Discover Manchester

Greater Manchester’s regional economy continues to lead outside of London, with a gross value added (GVA) of around £79 billion in 2021, and forecasts indicating annual GVA growth of 2.2 % between 2024–2027, outpacing the UK average of 1.9 %.

Since 2015, the number of registered enterprises in Manchester has risen 34%, reaching a total of 22,835 by 2023. A majority of FTSE 100 companies (>80%) maintain headquarters or major operations in the city region.

Manchester remains one of the UK’s top retail centres outside London, with pre‑pandemic annual retail sales still reported at £900 million+, and footfall within the central retail zone rebounding past 40 million annual visits as of 2022–23.

The city’s industry mix spans advanced manufacturing, finance, professional services, life sciences, digital, and creative industries, many of which are enjoying faster-than-average growth. In early 2025, office take-up soared by 79% year-on-year, driven by demand from firms like BNY Mellon, S&P Global, and Channel 4.

A diverse and dynamic economy not only attracts property investment in Manchester, it draws people. Manchester is a city of increasing vitality, fuelled by world-class infrastructure and a thriving cultural scene. In 2022, it was named the UK’s Most Liveable City by The Economist, while TimeOut ranked it third in the world the previous year.

Steady population growth:

• Greater Manchester’s population reached approximately 2.83 million in 2025, marking a 0.75 % annual increase.
• The city of Manchester itself has grown from about 503,000 in 2011 to 552,000 in 2021, outpacing both regional and national growth rates.
• City‑centre living has surged: over 20,000 new residents moved in during the past decade, pushing the central population towards 100,000 by 2025, with a further 10 % projected growth within a year.

UN projections confirm that the wider Greater Manchester area could surpass the 3 million mark by the mid-2030s.

Supply vs. demand:

• Although approximately 11,000 homes are under construction (with around 4,500 completed last year and 11 new schemes launched), this still falls short of demand.
• Manchester house prices have climbed 81 % in ten years, and private rents have risen over 40 % in three years, reflecting the pressure.

Growth potential:

• Industry forecasts, including JLL and Savills, indicate cumulative property price growth in Manchester of 19–29 % by 2029, significantly above the UK average.
• Savills also projects the North West region will register property growth of around 29.4 % from 2025-2029.

Takeaway for investors:
Rapid population growth, housing undersupply, and robust price forecasts create fertile conditions for buy-to-let returns in Manchester. The influx of professionals, students, and families, combined with high rental demand and rising values, makes property investment in Manchester a compelling market especially compared with higher‑cost southern regions.

Manchester is home to two of the UK’s largest universities: the University of Manchester and Manchester Metropolitan University, with a combined student population of over 100,000 during the academic year including a significant number of international students.

The city also boasts a graduate retention rate of around 76%, second only to London, ensuring a strong and consistent supply of skilled labour for local employers.

This large student base creates a reliable tenant pool for buy-to-let investors targeting student accommodation. Demand far outweighs supply, particularly in central areas, leading to rising rental values. Rental prices in the student sector are forecast to grow by 15–16% over the next five years, making it a compelling opportunity for long-term investment in Manchester.

Before the pandemic, tourism in Greater Manchester brought in £9 billion annually, with over 100 million day visitors and 10 million overnight stays. Now, with the travel sector fully recovered, the city’s visitor numbers are thriving once again.

Named one of the world’s top 25 destinations by National Geographic in 2023, Manchester continues to attract tourists with its sport, culture, food, and festivals.

This surge in demand, especially for short-term accommodation offers buy-to-let investors a valuable opportunity to tap into a growing market and boost returns beyond traditional long-term lets.

Manchester Airport, the UK’s busiest outside London, handled 30.9 million passengers in 2024, signalling a full recovery and growth beyond pre-pandemic levels. Backed by a £1.3 billion transformation plan, the airport has doubled Terminal 2 capacity and is set to complete its next expansion phase by 2025 strengthening its role as a key international hub.

This improved global connectivity is fuelling wider economic momentum across the region. Manchester continues to outpace the national average in business activity, population growth, and inward investment. With more professionals, students, and tourists arriving each year, the pressure on high-quality rental accommodation continues to rise.

For property investors, Manchester’s expanding infrastructure underpins long-term rental demand making it a strategic entry point into one of the UK’s most resilient and future-focused housing markets.