The number of UK residential jobs in May was 98,450, down 2% on April but up 17% on the previous 12 months, latest HMRC figures revealed.
HMRC says this year-on-year increase follows the biggest year-on-year rise seen last month and reflects lower levels of activity in April and May 2025, where activity falls following changes to the SDLT threshold.
The transaction was delivered in March 2025 before the changes, which led to several completions in the following months.
The data shows the provisional average number of residential transactions in the UK in May stood at 92,390, 7% above the April figure and 13% above May last year.
It also found that the seasonally adjusted provisional estimate for the number of UK non-residential jobs in May was 10,080.
This is slightly lower than the same period 12 months ago and slightly higher than April this year.
Meanwhile, the temporary seasonally adjusted average for the number of UK non-residential jobs in May was 9,380, 4% lower than May last year and 5% lower than April 2026.
Commenting on the latest data, Quilter’s real estate expert Karen Noye says: “While the year-on-year comparisons look encouraging, they are heavily skewed by distortions caused by last year’s Stamp Duty changes, which have squeezed activity in the spring of 2025 as buyers rush to buy to beat the earlier-than-normal deadline.
A clearer picture emerges when this is viewed alongside yesterday’s Bank of England money and credit data.
Noye adds: “The market is not short of basic demand, but a large proportion of consumers choose to postpone decisions when faced with affordability pressures and uncertainty about interest rates.”
“These figures also appear to be retrograde in nature, reflecting the deals agreed at the beginning of the year. Recent developments, including rising tensions in the country and fluctuations in exchange rates and mortgage rates, have not been fully captured.”
“While the emergence of a ceasefire may provide some reassurance and may result in a slight increase in consumer interest, the outlook remains fragile.”
Commenting further, Search Acumen managing director Andrew Lloyd says: “The recent decline shows that the decline in market confidence is now leading to weaker deal trades. This is a bad sign for the economy, especially as seasonal exchange rates at this time of year tend to be tighter.”
Lloyd adds: “However, moving forward, there are a number of significant hurdles the sector must face, not least of which is the appointment of a new Prime Minister.”
“Questions about reinvestment targets, grid capacity, business rates, and potentially risky fiscal policy from the new Chancellor may hold growth back if not managed properly. As a result, investors are likely to be more selective, focusing on sectors with strong capital profiles, such as large offices and data infrastructure.”
“The next question will be whether buyers accept that certainty is not coming and move on anyway, and, if so, what will the next Autumn Budget look like for a government that is willing to relax the property tax and leave its mark.”
“Growth will come from opening up trade and development, which has responded more effectively to financial gains rather than restrictive policy measures.”
