UK house prices level out as Covid boom subsides October 7, 2022 UK house prices have dropped for the second time over the past three months in a sign the surge experienced over the previous year is starting to level out. Average UK house prices dropped by 0.1 per cent in September from August’s record highs of £293,992. The September drop marks the second marginal decrease over [...]
EXCLUSIVE: Starmer sounds alarm on house price ‘shocks’ as mortgage rates rise October 6, 2022 Sir Keir Starmer has warned about potential housing price “shocks” across the UK in the wake of dramatic mortgage rate rises. The Labour leader today told City A.M. there’s “no market confidence” in the government and that “we are going to see these shocks in mortgages and housing as a direct result of it”. Starmer [...]
Construction firms clear backlogs before downturn hits October 6, 2022 Construction firms are clearing a huge backlog of work, but the sector is on course to shrivel in the coming months as it is whacked by soaring interest rates, a closely watched survey published today. S&P Global and the Chartered Institute of Procurement and Supply’s (CIPS) purchasing managers’ index (PMI) for the construction industry swung [...]
Sirius Real Estate wraps up £150m debt refinancing one-year early October 6, 2022 Sirius Real Estate has wrapped up a refinancing of a €170m (£148m) debt facility with commercial real estate financier Berlin Hyp AG. The London-listed company, which operates industrial parks and flexible workspaces in Germany and the UK, completed the refinancing around one year in prior to the facility’s due date. Refinancing means a borrower has [...]
UK real estate market particularly vulnerable to value crash, says Moody’s October 5, 2022 The UK real estate market is one of the most vulnerable in Europe to an imminent crash in value, according to a recent note by US investment giant Moody’s. “Markets with greater short-term fixed or variable rate borrowing, like the UK and Sweden, are at greater risk of a more sizeable correction,” the note said [...]
Home owners at risk of house price crash with London properties facing record value drop of £93k October 5, 2022 Should the market decline at the same rate as the 2008 financial crisis, as predicted by some analysts last week, it could wipe almost £54,000 from the value of the average property in Britain, according to new data shared with City A.M. this morning. The research shows that the average house price across Britain fell by [...]
Truss and Kwarteng mini-budget to ‘deepen’ UK recession October 4, 2022 Liz Truss and Kwasi Kwarteng’s decision to slash taxes and ramp up borrowing without costing their plans will make the looming UK recession worse, City economists predicted today. Soaring mortgage rates driven by lenders passing on higher market yields pushed up by a lack of confidence in prime minister Liz Truss and chancellor Kwasi Kwarteng’s [...]
17,000 construction firms risk collapsing any minute as high inflation is ‘destroying entire sector’ October 4, 2022 The number of UK construction companies at significant risk of closure has jumped 54 per cent to 16,755 this quarter, up from 10,686, according to fresh data shared with City A.M. this morning. Construction companies are struggling to cope with spiralling construction costs, inflation and rising interest rates on their debt. In the last quarter [...]
Kwarteng’s ‘mini budget’ sends mortgage bills soaring £1,500 October 4, 2022 The government’s mini budget has sent the average mortgage borrower’s bill soaring by £1,500 a year, new figures have shown, in a hike that has been dubbed a ‘Kwarteng premium’ by some brokers.
Letters: Mind your credit score October 4, 2022 [Re: Don’t penalise cash-strapped Brits, FCA warns insurers, 29 September] As interest rates soar, the FCA’s call to lenders to offer borrowers solutions is a stark reminder that consumers’ needs must remain front and centre. Against skyrocketing living costs and a mortgage industry in turmoil, our research shows half of lenders are still using outdated [...]