Northern economy transformed through evolution of airport, says report marking 25 years of Manchester’s Runway 2
- Report shows how Runway 2 has driven foreign investment, boosted businesses, fuelled academic collaboration and much more since it opened in 2001
- Businesses across the region have shared their stories of how having true international connectivity on their doorstep has helped them grow
- Political leaders including new Mayor of Greater Manchester Bev Craig and Northern Powerhouse Partnership President Lord Jim O’Neill have backed the runway to continue to drive benefits for the North as a whole and close the UK’s productivity gap
The last runway to be built in the UK has profoundly changed the Northern economy over 25 years and has the potential to deliver an even greater boost in the future, a report out today concludes.
But policy-makers must grasp the “golden opportunity” to create a super-connected global North that makes the most of its new economic strengths and closes the UK’s productivity gap, according to the study: A Route to Growth for the North.
Manchester’s Runway 2 opened in 2001, as part of a response to deep industrial decline across the North that saw its home city lose one in four jobs in the preceding decades.
The £172m investment - delivered in just four years from approval being granted - has seen the airport become a true global gateway that connects the North to more than 200 countries representing 75% of global GDP. Its economic impact on the North has climbed to £9.5bn a year.
Manchester’s connectivity has helped the North became a growing economy, with clusters of high-value industries in all its major cities, the report from economic consultants Metro Dynamics finds. It has seen higher value exports; surging student and visitor numbers; and inward investment increasing as national levels declined over the 25 years since Runway 2 opened.
Manchester’s two runways mean it still has the potential to nearly double passenger numbers from today’s 32.3m - more than twice the number it has added since Runway 2 opened. Report authors say this is a reflection of the untapped potential of the Northern economy as a whole.
Reacting to the findings, business and political leaders said Prime Minister Andy Burnham must press ahead with plans for Northern Powerhouse Rail, saying it would not only help Manchester secure yet more routes to key global markets, but ensure all parts of the North fully benefit from the value that connectivity generates, especially for high-growth industries that rely on global access more than most.
Writing the foreword, economist and life president of the Northern Powerhouse Partnership Lord Jim O’Neill, said Manchester Airport was now “an asset that benefits more than Greater Manchester alone,” adding: “But that ambition needs to be matched by government investment in the transport links that connect the airport to the wider North.”
He said the Northern economy was “showing consistent signs of economic momentum, yet the airport’s potential catchment remains beyond easy reach. Northern Powerhouse Rail is the mechanism that changes that.”
Lord O’Neill concluded: “If our new Prime Minister is to hit his target for UK growth, we need higher productivity overall, and that means closing the North-South divide. International connectivity can make a meaningful contribution to that, and in Greater Manchester’s case it already is. The missing piece is the railway that allows the rest of the North to fully share in those benefits.”
The study includes economic data analysis from WPI Economics showing:
· Foreign Direct Investment (FDI) into the North West grew £6.7bn over the past decade despite UK-wide decline
· Global services trade value in the North West grew by 48% between 2016-2023, reaching £59bn
· The number of North West firms trading globally grew from 8,300 to 13,100 between 2011-2023
· That value of goods trade in the wider North grew by 66% between 2010-2025, compared to 50% in London
· Global research collaborations involving the N8 group of Northern universities saw a 10-fold increase to more than 70,000 in the 25 years covered by the report
· The North West has seen a 122% increase in international visitor numbers since 2022 – the most of any region outside London
· The North West saw 19% of all new commercial land developed in England between 2017-2022
· Industrial land values in the North West grew 48% in the same period – the most in England outside London
MAG CEO Ken O’Toole said: “This demonstrates clearly that when the right conditions are in place to encourage long-term investment in strategic infrastructure, the benefits are transformational and can power a generation of growth and beyond.
“Airports are not just buildings people pass through as they travel for work or leisure – they are a route to growth for regional economies - economic catalysts integral to our success as an island trading nation.
“Investing in Manchester Airport’s runways and terminals required visionary leadership, a culture of public and private sector collaboration and an understanding that infrastructure investment not only creates jobs and value in the short term, but can change the economic trajectory of regions in the long term.
“While Runway 2 shows what is possible, the UK’s overall performance on investment ranks poorly against other major economies. This Government has an opportunity to embed a policy environment that encourages key strategic investments just like this in regions across the UK, as part of its mission to deliver growth in every postcode. That includes delivering on Northern Powerhouse Rail and reforming business taxes to remove barriers to much-needed investment.”
Greater Manchester Mayor Bev Craig said: “Manchester Airport is Greater Manchester’s gateway to the world and one of the North’s great success stories. For 25 years, its second runway has helped connect our businesses, universities and communities to global markets, and has played a major role in our city-region’s reinvention.
