Docklands News

A London Assembly report warns that the rapid growth of energy-intensive data centres is delaying new housing in the capital, exacerbating the city's housing crisis. Some developments in west London were temporarily stalled after the electricity grid reached full capacity, highlighting energy supply as a constraint on housing and economic growth. While data centres currently account for under 10% of the UK’s electricity demand, usage is expected to rise sharply by 2050, with over half of new centres planned in and around London. The committee recommended creating a separate planning category for data centres and called on long-term investment in the grid to support both housing and digital infrastructure. The government is exploring tailored solutions, including input from the AI Energy Council, while the Mayor is urged to adopt a dedicated data centre policy in the next London Plan.

BBC News (04/12/2025)  

The newly announced mansion tax is expected to have a limited effect on the UK housing market, according to Nationwide. The average house price rose 0.3% in November, reaching £272,998. The tax will apply to homes valued over £2m from April 2028, with a surcharge starting at £2,500. Robert Gardner, Nationwide's chief economist, said: "The high value council tax surcharge . . . will apply to less than 1% of properties in England." Despite a slowdown in annual growth to 1.8%, the housing market remains stable, supported by lower interest rates. 

Daily Mail (03/12/2025)   The Guardian (03/12/2025)   The Independent (03/12/2025)   The Times (03/12/2025)  

Homeowners in England have paid £63bn in stamp duty over the past decade, with nearly £25bn coming from London alone - more than 150% of the combined total paid in the Midlands and the North, according to analysis by Jefferies London. The South East accounted for a further £14.8bn, while the North East contributed just over £583m. Shadow housing secretary James Cleverly warned that the levy is stifling mobility in the housing market, arguing that urgent action is needed as transactions fall. 

The Times (04/12/2025)  

The Telegraph highlights how a growing number of first-time buyers in the UK are making regular mortgage overpayments, aiming to become debt-free faster and reduce interest costs. Research from TSB shows that two-thirds of recent buyers are overpaying, with some hoping to clear their mortgages well before they reach 40. While overpaying can save tens of thousands in interest, experts warn that a balanced approach - including pension contributions and emergency savings - may provide greater long-term financial benefits. 

The Daily Telegraph (01/12/2025)  

The revived mansion tax will charge homeowners £2,500–£7,500 a year on properties valued above £2m from 2028, but experts warn its impact will extend far beyond "mansions." In London, where many £2m homes are modest terraces, one agent says, "this is a terrace tax, not a mansion tax," hitting owners who may be heavily mortgaged or on fixed incomes. Roughly 2.4m properties will be revalued using automated valuation models that agents say are "notoriously unreliable for higher-value or unique properties," increasing the likelihood of disputes.

City AM (27/11/2025)   The Standard (27/11/2025)   The Times (27/11/2025)  

Tower Hamlets Council plans to construct over 52,000 homes in the next 15 years, with a commitment to affordable housing. Executive Mayor Lutfur Rahman expressed disappointment over Sadiq Khan's plan to reduce affordable housing in new developments from 35% to 20%. Rahman said: "We remain steadfast in our commitment to expanding. Our ambitious affordable housing programme." The council aims to make 40%–50% of new homes affordable, prioritising family-sized units to combat gentrification. The borough will also expand its Tall Building Zones to accommodate more housing. 

The Standard (22/11/2025)