Hertfordshire: What Good Growth means for local families and businesses

The latest Good Growth for Cities 2025 report from PwC and Demos shines a light on how regions across the UK are performing. For Hertfordshire, the results confirm what many of us already know: this is a strong county with real assets, but growth needs to feel more tangible in the daily lives of local residents and businesses.

As financial advisers working in Hertfordshire, we see these themes play out first-hand. The report helps us understand not just the economic backdrop, but also the public priorities that matter most: housing, transport, skills, and thriving town centres.

Hertfordshire’s Position in the Rankings

Hertfordshire ranks in the middle of the pack among the UK’s wider functional economic areas, with a Good Growth Index score of 0.37, little changed from last year. We’re holding steady but not seeing the same leaps forward as some regions like Oxfordshire or Gloucestershire.

That stability reflects Hertfordshire’s strong fundamentals: proximity to London, a diverse local economy, and established sectors like life sciences and digital industries. But it also highlights challenges that residents and businesses feel every day.

Public Priorities Are Shifting

The report shows that people across the UK are now placing less weight on financial factors like income alone, and more on the essentials of daily life:

• Housing affordability – In towns like St Albans, Harpenden, and Hemel Hempstead, house prices remain high compared to earnings, making it harder for first-time buyers and younger families to get on the ladder.

• Transport and commuting – Hertfordshire benefits from strong rail links into London, but congestion and rising costs are affecting work-life balance and disposable income.

• Skills and education – With hubs in Stevenage and Watford, Hertfordshire has strengths in life sciences and digital, but many residents remain concerned about long-term job security and career progression.

• High streets and community confidence – Local centres like Hitchin, Watford, and Welwyn Garden City need ongoing investment to stay vibrant in the face of online retail pressure.

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These are not abstract issues—they shape financial decisions every day, from mortgages and investments to business growth strategies.

What It Means for Families and Businesses

In this context, financial planning becomes even more important. The challenges highlighted in the report connect directly to the advice we give our clients:

• For homebuyers: Careful mortgage planning is vital, particularly as affordability remains stretched. The right structure can save thousands over the long term.

• For families: Education and training are climbing the national agenda. Planning ahead for school fees or university costs provides flexibility and peace of mind.

• For business owners: With new business creation slowing, strong cashflow, protection planning, and succession strategies are key to resilience.

• For investors: Hertfordshire’s growth sectors offer opportunities, but diversification and risk management are essential in today’s uncertain climate.

  
  

The Road Ahead for Hertfordshire

The Good Growth report makes one thing clear: growth is only meaningful if people feel it. For Hertfordshire, that means not just economic expansion, but visible improvements in housing, jobs, transport, and community life.

At BSG, our role is to help local families and businesses prepare for both the challenges and opportunities this changing environment brings. Whether it’s securing a first home, protecting loved ones, investing for the future, or planning for retirement, we work with clients to ensure their finances support the life they want to live.

Hertfordshire has the assets to thrive. With clear strategies from local leaders—and careful financial planning at a household and business level—our communities can not only keep pace with other regions but set a benchmark for growth that truly benefits everyone

Full report is available at: https://www.pwc.co.uk/industries/government-public-sector/good-growth.html