The number of estate agency firms in the UK has soared but the Autumn Budget could put many at risk, according to new warnings.
Cynergy Bank’s latest Business Births and Deaths Index draws on Office for National Statistics (ONS) and Companies House data for July to September, revealing a buoyant real estate sector.
During this period, 3,230 new real estate businesses sprang up across the country – outpacing 2,000 closures – and earning real estate the highest Cynergy Bank Health Score of any major sector at 1.62.
Companies House data shows that 1,624 new estate agency firms were incorporated in the third quarter this year – almost matching the number of new bars and pubs (1,857) opened during the same period – and marking a 48% rise compared with the same period in 2017.
The number of estate agents has grown consistently over the past few years, Cynergy Bank said.
There were 25,155 estate agency businesses registered in the UK in 2024, up 24% since 2017.
The Selling Sunset boom
The research suggests the boom has been fuelled by a wave of entrepreneurial property professionals inspired by Netflix shows such as Selling Sunset and Channel 4’s Britain’s Most Expensive Houses as well as increasing use of social media to sell homes.
Nick Fahy, chief executive of Cynergy Bank, said: “Estate agent numbers are booming, led by a new generation of independent firms using social media to attract clients and make their mark. This digital shift is energising the sector and opening up new opportunities.
“But as we look ahead to the Autumn Budget, there are real concerns about possible property tax rises, especially the proposed Mansion Tax and changes to Capital Gains, which could take the shine off the market for buyers and sellers alike. Any significant tax changes would risk stalling activity at the top end and could have a knock-on effect across the broader housing sector.”
‘Support for estate agents is key’
Nathan Emerson, chief executive of Propertymark, added: ”It’s encouraging to see strong entrepreneurial growth across the estate agency sector, with more professionals recognising the value of providing trusted, local expertise to buyers and sellers. The rise of digital and social media has undoubtedly opened new routes to the market, but ultimately, success in agency still comes down to professionalism, qualifications, and delivering for clients.
“As the sector expands, it’s vital that new entrants uphold high standards and operate within a framework that protects consumers. Propertymark continues to campaign for better regulation and mandatory qualifications across the industry to ensure consistency and trust.
“While the current momentum is positive, the UK Government has a strong opportunity to help ensure housing market confidence isn’t undermined by sudden or disproportionate tax changes in the Autumn Budget. Stability and support for both agents and consumers is key to sustaining a healthy property market in the long term.”
