Birmingham is advocating for increased devolution of powers, similar to those enjoyed by Manchester, to stimulate economic growth and re-establish itself as a national powerhouse. West Midlands Mayor Richard Parker is pushing for the city to leverage its strengths in defense, health, technology, sports, and entertainment.
The push for greater autonomy comes as metro mayors are set to gain more control over business rates and, for the first time, income tax. A study by Harvard and King's College London suggests that a more devolved approach could add £70 billion to the annual output of cities like Birmingham, aligning them with European peers.
Strategic Development and Investment
Birmingham aims to attract strategic firms by highlighting its competitive advantages over London, including lower business and housing costs. The city boasts a young demographic, with a third of its population under 25, and is a hub for 12 universities, providing a strong talent pool. US billionaire Tom Wagner, owner of Birmingham City Football Club, has invested in the city, citing the ease of doing business facilitated by Parker and the West Midlands Growth Company. The company's chief, Neil Rami, emphasizes providing a "softest landing" for inward investors.
Key development projects are underway, including the £4 billion Sports Quarter, envisioned as a globally recognized venue for sporting events and concerts. Another significant project is Digbeth Studios, a film and TV production hub created by Steven Knight, the mastermind behind "Peaky Blinders." The studio complex is set to film the sequel to the popular series.
Sector Growth and Infrastructure
The city is targeting growth in health and life sciences, building on its engineering heritage and proximity to five NHS trust hospitals. Birmingham positions itself as an attractive alternative to the 'Golden Triangle' research cluster of London, Oxford, and Cambridge, offering substantially lower labor and housing costs. The Birmingham University-run Health Innovation Campus, which opened last year, is equipped to support research in pharmaceutical and allied sectors.
However, the city faces challenges. Images of litter-strewn streets, stemming from an 18-month bin workers' strike caused by public service cuts impacting a local authority pension fund, have not aided its image. Al Carns, Labour MP for Selly Oak, has called for Birmingham to be more assertive in promoting itself, stating, "Humility has been our problem. We need to puff ourselves up a bit."
Furthermore, Birmingham's connectivity is still awaiting the completion of the HS2 high-speed rail link from London, not expected before 2036 at the earliest, a contrast to the development timelines in cities like Manchester.
The call for enhanced devolution in Birmingham aligns with a broader national conversation about shifting power away from Westminster, with Mayor Andy Burnham's vision of "good growth in every postcode" resonating with other major cities seeking to redefine their economic futures.