Economic impact studies assess the way in which an initiative or policy, an event or series of activities affects the local or regional economy. Such research may be conducted as part of an appraisal of options (before a decision is made), or after a project has been implemented – to see whether the effects on the economy are as predicted. There is no single approach, although there are certain principles to follow. For each project the work identifies and then measures the difference that the project makes to employment, standard of living, savings, investment etc. HDL will research the economic impact effects of new roads, buildings, air routes, cultural and sports events, landscapes, national parks, universities and technology. All are based on assessing the difference that the new activity has made to income, expenditure and employment in the local area or region.

While most economic impact studies are concerned with the immediate effects, our work is increasingly looking at how sustainable these effects might be. For example, for most major events there is growing emphasis on legacy and the contribution made to regeneration.