United Kingdom: Housing market strengthens in January
January 29, 2020
According to the Nationwide Building Society (NBS), house prices in the United Kingdom rose 0.5% month-on-month in January, up from December’s 0.1% increase. On an annual basis, house prices rose 1.9%, up from 1.4% in December and marking the strongest annual growth rate in over one year. The average house price in January was GBP 215,897 (January 2019: GBP 215,282). The property market likely benefited from low unemployment and solid wage growth.
Looking ahead, house prices will likely rise at a mild rate, supported by the strong labor market. Brexit developments will have an important bearing on prices, due to the potential impact on consumer confidence and jobs.
Author: Oliver Reynolds, Economist