New insight from Plentific.com has found that homeowners in London are increasingly likely to invest in home improvements as a result of ongoing political difficulties in the UK.
Last year, the Brexit referendum sent ripples across the UK, both politically and economically. There was a great deal of speculation about how the property market would react to the outcome of the vote, as well as how it would impact homeowners.
According to the results of a 2016 survey by Plentific, 10% of UK homeowners said they were more likely to spend money on home improvements in the next 12 months as a result of the referendum results. Now, one year on, it seems that ongoing political uncertainties have continued to influence the market: when asked the same question, 13% of homeowners in the UK said they are now more likely to invest in improving their homes.
In an environment of uncertainty, it can make more sense to improve the home that you have rather than move. If a homeowner wants more space, for example, they can add it to their property via some kind of extension or conversion project rather than looking for a new home entirely.
Last year, homeowners in London showed a great deal more uncertainty about developments than those elsewhere in the UK. Compared to the national response of 10%, 27% of London homeowners said they were more likely to invest in home improvements following the referendum. This trend has continued to 2017, with 39% now feeling this way, a figure three times higher than the national average.
This clear lead for London is quite unique when compared to results elsewhere in the UK. Only 10% of respondents in the south west and 8% in the south east replied in this way, compared to a full 15% in the north east and 16% in the west midlands.
A number of other key UK cities also topped the national average, including Cardiff (20%), Edinburgh (17%) and Newcastle (16%). Regardless, none quite reflected the same level of uncertainty as we can see in the capital.
“Last year, the Brexit vote sent shock waves across the nation,” said Stephen Jury, a spokesperson for Plentific. “One year on, the recent general election and the resulting hung parliament, as well as ongoing Brexit negotiations, have had a similar effect. These political events have all had a huge impact on homeowners looking to either sell or renovate their property.”