Partition, Industrial Retreat, and Transatlantic Ambitions: Northern Ireland’s Search for Economic Renewal (1920–1960)

Anne Groutel ()
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Anne Groutel: Université de Rouen Normandie

Chapter Chapter 5 in The Two Irelands and the Diaspora, 2026, pp 81-101 from Springer

Abstract: Abstract This chapter gives an overview of the economic evolution of Northern Ireland from the late nineteenth century through the mid-twentieth century, highlighting the region’s brief period of industrial prosperity and the subsequent decline. Initially buoyed by a flourishing linen industry and shipbuilding sector, the north-east thrived until the effects of partition, the Great Depression, and global industrial changes curtailed its growth. Political tensions, including systemic discrimination against the Catholic minority and a lack of intra-island economic cohesion, further hindered development. In response to high unemployment, the Northern Ireland Development Council and related initiatives attempted to attract American investment in the 1950s and 1960s. Despite significant outreach, efforts met limited success until Northern Ireland rebranded itself as an integral part of the United Kingdom and joined the British Industrial Development Office. Only then did American investment begin to grow substantially. The chapter also examines the role of diaspora networks and political image-making abroad, particularly in North America, as tools to influence economic perceptions and attract capital. It concludes that while promotional campaigns had some effect, structural economic limitations and geopolitical factors remained formidable obstacles to sustained economic revitalisation.

Keywords: Industrial decline; Partition; Northern Ireland economy; Diaspora investment; Unemployment (search for similar items in EconPapers)
Date: 2026
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DOI: 10.1007/978-3-032-12355-8_5

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