House price growth weakest since 2013

February 14, 2019

2018 saw the slowest UK annual growth in house prices since 2013. While annual growth in Scotland, Wales and Northern Ireland all strengthened in 2018 compared to 2017, England experienced a slowdown.

Annual house price growth (%), Countries of the UK, 2013 to 2018

United Kingdom

England

Scotland

Wales

Northern Ireland
2013

2.6

2.9

0.4

0.4

-2.8
2014

8.0

8.3

4.7

5.0

7.7
2015

6.0

6.8

4.0

2.8

7.3
2016

7.0

7.7

1.4

4.2

6.5
2017

4.5

4.8

2.9

4.3

3.8
2018

3.3

3.0

4.6

4.8

4.6

 

The North and the Midlands experienced a slight slowdown between 2017 and 2018, but this weakening growth was more evident in the South and East of England with house prices in London falling over the year in 2018.

Figure 1: Annual house price growth (%), by English region, 2017 and 2018

A similar picture is observed when looking at the local authority level. Strong annual growth in the Forest of Dean, Newport and Torfaen are likely linked to the abolition of the Severn Bridge tolls making it more affordable for those who work in Bristol to live on the opposite side of the River Severn. In Scotland, strong growth in West Dunbartonshire may be due to the areas direct trains to both Glasgow and Edinburgh.

Top 5 UK Local Authorities, by annual growth in 2018

Area Name

Average Price (£)

Annual growth (%)
Forest of Dean

235,833

11.0
Newport

175,447

10.5
Na h-Eileanan Siar

107,787

9.5
Torfaen

141,055

9.4
West Dunbartonshire

106,795

9.4

 

London boroughs dominate the areas where prices have fallen over the year. The Bank of England November inflation report highlights that the slowdown in the London market since mid-2016 is probably due to the area being disproportionately affected by regulatory and tax changes, and also by lower net migration from the EU.

Bottom 5 UK Local Authorities, by annual growth in 2018

Area Name Average Price (£) Annual growth (%)
City of London

787,027

-7.1
Hammersmith and Fulham

728,072

-3.8
City of Aberdeen

159,243

-3.5
Wandsworth

597,641

-3.3
Tower Hamlets

445,004

-3.1

Note: The figures in this article are annual estimate and will therefore show different annual growth rates and average prices to our monthly statistics.

HM Land Registery

News stories direct from HM Land Registry.

You May Also Enjoy

Breaking News

Breaking Property News 20/12/24

Daily bite-sized proptech and property news in partnership with Proptech-X.   Why estate and letting agents must embrace innovative technology in 2025   As we step into 2025, the UK property market continues to shift, and estate agents face mounting pressure to meet the evolving expectations of buyers and sellers. The days when static images sufficed…
Read More →
Breaking News

Breaking Property News 19/12/24

Daily bite-sized proptech and property news in partnership with Proptech-X.   High street Auctions’ initiative launches to revive Britain’s town centres   This month the UK Government rolls out its highly anticipated ‘High Street Auctions’ scheme, a flagship measure of the Levelling Up and Regeneration Act 2023. This initiative grants local authorities the power to take…
Read More →
Estate Agent Talk

Moving Up In The World: Finding Your Dream Home

Finding your dream home is one of life’s most exciting and transformative experiences. Whether you’re looking to upsize, relocate, or finally purchase that ideal property you’ve always envisioned, the journey is both thrilling and filled with important decisions. As you embark on this path, it’s essential to plan carefully, consider your priorities, and approach the…
Read More →
new build home fronts
Breaking News

These cities are the keenest to move house in 2025

Bournemouth is the keenest area in the UK to move home, with 38,132 average monthly searches for moving-related topics per 100,000 residents. Plymouth is second, with 35,198 average monthly searches for moving, and Birmingham is third, with 35,181. Derry is the least keen area to move house, with only 3,170 average monthly searches related to…
Read More →
Love or Hate Rightmove
Breaking News

Number of rental enquiries still double pre-pandemic, as rents predicted to rise 3%

The average number of enquiries sent to agents about each available property they have to rent is still nearly double the level it was in 2019, despite improvements in the balance between supply and demand: Each available property receives an average of 11 enquiries, nearly double the 6 at this time in 2019 This is…
Read More →
bank of england interest rate
Breaking News

Response to the Bank of England interest rates decision

Response to the Bank of England interest rates decision, thoughts from the Industry Rates were left unchanged at 4.75% MPC voted 6 to 3 in favour of holding rates flat, with three members preferring to cut rates by 0.25% to 4.5% In the near-term inflation is expected to “continue to rise slightly” The market was expecting rates to remain…
Read More →