Residential property sales across England and Wales saw an 18.4% decrease in the year leading up to March 2026. This decline follows the end of temporary Stamp Duty thresholds in April 2025, which resulted in higher upfront tax costs for many buyers.
Jonathan Stinton, head of intermediary relationships at Coventry for intermediaries, stated that a nearly 20% drop in house sales highlights the significance of Stamp Duty in people's decisions about moving home. He suggested that some individuals have chosen to remain in their current homes rather than incur higher upfront expenses.
The Bank of England recently maintained the Bank Rate at 3.75%. Inflation increased to 3.1% in August, and the Bank anticipates further rises. Mortgage costs also remain elevated, with quoted rates on two-year fixed mortgages reportedly increasing by around 0.95 percentage points since the latest Middle East conflict began.