Savills sees strong growth despite slump in UK – Daily Business

Property agent Savills reported a strong first half performance despite investment in the UK declining.

Group revenue rose by 9% to £1.2 billion in the six months to the end of June and underlying profit was up 47% to £34.3 million.

Reported profit before tax fell by 56% to £7m, impacted by one-off acquisition costs related to Eastdil Secured, which was completed on 31 July.

The US market has been the key driver of growth, with H1 investment volumes up 24% while in continental Europe investment rose by 2% and in Asia Pacific by 31%, with the office sector in particular back in focus.

Sentiment in the UK market was more affected by the escalation of the Middle East conflict and its impact on interest rates. After a positive Q1, activity slowed as investors assessed its implications and latterly those of anticipated political change in the UK.

In aggregate, H1 investment in the UK declined by 12%. Transaction timeframes remained elongated and investor demand selective, with strong pipelines but limited new stock coming to the market.

The company declared an interim dividend of 7.8p per share, a 5% increase from the previous year. Despite market volatility, the board’s expectations for the enlarged group for 2026 remain unchanged.

Simon Shaw, group chief executive, said: “Looking forward, the enlarged group’s pipelines are strong, and although transaction timelines are hard to predict in the current environment, I am confident that we are well positioned to deliver value to our clients, colleagues and shareholders.”