Savills optimistic for prime London prices
First published on KensingtonHouse.com on 1 August 2024. Figures, forecasts and quotations reflect that date and have not been updated. Read it as a record of the market at the time, not as a current view.
For later official context: the UK House Price Index for July 2026, published 16 September 2026, put the average London price at £550,037, 3.3% lower than a year earlier, while England rose 1.1% and the UK 1.4%. HM Land Registry, September 2026
The latest analysis of the prime London property market from estate agent Savills celebrates the resilience of prime London prices in the run-up to the general election and predicts a stronger performance in the second half of the year now that “most uncertainty is behind us”. In the Prime Outer London neighbourhoods that Kensington House invests in – including Battersea, Wimbledon and Chiswick – a continued supply-and-demand imbalance for family houses has supported values.
“With uncertainty easing and a base rate cut expected, Prime Outer London is poised for renewed demand”
The Labour government’s plans to introduce VAT on private school fees could see more demand filtering into these areas as they have some of the best state schools in the country, which may in turn increase the house price premiums that are already evident in these desirable areas. With the expectation of a fairly imminent fall in the Bank of England base rate, Savills predicts renewed demand across Prime Outer London, where buyers are most reliant on mortgage finance. Kensington House maintains its prediction of house price rises in London of 5% in 2024 and 10% in 2025.
Original publication: kensingtonhouse.com, 1 August 2024. The organisations quoted are named in the text; their figures are reported as they stood on the publication date.