Mayor opens £3.8bn fund to developers as Digbeth studios scheme is chosen

A £35 million creative neighbourhood in Digbeth, led by the Peaky Blinders creator Steven Knight, is among the first schemes to be backed by a new regional investment fund, which the Mayor, Richard Parker, has now opened to private developers.

Homes England has selected Digbeth Loc Studios as its preferred development partner for the creative and mixed-use scheme on Fazeley Street, subject to contract and a standstill period. The scheme is part of the continuing regeneration of Digbeth, and its backers believe it will strengthen the city's reputation as a national centre for film, television and production.

A call for projects

The fund, worth £3.8 billion when it was first announced in May 2026, brings together money and support from public bodies including the regional pension fund, Homes England, the National Wealth Fund, the British Business Bank and the Office for Investment.

More than £400 million has already been allocated to new affordable and social housing, and £1.7 billion has been committed to new tram and rail links to serve the Birmingham Sports Quarter planned for Bordesley Green.

Speaking ahead of the region's Growth Summit on Thursday 8 October, Mr Parker issued a "call for projects", inviting developers to bid for support.

"We've wasted no time in using the fund to start driving growth across our region but today I'm opening it up with a call for projects," he said. "I want developers to work with us and help build the schemes that will drive prosperity for local people and businesses in the years ahead."

He added: "This fund offers a unique opportunity to achieve that by providing the support the private sector needs to get spades in the ground."

Other schemes

The latest schemes to benefit also include £48 million for new homes in the Black Country, and £24 million for the regeneration of Kingshurst Village Centre in north Solihull, where a new community, health and retail building, six new houses and a new vicarage are planned, with work starting in December.

Private investors and developers can submit an expression of interest from Thursday 8 October.

Why Digbeth

Digbeth has become the centre of the city's screen industry in recent years. Steven Knight, who grew up in Birmingham, set up Digbeth Loc Studios in the former Typhoo tea factory, and the Peaky Blinders film and series have brought crews, jobs and visitors to the area.

The district is also changing fast around the new Curzon Street station being built for HS2, with thousands of new homes planned and old industrial buildings being turned into offices, studios and venues.

The Fazeley Street scheme sits beside the canal in the heart of that change. Supporters say a creative neighbourhood there will keep production work in the city rather than sending it to London or elsewhere.

What happens next

The selection of Digbeth Loc Studios is not yet final: it is subject to a contract being signed and to a standstill period, during which other bidders can raise objections. Detailed plans for the site are expected to follow, and would need planning permission from Birmingham City Council in the usual way.