The seasonally adjusted estimate of the number of UK residential transactions in July totalled 96,710, marking a 1% year-on-year decrease, HMRC has revealed.

The latest data also showed that month-on-month, property transactions fell by 2%.

The monthly estimates for property transactions by HMRC are based on its own records as well as those of Revenue Scotland and the Welsh Revenue Authority, for Stamp Duty Land Tax (SDLT), Land and Buildings Transaction Tax (LBTT) and Land Transaction Tax (LTT) in each of the three nations, respectively.

For non-residential property transactions, the seasonally adjusted estimate stood at 10,350, marking a 2% year-on-year and marginal month-on-month decrease.

Chair at the Open Property Data Association, Maria Harris, said the latest fall in property transactions is "another reminder the housing market remains vulnerable to uncertainty".

"People are still navigating a homebuying process that is too slow, too fragmented and too uncertain. The focus needs to move beyond simply increasing transaction volumes and towards making every transaction more reliable and less prone to delay and failure.

"The Government’s commitment to modernise homebuying creates a real opportunity to do this. But turning ambition into reality will require trusted property data, common standards and systems that can share information securely and consistently."

Richard Pike, sales and marketing director at Phoebus, added that the latest figures need to be treated in context.

He concluded: "Transactions are a lagging indicator, largely reflecting decisions made several months ago, so a weaker July number isn’t necessarily a fresh signal about where the market stands today. With volumes having been broadly stable in recent months, the key question is whether this is a temporary dip or the beginning of a more sustained slowdown.

"The next few months will be more revealing, as the data begins to capture decisions made against the backdrop of more recent mortgage rate movements and continued economic uncertainty."

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