London
risks losing its aura as a “fun” place to work, according to a senior
economist.
Pablo Shah of the
Centre for Economics and Business Research said that the troubled hospitality
centre and “ghost town” appearance had made London less attractive to the
talent it needs.
Many of CEBR’s own
clients, such as finance firms and insurers, are not going back to offices
until next year. It predicts that in 2021, the “new normal” will be 30% of
London-based employees still working at home on any one day.
It calculates that
this will equate to £178m of lost spending on lunches, after-work drinks, stationary
and so on.
About £2.3bn of
spending in shops, pubs and eateries near London employment hubs was lost or
displaced between March and June, CEBR said.