London rents ended the year lower than where they started for first time on record

Although house prices in the capital remain high (average of £547,468 according to the Land Registry), with the majority of first-time buyers using cash gifts from the Bank of Mum and Dad to put up a deposit, this trend continued as the Bank of England base rate was cut four times in 12 months – to 4.50 per cent in February 2025 and down to 4 per cent by December. In 2024 the base rate was only cut once.