SALES activity in the Welsh housing market is expected to edge upwards over the coming months, according to the latest Royal Institution of Chartered Surveyors (RICS) Residential Market Survey, despite a fall in new buyer enquiries in February.

A net balance of 15% of surveyors in Wales expect sales to rise over the next three months, the fourth consecutive month that this balance has been on an upward trajectory. Anecdotally, the expectation that interest rates will be cut further is a factor in this thinking.

When it comes to demand though, a net balance of -57% of surveyors in Wales noted a fall in new buyer enquiries through the month of February, the lowest this balance has been since August 2023.

Supply levels were also reported to have fallen last month. A net balance of -27% of Welsh respondents noted a decline in new instructions to sell.

Unsurprisingly, with both demand and supply falling, a net balance of -23% of Welsh surveyors said that sales had fallen through February. This is the lowest this balance has been since late 2023.

On the pricing side, a net balance of 6% of survey respondents said that prices have risen over the past three months. Surveyors in Wales though remain cautious on the pricing outlook as a net balance of -29% of respondents anticipating a fall in prices over the next three months.

However, respondents are more positive on the 12-month outlook, with the net balance of surveyors in Wales expecting both prices and sales to increase over the year ahead (net balances of 72% and 57% respectively).

Regarding the lettings market, a net balance of 29% of respondents in Wales report a rise in tenant demand, whilst a net balance of 29% of surveyors reported a rise in landlord instructions. Consequentially, Welsh surveyors anticipate that rents will fall flat over the next three months. 

Commenting on the sales market, Anthony Filice, FRICS of Kelvin Francis Ltd., in Cardiff said: “There is an increased number of properties coming onto the market, giving buyers confidence to make offers and view more. Vendors who are slow realising this change, still pushing for higher prices, reductions and longer sale times follow. Lower mortgage rates and landlords selling are helping first time buyers.”

Discussing the lettings market, David James, FRICS of James Dean in Brecon noted that there is still a shortage of properties to let.

Commenting on the UK picture, Simon Rubinson, RICS Chief Economist, said:

“The UK housing market appears to be losing some momentum as the expiry of the temporary increase in stamp duty thresholds approaches. Some concerns are also being expressed by respondents about the re-emergence of inflationary pressures and the more uncertain geopolitical environment. That said, looking beyond the next few months, sales activity is seen as likely to resume an upward trend with prices also moving higher.

“A key support for the market continues to be the increased flow of existing stock becoming available, giving buyers a greater choice of options. However, leading indicators around new build remain subdued for now, highlighting the significance of the Planning and Infrastructure Bill introduced to Parliament this week.

“Meanwhile, despite a flatter trend in demand for private rental properties, the key RICS metric capturing rental expectations is still pointing to further increases demonstrating that the challenge around supply spans all tenures.”

TERRAQUEST will take over the provision of its Planning Portal service for planning applications across Wales starting 31 March 2025, following a new agreement with the Welsh Government.

The Planning Portal, already in use for over 97% of planning applications in England, will allow Welsh applicants to submit planning applications and receive essential updates regarding sites in Wales.

The service will be fully bilingual, offering both Welsh and English language options. Existing users of Planning Applications Wales will retain their accounts and can easily transfer to the new system.

Applicants will benefit from enhanced services, including standardised payment options across all 25 Welsh authorities, which will streamline the submission process and reduce invalid applications.

Additionally, the Planning Portal will feature a built-in location plan tool, capable of generating compliant plans, capturing spatial data, and transferring it digitally to Welsh authorities—reducing the need for third-party tools.

The new portal will also offer developers working in both England and Wales a consistent experience across both countries.

Plans are in place to add more features, such as integration with building control applications, ensuring a comprehensive service from a single platform.

Rebecca Evans, Cabinet Secretary for Economy, Energy and Planning, said: “We are committed to streamlining the planning process in Wales and speeding up decision-making on key projects. This seamless transition to a trusted partner will help ensure consistency and efficiency, benefiting both applicants and the planning process.”

Geoff Keal, CEO of TerraQuest, said: “We are excited to deliver both a smooth transition and an improved experience for users. The Planning Portal is a proven tool that has successfully supported thousands of applicants in keeping track of their applications. We look forward to working closely with the Welsh Government and welcoming new users in Wales.”

WELSH Water’s chief executive has defended his high earnings amid mounting criticism over soaring customer bills and the company’s record on sewage pollution.

Peter Perry, head of Dŵr Cymru, told MPs on the UK Parliament’s Environment Committee that his salary was “reflective of performance.” However, in Wales, the company has faced repeated scrutiny for its handling of sewage spills, service disruptions, and rising household water costs.

Welsh Conservative Shadow Cabinet Secretary for Climate Change and the Environment, Janet Finch-Saunders MS, questioned Dŵr Cymru’s performance, highlighting a series of recent failures.

In January, as many as 40,000 homes in North Wales were left without water after a burst pipe at the Bryn Cowlyd Water Treatment Works in Dolgarrog, Conwy. The company has also issued boil water notices in Rhondda Cynon Taf, and Welsh beaches have experienced some of the highest levels of sewage discharge in the UK.

In 2023, Dŵr Cymru was responsible for over 916,000 hours of sewage discharges into rivers, lakes, and coastal waters—around 20% of all recorded sewage spills across England and Wales.

Finch-Saunders said: “We’ve seen constant headlines about sewage dumping, service disruptions, and rising customer bills, making it unbelievable that the head of Dŵr Cymru can justify his inflated salary as performance-based.

“With Wales facing four times as many sewage discharges proportionally as England, and Dŵr Cymru customers now paying the highest water bills in the country, such an exorbitant salary is a slap in the face to customers.

“The public shouldn’t be forced to cover the costs of inflated executive pay, especially when water companies have failed to address long-standing issues and delayed critical infrastructure upgrades until it’s too late.”

CEO’s earnings under scrutiny

Despite being a not-for-profit organisation, Dŵr Cymru has continued to pay its chief executive a substantial salary.

• Peter Perry’s total remuneration in 2021 was £892,000.
• In 2022, he earned £675,000, rising to £792,000 in 2023.
• In 2024, his salary was £355,000, with £91,000 in variable pay, £34,000 in pension-linked payments, and a further £9,000, bringing his total earnings to £489,000.

Meanwhile, Dŵr Cymru customers are set to face the highest water bills in England and Wales.