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46(5&6) 1041–1061, May 2009

Urban Regeneration: From the Arts ‘Feel


Good’ Factor to the Cultural Economy:
A Case Study of Hoxton, London
Andy C. Pratt
[Paper first received, July 2007; in final form, January 2008]

Abstract
This paper seeks to examine critically the role of culture in the continued development,
or regeneration, of ‘post-industrial’ cities. First, it is critical of instrumental conceptions
of culture with regard to urban regeneration. Secondly, it is critical of the adequacy
of the conceptual framework of the ‘post-industrial city’ (and the ‘service sector’) as a
basis for the understanding and explanation of the rise of cultural industries in cities.
The paper is based upon a case study of the transformation of a classic, and in policy
debates a seminal, ‘cultural quarter’: Hoxton Square, North London. Hoxton, and many
areas like it, are commonly presented as derelict parts of cities which many claim have,
through a magical injection of culture, been transformed into dynamic destinations.
The paper suggests a more complex and multifaceted causality based upon a robust
concept of the cultural industries as industry rather than as consumption.

Here lives a population as dull and unimagin- literature. First, it is critical of instrumental
ative as its long grey miles of dingy brick (Jack conceptions of culture with regard to urban
London, 1903, p. 228). regeneration. Secondly, it is critical of the
adequacy of the conceptual framework of
Introduction the ‘post-industrial city’ (and the ‘service
sector’) as a basis for the understanding and
This paper contributes to debates about explanation of the rise of cultural industries
the trajectories of post-industrial urban in cities. The paper is based upon a case study
economies in the global ‘North’. Specifically, of the transformation of a classic, and in
it seeks to examine critically the role of policy debates a seminal, ‘cultural quarter’:
culture in the continued development, or Hoxton Square, North London. Hoxton, and
regeneration, of ‘post-industrial’ cities. The many areas like it,1 are commonly presented
paper is critical of two points in the existing as derelict parts of cities which many claim

Andy C. Pratt is in the London School of Economics, Houghton St, London, WC2A 2AE, UK.
E-mail: a.c.pratt@lse.ac.uk.

0042-0980 Print/1360-063X Online


© 2009 Urban Studies Journal Limited
DOI: 10.1177/0042098009103854
1042 ANDY C. PRATT

have, through a ‘magical’ injection of culture, latest theme of such regeneration has been
been transformed into dynamic destinations. ‘culture’. This has two dimensions: the first
The paper suggests a more complex and concerns the construction of mainly high
multifaceted causality based upon a robust culture facilities to make a city ‘attractive’ or
concept of the cultural industries qua industry simply ‘well known’ (Bianchini and Parkinson,
rather than as consumption. 1993; Paddison, 1993); the second concerns
Cities of the global ‘North’ have experienced what has been termed the ‘experience econ-
a dramatic shift away from their economic omy’ where visitors and investors are drawn
base in manufacturing and distribution to into unique place-based experiences either
service-orientated activities—notably, bank- of a heritage or a retail variety (Harvey, 1989;
ing, finance and insurance, and management Pine and Gilmore, 1999). This latter dimension
consultancies. The fact that manufacturing has been elaborated upon by Florida in his
jobs have declined, and moved away, has led discussion of the ‘environments’ (physical and
to a relative and then absolute domination institutional) that attract the ‘creative class’
of service activities. However, it has also led (Florida, 2004). A further debate is that of
to unemployment and migration of former ‘cultural clusters’; whilst there is much con-
manufacturing workers, and in-migration, or fusion within this debate, much of it focuses
inward commuting, of service-sector workers. on consumption practices (Mommaas, 2004);
For example, London lost as many jobs to the dimension of the productive and economic
manufacturing as it gained in financial ser- potential of culture has received less attention
vices in the 1980s (Pratt, 1994). As a consequ- from academics and policy-makers (Scott,
ence, one built environment generally has 2000). This paper argues that this line of
been replaced by another more suited to these debate offers considerable insight into con-
new activities. However, such a transformation temporary (cultural) urban regeneration.
seldom occurs in the same location and hence Specifically, this paper challenges the con-
leads to both new building and dereliction sumption characterisation of culture: the
(Pratt and Ball, 1993). However, such transi- notion that culture cannot be planned, and,
tions are seldom easy or smooth; economic, the instrumental role assigned to culture. In
social and cultural communities are disrupted its place, it underlines a production focus
and transformed in the process creating a new for culture, the potential for cultural strategy
permutation of advantaged and disadvan- and the possibility of developing culture on
taged. A number of very interesting transfor- its own terms. Before exploring this debate
mations have been occurring in some cities and offering a case study, this paper reviews
where cultural industries have occupied and some of what might be regarded as the un-
re-used old industrial premises (Hutton, sound foundations commonly used for under-
2000, 2004; Banks et al., 2000); it is this issue, standing the role of the cultural economy in
and in particular the activities that drive this urban areas.
desire for location in the city, that this paper
will examine.
Some Shaky Foundations of the
In policy terms, urban agencies have in-
Urban Cultural Economy
creasingly focused on the attraction of inward
investment; the terms of such a competitive In this section, I want to review briefly and set
strategy have been cheap land, or employees, up for examination six thematic arguments
and advertising (Short and Kim, 1998) com- that are commonly deployed to account for
monly based upon desirable attributes (often the role of culture in urban regeneration.
represented by ‘quality-of-life’ indicators). The It is not the aim of this paper to offer an
URBAN REGENERATION IN HOXTON, LONDON 1043

