A growing number of London’s entrepreneurs and micro-businesses are swapping traditional offices for coffee shops and cafes, with new research revealing that these venues are playing an increasingly vital role in the capital’s business ecosystem.
Commissioned by pan-European real estate investment manager Tristan Capital Partners, the research shows that 11% of London business owners now work from restaurants or cafes when in central London—rising to nearly one in five (19%) among micro-businesses with fewer than ten employees. These alternative workspaces are proving especially popular among start-ups and independent business owners who favour flexibility, convenience, and the opportunity to network in more social environments.
The findings arrive as Camden’s historic Sicilian Avenue prepares to reopen in summer 2025 following a major transformation into a pedestrian-friendly hub for dining, shopping, and socialising. With 70,000 daily visitors expected, it’s set to become a key destination for central London’s hybrid workforce, reinforcing the link between hospitality venues and business activity.
While the majority of London professionals (85%) still have access to office space, the rise of hybrid working, return-to-office mandates, and the explosion of coworking locations has prompted a shift in how and where business gets done.
Restaurants and cafes have emerged as convenient alternatives, offering the blend of sociability and informality that appeals particularly to entrepreneurs and start-ups. Over half (58%) of business owners say they regularly meet clients or partners in a café or restaurant—compared to 41% of other workers in central London—highlighting the vital role these spaces play in day-to-day business operations.
Notably, 45% of business owners are also willing to travel across central London for meetings in hospitality venues, underscoring their preference for quality, convenience, and ambience over proximity alone.
Today’s business diners are increasingly discerning, with a majority saying they now prioritise higher quality food and beverage experiences compared to pre-pandemic habits. More than half (58%) say they’re more likely to choose premium restaurants and cafes than they were in 2019.
For business owners and professionals alike, the most valued features in a high-quality dining experience include excellent service (70%), high-grade ingredients (64%) and a prime location (43%). Loyalty schemes and sustainable practices are also gaining traction, especially among Gen Z and millennial respondents.
Around a third of London business owners say they now actively look for sustainability credentials and environmentally conscious operations when choosing where to eat and work—a trend that mirrors wider shifts in consumer values around wellbeing and ethical business practices.
The research also supports the growing momentum behind pedestrianisation in London’s commercial districts. Bloomsbury’s Sicilian Avenue is a case in point: its transformation into a clean, car-free space is seen as a key enabler for local business activity and wellbeing.
Councillor Adam Harrison, Cabinet Member for Planning and Sustainable Transport in Camden, commented: “Sicilian Avenue has always set an example of how pedestrian-friendly spaces can enhance urban life. By investing in walkable, breathable areas, we not only support healthier forms of travel but also create thriving commercial destinations that attract both residents and workers.”
As the boundaries between work, socialising and leisure continue to blur, central London’s hospitality sector is becoming more integral to business life. Entrepreneurs and small business owners are increasingly relying on cafes and restaurants not just for food and meetings, but as essential environments for productivity, relationship-building and client engagement.
With footfall returning and expectations rising, these venues are being seen not merely as ancillary to office life—but as workspaces in their own right. As new pedestrianised zones and higher quality hospitality destinations take shape, their role as the preferred ‘third space’ for London’s next generation of entrepreneurs is only set to grow.
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London’s cafes and restaurants becoming the workplace of choice for city’s entrepreneurs and micro-businesses
