In 2025, Plymouth witnessed the UK's most dramatic surge in house prices, with an average property price increase of 12.6%. This surge can be attributed to substantial infrastructural investments, such as Royal William Yard, which has created a number of new homes. The city's improved retail, sporting, culinary, and lifestyle amenities have also made it an attractive option for house hunters of all ages, contributing to a more competitive property market. However, this trend is not isolated to Plymouth. Hull has also entered the top 10 areas for house price growth for the first time, with prices up 6.5%. This is despite London, the most expensive region in the UK, experiencing a 0.1% dip in average values. The data from Lloyds Banking Group highlights the localized nature of the housing market, with some areas experiencing sharp price increases while others have cooled. Savills' research shows that price falls at the top end of the market have slowed since the budget, as changes to the taxation of high-value homes proved 'better than feared'. However, the non-dom regime, which allowed some UK residents to avoid tax on overseas income, has had a significant impact on the market. Despite tax changes being 'better than feared', demand remains thin in more rarefied prime central London postcodes, with the pool of buyers already much shallower since the end of the non-dom regime. This has led to moderate falls in prices expected to continue into the new year.
