The economic divide between the north and south of the UK has risen between 1997 and 2005, according to research by the Institute for Public Policy Research North (IPPR North).

Whilst the average economic output rose in London and the south east; in Yorkshire and Humber and the north east and north west of England, averages had fallen.

“The government needs to get real on the North-South divide. At the moment, it is in denial,” stated Sue Stirling, director of IPPR North.

"The government has not explicitly targeted the gap between rich and poor, nor the gap between North and South.”

The institute compares the average output per head in the UK (set at a figure of 100) against the averages in different regions across the country. In 1997, London and the south east had ratings of 129 and 114 respectively, compared to 90 in the north west and Yorkshire and Humber and 81 in the north east.

The 2005 figures show that these ratings increased in the southern areas to 136 in London and 115 in the south east, against the fall in ratings in the north west (88), Yorkshire and Humber (87) and the north east (79).