extensive review of the literature in this field residential development with precious little
—that would take a whole paper itself—the redistribution, or spread effect, and little
aim here is simply to identify the key para- space or opportunity for cultural producers.
meters of argumentation to contextualise In fact, as this paper will show, the common
the empirical part of the paper. These notions result is the expulsion of the cultural industries
are commonly implicated in debates about from such locales. I would argue that cities
the emergence of post-industrial cities. I will are wasting what are currently one of the
go on to suggest that these arguments are most dynamic industries as ‘starter fuel’ for
neither internally coherent with relationship property development and residential expan-
to culture, nor mutually incompatible. Whilst sion when the cultural industries could be
one may describe a city as ‘post-industrial’ used to develop more substantial economic
if employment in manufacturing is signifi- and cultural agendas.
cantly less, and declining, compared with A second theme, that is part-and-parcel of
services, I take issue with the very conceptual regeneration debates, concerns gentrifica-
division of manufacture and services upon tion. The dominant accounts of gentrification
which this debate is founded. In this sense, point to a combination of a ‘rent-gap’ thesis
the term ‘neo-industrial’ is perhaps more and a cultural particularity (Lees, 2000, 2003);
accurate—in the sense of project-intensive as well as embeddedness in temporal and
organisational forms (Ekstedt, 1999) and also institutional specificities such as tenure pat-
in terms of a hybrid service and manufacture terns and the age of the built environment.
activity (Walker, 1985). Gentrification debates have almost exclusively
It is difficult to evaluate actually existing been concerned with residential-to-residential
‘cultural’ policies adequately as in most cases conversion of property. However, a character-
they neither have singular nor coherent istic of regeneration is the shift between com-
objectives in relation to either cultural produc- mercial uses and a shift from commercial to
tion or to cultural excellence.2 For example, residential usage (the exception is Zukin, 1982).
the dominant mode in which they have been One objective of this paper is to highlight the
developed in the UK has been as a means of process of industrial gentrification: either
facilitating social inclusion, alongside a trad- industrial-to-industrial uses, or industrial-
itional core provision of a proscribed public- to-residential uses.
supported culture. There are some exceptions Thirdly, there are a set of debates that stress
at the urban level in terms of developing the role of the representation of cities and the
cultural economic sector policies. As I will note, way that this links into place-based competition
Hoxton offers a typical experience in that for inward investment (Hall and Hubbard,
what public investment has occurred there, 1998; Kearns and Philo, 1993). Notions of
and has benefited cultural production, has ‘culture’ have been figured in these debates
been serendipitous. The discussion in this in two ways: first, as material and immaterial
paper suggests that culture does play a role, heritage uniquely linked to place, allowing
and could play an even bigger one, in regen- cities to develop their own unique selling
eration if it was addressed properly. position; secondly, through the creation of
In short, I want to counter the laissez-faire new infrastructures, or new practices, that
and a-causal notion of cultural regeneration become associated with a place and hence
that can best be characterised as ‘light the create a unique experience. Moreover, there
blue touch paper and retire’. The problem, are various ways of simply talking up cities
for the cultural industries, is that they briefly via quality-of-life indicators (Rogerson, 1999).
‘shine and burn’. Out of the ashes arises I will offer a contrary perspective here, first of
1044 ANDY C. PRATT

culture as production rather than ornament Sixthly, the concept of business clusters has
and, secondly the far more subtle ways that been discussed alongside the idea of cultural
city spaces can be ‘spun’ in the media. clusters. Mommaas (2004) notes that there
Fourthly, and related, are debates about the is much confusion over the use of the term
creative class. Critically, Florida’s (2002) notion cultural cluster in the policy domain; however,
is based upon the idea of cultural practices the term predominantly refers to public-
and environments being ‘honey pots’ that subsidised, consumption and art/heritage-
attract mobile labour, in particular educated based initiatives. Alongside this is an argu-
mobile labour that will be attractive to high- ment from an economic and management
tech industries. So, at base, Florida’s debate position, characterised by the work of Porter
is one of supporting cultural consumption (1995), that explores the economic dimen-
(Peck, 2005; Pratt, 2008b). This paper high- sions clustering. However, the question of
lights the role of cultural production as well as causality is unclear (Martin and Sunley, 2003).
cultural consumption. In this case, the default Traditional approaches are based on the
assumption of consumption-driven develop- minimisation of transactions costs (Scott,
ment is challenged and replaced by a cultural 2000); however, empirical research in both
production basis. advertising, film and television, computer
Fifthly, the global cities literature has games and new media indicates that the
discussed the role of the rise of advanced pro- role of social-economic interactions around
ducer services (APS). Here, the argument is and across, as well as within, firms is more
that such services are internationally orien- important than traded cost interactions
tated and act as basing points for a global econ- or savings (Gornostaeva and Pratt, 2006;
omy and hence as generators of international Grabher, 2001a, 2001b, 2002a, 2002b, 2004;
resource flows to the city and region. However, Pratt, 2000, 2002, 2006). Before proceeding
as Sassen (2001) acknowledges, even APS is to test these six hypotheses, the next section of
too coarse an analytical frame. There are the paper provides a contextual background
subtle differences within the APS. Moreover, for the case study of Hoxton.
the majority of the literature on APS over-
looks the cultural industries altogether. Where The Case Study: Hoxton
they are considered, the cultural industries
(or more usually advertising) are seen as Methodologies
derived demand from headquarters func- The case study presented here is based on
tions (Beaverstock et al., 2000; Gordon and research supported by a number of funding
McCann, 2000). There is an expectation in sources,3 fieldwork strategies and secondary
the literature that the growth of new media research. In terms of fieldwork, six strategies
will be related to the FIRE industries and were used: first, participant observation; the
their international business; hence, a city author has made regular visits to the area
fringe location might be expected. However, over a period of 10 years. Secondly, interviews
as evidenced by London (GLA Economics, were conducted with key protagonists; the
2004), the cultural industries do play both a author has directed three projects by stu-
significant economic and structural role in dents as part of the Programme MSc Cities,
the urban economy; the question is do the Space and Society; these projects included
cultural industries behave in the same way interviews with artists, estate agents, property
as the APS? (For a more extensive discussion developers, residents and industrialists in
of this issue, see Pratt, 2008a). the locale (Burwood, 2001; da Silva, 2001;
URBAN REGENERATION IN HOXTON, LONDON 1045

