UK Housing Stalls as FTSE Soars: BoE Holds Rates Amid War and Drought Squeeze

UK house prices grew by just 0.1% in July, pushing annual growth down to 1.8% from 2.2% in June. The average home now costs £277,542, a mere £58 rise month-on-month, as the Iran war and higher interest rates squeeze buyer demand during what should be the peak buying season.

Behind the Data

The slowdown is a direct hit from geopolitical tension and higher borrowing costs. Nationwide's chief economist Robert Gardner warned that the Iran conflict...