56% increase in demand for Northern Powerhouse office space

56% increase in demand for Northern Powerhouse office space

Office space in the Northern Powerhouse is proving more than twice as popular as that in London, with a 56% increase in the first three months of 2016.

Summary:

  • Demand for office space in five key northern cities is 56%, a rate that is over twice that of London at 21%
  • Completion of Northern Powerhouse initiatives will see HS3 improve connectivity across the north and improve business links
  • Companies could save £20,000 a year in property and staff costs by relocation from the capital to Manchester

Business is thriving in the north of England, with demand for office space rising by a remarkable 56% in the first quarter of 2016.

The report by OfficeGenie saw northern cities Manchester, Liverpool, Sheffield, Newcastle and Leeds experience higher demand for office space than the capital, where demand was 21% in the first three months of the year.

The figures suggest plenty of businesses want to work in the north of England, with the recent budget announcing a whole host of initiatives, from HS3 to local science and innovation audits.

Peter Ames, Head of Strategy at Office Genie, said: “A rise in office space demand is great news – it reflects a healthy business environment in which more businesses are being set up, and others are growing.

“It proves the north of England has been, and will continue to be, a hotbed of business activity in the UK.”

This follows a recently published report by KPMG that named Manchester as first for cost of business in Europe, ahead of major capitals Paris, Berlin and Rome. It is estimated that companies could save as much as £20,000 a person a year in property and staff costs by relocating from London to Manchester.

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