Govt struggles to let out surplus office space

Firms seeking new office space to rent may be interested to note that the government is currently looking to lease a considerable amount of working space in a bid to save money. It wants to get rid of offices in order to reduce its costs by round £180 million.

Meanwhile, the National Audit Office (NAO) has suggested that a total of £830 million could be cut from state expenditure on estate by 2020 as civil service posts are axed and the amount of office space used per employee is reduced. The government wants to lessen its office space from 13.2 square metres per person to ten square metres.

However, the current property market conditions are making it difficult for managers to meet their aims in terms of letting out office space. The NAO claimed that an increase in the level of co-operation between different departments could be required.

Head of the organisation Amyas Morse remarked: “The cost of the total stock of government office property has gone down markedly in recent years. Further substantial progress will require a step change in the way departments work together, involving an end to their managing their estates in isolation.

“The Government Property Unit needs to work to overcome the barriers preventing departments sharing office space, and help [the] government find ways of using the estate to facilitate wider improvements in how the civil service works.”

Meanwhile, a spokesman from the Cabinet Office noted that the administration is determined to reduce waste and save taxpayers money.

The government is by no means alone in its attempts to make efficient use of London office space, Manchester offices and so on. Many organisations are trying to find the best value working environments in a bid to reduce their expenditure and help them get through these difficult economic times.