Based on interviews with 500 entrepreneurs and company directors, the report titled Future of Business and commissioned by HSBC Bank predicts that five "supercities" will emerge with knowledge based economies instead of businesses based on the consumption of natural resources to create product. They are Brighton, Leeds, Liverpool, London and Newcastle.

Martin Raymond - one of the report's authors – said, "Our panel predicted the rise of supercities and regions over the next 20 years. They promise to change the traditional national and regional power bases because of their proximity to the one thing that does not depend on natural resources - knowledge".

The authors say the recession is accelerating change. "Business used to be cyclical, rhythmic and geographically specific," said Raymond. "Now it is increasingly rootless, borderless and weightless. It is defined as much by our ability to see opportunity in ideas, knowledge and intellectual resources as it is to profit from trading in real products and tangible assets."

The research also predicts the north/south divide will shift as London's economic output wanes and predicts a move north for many workers as competition and high living costs in the south prove untenable. According to the report, as London’s Gross Value Added (GVA) falls 1.5% this year, the North East’s GVA will become more competitive, rising 1.9% in 2010.

About Brighton Raymond said: “Despite being by far the smallest of the five supercities Brighton has a growing number of people involved in creative media and marketing, so called 'soft skill industries', that are popular points of investment and grass roots research and investment in robotics and renewables and is a leading light in the computer gaming industry.”

He said: “It might not be obvious to people living in Brighton but the city is a leading force in robotic technology – there are lots of start up projects and they are lucky enough to receive support from Institute of Computational Neuro-Science at Sussex University.”

“The combination of this technological vibrancy and good schools and universities make it a very appealing place to invest and while there are other cities with these qualities they don't have the lifestyle that Brighton offers, which is the human aspect of investment.”

Click here to download The Future of Business