Brexit six years on: How UK house price growth compares with the EU

It has been six years since the UK voted to leave the European Union (EU).

Political and economic debate continues to rumble on about the impact of the decision as society also battles the aftermath of a global pandemic and cost of living crisis.

Knight Frank has aimed to put the politics aside and focus on how the UK’s housing markets have fared in the intervening six years.

It found that average house prices are up 39.3% across the EU-27 with almost half the rate of growth occurring in the past two years during the pandemic. 

The UK’s rate of growth isn’t far behind with prices up 30.8% over the six-year period, albeit helped by a stamp duty holiday.

Knight Frank suggests in the research that first-time buyers in the UK may take some solace from the country’s more relaxed pace of growth since Brexit.

In contrast, the EU-27 average conceals a bigger story.

Twelve of the 27 markets have witnessed price growth in excess of 50% since 2016, including Germany, Ireland and Portugal.

Hungary, Slovakia and the Czech Republic have each registered price growth above 90% over the past six years, while Italy, Spain and Greece have recorded some of the lowest rates.

Knight Frank said in its analysis: “With the EU expected to be slower to increase interest rates – the first hike slated to be in July – and the US and UK amongst the fastest there may be a currency play for some overseas buyers looking to take advantage of a weaker euro.”

You can see the full research here.