BBC’s Birmingham boost: what it means for the West Midland’s economy
Dave Atkinson, regional director for the Midlands at Lloyds explores how the BBC’s renewed investment in Birmingham could spark wider economic growth across the West Midlands.
The BBC has operated in Birmingham since 1922 - its longest-running base outside the capital.
That longstanding commitment has been given a boost with the news that the broadcaster is set to double its annual local production budget from £24 million to £40 million. Adding to the momentum, it has also confirmed that two new series of Peaky Blinders will be filmed at Digbeth Loc. Studios in Birmingham, further cementing the city’s status as a thriving hub for TV drama production.
It’s a well-deserved vote of confidence for the creative industries in the West Midlands which will amplify the region’s on-screen profile, enhance our media infrastructure and create more opportunities for homegrown talent.
But this injection of investment will also have an important ripple effect that will be seen across the local economy.
Even before this announcement, BBC analysis showed that its presence in the region has been an important catalyst, adding £282 million to the local economy.
There’s a growing cluster of creative businesses that have sprung up around the BBC, focused around Birmingham’s Digbeth district.
And it’s not just the creative industries that stand to benefit; there will also be wider commercial opportunities for local SMEs outside the film and TV industry.
From builders and caterers to tech firms and local service providers, businesses across the West Midlands have a chance to benefit from the growing demand created by the region’s expanding film and TV sector.
So, how can SMEs make the most of this big break?
Identifying opportunities in the creative supply chain
It’s been particularly heartening to see local stakeholders playing such an active role in promoting the region’s creative industries and working to maximise the economic impact they can achieve.
The West Midlands Mayor’s office, West Midlands Combined Authority and Create Central have all been instrumental in securing the BBC’s ongoing commitment and investment, and just last week, the region was called out as just one of six in the UK with strengths in creative industries to have been awarded £25 million as part of the Government’s Creative Places Growth Fund.
With so much investment and buzz around the sector, it’s unsurprising that the West Midlands business community is particularly strong and supportive, with a range of organisations and initiatives where firms can connect to share insights, experiences and opportunities.
Plugging into these networks can be a great way to make connections, access support and identify prospects.
To maximise these opportunities, many local firms may need to invest - whether that’s upgrading equipment, hiring new staff, or expanding their operations. And that means securing access to capital.
Again, there are a wealth of West Midlands-focused programmes providing grant funding for firms that are starting up, growing creating jobs, innovating, driving sustainability and more.
While one off support packages are always welcome, firms also require a banking partner that can support investment as well as ongoing working capital needs.
An ecosystem of opportunity
Lloyds is committed to helping businesses make the most of this opportunity and we recognise that SMEs need specialised support to scale, grow and adapt to emerging industry trends.
Our locally based teams of relationship managers have a wealth of experience and insights and can provide advice tailored to the needs of local industries and practical support to those firms seeking to make the most of this opportunity.
Just this year, we backed West Midlands manufacturer Hornsey Steel Panel and Sections, which supplies metal roofing panels and other steel products, as it invested in a new sustainable factory in Bucknell.
The purpose-built manufacturing site is 2.5 times larger than its previous premises and will enable Hornsey to quadruple its product range while boosting operational efficiency by 25%.
It’s a move that will help it deliver a range of high-profile customer projects, including a Netflix film and television set.
And it was made possible by a £1.5m clean growth financing initiative development loan from Lloyds, designed to support sustainable growth projects.
It’s just one example of how the growth of one industry – in this case the media – can create an ecosystem of opportunity.
I’m sure that the confidence the BBC has shown in Birmingham’s creative industries will be pay dividends across the city region’s economy for years to come.
Let’s make the most of this moment and make sure the West Midlands stay in the spotlight.