Average house prices remain £6,000 higher than 12 months ago, but £7,000 below the recent peak in September 2022, according to the latest UK House Price Index from the ONS and Land Registy. 

The average UK house price was £286,000 in May. Average house prices increased over the past year by 1.7% in England, 1.8% in Wales, 3.2% in Scotland, and 5.0% in Northern Ireland.

The North East saw the highest annual percentage change of all English regions in the 12 months to May (4.0%), while the East saw the lowest (0.0%).

On a seasonally adjusted basis, the average UK house price decreased by 0.4% in May, following a month-on-month increase of 0.5% in April. On a non-seasonally adjusted basis, prices remained little changed in May, following a month-on-month increase of 0.6% in April.

Emma Hollingworth, managing director of mortgages at MPowered Mortgages, said: “Given the steady rise in mortgage rates and high inflation levels, (the) figures are not unexpected. Buyer confidence has tempered in recent months, particularly with two-year fixed rates reaching the highest levels since the 2008 financial crash. However, we are beginning to see these rates stabilise. Moreover, with energy bills falling we can expect inflation to trend in a more manageable direction, boosting buyer confidence in the long run.”