The Halifax House Price Index showed UK house prices rose 1.3% year-on-year in February 2026, more than the expected 0.9% gain, from a revised 1.1% increase in January, marking the strongest annual growth in four months. The average UK home reached a new high of £301,151. On a monthly basis, prices rose 0.3%, following a 0.8% gain in January. Amanda Bryden, Head of Mortgages at Halifax, said the market maintained early-year momentum, with prices up around £3,000 since January. Affordability remains stretched and supply constrained, but easing interest rates and real wage growth are supporting buyers. Regional growth was led by Northern Ireland (6.3%) and Scotland (4.7%), followed by Wales (2.4%) and northern England, including the North East (3.5%) and North West (2.9%). Southern markets lagged, with the South East down 2.2% and London falling 1%. Halifax noted mortgage approvals and geopolitical uncertainties may affect borrowing costs and future price growth.
