Building talent pipelines for innovation: Why place matters

While talent has always been central to business success, it is now often the defining factor in choosing where to grow. Rising demand for STEM and digital skills, alongside changing workforce expectations, means location is now inseparable from talent strategy.

Universities sit at the heart of many of the UK’s most successful innovation ecosystems. They anchor clusters, attract investment and provide a continuous supply of people who bring fresh knowledge and creativity into business. Their influence stretches far beyond campuses, shaping companies, communities and national competitiveness.

Clusters built around universities create a cycle of opportunity: graduates feed into businesses, businesses offer placements and projects, and research activity spins out new companies and technologies. This is what makes place-based innovation so powerful. Location is not just where work happens. It is where people, ideas and partnerships meet.

At the same time, competition for talent is intensifying. In the UK, over 9.4 million people were employed in STEM-related roles in 2023, and demand continues to grow as sectors such as engineering, life sciences and digital expand their reach (1). The organisations best-placed to thrive will be those that base themselves where pipelines are strongest and where ecosystems connect them directly to people and skills.

Universities as engines of regional talent

Locating close to a research-intensive university is about more than prestige. It shapes how companies innovate, who they can hire and how quickly they can scale. According to the Royal Academy of Engineering and Beauhurst’s Spotlight on Spinouts 2024, most university spinouts remain close to their parent institutions, clustering in the same city-region (2). This stickiness reflects how talent, research and commercial opportunity are often rooted in place and why organisations based in city centre clusters like Manchester, Leeds, Liverpool and Birmingham are well positioned to access emerging skills and ideas.

OECD research has shown that university–industry collaboration, through mechanisms like joint patenting, spinouts and shared research, plays a significant role in driving local innovation, knowledge exchange and business competitiveness (3).

According to Beauhurst, 3.2% of Bruntwood SciTech customers in Manchester and Cheshire, Liverpool, Leeds and Birmingham originated as university spinouts, compared with 0.06% of firms in the wider region. This demonstrates how clusters convert research talent into commercial teams more effectively than isolated locations.

Through our campuses, we help businesses take advantage of these connections, making it easier to partner with universities, host placements and recruit directly from academic pipelines. Our partnership model continues to expand through new innovation districts such as Sister in Manchester, a joint venture partnership between Bruntwood SciTech and the University of Manchester, and the White City Deep Tech Campus in London, in partnership with Imperial College London. Both are creating university-led innovation districts that aim to accelerate collaboration and scale business ecosystems by unlocking opportunities to work directly with academics, clinicians and researchers.

Expanding pathways into the workforce

Graduates remain a vital source of talent, but they are only one part of the picture. What increasingly matters for employers is having access to a wider mix of pathways that can deliver skills when and where they are needed.

Clusters provide this advantage. Companies embedded near universities and training providers find it far easier to collaborate on apprenticeships, graduate conversion courses and reskilling initiatives. 

Conversion programmes in AI, data and cybersecurity are helping people from non-STEM backgrounds move into high-demand roles, while degree apprenticeships in life sciences combine academic learning with hands-on lab experience to produce people who are industry-ready from day one. Bootcamps and accelerators are also bringing mid-career professionals into fields such as healthtech, advanced manufacturing and clean energy, injecting fresh perspectives into fast-growing industries.

For employers, the real benefit of being in an innovation cluster is proximity. Training providers and universities naturally turn to local businesses when shaping these schemes, which means companies in places like Bruntwood SciTech campuses are first in line to influence curricula, host placements and recruit directly from programmes they’ve helped design.

Diversity and inclusion as drivers of innovation

Diversity is an economic driver as much as a social one. McKinsey research shows that companies in the top quartile for gender diversity on executive teams are 27% more likely to outperform financially, while those with higher representation in ethnic diversity are 13% more likely to outperform their peers (4). Despite this, diversity still remains an issue. For example, in London and Manchester, of all the tech companies founded in 2024 just 9% had female founders. In Birmingham this figure stood at 8% (5).  Bruntwood SciTech’s Female Founders Incubator is one example of how we’re leveraging the power of clusters to drive change.  Operating across Manchester, Leeds and Alderley Park, the programme provides tailored mentoring, investment readiness support and workspace for early-stage female entrepreneurs in science and technology. By giving female founders the networks and confidence to grow, it strengthens the diversity of the talent ecosystem and ensures underrepresented voices play a leading role in shaping innovation.

Clusters offer a platform for progress, improving diversity and inclusion. Being close to universities allows businesses to support outreach initiatives, create targeted recruitment pipelines, and access a broader mix of students. 

Inclusive workspaces: creating environments where people thrive

Attracting diverse talent is only half the challenge, retaining it requires workspaces and cultures that allow people to perform at their best. An inclusive workspace isn’t defined by a single design feature; it’s about how physical environments, policies and community interact to create a sense of belonging. For Gen Z - who consistently prioritise inclusion, wellbeing and purpose in career choices - these measures make a tangible difference to whether they join or stay with an employer.