Graham, 2001; Ince, 2001). Thirdly, two gradu- Street). The ‘Hoxton’ of new media and art
ate dissertations written on the locale also fame lies within the space bounded by Hoxton
included interviews with key protagonists Square north of Old Street, and the Shoreditch
and new media companies (Harris, 2001; triangle south of Old Street. This area is loc-
O’Sullivan, 2002). Fourthly, interviews were ated within a complex administrative map
conducted with members of the Hackney albeit just within the borough of Hackney;
Planning Department, Rennaisai regener- however, the eastern side of Shoreditch High
ation agency and City Fringe Partnership. Street is Tower Hamlets, west of Old Street is
Fifthly, interviews were conducted with the Islington, south of the Shoreditch Triangle is
Lux new media centre (Pratt and Gill, 2000). the City. The Shoreditch Triangle has an urban
Sixthly, interviews were conducted with new footprint of less than 0.5 km square.
media workers in Hoxton.4 Such an approach Hoxton has always been ‘on the edge’. Its
was necessary given the time-scale covered and early good fortune was to be outside the regu-
the range of topics. In addition to the usual latory control of the City which led to the
academic sources, news media and consult- location of various ‘undesirable’ activities
ancy reports were searched for background (social, economic and environmental) being
information and representational data. The located there: from noxious manufacturing,
detailed methodologies for each strategy to illegal trading and prostitution. As with all
are to be found in the original reports and such locations, Hoxton has always been in the
references cited earlier. shadow of the City; historically, it has been an
area of significant social deprivation.
Location/Context The emblematic core of the area is Hoxton
Hoxton is located in east Inner London, directly Square (see Figure 1), a formal city square
north of the financial centre, ‘the City’, close surrounding a patch of grass and bordered
to Liverpool Street railway station and the by London plane trees. Large Victorian ware-
Broadgate redevelopment. The area is part of houses and former showrooms on major
what is termed the ‘City Fringe’; significantly, roads dominate the south of the area, with
the City Fringe Partnership agency seeks to very small alleys/roads containing work-
promote development in the economically shops at the rear. North of Old Street there is a
depressed area around the eastern and cross-section of the history of house building
northern borders of the City. The ‘City Fringe’ in London; from the square, through large
comprises a number of local boroughs and Peabody housing blocks,5 to GLC and local
wards, and is overlain with a pepper-pot of authority housing blocks from virtually every
spatial initiatives for regeneration and the building period in the 20th century.
amelioration of social exclusion. The area
ranges from Clerkenwell in the north via History
Hoxton to Brick Lane in the east. Hoxton’s history is an example of the con-
The area commonly referred to as Hoxton sequences of unconstrained growth and
is technically Shoreditch; Hoxton proper, rapid urbanisation. The massive 19th century
with its famous market, lies north of Hoxton imperial expansion of the City generated
Square, which is itself north of Old Street. manufacture and trade commonly located
South Shoreditch lies south of Old Street/ in the workshops of Hoxton; it was a massive
Hoxton Square. It is also known under employment generator, attractor of migrants
other names: ‘SoSho’ to estate agents, or the and subject to severe overcrowding and un-
Shoreditch triangle (bounded by Old Street, sanitary conditions. The area performs badly
Great Eastern Street and Shoreditch High in Booth’s classic survey of the London poor
1046 ANDY C. PRATT

Figure 1. The built environment of Shoreditch and Hoxton, and its general location
Source: Hutton (2006).
URBAN REGENERATION IN HOXTON, LONDON 1047

and a graphic illustration can be found in Jack the Young British Artists (YBA) set up studio
London’s more colourful reportage and living space in and around Hoxton. This
social network extended into a number of
No more dreary spectacle can be found on this art forms, including music as innovators in
earth than the whole of the “awful East,” with
post-House and Jungle, and Brit Pop lived
its Whitechapel, Hoxton, Spitalfields, Bethnal
Green, and Wapping to the East India Docks.
and performed there. The area had already
The colour of life is grey and drab. Everything been home to studios and offices of punk
is helpless, hopeless, unrelieved, and dirty. music labels (for example, Stiff records). The
Bathtubs are a thing totally unknown, as my- big draw was cheap and large studio space
thical as the ambrosia of the gods. The people close to London: this ‘arts’ community enter-
themselves are dirty, while any attempt at tained and socialised in its own spaces.
cleanliness becomes howling farce, when it is Later, bars and clubs opened; for example, a
not pitiful and tragic. Strange, vagrant odours famous and pioneering gay club, the London
come drifting along the greasy wind, and the Apprentice (later ‘333’), was on the corner of
rain, when it falls, is more like grease than
Hoxton Square. The YBAs socialised in the
water from heaven. The very cobblestones are
scummed with grease. Bricklayers Arms on Charlotte Street. The
Lux cinema, an arts cinema and the home of
Here lives a population as dull and unimagin- the London Film and Video Workshop, took
ative as its long grey miles of dingy brick. space in Hoxton Square and it became a social
Religion has virtually passed it by, and a gross
and artistic hub.
and stupid materialism reigns, fatal alike to
the things of the spirit and the finer instincts Hoxton was crowned one of the ‘coolest
of life (London, 1903, pp. 227–228). places on the planet’ by Time Magazine (1996)
and it was linked to the notion of ‘Cool
If Jack London is to be believed, then this Britannia’ a theme exploited by the incoming
is an inauspicious foundation for what has Labour administration in 1997. A new wave of
been claimed to be one of the most creative migrants arrived in Hoxton in the late 1990s
places in the world! The area was bombed as it became the epicentre of the new media
heavily in the Second World War and fell industry in the UK. In 2000, Chris Smith, the
further into decline. It was literally the home first Secretary of State of the new Department
of London’s Black/informal market and of Culture, Media and Sport who championed
the site of the 1960s violent gangland turf the creative industries, launched the ‘Year of
wars of the Krays and the Richardsons.6 The the Artist’ in Hoxton Square. By this time,
redevelopment of Broad Street and Liverpool prices had risen and the last artists were leav-
Street stations in the 1980s (what was termed ing for cheaper space further east, and their
Broadgate) undermined potential overspill former spaces were fast being converted into
from the City’s economic activity; more gen- residential lofts; the same fortune quickly
erally, the massive rout of London manufac- beset new media in the crash years (2000–01).
turing was exemplified with the collapse of Hoxton became very trendy, with its own style
the furniture and textile industries that had of crusaders and ‘cultural wannabes’. Shortly
been a staple in this area (Graham and Spence, afterwards, the Lux cinema closed because its
1995; Hall, 1962). Arts Council funding was not renewed.
In just a decade, Hoxton achieved almost By this time, the party was over and Hoxton
mythical status as a cultural ‘hot spot’; and, became a byword for ‘naff’; it had its own hair-
arguably, it fizzled out even more quickly. The style ‘a Hoxton Fin’, and its unique character
schematic history is that, in the early 1990s, was captured in the TV character of ‘Nathan
members of what were to become known as Barley’ and the magazine Shoreditch Twat.7
1048 ANDY C. PRATT

