
Rent free accomodation
Grants for new machinery
Money subsidies to assist with labour costs
Grants for retraining schemes
Tax incentives to attract foreign companies

Regional Selective Assistance
(RSA)



RSA encourages businesses to undertake investment that
will directly result in the creation or safeguarding of jobs in
Scotland. Both indigenous and foreign companies can apply
with the resulting impact on employment helping to ensure
Scotland’s economy remains globally competitive.
RSA is a discretionary grant scheme, so there are a number
of criteria to be met for an application to be successful. The
amount offered is dependant on the size of the business,
location of the project and our assessment of how much is
needed for the project go ahead. There are three tiers of
assisted areas in Scotland reflecting different maximum
levels of grant assistance potentially available.
http://www.scottish-enterprise.com/fund-your-business/rsa.aspx
Case Study
Vertex Group



To provide sales and service for Tesco Bank’s
mortgage business, 200 permanent jobs are being
created in Glasgow. The jobs will be based at Atlantic
Quay.
First Minister Alex Salmond said: “Scotland has
established a reputation for financial services
excellence and I am delighted that Tesco Bank are
creating 200 new jobs in Glasgow through Vertex.
The Scottish Government, Scottish Enterprise and
Scottish Development International continue to work
hard to deliver jobs and investment to communities
across the country.
Transport


New Industrial Estates were built
next to the M8. Good access is
essential for the factories in these
estates to bring in raw materials and
export finished goods
Good transport links are also
essential for the labour force – most
people travel to work in a car so
need easy access/parking
Effects of regeneration


A variety of investors have located in the area
Many financial companies are attracted to the city
e.g. Fortis the Belgium banking company and
Morgan Stanleys – move to the cities financial
district
• Glasgow will host the 2014 commonwealth
games and will host some of the football
events in the 2012 Olympics

The riverside has been completely
regenerated after the closure of the
Ship yards, property developers have
bought up land to develop luxury
flats and apartments
Glasgow has grown and developed as
a tourist destination

Glasgow has become the retail
capital of Scotland e.g. designer
shops around the Italian Centre
Activities
1.
2.
For an industrial concentration you have
studied in the EU, describe and explain
the main location factors that influence
the location of new industrial
development
(8)
Suggest ways in which the national
government and the EU have helped
attract new industries to your chosen
area
(7)