Fenalla Keevil - Geography
Fenella Keevil
effects may not be sustainable. Given existing high levels of consumer debt in the UK it is
questionable whether there will be significant increases in the amount spent in shops. This yet
again brings up the crucial issue of whether the economic activity created is new, or whether
there has been a spatial rearrangement of activity, with spending from another nearby
location. The economic multiplier effect created may also not take place for some time. The
less tangible elements, such as an increase in the number of tourists or increases in investor
confidence, will only be seen in the long run.
Land Securities believes that Princesshay “has been a catalyst for the city” by improving
investor confidence in the area, (2013) as demonstrated by the new John Lewis store near to
Princesshay opening in 2012, creating 300 new jobs (BBC, 2007). City Centre Manager, John
Harvey, attributed this to Princesshay, saying, “I don‟t think we would have attracted John
Lewis, Waitrose and other stores without the redevelopment of Princesshay.”He added that,
“Marks and Spencer‟s refurbished their store prior to the opening of Princesshay and Boots
spent several millions of pounds in the period immediately after the opening, none of this
extra investment would have been made without the redevelopment of Princesshay.” (2013).
Although it would be expected that the city centre manager would have a positive opinion,
his views remain relevant. Assessing the base case scenario John Lewis would not have been
attracted to the Exeter area, with a deteriorating, old fashioned and diminishing shopping
centre.
Graph 2 (p18) shows an increase in median full-time annual earnings from when the records
Exeter Council provided began, in November 2011 to February 2012 (Economy Unit at
Exeter City Council, 2012). This coincides with the opening of John Lewis, perhaps
suggesting the ongoing multiplier effect. Furthermore, Exeter‟s higher levels of median
income compared to the surrounding area, shows its potential as an investment centre for
retailers in the South West.
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