• Neurodiversity and accessibility: Spaces that include quiet rooms, flexible lighting, clear signage, and adjustable workstations can make a significant difference for neurodivergent colleagues and those with physical disabilities. In Manchester, 111 Piccadilly has achieved Platinum WELL certification through features such as biophilic design and circadian lighting. We offer a variety of different communal spaces to support different ways for working from a coworking lounge, private call booths, bookable meeting rooms and the building is fully accessible - all of which are a common feature of our properties.

• Wellbeing by design: Natural light, access to green space, and active travel facilities (like secure cycle storage and showers) supports mental and physical wellbeing. These features are increasingly expected by Gen Z and millennial workers, who prioritise health and balance alongside career growth. At Alderley Park in Cheshire, a parkland setting provides ample opportunity for wellbeing with outdoor running routes, an on-site gym and padel club, as well as the opportunity to socialise at the on-site pub and restaurant. Such wellbeing facilities aren’t limited to countryside locations, at West Village in Leeds customers benefit from an outdoor courtyard, biophilia, fitness studio, bike storage and showers, and a coffee shop.

• Flexibility and choice: Hybrid working patterns mean employees need different types of space — collaborative hubs for team projects, focused environments for deep work, and social areas for informal connection. Workplaces that offer this variety are more attractive and more effective. At Circle Square in Manchester, we designed and delivered a workspace for Avalere Health that helped them attract talent and support different ways of working. 

Hear from Avalere Health on the success of their space

• Community and culture: Inclusive workspaces extend beyond physical design. Clusters like those created by Bruntwood SciTech provide diverse communities where networking events, peer groups and targeted programmes reinforce inclusion by ensuring all voices are represented and supported. Our community is fully supported through a community team who organise a busy events programme, business support programmes and a customer app.

By embedding these principles, innovation clusters ensure that inclusive design isn’t an afterthought but a competitive advantage. For employers, this translates into higher engagement, stronger retention and better performance. For employees, it means an environment where they feel valued, supported and inspired to contribute.

Case study: QIAGEN at Citylabs, Manchester

When QIAGEN, a global leader in molecular diagnostics, selected Citylabs in Manchester to establish its Global Centre of Excellence for Precision Medicine, access to talent was a decisive factor. The site is located within the Oxford Road Corridor - home to two universities, one of the UK’s largest NHS Trusts, and a wealth of life sciences businesses.

This proximity has enabled QIAGEN to recruit graduates, collaborate on research projects, and gain faster access to specialist skills. Embedding in this ecosystem has also enhanced the company’s credibility with employees and partners alike, supported by Bruntwood SciTech’s role in convening NHS links, sector networks and academic partners.

Case study: LegalTech Hackathon, Leeds

In Leeds, Bruntwood SciTech has hosted the LegalTech Hackathon, bringing students from across Yorkshire together with businesses to solve existing challenges. Over an intensive 7 hours, teams design and pitch solutions, mentored by professionals from law and tech.

It was an opportunity for students to apply classroom learning in practice and connect with employers. Whilst companies had the chance to identify emerging talent, test ideas and showcase themselves to potential recruits. 

Events like this illustrate how our programmes act as bridges between education and employment, giving businesses early access to emerging talent while opening doors for students into high-growth sectors.

Building the future workforce together

For senior decision makers talent strategy cannot be separated from location strategy. Talent is the lifeblood of innovation. The ability to recruit, retain and grow people depends on being part of an ecosystem that continually renews itself through universities and training providers.

“For our customers, proximity to universities isn’t just about hiring. It’s about being part of a community that develops skills, opens up new pathways into the workforce, and connects them with the next generation of innovators.”

Katherine Megson, Head of Innovation & Growth Leeds & Manchester, Bruntwood SciTech

We are embedded in the UK’s leading innovation clusters. In Manchester, our campuses sit at the heart of the city centre and Oxford Road Corridor. In Birmingham, we provide city centre space at New Street and the Colmore Business District, whilst also anchoring the Knowledge Quarter through Birmingham Health Innovation Campus and Innovation Birmingham. Beyond these cities, our hubs in Cambridge, Leeds, Liverpool and Cheshire’s Alderley Park connect companies to the people and skills they need.

We don’t just provide space. We help organisations plug into university partnerships, training pathways and regional networks that build the future workforce. Locating in these places offers more than an address, it connects you to the talent that drives innovation.

Find you next workspace

References:

(1) https://researchbriefings.files.parliament.uk/documents/POST-PN-0746/POST-PN-0746.pdf (2)  https://raeng.org.uk/media/0replytx/spotlight-on-spinouts-2024-beauhurst.pdf (3) https://www.oecd.org/content/dam/oecd/en/publications/reports/2019/04/university-industry-collaboration_0e351ee0/e9c1e648-en.pdf (4) https://www.mckinsey.com/featured-insights/diversity-and-inclusion/diversity-matters-even-more-the-case-for-holistic-impact (5) https://www.business-reporter.co.uk/management/the-uk-tech-sectors-gender-challenge