Birmingham was named top choice for people leaving London in 2016 (ONS), house prices and affordability of living in the capital generally being the driving force for relocation.
Between December 2016 and March 2017, the biggest surge in workforce jobs in the UK was in the West Midlands, at 65,000, whereas the largest decrease was in the East of England at 36,000 (ONS), more jobs will mean more of a demand for property in the area.
Managerial, professional and technical positions dominate the labour market, accounting for 39% of total employment. Birmingham also has one of the youngest, most highly qualified and most diverse workforces in the UK.
The total number of new jobs created between 2013 and 2025 is projected to be slightly above 29,000, equating to a 5.7% increase. Employment growth is forecast to be much stronger among higher skilled occupations which are expected to see a 13.5% increase by 2025. This will have positive implications for the housing market as these jobs will command higher salaries and thus improve household affordability prospects.
The initial impact of HS2 will be on Birmingham. The city is already changing fast and undergoing tremendous regeneration and development. Large employers are expanding and, in turn, not only generating more jobs but also a bigger number of higher skilled positions. Relatively low employment and housing costs compared with those of London will support expansion.
Linking Birmingham’s growing financial district and tech sector, including the flourishing creative enterprises in Digbeth, with London via HS2 adds to the attraction for both occupiers and investors enabling further growth.