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In this paper changes in the relationship between the clothing manufacturing sector and its major customer, the retail sector, are examined. Major retailers, in their search for growth, have turned to market segmentation, increased design, and better-quality garments rather than to a strategy based on cost. This has benefitted manufacturers because of the need for close contact with British suppliers. Both manufacturers and retailers have introduced new technology to cope with the associated demands for improved flexibility, turnaround times, and design. The high cost of automation, however, lays the foundation for increasing concentration and capital intensity within the clothing industry. Despite the apparent opportunities created for the British clothing industry by these developments, it is debateable whether manufacturers have taken, or will take, full advantage. In several garment areas there is evidence that the benefits have been going to manufacturers in other member countries of the European Economic Community, who are increasingly being considered as domestic suppliers by British retailers. The significance of imports from these high-cost countries and the implications for the British clothing industry are also considered.

In recent years there has been a growing interest in sustainable development as a guiding principle to allow the integration of economic development and the environment within policy and strategy. At all levels of policymaking a major emphasis has been placed upon the local scale as the most appropriate for the delivery of such policies and initiatives, with a particular stress upon local authorities as the major delivery mechanism. Though it is often assumed that this integration is relatively unproblematic, this paper indicates that this is not the case. The paper draws upon research with urban local authorities in England and Wales, which reveals that there are varying interpretations of the environment within local authorities, reflecting environmental and economic development perspectives. In each case, however, these are effectively interpretations which tend towards the 'weak' end of a sustainability spectrum and it is suggested that such divergent interpretations of sustainability are hindering integrative activity and the potential for introducing 'strong' sustainability measures.

Urban policies which include energy and environmental objectives are seen as potentially effective instruments in the quest for urban sustainability. Recent consensus is that the modern city region forms an important focal point for assessment and implementation of energy strategies, facilitating practical solutions to local problems as well as providing beneficial additions to national policies. Reducing the carbon intensity of economies both prevents environmental degradation and supports the regional economy in the medium to long term. The authors look at the construction of a CO2 inventory for the Greater Manchester region, an urban conurbation set for economic growth after recent restructuring and diversification. The authors argue that, by providing an indication of the localised carbon flows specific to the region, it is possible to target problem areas, prioritise carbon-reduction strategies, and recommend policies that will case the transition to a more sustainable urban settlement. The increased focus on finding 'local' solutions to the reduction of carbon intensity has coincided with privatisation of much of the energy industry. The newly competitive energy market conflicts with the shift to local-scale evaluations and has resulted in energy details at the regional level becoming increasingly harder to obtain. The problems experienced in the construction of this inventory will be common to other cities in the United Kingdom and will have to be addressed if the 'local' approach is to be as effective as is hoped.