UK Budget identifies Enterprise Zones as a strategy for Job creation.

Chancellor of the Exchequer George Osborne has announced a total of 21 Enterprise Zones throughout the UK as a strategy to create jobs.Businesses operating in these zones will be able to claim 100 per cent discounts on high speed broadband through the tax system.The London Mayor Boris Johnson will be tasked to identify where in capital enterprise zones will be established.It is thought to follow areas of high unemployment or areas effected by high public sector job losses.The Royal Institution of Chartered Surveyors have initially responded with the following statement.

"It is not clear how effective new enterprise zones will be in stimulating long term sustainable development beyond an initial boost. While the tax breaks and changes to planning restrictions may draw short term investment into an area they also have a number of downsides.

The total cost to Government can be expensive and there often needs to be other public investment in areas such as transport infrastructure. Enterprise zones also draw development from other nearby areas that do not receive benefits, in some cases simply shifting local economic problems from one area to another. While they may have helped some areas in the 1980s, enterprise zones are unlikely to have the same impact now.”