Science and technology businesses accounted for 84 per cent of total office and laboratory take-up in Cambridge in 2025, according to Bidwells. This increased from 68 per cent in 2020.
459,300 sq ft of office space was leased in Cambridge last year; the highest since 2021. The figures indicate a continued strengthening in demand from innovation-led occupiers. Cambridge is seeing an increasingly constrained pipeline of high-quality office space.
Cambridge’s occupier base continues to be underpinned by its start-up and spinout ecosystem. Bidwells’ analysis indicates that 50% of Cambridge lab floorspace requirements at the end of 2025 came from companies originating in Cambridge, while 47% of active requirements were from university spinouts.
Max Bryan, head of laboratory & office agency at Bidwells, said: “Cambridge is a global innovation cluster with a depth of talent and company formation that very few places can match.
“The rebound in office leasing in 2025 is a clear reminder that innovative businesses want to be based in ecosystems where they can recruit, collaborate and grow quickly – and where the address helps them compete internationally. What is particularly striking is the extent to which the office market is now being shaped by the innovation economy.
“The boundaries between technology and life sciences are increasingly blurred, AI is accelerating discovery and start-ups and spinouts are maturing into major occupiers” said Mr Bryan. “However, businesses will face a sharp reduction in Grade A office options this year as overall office availability tightens. By contrast, lab availability will extend creating opportunities for growing companies as financing conditions improve.
“To keep that momentum however, investment needs to be joined up. Venture capital creates the next wave of occupiers, and high-quality real estate is the platform that helps them scale and stay.
“If government is serious about backing Cambridge as the engine room of UK growth, it should focus on quick wins that attract global business and top global talent while speeding up infrastructure delivery, improving connectivity and unlocking more long-term domestic capital into the ecosystem.”
Bidwells expects annual office rental growth of 4.9 per cent over the next three years and 4.2 per cent over the next five years.
Image: Bidwells
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