Fall in home sales costs £700m, estimates YBS
Yorkshire Building Society (YBS) calculated the decline in residential transactions caused a loss of £700m in activity.
It arrived at this figure based on the 25,570 fewer residential property transactions in the first months of 2026, versus the same period in 2025.
As a result of a 3% reduction in activity, the mutual calculated a loss of £690.4m in lost economic activity, and £358m in Exchequer revenue.
YBS said the Budget was an opportunity for housing market barriers to be tackled.
Whilst the announcement of Your First Home was welcomed, it argued that the scheme should not just be restricted to new-builds.
Research from Rightmove, however, indicated that the number of new-builds within the reach of a single first-time buyer could rise by 114% under the government’s scheme.
Your First Home: confidence to build
Sponsored by Halifax Intermediaries
Tom Simpson, managing director of homes at Yorkshire Building Society, said: “Lenders are stepping up to help more people achieve their ambition of owning a home. We’re finding responsible ways to overcome affordability barriers, from lending at higher income multiples where appropriate.
“But there’s a limit to what lenders can achieve alone. The wider costs and barriers that discourage people from moving need tackling too.”
He added: “The Budget is an opportunity for the government to work with lenders and the wider housing industry to break down those structural barriers and get the whole housing market moving more freely. This would help more people find the homes they need and support the economy.”
