AVERAGE ASKING PRICES FOR HOUSES HITS RECORD HIGH

The average asking price for a house in the UK reached a record high of £367,501 in May 2022, an increase of £7,400 since April, according to a survey conducted by property search website Rightmove (Sky News). The rise in asking prices is the biggest May increase since 2014 and is 10.2 per cent higher compared to May 2021 (Reuters).

Separately, UK Finance has published new data on interest-only mortgages today, revealing that the number of interest-only loans set to mature by 2027 shrank by 123,000 in 2021 to 334,000 loans, a fall of 26.9 per cent (UK Finance).

UK AT RISK OF BECOMING LESS ATTRACTIVE FOR INTERNATIONAL BUSINESS

The UK is at risk of becoming a less attractive place for international business, according to a survey by the Centre for Policy Studies, with the organisation calling on the government to cancel the planned increase in corporation tax (The Times). In its survey of more than 100 company founders, chief executives and entrepreneurs, the Centre for Policy Studies warned that the UK was becoming less open to talent and investment than other countries such as France (The Telegraph). It also found a perceived “lack of urgency” in the reforming of regulations following the UK’s departure from the EU and a belief that the government was “deferring too much to regulators”.

NEWS IN BRIEF

In an interview with the Financial Times, the new chair of the Federation of Small Businesses Martin McTague says he is in talks with the government over how to tackle the problem of late payments from large companies to small UK suppliers.

Net zero investment could increase the UK’s economic growth and help reduce regional inequalities, according to a new report by the Resolution Foundation and London School of Economics (Financial Times).

The Financial Conduct Authority is introducing a new fee structure, with increases in minimum fees being phased in over the next three years (The Times).

High street retailers in the UK are paying 755 per cent more in business rates than their digital competitors, according to new analysis by real estate advisory firm Altus Group (Sky News).

The gap between inflation rates for the richest and poorest households is at its widest in 16 years, according to the Resolution Foundation (The Observer).