London Daily

Focus on the big picture.
Friday, Sep 11, 2026

Welcome to Manc-hattan: how the city sold its soul for luxury skyscrapers

Giant towers are sprouting up all over Manchester. But how will sky lounges and penthouse olive groves help the city’s rocketing homelessness problem?
‘Hell upon Earth” is how Friedrich Engels described Manchester’s Angel Meadow. This violent, squalid, disease-ridden district was one of the worst slums the revolutionary German thinker encountered on his tour of Victorian England. Everything about the place, he wrote in 1844, “arouses horror and indignation”.

Visiting today, he might be tempted to use the same words, for very different reasons. On either side of the leafy park, which undulates over the graves of 40,000 Victorian paupers, the bulky concrete frames of new apartment blocks are beginning to rise. They will ultimately become 17- and 22-storey slabs that will in turn be dwarfed by a 41-storey tower, all surrounding the park with a glacial wall of “ultra-sleek urban homes”. And not a single one affordable.

This is MeadowSide, a £200m development by the Far East Consortium, a Hong Kong developer registered in the tax haven of the Cayman Islands. This site – once the gateway to medieval Manchester and depicted in the paintings of LS Lowry – is being ripped up to make way for 756 luxury homes, many already sold off-plan to investors in Hong Kong. Brochures in the marketing suite describe it as a place “where glass meets grass and concrete meets conkers”. It’s also where the forces of international capital meet a city seemingly open to investment at any cost.

“I’m sick of my city being strip-mined,” says Sam Wheeler, councillor for the Piccadilly ward, where the blocks are sprouting. “If you’re going to trash the nature of the area, but you’re doing it to address the housing crisis, maybe we could have a conversation. But these schemes aren’t even providing the homes Manchester desperately needs.”

According to government figures, there are now almost 2,000 households living homeless in temporary accommodation in Manchester, a six-fold increase over the last five years. The city’s homeless population is more than 4,000, the highest rate in northern England, and nearly 13,500 households are on the social housing waiting list. How many social homes were built last year? Just 28.

Yet Manchester is visibly booming. Cranes cluster across the skyline and the concrete liftshafts of future towers dot every corner. The city is even beginning to look drunk on its own success. Brash billboards herald the latest luxury lifestyle concepts: Moda Angel Gardens offers a rooftop sports pitch, cinema and “sky lounge”, with every aspect of its residents’ lives managed through an app.

Oxygen will have five-star hotel facilities and “breathtaking views of a rising global destination”. The brassy Axis Tower, which looks as if the architect’s screen crashed halfway through designing the facade, is “a true epitome of exclusivity and architectural grandeur”. Despite the council having a policy of 20% affordable housing in all new developments, none of these schemes provide any.

As the Guardian revealed last year, across the 61 big residential developments granted permission by Manchester’s planning committee over the previous two years, not one of the 14,667 homes met the government’s definition of affordable, being neither for social rent nor offered at 80% of the market rate. The flood of steroidal schemes that have been rubber-stamped in the lust for growth is now becoming very visible: this is the most radical physical transformation of any UK city for some time.

At the forefront is Deansgate Square, a quartet of enormous grey glass towers that will stand like a defensive battery against the estates of Hulme to the south of the centre. Rising to a whopping 64 storeys, the development is billed as “a new level”. Manchester City’s star striker Sergio Agüero has already snapped up a penthouse.

“It’s taller than anything I imagined was going to happen here,” says the project’s architect, Ian Simpson. He sounds almost surprised at what he has been allowed to do, dwelling on the tallest of the Deansgate four. “It’s the city’s first proper skyscraper, at over 200 metres.” On his desk is a model of the area around Great Jackson Street, showing where the Deansgate shafts will take their place – among a cluster of 25 other towers, the composition of which Simpson also planned. “It’s going to be a mini Manhattan,” he says. “It’s starting to create a real skyline, which Manchester has never had.”

Posters have already appeared announcing the birth of “Manc-hattan”. But the truth is we are a long way from that uplifting skyline. This is more like something you’d see on the outer ring road of a third-tier Chinese city.

The flanks of the Deansgate towers now loom above Simpson’s office, located in a converted warehouse. Simpson can’t escape them at home either. He lives in a huge duplex – complete with its own olive grove – at the top of nearby Beetham Tower. Completed in 2006, Beetham is itself 47 storeys tall, making it, until last year, the city’s tallest structure. “Looking out at night,” he says, “all I see is red aircraft warning lights.”

It sounds like an irritant, but for Simpson this red panorama symbolises the realisation of his quest to make Manchester a mecca for high-rise, city-centre living. “Manchester’s city core had about 400 people living in it when the IRA bomb went off in 1996,” he says. “Now it’s got about 35,000. I’d like it to have 200,000, because the one thing the city needs is people. That drives everything else.”

