Docklands News

Developer Linkcity has received approval for Phase 4 of its masterplan for the Hallsville Quarter scheme in Canning Town. The latest phase includes a seven-storey mixed-use block containing 377 purpose-built student accommodation (PBSA) rooms and 6,090 sq ft of ground-floor, flexible commercial floorspace. The overall masterplan comprises 1,148 homes, over 322,900 sq ft of leisure and retail space, a health centre and community facilities close to Canning Town underground station.

Property Week (15/12/2022)  

A forecast from Halifax suggests that house prices will fall by 8% in 2023, with the decline driven by higher mortgage costs and broader economic pressures. The lender said the market is rebalancing, having seen some of the steepest ever rises in prices in recent years, with the pandemic fuelling a boom. Halifax’s Andrew Asaam said: “Following such rapid house price growth, and the growing economic headwinds, a slowdown was almost inevitable.” He added that with the increasing cost of living and rising interest rates, “there’s understandably more caution among both buyers and sellers,” with this prompting demand to “soften.” Halifax data shows that the average UK house price increased by almost 23% between the start of the pandemic in March 2020 and August 2022, hitting a record high of £293,992. The average UK house price is currently £285,579. 

I (16/12/2022)   The Guardian (16/12/2022)  

Hundreds of thousands of buy-to-let properties in England will become loss-making by the end of 2023, according to analysis by the consultancy Capital Economics, as landlords are forced to endure steep increases in their interest rates. Capital Economics estimated 365,000 buy-to-lets will become loss-making by the end of 2023 as their current tracker mortgage deals expire. There are about 4.5m rental homes in England, meaning losses will hit at least 8% of stock – or one in 13 properties. A further 182,500 buy-to-let homes could becoming loss-making in 2024, if rates do not fall. Experts said these “timebomb properties” will drive down house prices across the market even further, as landlords sell up. 

The Daily Telegraph (19/12/2022)  

The Treasury is planning to extend its mortgage guarantee scheme, which has underwritten £4.4bn in low-deposit home loans since it was launched last year amid fears that first-time buyers could be frozen out of the mortgage market. The scheme was unveiled by the government in April 2021 and has helped 21,000 first-time buyers secure home loans with relatively small deposits. But it is due to end on December 31 and there have been concerns that this could lead to low-deposit mortgage deals disappearing again, amid fears over falling house prices and a forthcoming recession. Treasury sources said the government was weighing up whether to extend the scheme, but that it was likelier than not that it would continue. An announcement on its future is expected early this week. 

The Sunday Times (18/12/2022)  

House prices fell 0.9% in London between September and October, in contrast with a 0.3% increase across the UK, the Office for National Statistics reported Wednesday. The average house price in the capital was £541,720, compared to £296,000 for the country as a whole. House prices grew 12.6% in the year to October, or £33,000, up from 9.9% the previous month. Average house prices in England, Scotland and Wales hit record levels in October. The typical house price in Scotland increased by 8.5% over the year, to £195,000, while in Wales it rose by 11.8% to £224,000. In England, the typical property value was up 13.2% annually to £316,000. The average house price in Northern Ireland increased by 10.7% over the year, reaching £176,000. 

Financial Times (14/12/2022)   The Daily Telegraph (14/12/2022)  

The Government has given its approval for Mayor of London Sadiq Khan to add an additional £20 to benchmark Band D council tax bills from next April to help Transport for London balance its day-to-day budget. Mayor Khan announced last year that he planned to add a £20 a year levy to average council tax bills for three years. 

Evening Standard (13/12/2022)