£173m in grant funding agreed to advance Birmingham Smithfield

Billed as one of Europe’s largest regeneration schemes, the project with Lendlease will see 3,000 homes and a new home for the Bull Ring Markets.

The outline business case and enterprise zone funding package, bringing the development a step closer.

Birmingham Smithfield is expected to deliver a new residential neighbourhood with more than 3,000 new homes and a park, plus culture and leisure attractions, along with space for start-ups and small businesses.

The development is projected to create over 9,000 jobs during the construction phase and more than 10,000 additional roles post-construction. In 2024, Birmingham’s planning committee approved revised plans for the 42-acre scheme.

Lendlease is BCC’s development partner. Prior + Partners is the masterplanning consultant and design team leader, and Field Operations the masterplan’s landscape architect.

The professional team also includes planner DP9, WSP, Aecom, Ramboll and Eastside Projects.

Design firms involved in different parts of the project include Haworth Tompkins, Minesh Patel Architects, drMM, Fira, RCKa, Intervention Architecture, and Todd Longstaffe-Gowan.

Grant funding has been allocated to make the scheme financially viable, subject to full business case approval as different phases are put onto the starting blocks. The first full business case that will release part of the allocated funding is expected to be submitted for approval early in 2026.

The Birmingham Enterprise Zone, established in 2011, covers 39 sites with almost 280 acres of new and existing development space. The zone operates by using business rates income growth from the 39 sites to re-invest in driving the city’s economic growth.

The full cost of the Smithfield grant will be met from the business rates income the development is expected to generate over the life of the Enterprise Zone programme to 2045/46.

What happens next? Lendlease will continue detailed design of the first phase including the new markets, first residential and workplace buildings and the new areas of public realm, Manor Square and Market Square.

Lendlease will also discharge planning pre-commencement conditions, undertake site surveys and finalise site set-up plans. The council will ensure that its joint venture agreement with Lendlease for Smithfield Birmingham enables Lendlease’s new JV partner The Crown Estate to formally participate in the scheme.

BCC’s deputy leader and cabinet member for economy and skills, Cllr Sharon Thompson, said: “This £1.9bon development will transform the area, creating a vibrant landmark in the heart of Birmingham—that will elevate the city’s economic growth and enhance its international reputation.

“Smithfield is the largest single city centre development site in the UK, and is a key strand of our plans to transform the city centre.

“Approval of this grant funding is a significant milestone that will kick start the delivery of 3,000 homes for Birmingham, create 9,000 jobs, and will make Birmingham’s city centre an even more exciting and lively place for people to live and work.”

Colin Murphy, portfolio development director & project lead for the scheme at Lendlease, said: “This funding brings added momentum for the next phase of Smithfield and the long-term regeneration of Birmingham city centre.

“It’s a vote of confidence in the city’s future and a clear signal that delivery of this once in a generation scheme is on its way.”

Construction is expected to start on site in early 2026 with delivery inked in to be completed in four phases over 10 years.