The central thesis of this article is that the recent transformation o
f the economy of the North East of England must be understood as recip
rocally related both to the changing position of the UK economy in the
international division of labour in a globalising economy and to the
restructuring of the UK state, Regional changes are both a product of
and a condition for wider projects of restructuring the UK state and i
ts relation to economy ansi society within and beyond the UK, Such cha
nges are not unique to the North East within the UK; nor are they conf
ined to the UK, The trajectory of change in North East England can be
seen as exemplifying more general tendencies within contemporary capit
alism.