Despite a flourishing evolutionary economic geography, the cluster evolution literature has been somewhat left behind, and remains somewhat simplistic and deterministic. This article seeks to form a synthesis from recent conceptual advancements in the evolutionary and institutional economic geographies, in pursuit of expanding the cluster evolution literature. In the process it produces a novel way of exploring cluster evolution, through the concept of cluster institutional configurations, which focuses on the ability of different actors to navigate potential lock-ins and to drive cluster evolution, and connects it to broader debates in economic geography.

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In the context of the UK economy’s slow and unbalanced growth, this paper discusses the degree to which recent Conservative Governments in the UK have moved towards the adoption of a strategic and coherent set of industrial policies to enhance economic performance across the country. It starts by outlining the priorities and principles of new forms of industrial strategy which emphasises the importance of cross-sectoral goals, intensive dialogue between government and the private sector, co-ordination between different policies and levels of government, directions to address societal and environmental challenges and the role of place-based policy making. The paper discusses the degree to which these principles have shaped, or been largely absent from, recent industrial policy development in the UK and particularly the interface between industrial and regional policies. It discusses the May Government’s move to set up an Industrial Strategy with a place ‘pillar’ and the influence of a mission approach. It then reviews the Johnson’s Government’s ‘Plan for Growth’ industrial policy agenda, focussing on the recent Levelling Up White Paper and examines how far and in what ways it has embedded these reforming principles. It finds that despite reflecting some of these principles in its rhetoric, the current government programme has substituted innovation and infrastructure policies for an actual industrial strategy, and continues to rely mainly on a top-down and technologically driven type of approach. The agenda lacks the capacity to deliver its levelling up goals due to inadequate funding, an incomplete devolution agenda and insufficiently developed place-based capacities and policies. Future development needs to move the principles from rhetoric into industrial policy direction and design, and to remedy the continuing lack of local and regional collaboration and co-ordination.