Thousands of civil servants are facing a move to Canary Wharf after the Government leased 10 South Colonnade from Barclays .
Around 5,700 department workers will relocate to the building before the end of 2018 after the Government Property Unit leased the entire 11-storey block.
It will see the creation of a Government hub in the Docklands estate, which has already been dubbed the “Whitehall of the east”.
Ben Gummer, Minister for the Cabinet Office, said: “We have some of the most talented people in the UK working in the Civil Service and it is right that we provide them with the right environment so that they can serve the public to the best of their abilities.
“We will be replicating this approach across the UK, putting right the historic mistake of forcing public servants to work in ugly and expensive buildings.”
Barclays said the lease assignment is part of the lender’s “continued strategy to reduce costs”.
It comes after a study found it cost £35,000 a year to accommodate a civil servant in the Ministry of Defence’s Whitehall building but only £3,000 a year for someone in the Home Office building in Croydon.
Dan Bayley, head of BNP Paribas Real Estate’s central London agency, advised the Government on the move and said average rents in Canary Wharf are half those in Westminster and Victoria.
Barclays has said that no employees will lose their jobs in the process of exiting the building and that staff have started moving to its other offices in Canary Wharf, including 5 North Colonnade.
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