Overview

• Consultant Molior reported only 2,158 new housing starts in London in the first half of 2025, with no new starts recorded in 23 of the city’s 33 boroughs between April and June.
• Official figures showed 38,780 homes were completed in the first quarter of 2025, a little over half the quarterly pace required to reach 1.5 million by 2029 and the lowest since 2016 outside the pandemic.
• Berkeley called for tax certainty in the 26 November budget, faster deregulation, and resolution of Building Safety Regulator delays, warning that higher levies would deter investment.
• The industry warnings landed as Nationwide and Virgin Money lifted mortgage rates and as Angela Rayner resigned as housing secretary, fueling concern about delivery and policy stability.
• Despite the slowdown, Berkeley said trading is stable and it remains on track for £450 million pre‑tax profit to April 2026, with about 85% of required home sales already secured and its shares rising on Friday.