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European Quarterly Country Review : United Kingdom - Q2 2011

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European Quarterly Country Review : United Kingdom - Q2 2011

While UK consumption deteriorated, business confidence continued to improve.

Inflation remains high; interest rate rises will follow, but have, so far, been deferred.

Net new demand for City offices is still limited, but some large requirements will support the prime end of the market, whilst the West End is seeing more new expansionary requirements.

Tenant demand for industrial space has improved, especially in the Midlands.

Retail investments outperformed offices in Q1 2011, driven by retail warehouses.

Source : AXA Real Estate

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