Prime London market activity falls,
The latest market insight from Jefferies London has revealed that the prime London market slowed considerably during the second half of 2025, with average monthly transaction levels falling by 31% compared to the first half of the year.
Jefferies London analysed property market transactions across prime London postcodes, looking at the average monthly number of sales completed during the first six months of 2025 and how this compared to the second half of the year.
The research shows that across prime London postcodes, an average of 1,431 property transactions completed per month during H1 2025. However, this fell to an average of just 987 transactions per month in H2, marking a 31% decline in market activity.
Just three prime London postcodes saw an uplift in activity during the second half of the year.
The W1K postcode (Mayfair & St James’s) recorded the strongest increase, with transactions rising by 25%, followed by WC1N (Russell Square), up 11.1%, and WC1H (St Pancras), which saw a more modest increase of 4.2%.
At the other end of the spectrum, some of the sharpest declines were seen across core prime central locations. WC2B (Drury Lane, Kingsway & Aldwych), W1D (Marylebone, Fitzrovia & Soho) and W1J (Mayfair & St James’s) all saw transaction levels fall by 60% during the second half of the year.
Damien Jefferies, Founder of Jefferies London, commented:
“Our latest research highlights the extent to which the prime London market declined during the second half of 2025, with transaction volumes falling quite considerably across all but a handful of postcodes.
This slowdown reflects wider conditions across the prime central London market, where a combination of tax changes, revisions to non-dom rules and a prolonged period of higher interest rates have all weighed heavily on buyer demand.
As a result, fewer deals are being agreed and transactions are taking longer to complete, something that is clearly reflected in the drop in activity seen during H2.
Renewed uncertainty with respect to the current situation in the Middle East has also added an additional layer of complexity for many international buyers, particularly those impacted by weakening currencies against the pound.
Of course, such events can also present heightened windows of opportunity and the prime London market remains one of the most desirable global destinations for high-end buyers.
All things considered, it will be interesting to see how buyer activity levels shift over the first half of 2026.”
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