UK house prices slow in October

UK house prices rose by 4.5% in the year to October, edging down from prior month as the national average was held back by a weak London market.

October´s 4.5% growth compared with 4.8% in September, seeing the average price of a UK house fall by £1,000 month-on-month to stand at £224,000.

In terms of regions, the East Midlands had the highest rate of annual growth, with prices up 7% in the year to October.

The South West (6.7%) was the next best performer followed by the East of England (6.1%).

While the North East saw prices rise by just 2.4%, London was at the bottom with an annual increase of just 2.1%.

London weakness

Reflecting the London market´s current weakness, Southwark was the weakest performing local authority in the country over the year, with an annual price decline of 3.6%

Meanwhile, Swale in Kent was the best performing area, where prices rose 15.5%.

The ONS data contrasted with recent figures from Halifax that suggested house prices had modestly strengthened in October.