Hatton Garden traders are planning a potential move away from the famous jewellery quarter to establish a new centre in suburban London, the Standard has learned.
Industry leaders are discussing the creation of a “new Hatton Garden” as jewellers face being forced out of their historic Farringdon home by rising rents.
Victoria McKay, chief operating officer of the London Diamond Bourse — a trading floor for the precious stones — said the district’s businesses agreed they must begin looking at potential new homes in cheaper locations.
Ms McKay, who is on the board of the Hatton Garden Business Improvement District, said she wants to create a world class diamond and jewellery hub outside the city centre which mirrors the success of similar projects in Tel Aviv and Johannesburg.
The Bourse’s 300-plus members voted 92 per cent in favour of entering consultation over a mass relocation at a recent meeting.
Ms McKay told the Standard: “It’s an incredible shame that Hatton Garden has become so expensive for businesses that a lot of them can no longer afford to be here. We are desperately trying to stop the industry fragmenting.
“My aim is to create a world class diamond and jewellery hub somewhere in London that will become a new Hatton Garden. There could be traders, workshops, apprentice schemes and new business developments all in one home, making it a real destination.
“It could create a narrative around the industry and the catalyst that it really needs.”
Rents in Hatton Garden have risen over the past three years from an average of £35 to £70 per square foot, with the 2018 launch of Crossrail in Farringdon cited as a possible cause.
The area has also become a popular location for corporations such as Amazon, which has 1,600 staff at Holborn Viaduct.
Ms Mckay added: “Generally speaking when bourses have moved before there has been some resistance but it’s worked in the end.
“As a Londoner I’m incredibly sad about having to leave Hatton Garden but at the moment we have been unsuccessful in finding a way to stay.
“In an ideal world we would of course stay. Nobody wants to leave Hatton Garden but it’s a matter of need for the trade.
“The 92 per cent mandate gives us the ability to go into full consultation but this is a slow move, a five to ten year project. We would need to get a purpose-built facility or renovate somewhere that is already in existence.”
Possible locations for the new Hatton Garden were not revealed but the Standard understands it would be located within the M25.
The chairman of the National Association of Jewellery, Simon Johnson, said: "The London Diamond Bourse as an institution has been a vital and integral part of the UK's jewellery trade and resided in Hatton Garden for 76 years. In recent times under the stewardship of its outstanding leadership team it has improved its reach, purpose and systems in order to ensure and enhance its relavence and importance.
"Unfortunately wider circumstances, including the local and national economy have forced it to assess a potential move from its historic home in London's Hatton Garden. This move would only be considered if it was essential and with the full consultation and approval of its members.
"Whilst we hope that they can remain within reach of 'The Garden', if that is not possible I'm sure that any alternative solution will be the very best one available, to ensure the future longevity of this unique body. We wish them well and offer all our support in these difficult times."
