As fewer physical factors controlling the location of industries were important, human factors, such as labour supply became increasingly significant. During the 20th century industries began to locate in an area where a suitable labour force could be found. This may have included close to a large urban area, where there was a large number of workers willing to work for a relatively low wage. However, as industry switches to quaternary manufacturing, more skilled labour is required to operate the high-tech machinery. Therefore, an increasing number of industries are locating close to good universities, such as Cambridge, where there is a pool of highly skilled labour looking for employment, and also in a pleasant area where the highly skilled work force would be willing to live. These are increasingly more important locational factors for the newer, high technology industries.
The importance of markets on the location of industries is also increasingly important. As fewer physical factors are affecting the site of industries than in the early 20th century, more wish to locate within easy access of their main market locations. This means locating close to large urban areas, especially London where there is a higher purchasing power for manufactured products to be sold. Many industries also want to locate in southeast England, not only for London, but also because of the relatively close proximity to other countries in the European Union, where there is a huge market of millions of people for products produced in the UK. This is an important locational factor for industries wanting to sell their products in the EU.
Throughout the 20th century the transport system of the UK has much improved with the introduction of motorways etc. meaning that the transporting of raw materials, components and finished products around the country is not only easier, but also much cheaper. This reduction in transport costs has meant that a location close to raw materials and components is no longer necessary. However, an increasingly important locational factor is the need to locate on a site with excellent transport links. This locational factor is especially significant for the newer high-tech industries, which require a large number of components often made in separate locations to reach the site. Although transport costs for these quaternary industries are relatively insignificant, good transport links are essential to coordinate the various activities well.
Towards the end of the 20th century, an increasing number of these quaternary industries began to group together in science parks, research parks and industrial estates. This is an example of the multiplier effect, where one quaternary industry investing in a region, attracts other industries and other forms of economic development into the area. The high-tech manufacturing firms clump together in these parks to share research and information between companies, as well as a pool of highly skilled labour.
Another factor that has helped to determine the location of industries in the UK was the EU. The European Union was introduced in around 1957, and since the UK became a member in 1973, it has provided subsidies to the poorer regions of the UK, which have helped to improve infrastructure in those areas, including transport systems. These improvements have increased greatly the accessibility of previously inaccessible areas, and have allowed industries to move there. At the beginning of the 20th century this was not possible.
Government subsidies have also been important in determining the location of industries towards the end of the 20th century. These were introduced by the government as a means of encouraging industries to locate in certain areas of the UK, which have suffered from previous de-industrialisation. They were persuaded to do this by a reduction in taxes or the giving of money to help set up the factory in that particular area and this became an important locational factor for both secondary and quaternary industries.
2.
Spatial Changes of Manufacturing Industry
During the 19th century, the main manufacturing industries in the UK were very much based on a raw material based location. These ‘smokestack’ industries therefore were usually located close to coalfields and mineral deposits. A port location was also usually necessary to export the large number of goods produced by the factory to different locations around the world. Therefore industries located close to river estuaries and the sea. One example of this form of location was and still is the Merseyside chemical industry, which is located on the banks of the River Mersey. This was a good location, as the port of Liverpool allowed for the importing and exporting of raw materials and products from the manufacturing industries. Coal was available from the Lancashire coalfields and other raw materials, such as salt were also available locally.
As the manufacturing industries grew in these locations, specific industries began to attract other industries making similar products. This is an example of cumulative causation, where similar industrial firms will clump together to share research etc. Many 19th century industries can therefore be seen in areas that became known for the particular products made there. For example, the steel industries in Sheffield and South Wales, and the car industry in Birmingham.
However, in the 20th century the switch from secondary industries to more quaternary industries, meant many changes in where manufacturing industries were located in the UK. These new high-tech industries no longer required the resource based location or to be close to a port. They are therefore ‘footloose’. This meant the decline of 19th century traditional industrial locations, causing a downward multiplier effect, and the growth of modern industries in new regions of the UK, such as the M4 corridor. These areas are more popular for quaternary industries because of the excellent transport links, the nearby top universities, the close proximity to large cities, a pleasant environment and the nearby government research laboratories for up-to-date information and research. Therefore, the 20th century saw the decline of manufacturing in the traditional 19th century locations, and its growth in new locations along the M4 corridor, M11 corridor, Honda Valley in South Wales, Cambridge Area and Silicon Glen in Scotland.
The 20th century also saw the growth of new science parks, research parks and industrial estates in areas throughout the UK, where quaternary industries clump together so they are able to share information and research, as well as a pool of highly skilled labour. For example, Keele Research Centre, Aston Science Park, University of Warwick Science Park and Merseyside Innovation Centre.
The location of manufacturing industries within urban areas has also changed during the 20th century. Older 19th century factories were generally located in the inner city areas of cities. However, during the 20th century these industries declined drastically and any modern industries began to locate out of the inner city areas, at locations on the outskirts of the city. These areas provided better transport links and a more pleasant environment. Modern industrial estates also began to emerge on the rural-urban fringe.