What’s the next tech startup hub in London after Silicon Roundabout?
Published 31 January 2016
Silicon Roundabout has been the default option for many a new tech startup over the last decade, driven by its low rents, proximity to key areas of the city such as the City and Soho, as well as a burgeoning network of like-minded startups. Not to mention the abundance of independent coffee shops and speakeasy hipster style bars.
But according to one London-based accounting firm UHY, their research showed that the number of new businesses in the area fell from 15,620 to 10,280. Now, I’m taking those numbers with a pinch of salt (15,000 new startups a year in such a tiny area?). But I do believe that as Silicon Roundabout has gotten more popular, rents have been rising and new startups are being driven to other areas of London in search of affordable office space. In addition, as more corporate and bigger tenants move into the Old Street area, it is fast losing its startup street cred.
Better Technology Consulting, one of the hottest tech startups in London founded last year, decided on its Aldgate East location after considering multiple options across London. For Lee Ramsingh, the founder of Better Technology Consulting, the Aldgate East area offered “cheaper rents, more space, and the same great access to key commercial parts of London”. The last is key, as Better Technology Consulting delivers bespoke software development, and innovative IT consulting, meaning its employees travel often across London and beyond to meet existing and prospective clients.
Could Aldgate East be the next hot area for tech startups in London? Quite possibly, as the area, on the fringes of the City (just like Old Street once was), is undergoing rapid gentrification but rents are still cheap. Other areas, such as Stratford, have seen government investment into creating startup and tech hubs, and likely would see an influx of new companies taking advantage of the improved infrastructure.