This is according to the latest statistics from HMRC which offer estimates of residential transactions in the UK and show there were 81,280 homes sold in August – 16.3% lower than in the same month in 2019.

When it came to the non-residential market, the 8,350 transactions were also down on last year by 15.5% but had risen compared to July by 7.5%.

HMRC also revealed its provisional Quarter Two (Q2) residential transactions total was the lowest experienced since 2009, which reflected the huge impact the pandemic has had on the market.

Nick Leeming, chairman of estate agency, Jackson-Stops, said: “The lingering impact of the housing market lockdown is also clear from today’s data.

“Residential transactions in August were still lagging behind 2019 figures, but we expect this to correct itself in the coming months with a flurry of transactions likely to be recorded in September.”

More restrictions

The statistics were published just hours before the prime minister was due to announce increased social distancing measures. This has exacerbated uncertainty over how transactions might perform going forward.

Richard Pike, sales and marketing director of Phoebus Software, said: “Over the next couple of months, as the rush to market really kicks in it is likely that these numbers will continue to increase.

“However, with conveyancers already reporting that workload is slowing completion times there could well be a lag.

“Of course there is also the imminent announcement of further measures to slow the spread of Coronavirus, which will almost definitely have an effect in the longer term.

“We are now, unfortunately, in the lap of the gods or, if the next set of guidelines are followed properly, perhaps masters of our own destiny.”

John Phillips, national operations director for Just Mortgages, echoed these views. “With the prime minister set to announce the tightening of social distancing later today, it’s important that the government bears in mind the impact any steps it takes will have on business,” he said.

“The initial lockdown caused a near-total freeze in the property market, and a repeat of that could be devastating for the sector and for the wider economy.

“Public health has to be the first priority, but it is critical that any negative impact on the economy is minimised and, where necessary, further measures to mitigate that impact are given due consideration.”