MAG (Manchester Airports Group) which owns and operates East Midlands Airport (EMA) is pleased to announce Prologis, the leading logistics property owner, developer and investor, as its partner to take forward the development of a new industrial logistics and advanced manufacturing park near EMA.
The partnership formed part of Chancellor Rachel Reeves’ speech this morning as she set out further steps the Government is taking to drive economic growth, focusing on key economic enablers to support business investment.
The new park is a designated East Midlands Freeport tax site which will stimulate economic growth, investment and employment in the region, helping to unlock $1.3bn (£1bn) of investment in and around the airport.
It will contribute to a corridor of innovation around MAG’s airports across the North, Midlands and South East England in key growth-driving sectors including life sciences and advanced manufacturing. The development site, south of the airport, will offer operators the option of various tax and customs relief and simplified import / export procedures.
A Sustainable Development Supporting Growth
A planning application for the new park has been submitted to North West Leicestershire District Council, which, if approved, will bring up to 2,000 new jobs, £132m of economic growth per year (GVA) to the East Midlands, whilst contributing £9m of additional business rates.
As part of the partnership, Prologis will also deliver a dedicated centre for logistics job training and education in Leicestershire. The centre will host the Prologis Warehousing and Logistics Training programme – providing local people with the skills and experiences needed to begin and progress their career in logistics.
The new park will incorporate industry-leading standards of sustainability in its design, construction, and management. During construction, embodied carbon will be measured, reduced and mitigated aligned with the UKGBC net-zero carbon framework. In operation, the buildings at the park will have a net-zero regulated energy use in line with an EPC A+ rating.
• Chancellor announces massive manufacturing park partnership at East Midlands Airport and 2,000 jobs
Unrivalled Connectivity & Air Cargo Operations
EMA’s strategic central location, excellent motorway connectivity and unmatched operational capabilities position it as the UK’s number one airport for express freight. The airport is advancing plans to scale its cargo operations to meet rising demands, with Prologis research forecasting double-digit growth in air cargo volumes by 2025[1] and EMA’s predicted to grow by 54% to 2043[2].
EMA has already demonstrated how airports are catalysts of growth, with its unrivalled cargo operation attracting complementary investment across the East Midlands Freeport area and clusters of advanced manufacturers nearby. It connects key businesses in the region in the aeronautical, automotive, retail, pharmaceutical and logistics sectors to the world’s major cities.
MAG is looking to work in partnership with Prologis to establish its three major airports as economic anchors within a growing corridor of innovation across the North, Midlands and South East England. This will stimulate key economic sectors identified in the Government’s Industrial Strategy such as life sciences and advanced manufacturing. Prologis has developed logistic parks at some of the world’s largest international airports including London, Amsterdam and New York.
Chancellor of the Exchequer Rachel Reeves said: “Economic growth is the number mission of our Plan for Change to raise living standards in every part of the country.
“This investment in East Midlands Freeport is a clear demonstration of the UK’s strength as a hub for innovation, will create thousands of new jobs driving growth in the region and strengthen the UK’s position as a leader in advanced manufacturing and logistics. Together we are kick starting our economy, driving growth and getting more money in people’s pockets.”
EMA’s Managing Director Steve Griffiths said: “I’m delighted to announce Prologis as our global development partner and excited by the prospect of unlocking significant investments in East Midlands Freeport for the region. This is an exciting step forward for growth in and around the airport, as our unrivalled cargo operation continues to act as a catalyst for investment in our region and we look at ways to build on its success.”
Paul Weston, Regional Head, Prologis UK said: “Our partnership with MAG aims to realise the full potential of this strategic hub for international logistics.
“Our shared vision is to leverage the Freeport status and central location of EMA to create a high-impact gateway that drives economic growth, innovation and employment opportunities across the Midlands. By bringing our expertise in logistics developments to the table, we are confident that our partnership will unlock significant benefits for both the local community and the broader UK economy.”
Tom Newman-Taylor, CEO of East Midlands Freeport said: “We welcome this announcement and Prologis’ commitment to East Midlands Freeport and this unique opportunity to drive transformative growth in the region. This is a positive first step in realising the full potential of the Freeport’s tax sites which, when fully developed, will be transformative for the East Midlands economy. Working collaboratively with all our partners we can realise our ambition of creating 20,000 jobs and unlocking billions of public and private investment into the region.”
