The latest Hamptons index tells us that the national rate of rental price inflation ticked up sharply towards the end of 2020. The annual rate jumped from 1.4% in October to 4.1% in December. This is the fastest pace of rental growth recorded in more than four and a half years, since July 2016.
‘It can’t be right to have house movers and their removals vans queuing up in March trying to beat the deadline in the pandemic lockdown’, says CEO Andy Shepherd, as the the agency puts forward a ‘practical solution’…
But major property tax reforms are on the cards longer-term… “Ministers and officials are looking at the tally of winners and losers from the abolition of council tax and stamp duty,” reports the Sunday Times. “They would be replaced with a proportional property tax, levied on the existing values of homes.”
The pace of property price inflation in the UK has slowed sharply since the EU Referendum. 14% growth since 2016 compares to 28% – double the rate – in the equivalent time period prior to the vote. London has seen an even more dramatic slowdown.
“It is a mixed and changing picture but with an overall growth in confidence,” says the RIBA. “Whilst this confidence is likely to falter in the current lockdown, there is hope that it will return, once restrictions are eased.”