Leeds named UK’s top construction hotspot

Leeds leads the way in national construction growth, outpacing London and other major cities 

Leeds has been ranked the number one city in the UK for construction growth, due to a combination of high housing completions, strong planning activity, and thriving construction businesses.  

Despite broader economic uncertainty, the construction sector continues to show strong momentum, and Leeds is at the heart of it. The city topped Astrak’s new Construction Hotspot Index, which analysed job availability, planning activity, housing completions and construction businesses across 12 major UK cities.  

Leeds performed strongly across all key indicators used in the index, placing it ahead of Bristol, Manchester, Edinburgh and Birmingham in the national rankings. The city’s strong performance in the index reflects not only the scale of development but also the diversity of activity across the sector. Leeds boasts a wide range of construction businesses, from large national contractors to local SMEs, and benefits from a steady pipeline of public and private sector projects.  

Key findings for Leeds:  

  • 1,343 live construction job adverts – one of the highest in the UK  
  • 1,017 planning application decisions in Q2 2025 – a strong indicator of future developments   
  • 4,327 housing completions – the latest government annual data shows the highest rate per capita  
  • 3,760 construction businesses – per capita, second only to London  

James Coughlan, CMO at Astrak, commented:

“Leeds is clearly a city building for the future. With strong demand for skilled workers, a thriving business base and thousands of new homes completed, it’s a great time to be in construction here.   

“The city offers a wide range of opportunities – from on-site trades to technical and office-based roles, and with even more growth forecast, we expect demand for talent to keep rising well into 2026 and beyond.”  

Latest figures from the CITB Construction Workforce Outlook 2025–2029 report revealed there will be 3,560 additional construction workers needed per year for Yorkshire and the Humber and as the region’s largest construction hub, Leeds is expected to need a significant share of that.  

The city is currently undergoing a major transformation, with several high-profile developments planned to reshape the city’s skyline, including:   

  • Aire Park, a 24-acre regeneration project on the South Bank, which will deliver 1,400 new homes, retail and office space, and the UK’s largest new city centre park at a huge 8 acres.  
  • South Village, a major new development, also on the South Bank, which will bring nearly 1,925 homes, 450 hotel beds, and 750k sq ft of commercial space.  
  • New Foundry Square, a £100m residential development proposed on Kirkstall Road, which could add 503 apartments across six towers, alongside retail and leisure facilities.  
  • Leeds City Council is also backing affordable housing schemes, such as the Moorfield Road development in Armley, which is delivering 50 energy-efficient homes for social and affordable rent.  

For more insights into the construction industry visit https://astrak.com/knowledge-hub/