Greater Manchester has been a boom area for economic growth in general and construction in particular in recent years, including, but not limited to, the rapidly-changing skyline as a plethora of skyscrapers emerge. But are things slowing down significantly?

The state of the local construction industry has been examined via the Deloitte Crane Survey, which is conducted in several cities. The latest edition has indicated that there has been some slowdown, but demand for construction plant hire will remain strong.

Although the residential sector has seen a slowdown, the report highlighted ongoing strength in the commercial office sector, life sciences and the “experience sector” or retail, hospitality and leisure.

John Cooper, a partner for infrastructure and real estate at Deloitte, said: “While 2025 saw reduced activity due to inflationary pressures and regulatory changes, residential construction levels remain strong.”

What Is Under Construction In Manchester Now?

Overall, the report showed:

  •       458,000 sq ft of education, research and health service floorspace under construction
  •       1.26 million sq ft of office space completed in Manchester and Salford in 20205, the highest figure since 2008
  •       3,422 home completions in 2025, with 8,023 under construction and planning permission in place for 15,322 more
  •       1,621 hotel rooms are under construction

Not all the work is completely new build, however, with refurbishment accounting for 68 per cent of the Manchester office space pipeline, compared with 30 per cent ten years ago.

This share may be about to get even larger, with plans being submitted for a £17 billion revamp of the Manchester One tower, which will add a new four-storey extension to the existing 20 storeys, as well as a major internal makeover of the 1960s building.

Manchester’s performance continues to outstrip that of the country at large, with the latest Standard & Poor’s Purchasing Managers Index (PMI) for the construction sector indicating that while January was not as gloomy as December, the sector still saw a fall in activity.

A brighter note in the PMI was that business confidence was up, suggesting a recovery and return to growth may not be far off.