Prime central London values fall back to 2013 levels, 10.3 per cent below the 2014 peak

Prime central London values sit 10.3 per cent under the level reached in 2014, broadly where they stood in 2013, on the London Prime Property Index from Coutts, as reported by Spear’s on 20 February 2026.

The fall was deepest in the core districts. Knightsbridge and Belgravia stood 29.5 per cent below their peak values and Chelsea 20.5 per cent below. Negotiation in Mayfair and St James’s ran at elevated levels as 2025 closed, while King’s Cross and Islington posted positive growth over the year, helped by domestic demand.

Nearly half of prime central London listings in the last quarter of 2025 needed a publicly advertised price cut before a sale was agreed, and most deals completed below their original guide. Buyers won an average 10.3 per cent off asking prices in the fourth quarter, the widest margin in over five years. That discount is a separate measure from the 10.3 per cent gap to the 2014 peak. Across the same period, headline prices edged up by 0.1 per cent.

Supply thinned. New listings dropped 35 per cent on the previous quarter and sat 18 per cent under the ten-year average, while available stock declined 15 per cent.

Coutts said most of the gains made in the run-up to the 2014 high have now been reversed. With more clarity on tax after the Autumn Budget and signs that overseas buyers are returning, it expects demand that was put off to re-emerge during 2026.