A two-part study measured hen performance in relation to space allowance. At 18 weeks old, four groups of Lohmann Selected Leghorn Lite hens were housed in either smaller furnished cages (SFC) or larger furnished cages (LFC) with access to nesting areas, perches and scratch mats. Two stocking densities for each type of cage were used: 748 cm 2/hen (116 in 2/hen) and 520 cm 2/hen (81 in 2/hen). Feed was given five times a day. At weeks 30, 50, 60 and 70; 20% of the hens were randomly selected to evaluate production parameters such as hen day egg production, egg weight, egg shell deformation, breaking strength of femur, tibia or humerus, birds suffering from keel bone deformations or foot health scores. While performance and mortality were not significantly affected by cage size or space allowance, hens with less space had higher feed disappearance and poorer feather cleanliness and condition; hence, the animal welfare was found to decrease with lower space allowance. There was no difference in bone strength or foot health scores between the two treatments.