Asking prices fall as UK housing market hit by budget speculation, Rightmove says

Asking prices for homes in the UK have decreased as the country approaches its budget announcement, according to Rightmove. This decline reflects ongoing challenges in the housing market, which may influence buyer sentiment and market dynamics leading up to the budget release.

In November 2023, the UK experienced its largest drop in asking prices for homes in over a decade, according to Rightmove. This decline comes amid ongoing uncertainty surrounding the national budget. Additionally, reductions in asking prices for homes already on the market have reached their highest level since February 2024, indicating a significant shift in the housing market dynamics.

Paul Nowak, the head of the Trades Union Congress (TUC), has warned that the Office for Budget Responsibility (OBR) is at risk of hindering economic growth in the UK. He argues that the OBR's entrenched support for austerity economics needs to be modernized to avoid becoming a 'straitjacket' on living standards. This warning comes just weeks before the autumn budget presented by Rachel Reeves, highlighting the urgency for reform in fiscal policy to stimulate growth.