Report warns second arena would damage Manchester city centre

A report is warning a planned new arena, to be built in the Eastlands area near to Manchester City's stadium, would 'devastate' the city centre economy.

The 20,000 capacity arena was outlined as part of Manchester City Council's Eastlands Regeneration Framework, alongside potential redevelopment schemes including a multiplex cinema.

The proposals have been out for consultation until today, when a public consultation opens.

But the independent business and financial advisor Grant Thornton UK LLP, is warning it could have a serious impact on the city centre.

They studied nine large-scale arenas in the UK and found that most only had one or two other arenas within a 60-minute drive, while Manchester already has three.

The report claims Manchester, as one of the top five arena venues across the world in terms of attendance, would be put at risk by the development of a second venue.

In 2018, visitors to Manchester Arena spent approximately £120 million, with 95% of the total revenue being generated by people in the City Centre.

A survey showed more than half of people who used to area would be less likely to travel into Manchester City Centre is the event they attended was outside of the city area.,

Additionally, 45% said they would spend less in the city centre if the event they attended was at an arena outside o the City Centre.

The report then warned that there was a 'significant risk' of losing Manchester Arena to an out-of-town location, and a subsequent drop in overall economic impact to the City Centre.

Rob Turner, director at Grant Thornton UK LLP, said:

"The Manchester Arena currently makes a significant contribution to the city centre, providing more than 2,200 jobs and helping to stimulate the local economy. Our analysis shows that a new out-of-town arena would put this at risk and have a knock-on effect to the success of the city centre as visitors are pulled away and spending levels decrease."

A Manchester City Council spokesman said:

"We have always envisaged a range of possible destination uses on the Etihad Campus in East Manchester.

"An Arena, alongside other development options, is being explored as part of the overall vision for the area because Eastlands has been identified as a potentially viable location for such use.

"The framework is a high level overview setting out an overall vision for the area, not the specific set of proposals which some are choosing to see it as. Like all of our strategic plans, it's about looking at ways we can grow the success of the city - attracting visitors, jobs and investment which otherwise wouldn't be here, not boosting one arena at the expense of another.

"Supporting and growing Manchester's thriving visitor economy is a key objective for the city. Recent events such as the World Cup cricket games at Old Trafford and the Metallica concert at the Etihad demonstrate how such events contribute significantly to the city centre.

"Should a decision be taken to pursue an arena, then this will be determined through the normal planning process following further consultation with residents and other interested parties."