What's happened
In 2025, UK house prices rose fastest in Plymouth, driven by infrastructure and amenities, while London experienced stagnation. Thorntons Property reported an 8% sales increase, with rising demand for bungalows and first-time buyers. Regional variations highlight differing economic and demographic trends.
What's behind the headline?
Regional Divergence Will Define 2026
The 2025 data underscores a highly localized housing market. Plymouth's 12.6% price surge, driven by infrastructural investments and lifestyle amenities, exemplifies how targeted regional development can boost property values. Conversely, London’s stagnation, with prices dipping slightly, reveals the impact of tax policies and high entry costs.
The rise in demand for bungalows and first-time buyers signals demographic shifts towards accessibility and affordability. Thorntons Property’s 8% sales increase and expansion into Inverness suggest a resilient market outside London, with growth driven by regional economic activity.
Expect 2026 to see continued regional disparities, with some cities benefiting from infrastructure and lifestyle upgrades, while others face cooling demand. The market’s future will depend on local policies, infrastructure investments, and demographic trends, making regional analysis crucial for investors and policymakers alike.
What the papers say
The Scotsman reports an 8% increase in house sales for Thorntons Property, highlighting demand for bungalows and first-time buyers. The Guardian details Plymouth’s 12.6% price rise, driven by infrastructure and amenities, contrasting with London’s stagnation. Both sources emphasize regional differences, with Thorntons expanding its presence across Scotland and Plymouth benefiting from local investments. The contrasting narratives reveal a fragmented market where regional factors heavily influence property values and demand patterns.
How we got here
The UK housing market has experienced varied growth in 2025, influenced by regional investments, demographic shifts, and policy changes. While some cities like Plymouth benefited from infrastructure projects and lifestyle upgrades, London faced demand cooling due to high property prices and tax measures. Thorntons Property's expansion reflects broader market confidence, especially among first-time buyers and those seeking accessible homes.
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Common question
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Why Are UK House Prices Rising Fastest in Plymouth?
In 2025, the UK housing market is showing clear regional differences. Plymouth has seen the fastest house price growth, driven by local infrastructure projects and amenities, while London’s market has stagnated. Curious about what’s behind these trends? Below, we explore why certain areas are booming and what it means for buyers and investors alike.
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