Natural England

Economic profile

Success in the creation of sustainable rural economy for the North East will be achieved by addressing a number of key issues:

• Whilst the contribution of agriculture to the rural economy continues to decline, it remains a major influence on the quality of the rural environment.
• Micro-business (less than 10 employees) continue to dominate rural business activity. 
• Tourism and leisure related business make an important contribution to the rural economy although the main growth sectors are in education and health.
• There are considerable differences in economic vitality between rural districts. Tynedale, Wear Valley and Morpeth show healthy increases in business registrations while Teesdale has stagnated and Alnwick and Berwick have shown a decline.
• Market towns continue to play a key role in supporting the rural economy, particularly in the remote hinterland. They also provide a focal point for access to services.
• The North East has a relatively low skilled population
• Over 90% of the North East population have access to high speed internet services enabling people to successfully work from home in rural areas.
• The region has a higher proportion of rural people in self-employment than other English regions, which may be due to large areas of remote rural countryside.
• The recent growth in house prices has been strong in the region's rural areas and access to affordable housing especially for those on low incomes remains a key constraint.