Annual UK house price growth halves as mortgage rates rise – business live
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UK house price growth halved in September as rising mortgage rates and economic uncertainty weighed on the market. Nationwide reported a 0.2% monthly fall, leaving annual growth at 0.8%, its weakest since December 2025.
The average UK home cost £274,251, and the figures were weaker than economists had expected: they had forecast no monthly change and 1.3% annual growth. Average two-year and five-year fixed mortgage rates were both above 5.9%; prices rose fastest in Northern Ireland, up 5.9% over the year, while East Anglia recorded a 0.7% annual fall.
- UK house prices fell 0.2% in September.
- Annual growth slowed to 0.8%.
- Mortgage rates above 5.9% are weighing on demand.
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