4. Birmingham : opportunities for GBR
We are a global city with an economy larger than some countries. With a population of 1.15m, Birmingham is at the epicentre of exceptional opportunities, having the youngest and most diverse communities, it’s our strength and foundation for innovation.
This combination of space for development, growing connectivity, and high levels of diversity and creative energy is a compelling argument for locating GBR HQ in the city. It provides the foundation for levelling up in an economically and fiscally sustainable manner.
Across transport technologies, the West Midlands is a leader in electrification and low carbon technologies. There is a considerable ecosystem of R&D and innovation assets supporting industry alliances and providing testbeds and state-of- the-art laboratories.
The region benefits from the highest number of railway related jobs of any combined authority in the UK with nearly 40,000 jobs (source Oxford Economics).
Engaging with customers, the private sector and wider transport industry
Placing GBR’s HQ in Birmingham brings the organisation closer to rail customers. Pre-pandemic, the West Midlands region saw the second highest number of train journeys outside of the capital, at 94m. The proposed HQ buildings will be close to all three of Birmingham’s mainline stations, enabling GBR to establish a solid understanding of customer behaviours across the three core journey purposes.
The location is also home to the UK’s first Future Transport Zone offering further opportunities across the transport industry to develop, test, trial and commercialise products for the future transport needs of the UK. The region also gives an unparalleled critical mass and agglomeration of private sector rail engineering consultancy, design and project management expertise. This cluster has increased significantly since HS2 established its headquarters in Birmingham in 2016.
Collaboration with the retail, economic and environmental sectors:
Research by the Greater Birmingham Chamber of Commerce (GBCC) and City-REDI, states that the business, finance and professional services sector is the largest contributor to the Birmingham economy with GVA of £17.2bn (31% of the total) and 206,200 jobs (21% of the total), with a number of these well-established institutions located across Birmingham City Centre. The city continues to draw high profile business moves and expansions, particularly given major infrastructure investment and regeneration projects.
Birmingham is leading the way in clean energy in terms of R&D and deployment. The Tyseley Energy Park (TEP) is located in East Birmingham and close to Tyseley’s Locomotive Works. TEP is the site for the UK’s first low carbon refuelling station for electric and hydrogen powered commercial vehicles, as well as the Birmingham Energy Innovation Centre. As stated earlier in the document, this offers real world opportunities to develop and deliver a zero emission railway for the future.
In the West Midlands, the rail industry consists of companies operating largely within rail supply (43%) and railway systems (32%). The region provides a location for optimum access to rail rolling stock OEMs in the UK, with the main suppliers less than one hour away.
There are approximately 350 businesses in There are also rapidly growing supply chains the local HS2 supply chain ranging from large in new innovative areas of future rail notably in businesses to SMEs. HS2’s Innovation Accelerator digitalisation and decarbonisation:
is also providing a mechanism to support
innovative companies enter the supply chain.
Rapidly growing supply chain:
Digitalisation - where companies have been attracted to the region's R & D assets, initiatives and innovation in this area:
- BCRRE - with it's UKKRIN led Centre of Excellence in Digital Systems in rail
- West Midlands 5G testbed
- Siemens Mobility who have significant operation for digital signalling and telecommunications in rail
Decarbonisation - where the region continues to expand its light rail network with new and expanded routes and an additional 50 new trams planned as part of an £83.5m investment. Bringing opportunities in:
- New control, communications and passenger information systems; including a 5G project
- BCRRE research in to different options for feeling railway vehicles
- Hydrogen and Battery technology
All this is supported by the critical mass of rail engineering consultancy expertise and rail engineering consultancies including: Aecom, Atkins, Arup, Arcadis, Jacobs Engineering, Mott Macdonald and WSP, supported by specialist SMEs.
Birmingham will provide strong links to the retail, economic and environmental sectors. Depending on the location, GBR HQ could support the retail sector by taking space in the currently vacant John Lewis site in Grand Central, and in any scenario, increasing employment and footfall in the city centre can only benefit the local retail and hospitality economy. Birmingham is within a Clean Air Zone, and all employees will be ambassadors for, and be encouraged to use public transport for commuting, supporting the environmental agenda and credentials of the city.
Opportunities for future development as an organistion
Locating in Birmingham City Centre would provide GBR with the opportunity to develop in scope as well as scale. Dialogue with the DfT indicates a strong appetite to derive synergistic benefit from the proposed ‘transport and infrastructure cluster’, through creating opportunities for cross- department/agency collaboration.
It is understood that the aspiration is to develop the site as a transport innovation hub, where the public sector will work in collaboration with Academic and Industry R&D thought leaders, to shape the future of the UK’s transport sector. Choosing another location outside of the West Midlands, would inevitably limit GBR’s access to such an initiative.
All three of the proposed buildings offer space for the GBR HQ to grow:
- 5 Centenary Square has 40,000 sq ft of unassigned space
- Use of the Grand Central development could catalyse the refurbishment of Ladywood House, creating a further 100,000+ sq ft of new Grade A space
- Baskerville House currently has one vacant floor, with a floor plate of over 26,000 sq ft.