Simpson says the centre “used to be a ghetto for people who couldn’t get out”, but now it’s a desirable place – and it needs the swanky flats to match. “Part of the problem,” he adds, “is that there aren’t enough expensive homes in the city.”

Simpson believes this influx of luxury flats should be welcomed, because it means that those who would otherwise be driving in from the affluent commuter suburbs – Altrincham, Wilmslow, Didsbury – will now be able to live in the centre. The absence of affordable housing, he argues, is a consequence of financial viability. “It’s really difficult to build a tall building cost-effectively. None of these developers really make super profits in Manchester. It’s not at all like London.”

Renaker, the developer-builder behind Deansgate Square and a large number of towers nearby, seems to be doing quite well out of it. In its most recent financial results, the firm reported a turnover of £132.8m, up 37% on the previous year, with pre-tax profits of £4.6m. Last year, it acquired the prominent Trinity Islands site, which has permission to build the tallest residential tower in western Europe. Global real estate group CBRE puts the average residential yield in Manchester at 5.8%, compared with 3% in London. As one industry source puts it: “The returns are higher in Manchester – that’s why all the money moved here.”

Dr Jonathan Silver, an urban academic, began investigating the building boom when he returned to Manchester after a few years away – and found a homeless camp on Oxford Road, near where the first towers were sprouting.

“It was a very powerful juxtaposition that reminded me of cities I’d been researching in Africa,” he says. “Everything had changed. Until 2013, Manchester’s development model was quite provincial: local developers using national banks, building the schemes and selling them to individual buyers. Now it’s a tool the city is using to reinsert itself into the world economy, courting investment from China to Abu Dhabi.” He says that, since the 90s, Manchester’s mantra has been: “Any investment is good investment.” But times have changed, he warns, and the council needs to wake up.

Sam Wheeler agrees. “There was this desperation to reverse the post-industrial decline and transform the city centre at any cost. And they did it. People have come. It’s worked. But we’re in a different situation now. The population isn’t declining and developers aren’t going to run a mile if we insist they contribute to some social housing.”

Richard Leese, leader of Manchester city council since 1996 and much credited with turning the city around, insists the council is tough on developers. “I’m confident we’ve been getting the best deal we could for a long time,” he says. “Our planning officers have access to robust assessment methods, but it’s still hard to make these schemes stack up financially.” He says it comes down to a choice: “We either swallow green belt, or we build densely on brownfield sites. I don’t think the towers are too tall. In 20 years, people will be saying, ‘Why did you build them so small?’”

When St Michael’s tower – the controversial project fronted by the former footballers Gary Neville and Ryan Giggs for tycoon Peter Lim who made his fortune in palm oil – is finally looming over the Grade I-listed town hall, it’s hard to imagine many will wish the 40-storey skyscraper had been even bigger. Leese’s argument seems disingenuous: saying no to these silos does not mean tearing up green fields around the city instead. It is perfectly possible to build mixed-tenure communities at high density on brownfield sites in a manner that fits the rest of the city. It just requires a little more effort and a decent plan – not the current approach of filling each site to its limits and pushing for the maximum height until it hits the airport flight path.

“The situation is truly shameful,” says Dr Margaret Collier of the Manchester Civic Society, which crowdfunded a campaign to challenge St Michael’s tower decision. “The planning system is not fit for purpose, and authorities aren’t looking with sufficient scrutiny at what’s in front of them. We’ve got a wonderful historic core in Manchester. I don’t think it’s right that it has turned out to be impossible to protect it.”

It seems no corner of the city is safe. In the bohemian Northern Quarter, a proposal for an angular glass stump – which was rejected three times by councillors for being too tall – was recently approved, despite the latest vision being the biggest yet. Dubbed the “Shudehill Shard” and backed by Betfred billionaire Fred Done, the project will see a 17-storey glass wedge arrive in the colourful low-rise district, once again providing no affordable housing, despite being on a council-owned site.

As Wheeler asked at the time: “Does [the council] flog off some of the last, democratically controlled land in the city centre for a billionaire’s vanity project, or does it listen to local people and their representatives, and use its power to make developers act with some responsibility?” It chose the former.

There are signs, however, that Mancunians’ vocal criticisms are beginning to have an impact. The first tower to include on-site affordable housing was secured earlier this year, in the form of the 30-storey Swan House, although it will still be only 5% of the total number of flats. Meanwhile, the council has started to make viability assessments public, and has introduced a “clawback mechanism”, for when developments turn out to be more profitable than expected. The council must have the confidence to insist on truly inclusive developments, with a higher calibre of design that respects the city’s fabric, otherwise the lifeblood of Manchester, the fuel in the powerhouse’s engine, will drain away.