Increasingly, new-build simulacrum lofts generally ad hoc and unco-ordinated. This


and restaurants replaced the old built fabric. in itself is not a dismissal of policy per se;
Beyond the cruel twists of fashion, new rather, it is to point out that public policy has
media and some cutting-edge advertising seldom engaged with commercial cultural
still exist alongside an increasingly up-market production, let alone a hybrid of commercial
and residential consumption space that in- and public initiatives. Much of Hoxton’s de-
creasingly serves as a pied à terre for the City. velopment pre-dates the creative industries
North of the square, Hoxton proper is as poor initiative of the Labour government and
as it ever was and the jobs that used to provide Hoxton was not part of the GLC’s cultural
a livelihood, and a reason to go south of the industries initiative that inspired much of
square, are gone for good. the cultural and creative industries policies
Despite the attempts of numerous regen- that followed in the UK and elsewhere. Hoxton
eration schemes, little has lifted the fortunes does appear in the GLC’s industrial strategy,
of Hoxton; and, despite the massive cultural but under the section on the declining fur-
boost, even today it is still one of the poorest niture industry (Best, 1990).
wards in London: 11th out of 624 (GLA, 2005). As was common at the time, the only area
This fact may seem surprising given that of policy that had an impact on the nascent
Hoxton is known the world over as a by-word cultural cluster was planning policy. Planning
for ‘cool’ and is commonly cited as a paradig- and regeneration thus provide the focus; cul-
matic example of culture-led regeneration. ture is almost entirely overlooked. Shoreditch
The remainder of this paper seeks to explain is located in Hackney and, historically, this
what happened in order to help to under- area has been viewed in a hopeful light as
stand why the ‘regeneration’ of Hoxton has, a strategic bridge between the City and the
at best, been partial. poorer North London hinterland. A core argu-
ment behind the industrial land use zoning
that continued until the late 1980s was the
Six Themes of Interpretation
fear that industrial users would be out-bid
In this section of the paper, I want to reflect by office users if strict land use zoning polices
back on the initial hypotheses and to evalu- were relaxed. However, the industrial decline
ate to what extent they have explanatory of the late 1970s and early 1980s saw 3000
purchase on Hoxton’s development. Whilst jobs lost in South Shoreditch (1978–83). The
the existence of cheap rents (early in the planning liberalisation represented by the
period under study) and proximity to the 1987 Use Classes Order did not bring imme-
City are suggestive, they do not explain why diate change or the predicted office takeover.
Hoxton has turned out as it has (there are Some land assembly was proposed, but little
many other ‘cheap’ areas close by), nor do real change occurred. However, the general
they explain how and why development liberalisation of planning clearly facilitated
followed the course it did; and, a topic I will the cultural changes afoot, as they were mixed
return to in the conclusion, whether there is and not industrial uses.
any indication that such a process might be As if the complex local administrative
repeatable elsewhere. boundaries (see Figures 2 and 3) were not
enough, the slew of initiatives that constitute
Cultural and Planning Policy urban regeneration policies further muddle
Hoxton has not been the subject of a cultural the situation. As we can see from Figure 2,
strategy, nor a cultural planning policy; what the area falls within: the European Urban
development that has occurred has been Area, the New Deal for Shoreditch, the EU
URBAN REGENERATION IN HOXTON, LONDON 1049

Figure 2. The spatial limits of various regeneration policy initiatives

(European Union) Objective 2 business op- later Objective 2 ERDF (European Regional
portunity area, the Haggerston SRB (Single Development Fund) status and Lottery fund-
Regeneration Budget); and City Challenge; ing, released resources for institutions to re-
and it also lies within City Fringe. furbish buildings in the area (for example, the
Regeneration funding began to be targeted Blue Note, Lux, English National Opera and
on the area in the early 1990s (1992 City Chal- Circus Space); however, these projects were
lenge £37.2 million). The objective to create a generally focused on institutions and on pro-
Dalston Corridor and the Old Street Gateway viding training or exhibition resources in the
was to be the ‘entrance’. This money, plus the area targeted at the wider city, rather than
1050 ANDY C. PRATT

Figure 3. Borough and ward boundaries

being a response to demand from local a version of this whereby landlords minimise
residents. their risks of investment by delaying refur-
bishment as long as possible, then catching a
Gentrification rising market. However, whilst the economic
The practice of property development is in processes are similar, gentrification theory
essence simple: buy cheap and sell expensive. is based upon residential markets. Zukin’s
However, the problem is the risk, and cost, of (1982) research on the Soho (New York) loft
money borrowed in the interim. The classic market is a lone exception and, tellingly,
‘rent-gap’ theory of gentrification expresses outlines a subtler story about the interface of
URBAN REGENERATION IN HOXTON, LONDON 1051

