New research by Mitie, the UK’s leading facilities transformation company, has revealed that inefficient and outdated workplaces could be costing the UK economy up to €84 billion annually in lost productivity. The report links underperforming office environments to a measurable drop in output and worker satisfaction, highlighting an urgent opportunity for employers and property developers to rethink workplace design as a strategic asset.
According to the findings, UK employees estimate losing 68 minutes of productivity each week due to environmental inefficiencies such as poor Wi-Fi, outdated infrastructure and lack of suitable spaces for collaboration or focused work. For full-time workers, this rises to 74 minutes per week, which translates into a €571m weekly cost to employers. With productivity already stagnating, the research suggests that reimagining workplaces for function, safety and comfort could deliver a significant macroeconomic boost.
The implications are especially relevant for real estate developers, workplace strategists and investors exploring refurbishment or asset repositioning. Office stock that fails to align with the functional needs of today’s hybrid workforce risks faster obsolescence and lower long-term yields. With talent retention and employee satisfaction directly tied to workspace quality, future-ready environments may increasingly define portfolio value.
“Employers have a real opportunity to improve workspaces so they increase employee engagement, actively fuel productivity and drive innovation in a way that benefits the multi-generational workforce,” said Mark Caskey, Managing Director, Projects at Mitie. “Currently, across the UK, there are a number of friction points within office environments that adversely impact employee satisfaction, which directly impacts productivity.”
Nearly nine in ten (88%) of those surveyed say a safe and well-equipped working environment contributes most to their job satisfaction and performance. In contrast, just 29% reported that recreational amenities like gyms or social areas influence their experience. This finding challenges widespread assumptions about the role of lifestyle perks in return-to-office strategies.
“When workplaces are designed with people in mind and managed effectively, they become powerful enablers of collaboration and transformation,” added Caskey. “People thrive, and communities benefit, leading to a workforce that ultimately helps the economy gain critical momentum.”
People mentioned:
Mark Caskey – Managing Director, Projects, Mitie
Companies mentioned:
Mitie – Facilities transformation company, research author
Image Source: Mitie, from the report Productivity Reset
