Manchester has long been one of the UK’s leading cities for business, investment and regeneration. Since No.10 North opened its temporary base at Heron House in July 2026, the city is taking on a more prominent role in national government and economic decision-making, with a renewed focus on growth and regeneration beyond London.
When setting out his vision for No.10 North in June, Prime Minister Andy Burnham said it “promises a new era of possibility for Britain, possibility for places that haven’t felt it in a very long time.” He also described the ambition as creating “a more streamlined state with a clearer purpose to power up all parts of the country”, driven by the extended operation based here in Manchester.
For Manchester, the potential significance extends beyond politics. A greater government presence will bring new business activity, investment and opportunities to support the city’s continued growth. While No.10 North’s permanent location has yet to be officially confirmed, its presence in Manchester provides an opportunity to explore what this could mean for the local economy, regeneration and property market.
What is No.10 North?
No.10 North is part of the Prime Minister’s new Office for the Prime Minister and Cabinet, established in July 2026. Its purpose is to bring more government activity to the North of England, supporting devolution, local economic growth and a greater focus on regional priorities.
Rather than concentrating decision-making and government operations predominantly in London, the initiative is intended to establish a more permanent centre of political activity in Manchester. It forms part of a wider approach to bringing national government closer to the communities, businesses and economies its decisions affect.
The office is currently operating from Heron House, just off Deansgate in Manchester city centre, but attention has turned to where it will be based permanently.
Earlier reports suggested that the Manchester Digital Campus in Ancoats could become its future location. However, a written parliamentary response confirmed that there were no plans to establish the office at the campus. More recently, First Street has emerged as the leading contender for its permanent home, according to the Manchester Evening News, although an official announcement is still awaited.
Why Manchester?
Over the past decade, Manchester and Greater Manchester have experienced substantial employment growth, supported by investment in commercial property, infrastructure, education and technology. Manchester City Council reported that job growth across the city and region reached 19.7% over the previous decade, compared with a UK average of 13.9%.
The city is also home to a substantial knowledge-based economy, spanning digital, technology, financial and professional services, research and higher education. These sectors attract businesses, skilled workers and investment, helping to reinforce Manchester’s reputation as a major economic centre outside London.
Establishing a permanent government base in Manchester could build on this existing momentum. A more prominent government presence could encourage further engagement with Manchester from organisations across the public and private sectors, while raising the city's profile among businesses and investors considering where to expand.
Why First Street Could Be the Right Fit for No.10 North
Formerly the site of the Gaythorn Gas Works, First Street has been transformed into a neighbourhood combining commercial offices, residential accommodation, hospitality, public space and cultural venues. It sits between Manchester’s Civic Quarter and Oxford Road Corridor, connecting important parts of the city’s business, education and cultural offer.
First Street features HOME, a contemporary multidisciplinary arts centre, alongside hotels, restaurants, student accommodation, co-living residences and offices occupied by major businesses. A Government Property Agency building is also located here, providing office accommodation for several government departments.
First Street’s mix of uses make it more than just an office district, supporting business activity and contributing to Manchester’s wider city centre economy. If selected as the permanent base for No.10 North, the neighbourhood could see a more prominent government presence, with potential benefits for local businesses, footfall and spending, depending on how the initiative develops.
The move could also bring further attention to commercial development opportunities in the area. Place North West has reported that planning permission has been granted for an additional office building at First Street, meaning any future changes in demand for office space could be relevant to the neighbourhood’s continued development.
What could No.10 North mean for Manchester’s property market?
The impact of No.10 North is likely to hold potential opportunities for Manchester’s commercial property market and residential sector. However, the scale of any impact will depend on the office’s permanent location, the number of people working from it and whether it attracts further businesses and investment to the city.
Commercial property and business activity
A permanent base for No.10 North could strengthen demand for office space if it brings additional government staff, public affairs firms, consultancies and businesses seeking closer links with decision-makers to Manchester. This could create opportunities for commercial landlords, particularly in well-connected areas close to major employment hubs.
What could it mean for rental demand?
More employment opportunities and business activity could also support demand for rental accommodation. People relocating to Manchester for work, taking up new roles or spending more time in the city may look for well-connected homes close to workplaces, public transport and local amenities.
For landlords, this reinforces the importance of understanding what attracts tenants to particular neighbourhoods. Properties with convenient access to employment hubs, transport links and the city centre may appeal to professionals looking to reduce their commute and make the most of city life.
That said, rental performance will continue to depend on factors including the supply of available homes, affordability, property quality and wider economic conditions.
Investor confidence and Manchester’s wider growth
The establishment of a permanent government base could also reinforce Manchester’s growing national profile, furthering business activity and investment. This will support the city’s wider economic development and strengthen its appeal to property investors.
For investors, greater confidence in Manchester’s long-term growth could bring increased interest in areas benefiting from regeneration, employment opportunities and improved amenities. Well-located residential properties may appeal to investors seeking rental income, while commercial opportunities could attract those looking to benefit from business activity around established employment hubs.
Ultimately, No.10 North would be one part of Manchester’s wider growth story rather than a guarantee of property price growth or investment returns. Investors will still need to consider local demand, purchase prices, rental yields and ongoing costs when assessing opportunities.
How does this fit into Manchester’s wider growth story?
Manchester’s growth is being shaped by a combination of residential development, commercial investment, transport improvements, cultural destinations and major employment hubs. From the Oxford Road Corridor’s concentration of universities, research organisations and businesses to the ongoing transformation of areas such as First Street, Manchester is developing a network of neighbourhoods with distinct but connected roles.
The Oxford Road Corridor alone supports more than 70,000 jobs and generates around £3 billion in gross value added each year, according to Manchester City Council. Its mix of higher education, healthcare, research and commercial activity demonstrates the scale of the employment base already established within the city.
Continued economic growth and residential development therefore need to progress together. Quality housing in accessible locations can help people make the most of employment opportunities, while a strong supply of suitable homes is important to ensuring the city remains an attractive and practical place to live.
What could this mean for landlords and property investors?
For landlords and investors, the potential arrival of No.10 North is another reason to pay attention to how Manchester’s employment centres and regeneration areas are evolving.
Properties close to major employment hubs can appeal to tenants seeking shorter commutes, good transport links and easy access to city-centre amenities. Where new employment opportunities emerge, this may broaden the pool of prospective renters and support demand for well-located accommodation.
With No.10 North set to be established at First Street, it could bring further activity to an area already benefiting from investment.
Investment opportunities with Northern Group
With the arrival of No.10 North and Manchester’s continued growth, it presents stronger opportunities than ever for property investors. With First Street reported as the leading location for No.10 North’s permanent base, its proximity to developments such as Circle Square will further increase their appeal.
North Tower at Circle Square offers furnished one, two and three-bedroom apartments within Manchester’s already established employment and education district. The 35-storey development includes facilities such as co-working spaces and rooftop lounges, with convenient access to universities, transport links, restaurants and other city-centre amenities.
As Manchester continues to evolve, understanding how employment, regeneration and residential development shape the city is key to making informed property investment decisions.
At Northern Group, we offer a range of property investment opportunities across Manchester, supported by our local market knowledge and experienced sales team.
Explore investment opportunities available at North Tower and/or speak to our sales team about our range of opportunities in Manchester.