This is being seen significantly in the Canary Wharf region, which is undergoing major changes, with wholesale retrofits and re-fits of several major skyscrapers to suit modern requirements. The financial and professional services sector in general is the top spender on new fit outs - looking to offer employees internationally competitive amenities and premium- quality spaces to hold onto talent and mitigate any employee dissatisfaction from more compulsory office working. There is also significant investment in London from technology companies, with the UK increasingly becoming a hub for AI innovation, data centres, and digital research.

The high fit-out costs in London are only likely to increase, with a continued undersupply of tier one contractors able and willing to take on the larger, high-specification projects, and resources and supply-chain constraints only likely to be exacerbated by the ongoing geopolitical volatility. A further inflationary factor is the drive for major industry accreditations in areas such as sustainability and wellbeing, which brings with it a requirement for higher standards of design, material use and amenities. Occupiers are exploring a variety of approaches to help keep costs in check, including a greater focus on project controls and accurate, data-led benchmarking to inform decision-making.