The economic impact of the port of Liverpool on the economy of Merseyside — Using a multiplier approach

Abstract

Liverpool developed round the Port which brought prosperity to the region dating from the 18th century. Over the last twenty years, however, changes in trading patterns and cargo-handling methods have had a distinct and drastic impact upon the Port. Today it is struggling to compete with South and East coast rivals. Its economic impact on the local economy is also declining. Through examining activity linked with the Port it was found that (a) jobs totally dependent upon the Port number less than 15,000, (b) firms supplying the Port are generally only dependent upon it for an extremely small proportion of their total turnover and (c) the Port's customers, which tend to be located in the North West, West Midlands and Yorkshire-Humberside, are decreasing in number and are frequently constrained by shipping companies for their choice of port.