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London is knocked from the Top Spot by the Russian capital Moscow

18th November 2011

London is knocked from the Top Spot by the Russian capital Moscow

The city of London has taken a backwards step according to the 2011 European Regional Economic Growth Index, with the capital now ranking second best Real Estate Investment city in Europe overtaken by the Russian capital Moscow.

A recent article suggests that the reasoning behind London’s slowdown with real estate investment is due to a reversal of last year’s employment growth and GDP, along with with renewed financial concerns. The economy is increasingly adding strain on Western European countries. 

However, despite this, the government has announced a programme approaching the £1 billion mark of new investments towards businesses in an attempt to re-ignite the UK’s economy and real estate investment.  

Regardless of London’s downfall, Morgan Pryce are confident that the capital will receive an automatic investment boost as the host city of the Olympic Games in 2012 when real estate prices, availibilty and demand will sky rocket.

David Perrins, director at Morgan Pryce, said of the news: “It is not secret that the UK economy is going through a difficult period, but with businesses in need of extra support and the government promisng to support entrepenerus and start-up businesses, the outlet for real estate is far rosier than people may realise.

He adds: “With the Olympics comes a major increse in demand for property, but aside from that, London is and will continue to be a global business uhb. While Moscow is having investment success, it is only a matter of time before those Russion investers look to London for their next investment opportunities. When they do, the capital will no doubt be ready.”

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