3 December 2019/ rent_serviced_office_guide

What is the Cost Per Desk in London Offices?

As you might imagine, the cost of renting a desk in London can vary hugely; it all depends on the location, the condition of the building and the facilities nearby. When it comes to flexible office space, you can expect to pay between £150 and £1,500 per person per month. In comparison, conventional office leases can be more expensive. In fact, according to Instant Offices, employers pay over £330 more per employee per month when renting leased premises as opposed to a flexible workspace.

London has the most expensive office fees in the UK

It will come as no surprise that London is the most expensive city in the UK for desk spaces. Most monthly fees for flexible workspaces in London range from £650 to £1,500 per person, a much higher bracket than in cities like Bristol (£350-£500), Manchester (£300-£400) and Liverpool (£150-£300).

Why is this? London is our capital city, of course, but it’s also an international financial centre with world-class universities and cultural scene that attracts visitors from across the globe. On top of this, the city has an impressive network of transport links, which makes commuting a viable option for a wide range of workers based further afield. All these factors make it a hugely desirable location for business owners and employees alike.

Let’s take a look at some of the busiest commercial areas in London and how much you can expect to pay for a desk there

What are the best areas in London?

Canary Wharf is one of London’s financial hubs - home to some of the highest buildings and biggest finance corporations in the UK. You’ll find Barclays, HSBC, Citigroup and KPMG in this region. Moving west, you’ll also find major economic businesses in London City. This includes around 500 banks and other international companies.

On the other side of the Thames, Southwark hosts businesses from a number of different sectors, from construction to retail and hospitality. To the north, Shoreditch and Old Street are famous for independent start-ups, but they are also the base for hundreds of IT companies.

For creative media and performing arts businesses, Soho and West End are the places to be. And, of course, Oxford Street is famous across the world for its range of local and international retail businesses. Other notable commercial areas include Kings Cross, Mayfair and Hammersmith.

How much does it cost to rent office space in London?

Here’s a price comparison of flexible workspaces. We’ve divided London into core regions and ranked them from high to low in terms of cost, so you can see which area best suits your budget and requirements.

Region

The average cost per desk per month

Extra information

West End

£735

An attractive area for business owners and workers, the West End is the most expensive London zone for workspace. Demand and desk prices continue to rise here.

Midtown (between Tottenham Court Road and Clerkenwell)

£635

This region is home to a good quantity of profitable businesses, but demand has declined slightly in recent years.

Southbank

£625

A wide range of sectors uses workspaces in this area, from creative businesses to corporate entities. Demand has risen over time, and so has the cost of renting a desk here. 

Docklands

£600

Because this region is home to a large number of businesses in the finance sector, most of the commercial properties here are high-end, corporate buildings.

West London

£575

Much of this region has benefited from regeneration which has increased demand for office space. Chiswick and Hammersmith are particularly popular.

City Fringe (covering parts of Islington, Tower Hamlets and Hackney)

£550

In recent years, this area has seen a huge surge in demand for workspaces, driven mainly by the Tech and IT sectors. 

North-West London

£480

Desk spaces here are primarily taken up by local businesses based in affluent zones, like Hampstead Heath, Primrose Hill and Marylebone.

South-West London

£450

This region is home to a number of affluent areas, such as Victoria, Clapham, Chelsea, Fulham, Wandsworth and Wimbledon. As a result, offices are in high demand and competitively priced.

North London

£400

Workspaces here vary significantly in size, condition and available facilities. There should be something for most types of businesses.

East London

£300

This zone is home to a large proportion of small businesses, resulting in low desk prices. However, certain areas, like Hackney, are attracting independent businesses from the creative sector so demand is slowly rising.

South-East London

£300

Demand in this area is lower than others because there aren’t as many large companies operating here. Office space is cheaper and mostly taken up by local businesses.

 

Average desk prices in central London

Many entrepreneurs are interested in working in central London to make the most of everything the capital has to offer. Flexioffices has created a run-down of monthly flexible workspace costs for each of London’s Zone 1 tube stations. On average, you’ll pay £790 per person per month in this area, but to find out costs for specific areas, see below.

Station

Average cost per desk per month

Station

Average cost per desk per month

Green Park

£1,000

Victoria

£700

Knightsbridge

£1,000

Warren Street

£700

Paddington

£1,000

Charing Cross

£650

South Kensington

£1,000

Earl’s Court

£650

St James’s Park

£1,000

Great Portland Street

£650

Sloane Square

£900

Holborn

£650

Bond Street

£850

Monument

£650

Piccadilly Circus

£850

Moorgate

£650

Tottenham Court Road

£850

Queensway

£650

Baker Street

£800

Russell Square

£650

High Street Kensington

£800

Waterloo

£650

King’s Cross St Pancras

£800

Aldgate East

£600

Leicester Square

£800

Bayswater

£600

Bank

£750

Chancery Lane

£600

Covent Garden

£750

Farringdon

£600

Embankment

£750

Gloucester Road

£600

Liverpool Street

£750

Temple

£600

London Bridge

£750

Barbican

£595

Marylebone

£750

Vauxhall

£595

Southwark

£750

Aldgate

£550

St Paul’s

£750

Angel

£550

Westminster

£750

Blackfriars

£550

Cannon Street

£700

Borough

£550

Euston

£700

Lambeth North

£500

Euston Square

£700

Notting Hill Gate

£500

Goodge Street

£700

Old Street

£500

Hyde Park Corner

£700

Lancaster Gate

£450

Mansion House

£700

Pimlico

£450

Marble Arch

£700

Edgware Road

£400

Oxford Circus

£700

Elephant & Castle

£400

Regent’s Park

£700

Tower Hill

£400

 

How do I choose office space?

London’s workspace market is changing all the time. While businesses in the finance sector and other large corporations have found their place at impressive addresses like Canary Wharf and London City, independent start-ups are increasingly populating ‘up-and-coming’ districts.

The emergence of creative enterprises from sectors like fashion, food and advertising, has led to a regeneration of certain areas such as Shoreditch and Soho. These are fantastic places for new businesses looking for desk space in a culturally rich area. When deciding where to base your business, you should think about the sector you operate in and the type of clients or customers you want to attract.

While choosing office space in London, it’s likely you’ll have a specific budget in mind. The decision to opt for a flexible workspace or conventional leased property could have a big impact on costs. If you choose to rent business premises, you’ll have the option to move into a serviced office.

Usually, serviced buildings are more expensive than standard properties, but they don’t incur extra charges for electricity, heating, Wi-Fi, security and building maintenance. For this reason, they may save you money over time. But, you should always research your options in-depth before making a long-term commitment.

Wherever you decide to rent desk space, the average costs we’ve outlined here should help you work out how much you’re likely to spend per person per month. Take a look at offices currently available to rent in London.