0800 644 6080
Call FREE from Landline and Mobile
Est. 1989

Businesses Struggling to Expand in Central London as Office Supplies Dry Up

Written by: Keith Tully

Published: 24th April 2015

Businesses Struggling to Expand in Central London as Office Supplies Dry UpA growing number of companies are finding it difficult to expand their offices in central London locations as supplies of quality space continues to dry up across the capital.

That’s according to a report from the property advisory firm Cushman & Wakefield, whose figures point to a strong rise in demand for offices in London in recent quarters.

In fact, the company’s data show that office space uptake across the city increased by as much as 42 per cent over the course of last year, with the rise in 2013 recorded at a strong but notably slower 33 per cent.

One consequence of the squeeze on quality available office space in central London has been a broadening of search areas among top companies. According to a recent Telegraph report, there are more and more professional service companies in London looking beyond traditional business districts to find the office space they need.

A generally more positive economic outlook and a strengthened jobs markets in the UK as a whole is credited with giving corporate executives confidence to expand their offices and the scale of their workforces in London. But appropriate offices are proving tougher to come by.

“Vacancy rates are anticipated to be squeezed further in 2015, while prime rents will continue to trend upwards,” explained Ben Cullen, a Cushman & Wakefield director. “This combination will see further uplifts in the number of occupiers expanding their search area to satisfy real estate requirements.”

In recent months there has been an increase in office relocations among established companies in the capital, with the likes of accounting giants EY and the French banking group Societe Generale having recently switched office sites in different parts of London.

New arrivals in London have also added to pressure on supply of quality office space, with the E-commerce giant Amazon among the big names to have significantly increased its presence in the City of London over the past 12 months.

It is also understood that many company bosses are keen to see their organisations secure all the London office space they need in the near term before prices rise even beyond their current unprecedented highs per square foot.

Keith Tully

Keith Tully

Join Keith Tully on Linked In Follow Keith Tully on Twitter

Keith has been involved in Business Rescue since 1992, during which time he’s worked for both independent and national firms. His specialties include company restructuring matters and negotiating with HMRC on his clients behalf.

Meet our Team of Experts
Director Support - Business suffering from Cash-Flow Problems?
If your company is financially distressed, we also offer the below services:
Business debt recovery

  • Recover Unpaid Invoices of £5k+
  • Expert Credit Control Services
  • Stop Late Payers & Bad Debts
Visit Site
Time to pay experts

  • Get Breathing Space with HMRC
  • Support with Business Tax Arrears
  • 35 Years HMRC Negotiation
Visit Site
UK Business Finance

  • Rejected for a CBILS Loan?
  • Get Emergency Business Funding
  • Supporting 1000+ UK Companies
Visit Site
Who we help
  • Company Directors
  • Finance Directors
  • Sole Traders
  • Accountants
  • Small Businesses
  • Large Businesses
  • Partnerships
Contact our team
Jonathan Munnery
Gillian Sayburn
Julie Palmer
or Find your Nearest Office

Here at Real Business Rescue we take your privacy seriously and will only use your personal information to contact you with regards to your enquiry. We will not use your information for marketing purposes. See PRIVACY POLICY

Business Rescue Advice for Directors
Free Guide for Limited Company Directors
Business Rescue Advice for Directors
  • How to manage company cash flow problems
  • Advice on dealing with HMRC
  • Understanding rescue and closure options
  • And much more...
Free Guide Download
Dealing with your Insolvent Clients
Business Rescue Guide for Accountants
Dealing with your Insolvent Clients
  • Helping you advise insolvent clients
  • Spotting signs of client distress
  • Exploring business rescue options
  • And much more...
Free Guide Download
Our numbers speak for themselves
Number of UK Offices
Directors Helped
Licensed Insolvency Practitioners