23 August 2016
The economic fallout from the Brexit vote in June’s referendum will result in UK house prices falling by an average of one per cent next year, according to a forecast from Countrywide, the nation’s largest estate agents. Prime properties in central London, areas which include Westminster, Chelsea and Kensington, are predicted to see the largest falls of six per cent this year. They are expected to stagnate in 2017 but pick up by four per cent in 2018. Across the UK, price growth is expected to slow to two per cent this year - down from 6.5 per cent last year - and then drop by one per cent in 2017 before increasing by two per cent in 2018. Next year’s fall is expected to hit all parts of the UK with the exception of Scotland, where prices are expected to remain the same as this year. Countrywide, which has more than 1,500 branches nationwide, stressed that that its forecasts could change because of the “extraordinary nature of the challenges ahead” in negotiating the terms of the UK’s departure from the EU. “An orderly exit is in the interest of the remaining EU members and indeed global economies. That gives some room for an upside to these forecast numbers”, the report said.