Docklands News

Tower Hamlets is the highest-yielding borough in London for rental returns, according to property analyst SBA Property Management, offering investors yields of 5.9%, compared to the UK capital's average of 4.81%. Average property values in Tower Hamlets stand at £456,375, against monthly rental costs of £2,244. Other areas highlighted in the report are Newham, Barking & Dagenham and Greenwich, offering average rental yields of 5.23%, 5.06% and 4.96% respectively. “The easing of mortgage costs brings more relief to buy-to-let landlords, freeing up resources to make value-boosting renovations and deliver a better tenant experience", said SBA director Tim Darwall-Smith. "Ultimately, the investors with well-managed properties will be best placed to benefit from London’s highly profitable rental market".

Property Wire (11/09/2024)  

According to Halifax, the average UK home price increased by 4.3% in August, reaching £292,505, the highest since August 2022. Amanda Bryden, head of mortgages at Halifax, commented: “Recent price rises build on a largely positive summer for the UK housing market. Prospective homebuyers are feeling more confident thanks to easing interest rates. Such has been the resilience of house prices that the average property is now just £1,000 shy of the record high set in June 2022”. Despite this growth, London saw only a 1.5% increase year-on-year, with the average property now costing £536,056.

BBC News (06/09/2024)   Financial Times (06/09/2024)   The Daily Telegraph (06/09/2024)   The Guardian (06/09/2024)  

A new report has found that the UK economy faces a perplexing situation as growth indicators improve, yet public finances remain concerning. The Nesta report, "Economic growth and productivity: the ideas", proposes various strategies, including a land value tax and regional devolution, to stimulate growth. The report's nine concepts are well-founded. The most audacious suggestion, but not novel, is to substitute the current property taxes, such as stamp duty and council tax, with a land value tax. As the name implies, the value of the land would determine this, and Charles Goodhart, a seasoned economist, recently suggested it. Other suggestions include addressing the housing problem by switching to a zone-led planning system that streamlines regulations for developers and boosting the economies of various regions of England by providing regional and local governments with a path to devolution and independent budgetary powers.

The Sunday Times (08/09/2024)  

The Resolution Foundation think-tank has urged Chancellor Rachel Reeves to implement significant changes to capital gains tax and inheritance tax in the upcoming Budget, saying reforms could potentially raise over £20bn annually for the Treasury. With a £22bn gap in public finances, the think-tank emphasised that tax increases are a traditional response following elections, with principal economist Adam Corlett saying: "Tax rises are a dead cert and time-honoured tradition." The report suggests that the CGT regime is "ripe for reform" and that changes could bring in £12bn a year. It added that closing "loopholes" in inheritance tax could raise a further £2bn, while levying National Insurance on employers' contributions to staff pensions could potentially generate another £9bn a year. The think-tank has also called on ministers to "get the ball rolling" on longer-term tax reforms to business rates, council tax and road pricing.

Daily Mail (10/09/2024)   The Daily Telegraph (10/09/2024)   The Guardian (10/09/2024)   The Times (10/09/2024)  

Revised planning documents from Reddy Architecture + Urbanism, on behalf of Berkeley Homes, have been lodged with Greenwich Council for nearly 200 new homes in a pair of tower blocks, as part of the developer's £1bn Kidbrooke Village masterplan. The changes would see a column of windows on the taller 15-storey block being removed for structural reasons. The smaller 12-storey block would see its windows being redesigned to prevent the risk of individuals falling from a height. The developer has claimed that none of the window alterations will affect daylight exposure requirements for flats in the buildings. Balcony doors for flats on both buildings will also be amended to move inwards or slide open instead of swinging outwards. Fire safety measures have been added such as fire escapes being separated from back-of-house services on lower floors such as bin storage areas. The new application will be processed by the local authority’s development management department before a formal decision is made.

My London (03/09/2024)  

Annual house price growth in the UK has increased at the fastest rate since December 2022, rising by 2.4% year-on-year in August, according to Nationwide. Month-on-month, however, prices dipped by 0.2%. Economists had forecast a 0.2% rise. The average home now costs £265,375, which is £6,222 more than a year ago. But property values remain approximately 3% lower than the peak levels seen in summer 2022. Nationwide's data also reveals buyers are increasingly willing to pay a premium for energy-efficient homes, with properties rated A or B fetching 2.8% more than those rated D.

Daily Mail (31/08/2024)   Financial Times (31/08/2024)   The Daily Telegraph (31/08/2024)   The Times (31/08/2024)