Google to open London 'creche' for tech geeks

Google has unveiled plans for a "creche" for new technology firms in a bid to find London's answer to Facebook founder Mark Zuckerberg.

The American search engine giant has announced that next year it will rent a seven-storey office building in east London to provide British start-ups with a place to grow.

Tech City will be leased for 10 years in a government-backed scheme to build the so-called "Silicon Roundabout" area near Old Street into a rival to California's Silicon Valley.

Google is understood to be spending millions on refurbishing the building in Bonhill Street. It said in a statement: "Google plans to open up the space to other organisations that support technology entrepreneurs, working together to provide a launchpad for new London-based start-ups and developers."

Mike Butcher, digital adviser to the Mayor of London and European editor of breaking news site Tech Crunch, said: "This could be the key to finding the next London Mark Zuckerberg. Google's dream come true would be to find someone like him and hire him before he could create another Facebook.

"This is a shot in the arm for the tech community in London. Google is essentially providing a creche for geeks and engineers. It's a playground for start-ups. Start-ups which initially have no revenue need somewhere with like-minded people. It also allows a big company like Google to keep an eye on the talent pool and acquire start-ups and engineers."

Chancellor George Osborne said the investment was "great news", adding: "It shows that we can create the right environment to attract start-ups and established hi-tech businesses."