The Instant Group Releases Flex Market Review 2022
FlexSA members The Instant Group have released their annual report analysing the UK flexible workspace market. This is always a highly anticipated publication within the industry, now more than ever as we begin to understand what the ‘new normal’ in the world of work is going to be post-pandemic.
The report identifies that increasingly flexible workspace is no longer the sole preserve of SME businesses. Large corporates are taking on flexible space to establish hybrid working arrangements, and to test out operations in new places. The Instant Group has found that this is increasing average transaction sizes up by 44% from pre-pandemic levels.
The report outlines the market within London, and in cities across the UK. London’s recovery has been slower; anyone who spends time in the city can see that public transport is not quite as packed as it once was, and it’s not surprising that commuters are reluctant to return to long journeys 5-day a week. However, Instant have found that the picture differs between London boroughs, and central areas in particular are seeing demand levels return and prices rising.
Away from the capital, many places are seeing a growth in demand for flexible workspace through companies establishing regional hubs for staff, or even relocating their HQ. Leeds is identified as a particularly strong market, closely followed by Liverpool and Manchester.
An interesting trend from the study is the focus on workspaces that are rich in amenities, and with a focus on high standards of customer service. Occupancy rates were found to be highest within workspaces offering high level amenities, and service-driven. This chimes with many of the new entrants to the market, prioritising design and services from the start.
The Instant Group’s report concludes that there is strong predicted growth in flexible workspace. It is made for hybrid working arrangements, and that shows every sign of being here to stay. Traditional landlords are also seeing the opportunities moving into offering flexible workspace provides, further expanding the total square footage on offer, and improtantly the choice for consumers.
It’s an exciting time for the flexible workspace community, with opportunities to be seized.
11 July 2022
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