“If the barman, cleaner or nurse can’t get a home,” says Wheeler, “it’s not their city. The people who make the city function need to be able to live here. I don’t think that’s a particularly radical thing to ask.”
Newsletter

Related Articles

0:00
0:00
Close
John Lewis Partnership Loss Widens to £124 Million
UK Government to Put White Working-Class Social Mobility at Centre of Equality Policy
McLaren Plans £450 Million Technology Investment Creating 1,000 UK Jobs
UK Chancellor Faces Calls for Wealth Taxes and Public Ownership in Autumn Budget
English Mayors to Gain Powers to Impose Uncapped Overnight Tourist Taxes
JPMorgan’s Jamie Dimon Warns UK Government Against Bank Windfall Taxes
UK Air Traffic Control Outage Cancels More Than 2,000 Flights
UK Imposes Trade Ban on Israeli Settlements in the West Bank
UK Borrowing Costs Surge as Middle East Tensions Push Long-Term Gilt Yields to Highest Since 1998
Buckingham Palace Says Prince Harry and Meghan Will Not Resume Official Royal Duties
UK Treasury Faces Calls to Scrap £100,000 Childcare Support Threshold
Trades Union Congress Urges Labour Government to Rewrite Migration Policy
Riot Police Deployed After Anti-Migrant Protests Turn Violent in Portsmouth
UK Considers Replacing Some Disability Cash Payments With Direct Services
JPMorgan’s Jamie Dimon Warns UK Chancellor Against Higher Banking Taxes
UK Announces New Sanctions Targeting Israeli Settlements in West Bank
Metropolitan Police Investigate Alleged Illegal Donations to Reform UK
UK Charges Wiltshire Man With Assisting Russian Intelligence
UK Orders Urgent Review After Air Traffic Failure Cancels More Than 2,000 Flights
Merz Rebukes AfD Expansion in Saxony-Anhalt
King Charles Confirms Prince Harry and Meghan Will Remain Private Citizens
Labour Selects Former Child Refugee for By-Election in Keir Starmer’s Former Seat
Foreign Private Equity Accelerates Takeovers of London-Listed Industrial Companies
NHS Maternity Care Faces Scrutiny Over Support for Mothers After Caesarean Births
BBC Warns Staff Strikes Are Likely Amid Job Cuts and Programme Cancellations
English Housing Affordability Improves to Best Level in More Than a Decade
UK Health Commission Proposes Framework for Wider AI Adoption Across NHS
Labour Faces Pressure for Wealth Tax Ahead of Autumn Budget
Metropolitan Police Open Criminal Investigation Into Alleged Foreign Donations to Reform UK
UK Police Deploy Riot Officers After Anti-Immigration Unrest in Portsmouth and Dover
UK Defends Sanctions on Israeli Settlements Despite Diplomatic Retaliation
UK Air Traffic Control Failure Cancels More Than 1,000 Flights and Disrupts 65,000 Passengers
Compass Urges £10 Million Wealth Tax and Public Ownership Ahead of UK Autumn Budget
UK Government’s Devolution Plans Face House of Lords Scrutiny
Maldives Seeks New Chagos Sovereignty Talks With UK Prime Minister Andy Burnham
UK Airports Face Continuing Disruption After National Air Traffic Control Failure
UK Bans Imports From Israeli Settlements and Expands Sanctions on Iran
British Chambers of Commerce Forecasts UK Growth of 1% as Investment Remains Weak
UK Suspends Local Government Reorganisation Decisions and Cancels Planned Shadow Authority Polls
UK Parliament Opens Inquiry Into Gaps in Climate Change Preparedness
Andy Burnham and Xi Jinping Hold Talks on Trade, Security and British Consular Cases
UK Joins France, Canada and Other Nations in Measures Against Israeli West Bank Settlements
UK Announces New Sanctions Targeting Iranian Nuclear and Military Networks
British Chambers of Commerce Calls for Business Rate Reform and Productivity Support
UK Farmers Warn Dry Summer Could Reduce Crop Yields and Push Up Food Prices
UK Rail Networks Hit by Widespread Delays After Major Signalling Failures
Matt Clifford Resigns as ARIA Chair After Conflict-of-Interest Scrutiny
UK and France Say Joint Border Operations Have Prevented More Than 48,000 Irregular Channel Crossings
UK Core Inflation Remains Above Expectations as Utility and Commodity Costs Stay Elevated
Jaguar Land Rover Considers Up to 4,000 UK Job Cuts Amid Automotive Industry Pressure
×