Occupier demand for larger office space in Central London was one of the key trends in the capital last year, according to analysis of office relocation trends by Cushman & Wakefield.
The firm’s annual London Moves report, which analyses every office leasing transaction of more than 5,000 sq ft in Central London, recorded 504 deals totalling 9.6m sq ft in 2025.
Office transactions of more than 100,000 sq ft increased from eight in 2024 to 12 in 2025, and of these, 11 involved occupiers expanding their footprint, helping to drive a total net expansion of 3.82m sq ft across the market – the highest level recorded since 2019 and the sixth consecutive year of expansion across Central London.
Professional Services remained the most active sector in 2025, with 85 moves totalling 1.36m sq ft, including FTI’s 103,000 sq ft pre‑let at 1 Exchange Square (pictured) in the City core. Banking and finance occupiers also drove significant activity, recording 84 relocations totalling 2.55m sq ft.
Four transactions in the sector exceeded 100,000 sq ft, including the largest leasing deal of the year – Squarepoint’s 404,000 sq ft pre‑let at 65 Gresham Street. In total, 296 occupiers relocated within Central London during 2025.
Alistair Brown, head of offices UK at Cushman & Wakefield, said: “Occupiers with growth agendas are making decisive, long‑term commitments to high quality buildings in core locations. The scale of expansion we are seeing signals accelerating confidence in the office as a catalyst for productivity, culture and business growth.”
James Campbell, head of Central London offices leasing at Cushman & Wakefield, added: “AI businesses are driving strong near‑term demand and are proactively seeking the best buildings available. This urgency is also creating a knock‑on effect, as those unable to secure their preferred space are moving quickly on to alternatives. Recent deals by Anthropic and Databricks, for example, displaced other occupiers and triggered a ripple effect across the market.”
Heena Gadhavi, head of London offices research and insight at Cushman & Wakefield, said: “The acceleration of AI demand in Central London adds a powerful new layer to an already supply‑constrained market. Even under our base‑case assumptions, AI occupiers alone have the potential to materially tighten availability in the most sought‑after parts of Central London.
“Against a backdrop of limited new development, this demand will play a growing role in reshaping the composition of active occupiers and sectors across the market. Whilst the forecasts look towards the next three years, the reality is that the demand from AI businesses is likely to continue beyond this period, as its relevance across all industries continues to grow.”
