The UK property market is stalling ahead of the forthcoming Autumn Budget, with buyers and sellers holding off on transactions, according to Winkworth.
Winkworth Chief Executive Dominic Agace compares the Budget’s effect to a general election, saying policy uncertainty has put the brakes on activity across a number of areas.
He said: “The Autumn Statement has increasingly taken on the feel of a traditional election. People often fear the worst but, once the detail emerges, the reality is usually less severe, and activity rebounds, raising the prospect of an unusually active December and early January.”
Agace added: “Another factor shaping the outlook is the changing mix of international buyers. While European demand has been steady, early signs suggest renewed interest from the Middle East and Asia, attracted by currency advantages and the perception of London as a long-term safe haven. If this momentum builds into the winter months, it may offset some of the hesitancy among domestic discretionary vendors.”
According to Winkworth, sales activity in Q3 reflected a more measured market, with buyer interest rising but decisions increasingly dependent on accurate pricing and quality stock, according to the latest research report.
One-bedroom homes accounted for nearly four in every ten completions in prime central London, up significantly on last year, highlighting the growing importance of compact, needs-driven purchases in underpinning the market.
By contrast, larger family homes—particularly at higher price points—faced more resistance and longer pipelines, often requiring deeper price adjustments before deals could proceed. While many sellers remained motivated, aligning on price was frequently the key factor determining whether transactions moved forward.
Christian Lock-Necrews, Director of Winkworth Knightsbridge & Chelsea, noted: “The market has slowed, but there are still needs-based buyers: parents purchasing for children or overseas clients seeking a base. Buyers now have more leverage and are negotiating harder than before.”
Josh Grinling, Director of Winkworth Kensington, added: “This year’s later Budget has extended the slowdown, with speculation around higher taxes adding to buyer caution. Prices continue to deflate, even as stock levels rise.”
