Yahoo Finance Lord Ashcroft’s publishing company quits the Shard
Lord Ashcroft’s publishing company has left its offices in the Shard skyscraper amid a wave of post-Covid cutbacks in central London.
The Conservative donor's business Merit Group pulled out of its lease in Europe's tallest building three years early as part of a turnaround plan.
Merit, which published The Parliament Magazine, The House Magazine and others until December 2022, is paying its landlord £2.9m upfront to leave the 16,893 sq ft office on the 11th floor, which will now be assigned to another tenant by the site's operator Real Estate Management.
It had been tied into paying £2.1m a year for the office until 2026.
The deal follows growing fears about an exodus from office blocks following the rise of home working.
A quarter of London businesses are cutting their office space while 18pc are moving to shared “co-working” buildings or other more flexible options, according to a survey last month by Bloomberg Intelligence.
David Beck, chief executive of Merit, said: “This agreement will deliver significant cost savings and allow the Group to improve its free cash flow.
“This disposal largely completes the first phase of management's turnaround plan and leaves the Group with two strong operating businesses that are profitable, generate cash and benefit from very high levels of recurring or subscription revenue.”
The company, which was founded in 2001, was previously known as Huveaux Plc and Dods Plc.
Its largest shareholder is Lord Ashcroft, a former deputy chairman of the Conservative Party, who has a 42pc stake.
