Why Cambridge’s technology industry is driving house prices
Published Oct 28th 2015
2 mins read
Cambridge appeals to people looking for a pleasant balance between work and lifestyle priorities, and those looking for a location with exciting career opportunities. Being a home to one of the world’s best-known universities, beautiful countryside and some of the finest examples of historic architecture, Cambridge has a long-standing reputation as one of the UK’s most-loved cities.
Fifty years ago there were around 20,000 hi-tech jobs in Cambridge. That number has increased to 48,000, with people working in industries from pharmaceuticals to developing alternative eco-fuels. The cluster of technology and bioscience companies in the city is now one of Europe’s most successful and best known “hubs” of its type.
The environment in Cambridge provides strong grounds for start-up tech companies as there are plenty of support networks and established companies available for knowledge and support. Great examples include Cambridge Wireless, alongside its One Nucleus group for science and healthcare, and the Cambridge Network.
There is a well-established investment community in the city; ‘angel funds’, corporate venture funds and growth capital providers all included within the city’s extensive resource network. The tech consultancies of Cambridge are international renowned, and have their own great business success stories. As a start-up, you would be very well-placed to invest in a fast-paced, long-established culture such as Cambridge’s.
All of the above benefits local economy; unemployment in Cambridge is believed to be around 1.4%, against 5.5% nationally, and the gross value added to the UK economy per job in Cambridge is £44,800, compared with London’s £34,200. The city’s economy is remarkably vibrant, diverse and resilient and the areas surrounding the city center are undergoing a development boom as a result.
And of course, there are also some fantastic science and research parks in the area, adding a value to Cambridge’s tech market. Additionally, pharmaceutical giant AstraZeneca is currently planning a £330m global research headquarters on the Cambridge Biomedical Campus, in the south of the city.
All of the above factors are driving Cambridge’s population growth and consequently property values and rent figures, due to demand increase for accommodation, especially one and two bedroom apartments. According to Land Registry property values in Cambridge have risen by 27% over the last 5 years, proving the fact that technology industry and property values are moving forward in the same line.