London lags behind in new homes registration
New data showing the tally of new home registrations falling in London is bad news at a time of high demand in the capital.
According to the National Home Building Council (NHBC), the overall tally of new home registrations in 2017-18 was up two per cent on 2016-17. However, this was subject to significant regional variations. The north-west did best with a 21 per cent jump to over 18,000, while London suffered a 23 per cent fall to under 15,000.
All this is happening in a city already affected by poor levels of housing affordability, with upward pressures set to be squeezed further as its population grows to ten million by the 2030s.
The challenge faced by renters, landlords and letting agents alike in London may be a little easier in the short run as the pressure has been cooled by a dimming of the market; the widespread antipathy towards Brexit in the pro-remain city may have a lot to do with this.
However, in the longer run, not least after the dust settles on Brexit, demand may start to surge again and if the capital is lagging behind on housebuilding now, the pressures will be all the more intense in the future.
In the north-west, however, the situation may be rather more positive, particularly for the rental sector. The fastest growth in the region is in and around central Manchester, where new apartments dominate the construction activity and new residential skyscrapers are transforming the skyline.
Indeed, the latest Deloitte Crane Survey for Manchester, published in January, noted 11,000 units are being built in this area across 41 developments.