Britain’s housing market slowed after finance minister Rachel Reeves’ budget last month, according to a survey of chartered surveyors that showed buyer enquiries falling at the fastest rate in over two years.
The Royal Institution of Chartered Surveyors’ monthly gauge of new buyer enquiries fell in November to -32% from -24% in October, marking the weakest reading since September 2023.
Three-quarters of responses to the RICS Residential Market Survey came after Reeves’ budget on November 26.
The report adds to signs of subdued property market activity around the time of the budget, which contained a new annual tax on homes worth more than 2 million pounds ($2.63 million).
RICS said there was a sense of relief among surveyors over the high price threshold, with the surcharge due come into force in April 2028.
Respondents also said media leaks about the content of the budget during November – which Reeves described as unacceptable on Wednesday – had dampened housing market activity.
“The housing market has been struggling for momentum for several months, and the recent budget announcements are unlikely to materially shift that picture,” said RICS chief economist Simon Rubinsohn.
“The ending of budget-related uncertainty is welcome, but the fundamental challenges of affordability and elevated borrowing costs will in all probability keep activity subdued in the near term.”
The survey’s gauge of house prices rose to -16%, the highest reading since July, from an unrevised -19% in October.
(Reporting by Andy Bruce）
