Iran war could knock UK homebuyer confidence, says builder Persimmon

Growing fears that elevated interest rates will continue, as Barclays finds worries that war will push up inflation

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A leading British housebuilder has warned the Iran conflict could knock homebuyer sentiment, amid growing fears of a jump in inflation and a prolonged period of elevated interest rates.

Persimmon said it was “monitoring the impact the conflict with Iran could have on our markets in 2026”, but noted that consumer sentiment could be sensitive amid more financial uncertainty.