With the chancellor’s autumn statement it seems that the recovery has firmly taken hold in the UK, and particularly in London. The lines are all moving in the right direction, and although some problems still remain it seems that the worst days are over. Is now the time to think about starting or expanding a business and looking for shops to rent in north London – or even for a shop for sale in London? If this is your intention then it’s worth bearing in mind a few points, both about the state of the economy as a whole and about commercial property London.

The first point is simply that the recovery is uneven, and London (and the southeast more widely) is racing ahead of other areas in both property prices and economic activity. This means that if your business operates outside the capital as well as within it, especially in the Eurozone, then be warned that problems elsewhere are not over. The good news is that consumer activity is accounting for a lot of the upturn, so shops are in a good position to make the most of this. That’s not a great model of sustainable recovery, especially since household debt is now at an all-time high, but it does suggest that retailers will continue to get a shot in the arm for a while.

However, this also tends to be the stage in recoveries when smaller businesses really start to struggle because they run out of cash. They may have survived so far by cutting staff and other overheads, and by running down savings. But with activity picking up though still not stellar, some will find themselves against the wall. If they have the money then this might be a good time to take advantage of lower prices for shops to let in north London, or to look for a shop for sale in London. Both business and commercial property London prices are likely to continue rising, now. But if you don’t have the money to do that, it’s still fairly unlikely you’ll be able to secure a loan. Banks are lending more, but still not as much as required by small and medium businesses. With that in mind, it’s a difficult call. As ever, take advice from financial advisers and your accountant, and make sure that you find a reputable and well-connected commercial estate agent.

Please visit https://www.claridges-commercial.co.uk