Yorkshire’s Industrial and Logistics Opportunity: Driving regional growth through local plan provision

According to the latest BIG Things in SMALL Boxes report, produced by Leeds-headquartered property company Potter Space in partnership with Savills, strategic investment in small-to-mid-box I&L facilities could have seen the creation of 16,000 new jobs and a contribution of half a billion pounds to Yorkshire's economy annually. These figures highlight missed opportunities for the region caused by inadequate space, meaning businesses have been unable to expand, ultimately stunting regional economic growth.

If suitable small-to-mid-box I&L facilities had been available, according to the report, the region could have realised significant growth at a crucial time, positioning itself as able to capitalise on emerging opportunities in a diverse range of sectors including sustainable manufacturing, e-commerce, and technology.

This lost opportunity, alongside challenges in land supply and city centre development policies, have held back Yorkshire’s full potential and has hindered business expansion - resulting in untapped economic potential for the region.

The research also underscores the importance of supporting business growth. While the UK remains a leading location for start-ups, it has also seen higher business closure rates than new business formations. Yorkshire’s unique advantages - its central location, robust transport infrastructure, and thriving entrepreneurial ecosystem, make it ideally positioned to capitalise on modern industrial innovation.

With targeted investment in future-ready facilities, particularly in the sub-100k sq. ft market, the region could unlock substantial economic benefits for local communities and could be key to enabling business longevity and long-term regional prosperity.

Local plans have a crucial role in changing this, especially by considering opportunities for targeted investment in underutilised sites and brownfield land to create modern, sustainable I&L spaces that align with local plan priorities. By doing so, they can create an environment where local businesses thrive, jobs are created, and the regional economy prospers.

In order to unlock the regions full potential and create a more resilient and adaptable I&L landscape, collaboration between policymakers, developers, and businesses is crucial. Prioritising high-quality industrial space in Yorkshire’s local plans will ensure the region can continue to support its vibrant SME ecosystem while driving wider economic benefits.

Jason Rockett, Managing Director of Potter Space, said: “Yorkshire’s economic potential is linked to its ability to support growing businesses and emerging industries. The region has an incredible opportunity to grow, but we need to ensure local planning frameworks prioritise industrial land provision. Industrial space not only supports the businesses that operate there; but also creates wider economic benefits across supply chains and communities.

“Yorkshire’s ability to attract and retain businesses depends on making the right strategic decisions. Without affordable and suitable industrial space, we risk losing these businesses to other regions or countries. Ensuring adequate provision through local planning is critical to unlocking the full potential of the sector and supporting the wider regional economy.”

For more information and to download the full BIG Things in SMALL Boxes report, visit www.potterspace.co.uk/big-things-small-boxes.