New home registrations declined overall in Q2 2026 while London and the South East experienced notable increases.
The National House Building Council reported a 4% year-on-year decline in new home registrations across the UK in the second quarter of 2026, reflecting ongoing challenges such as elevated interest rates, geopolitical uncertainties, and rising construction costs. However, this national trend conceals significant regional variation, with London and the South East, which includes Surrey, Kent, Essex, Hertfordshire, Buckinghamshire and Berkshire, seeing positive growth in registrations.
London recorded the most substantial increase at 170%, supported by a 12% rise across the South East. These figures indicate a resilient demand for high-end residential developments within Greater London and the Home Counties despite broader market pressures. From a construction management perspective, this regional divergence highlights the importance of adaptive project planning and resource allocation to capitalise on areas where demand remains strong.
The current environment underscores the value of efficient construction management to navigate regulatory complexities and supply chain volatility. Accelerated planning reforms and reduced regulatory burdens, as advocated by industry leaders, would further support delivery times and cost control. Atico Solutions recognises that meticulous project oversight and proactive stakeholder engagement are critical to advancing developments smoothly, particularly in high-demand locations where planning and heritage considerations often intersect.
Source: The Construction Index
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