“Now we need to make sure more people and places share in that success. Northern Powerhouse Rail, including a high-speed station at the airport, would cut journey times, open up access to jobs and opportunities, and help unlock the North’s full potential. That is the investment our region needs - and the case we will keep making.”
VisitBritain CEO Patricia Yates said: “Manchester Airport is a gateway to the North and a major driver of tourism growth across regional Britain. For many visitors, tourism is their first experience of a place, and regional gateways like Manchester Airport make it easier to discover more of Britain, underpinning our competitive tourism offer and message of welcome.
“By connecting international business and leisure visitors with destinations across the North, the airport supports local businesses, jobs and spending in communities far beyond its own doorstep, while positioning the North as a world-class destination for leisure, study, trade and investment. As this report demonstrates, investing in connectivity delivers benefits far beyond transport alone, boosting economic growth and ensuring tourism continues to be a driver of prosperity for communities across Britain.”
In the report, exporters from North Yorkshire to South Cheshire and Cumbria to Sheffield tell their own growth stories, alongside sports clubs like Lancashire County Cricket Club, universities and other prominent voices such as Sir Richard Leese, former leader of Manchester City Council, and Prof Dame Nancy Rothwell, former Manchester University vice-chancellor and now an Industrial Strategy Council vice-chair.
To read the full report click here.
BUSINESS CASE STUDIES
GREATER MANCHESTER
Qiagen, Manchester, Greater Manchester
It develops products that support a range of markets, from life sciences to research and academia. Qiagen’s Manchester-based operation is focused on working with pharmaceutical companies as they develop drugs. The operation has gone from 60 people in 2009 to more than 250 today and continues to grow. It sells into 170 countries, as well as attending global conferences.
Julia Buckler, Head of Assay Development and Manchester Site Head, said: “The scientific field as a whole is a global platform – and we all work together across those different countries. So the airport is essential for keeping those connections going. Business needs to connect. The easier you make it, the easier it is to go more frequently and the more it accelerates those collaborations.
“There's a thriving life science community building in Manchester and having that connectivity with the airport makes Manchester a really viable and convenient option.”
Expo Stars, Manchester, Greater Manchester
Founded in 2007 by Lee Ali, Expo Stars Interactive helps businesses attending global exhibitions get better returns from their investment. Services include sales training, providing multilingual staff to front exhibition stands and anything else that creates better business connections at events. It has grown into an internationally-recognised consultancy, having supported more than 4,000 events in 53 countries in Europe, the Middle East, Asia and North America.
Lee Ali, Founder and Managing Director of Expo Stars Interactive, said: “International connectivity is essential for northern businesses with global ambitions. Manchester Airport enables companies like ours to build relationships, reach new markets and export our expertise around the world without having to travel through London.”
Seda Pharma Development Services, Cheadle, Greater Manchester
A contract research, development and manufacturing organisation that helps pharmaceutical and biotechnology companies accelerate the development of new medicines from preclinical stages through to clinical manufacture. Founded in 2015, Seda serves clients across North America, Europe and Asia-Pacific, with more than half of its revenues coming from exports. The company has invested significantly in facilities, technology and talent, creating highly skilled jobs in Greater Manchester while supporting drug development programmes for clients around the world.
Marcel de Matas, Chief Business Officer and Co-Founder, said: "More than half of our revenue is generated through exports, making international connectivity critical to our continued growth. Our model-informed approach to drug development attracts clients from across the world and Manchester Airport plays an important role in helping us build global relationships, host international visitors and support projects across multiple continents. It demonstrates how world-class life sciences companies can thrive in the North West while competing on an international stage."
Space Zero / Kampus International, Manchester, Greater Manchester
Specialists in the design of learning environments, having delivered more than 1,000 education projects worldwide over the past 17 years. It works across the UK, Europe, UAE, China, Thailand and Malaysia, designing and delivering innovative experiential educational spaces that improve learning and wellbeing. More recently, projects for Space Zero and sister business architectural practice Kampus International have secured in KSA, USA, Mexico, and Egypt, with expansion to Ethiopia and India planned.
Informed Solutions, Altrincham, Greater Manchester
Founded in 1992, it is a mid-sized firm that has grown into an international digital, data, and AI business.
Operating across the UK, Australia, ASEAN, and Europe, Informed develops digital products and services that help make the world smarter, safer, cleaner, and healthier. Key sectors include healthcare, public safety, transport, energy, the environment and critical national infrastructure. It helps clients improve the use of data and to apply AI responsibly.
Duo, Manchester, Greater Manchester
A manufacturer of packaging used by some of the world's largest retailers and consumer brands. If you've ordered something online, there's a good chance it arrived in Duo packaging.
