Unlocking regional growth with real-time cluster insights

The government's new Modern Industrial Strategy is a welcome signal of long-term commitment to regional growth, innovation and economic resilience. However, to carve strategy into impact, local leaders need sharper tools.

At CBI Economics, we are developing a powerful new cluster mapping and benchmarking tool, designed specifically to help local and combined authorities identify their competitive strengths and attract targeted investment. Grounded in firm-level, real-time data, and underpinned by robust economic modelling, this platform will support regions to lead from the front.

Why we need a new approach to clusters

Industrial clusters - concentrations of interconnected businesses, research institutions, and talent - are vital components of all economies. They spark innovation, provide jobs, and generate wealth in communities. Yet many places lack the right evidence to demonstrate their strengths in emerging sectors or to compete effectively for investment.

The traditional tools we've used to understand the economy, based on outdated SIC codes or high-level sector data, no longer reflect the fast-moving nature of industries like Clean Energy, Advanced Manufacturing, or Digital Technology. Meanwhile, the UK's economic geography remains deeply uneven, and too often high-potential areas are overlooked due to a lack of data.

Our new tool will be a direct response to this gap. It will leverage The Data City's machine-learning techniques to identify businesses within the eight high-growth sectors that form the backbone of the new Modern Industrial Strategy, allowing local leaders to understand local industrial strengths through the lens of the government's long-term strategy. These insights will be paired with CBI Economics' bespoke economic analysis and a practical, user-friendly platform that enables real-time exploration and benchmarking of cluster performance.

What the tool will deliver

This national cluster mapping and scorecard tool will:

• Provide granular data on the scale, productivity, innovation capacity, and growth potential of clusters across every region of the UK.
• Benchmark local clusters against national averages and peer regions, highlighting comparative advantages and emerging opportunities.
• Equip local authorities with a robust evidence base for investment strategies, funding bids, Local Growth Plans, and skills development.
• Support stronger alignment between local strengths and national priorities, including those outlined in the Industrial Strategy.

Why this matters now

The government's Industrial Strategy rightly puts clusters and place-based growth at its core. It emphasises collaboration between local leaders and central government, more responsive investment, and long-term planning to unlock regional productivity. However, to deliver that vision, we need bespoke data, better visibility and stronger narratives.

This tool will deliver all three. By combining advanced data science with economic expertise, it empowers regions to define their growth story with precision and credibility.

Join us in shaping the future

We are currently working with a group of early partners to co-develop and refine the tool. If you're part of a local or combined authority, or you work on regional growth and sector development, we want to hear from you.

To learn more about the cluster tool or express interest in getting involved, get in touch with the CBI Economics team.

About CBI Economics

CBI Economics is the trusted economic consultancy of choice for organisations across many industries, with a proven track record of delivering robust and independent analysis that changes hearts and minds. We are one of several organisations that can help develop the evidence base necessary to support arguments for or against changes in policy. However, what is often missing in other organisations is a deep understanding of the government machinery, the policy landscape and the media environment.

The strength of our knowledge in these areas enables us to be market-leading when it comes to the impact of our work, be that framing the analysis such that it can be most effective in opening productive discussions with government departments or in creating media impact. At CBI Economics, we have the unique expertise which brings these skills together.

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