COVID-19 is an anomaly. We are faced with a number of unknowns. Currently COVID-19 is seen as a short-term risk to UK’s outlook. We do expect the UK economy to recover in second half of the year. In a volatile world, the risk-averse, stable qualities of UK real estate will begin to look more appealing. To find out more, please read our latest briefing.
- The UK Purchasing Managers Index survey showed a huge drop in March with the composite Index falling to 37.1.
- The service sector was the hardest hit, falling from 53.2 to 35.7. This is the biggest monthly fall on record and an all-time low.
- According to the latest PMIs a q-o-q fall of 1.5-2% in UK’s GDP is expected for the first quarter Q1.
- With the lockdown being enforced recently, we do expect a worsening in the second quarter.
- The property market has understandably slowed this month, with a lot of uncertainty over pricing and the future of many tenants.
- The pandemic is also highlighting some of the market's key trends.
Click to read UK Economic and Real Estate Briefing - March 2020