MIDAS Partnership - Invest in Manchester · 2020. 2. 3. · Sarah Mills Exec. Assistant and Project...
Transcript of MIDAS Partnership - Invest in Manchester · 2020. 2. 3. · Sarah Mills Exec. Assistant and Project...
MIDAS Partnership Q3 Report FY19/20
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Following the general election, initial market analysis is that business confidence has improved to become cautiously optimistic. The expectation is the new Governments large majority will provide the UK economy with several months of breathing space, given a no deal Brexit on January 31st was averted. Now that corporation tax and wage levels are likely to remain more stable, analysts expect investment levels to improve. GDP growth for Q1 and Q2 2020 (calendar year) is expected to be 0.4% - surpassing the 0.2% average of last year.
Manchester has also retained its title as the
best large city for business friendliness and
rose from 4th to 2nd in the connectivity
rankings. The city also secured 3rd position for
FDI strategy in Europe, although Manchester
has slid from 6th to 9th in the ranking for
economic potential – a list that we expect
other European cities to have fared more
highly within.
Looking over to Europe, later this month the
Financial Times will publish its fDi European
Cities and Regions of the Future report for
2020/21. Although we will not know the
positions of other cities until the report is
released, we know that Manchester has
secured a place in the top five best large
cities – rising one place from 6th position in
the 2018/19 report.
Economic and Investment Outlook
Quarter 1 FY20
12 727 £45.9M 109
successes jobs created GVA projects added
Quarter 2 FY20
13 592 £49.0m 115
successes jobs created GVA projects added
Quarter 3 FY20
18 549 £37.4m 123
successes jobs created GVA projects added
FY20 43 1,868 £132.3m 347
YTD successes jobs created GVA projects added
Delivery Against Objectives
1. To increase high value and capital investment in Greater Manchester
HEADLINE BUSINESS DEVELOPMENT PERFORMANCE
Q3 PERFORMANCE OVERVIEW
From a project perspective, Q3 was the strongest
quarter year-to-date with 18 successful closures.
There were seven ‘new to GM’ foreign investment
projects, of which six were from non-EU source
markets, with one success each from Brazil, Korea,
Canada, Australia, India and USA.
Despite the strong project count, the number of
jobs created year-to-date is slightly behind profile.
There were several large projects expected to
close in Q3 but decision making stalled, likely in
relation to a general election being called in
December and the uncertain political/market
future.
There are a further 25 projects forecast to close
successfully in Q4, which would take the end of
year successes figure to 75, with the year-end jobs
forecast currently at 3,550.
KEY ACCOUNT MANAGEMENT
MIDAS have met with 241 account managed
companies year-to-date, with 48 enquiries sourced
worth a potential 2,900 jobs. These enquiries have a
higher percentage success rate than new investment
enquiries.
Since April 2018, MIDAS have sourced 39 projects,
worth a potential 3,400 jobs from existing companies
that have a requirement for new premises in GM.
Examples of current live requirements include
Accenture, Arm, HCL Technologies and Dentsu
Aegis, whilst Handelsbanken and BAE Systems are
projects that have been sourced and successfully
closed in the same time period. A lot of companies
that we talk to are taking less space as they are
adopting agile working practices, meaning the size
requirements are reducing.
SELECTED Q3 SUCCESSES
60 jobs
Spinningfields
20 jobs
MSP
50 jobs The Landing
20 jobs
MediaCityUK 30 jobs
MediaCityUK
70 jobs
No. 1 Spinningfields
Quarter 1 FY20
3M media reach
9
events
17,433
web visitors
4,784
Quarter 2 FY20
802K media reach
5 events
16,155 web visitors
4,915 LinkedIn
Quarter 3 FY20
7.1M media reach
12 events
18,215 web visitors
5,178 LinkedIn
FY20 YTD
11M media reach
26 events
51K web visitors
12% growth
2. To extend the global business marketing of Greater Manchester to drive more
investor interest to the city region
companies during the visit, generating eight
leads/projects and two in-visits that will be
delivered before April.
GRAPHENE ROADSHOW, INDIA: The
advanced manufacturing team visited Pune, New
Delhi and Hyderabad in November for a number
of DIT-led conferences and one-to-one meetings
including manufacturing/engineering firms
Bharat Forge and Cyient. The team also visited
the Automotive Research Association of India,
the Indian Institute of Science Education and
Research and IIT Delhi. Approximately 9 long-
term active projects were sourced from 58
meetings.
