Supercharged free ports: Putting Mace’s big idea for the North in the dock

Abstract

A report published in June this year by Mace argues that by combining free ports and enterprise zones in the North of England’s ports, the UK could boost its economy by £9bn a year, create 150,000 jobs, and add £1,500 a year to every household’s income in the Northern Powerhouse region after 20 years. It proposes “supercharged free ports” at the ports of Grimsby & Immingham, Hull, Liverpool, Rivers Hull & Humber, Tees & Hartlepool, Tyne, and Manchester Airport. Free ports effectively move the customs border inland so that goods can be brought in and shipped out by manufacturers without attracting tariffs. Combining these with enterprise zones offering incentives such as tax breaks creates the “supercharging” effect, according to Mace. The benefits proposed would almost rebalance the economy, which is currently heavily weighted to the South. This article charts support for the idea, and asks whether the modelling is realistic.