United Kingdom: House prices post modest growth in January
February 1, 2016
In January, home prices in the United Kingdom rose 0.3% over the previous month, which was below the 0.8% increase observed in December, according to the Nationwide Building Society (NBS). On an annual basis, home prices rose 4.4% (December: +4.5% year-on-year). The average house price was GBP 196,829 (December 2015: GBP 196,999).
According to the NBS, “as we look ahead, the risks are skewed towards a modest acceleration in house price growth, at least at the national level.”
According to the Q4 2015 quarterly release, NBS data showed that, geographically speaking, the strongest increases in prices are in the city of London, where the average house price rose 12.2% year-on-year. This is markedly higher than the 4.3% rise that has been recorded in the United Kingdom as a whole. The regions other than London that saw higher-than-average price increases were: Outer Metropolitan, Outer South East and Northern Ireland.
Author: Dirina Mançellari, Senior Economist