THE space occupied by office workers costs businesses an average of £4,000 per person each year, according to new research by the Royal Institution of Chartered Surveyors (RICS).

Property is the largest business outgoing after staff, the equivalent of 13 per cent of average office salaries.

But the RICS argues that many companies are failing to enjoy the benefits of using their property efficiently and it has outlined how the right property arrangements can boost profits and prospects.

Space per employee has risen slightly over the last three years. Static rents in the UK commercial property market are keeping a temporary lid on property costs which has led some companies to be less efficient at utilising space.

Business rates however, have increased significantly for the 100,000,000 square metres of office space in Britain – equivalent to 25,000 football pitches or 375,000 Wimbledon centre courts.

RICS has produced new guidance to help businesses with issues like service charges, rent reviews, tax allowances, disputes with landlords, home working, subletting and renting or buying business premises.

RICS research found UK businesses could boost profits by up to 13 per cent annually with the right property strategy.

Commenting on the 'Property in Business' campaign, Trevor Hines, RICS South East Regional director, said: "Property is a crucial business asset that needs attention and close management like any other.

"Yet it is often ignored in the boardroom and by small businesses who are always pushed for time.

"Good, strategic property advice can allow a business to expand at the right pace, increase profit margins and make the difference between an enterprise that flourishes and one that struggles."

The campaign has also secured the support of the CBI.

Malcolm Hyde, the South East regional director of the employers’ organisation, added: "British businesses are throwing away billions each year in the form of wasted space and under-utilised property.

"But the right property advice can turn a company's business commitments from a liability into an asset.

"Businesses of all sectors and sizes need to understand just how beneficial the right property strategy can be."

The new RICS business property guidance and a free CD-Rom 'Getting Serious About Your Business Premises' is available from www.propertyinbusiness.co.uk.