Changes in UK Housing Market from 2009-2019

Contemporary
Business Environment

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
Average house prices in the UK changed over the period from 2009 – 2019........................3
Economic determinants of the changes outlined ...................................................................7
Government action over the period 2009-2019 affected the UK Housing market...............10
Impact of COVID-19 on Housing market of UK.................................................................10
CONCLUSION ...................................................................................................................13
REFERNCES.................................................................................................................................14

INTRODUCTION
There has been lot of changes that are taking pale in the external environment of a
organisation and it consist of many different factors that are impacting the economy of a
organisation. Present report is based on the way average house prices have changes across these
years from 2009 to 2019 (Hwang, Cho and Shin, 2019). further there is discussion on the
economic determinants of the changes that have taken place all these years. There are certain
actions that have been taken by government in this period and has impacted the housing market
of UK. Further there is a prediction on the impact of COVID-19 pandemic is gong to impact the
housing market of UK in the coming future period of time. All these are economic determinants
that can poses a impact on the organisation and will have both positive & negative impact on its
functioning.
TASK
Average house prices in the UK changed over the period from 2009 – 2019
The office for statistic regulation designated the UK house price Index (HPI) as national
statistics on September 18.
House price inflation is defined as a rate according to residential properties that are
acquired in UK are rising of falling. The HPI of UK is a combined production by Registers of
Scotland, Property services northern Ireland, HM land registry and national statistics office. The
HPI of UK consist of all residential properties that are purchased from market and value in UK.
Sales only appearing in UK when purchases are registered and there can be a delay in
transactions feed in the index (Gong, Hu,and Boelhouwer, 2018).
The average housing prices have increased in UK by 0.9% in June 2019 and it was same
since may 2019. it can be seen that over past three years there has been a slowdown in housing
prices growth in UK and it is driven by a slowdown in east of England and South.
For example: Savills that is managing residential and commercial proprieties around world has
said that there are very few houses that have been sold in UK in the first part of six months of
year 2019 than any point in the first half of year 2009 the declines are observed in London where
the prices are falling after inflation. The normal prices of the homes that have been sold by

Savills fall by 32perdcent to 2.1 million pounds in initial six months 2019 as compared to year
2018.
The lowest growth can be seen in London where the prices have fallen by 2.7 percent in June
2019. and there was a less than 3.1 percent that was seen in the may 2019. the average housing
prices in London are also falling since since march 2018.
In the year 2010, it was a weakest decade for house growth since the year 1990 in UK.
Housing prices have rise by 33 percent in the year 2010 while in the year 1990 there was a
average property growth that grew by 21 percent according to the data derived across the nation.
London has been amended as top performer since last 10 years as house prices have raised fast in
the average prices of UK (Gong, Gozluklu, and Kim, 2020). It has not been the capital that has
observed a massive increased but the cost of building houses also has soar upwards across the
southern part of UK.
Illustration 1: Growth of housing market sine the year 19820 to 2010