Beyond the Pandemic: London's financial hub seeks a rebirth
When the pandemic struck, about 540,000 workers vanished from London’s financial hub almost overnight
April 7, 2021, 6:26 AM
6 min read
Share to FacebookShare to TwitterEmail this articleA view over the City of London looking at the Bank of England, right, from the 59th floor of 22 Bishopsgate in London, Thursday, April 1, 2021. When the pandemic struck, about 540,000 workers vanished from London's financial hub almost overnight. The area known as "the City" became a ghost town as many people began working from home. A year on, most haven't returned to the business hub. While many people believe that post-pandemic workflow will become the new normal, skyscrapers are still rising, and city planners say they aren't worried about empty office blocks. (AP Photo/Alastair Grant)
LONDON -- On the surface, London’s financial district appears to be a shell of its former self. No one is rushing to meetings. Chairs are flipped upside down on tables inside closed cafes and pubs. The roads are ghostly quiet on a bright spring morning.
But a hive of activity is taking place at one spot, as builders lay the groundwork for the latest skyscraper to transform the skyline. Developers of the tower, called 8 Bishopsgate, are confident that when construction ends late next year, workers and firms will return to fill all 50 floors of the gleaming new office space.
When the coronavirus struck, nearly 540,000 workers vanished almost overnight from the business hub, known as the City of London, or simply “the City.” A year on, most haven’t returned.
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Plagues, fires, war — London has survived them all. But it has never had a year like this. The coronavirus has killed more than 15,000 Londoners and shaken the foundations of one of the world’s great cities. As a fast-moving mass vaccination campaign holds the promise of reopening, The Associated Press looks at the pandemic’s impact on London’s people and institutions and asks what the future might hold.
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While many believe that some degree of working from home will become the new normal, city planners say they aren’t worried about empty office buildings. Rather, they say the uncertainties and changes are just a catalyst for the reinvention of one of the world’s top financial centers.
“We’re very clear that the office is not dead, from all that we’re hearing,” said Catherine McGuinness, head of policy at the City of London Corporation, the governing body of the historic district.
“(Businesses) are telling us that they’re really keen to get back to their offices, but they’ll use it in a different way," she added. “They’ll build on some of these new ways of working that they’ve learned.”
It’s been a year like no other for the City of London, the ancient core of the capital and historically its wealthiest and most powerful area. Another nickname is “the Square Mile,” a reference to its size. The district sits within the Roman walls of Londinium, the original name of the city founded on the banks of the River Thames around 50 A.D.
A January report on London’s future from the mayor’s office predicted that while companies won't abandon the capital, many will need to improve the quality of their office space to encourage more employees to return and use it.
The workers' return will be crucial for the survival of many shops, restaurants, theaters and museums. Although offices and city centers all over the world have emptied out during the pandemic, the report said London was hit particularly hard by the shift to remote working because it has many fewer people living in the core of the city, compared with New York or Paris.
Hubert Zanier, who co-owns a chain of Southeast Asian takeout restaurants called Nusa Kitchen in the financial district, has struggled to keep his business afloat with all six branches closed. While technically allowed to open under the government’s virus restrictions, it was clear this wasn't an option with practically zero foot traffic in the City.
“We were quite hopeful when we first closed down, but little did we know the whole thing would last 12 months with all the ups and downs — more downs than ups,” he said.
Zanier is preparing to reopen as restrictions gradually ease, and his best-case scenario is for 75% of workers to return on a regular basis in the summer.
“It’s clear the world will look different,” he said. “But you have to be optimistic — if you’re not, you might as well pack up your stuff and go.”