economy and culture, pointing to the import- with the City and hoping to draw economic
ance of the ‘taste’ of the residential incomers development north. Although Hoxton was
and the impact on non-residential users. not really the focus of this initiative, zoning
Whilst there has been a cultural turn in did create access to grant funding.
the gentrification literature, it fails to engage In Hoxton, it was not estate agents that
with Zukin’s point (which she states as an after- created the market, but rather an ex-Royal-
thought in the preface to the British edition College-of-Arts sculptor, David Nicholson.9
of her book) that the creation of a habitus sus- In Zukin’s terms, Nicholson understood
tained by working artists is the key attractor and promoted the habitus of the artist. His
and differentiator in loft developments. A company Glasshouse Investments bought
closer reading of Zukin (1982) does suggest studio space in the early 1990s in Charlotte
that the habitus is perhaps sometimes better Street, then in Hoxton Square and in Coronet
considered as a driver of change (as cheap Street.10 Glasshouse worked with Hackney
property can be found in many places).8 It and the British Film Institute to leverage
would require a more extensive paper on this public-sector funding for the Lux cinema that,
point alone to do this justice; suffice to say later, was to become a magnet for cultural
here that the manipulation of taste and the entrepreneurs in the locale. At this time it
exploitation or marketing of styles are the key was an extremely risky venture, but like other
skills of estate agents and property developers. property entrepreneurs, he targeted artists.11
Moreover, there are a number of points of con- As one estate agent commented at the time
fluence and conflict of interest between the regarding the potential for the market in the
various agencies involved. The next part of area
this section takes this point a step further
and looks at wider media representations in Nobody wanted to be here, there was … drugs,
it had a real bad reputation … shootings, and …
‘talking up’ the area. Before this, I will describe
a few crimes happening there on a regular
the processes as they occurred in Hoxton. basis (Harris, 2001, p. 15).
An element that reduced the risk for devel-
opers and enabled the informal mixed-use Glasshouse sponsored Compston’s ‘Factual
activity was the reform of the Use Classes Order Nonsense’ (see later) to use Hoxton Square
(UCO). Essentially, this relaxed restrictions for the Fete worse than Death 2 (1994) and
of permitted use of buildings and in effect Nicholson clearly saw a way of drumming
facilitated what had previously been planned up business amongst artists for his lofts. The
and zoned as light manufacturing to become baton was passed to Sterling Ackroyd for
mixed-use, artist studios and eventually plain The Hanging Picnic (1995). The estate agents
residential. In a remarkable rear-guard action Sterling Ackroyd played a dominant role in
to avoid what was feared to be mass demo- the property market in Shoreditch in the late
lition of Shoreditch, the planning authority 1990s and moved to a new office in the tri-
declared the whole a Conservation Area in angle in 1998. Without a doubt, the property
1986. However, the impact of laissez-faire developers eventually successfully lever-
regulation did not happen (in the way ex- aged both Compston’s and the YBA cultural
pected); for example, Hackney had hoped to assets.
sell off a corner of Hoxton Square in the late Whilst Compston was a pioneer, he was
1980s, but the market slumped. In retrospect, not the first to get into property; the prize for
Hackney were completely wrong-footed by that goes to SPACE. Initially set up in London
what happened in Hoxton. Planning policy by the artist Bridget Riley in 1968, SPACE, like
was focused on the Dalston Corridor, linking ACME,12 specialised in short-life buildings that
1052 ANDY C. PRATT

are let out to artists. SPACE later developed the property, there is a good chance it would
a larger portfolio of East End properties still be active.
for artists’ studio space, first in houses and
then in factory blocks (Green, 1999, 2001): Representation
it opened an office on the corner of Hoxton Perhaps the defining moment for both ‘Cool
Square in 1990. Britannia’, Creative Britain and Hoxton was
Another group of residents, the main resid- an article that appeared in the 4 November
ents in the Shoreditch triangle, were the small 1996 issue of the US periodical Time Magazine
manufacturers (making buttons and engaged that sought to ‘dip into the creative melting-
in specialised tailoring). In contradistinction pot that was Britain’. As others have noted,
to residential gentrification theory, the propri- a major spur to this activity was economic
etors of these businesses were not in the least decline and the withdrawal of public-sector
upset to be moving on. First, the premises funding for the arts (McRobbie, 1999). Punk
were too cramped for modern transport; and, was one expression, one that was echoed
secondly, the property values had risen such across the arts, but critically and unwittingly
that the buildings were worth more than the funded by the new ‘Enterprise Allowance’ that
businesses. Some of the proprieties had been sought to make Britain a country of entre-
letting out vacant space to artists at this time; preneurs. The Enterprise Allowance effectively
so, it was a natural transition either to sell up gave young people a wage whilst they set up
or to relocate to outer London (Burwood, a business or self-employment. Various cul-
2001). Those who sold up were often relieved tural entrepreneurs seized the opportunity,
leading to a huge upsurge in DIY (do it yourself)
to go, as button production, for example, had
culture.
become significantly cheaper in China.
Within weeks, the notion of ‘Cool Britannia’
Thus, the narrative of ‘commercial or indus-
had been coined and traded on by British
trial gentrification’ may not be one of forcing
newspapers. The incoming New Labour gov-
out, but of willing flight; clearly, there are
ernment, just six months later, sought further
still conflicts of interest between artists and
to exploit this notion for publicity value and
property developers and the tensions between
popularity (Pratt, 2005). The well-publicised
use value and exchange value.13 These conflicts
receptions at 10 Downing Street for pop stars
were further exacerbated by a relaxation of and artists (Harris, 2003), the establishment
planning controls. Whilst Hackney’s strategy of a ‘Department of Fun’ (DCMS) and the
at the time was to retain light industry for the commissioning of reports on the economic
area, the visionaries were SPACE and organ- contribution of the creative industries set
isations like them who sought to secure the ‘mood music’ (DCMS, 1998). The Brit Art
owner-occupation for artists, so that they had and Brit Pop phenomena, linked to a new
a sustainable future (Clark, 2001). In the face projection of national self-confidence, were
of laissez-faire UCO, only a not-for-profit crowned by the plans for the Tate Modern Art
developer like SPACE could intervene; in Gallery (Leonard, 1997). One of the engine
retrospect, a new raft of (different) planning rooms of this process was Hoxton. Time
controls might conceivably have slowed the Out’s 1999 ‘hip 100, favourite faces and places’
artistic and new media rout and in so doing ranked Hoxton No. 2, after fashion model
held on to production activities in the area. Kate Moss (Graham, 2001). The Guardian’s
The case of the Lux exemplifies this issue; it A–Z of contemporary art simply had Hoxton
was closed down due to rising rents. If public as the ‘H’ entry. By 2000, insiders would say
funding agencies had secured ownership of that it was all over; symbolically, in June that
URBAN REGENERATION IN HOXTON, LONDON 1053

