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London Ranks as Top European City For Tech

by Allwork.Space - Press
December 13, 2016
in Business
Reading Time: 3 mins read
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Guest post by Kate Tattersfield, Search Office Space

Despite an uncertain economic climate caused primarily by the EU Referendum, London ranks number 1 for tech out of 35 cities in Europe this year in a report by CBRE.

The UK’s capital city scores highest in a recent CBRE report which analyses the characteristics of tech clusters and opportunities in successful and emerging European tech cities.

KYR Survey Leaderboard Size (Allwork.Space) June 2022

The ranking is based on employment growth, start-up climate and opportunities for students and graduates in the tech sector.

The Understanding European Technology Clusters Report

Simon Calvert, senior director of advisory & transaction services at CBRE explains, “Even with the economic and political uncertainty brought about by the EU Referendum, we believe these inherent fundamentals serve as robust indicators of London’s continued strength as a major European and global, tech hub.”

Employment growth in the capital’s tech sector far outweighs that of any other office-based employment, according to data gathered over a 5 year period.

The impact on office (workspace) occupancy

A newly proposed Workspace Providers Board is set to help secure and improve open office spaces for London startup businesses in the new year.

The Mayor of London, Sadiq Khan explains, “Whether you are an entrepreneur looking to expand your business or a creative start-up that needs more space to work, my message to you is that London is open for those with ideas and passion.”

Findings indicate the tech sector as being the most enterprising business group in central London this year. From January through September, office take up in Central London equated to 2m sq ft.   

Statistics also reveal that tech occupiers are favouring the the City of London over London’s West End, in part due to soaring tenancy costs. The City core (including the City of London and EC4) has seen a rental growth of 6.3% and 5.9%.

Locations on the City’s periphery such as Spitalfields and Whitechapel saw a rise of 17.5% and 12.9%. Old Street’s Silicon Roundabout has evolved over the past few years into a mini tech ecosystem in its own right and is home to around 8 times more tech companies than any other UK hub.

“London is a world-class leader in the creative and technology-based industries,” Simon Calvert says.

“Its location, political and legal structure, as well as its wide range of social and cultural attractions, has resulted in tech companies from around the world choosing London, and making it one of the most exciting places in the world for tech and young tech talent.

The recent circa 500,000 sq ft office leasing at the iconic London Battersea Power Station redevelopment to Apple, a major technology giant, is further evidence of this.”

Emerging tech cities to look out for in 2017 include Budapest, Bucharest and Istanbul.

Kate Tattersfield is a copywriter at Search Office Space, the longest running flexible workspace consultancy. SOS provide a free search and support service that allows you to compare the entire flexible office market in one place.

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