Countdown to Brits brings economic boost to Manchester as hotel prices rise 43%
With just six weeks to go now until Manchester hosts the Brit Awards, leading audit, tax, and consulting firm RSM UK says the economic boost brought to Manchester could be substantial, as hotel prices in the city rise by an average of 43% for the awards weekend.
Kevin Duffy, regional managing partner for RSM in the North West said: “Hosting the BRIT Awards for two consecutive years is a huge coup for Manchester’s local economy, our hospitality sector and its creative industries. This is the first time in the event’s nearly five-decade history that the Brits will be held outside London, emphasising Manchester’s status as a global hub for music, culture and major events. From increased revenue for local businesses to job creation and raising the city’s international profile, the potential economic benefits are significant. This represents a big vote of confidence in Manchester and reinforces the city’s position as a great place to live and work.”
A report from UK Music showed the UK music industry brought a record £8bn GVA (Gross Value Added) benefit to the UK economy last year, an increase of 5% on the previous year. RSM UK highlights several key areas which are poised for a significant economic boost from The Brits:
- Hotels and hospitality: The event will attract approximately 15,000 attendees, all seeking accommodation and dining options throughout Manchester. This influx of visitors is set to push hotel prices up by an average of 43%. It will also increase customers to restaurants, bars, and music venues, providing a welcome financial boost to a sector that has faced particularly challenging economic conditions recently.
- Increased footfall to the city: The influx of attendees, artists, media professionals and sponsors will generate significant footfall across Manchester’s shops, cultural attractions and transport links. Local businesses are set to benefit from this surge in activity and international exposure.
- Job creation: The heightened demand for services in the lead up to, and during, the events will create numerous temporary roles. The event also positions Manchester as a key venue for such a high-profile, global event, supporting long term job creation and providing opportunities for regional talent within the creative and service industries.
According to the BVCA (British Private Equity and Venture Capital Association) over half (51.8%) of private equity investment in 2024 was outside London, demonstrating significant appetite for investment outside the capital.
David Blacher, partner and head of media for RSM UK added: “We’re seeing increased appetite from private equity firms to target the North West as they recognise the huge potential for investment in the region. They are not just focusing on the London market anymore. Manchester is home to a number of long-established PE houses, is widely regarded as the largest PE community outside of London and continues to attract new entrants to the market It seems the UK is slowly moving towards a more even playing field, particularly when we look at the larger cities outside London.”