The number of new flexible working locations in Central London has grown 42% year-on-year, according to a new report by office space consultancy Office Freedom.
'There are market uncertainties due to Brexit, but businesses increasingly want to be able to react whatever conditions they face,' commented Richard Smith, CEO of Office Freedom. 'Flexible workspaces allow businesses to scale up or down on demand and only pay for the space they need.'
A record 155 new business centres opened in 2018, lowering costs across the board. Over the last two years, office prices in Hammersmith have fallen by 29%, whilst Paddington is 32% cheaper as a direct result of greater flexible space availability, the report said.
The rates in prestigious Knightsbridge are still amongst the highest in Central London, but have dropped by 38% between 2014 and 2018.
'The increase in availability of flexible working spaces from new operators and attractive terms have maintained pressure on workstation rates,' said Smith.
'Whilst areas such as Mayfair and Knightsbridge continue to demand the highest average workstation rates at nearly £900, rates can be as low as just £328 in East London,' Smith added.
Industry estimates suggest that 30% of corporate real estate will be flexible workspace by 2030, and that London is now the world’s ‘capital’ for flexible working spaces.
'Flexible workspaces are booming and we are seeing more and more large corporates, such as Amazon, Facebook and Microsoft embracing the benefits that flexible workspaces bring. Savvy businesses, large and small, can easily look at the average workstation rates and see where they can make substantial savings,' Smith concluded.
