London new-build home sales plunge

Sales of new-build homes in London have fallen to their lowest level since the global financial crisis, with just 3,946 private and build-to-rent properties sold in the first half of 2025 - a nearly 30% drop year-on-year. According to research from Molior, only 1,691 homes were sold in Q2, the weakest quarterly total since late 2009. Tim Craine, founder at Molior, blamed London’s City Hall for deterring more new homes from being built. He said the Greater London Authority was negotiating "too hard" in demanding higher taxes from housing developers to fund affordable housing – putting developers off building more homes. Property experts warn the downturn puts the Mayor's target of 88,000 new homes a year at risk, with current figures meeting just 9% of the mid-year goal. Developers are calling for urgent reforms on both the demand and supply side to revive confidence and restore momentum in London's housing market

The Daily Telegraph (12/07/2025)