Publications that covered this story include the Evening Standard on 2 August 2018.
- Areas once seen as a byword for inner city deprivation
- Disposable income nearly trebles to £19,260 in Hackney and Dalston
Average incomes in Hackney and Dalston experienced the highest increase amongst all 179 UK regions over the last twenty years* as they have undergone dramatic gentrification.
Gross Disposable Household Income (GDHI) in Hackney increased 199% since 1997 to £19,261 up from £6,448 – more than double the UK average, which saw an 80% rise from £10,817 to £19,432 over the same period.
The London average was a 106% increase in disposable income to £27,151 (see chart below).
GDHI is the amount of money a household has left to spend or save after taxes and mortgages or rent is taken into account.
Hackney, Dalston, Hoxton, and Shoreditch have transformed from being some of the most undesirable places to live into being arguably the UK’s most fashionable centres for bars and restaurants.
Young professionals have increasingly moved into the area following the area’s colonisation by the Young British Artists in the early 1990s. It is now also home to a growing tech industry.
The bars that opened in that first stage of the area’s gentrification attracted in more higher earners who in turn attracted more bars, clubs and restaurants including:
- Mare Street Market, a new food, drink, music and design space in Hackney
- XOYO, a live music and DJ club with a street art aesthetic
- Mangle E8, a famous haunt of reality TV stars
Hackney is also home to celebrities including actor Idris Elba and actress Freema Agyeman of Doctor Who and Torchwood.
Martin Jones, partner in our London office, says: “Hackney and Dalston have gone through a stunning transformation over the past two decades.”
“Whereas a couple of decades ago, many people may have considered Hackney and Dalston as less fashionable areas when compared with other London neighbourhoods, now, they are seen as the most exciting places in the UK to live.”
New transport links have increased the attractiveness of living in Hackney and Dalston even further, reducing journey times into the Square Mile. In December 2017, the London Overground Night Service was extended on weekends between New Cross Gate and Dalston Junction.
Martin continues: “Individuals are increasingly enticed to Hackney and Dalston by the quick transport links which mean that central London is just six minutes away by train. In addition, many are attracted to the property prices in Hackney and Dalston which can often be relatively cheaper than those in some neighbouring areas, most notably Islington.”
Hackney and Dalston see the highest increase in disposable income in the UK in the past twenty years
Blackburn ranks bottom of all UK areas for the smallest increase in disposable income over the last twenty years