Worldwide investment in commercial property is expected to plunge by around 17 per cent in 2008 as the property crisis continues.

This comes after research from Cushman & Wakefield, the global property agent, showed property investment hit an all-time high of $930 billion (£468 billion) last year, reports the Financial Times.

However, the trend slowed in the second half of the year as volatility in the markets began to take effect and this is expected to continue this year, says the report.

Commenting on the issue, David Hutchings, head of research at Cushman & Wakefield, said: “There is less money in the market with the reduction in the number of debt-backed investors now active.”

He added that sales which were previously driven by “easy financing” are now unlikely to proceed, with larger portfolio deals also likely to suffer.

In related news, the Financial Times reports that investment bankers have expressed relief over the resilience of their year-end bonuses amid the credit crunch.

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