London estate agent sees 44 per cent commissions drop ahead of branch reopenings

A London estate agent has announced that it will be reopening its branches this week after seeing a 44 per cent drop in commissions.

Foxtons Group reported this morning that it expects all its branches to be open by 1 June, following the recent government guidance on reopening the housing market.

During lockdown, the company has seen a 44 per cent drop in commissions, with a 40 per cent drop in lettings commissions and a 61 per cent drop in sales commissions.

It said that it will be bringing furloughed employees back to work on a gradual basis, but that they will still be working from home where possible.

Foxtons will be implementing social distancing rules in its workplace, as well as restrictions on the amount of people allowed at house viewings.

It also reported that it ended April with a net cash balance - excluding lease liabilities - of £37.1m.

The company said: “It is still too early to predict what the full impact of the COVID-19 pandemic will be on Foxtons’ full year results.

“There remains significant uncertainty over how long the London residential sales and lettings market will continue to be impacted by the pandemic.

“Nonetheless, the board is pleased with the resilience that the business has shown given such a disruptive backdrop.”

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