Positive Price Growth Forecast Over the Next 5 Years

Against the backdrop of strong economic growth, particularly in 2021 and 2022, forecasts for property price growth over the coming years are positive.

The forecasts, produced by the Office for Budget Responsibility in the wake of the Chancellor's Autumn Budget in October, indicate that while property price growth looks set to moderate over the coming years, prices are not expected to fall.
The housing market proved to be one of the bright stars during the initial Covid-19 pandemic, bolstered by the significant government economic support packages and the stamp duty holiday.
The impact of the Omicron variant is yet to play out, but more limited government support and a rise in the cost of living may well squeeze household budgets more tightly than expected in 2022.
Source: Dataloft, Office for Budget Responsibility

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