UKREiiF 2025: A Strong Turnout Amid Market Headwinds
The ASK team attended UKREiiF 2025, joining over 16,000 professionals from across the real estate industry—an increase from 13,000 attendees in 2024. This growth signals sustained interest in UK real estate, despite mounting challenges in the wider economic and political landscape.
According to a survey of circa 11,000 real estate professionals, conducted by the event organiser with research consultancy Holistic Insight, 70% have a positive outlook for the year ahead compared with 52% last year. Geopolitical instability, inflation and the UK planning system ranked as the most prominent challenges facing the industry.
Economic Conditions: Inflation Dampens Hopes for Rate Cuts
Economic pressures remain front and centre. Inflation jumped unexpectedly from 2.6% to 3.5% this month, casting doubt over the likelihood of near-term interest rate cuts. High build and employment costs and elevated borrowing rates are likely to persist, posing continued difficulties for developers and investors.
In a keynote address at the conference, Deputy Prime Minister Angela Rayner urged housebuilders to “build, build, build,” noting that the government is “reversing the tide to create the right conditions.” While this rhetoric is welcome, the reality on the ground remains complex. In our experience at ASK, attractive opportunities still exist—but they are harder to source and even harder to execute. Those operating in today’s market must remain nimble, strategic, and well-capitalised.
Sector Trends: Housing Shortage and Investor Focus
The ongoing housing shortage was a dominant theme at the conference with the region promoting plans for the Bradford transformation which includes nearly 1000 new homes, a tram network and improvements to rail connectivity with surrounding towns and cities. But the general view was that town regeneration is very challenging with little local authority funding or viability for the private sector. Investor interest in Build-to-Rent (BTR) and co-living remains strong, while the later living sector—despite its potential to unlock underutilised family homes—continues to face reluctance from developers. Some voiced concerns about the Scottish Parliament’s plans to expand rent control to include PBSA and their fear of it being replicated in England. The prime office market was also a talking point. A limited pipeline of new build is driving rent rises as companies look for improved accommodation in city locations yet regional projects are struggling to get finance. AI and its infrastructure was a key focus with West Yorkshire’s Mayor Tracy Brabin keen to highlight the region’s strengths in connectivity and ambition. Microsoft’s decision to develop a hyperscale data centre on the former Skelton Grange power station site near Leeds will undoubtedly broaden the region’s appeal to other tech occupiers, based on the appetite of its local authorities to unlock future projects and become an AI cluster. Yet some felt the government’s creation of AI Growth Zones might just lead to over-inflated land pricing and it is likely to take time for knowledge and experience in this sector to develop.
ASK’s Lending Outlook: Resilience and Opportunity
At ASK we are continuing to see an uptick in our lending activity despite market volatility. We’re seeing a rise in the appeal of self-storage in the UK given its strong fundamentals and counter cyclical nature. In the year to date we have financed a residential scheme, a hotel, an industrial-to-student conversion and a multi-let office. Our approach remains consistent: to back the strongest opportunities across sectors, working closely with experienced developers and sponsors. This market demands flexibility, creativity, and conviction, and our team remains committed to supporting borrowers with tailored funding solutions that align with their business plans.
Optimism and Collaboration
As part of our participation at UKREiiF, ASK co-hosted a drinks reception with our partner OakNorth at Harvey Nichols in Leeds. The event brought together clients, collaborators, and peers for an evening of discussion and networking. The mood was overwhelmingly positive, reflecting not just the resilience of the sector in the face of economic uncertainty, but a shared sense of opportunity in emerging areas shaped by technology and post-pandemic demand shifts.
Looking Ahead
While macroeconomic and regulatory headwinds persist, there is no shortage of ambition or creativity in the UK real estate market. The conference was an opportunity for Leeds and the Yorkshire region to demonstrate its plans to lead the way in housing delivery, tech and transport connectivity. Opportunities are out there for those with capital, conviction, and the capability to execute.
At ASK, we remain focused on identifying quality opportunities and building strong partnerships. If you’d like to explore how we can support your next project, get in touch.
