Monthly UK Economic & Real Estate Briefing – July 2020
Recent data releases have given us a few reasons to be cheerful as consumers resumed spending, businesses ramped up activity and we saw an increase in the investment deal flow. However, the UK economy is nowhere near back to normal, with many factors that have the potential to derail the recovery.
- The latest Purchasing Manager index (PMI) survey revealed that both services and manufacturing PMIs rose sharply in July.
- Retail sales increased by 13.9% m-o-m in June, this follows a strong 12.3% in May.
- Q2 investment volume was the weakest quarter on record, but this was more due to supply shortages rather than a lack of investor demand.
- Lack of yield elsewhere means international investors continue to target UK and London real estate, and deal flow has picked up considerably as businesses begin to reopen