UK housing market data shows annual price growth accelerates in April
Britain's housing market regains momentum in April as annual home price growth strengthens after a flat reading in March. The increase coincides with the strongest yearly rise since March 2025, before Stamp Duty Land Tax changes took effect in April 2025.
Highlights
- ONS data shows British house prices rose 3.8% year-on-year in April after flat growth in March, marking the strongest rise since March 2025.
- Average UK private rents increased 3.3% year-on-year in May, down from 3.5% in April, signaling easing rental growth.
- April's house price growth follows previous stagnation, occurring ahead of the Stamp Duty Land Tax changes implemented in April 2025.
April house price rebound in official data
As reported by Reuters via data from the Office for National Statistics, British house prices rise by 3.8% in the year to April, after recording no annual growth in the year to March.The ONS says this is the biggest annual increase in house prices since March 2025, before changes to Stamp Duty Land Tax came into force in April 2025.
Rental growth eases across the UK
Separate official figures show average UK monthly private rents increase by 3.3% in the year to May, compared with 3.5% in the 12 months to April.The latest reading marks the smallest rise in private rents since March 2022, indicating a moderation in rental inflation alongside the rebound in house prices.
In our earlier article on UK inflation holding at 2.8% in May, we highlighted that price pressures remained stickier than expected and stayed above the Bank of England’s 2% target. We also noted that the reading kept the focus on the Bank’s next interest-rate decision, with markets largely leaning toward unchanged rates as policymakers assessed whether underlying inflation was easing.
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