year the New Yorker magazine called Hoxton went to those who already had money and
the ‘chicest place in the inhabited universe’; opportunity for the most part, and invariably
the Hackney Gazette’s take on this was that it these workers came from outside the area.
was “So hip it hurts”(Hagger, 2000).
As noted earlier, it was not long before the Creative Class
backlash began; in true Hoxton style, much Florida’s (2002) notion of the creative class
song and dance was made of it. A film Low is of a group attracted to a place by its con-
Lifes and High Heels (2001), the Shoreditch sumption characteristics; it is this group that,
Twat magazine14 and Chris Morris’s satirical in turn, attracts hi-tech employers. Does this
TV series Nathan Barley (where ‘Shoreditch help us to understand Hoxton? Superficially,
twat’ migrated into ‘Hoxton twat’), all sought it does. However, as already noted, the instru-
to point a (knowing) finger at what the mental and consumption focus of Florida’s
Shoreditch Twat called the ‘Marylebone tun- argument misses a number of important
nelers’. The ‘tunnellers’ were what was seen processes related to production (see further
as the invasion of ‘trustafarians’15 and their discussion in Pratt, 2008b).
like into the area as the artists and new media One way or another, Hoxton has always
moved out; these incomers are characterised been a liminal space. From the prostitution,
as frauds, liking to pontificate on the basis drinking and the establishment of England’s
of no knowledge and less sense, on all things first theatre, Hoxton has always been in the
cultural and digital (Harris, 2001). ‘entertainment industry’. What Hoxton had
This has led some to comment on the ‘cul- to offer was space and grime, and little regu-
tural ambulance chasers’16 in the same vein lation. At it turned out, this was precisely what
as gentrifiers. However, the point is that it is the market wanted. In the recent period, we
a process that can be enabled or constrained can track the arrival of a number of punk
(if it is understood); different actors gain music independent labels and studios in the
advantage at different stages. The argument 1980s. The influx of artists into Hoxton in
of this paper is that, if the process had been the early 1990s was more significant. This
comprehended, then perhaps a more socially was not in itself new; artists had since the late
inclusive strategy might have been devised. 1960s been colonising east London (Green,
The problem for policy-makers, even if 2001). Significantly, Hoxton attracted a
they understand the process, is that the cycle number of artists who later became known
happens so quickly and that the key gener- as the YBA and attracted considerable cri-
ative agents do not have time to establish tical and commercial success (Graham, 2001;
themselves (artists or new media producers Harris, 2001). The artists used the streets for
in this case). What wins out is money, which experimental shows; they lived there, as did
as we can see is increasingly focused on con- a number of the new Brit Pop artists such as
sumption and, hence, to an extent, parasitic Jarvis Cocker of the band Pulp. In addition,
of the new creativity that has characterised fashion designers such as Alexander McQueen
Hoxton. What is critical here is that some also had a studio there. The Blue Note (jazz)
parts of the Hoxton area have improved club was closed, but re-opened as the post-
economically; however, there is a population House, Blu Bar. Interestingly, the owner used
deprived of work on its doorstep that has to work for Stiff records; this bar became
received little or no benefit from this develop- a venue for emergent Jungle artists such as
ment at all (da Silva, 2001). Indeed, what jobs Goldie.
the ‘new’ Hoxton had provided were lost to This is not quite the ‘squeaky clean’ Florida
the ‘old’ community as the new good jobs version of the new consumption playground
1054 ANDY C. PRATT

of the creative class. We can highlight a long visual projections on buildings and instal-
durée of marginal and semi-legal activities lations in the park; a perfect expression of
with little surveillance. Moreover, the critical modernism. The Lux was a leased building
contrast with the Florida model is that the and part-funded; however, the Arts Council
creatives in Hoxton were producers and ‘real and the Film Council withdrew key funding
artists’ rather than consumers grazing on the in 2001 and the Lux was forced to close. This
latest trends in their lunch hours or week- unwitting act helped to unravel cultural
ends. Hoxton’s rise as a cultural powerhouse production in Hoxton and prepared the way
was in its phase as a producer rather than as for its new role as an antiseptic consumption
a consumer. space. The majority of the properties in the
The buzz attracted galleries and dealers square were converted into residential, or
in much the same way as it had done in New rebuilt as residential, accommodation, and
York’s Soho (Zukin, 1982). Hot on the heels new restaurants were opened.
of the YBAs were the new media companies
who sought a fusion of art and technology, Global Cities and APS
along with an atmosphere of libertarian If we assume that new media are an advanced
politics (New Media Knowledge, 1999). The producer service, then we would expect them
presence of artists who courted ‘stardom’ to be engaged in a large proportion of inter-
along with Brit Pop, which sought to create national trade and to have little linkage
a ‘sixties’ feel to London life, inevitably also with local firms. The interviews that we
drew in parties, bars and restaurants. Before have carried out suggest that, whilst there
long, Hoxton was the place to be, and to be is an international presence, trade is mainly
seen. The opening of the prestigious White national; this is echoed by the structure of
Cube Gallery 2 cemented this reputation as both the new media and advertising indus-
new art space and the centre of ‘cool’.17 By tries. However, it might be that financial
this time, property prices had exhausted the institutions were outsourcing new media and
pockets of artists, as well as those of new thus trade would be expected to be spatially
media companies (who were suffering from tightly focused. This hypothesis has been
a partial market restructuring post-2000). suggested to explain the growth of new media
The final artists moved out of Hoxton Square in Hoxton and the wider City Fringe (Gordon
in 2001 along with the last of the light manu- and McCann, 2000); contra the partial survey
facturing activities that had survived the 1970s of O’Sullivan (2002), there is little evidence to
(Burwood, 2001; Graham, 2001). The sym- support this; our survey generated quite the
bolic transition was the closure of the Lux opposite perspective: new media companies
cinema. in Hoxton have little or no connection with
The Lux was a gallery and studio opened in the City in terms of their business activities.
1997 that also was a home to the London Film It is true to say that, whilst physically close,
and Video Co-operative (LFVC) and a cinema. they operate in quite different social and eco-
The cinema showed a very left-field range of nomic worlds. (This argument is developed
art cinema and talks; the LFVC ran a number in detail in Pratt, 2008a.)
of innovative new media training projects Thus, whilst we could continue to debate
that yielded world-beating techniques and the definition of APS and the role of new
artists. The gallery served as a showcase and media (where they are an exception), they
the coffee bar as a focus. On many occasions, certainly do not fit the expected norm of an
the gallery spilled out into the square with APS through a linkage to the financial services.
URBAN REGENERATION IN HOXTON, LONDON 1055