UPCOMING EVENTS: The following events
are in the pipeline or are being considered for
2020/21 – please let us know if you are
interested in collaborating to have a more
impactful GM presence:
• Digital City Festival, Manchester, March
• JECWorld, Paris, March (Materials)
• HIMSS, Florida, March (Life Sciences)
• Health Innovation Week, Toronto, April
• London Tech Week, Global, June
• SIBOS, Boston, October (financial services)
• Mayoral Visit, New York, November
HEADLINE MARKETING PERFORMANCE
CASE STUDY
Function: FinTech
Jobs created: 50
Location: The Landing
Source market: Brazil
Throughout Q3, in addition to the Manchester
India Partnership delivering the Mayor’s
inaugural visit to India promoting the city as a
digital and innovation hub, the core MIDAS
team visited Washington DC, New York and
India to promote opportunities across all key
sectors.
MAYORAL TOUR, INDIA: The MIP led a 30-
strong delegation to India in October, visiting
Mumbai, Bangalore and Delhi. The aim of the trip
was to promote and leverage the £400m economic
opportunity between India and the Northern
Powerhouse. The MIP hosted a series of thematic
roundtables and events including a major
networking reception in each city. The delegation
engaged with more than 1,000 businesses
throughout the trip. As well as making a number of
announcements in-market, the team returned with a
600-job pipeline worth +£40m GVA.
EAST COAST ROADSHOW, USA: In November,
MIDAS’ CDT and FPBS teams visited Washington DC
alongside Salford’s Jon Corner to promote 5G in
Manchester as well as cross-sector opportunities
including FinTech and eCommerce. They met with 30
Preme Pay is a Brazilian headquartered FinTech that allows
companies to provide local payment methods to customers
in emerging countries.
The company visited Manchester as part of a Latin American
DIT delegation in spring 2019, attending MIDAS’ Manchester
FinTech event. Following the visit, Preme Pay decided to
locate their first UK office at The Landing at MediaCityUK and
expect to create 50 jobs over the next 3 years.
Following a review of Manchester’s key
comparator cities, MIDAS and Marketing
Manchester commissioned The Business of
Cities to analyse how Greater Manchester is
performing internationally, the final report
for which was finalised in Q3.
The aim of the study, which was structured to align
with the themes and priorities set out in the GM
Strategy; Internationalisation Strategy and Local
Industrial Strategy, was to observe Greater
Manchester’s progress in the full global context, its
range of advantages, areas for catch up, its closely
performing peer cities and the opportunities to
change its global perceptions. This was done by
assessing where Greater Manchester features
across the latest benchmarks, indices and datasets.
There are 550 comparative studies and indices that
measure how cities are doing, both according to
objective performance indicators and how they are
perceived among global audiences. The findings
tell us that by global standards, Greater Manchester
is a medium sized city-region. It is currently the
170th largest city region globally by population size,
and the 151st largest metropolitan economy by
GDP.
3. To strengthen research, data and market analysis capabilities to drive a forensic
sales approach and increase conversion
The study highlighted that Greater Manchester
must continue to grow and invest otherwise it risks
falling in position over the next decade due to the
rapid growth of cities and metro areas in Asia and
other fast-growing regions. Unlike the ‘established’
world cities such as London, New York and Tokyo
that host dense corporate and decision-making
functions, these cities are smaller, more specialised
and have distinctive points of difference and
opportunity e.g. strong metropolitan leadership,
compact growth, efficient infrastructure platforms,
institutional strength, and innovation capabilities.
Other cities in this group include Melbourne,
Barcelona, Hamburg, San Diego, Montreal and Tel
Aviv.
In European terms, Greater Manchester continues
to be an important centre - it is the 5th largest non-
capital city region by population and over the next
15 years, Greater Manchester’s population is
expected to grow at a rate faster than Boston,
Singapore and Barcelona. Many more types of city
are emerging, with different competitive edges and
identities.
Greater Manchester’ visibility in global benchmarks
2014-15 2018-19
% of global ranks featured in 15% 32%
Global visibility rank 93rd 64th
Greater Manchester’s visibility across the
benchmarks has increased at a faster rate than
most other city regions. It is one of the top 15 cities
globally for the increase in the percentage of
benchmarks it has appeared in throughout the
past five years – alongside Rotterdam, Tel Aviv and
Seattle. Greater Manchester has overtaken
Houston, Johannesburg, Brisbane and Calgary
over the last five years in terms of visibility and
along with Edinburgh, is now joint most visible city
in the UK after London. The work that has been
done through MIDAS and partners has helped
elevate Greater Manchester’s position and we
have now entered the matrix to be classed as an
‘influencer’ city. New World Cities are a distinct
group of high performing, rapidly (re)globalising
cities that seek a different success model to the
larger and more established global cities, most
often deliberately seeking competitive advantage
on the global stage in the last and current
economic cycle. New World Cities demonstrate
characteristics such as specialisation and
innovation, a robust labour market, strong visitor
economy and scalability.
