Martyn Smith, CEO of Black & White Bridging, comments on the inflation climbing to 3.5%…
The surprise uptick in UK inflation to 3.5% in the year to April announced by the ONS this morning, has sent ripples through the mortgage and property sectors, as professionals warn of knock-on effects for interest rates, affordability, and market momentum. While the rise was broadly anticipated, its scale has sparked renewed debate over whether the Bank of England can stick to its expected rate-cutting path. From developers and brokers to lenders and trade bodies, industry leaders are bracing for a more
Why It Matters
uncertain summer – just as the housing market traditionally gathers steam. Martyn Smith, CEO of Black & White Bridging , cautioned that rising funding costs are hitting viability at a difficult time for the sector. “After last month’s encouraging dip, a rise in inflation to 3.5% is a reminder that the path to economic stability is rarely linear. While it may delay hopes of an imminent base rate cut, the
How It Applies
broader trend toward price moderation could still reassert itself in the months ahead. “That said, renewed pressure on funding costs comes at a challenging time. Developers continue to face tight margins and sluggish planning pipelines, and even small changes in sentiment can make a big difference to
Key Takeaway
project viability. “It’s vital that the government doesn’t let short-term volatility derail long-term progress. We need sustained policy support and clear incentives to keep Britain building – because the demand for new housing isn’t going away.”
Download our product guide
