06.02.202607:14:53UTC+00UK House Price Growth Picks Up in January

The Halifax House Price Index reported a 1% increase in UK house prices year-over-year in January 2026, up from a revised 0.4% increase in December. This marks the most significant rise in three months. For the first time, the average home price in the UK has exceeded £300,000, reaching £300,077. On a month-to-month basis, prices improved by 0.7%, surpassing the anticipated 0.1% growth and offsetting a 0.5% decline in December. Amanda Bryden, Head of Mortgages at Halifax, noted that the market began 2026 on stable ground. The monthly increase indicates resilience amidst affordability challenges. Factors such as stronger wage growth and the availability of more mortgage options below 4% are benefiting buyers. Halifax forecasts a 1%-3% rise in prices throughout 2026. Regionally, Northern Ireland led with a 5.9% growth, followed by Scotland at 5.4% and the North West at 2.1%. Conversely, the southern regions, including London, the South East, South West, and Eastern England, experienced annual declines exceeding 1%, attributed to higher borrowing costs and affordability constraints.