Prime central London boroughs saw the lowest volume of residential sales ever recorded during 2020, analysis of HM Land Registry figures has shown.

London Central Portfolio (LCP) found that just 2,936 home sales took place in the City of Westminster and the Royal Borough of Kensington and Chelsea last year – equivalent to 60 per week.

The annual figure was 42% lower than the 10-year average and 75% below the peak of 11,660 in 1999.

There are 213,000 homes in the two boroughs, which means that at last year’s transaction levels each property would change hands on average once every 73 years.

This is now more than double the average length of time a property Greater London is held, at 29 years.

LCP chief executive Andrew Weir says: “Prime central London did not benefit from the price growth experienced by the broader UK housing market during the pandemic. 

“The low transaction volumes demonstrate that real estate in this market is ‘tightly held’ and properties are not listed for sale during times of price suppression, which effectively creates a bottom line for property prices.

“Sellers have been reluctant to place their property on the open market due to a lack of international investors resulting in volumes falling beyond the previous low levels witnessed in the immediate aftermath of the global financial crisis and the years following the EU referendum.

“The latest data also suggests that the stamp duty holiday has had a limited impact on the prime central London market and has been more of a ‘nice-to-have’ than a driving factor.

“With the easing of lockdown restrictions and a successful vaccine roll out, we expect to see the return of some Londoners who look to re-establish their city life. 

“The current lack of overseas buyers presents a short window of opportunity for the domestic market.”