UK GDP growth outperformed expectations in Q2, but fragile demand raises concerns over sustainability into autumn Bank of England cut rates to 4%, yet divisions among policymakers signal slower easing ahead Inflation climbed to 3.8% in July, with rising transport, food and energy costs fuelling pressure UK growth rate beats expectations Second quarter data released last month by the Read More
Residential Property Review August 2025
Another reduction to Bank Rate In its August meeting, the Bank of England (BoE) voted to reduce Bank Rate from 4.25% to 4%. This is the fifth cut since August 2024 and the lowest level in over two years. The decision may have come as a surprise to some, as inflation rose to 3.6% in June and 3.8% in July Read More
Economic Review – July 2025
Our latest Economic Review looks back on July – the UK economy continues to struggle with weak growth, surprise inflation increases and a cooling jobs market. Despite headwinds, interest rate cuts are still expected as policymakers weigh mixed data and softening demand heading into the second half of 2025. UK economic output shrank for the second month in May, driven Read More
Residential Property Review July 2025
A smoother end to 2025? The second half of the year should be smoother for the UK housing market, according to Knight Frank. The first six months of 2025 brought some uncertainties, with Trump’s trade tariffs, ongoing geopolitical conflict and Stamp Duty changes. However, things may be looking up. Buyer activity seems to be recovering after Stamp Duty thresholds reverted Read More
Economic Review – June 2025
Our latest Economic Review looking back on June includes – UK economy Q2 figures, BoE keeps Bank Rate, what will happen in the Autumn Budget and retail sales figures show a sharp drop. The UK economy grew modestly in Q2, recovering slightly after April’s sharp GDP contraction of 0.3% The Bank of England held interest rates at 4.25% but signaled Read More
Residential Property Review June 2025
May sales hit post-2022 high as housing market regains momentum Rightmove says May 2025 was the busiest month for agreed sales since March 2022. The rush to complete before April’s Stamp Duty changes caused a spike in March, followed by a 4% dip in buyer demand and the slowest annual May price growth since 2016. Despite this pause, home-movers have Read More
Economic Review May 2025
UK growth beats expectations First quarter gross domestic product (GDP) data published last month by the Office for National Statistics (ONS) showed the UK economy grew more strongly than had been predicted during the first three months of 2025. According to the latest GDP statistics, economic output rose by 0.7% between January and March, up sharply from a rate of Read More
Residential Property Review May 2025
Improving rate outlook boosts UK forecasts Knight Frank has raised its house price forecasts amid signs of a more supportive interest rate environment. The revision follows the Bank of England’s recent rate cut to 4.25% and growing expectations of further reductions this year. Even if those cuts don’t materialise, Knight Frank says cheaper fixed-rate mortgages will underpin demand in the Read More
