The UK housing market is unlikely to sustain its current strength towards Christmas, Savills the quoted estate agents warned yesterday.

"We have some caution that the residential markets may not be as buoyant in the second half," the group said in a trading update ahead of its interim results.

The residential market had been particularly busy in London, the statement said. "We do not expect this trend to continue in the second half."

However, Savills - which derives 80 per cent of turnover from commercial property-related activities - said it was well-placed to deliver full-year results in line with expectations.

The commercial property investment market remained strong in the UK and Europe and activities were likely to remain high for the rest of the year.

Shares in the company rose 6½p to 589p yesterday. Jim Pickard

Source:  Financial Times