UK House Prices Hit Record £299,862 in October

British house prices rose by 0.6 percent in October, reaching a record average of 299,862 pounds, according to data from mortgage lender Halifax released on November 7. The increase marked the strongest monthly gain since January and exceeded economists' expectations of a 0.1 percent rise.

The monthly uptick followed a 0.3 percent decline in September and pushed annual house price growth to 1.9 percent, up from 1.3 percent the previous month. This acceleration comes amid signs of sustained demand in the property sector, even as economic uncertainties persist ahead of Finance Minister Rachel Reeves' budget on November 26. Halifax reported that the number of new mortgage approvals reached its highest level this year, reflecting buyer resilience into the autumn.

"There is no doubt that affordability remains a challenge for many," said Amanda Bryden, head of mortgages at Halifax. She noted that average fixed mortgage rates, currently around 4 percent, are expected to ease, but record-high property prices and rising everyday costs continue to strain disposable incomes. Buyers have adapted by using smaller deposits and longer-term mortgages to sustain activity. Over the past three...