UK Serviced Offices Market Report 2022

The UK Serviced Offices Market Report identifies the opportunities and challenges arising from the new work practices adopted post-pandemic, competitive strategies by key players and future developments in the serviced office market. This report covers the UK serviced office market size, market forecast, market segmentation and serviced office market trends.  

Current Landscape of the Serviced Office Market

Despite challenging market conditions, the serviced office market has continued to see an increase in supply over the last three years. In 2022, the number of serviced offices rose by an estimated 5% to 4,081. Recent growth is partly driven by operators expanding in regional towns, cities and suburban markets in response to a move to hybrid work models, growing demand to work close to home and more companies establishing regional hubs.

Serviced Office Market Size and Serviced Office Market Trends

Operators in the serviced office market need to focus on providing quality, sustainable and amenity-rich spaces. Businesses increasingly want a high-quality space where they are proud to bring clients and staff. Consolidation will likely accelerate as larger operators in the serviced office market look for attractive M&A opportunities. Some operators may seek partnerships in a bid to offer their clients access to a wider network.

• Serviced offices market size: In 2027, the number of serviced offices is forecast to reach 6,218, representing cumulative growth of 52% compared with 2022.
• During the first half of 2022, an average of 4.2 million people were self-employed, equivalent to 13% of all people employed.

Future Serviced Office Market Trends

The flexible serviced office market enables companies to test, measure and adapt their portfolios to achieve the right balance for their business. Flexible offices also offer adaptability in times of economic uncertainty as they present a low-commitment, low-risk way to lease offices.

Mintel identifies that the focus for the serviced office market will likely continue to be on amenity-rich spaces, collaborative environments, personalisation,  and smarter, sustainable technology. Occupiers will only pay premium rents for spaces with notable sustainability focused building certifications.

To discover more about the UK Serviced Offices Market Report 2022, read our UK Commercial Property Market Report 2021, or take a look at our Professional and Office Market Research Reports.

Quickly Understand

• How the serviced office market is emerging from the COVID-19 crisis; the opportunities and challenges arising from the new work practices adopted post-pandemic.
• Market drivers that shape the development of the serviced office market.
• Competitive strategies by key players.
• How the serviced office market is expected to develop over the next five years.
• Explores serviced office market size and serviced office market trends.

Covered in this Report

Brands:  IWG, Bizspace, WeWork, Bruntwood, The Office Group, Landmark Space, The Argyll Club, Citibase, Orega, Lenta, Fora, Tesco, Newflex, Huckletree.

Expert Analysis from a Specialist in the B2B Market

This report, written by Claudia Preedy, a leading analyst in the B2B sector, delivers in-depth commentary and analysis to highlight current trends in the UK serviced office market and add expert context to the numbers.

Hybrid working policies are the primary driver for increased flexible workspace demand. Economic uncertainty and inflationary pressure also generate demand for serviced offices as companies prioritise cost-effectiveness and agility.
Serviced office providers need to focus on providing quality and amenity-rich spaces as businesses increasingly want a high-quality space where they are proud to bring clients and staff. Operators must be agile to match evolving business needs and adapt to challenges to remain relevant and gain a competitive edge.”

Claudia Preedy
B2B Senior Analyst