London Development Barometer

London Development Barometer - Spring 2018

11 June 2018

At the launch of the inaugural London Development Barometer (LDB), the industry had been waiting for a sense of direction from the Government following the results of the snap election.  At the time, the industry was clear in its concern, with 80% of the respondings believing that Brexit will have a negative impact and 86% of the respondents declaring the central and local governments needed to do more to enable the London development activity over the next five years.

Six months later, the industry is still cautious, but have shown some optimism.

With 235 responses from industry professionals across sectors - 69.5% of the respondents were senior figures at their organisations - the spring 2018 edition of the LDB now shows that 33% of the respondents believe there'll be more London development activity over the next five years, a drastic improvement on just 19% who thought so six months ago.  Those who thought there will less development fell from 57% to 42%. 

Brexit (72.5%) and construction skills and capacity (76.3%) remain primary concerns, those who believed these will have a negative impact fell slightly by 7.5% and 2% respectively.  However, the industry seems confident that Brexit would not have an impact on inward overseas investment, with 53% believing that investment levels will be undiminished or increased.  This is in line with general confidence in the demand across all sectors except retail. 

The key findings, shown below, show the industry's priorities remain pragmatic in its approach.  It has again placed priority for central and local government on measures like improving town planning policy, funding for local authorities and infrastructure, and releasing development land to help bolster development activity in London. 

Spring LDB final infographic crop web