UK house prices hit £284,000 in February: ONS

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The average UK house price rose by 7.6 per cent to £284,000 in the year to February, according to the latest Office of National Statistics house price index.

Excluding London and the South East, the average UK house price was £216,000.

London’s average house price rose 9.7 per cent to £524,000 in February and the average South East house was up 11.4 per cent to £368,000.

The index says the average English house was £298,000 in February, £173,000 in Wales, £189,000 in Scotland and £157,000 in Northern Ireland.

Oblix Capital chief executive Rishi Passi says the figures are skewed by landlords rushing to complete before the April stamp duty deadline.

He says: “Positive house price inflation in February is good news for many, but the figures should be taken with a pinch of salt.

“Demand has been stoked up in the short term by buy-to-let landlords rushing to complete ahead of April’s stamp duty rise, but the overall trend is falling.

“With this further tax burden now in place, we’ll likely see house prices moderate, if not fall slightly, as people choose to sit on their hands in the run up to the EU referendum.”

E.surv director Richard Sexton says: “A supply shortage is leading to price hikes – which many buyers simply can’t meet. This shouldn’t be the case.

“Savings have seen a boost from low inflation and rising wages. But unfortunately, housing market prices are generally still moving faster.”

The ONS figures are mix-adjusted to allow for differences between houses sold in different points of the year.