The Era of Cultural Economics in Wales

A picture of Womanby street in Cardiff

Dr Ani Saunders and Dr Edward Jones argue a culture-led strategy can help regenerate Cardiff’s economy, but ask what cost such an approach might have for the city’s grassroots scene and communities.

The American singer-songwriter Taylor Swift brought her Eras Tour to Cardiff in June. Since it began in March 2023 (Arizona, United States), the tour has broken several records, including becoming the highest-grossing tour ever. 

Cities that hosted Taylor Swift concerts during the US leg of the tour experienced a boost in their economies, thanks to visiting fans (or Swifties) who spent vast sums of money on accommodation, transport, food, and merchandise. Such is the supposed impact of the Eras Tour that the Federal Reserve even mentioned it in its June 2023 qualitative review of current economic conditions and it has spurned a new term to describe the phenomenon: Swiftonomics. This economic impact extends beyond the US; in 2024 Barclays Bank expects that the Taylor Swift tour will increase UK spending by £1bn.

Swift joins a long list of international artists that have recently played in Cardiff. There has been a noticeable hike in Cardiff’s reputation as a go-to city for international superstars and their army of loyal fans. Ed Sheeran, Beyoncé, Coldplay, Bruce Springsteen and E Street Band, and P!nk have all played at the Principality Stadium in recent years. Of course, its capacity and central location are key factors in attracting such names, as is Cardiff Castle, which has provided the backdrop for the Manic Street Preachers, Avril Lavigne, and Noel Gallagher amongst many others.

It is now accepted that culture can be employed as a driver for urban development.

However, the city’s thriving music scene along with the wider creative sector in general have also played a key role in generating this growing sense of vitality in the city. As such, it has become more commonplace for political thinkers and those in authority to make calculations about the value of a place according to the culture that it produces, i.e. fashion, art, music and sport.

Culture-led economic regeneration

Nowadays, culture is a term used to describe people’s behaviour based on their background and community affiliations, yet, as with any terminology, we often assume that it has always been used in this way. However, it was only during the industrial revolution that culture came into common use, and the subsequent importance of such words (including art, industry, democracy and class) represented a critical shift in social discourse (Williams 2017). As the power and might of industry grew, so too did places – their expanding boundaries brought diverse cultures together thereby creating a new landscape for cultural and creative expression.

It is now accepted that culture can be employed as a driver for urban development. This particular definition has become part of the new orthodoxy cities use to enhance their competitive position. International agencies and local authorities perceive cultural-led regeneration to enhance the international appeal of historical buildings and local traditions, increasing their visibility and value (Garcia, 2004). According to Miles and Paddison (2005), culture-led strategies have been widely implemented in economically advanced cities, resulting in transformative changes to the urban landscape and economic performance. Many have been influenced by the work of Richard Florida who highlighted the role of identity and distinctiveness as helpful conditions for attracting a new “creative class” (Florida, 2003).

However, as regeneration schemes that are driven by culture increasingly encompass public, private, and community sectors in order to improve deprived urban areas both spatially and socioeconomically, new opportunities are also being accompanied by emerging challenges. 

Some scholars have warned about the risks brought about by economically driven and consumerist conceptions of culture and cultural heritage (Quinn, 2005). The conversion of central neighbourhoods into creative districts, along with the emphasis on the ‘creative capital’ of historical cities, frequently leads to the conversion of public spaces into areas focused on consumption (Vicario, 2003). The distortion of a location’s authentic character can have a profound impact on socio-spatial enclosures, offering significant investment opportunities that often lead to the displacement of businesses and residents with little economic clout, in favour of more economically privileged professionals (Evans, 2003).

The case of Cardiff

Music tourism strategies are often deployed as part of culture-focused urban regeneration schemes (Ross, 2017) and as such, there has been a growing interest in the contribution of popular music and musicians in shaping and conveying the identity of towns and cities to tourists and other audiences (Long, 2014a). 

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In December 2017, Cardiff Council and the London-based company Sound Diplomacy announced Cardiff as the UK’s first ‘Music City’ along with plans to present a Music Strategy and Action Plan in the following year. This was, in part, in reaction to the success of the Save Womanby Street campaign which was set up in opposition to potential new developments on the street which would pose a direct threat to existing music venues. 

Earlier this year Cardiff Music City Festival was announced which brings existing festivals together under a new banner. Whilst there is certainly room to argue that it could play a role in helping to cement Cardiff’s reputation as a growing cultural hotspot, it’s still uncertain whether it will directly benefit local venues and artists at a grassroots level.

Although such planning strategies capitalise on existing forms of culture, towns and cities continue to lose many of their key music venues and cultural spaces. Since the early 1990s, at least 42 music venues in Cardiff have closed their doors, including The Point, Tommy’s Bar and the Toucan Club. However, grassroots music venues are considered a major factor in regenerating urban areas, bringing people together to not only enjoy music but to also use local pubs, bars, restaurants and taxis. Yet with an increasing number of conflicts between property-led development and small cultural businesses putting music venues at risk, one must question the validity of current interpretations of culture-led regeneration and its impact on music communities.

Although portrayed as a policy that benefits all, economic regeneration policies can provoke disagreement and division.

From a purely economic perspective, one could argue that a lone venue might not directly contribute a significant amount to the local economy. However, from a cultural perspective, it may be a key space for showcasing new and emerging local and national artists who – much like Taylor Swift – may then go on to contribute significantly (both culturally and economically). Smaller music venues provide a space for local musical acts to develop their craft whilst larger venues serve the consumption of music at higher price points. However, as Music Venue Trust suggested in their recently published manifesto, as artists who tour and perform at larger venues have benefitted from the support of smaller venues early in their careers, they should therefore play their part in supporting the grassroots music venues of the host cities.

Rethinking the role of culture-led economic regeneration in Cardiff

Although portrayed as a policy that benefits all, economic regeneration policies can provoke disagreement and division. This becomes even more apparent when considering policies driven by culture, which carry many meanings and symbolisms. The findings from studies conducted on culture-led strategies have revealed their potential for effectively fostering local economic development. However, cultural initiatives and strategies aimed at fostering creativity can also inadvertently contribute to socio-economic disparities within urban areas. 

For example, by implementing a culture-led strategy, Cardiff risks creating ‘tourist bubbles’ and fostering a sense of alienation among locals, who may feel marginalized by the city’s prioritization of aesthetic culture and tourism without adequately addressing their own needs. 

In conjunction with the negative implications of culture-led policies, there remains also a continuous dispute concerning the definition of culture and its inclusive availability. If Cardiff intends to adopt a culture-led approach to revive its economic performance, it is vital the city’s policymakers consider the recommendations presented by the Music Venue Trust. Moreover, all parts of the community should have equal opportunities for cultural expression and celebration.


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Dr Edward Thomas Jones is a Senior Lecturer in Economics at Bangor Business School, Bangor University. His research, which mostly has a policy focus, is primarily in the area of economic growth, regional industrial structures, and innovation in public and private finance.
Dr Ani Saunders
recently completed a PhD in the School of Geography and Planning at Cardiff University, UK. Whilst working within the broader field of regional development, her research focuses primarily on the role of arts and culture in influencing the direction of change and development in old industrial Welsh towns.

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