Unlocking South Tyneside’s productivity potential for place-based investment

South Tyneside has been highlighted in a major new report by The Productivity Institute. It says the Borough’s strong partnerships, ambitious regeneration programme and long‑term commitment to improving residents’ lives are already delivering results.

As part of TPI’s Investment in Productive Places Campaign, South Tyneside was selected as a national case study based on the scale of its regeneration programme, its strong community identity, long‑standing productivity challenges, and its regional working through Insights North East.

The report describes South Tyneside as a place “driven by fairness, resilience and shared purpose”, highlighting South Tyneside Council’s clear strategic focus, evidence-led investment and collaborative way of working as major strengths helping to build a more prosperous, healthy and resilient borough.

Cllr Tracey Dixon, Leader of South Tyneside Council, said:

“We’re making real progress, and this independent report confirms we’re on the right track. This report recognises what we see every day – a borough with huge strengths, strong partnerships and a shared commitment to improving people’s lives.

“It also acknowledges the very real economic challenges our residents are facing, and it is encouraging to see an independent national body reflect both our strengths and the areas where we continue to work hard. We will use these findings to strengthen our plans and attract even more investment into our towns and communities.”

The report identifies nationally significant specialisms in advanced manufacturing and clean energy, supported by assets such as the Port of Tyne and the Dogger Bank Wind Farm operations base in South Shields. It also highlights strong business growth in the Borough, with high levels of new start‑ups, thriving high‑growth firms and a collaborative, fairness‑driven culture built on trusted relationships and effective partnership working.

The research notes the scale of regeneration already being delivered, including the £95m South Tyneside College and Marine School relocation (opening in 2027), major investment in Holborn Riverside, town centre improvements and cultural assets such as The Customs House, the £20m Jarrow Forward programme, and neighbourhood improvements through Pride in Place investment.

The report also highlights improvements in skills and access to good jobs, including support provided through South Tyneside Works, digital and green transition training, and help for residents furthest from the labour market – areas identified as essential to long‑term productivity. It further commends strong early‑help approaches, targeted anti‑poverty work and effective community‑based support that builds confidence and wellbeing over time.

The work spotlights the borough’s evidence-led approach to regeneration and infrastructure, noting improvements to town centres, transport and digital connectivity, including 99.4 per cent gigabit fibre availability.

Dr Kate Penney, Research Fellow at The Productivity Institute said:

“South Tyneside’s consistent engagement and clear commitment to a broad-based investment strategy among key stakeholders creates a strong foundation for future activity across the area. The collaborative effort is evident in the progress being made and will support new opportunities that can strengthen local outcomes.”

Looking ahead, the report identifies several areas for future action that closely align with the Council’s existing plans, including boosting skills, training and health outcomes to increase economic participation; improving transport connectivity; tackling long‑term funding challenges through devolved, place‑based models; and strengthening external communication and investment marketing to raise the Borough’s national profile.

Cllr Dixon added:

“We know we face big challenges, and none of this is simple. But this report shows that our partnerships, our people and our ambitions give us a strong foundation to build on. With ongoing investment in skills, jobs, regeneration, health and strong communities, South Tyneside is moving in the right direction.”

The full report and the executive summary are available on our website.