Colliers: Financial Services Office Real Estate Demand Shifts Beyond London and Paris Amid AI-Driven Workplace Changes

LONDON, June 10, 2026 — Financial services firms are broadening their office real estate footprints across Europe, the Middle East and Africa, moving away from a concentration in established gateway cities as artificial intelligence adoption and shifting workforce requirements alter how and where work is performed, according to new analysis from Colliers.

The findings, drawn from Colliers' Global Financial Services Markets | Top Talent Locations report covering more than 200 global markets, show a growing divergence between traditional financial centres and the locations capturing future occupier demand. While London and Paris continue to anchor the sector through scale and output, a broader set of markets is attracting leasing activity as firms prioritize access to talent, productivity and cost efficiency.

Redistribution of Demand Reshapes EMEA Office Markets

Demand is broadening beyond traditional gateway cities, supporting leasing activity in smaller, high-productivity markets, while increasing pressure on secondary assets in core locations that cannot meet evolving workplace and utilisation requirements, Colliers said. Accessibility, connectivity and the ability to support AI-enabled and hybrid ways of working are increasingly determining where firms choose to locate and invest.

At the same time, venture capital flows are signalling where future occupier demand is concentrating. While investment volumes remain highest in established global centres, growth is accelerating in cities such as Bucharest and Istanbul, where fintech and digital-first firms are scaling operations outside traditional financial hubs.

"Financial services leaders are facing more choice, and consequently more complexity, than ever when deciding where to locate their people. With AI changing skill requirements and work no longer concentrated in a handful of hubs, it's important for organizations to futureproof their workforce decisions to support near-term needs and long-term resilience," said Andrew Hallissey, Chief Executive Officer, Global Occupier Services at Colliers.

AI and Talent Competition Driving Expansion Into Scalable Talent Pool Locations

At the centre of the shift is a structural change in how work is delivered across financial services. AI adoption, changing workforce expectations and competition for specialised skills are altering both organisational models and real estate requirements. As automation reshapes roles, firms are increasing demand for technology, risk and digital capabilities, driving expansion into locations that offer scalable talent pools at lower cost, the Colliers report found.

For corporate real estate teams, this is translating into a more distributed operating model. Firms are moving away from single-location strategies and building multi-market portfolios, aligning locations to specific functions based on labour availability, productivity and cost. Core hubs continue to support front-office activity and decision-making, while a wider set of cities is capturing operational and digital roles.

Nick Clifford, Account Director, EMEA at Colliers, noted that the financial services workplace has changed considerably since the pandemic. "Companies are increasingly focused on attracting and retaining digital talent, providing collaborative workspaces and making their offices more accessible," Clifford said.

Workplace Strategy Shifts Toward Performance-Led Office Design

Workplace strategy across the sector is also shifting toward performance-led design, according to Colliers. Workplace environments are being recalibrated around utilisation, supporting collaboration, hybrid working and measurable productivity outcomes rather than fixed occupancy. Large headquarters are evolving into collaboration and client engagement hubs, while smaller offices are being configured for focused, functional work.

Hybrid working and more fluid team structures are exposing underused space and fixed cost inefficiencies in legacy office portfolios. In response, occupiers are redirecting capital toward flexible, adaptable environments that can support variable utilisation and different modes of work, the firm said.

Clifford added: "While London remains the top hub for financial services talent in Europe, many companies are now starting to reassess their office locations to prioritize accessibility in order to attract and retain the key job roles they need for the future."

Implications for Office Real Estate Investors and Landlords

For investors and landlords, Colliers said the implications are increasingly clear. Office demand is becoming less concentrated and more sensitive to labour market dynamics, with greater divergence in asset performance. Prime assets in markets with strong talent pipelines and productivity are likely to maintain leasing depth, while buildings that cannot adapt to new workplace and utilisation requirements face rising obsolescence risk.

Across Europe, financial services office demand is shifting from scale-led concentration to performance-led distribution, Colliers concluded. Markets that combine talent, technology and capital are likely to capture a greater share of future activity, redefining how value is created and sustained in the sector.

Sources

• Colliers, "Financial Services Office Demand Shifts Across EMEA As AI Reshapes Workplace Strategy," June 10, 2026. https://www.colliers.com/en-xe/news/20260610-financial-services-shifting-location-strategies