18 January 2024
Savills ‘Market Pressures’ report concludes that London developers face a challenging market with a 41% decline in new build sales below £1,000psf in the past year. Private starts on-site are now 60% below the 2015 peak. The end of Help to Buy and higher interest rates contribute to this decline. Current new home deliveries at 34,985 are just 41% of housing needs, pointing to a challenging future. Prospects for improvement hinge on a predicted interest rate drop in mid-2024. Savills