Introduction: A regional growth story unlike any other
Greater Manchester is currently outpacing the rest of the United Kingdom in economic growth, a trend driven by targeted investment, a diversified economy, and a pragmatic approach to development. The GM Good Growth Fund (GMGGF) is at the center of this story, channeling money into projects that accelerate productivity, create jobs, and attract talent. This sustained momentum is reshaping the city-region and providing a blueprint for a more balanced post-pandemic recovery across the UK.
What is driving the faster growth?
The acceleration in Greater Manchester’s growth is not accidental. It results from a deliberate strategy that blends infrastructure upgrades, innovation ecosystems, and housing that supports a growing workforce. Several factors stand out:
- <strong targeted public investment: The GM Good Growth Fund prioritizes projects with clear potential to raise living standards, support local businesses, and unlock private investment.
- diverse economic base: Beyond traditional industries, GM is building strength in tech, life sciences, advanced manufacturing, and creative sectors, reducing reliance on any single sector.
- transport and connectivity: Upgraded transport networks improve accessibility, reduce commute times, and expand labor markets for employers.
- housing and quality of life: Investments in housing and local amenities retain graduates and attract new talent, creating a virtuous cycle of growth.
- institutional collaboration: Local authorities, universities, and industry partners work together under a clear regional plan, aligning incentives and reducing bureaucratic frictions.
These elements combine to support faster GDP growth, higher productivity, and stronger employment gains than the UK average—even surpassing London in certain metrics over recent quarters. The GMGGF acts as a catalytic lever, turning strategic planning into tangible economic outcomes.
Key sectors fueling the momentum
Greater Manchester’s growth isn’t driven by a single industry. Instead, a cluster of sectors is contributing to a robust and resilient economy:
- Technology and digital: A thriving startup scene, regional accelerators, and university partnerships are turning Manchester into a magnet for software, AI, and digital services.
- Life sciences and health: Bio-science clusters, clinical research, and biotech investments are expanding the city’s scientific ecosystem.
- Advanced manufacturing and logistics: Modern factories and distribution centers benefit from improved transport links and a skilled workforce.
- Cultural and creative industries: The sector adds value through media, design, and entertainment, boosting productivity and exports.
These sectors feed on the region’s talent pipeline and the support structures created by GM’s economic strategy, building a resilient economy less exposed to shocks in any one industry.
Policy design: How the GM Good Growth Fund works
The GM Good Growth Fund is designed to unlock growth potential while raising living standards. It emphasizes projects with high multipliers—where public money is matched by private investment or generates significant productivity gains. The fund often prioritizes:
- Infrastructure and regeneration that unlocks land for housing and business use
- Evidence-backed innovations in health, energy, and digital infrastructure
- Support for small and medium-sized enterprises to scale up
- Workforce development and retraining initiatives to close local skills gaps
By aligning capital with practical outcomes, the GMGGF helps the city region build a larger tax base, fund public services more effectively, and attract further private investment from national and international players.
What this means for residents and businesses
For residents, Greater Manchester’s faster growth translates into more job opportunities, higher earnings, and improved services. For businesses, the region offers a competitive environment with excellent connectivity, supportive governance, and a steady supply of skilled workers. Some immediate impacts include:
- Lower unemployment rates and more career progression options
- Greater access to affordable housing and improved urban living standards
- A stronger ecosystem for founders and scale-ups
- Enhanced public services funded by a growing local economy
While growth is concentrated in the city region, the positive spillovers ripple outward to neighboring towns and rural areas, contributing to broader national prosperity.
Looking ahead: sustaining the momentum
Maintaining the pace requires ongoing collaboration, transparent evaluation of project outcomes, and continued investment in people and infrastructure. The GM Good Growth Fund offers a model where public capital is used to unlock private investment, creating a virtuous cycle that reinforces Greater Manchester’s competitive edge. If the region sustains its focus on diversified growth, connected transport, and inclusive opportunity, it could remain a standout performer in the UK economy for years to come.
