House prices jump to highest levels since 2004

Nationwide figures show that UK house prices rose 13.4% in the year to June, the fastest pace since November 2004. The average house price increased to a record high of £245,432 from £216,403 in June 2020. The data show that all parts of the UK saw a rise in house prices in Q2, with Northern Ireland and Wales seeing the largest year-on-year increases, with values up 14% and 13.1% respectively. Month-on-month, UK house prices were up 0.7%. Price rises have been driven by a number of factors, including the stamp duty holiday and a mortgage guarantee scheme to help people with a 5% deposit get on the property ladder. Nationwide’s chief economist Robert Gardner commented: “Activity will almost inevitably soften for a period after the stamp duty holiday expires at the end of September, given the strong incentive for people to bring forward their purchases to avoid the additional tax.” 

BBC News (29/06/2021)   Daily Mail (29/06/2021)   Financial Times (29/06/2021)   Sky News (29/06/2021)