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National
Daniel Holland

Building work starts on £155m HMRC complex in Newcastle after demolition works transform city centre

Building work has officially started on a new £155m HMRC headquarters in Newcastle.

Pilgrim Street has undergone a major transformation over recent weeks, with a huge demolition project clearing the way for the biggest office development in the city centre’s history. After the notoriously ugly Commercial Union House was torn down and the former Stack shipping container village dismantled, contractors Bowmer and Kirkland are now getting started on building the new Pilgrim’s Quarter office complex.

Once completed in 2027, the massive site will be home to around 9,000 staff who are being moved from HMRC’s existing North East offices in Washington and Longbenton. A ground-breaking ceremony was held on Friday to celebrate the next phase of the regeneration of Pilgrim Street, which will house the largest of HMRC’s 14 regional hubs.

Read More: See the huge change £155m HMRC offices will bring to Newcastle city centre

Marc Gill, HMRC’s senior leader in Newcastle, hailed the moment as a “significant milestone”. He added: “Once complete, Pilgrim’s Quarter will provide a first-class, modern, digitally enabled workspace for HMRC’s largest office – right here in Newcastle.

“HMRC is extremely proud of its history in the North East and we look forward to continuing to provide thousands of high-quality Government careers in an iconic location in the heart of Newcastle city centre.”

The Pilgrims Quarter offices that will be HMRCs new base in Newcastle city centre. (Ryder Architecture)

Steve Barclay MP, Chancellor of the Duchy of Lancaster, said: “We’re committed to levelling up the country and this hub follows recent expansions in the region from the Treasury and DEFRA. Moving 9,000 staff into one city centre site will deliver fantastic footfall for local businesses while also making the Government property estate greener and more efficient.”

The Pilgrim’s Quarter complex will stand at between six and nine storeys tall and wrap around Pilgrim Street, Market Street, New Bridge Street West and John Dobson Street. The old Dex car park has also already been torn down to make way for the development, while Bamburgh House and the interior of the art deco Carliol House are also set to disappear.

Newcastle City Council approved the major construction plan, being led by the Reuben Brothers, in April, since when the Government has opted against calling in the council’s decision despite concerns from heritage groups about the impact on Carliol House.

Coun Alex Hay, the council’s cabinet member responsible for economic development, said: “We can see with the demolition work that has already taken place on Pilgrim Street exactly how significant a development the Pilgrim’s Quarter is for our city centre. I’m pleased the next phase is now under way in a development that will help to secure the future of our city for generations to come.

“When complete, the new North-East home for HMRC will house thousands of workers who will contribute to the wider economy of our city and provide a welcome boost to businesses across Newcastle.”

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