Instead, the linkage is with film, TV and ad- neither of which is close to Hoxton (Harris,
vertising. Moreover, the local networks of 2001). However, the artists from these institu-
operatives and principals seem critical to the tions were looking for studio space and a place
sustenance of an élite ‘reputation economy’ to live. Goldsmiths is easily accessible via the
based upon face-to-face interactions and East London line; and, access to Kensington
long-term work associations. The relation- (RCA) is easy from the City. However, com-
ship between new media and the City, and muting was not the issue; a studio and a critical
that of APS and the cultural sector more gen- community were. For these artists, a key gal-
erally, is an important sub-theme here. We lery was the Whitechapel, which was close by,
have examined this in more detail elsewhere where Nicholas Serota, the future Tate Modern
(Pratt, 2008a). In summary, artists’ production curator, was located. However, in that part of
networks and new media production networks east London, a whole network of ‘art factories’
were not focused on the City, but on the wider had sprung up (Green, 2001). Artists were
British art scene, music, animation, film, TV seeking to support themselves and at an early
and the advertising industry. As prices rose, stage in their careers when experimentalism
artistic and new media producers were forced is all. The YBAs in particular experienced a
out and replaced by consumer residents, many career more like pop music stars being cham-
of whom worked in the City (in this sense, an pioned, and bought, by dealers and collectors
archetypical ‘Florida’ creative class). This is such as Charles Saatchi.
when Hoxton’s fortunes began to decline. A key personality was Joshua Compston
who opened his Factual Nonsense gallery—
Clusters the first in Hoxton—in Charlotte Street in
Without doubt, the art galleries and bars of 1992. Compston organised a number of street
Hoxton have become a consumption cluster; fairs entitled A fete worse than death, that
the question is, has this delivered the regen- populated both Charlotte Street and Hoxton
eration effect, or killed it off? The positive Square with art (Harris, 2001). Critically,
expectation of business clusters in the city has Crompston sought to
been based upon the potential minimisation
of transfer costs. On the one hand, in respect exploit and eventually explode the gap be-
tween art, advertising and entertainment, high
to the movement of goods, this is a minor
street retailing and real estate development
factor; in respect to new and old media, on (Stallabrass, 1999, p. 185).
the other hand, with regard to labour markets
and labour pooling, as well as knowledge and Compston died in 1996, symbolically marking
reputation (Grabher, 2001a; Pratt, 2006), the beginning of the end of Hoxton idealism.
localised social and economic effects may be Interestingly, several of the new media
amplified. people to whom we spoke also had a history
It is this complex web of social and eco- in the RCA. This was the case with one of the
nomic networks that seems to offer the most founders of what became a hugely successful,
convincing account of Hoxton’s develop- perhaps at the time the UK’s premier, new
ment. The social networks that embedded media company in the country: DeepEnd.
Hoxton in London and beyond, and became DeepEnd had a complex and flat organisa-
embedded in Hoxton, were not self-generated tional structure and spawned a number of
but migrated towards it. Perhaps the two project groups: DeepGroups. In 2000 the
most influential institutions were the Royal company failed; however, a large number of
College of Art (RCA) and Goldsmiths College, the key players in new media, especially those
1056 ANDY C. PRATT

linked to advertising, can trace a history to in the urban economy. The elision of these
either DeepEnd, or Hoxton. By the early 2000s two aspirations is understandable, but risky.
Hoxton had moved from being a sign of the In this paper, we have sought to take a cau-
‘edgiest’, ‘inventive’ and ‘creative’, to being a tious and critical approach to assumptions
‘bunch of posers’. New media companies sug- and hypotheses about the role of culture in
gested that to locate there was to undermine cities. We have argued that such a sceptical
business confidence (such was the hype circu- approach is all the more justified as cultural
lating about the new media crash). Alongside strategies are the current ‘flavour of the
DeepEnd there were a number of other key moment’ the world over. Clearly, given the
innovators in the London new media scene, expectations loaded on culture and the cul-
many of which took a less commercial and tural economy, it is important that we fully
more ‘art’-related route such as Soda and comprehend and understand the processes
MetaMute. involved and what, if anything, can be done to
The development of new media was both a shape them. The suggestion is that we do not
London and a local phenomenon, the devel- understand what is going on so far and that
opment of which drew in filmmakers and standardised explanations of agglomeration
artists. The first phase of new media activ- or place marketing miss the point. This paper
ity was characterised by a large number is a challenge to such accounts.
of innovative companies that had a social This paper has sought to find a fine balance
and sometimes activist agenda as well as a between providing empirical detail and gen-
financial one. These companies developed as eralisation. The paper has highlighted the
a social network sharing resources as well as need to consider cultural production as well
competing for work first in web design and as consumption; and, to consider the specific
later on the fringes of advertising. After the role that cultural production may play at some
market crash of 2000, many companies frag- times in particular urban settings. Rather
mented but re-emerged in different forms; than falling back on the simple dualism of
notably more closely allied to, or as subsidi- production and consumption, the paper does
aries of, advertisers. The second wave of new point to the recursive formation of both in
media growth has been more closely asso- situ—a notion that habitus captures. Whereas
ciated with advertising and in part this has habitus is commonly used to refer to resid-
drawn the centre of gravity to Clerkenwell. In ential gentrification, here we noted that it had
addition, a second wave of more financially the potential to provide insight into cultural
orientated companies has developed. The production.
advertising industry, even the on-line adver- Richard Florida’s (2002) book has perhaps
tising industry, is almost exclusively nation- extended the life of place competition stra-
ally based in their operations and contracts tegies. It is important to point out that, what-
(although they may be involved in an inter- ever other benefits such strategies have, they
national network) (Pratt, 2006). are based upon an instrumental use of culture
and on consumption strategies alone. Thus,
Discussion logically, it would be inappropriate to ex-
pect regeneration of production as a result.
Some big claims have been made for the role As Mommaas (2004) points out, the field of
of culture in relation to urban regeneration; cultural clusters is already confused. Florida’s
likewise, there is a growing expectation that notion confuses it more; however, as with
the cultural economy may play a critical role cultural clusters, creative cities/classes either
URBAN REGENERATION IN HOXTON, LONDON 1057

function as competition strategies based accounts is found wanting. The laissez-faire,


