Birmingham - UK's Rising Star
UK’s second largest city, Birmingham, benefits from a Big City Masterplan initiative. In the past five years, up until 2019, it’s economic growth soared by 35%, attracting the eyes of global investors. From 2000, in just 17 years, its inbound investment multipled to 2.50 billion GBP. The High Speed Rail 2, and various infrastructure projects including the expansion of the light rail lines, have induced further growth and FDI investments in 2017 and 2018. Related projects have helped increase the city’s wealth by 10.6% and job opportunities another 30%.
The Birmingham city council predicts that the Big City Masterplan will drive the labor growth from 2010 in the next 20 years and bring an economic growth of 2.1 billion GBP per year and create over 500 thousand job positions.
Population Growth & Property Prices
Following a new city outlook and replanning, Birmingham’s population does not cease to increase. From 2002, and in 15 years, its city population increased by 163%, becoming the second largest populated city in the UK. As its city competitiveness increase, population number has followed, with property prices on the move as demand grows larger.
JLL agrees with this positive assessment in its West Midlands Residential Report 2018 and actually goes further, arguing that Birmingham will in fact see house price growth of 15.9% and rental growth of 13.1% by 2022. These figures are 1.5 times higher and a third higher than the national average respectively. This will be in line with predicted economic growth of 2.1% per year and employment growth of 0.6% per year over the same time period.
The Big City Masterplan
Birmingham’s city competitiveness has steadily increased. Thanks to the 20 year Big City Masterplan which began in 2010. This masterplan has inducted a total investment sum of 10 billion GBP and has vision to expand the City Center Core by 25%. The masterplan includes infrastructures including the river project Brindley Place, Arena Central – home to the HSBC headquarter, a new shopping and transport hub New Street, and Smithfield regeneration project and HS2, to bring about 47million GBP of GVA to the city. The masterplan will drive the city’s growing population and create over 50 thousand job opportunities. The 2022 Commonwealth games will further propel Birmingham’s economy and job growth.
A Soaring Population
The Birmingham Airport expansion and the HS2 high speed rail has reinforced the city’s transporation network. The airport will expand its passenger capacity to 180 million by 2033 fro the 118 million in 2016. A vast and well-connected transporation system will decrease the travel time from Brimingham to London to 45 minutes, creating a new destination along the commuter belt and driving the property market.