Final answer:
Locals in an area like Somerset who cannot afford housing due to wealthier individuals moving in are being 'priced out'. This is often a side effect of gentrification, a complex process that can displace long-standing residents and businesses. Urban shifts such as 'white flight' and the migration of investment capital also play significant roles in changing neighborhood dynamics.
Step-by-step explanation:
When locals in an area like Somerset are unable to afford their own housing due to an influx of wealthy people from elsewhere in the UK, they may have to move to another location. This is called being priced out. Gentrification of a neighborhood can lead to rising rents and property values, which can result in long-term residents being unable to afford housing and thus displaced. This situation may be compounded in areas without rent control ordinances, which would typically limit the rate at which rents can increase. Furthermore, businesses may also be forced to relocate if they cannot cope with increased rents or changes in the customer base due to the shifting demographic.
The phenomenon of white flight also relates to demographic changes in urban areas. This term refers to the migration of economically secure white people away from racially mixed urban areas, often to the suburbs, which creates socio-economic shifts that alter the composition and character of neighborhoods. As a result, urban core areas experience a reduction in tax revenue, while suburbs may prosper from newly concentrated wealth.
Overall, the geographic movement of investment capital, whether from individuals or institutions, has shaped the lifecycle of neighborhoods. This includes the shift of investments from inner cities to suburbs after World War II and the subsequent decline of inner city areas due to lack of reinvestment. However, some older neighborhoods have been revitalized by immigrants willing to invest sweat equity into them, demonstrating that the fate of a neighborhood is strongly influenced by where and how financial and human capital are deployed.