Over 40 years, Duo has worked with customers to improve how packaging performs throughout the supply chain, while reducing waste and environmental impact. A boom in click-and-collect and locker deliveries has driven demand for its patented DuoOptipac mailing bag. Exports now account for 15% of sales, with countries sold to in the last year including India, Italy, Belgium, Bangladesh, Cambodia and the USA. It has warehousing facilities in Atlanta, Berlins and North China.
Co-owner and Brand Director, Zoe Brimelow, said: "We're proud to be a Manchester business with customers across the globe. Manchester Airport helps us stay connected with customers, suppliers and new opportunities internationally. As we continue to grow, those connections are more important than ever."
VIRSEC, Manchester, Greater Manchester
Established in 2016, VIRSEC specialises in providing online maritime and port security training to shipping companies, port facilities or maritime professionals.
From its Manchester city centre base, it provides training in 135 countries, with its largest customers in the USA, The Netherlands, France, Norway and Greece. The firm was part of the Prime Minister’s trade mission to India in 2025.
Co-founder Cathy Wallwork said: “Exporting has been fundamental to our growth. Whether working with shipping companies, port facilities, or maritime professionals, our ability to export specialist knowledge and services has enabled us to grow sustainably while showcasing the expertise that exists here in the North of England.
“International connectivity has been a key factor in that success. Manchester Airport serves as the gateway that enables us, whenever necessary, to physically meet with clients quickly and efficiently, attend overseas meetings, conferences and events, and build lasting partnerships. For businesses like ours, global connections are not simply convenient, they are essential. Our proximity to Manchester Airport allows us to respond to client requirements, develop new markets, and compete internationally while remaining proudly based in Manchester.”
CHESHIRE
Hydraulics Online, Alsager, Cheshire
A kitchen table start-up founded by husband-and-wife team Mark and Helen Tonks in 2004. They used their engineering and strategic business career experience to build a truly customer-centric company that has exported to more than 130 countries. Clients range from an observatory in Chile and mining engineers in South Africa to energy suppliers in the UAE, marine engineers in Western Australia, and everything in-between.
Co-founder Helen Tonks MBE said: “The geography of our customer base never ceases to amaze me. Every day organisations, large and small alike, turn to us, and in turn we make the miles disappear; distance is never an issue helped by having true international connectivity on our doorstep.
“Comprehensive long-haul routing of the kind Manchester Airport offers is a gamechanger for companies like ours when it comes to operating on a global stage. It means the world really can be our oyster.”
The Scott Partnership, Holmes Chapel, Cheshire
The life sciences marketing specialist has exported its services since being founded. It helps organisations - from Fortune 500 market leaders to SMEs and start-ups - looking to build profile. Clients have typically been in US biotech hubs like Boston and Silicon Valley, as well as across Europe, especially Germany. Further European expansion – to Italy, Switzerland and France has followed, with access to Manchester Airport key to productive and efficient business trips.
Kath Darlington MBE, Chief Executive of the Scott Partnership, said:
“We always used to say we don’t need to be near to London but only to Manchester Airport. That’s because we have always been an export business providing marketing services to scientific companies located across the global supply chain.”
ThinkITtech, Daresbury, Cheshire
Industrial software and engineering specialist Emanuele Zanchettin founded ThinkITtech at Sci-Tech Daresbury after he moved to the UK a decade ago. The firm is developing AMSynchro, a system the monitors and traces critical materials while they’re being stored, handled and transported. It serves the space, aerospace and defence sectors, with its AI-technology winning support from the European Space Agency and UK Space Agency. The firm has clients across Europe and North America.
Quote:
“Manchester Airport first helped me remain connected with my family, and today it helps me take a technology developed in the North West to international customers and partners.”
LIVERPOOL CITY REGION
Spice Kitchen, Liverpool
An award-winning, family business founded by mother-and-son team Shashi and Sanjay Aggarwal. It began around the family kitchen table on Christmas Day 2012 and has grown into an internationally-recognised food and gifting brand, producing small-batch spice blends, signature spice tins, cookery kits and gifts inspired by flavours from around the world. The company’s first export market was Ireland, followed by European markets including Belgium. It has since developed relationships with retailers in Dubai and the wider Middle East, more recently expanding into the United States.
Sanjay said: “For northern businesses like ours, strong international connections are vital. Manchester Airport provides a gateway to meeting buyers, understanding markets first-hand and building the relationships that turn export ambitions into sustainable growth. Continued investment in the North’s global connectivity will help more businesses take that leap and show the world the quality, creativity and entrepreneurial spirit our region has to offer.”
Ki Partnerships, Liverpool
Founded in 2021, it provides property and growth advisory services to businesses, investors, public bodies and government departments globally.
Drawing upon the nearly 30 years of experience of founder Paul Kallee-Grover MBE, Ki helps clients identify trusted partners, enter new markets, attract investment and build lasting commercial relationships. Recent include in Oman, Qatar, the UAE, Germany and China, where Paul spoke at the 2026 Beijing CBD Cross-Border Investment Forum.
