UK Property Construction At Lowest Point For 12 months
With only ten days to go before the UK leaves the EU without a deal, levels of house-building throughout the country have fallen to their lowest levels in over a year as construction companies opt to delay the start of projects.
When David Cameron attempted to silence the Eurosceptics within Parliament in 2016 with a non-binding referendum on the UK’s membership of the EU, few believed that Vote Leave actually had any chance of winning, and even fewer would have predicted the string of catastrophes that followed once they did.
Almost three years later, the UK government has found itself in the closing days of the negotiating period of Article 50 – and is no closer to finding a deal that satisfies the criteria set forth by the EU to retain single market access.
For many people within the UK, the likelihood of a reasonable outcome that guarantees a strong economy – even in the long-term – once we leave the EU is diminishing by the day as Prime Minister Theresa May continues to defy both her ministers and the growing public sentiment that the Brexit process itself should be put to another referendum.
In the residential sector, sold house prices have fallen considerably – especially in the capital – while the construction of affordable housing has fallen way behind government targets, and the commercial sector has stalled as empty units line the high streets up and down the country.
The lack of progress within the construction sector over the last 12 months has been tracked by IHN Markit/CIPS in the form of the purchasing manager’s index (PMI).
“The UK construction sector moved into decline during February as Brexit anxiety intensified and clients opted to delay decision-making on building projects,” said Tim Moore, economics associate director at HIS Markit.
“There were also reports that the more fragile housing market confidence has begun to act as a brake on residential work, which adds to signs that house building has lost momentum since the end of last year. This leaves the construction sector increasingly reliant on large-scale infrastructure projects for growth over the year ahead.”
The lack of inertia, and continued lack of confidence in the market is sure to cause trouble for anyone who is hoping to sell their house fast over the next 12 months, as weary buyers continue to hold off on major property purchases until values become more settled.
Obviously, there are other methods by which a vendor can ensure a quick and easy sale – even if the outlook of the economy is bleak, and this is via the use of house buying companies such as National Homebuyers, who will buy any house regardless of condition or location and can complete a purchase in as little as two weeks.
Need to sell your house fast? Why not ask National Homebuyers for advice, as we buy any house. Call 08000 443 911 or request a call back to find out how much you could get for your property.