After two decades of regeneration, northern cities like Manchester are "vibrant centres" of economic growth, says the Financial Times.

Reporter John Willman was responding to a report by Policy Exchange, which was critical of Liverpool, Rochdale and Sunderland, among other towns and cities, arguing that regeneration had not lived up to its potential.

But Willman says that more than 20 years of regeneration means that northern towns and cities are once again the hub of economic growth.

Liverpool and Manchester are creating clusters of industries that attract investment from around the globe, he pointed out.

"Liverpool is on its way back, with a £1 billion private sector investment in a new shopping centre and ... it has some of the most beautiful buildings in urban Britain," he wrote.

The "great attraction" of Liverpool and Manchester (thanks to the ship canal) is that they are ports, providing links with global markets, thereby bypassing the "congested southeast".

Both the Conservatives and the government have been highly critical of the Policy Exchange report, arguing that years of sustained investment in Liverpool and Manchester have been successful.