Over recent years, London has become more and more in demand and does not appear to be slowing down.
The influx of regeneration schemes including Crossrail and the redevelopment of Old Street Roundabout is making London the most coveted place to work and live which is causing the economy to boom more than any other city in the UK. Within the next 10 years, businesses and property prices are set to soar in the city and cause monumental growth for the London economy.
Residential Growth in the City of London
The highly anticipated introduction of Crossrail in 2019 is going to bring endless advantages to London as a result of the ‘Crossrail effect’ which is going to cause property prices across the capital to increase. It has been predicted that Crossrail is going to raise London property prices by approximately 17%. A report by JLL has claimed that Whitechapel in East London is going to be one of the areas that will generate the most residential benefits because of Crossrail. This is not a surprising statistic considering Whitechapel will be conveniently close to both Crossrail at Liverpool Street station and the regeneration programmes occurring in the Shoreditch area.
By looking at statistics, it is safe to say that there is a noticeable difference between the growth of London in comparison to the rest of the country; during the recession, real estate significantly declined everywhere yet since 2007, house prices in the City have still increased by an impressive 40%.
For further information about property price growth in the City of London, please click here.
Economic Growth in the City of London
In the business sector, London is also significantly outshining the rest of the UK because of the continual increase of jobs on offer. Between 2007 and 2014, reports have shown that four out of 10 people who found jobs in the UK did so in London. This statistic supports the fact that between 2008 and 2014, the number of new companies in London increased by 20% which is outstanding compared to the rest of the UK which only saw an increase of 5%.
London is only continuing to grow and is hosting business growth at a rate higher than anywhere else in the country; at the moment, London accommodates an estimated 15,000 companies which produced approximately £45 billion for the economy in 2014, a figure which is anticipated to reach £61 billion per year in 10 years’ time.
This increase in jobs paired with developing productivity is going to see an increase of 39,000 jobs in the Square Mile alone by 2025 which will significantly drive the growth of the economy even further.
Regeneration in London and Property Investment Opportunities
As a result of an influx of renovations, the economy is predicted to grow by 15% in the course of the next five years which will be responsible for around a third of all growth within the UK.
The Old Street Roundabout regeneration will exceed all expectations and will make the City and the City Fringe areas in even more demand because of the creation of new housing and job opportunities. A monumental 32,000 more jobs will be produced in East London alone through the arrival of major companies including the global enterprise Amazon. This introduction of job opportunities puts London in a league of its own as employment at this rate will be higher than other cities including Manchester and Birmingham put together.
New developments such as the highly anticipated The Stage by Galliard Homes will accommodate the demand for those who want to invest in or around the City of London. The 37-storey residential tower will be the centrepiece of the development which is also going to be host to office and retail space and will bring a slice of pure luxury to Shoreditch. View all flats for sale in Shoreditch here.
For further information about the Old Street Roundabout regeneration, please click here.