Mobile workforce creates demand for city centre living in Northern Powerhouse
By Bea Patel on 6 Apr 2017 in Buying, Industry News
The Northern Powerhouse aims to boost economic growth in the North of England, in core cities such as Liverpool, Manchester, Newcastle, Leeds and Sheffield.
Liverpool has now emerged as a property hotspot within the Northern Powerhouse. It’s boosted by an increase in demand for city centre accommodation, from a progressively wealthy and mobile workforce. The predicted property price growth by 2021 is 22.8 per cent.
Liverpool city has become a significant contributor to the Northern Powerhouse, as new powers, responsibilities and resources are provided by the government, seeking to rebalance the economy. Over the past decade, large investments have helped the city expand its job market, academic offering and social presence. These investments have attracted a younger, more mobile workforce with money to invest.
Is now the time to invest in Liverpool?
Philip Hammond has vowed to invest in the Northern Powerhouse, with focus on transport, education, health and social care. This was announced in the 2017 Budget. His plans follow a £72m cash boost to help create jobs and growth. This investment is set to ensure that economic growth is distributed evenly and shared across the country, meaning now is the best time to invest in the North.
Since 2013, Liverpool’s growth has been huge and this is reflected in its house prices. These have been among the strongest in the UK and continue to rise by 7 – 8 per cent each year. The city has also become a magnet for buy-to-let investors, as it offers some of the highest rental yields in the country.
A development, such as Orleans House by Delph Property Group sold 20 per cent of its apartments within three days of being on the market. The development is part of the Castle Street Conservation Area in Liverpool. The apartments provide luxury accommodation at a cost-effective price; something which is no longer possible in larger, Southern cities such as London and Bristol. The Liverpool property market is an ideal balance for buy-to-let investors, with reasonably low property prices and fairly high rents.
Northern Powerhouse investment opportunities
The below infographic shows a breakdown of the investment opportunities in Liverpool.