Two UK regions closely linked to Staffordshire’s economic wellbeing have fared well in a commercial and residential property survey of UK landlords and other sector experts.
The North West is tipped to attract the most commercial property investment outside of London over the next five years by those polled. And the West Midlands came fourth in the survey, ahead of all other UK regions apart from the south-east.
According to leading audit, tax and consulting firm RSM, nearly one fifth of those questioned (19 per cent) said the North West region will attract the most commercial property investment and more than one in ten (11 per cent) said the West Midlands.
Findings from the Real Estate 360 survey also revealed that 18 per cent of respondents believe the North West will attract the most residential property investment in the same period after London (38 per cent) and the South East (26 per cent).
The West Midlands was again positioned fourth – ahead of the other eight UK regions – with 14 per cent picking it.
However, nearly half (47 per cent) of those surveyed felt that access to funding had been more difficult in the last 12 months than the previous 12 months.
Similarly, 46 per cent expect access to funding to be more difficult in 12 months’ time, and 61 per cent consider economic recession and volatility to be the biggest barrier to investment. Other pinch points to investment included deteriorating market conditions (38 per cent), political instability (33 per cent), lack of supply (27 per cent), and lack of workforce (18 per cent).
Peter Graham, RSM Partner – based at the company’s Stoke-on-Trent office – and head of real estate and construction at RSM in the North West, said: “During the Spring Budget, the chancellor announced 12 new investment zones, which will support local growth by providing lower taxes and accelerated development sites for commercial property.
“Our Real Estate 360 survey highlighted that access to funding has been a significant barrier in the last 12 months… these investment zones will accelerate development projects, revitalise the labour market, and support the levelling up agenda.”
RSM’s Real Estate 360 report is a survey of over 200 property experts across the UK, designed to gauge sentiment in the market. The full Real Estate 360 Report can be downloaded here.
