For businesses of all sizes, office space is more than just a place to work - it’s a critical investment in productivity, company culture, and brand image. Whether you’re a small business owner, a freelancer, or a larger and more established company looking to expand or branch out, it’s crucial to understand the costs involved to help you make informed decisions about how best to grow your business.
But how much does office space cost in the UK? We at Flexioffices are on hand with the answer, and in this article, we’ll cover the basics, explore how flexible, serviced, and managed options differ in price, and give you the rundown on costs in major UK cities.
While the cost of office space will vary a lot based on location, type of workspace, and amenities provided, you can use some rules of thumb to get a general sense of the market as it stands in 2024.
On average:
Office space in London varies from under £500 per month per desk to more than £1,000
Office space in regional cities can be rented more cheaply than in the capital, with rates as low as £300 per month per desk.
Make sure to stay aware of how prices are worked out - rates that can seem low at first glance are often per square foot rather than per desk or per person, for instance.
There can also be a lot of variation by office type within the same location or even within the same building.
How much office space you need depends on several factors, from your team size to your company’s style of working.
Density
Density refers to how close together you want your workers. Make sure to keep in mind that many modern offices have a range of setups with a variety of densities, with higher density for coworking and hot desking areas and lower density for meeting rooms and private offices.
High-density offices: 50-100 square feet per person
Average-density offices: 100-200 square feet per person
Low-density or spacious offices: 200-500 square feet per person
Note also that square-footage recommendations tend to include not just desk space but communal areas and storage.
Style of working
Different offices are better suited to different companies, and vice versa. If you work in an especially collaborative sector, you may prefer higher-density spaces with lots of opportunities for interaction among employees.
If you work in an industry that prizes privacy and focus, on the other hand, you will need a less dense office with more private spaces.
Team size
Different types of offices are also better suited to different size teams.
Small teams (1-10 employees): flexible and coworking spaces or serviced offices are ideal, providing cost-effective options with shared facilities
Medium teams (10-50 employees): managed office spaces offer scalability, with dedicated layouts tailored to the specific needs of your business
Large teams (50+ employees): a mix of managed offices and traditional leases can provide the space and customisation required by bigger teams
Make sure to also keep an eye on the horizon. If you expect your team size to increase significantly in the near future, avoid long commitments to small spaces. If you know your team size changes generally - due to seasonal shifts in demand, for example - then find an office space solution that prioritises flexibility.
Traditional offices
Traditional offices involve leasing an empty space directly from a landlord, typically under long-term contracts (5-10 years).
Costs include base rent, utilities, furnishings, and maintenance, with each usually paid for separately and handled by the tenant. This means upfront costs are higher, but traditional leases can be more economical in the long term.
Best for: Larger companies that expect long-term stability, favour complete control over their office space, and have the resources to handle maintenance, utilities, and front-desk responsibilities.
Serviced offices
Serviced offices are fully furnished spaces with all-inclusive pricing covering rent, utilities, and shared amenities like meeting rooms and reception services.
The all-inclusive pricing means that, while serviced offices can be more expensive in the long run, tenants can make major savings on upfront costs.
Best for: Startups and SMEs seeking ready-to-use offices with flexible contracts and no upfront investment.
Managed offices
Managed offices combine some of the benefits of both traditional and serviced offices. They allow tenants greater freedom to customise their workspace, and the office space provider still handles fit-out, maintenance, and management.
Leases are often more expensive than for serviced offices, but upfront costs are far lower than in traditional office space.
Best for: Medium-sized and growing businesses that want bespoke office space without the hassle of direct property management.
Coworking spaces
Coworking spaces are shared environments where freelancers, remote workers, and businesses rent desks or private offices.
Upfront costs are low, and contracts are short-term, with providers offering coworking space rental by the day.
Best for: Individuals and very small teams that prize flexibility, networking opportunities, and access to premium locations without long-term commitments.
Unsurprisingly, London is the most expensive city in which to rent office space in the UK, with prices easily pushing into the £1,000s for premium spaces and locations.
Especially popular London locations include:
The City of London
Shoreditch and Old Street
Mayfair and St James’s
Canary Wharf
However, the flexible office market has boomed in the capital in recent years, with more options for London office space than ever before, including in prime locations.
How much does office space cost in Manchester?
Office space in Manchester usually costs between £200 and £500 per desk per month, with prices varying by location and building grade.
Popular areas include:
Spinningfields
Ancoats and the Northern Quarter
Piccadilly
How much does office space cost in Liverpool?
Office space in Liverpool is usually cheaper than in Manchester, with costs per desk per month tending to stay around the £200 range and prime locations on both the waterfront and the Castle Street and Dale Street commercial district.
How much does office space cost in Leeds?
Office space in Leeds tends to cost in the £200 to £400 range per desk per month, with a range of flexible and serviced options, including in the popular South Bank area.
How much does office space cost in Bristol?
Office space in Bristol can be found from as low as a little over £100 per desk per month, with premium options closer to the £400 mark. Harbourside and Temple Quay are each popular areas, while the city is increasingly known for its tech sector.
How much does office space cost in Birmingham?
Office space in Birmingham can reach towards the more expensive end of UK regional cities, up to £400-500 per desk per month - though cheaper options are available at around the £200 point.
How much does office space cost in Edinburgh?
Office space in Edinurgh tends to be in the £200-300 range per desk per month, with flexible and serviced office options offering prime real estate in the Scottish capital at affordable rates.
How much does office space cost in Glasgow?
Office space in Glasgow is priced similarly to Edinburgh, though sometimes a touch more expensive. Popular areas include George Square and St Vincent Street.
We hope this guide to how much office space costs in the UK has been insightful. There’s a lot of variation in office prices, but some cities are certainly cheaper than others, with London, as always, commanding the highest rates.
If you want to learn more about how to find the right office space for your business, don’t hesitate to contact us - with a unique tool in our office space calculator, and over 800 managed offices and 5,000 serviced offices to choose from, we’ll be able to match you to an office space solution that works perfectly for your business.
