28th November 2017.

Office Construction In The Capital Slows

The number of new office developments getting under way in London has dropped in the past six months, according to a new study.

A recent London Office Crane Study, conducted by consultants Deloitte, has found that London office developments has dropped by 9 per cent.

The survey also found that the amount of new office space under construction is at its lowest since 2014.

Deloitte claimed the key factor was political uncertainty, claiming the uncomfortable atmosphere brought by prolonged negotiations with the European Union has held back development.

The report said that, since UK’s exit from the European Union, business and political landscapes have endured a “roller-coaster rise of uncertainty”.

It came to this conclusion through the less-than-optimistic manner of the the country’s chief financial officers (CFOs), which it also regularly surveys.

Deloitte added: “The changeable business environment continues to keep CFOs on a cautious footing. It is this caution that is being reflected in the shifting outlook for future office development.

However, the report was not all gloomy. It said despite the fall in the number of schemes being started, the number being completed was above average and that 2017 was on course to deliver a 13-year high of space.