Skip to main content Skip to footer

Colliers International comments on the UK going into recession

30 04 20 london offices

Following the Office for National Statistics announcement this morning that the UK’s economy has contracted for the second quarter in a row, putting the country into an official recession, Dr Walter Boettcher, Head of Research and Economics, at the real estate advisory firm Colliers International shared his views. 


Dr Walter Boettcher, Head of Research and Economics, said: “Following this morning’s announcement crucially the financial markets have remained stable, as has bond yields and the price of gold. This is reassuring for real estate because it suggests that the recession announcement is unlikely to affect investment dynamics any more than they were already affected at the outset of the pandemic – real bond yields are still negative, prime UK yields remain internationally competitive and sterling still offers a discount.”

Today’s ONS figures reported a 20 per cent decline in GDP over the last quarter. Overall the UK’s economy is now 17 per cent smaller than it was in February. 

“The real fallout from the economic shutdown on property is only likely to become clear in the Autumn when it will become evident whether property income streams are recovering,” Walter added. “Market sentiment will be impacted by the effects of the winddown of the Coronavirus Job Retention Scheme, the Government’s and Bank of England’s policy response, the Autumn Spending Review and, of course, the EU/UK trade deal. Let us also not forget the US presidential election which is an international bellwether. The real story for real estate is only likely to unfold in October and November.”

View our Research & Forecasting Services


Related Experts

Walter Boettcher

Head of Research and Economics

Research and Forecasting

London - West End

I am the the Chief Economist at global property advisors Colliers International based in London.  I am a research economist identifying timely research topics and directing research and forecasting outputs.

I have over 20 years UK and European property industry experience and extensive expertise across a wide range of property sectors and related industries.

I participate regularly in industry panel discussions, but am focused more on direct client engagement with institutions, property companies, banks, and private investors. A regular media commentator, I have a wide range of national and broadcast experience.

I joined Colliers International in August 2007 after several years at a private property company where he was responsible for managing a mixed portfolio of London residential, retail and office assets.

Previously, I worked in a few London property advisory firms, a geodemographic company as well as a few youthful sojourns in the US offshore oil industry, local government and entertainment business.

I am an economics graduate of the University of Texas at Austin and received his PhD from the Faculty of Science at University College London.  I am a member of Lambda Alpha International and the Society of Property Researchers.

Perhaps best known for my alternative take on property economics and investment, I am a keen proponent of UK regional development and infrastructure investment.

View expert

Kim Inam

PR Manager

Marketing & Communications

London - West End

I'm a communications professional who has previously worked as a journalist for eight years covering a broad range of topics including politics, crime, health and housing in north London. In recent years I have worked in corporate communications for local authorities across London  and joined Colliers in October 2019, initially providing maternity leave cover.

I provide strategic public relations advice to various business lines within the UK organisation to secure recognition for their work in the property press as well as key target media, and work with our experts to produce thought leadership pieces which are of interest to our clients and colleagues within the commercial real estate sector. In addition, alongside colleagues in the PR and wider communications team, I provide media and social media training for our in-house experts to prepare them for media opportunities and raise their personal brand within the sector.

As well as supporting various teams within the UK business, I also I curate and edit regular content for the Colliers.com blog, which drives credible business leads to our experts.

 

View expert