International property adviser Savills plc has reported a 6.1% increase in revenue to £2.55 billion for the year ending 31st December 2025, with underlying profit before tax rising 11% to £145.3 million.
Group Chief Executive Simon Shaw stated: “Despite the well-rehearsed challenges of tariffs and fiscal uncertainty, the Group has delivered a strong performance across the board.”
Growth was recorded across all four business areas and three global regions, though the UK residential market faced headwinds for much of the year.
UK residential market decline
The UK accounts for approximately 40% of group revenue, with UK residential agency operations representing 68% of the company’s residential transactional revenues. However, UK residential transactional revenue fell 4% to £199.7 million during the year, with underlying profit declining 9% to £18.1 million.
Prime residential markets experienced particular difficulty, with transactions over £5 million in London down 11% during the year. Prime London prices fell 2.2%, while prices in other areas of the country declined 3.9%.
Savills attributed the slowdown to heightened uncertainty and speculation over potential tax changes for higher-value properties, which contributed to reduced activity during the second and third quarters.
Fourth quarter recovery
Market conditions improved following the Autumn Budget, with transaction activity increasing sharply in the final quarter. Shaw noted: “We continued to build strong transactional pipelines and were well positioned as clients’ confidence and appetite to transact accelerated into Q4.”
The company reported a high volume of completions towards the year end as buyer certainty returned to the market.
Outlook
Savills has entered 2026 with what it describes as strong transactional pipelines, expecting progressive growth in activity across key markets. The positive momentum observed after the Budget has continued into early 2026, suggesting improved conditions following the uncertain period that characterised much of 2025.