The third lockdown has had very little impact on the trajectory of macro-economic forecasts for the UK economy.
The Bank of England will look through short term inflationary pressures and maintain its ultra-low interest rate policy which continues to support the value of UK commercial real estate.
All Property total returns are improving at both the 3-month and 12-month horizon. In Q1 All Property total returns increased to 2.2% and in the 12-months to the end of March 2021, All Property total returns increased to 2.6%
All Property total returns could recover to 5% or more in 2021 and 8% in 2022 with an annualised average of 7% in the 3-years ending December 2023.