Include me out? The new politics of place and poverty

London is being successfully regenerated at present, yet poverty and social exclusion are increasing. The paradox is explained in part by the openness of the London economy and the lack of basic skills of a substantial minority of the population. The Government's policies for tackling social exclusion are undermined by conflating the concept of social exclusion with the discredited terminology of the 'urban underclass'. To be effective, policy needs to be less economically conservative, and more focused on piecemeal reforms.