Remote Work Boom Sees Smaller Cities Overtake London for Flexibility

Dunfermline in Scotland has been named the UK’s leading city for remote workers, according to official figures, pushing London, Manchester and others into lower positions. Smaller cities are proving particularly attractive for those seeking hybrid working arrangements, due in part to a mix of lower living costs, strong internet infrastructure and growing availability of flexible workspaces.

Recent figures from the Office for National Statistics (ONS) show around 28 percent of working adults in Great Britain now follow hybrid working patterns. Data also reveals that degree‑holders are far more likely to have remote or mixed working options than those without formal qualifications.

The rise of remote work in smaller cities signals a broader change in how and where people work, with potential wellbeing benefits but also challenges for employers.

Who’s Most Likely to Work Remotely

ONS research published in mid‑2025 found that hybrid working is more common among full‑time workers and those with higher qualifications. For example, workers aged 30‑49 are more likely to be hybrid workers than both younger and older age groups.

Workers in less deprived areas have greater access to hybrid working compared to those in more deprived areas. Similarly, people in managerial, professional or high‑skilled roles tend to benefit more.

An analysis of the figures shows Dunfermline’s affordability and strong digital connectivity as key draws for remote professionals. Chester, Aberdeen, Newcastle‑upon‑Tyne and York also feature near the top, demonstrating that many people are choosing locations with lower housing costs and less commuting, but without sacrificing amenities or internet quality.

These places are becoming hubs not just for residents but for remote‑friendly businesses. Co‑working spaces in the North East have increased, while broadband and infrastructure investments in Scotland have made remote work more viable. While many people still gravitate toward capitals or large urban centres, the evidence suggests smaller cities are closing the gap.

Wellbeing Impacts of Remote and Hybrid Work

Remote or hybrid work can bring significant wellbeing gains. Reduced commuting time improves work‑life balance and can allow more time for rest, exercise and family. Several studies show that employees working from home or in hybrid arrangements report lower stress and better satisfaction when their working conditions allow autonomy, social connection and a balanced workload.

But remote work also carries risks. Over‑reliance on digital tools, unclear expectations around availability, isolation and blurred work‑life boundaries can all contribute to stress or burnout. Those in roles without remote flexibility or in locations with poorer digital infrastructure are especially vulnerable.

Equity and Access Concerns

The benefits of remote working are not spread equally, because according to ONS data, degree‑holders are as much as 10 times more likely to hybrid work compared with those who lack formal qualifications.

Workers in deprived areas are less likely to have access to remote or hybrid working, and regional and occupational gaps persist. Many roles in retail, hospitality or manufacturing still require onsite presence, limiting flexibility for those who might most benefit from it.

Employers who want to gain from the remote work boom while supporting staff wellbeing may consider three key strategies:

Align Flexibility with Support
Ensure that hybrid or remote work comes with clarity about expectations, such as availability hours, communication norms, workload distribution and response times. Employees who know what is expected are less likely to suffer stress from ambiguity.

Invest in Digital Infrastructure and Connectivity
For workers in smaller cities or more remote areas, reliable broadband and good tech support are essential. Ensuring staff have appropriate hardware, software and secure internet connections reduces friction and anxiety.

Promote Social Connection and Psychological Safety
Remote and hybrid work must include opportunities for meaningful interaction. Virtual team check‑ins, occasional in‑person meetups or co‑working hubs help reduce isolation and foster connection. Training for managers in remote leadership and wellbeing matters can help them recognise stress, support staff and build trust.