Key facts
- London's economic growth was 1.6% in 2024, matching Berlin but trailing New York, Hong Kong, and Paris.
- London's office vacancy rate was 6.6% at the end of 2024, the lowest among surveyed global cities.
- Prime office rate growth in London outperformed other sampled cities.
- London's public transport usage in Q4 2024 was the highest since the pandemic.
- London's GDP is projected to grow by 1.92% in 2025, exceeding pre-pandemic levels.
- London's projected 2025 GDP growth is double the UK-wide estimate of 0.8%.
London finished 2024 showing signs of progress, with economic growth matching Berlin at 1.6% but trailing New York, Hong Kong, and Paris. The city outperformed its global competitors in real estate occupancy, ending the year with an office vacancy rate of 6.6%, approximately a quarter of New York's and the lowest among all surveyed cities. Prime office rate growth in London was also the strongest compared to other sampled cities. In the final quarter of 2024, London achieved its highest public transport usage since the pandemic, significantly exceeding New York and Hong Kong, though still 14% below pre-pandemic levels from 2019.
Forecasts from Oxford Economics indicate London's economic output will grow by a projected 1.92% in real terms in 2025. This growth is expected to push the capital above its pre-pandemic output levels and is double the UK-wide GDP estimate of 0.8%, highlighting London's role as a key growth engine for the UK economy. While London and New York are projected to see year-on-year output growth, Paris, Berlin, and Hong Kong are anticipated to experience different growth trajectories. The Global Cities Survey, which began in January 2022, tracks 14 indices including finance, insurance, housing, and unemployment. This edition also incorporated construction starts to reflect the UK government's focus on infrastructure and housing for economic growth. The survey acknowledges that global economic challenges and a volatile geopolitical climate pose risks to London and its competitors in 2025, with cities demonstrating high political and economic stability expected to fare better.