Why has Greater Manchester’s overall
visibility in the benchmarks improved?
1. There are now more benchmarks on topics that
Greater Manchester performs well in, so it is more
likely to be included. This is particularly the case
where benchmarks only look at a smaller “top”
group of cities (i.e. the best in the world/in Europe)
for particular niches – for example, digital
innovation, food scene, millennial appeal, app
economy. Other cities miss out in the new
generation of studies because they are not widely
associated with these sorts of attributes.
2. Many benchmarks are more focused on
medium-sized cities that are increasingly
appealing and attractive to talent and investors as
the most established cities become saturated and
begin to experience growth externalities.
3. Greater Manchester has pursued a proactive
strategy of positioning and international
engagement over the past 20 years that has borne
fruit in terms of recognition with influential
audiences such as media, investors and
international institutions.
4. Indices are expanding to measure more cities.
Manchester is an obvious choice as a key European
city, UK’s 2nd city, a leading investment attraction
destination, and a city widely recognised for its
metropolitan leadership and ambition.
Name Job Title Mobile Email
Tim Newns Chief Executive 07481 080 065 [email protected]
Sarah Mills Exec. Assistant and Project Manager 07481 080 065 [email protected]
Andrew Toolan Head of BD – Strategic Partnerships 07738 027 186 [email protected]
Deborah Walker Head of BD – FPBS 07789 917 880 [email protected]
Hannah Tracey Head of BD – CDT 07725 372 233 [email protected]
Catherine Davidson Head of BD – Life Sciences 07384 547 983 [email protected]
David Hilton Head of BD – Adv. Manufacturing 07703 470 280 [email protected]
Alexandra Moorhouse Marketing Manager 07795 006 430 [email protected]
Daniel Baxter Analytics Manager 07592 108 252 [email protected]
4. To grow the international impact of Greater Manchester’s inward investment
team to increase the region’s investor pipeline
Key Operational MIDAS Contacts
103109 115 123
2591
3107
3386
4741
0
1000
2000
3000
4000
5000
90
95
100
105
110
115
120
125
2018/19 Q4 2019/20 Q1 2019/20 Q2 2019/20 Q3
Projects Jobs
2 0 1 6 / 1 7 2 0 1 7 / 1 8 2 0 1 8 / 1 9 2 0 1 9 / 2 0
3505 60612427
1959
1662 35942401
3501
M O VIN G U P T H E VA L U E C H A INJO B S A D D E D T O PIPE L IN E B Y S E C T O R
Business Services Technology
PIPELINE PERFORMANCE
MIDAS sourced 123 new enquiries into the pipeline
in Q3, up from 115 in Q2. The number of jobs
associated with these projects is up notably to over
4,700 jobs. In Q3, 24 projects were sourced that
are mobile and see us competing with domestic
cities such as Liverpool, Birmingham, London,
Sheffield and Glasgow, as well as international
locations Prague, Dublin and Warsaw.
KEY DRIVERS OF NEW ENQUIRIES
The three primary drivers of successful investment
projects year-to-date are access to highly skilled
talent (45%), business environment (39%) and
access to a large talent pool (27%). Access to
highly skilled talent is up from 30% in FY19 and is
increasingly the key driver of investment projects
in the current climate.
The GVA output of GM’s investment has risen
significantly, rising from an annual figure of £183m
to £311 in the last five years. The primary driver of
that has been the shift away from low value
sectors such as business services towards high
value sectors like digital/technology. This trend is
increasing further as evidenced in the below chart
and will continue to drive major investments in the
city region in the foreseeable future.
Project/Client Current Space Long Term Requirement
Slalom Spaces (Peter House) 20,000 sq. ft.
BAE Systems Lowry House 20,000 sq. ft.
BankNorth Lowry House 10,000 sq. ft.
Fractory Barclays Eagle Lab 5,000 sq. ft.
SimpliSafe Landmark, Spinningfields Larger serviced office
2,000 sq. ft. (Industrial)
Revverbank Lowry House 4,000 sq. ft.
Fitch Ratings Lowry House 10,000 sq. ft.
Recent Transitions Former space Space taken
MoneySupermarket Spring Gardens 20,000 sq ft (No. 1 Spinningfields)
Appendix 1 – Forthcoming Property Requirements (occupiers in temporary space)