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Startups reject rising rents at Silicon Roundabout

Rising rents are causing startups to move away from the Silicon Roundabout area, according to new data.

A report from accountancy firm UHY Hacker Young found that budding entrepreneurs are turning their backs on Old Street’s startup hub as a result of increasing property costs. The research shows the number of firms starting up has dropped by over a third to 10,280, from 15,620 in the previous year.

However, the EC1V postcode remains the UK’s number one location for startups, with twice the number of new companies setting up there than in Canary Wharf.

Colin Jones, partner at UHY Hacker Young, said: “Silicon Roundabout is still at the forefront of national business creation, and it is still the epicentre of the UK’s technology industry, attracting both start-ups and larger firms to the area, such as Cisco and Amazon.”

“Rising rents in the Silicon Roundabout area are causing many start-ups to choose other neighbouring areas of central London, such as City Road, as their first base.”

This was posted in Bdaily's Members' News section by Ellen Forster .