Delivering inclusive growth: Cultivating opportunity and equity in Leeds

Since the launch of its first Inclusive Growth Strategy in 2018, Leeds City Council has championed a vision of creating growth in Leeds’ that works for everyone by tackling poverty and inequality and improving the quality of life for everyone that calls Leeds home. This commitment is evident in the evolving landscape of the city centre, demonstrating how strategic development can foster both economic vitality and social equity.

Leeds' focus on delivering a diverse range of housing products is central to this approach. The city centre now offers a mix of for-sale and build-to-rent properties, including larger units and townhouses, catering to a wider range of needs and income levels. 

The geographical distribution of the different housing types is notable. While build-to-rent and student accommodation are concentrated in the city core and areas north and west of the centre, larger units are predominantly found in South Bank and the western city centre. The completion of the first phase of Aire Park, a flagship green space, has contributed to this trend, making these areas increasingly attractive to families seeking a high-quality of life.

Furthermore, recent city centre developments signal a positive shift towards on-site provision of affordable housing. Projects like 54North's The Points Cross development, proposing 35% on-site affordable housing and up to 50% shared ownership, and Clarion's pipeline proposals for the Dyecoats site, also targeting 35% on-site affordable housing, showcase a commitment to inclusivity that was less evident in previous years. It is notable that for both sites a significant proportion of the affordable housing is supported by grant funding. However, we anticipate that the health of the city centre residential market and the impact of policy initiatives that incentivise equitable development practices will continue to result in the delivery of a mix of housing types and products.

To expand housing options, Leeds has granted planning permission for its first co-living scheme at Headrow House, following the publication of the city council's co-living guidance in 2023. This innovative housing model will cater to a broader demographic, enhancing the city centre's resilience and adaptability by providing diverse living solutions.

An influx of new residents has contributed to a palpable sense of vibrancy in the city centre, bolstered by the return of pre-pandemic footfall levels at Leeds Railway Station. In fact, in the last year, footfall increased by 12% at Leeds Railway Station. The renewed energy is further fuelled by strategic investment in the retail core, particularly along Briggate. The completion of 82,103 sq. ft of retail and leisure space in 2024, significantly exceeding the previous year's figure, underscores this commitment to a thriving city centre.

The new Flannels store on Briggate, with its focus on experiential shopping and pop-up events, exemplifies this strategy. The trend towards experience-led retail is echoed in a series of pop-up events hosted in City Square and throughout the retail core, such as pop up bars, big screen, Christmas Markets and projections onto the Queens hotel, drawing crowds and contributing to a dynamic atmosphere.

Looking ahead, the completion of student accommodation projects above ground-floor retail units, such as Store House, in 2025, is expected to further boost footfall and spending in the retail core. While no significant new retail developments are currently in the pipeline, a focus on quality refurbishment and reimagining existing spaces will be crucial to meet evolving consumer demands. This is particularly important in light of rising consumer confidence reported in the latest Deloitte Consumer Tracker, which revealed that UK consumer confidence rose to its highest levels in five years in 2024.

The continued delivery of purpose-built student accommodation within the city core, with 998 bedspaces completed in 2024, compared to 849 bedspaces completions in 2023, and a further 1,676 under construction, plays a significant role in supporting the city's vibrancy and attracting a diverse population.

While 2024 saw no new completions in the education sector, ongoing projects like the Leeds City College Mabgate Campus and the Leeds Arts University Extension, totalling 83,562 sq.ft, highlight the sector's importance to the city's inclusive growth agenda.

Despite financial challenges facing the education sector, including rising staffing costs and impacts from changes to tuition fees and student visa regulations, Leeds' universities remain vital to attracting and nurturing talent. With 32.1% of students at the University of Leeds now international students, it will be interesting to measure how changes to student visa regulations affect the student population. Retaining graduates within the city is crucial to ensuring a skilled workforce that meets local need, especially as Leeds has a retention rate of approx 27%. Highlighting the city's graduate retention success stories will be key to attracting further investment and talent.

Leeds has made commendable progress in embedding inclusive growth principles across policy, decision-making, and development. To further this agenda, Leeds needs to effectively articulate its achievements, highlighting the tangible benefits of its inclusive growth strategy. By clearly demonstrating its commitment to equity and opportunity, Leeds can attract long-term investment aligned with its values, securing its future as a resilient and inclusive city.