Hundreds of jobs heading north as broadband firm moves out of London

Broadband firm TalkTalk has announced it is to relocate its headquarters from London to Greater Manchester.

The move, which is likely to lead to around 500 jobs heading north, is another major coup for the region.

In recent months both GCHQ and Amazon have announced they are opening offices in Manchester.

Even though the city lost out on the new Channel 4 regional HQ the city is becoming a centre for high-tech and digital business.

TalkTalk said the success of its Soapworks site had exceeded expectations, improving collaboration between teams, supporting a more flexible working environment and enabling the company to attract and retain the best talent.

Tristia Harrison, chief executive of TalkTalk said: “We’re excited to be moving our headquarters to Salford.

“We’ve always had a base in the north west, but we want to build on that heritage and create a world-class campus for the whole business.

“As with any change, we are committed to supporting all of our colleagues during this transition period.

“Bringing all of our teams together will make us a simpler business, where it’s easier for teams to work together and deliver the very best service for customers.”

Salford City Mayor Paul Dennett said: “Salford is already home to the second largest cluster of digital businesses outside London and the city is working hard to grow the digital skills and talent for the future.

“TalkTalk relocating their headquarters and executive team here and creating hundreds of new, high quality, technical, digital jobs speaks volumes for the success of our investment in a digital future.”

Rebecca Long Bailey, MP for Salford and Eccles added: “Following the success stories of leading businesses moving to Salford, it’s great to hear the news that TalkTalk will be doing the same in moving their headquarters to the city from London.

“By linking up with the company’s technology and business office which opened in Salford in 2017, I hope the move will open up opportunities for Salford residents.”

The FTSE 250 firm announced the move in its interim results as part of a drive to cut costs.

The company already has a large base at the Sopaworks development close to MediaCity in Salford.

The former Colgate-Palmolive factory on Ordsall Lane is home to 1,300 TalkTalk employees previously based at the company’s Irlam and Warrington sites.

The office has room for expansion to 1,800 employees.

The company was founded in 2003 as a subsidiary of Carphone Warehouse and was demerged as a standalone company in March 2010.

Staff at TalkTalk’s offices in London were told the news yesterday afternoon. The company is one of the most prominent to quit the capital in favour of the regions.

The move is expected to lead to the location of hundreds of staff and will also lead to the creation of new jobs.

The move is expected to take place next year.

The public announcement will come alongside results underlining TalkTalk’s ongoing turnaround programme, with its shares down by almost a quarter during the last 12 months.

The company, which is run by its founder telecoms entrepreneur Sir Charles Dunstone, is also expected to confirm that a £1.5bn deal to accelerate the roll-out of fast broadband to millions of British homes has been called off following a dispute with its prospective partner.

Instead a new business called FibreNation is being launched.

Tristia Harrison added: “This has been a strong first half for TalkTalk, with continued broadband base growth and further progress as we become a simpler, more efficient business.

“Our Fairer Broadband commitment, focus on reliability and unique Fixed Low Price Plans continue to improve customer satisfaction and loyalty, resulting in our lowest ever churn in the second quarter.

“We remain on track to deliver our plan for the year, with growing Consumer ARPU and increasing revenue leading to strong EBITDA growth.

“With core business performance on track, we are today announcing two additional steps to position TalkTalk for the future. We are accelerating our full fibre strategy, launching a new company.

“FibreNation, which will expand our Gigabit broadband footprint to over 100,000 homes in the next 12-18 months.

“As we continue to radically simplify TalkTalk, we will also create a single main campus for the business in Salford. Having a single main home will reduce operational complexity and allow us to become a more efficient, focussed business, in turn supporting our long-term growth.”