Economic Review – August 2025
3 September 2025
UK GDP growth outperformed expectations in Q2, but fragile demand raises concerns over sustainability into autumn Bank of England cut rates to 4%, yet divisions
UK GDP growth outperformed expectations in Q2, but fragile demand raises concerns over sustainability into autumn Bank of England cut rates to 4%, yet divisions
A dressing room can boost your home’s value by up to £40,000 Over 65’s hold £2.9trn in mortgage-free property wealth in the UK House purchases
12% of HNWI’s are financially supporting both children and ageing parents Many dip into pensions or restructure finances to fund family gifts Balancing generosity with
Bank Rate cut to 4% (lowest in over two years) but mortgage rates remain stable UK house price growth forecast has been lowered to 1%
London’s data centre demand is set to hit record highs in 2025, driven by hyperscalers and AI providers Retail property investment rebounded strongly in Q2,
IHT revenues are expected to hit £9.1bn in 2025/26, rising to over £14bn by 2030 Higher-rate taxpayers could miss out on £97,000 in extra pension
Trying to time the market often leads to missed opportunities A well-diversified portfolio helps wealthier short-term volatility Staying invested long term is key to building
UK combined home insurance premiums rose 8.5% to an average of £231 according to recent data Material shortages, labour expenses and inflation rates have driving
Investment optimism has surged, particularly among under-35s Over half of 25-34s are now actively investing, with many planning to increase contributions Long-term strategies can help
UK Q1 dividends fell 4.6% but beat expectations The headline total paid out to shareholders in Q1 was £14bn UK holidaymakers are spending significantly more
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© Copyright 2024 Home & Finance. All rights reserved. Website by TOMD.
© Copyright 2024 Home & Finance. All rights reserved.
Website by TOMD.
Home & Finance is registered in England and Wales.Registered office, 14 New Market St, Ulverston, Cumbria, LA12 7LN.
Authorised and regulated by the Financial Conduct Authority. Home & Finance General Ltd is entered on the Financial Services Register https://register.fca.org.uk/ under reference 300760 for General Insurance Products.
Authorised and regulated by the Financial Conduct Authority. Home & Finance IFA Ltd is entered on the Financial Services Register https://register.fca.org.uk/ under reference 135250 for Investment & Mortgage business.
A summary of our internal complaints handling procedures for the reasonable and prompt handling of complaints is available on request and if you cannot settle your complaint with us, you may be entitled to refer it to the Financial Ombudsman Service at www.financial-ombudsman.org.uk or by contacting them on 0800 0234 567.
© Copyright 2024 Home & Finance. All rights reserved. Website by TOMD.