The Foxtons Group has told shareholders that its lettings revenue rose 5% to £111m in 2025.

However, overall the group’s operating profits rose only minimally, and that was thanks to the lettings division. 

Total group revenue was up 5% to £172.5m last year, with profit at £22.2m in 2025 – just £100,000 more than the year before. 

It puts the profit performance down to increased costs, rising National Insurance and National Living Wage costs, and inflation.

In a sign of the faltering London housing market, shareholders are told: “The London sales market remains challenging, with buyer demand in early 2026 continuing to be held back by weak consumer confidence.

“The group is focused on repositioning the sales business for these lower volume market conditions to accelerate the path to profitability.”

Financial Services revenue was up 10% but much of the company’s buoyancy is down to acquisition. 

Foxtons acquired Birmingham independent lettings agency FleetMilne for £3.2million in the New Year.

Chief executive Guy Gittins says: “We were pleased to deliver 5% revenue growth in the year, as our continued focus on growing non‑cyclical and recurring lettings revenues enabled us to maintain adjusted operating profit despite a volatile sales market.

“We are making strong progress with our buy, build and bolt‑on strategy.

“Acquisitions in Milton Keynes and Birmingham have extended our footprint into high‑growth markets outside London and reflect our focus on entering new markets by acquiring leading agents that act as platforms for further organic and acquisitive growth.

“Our acquisition strategy is driven by the highly fragmented nature of the UK estate agency market, which creates attractive consolidation opportunities where our technology, brand and operating model can add real value. 

“We have a strong pipeline of opportunities and are well positioned to build on our recent acquisitions.”