Paul Kallee-Grover MBE said: “Manchester Airport connects our Northern base with our clients and partners around the world. It is often the first step in turning an international introduction into a trusted relationship and that relationship into investment, trade or a lasting commercial opportunity for our business”
CUMBRIA
Playdale Playgrounds, Ulverston, Cumbria
Founded in 1978, Playdale is a leading UK designer, maker and installer of outdoor play equipment, having delivered more than 27,000 playgrounds and expanded to more than 50 countries worldwide. Serving sectors including education, local government, housing and leisure, Playdale exports across Europe, North America, Asia, the Middle East, Africa and Oceania through a global distribution network.
Oxley Group, Ulverston, Cumbria
A world-leading designer and manufacturer of advanced aerospace and defence technologies, exporting to customers in 34 countries across all five continents from its Cumbria base. Exports account for more than 80% of turnover and the business has built long standing relationships with global organisations including Airbus, Saab, Lockheed Martin, KAI, General Dynamics and BAE Systems.
Oxley continues to invest in advanced manufacturing, innovation and skills in Cumbria. For businesses like Oxley, strong international connectivity is essential.
Jayne Moorby MBE, head of marketing at Oxley, said: “Access to global markets allows northern manufacturers to attract investment, create highly skilled jobs and grow exports while remaining firmly rooted in the north, demonstrating that world class businesses can thrive from regional communities and compete successfully on a global stage.”
YORKSHIRE
Paxman, Huddersfield, West Yorkshire
For more than 25 years, Paxman has been dedicated to improving quality of life for people undergoing chemotherapy by developing solutions to manage distressing side effects. It is best-known for The Paxman Scalp Cooling System, which helps prevent chemotherapy-induced alopecia and is now used in cancer centres and hospitals across Europe, The Americas, Asia and Oceania. Its sustained investment in R&D has created a product pipeline to address other side-effects. Paxman also localises its products through language translation and training platforms. It now trades in 65 countries, from Croatia to Canada, Poland to Pakistan and Switzerland to Singapore.
Regional manager, Europe, David Heathcote said: “Huddersfield and West Yorkshire are home to globally competitive manufacturers, health technology innovators and research-led businesses whose impact reaches far beyond the North of England.
“These innovators show why better international connectivity matters: it enables Northern innovation to reach global customers, attract investment, support research partnerships and keep high-value jobs rooted locally.”
The International Group, North Anston, Sheffield City Region
A specialist engineering and manufacturing firm, supplying high-quality steel, alloys and precision-engineered components to customers in industries like energy, defence, aerospace, aviation and marine. Customers include major international businesses like Aker Solutions and OneSubsea, with products used in settings from subsea infrastructure and power generation to aircraft systems and defence equipment.
It was founded in 2017 as a one-person operation by Emma Parkinson and has evolved into a global player with 70% of business overseas. The Group trades across Europe, the Middle East, Asia Pacific and the United States.
CEO Emma Parkinson said: "For us, connecting the North to the world means building on Sheffield’s industrial heritage while demonstrating that advanced British manufacturing has a powerful global future. The region has the skills, experience and determination to compete internationally, and our role is to carry that reputation for quality into new markets.
"We are proud to create skilled jobs, invest in modern manufacturing capabilities and show that a business rooted in the north can deliver critical products to customers around the world.”
John King Chains, Sherburn-in-Elmet, North Yorkshire
The family-owned manufacturer has just celebrated its centenary. It makes heavy duty conveyor and elevator chains, sprockets, shafts, laser profiled and other parts supplied to the materials handling industry worldwide.
Founded during the coal industry boom, the firm pivoted as the sector declined and diversified into new global markets and industries. It now supports sectors including mining, quarrying, cement, biomass, sugar, ports, recycling, agriculture, food processing and transport in 70 countries worldwide. Parts can be found in escalators, moving walkways and theme park rides. Exports now account for nearly 50% of turnover.
Managing director William Wadsworth said: "The decline of the UK coal industry fundamentally changed the direction of our business. International trade enabled us not only to survive, but to grow, diversify and invest for the future. Our success demonstrates that world-class engineering can be designed, manufactured and exported from the North of England. Through continued investment in our people, facilities and technology, we have created skilled employment opportunities while building a business that competes successfully around the world."
Sound Leisure, Leeds, West Yorkshire
A third generation family business that has been designing and manufacturing Jukeboxes since 1978.
First set up to supply the UK hospitality industry, exports now make up 70% of sales, with all products made in its Leeds factory. It bases designs on those made famous in the 1940s and 50s, focussing on analogue formats like vinyl LPs, 45s and CDs. Sound supplies individuals and the luxury leisure scene globally. Its top markets are the Netherlands, France, America, the UAE and Switzerland.