If Labour is serious about reducing regional economic divides, it must move away from Conservative education policies that kept most university graduates clustered in the wealthiest parts of the U.K. The Conservative government’s “levelling-up” agenda fell short in addressing the concentration of university-educated people, according to a recent study from the University of Bath.

The study’s authors argue that the entire country can thrive only if regions have a broad mix of skills—university graduates as well as vocational training graduates. But instead of supporting this balance, the previous government’s policies promoted further education at the expense of universities. This left many less-prosperous areas without the economic boost that graduates could bring.

An ongoing issue

Though Labour has dropped the “levelling-up” slogan, regional inequality remains a central issue. “If Labour really wants to drive growth in struggling regions, it needs to support university graduates working across the U.K., rather than concentrating them in London and the South East,” the researchers argue.

The study highlights an educational imbalance: 60% of people in London hold university degrees, while only 36% do in places like the East Midlands, the North East, and Yorkshire. Further education colleges provide essential technical training, including qualifications like BTECs and NVQs, which lead directly to jobs. But the study found that economic returns on these courses are lower outside London, reinforcing the importance of university options.

The Conservatives often preferred apprenticeships and vocational programs over university education, arguing these routes would help bridge regional gaps. But the study suggests that this strategy has preserved, rather than closed, those gaps. By discouraging university attendance, the researchers claim, Conservative policies inadvertently kept the U.K.’s economic divides intact.

Maintaining the status quo

In effect, the current system maintains the status quo. Many people in poorer areas follow vocational paths, while university graduates from wealthier backgrounds secure high-paying roles in London and the South East. Without intervention, poorer areas continue to supply labour rather than create opportunity.

Labour now has a chance to reimagine education policy. The study’s authors suggest incentives for companies that hire graduates in struggling regions and propose that universities give priority to applicants from poorer areas.

“Labour can’t build a fairer society without addressing higher education,” the study concludes. “A balanced workforce shouldn’t mean that graduates have to flock to London to find opportunities. By rethinking education policies, Labour could help boost prosperity across the country.”