Trade War Not Phasing UK Homebuyers, Says Persimmon

Despite ongoing global uncertainty and rising tensions in the U.S.–China trade war, the UK housing market remains surprisingly resilient. According to leading housebuilder Persimmon, British homebuyers aren’t being put off by the international headlines — and demand for new-build properties is holding strong in early 2025.

Despite ongoing global uncertainty and rising tensions in the U.S.–China trade war, the UK housing market remains surprisingly resilient. According to leading housebuilder Persimmon, British homebuyers aren’t being put off by the international headlines — and demand for new-build properties is holding strong in early 2025.

In its latest market update, Persimmon reported that UK homebuyer sentiment remains positive, with steady interest across its developments nationwide. The company confirmed that the impact of the global trade war on UK property demand has so far been minimal, with local factors like interest rates, mortgage access, and employment playing a much larger role in shaping buyer behaviour.

Buyers Focused on Local Housing Conditions

While international trade tensions can affect inflation, materials costs, and broader economic confidence, the average UK homebuyer in 2025 seems more focused on what’s happening closer to home. With mortgage rates still relatively stable and supply of new homes lagging behind demand, many buyers are pushing ahead with their plans.

First-time buyers and second steppers in particular remain active, especially outside of London where new-build affordability is higher. Developments in commuter zones, the Midlands, and the North are seeing strong uptake, suggesting that Persimmon homes demand remains strong despite global headwinds.

Limited Impact of Global Trade Tensions (For Now)

Trade wars can have long-term economic consequences — from currency fluctuations to higher import costs — but Persimmon says these effects have yet to reach UK buyers in a meaningful way. The broader housing market continues to be driven by domestic factors, including:

1. Ongoing housing shortage

2. Help to Buy and shared ownership schemes

3. Relatively low mortgage interest rates

4. Stable employment levels

While material prices could rise if global supply chains are disrupted, Persimmon believes current conditions remain favourable for growth.

Why the UK Housing Market Is Resilient

The UK housing market in 2025 is showing resilience in the face of global pressures. Although economic uncertainty might typically dent buyer confidence, the persistent demand for housing and limited availability of stock continue to support prices and transaction volumes.

For property investors, landlords, and homebuilders alike, this trend suggests a strong UK housebuilder outlook for 2025. Even with the wider economic backdrop in flux, the fundamentals of the UK property market remain solid — and buyer activity is proving to be more influenced by local realities than by global politics.

So, while the world watches trade negotiations unfold, UK buyers are still showing up for viewings and putting down deposits. Persimmon’s update offers a reassuring snapshot of market confidence, showing that the trade war isn’t derailing demand for new homes — at least for now.

If you’re thinking about buying or investing in UK property this year, it looks like the market is still open for business.

Improve Your Portfolio

Join CompareYields today and discover exclusive investment opportunities in the UK property market.

JOIN NOW