upon the promotion of élite consumption, ‘do nothing’ approach is not credible as there
or heritage sites, or both. are clearly so many institutional factors at
To take another tack on the creative class play; moreover, the expected multiplier or
debate, the failure adequately to analyse spill-over effects simply did not materialise.
class micro-structuration is a gap in Florida’s The gentrification approach was found to
work. As noted in this paper, the subtle dif- be partial, especially as most scholarship has
ferentiation of cool/not cool and authentic/ focused on residential, not industrial, gen-
fraud is a fine line, one that is further inten- trification. The findings here were suggestive
sified by the distinction between production of the fact that industrial gentrification may
and consumption. The point is that it is very have a different set of dynamics; however, we
difficult to identify unproblematically a single found some concurrence with Zukin’s (1982)
‘creative class’ when such social and cultural argument about the role of habitus, artists
‘trench warfare’ is going on; again, it is a and developers.
theme that should be acknowledged and ex- Thirdly, the role of representation was
plored in future work on such clusters. noted as extremely significant in Hoxton.
Positioned against these popular concep- In fact, it might be argued that Hoxton was
tions and the strategies derived from them are a place marketer’s dream. The analysis
a new set of policies that are often confused shows that, despite international publicity,
with them, but which draw upon a different marketing does not sustain development,
logic: those based upon cultural production. especially when that development is rooted
Just as cultural consumption is growing, so in consumption. Moreover, the Hoxton case
is cultural production; in fact it is one of the also revealed the two-edged sword that pub-
growth areas of the economy (DCMS, 1998). licity is and evidence of a ‘backlash’ that
The question is, how is such growth harnessed adversely affected the area. The paper did
for, and accommodated in, the city? This paper examine whether a ‘creative class’ (in Florida’s
represents an attempt to engage in this de- terms) could account for Hoxton’s rise in
bate for the position of understanding the fortunes. Again, the empirical evidence did
processes. In this sense, it may act as a call for a not sustain the idea; in fact, what emerged
reconsideration of culture and its productive, was that the social production networks of
as well as consumptive, modes of analysis and artists and new media workers were critical.
policy consideration. Finally, the argument that cultural industries,
The main conclusion from this paper is as a sub-section of the APS, were dependent
that, in the case of Hoxton, neither existing upon the financial services of the City was
policies, nor explanations, have generated a noted; interviewees were able to give such a
very satisfactory explanation of practice, or notion little support.
guidance for action. In fact, our analysis has Where does this leave us? Clearly, represen-
pointed to examples of a number of ways tations of cities are important; however, the
in which—if it had been understood at the literature seldom looks at the downside, the
time—cultural production might have been backlash or the resistance to such strategies.
assisted. The paper reviewed six key argu- In the Hoxton case, the mix was particularly
ments that were put forward to ‘explain’ the complex. This was exacerbated by the fact
growth of the cultural economy in cities. that the representation, and the struggles
When tested against the available evidence over it, were an epiphenomena of a range
from Hoxton, much of what is argued in these of other conflicts between production and
1058 ANDY C. PRATT

consumption, originality and ‘fraudulence’. 2. The classic dichotomy in arts policy is between
This case study has opened up a number of inclusion and excellence. The cultural policy
conceptual assumptions about the relation- dilemma is between cultural excellence and
ship between culture and cities; it has high- profit. These do not have to be dualisms, but
they commonly are.
lighted that cultural production may play a
3. The ESRC and the Arts Council of England.
generative role; also, that there is a complex 4. E-society project: e-clusters in an e-society?
process of industrial gentrification that Ref: RES 314-25-005.
would repay further examination. 5. An early form of voluntary social housing
Clearly, this paper is only an exploratory financed by the Peabody Trust.
account of these issues; it is not a result that 6. Notorious ‘gangland’ bosses.
can be simply generalised. It may be that 7. The fact that these minor inflections of irony
Hoxton is a one-off, although there do seem and culture were projected onto a national
and international stage is evidence of the
to be a number of similar quarters in cities
‘reach’ of the cultural transformation (and
around the world (see for example, Lloyd, backlash) that was represented by Hoxton.
2006). Rather than claiming exceptionalism, 8. Clearly, there is scope to focus a research
or a new model, the point that has been project entirely on the mobilisation of habitus
made is the need to pay more attention to the as Zukin suggests. However, that might be a
complex processes of cultural production in fruitful focus for future researchers with more
cities—and to the social networks that sus- substantial resources to support an extensive
tain them. Furthermore, more exploration of ethnographic research programme.
the potential role that policy-makers might 9. This section draws upon empirical material
from Harris (2001).
play in shaping these industries is needed.
10. Other development companies later became
However, as noted earlier, simple identifi- involved—for example, the Manhattan Loft
cation of the industries and activities is a first Company.
priority, quickly followed by the need for a 11. For example, the Custard Factor y in
deeper understanding of the operation of Birmingham and the Truman Brewery in
the cultural industries. Associated with this, Brick Lane, London.
the paper has highlighted the value of mak- 12. A similar agency, set up later.
ing a longer-term examination of culture in 13. Although not part of the main narrative in
cities; it is evident that the roots of Hoxton run this paper, there is clearly a need for more
research into the phenomenon of industrial
deep in history and far across London. Above
gentrification.
all, this study has highlighted the need to 14. The term ‘twat’ is an obscene term of abuse
attend to the complexities of socioeconomic- but used to indicate dismissivness and disdain
cultural action: in and across firms, between for the victim. The reference to Marylebone
formal and informal activities, between art (a rich, trendy and exclusive shopping area
and commerce, and between public and pri- of North London) is that the rich youth are
vate sectors. Further research on these topics, accused of ‘slumming it’ in Hoxton, gaining
grounded in empirical studies, is urgently access to Hoxton through money not artistic
required if we are to understand fully the merit.
15. ‘Trustafarians’: upper-middle-class people
emergent neo-industrial city.
who do not have to work for a living, being
supported by parental trust funds, so that
Notes they can ‘dabble’ in culture. The claim is that
it was money not talent that enabled the art
1. For example, the Northern Quarter, Manchester, practice; and, for the critics, it was also the
the Lace Market, Nottingham, the Jewellery lack of authenticity of their work and action
Quarter, Birmingham, and The Lanes, Brighton. (a strangely Adorno-like statement for such
URBAN REGENERATION IN HOXTON, LONDON 1059

post-modern times!) that led to them being GLA Economics (2004) Measuring creativity: 2004
subjected to derision. It is also a claim that update of the GLA’s creative industry economic
this group were ‘fellow travellers’ rather data. GLA, London.
than ‘originals’ (the local term is ‘cultural, Gordon, I. R. and McCann, P. (2000) Industrial
ambulance chasers’; echoing the critique of clusters: complexes, agglomeration and/or social
some legal professionals who prey on the networks?, Urban Studies, 37, pp. 513–532.
small claims of the poor, who are also termed Gornostaeva, G. and Pratt, A. C. (2006) Digitisation
ambulance chasers). and face-to-face interactions: the example of
16. See note 15. the film industry in London, International
17. The opening was a major media and (film Journal of Technology, Knowledge & Society, 1,
and music) star-studded event. pp. 101–108.
Grabher, G. (2001a) Ecologies of creativity: the
village, the group, and the heterarchic organ-
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