According to the Bank of Englands’ quarterly summary report, on business conditions across the UK between late August and late November, housing market activity had moderated in Q4; remaining weaker in the secondary market, and in London for the most expensive properties.
Weak supply and ‘stretched affordability was leading many would-be purchasers to rent’ with a knock-on effect of modest price inflation persisting in some areas. The rental market is showing as `remaining steady with modest rent growth’ partly due to a marginal reduction in supply because some smaller landlords continue to exit.
Constraints, such as planning and land availability, have affected growth rates for commercial housebuilders and put margins under pressure; construction output growth had slowed during this period.
The results from the final survey of the year showed recruitment difficulties had continued to intensify across sectors and skill levels, whilst manufacturing output growth remained relatively strong; with exporters benefiting from an improving global economic outlook.